BVI Finance This Week 14/8/20

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17Aug

BVI Finance This Week 14/8/20

17 Aug, 2020 | View Counts (1072) |Return|

FRIDAY 14 AUGUST, 2020

OGIER ADVISES KISMET ACQUISITION ONE CORP ON US$250M IPO

COVID-19 may have suppressed economic activity in certain areas, but the Special Purpose Acquisition Companies (SPAC) market continues to be buoyant, with Ogier advising on the Initial Public Offering (IPO) of a large British Virgin Islands (BVI) SPAC this week.

Ogier acted as BVI counsel on the IPO on NASDAQ of Kismet Acquisition One Corp, which closed on 10 August 2020. Ogier operates the leading SPAC advisory practice in the BVI, and Kismet Acquisition One marked the firm's second major BVI SPAC IPO for 2020.

Kismet Acquisition One raised US$250m in its IPO by offering 25 million units at US$10. Each unit consists of one ordinary share and one-half of a warrant (each whole warrant entitles the holder to purchase one ordinary share at a price of US$ 11.50 per share). The company may raise an additional up to US$37,500,000 through a 45-day option to purchase granted to the underwriters of the offering (Credit Suisse Securities (USA) LLC and BofA Securities).

If exercised in full, the option to the underwriters plus the proceeds of simultaneous private placements could result in Kismet Acquisition One commanding an overall value of around US$300m, making it one of the biggest BVI SPACs in recent years.

The Ogier team was led by partner Michael Killourhy and included senior associate David Mathews.

Commenting on the transaction, Killourhy said: "It has been a pleasure working with the Kismet team on this IPO. The management team assembled by Kismet here is first-rate and that, coupled with the overall value of the SPAC, promises a great business combination – which we look forward to being involved in too."

Read the full article, here.

Pictured: Michael Killourhy, Partner, Ogier

Pictured: David Matthews, Senior Associate, Ogier

COMMENT: PUBLICLY-ACCESSIBLE REGISTERS OF BENEFICIAL OWNERSHIP ARE NOT THE SILVER BULLET FOR FIGHTING FINANCIAL CRIME

Pictured: Ryan Geluk, Deputy Managing Director, BDO

Over the past 30 years, the British Virgin Islands has developed a robust system in place for identifying beneficial ownership which is and can readily share any necessary information with relevant law enforcement agencies, says Ryan Geluk, deputy managing director of BDO BVI.

Crucially the BVI is constantly looking at how it can further bolster its regime and innovate its systems to ensure these remain market-leading and to more efficiently and effectively cooperate with law enforcement authorities to trace beneficial ownership. This includes the creation of an innovative technology platform called BOSSs (Beneficial Ownership Secure Search System).

In a comment published on International Investment, Geluk discusses the BVI’s innovative BOSS system. Click here to read the full article.

HARNEYS LEADS ON CHAROEN POKPHAND FOODS INTERNATIONAL BOND ISSUANCE

Harneys recently represented CP Foods Capital Limited on its US$275 million bond issuance and listing on the Singapore Stock Exchange.

CP Foods Capital Limited is a newly incorporated British Virgin Islands subsidiary of Thai-listed Charoen Pokphand Foods Public Company Limited. Harneys delivered BVI advice on the issuance of exchangeable bonds due 2025 exchangeable into shares in Charoen Pokphand Foods Public Company Limited.

The Charoen Pokphand Group is one of the world’s largest conglomerates, headquartered in Thailand and with eight business lines covering 13 business groups, as well as investments in 21 different countries and an estimated US$63 billion annual revenue.

The Harneys team was led by Partner Ellie Crespi upon instructions from onshore counsel Linklaters, Singapore.

BANK OF ASIA’S FOUNDER AND CHAIRMAN CARSON WEN SHARES GROWTH PLANS AS THE BANK MARKS ITS SECOND ANNIVERSARY

It was two years ago in July that Bank of Asia officially launched in the British Virgin Islands (BVI) after being granted the banking licence by the British Virgin Islands Financial Services Commission. As the BVI’s first and only bank serving global customers via digital devices, the mission since then has remained simple – to help transform the banking landscape.

Reflecting on the journey of building Bank of Asia and looking forward, the Founder and Chairman Carson Wen, shared his thoughts on the milestones to date and the plans for future growth:

"We believed since the very beginning that through high-quality and technologically advanced banking solutions delivered via a digital platform, we can change the way people bank in a global setting. This benefits clients with more cost-effective, user-friendly services that are secured through robust multi-layered Know Your Customer (KYC) and Anti Money Laundering (AML) processes.

While digitalised banking has evolved significantly since we first started, with many new competitors entering the space, there is still significant headway to be made for the industry to reach its full potential."

Click here to read Carson Wen’s full message, where he discusses what’s next for Bank of Asia and more! Bank of Asia also announced the appointment of a new President earlier this week - view the announcement here.

ELECTRONIC SIGNATURES: HOW LEGAL ARE THEY IN THE BRITISH VIRGIN ISLANDS?

The COVID-19 pandemic is requiring more of us than ever to work remotely. This can raise particular challenges in terms of the execution of documents, with physical “wet ink” execution often proving unmanageable for signatories. This need not however create undue concern as BVI law provides for a comprehensive and flexible approach to electronic execution of documents.

Member firm has put together this short and concise video explaining just what's legal in the BVI when it comes to E-Signatures. View video by clicking link below!

MONEY MATTERS BVI TO HOST PUBLIC FORUM ON PONZI & PYRAMID SCHEMES

Money Matters BVI is set to host a public forum on Pyramid and Ponzi Schemes on 23^rd August 2020. The Forum comes on the heels of the BVI Financial Services Commission’s Advisory Warning No.1 of 2020 regarding Pyramid Schemes.

The proposed Forum seeks to furnish the BVI public with more information regarding Ponzi and Pyramid schemes and to encourage open discussion on the topics. Discussion will include questions investors should ask before participating in investments generally; Pyramid and Ponzi schemes target; persons likely to invest in Pyramid and Ponzi Schemes; prevalence of affinity fraud in BVI; legal and regulatory implications and much more.

The Forum will be streamed live on radio and social media. For more details, please contact finlit@bvifsc.vg or info@moneymattersbvi.org.

BVI TOURIST BOARD ANNOUNCES THE APPOINTMENT OF CLIVE McCOY AS DIRECTOR OF TOURISM

The Board of Directors of the British Virgin Islands Tourist Board and Film Commission (BVITB) has today announced the appointment of Clive McCoy as Director of Tourism, effective immediately.

McCoy previously held the position of Film Commissioner and Tourism Liaison Officer. Commenting, the Chairman of the Board, Kenisha Sprauve, said: “The Board is confident that Mr. McCoy is the right fit for the role, Director of Tourism. Based on his qualifications and leadership and business development experience in the tourism industry, Mr. McCoy brings a unique perspective to this role of providing strategic leadership in the development and implementation of strategies and programmes that promote the BVI. The Board looks forward to him providing his expertise and experience to help the BVI’s tourism industry realize its fullest potential.”

Since joining in 2005, McCoy has worked in various capacities which allowed for the beauty and the essence of the Virgin Islands to be showcased both locally and abroad. As Film Commissioner, he promoted the BVI as a location for film and photography projects most notably the coveted 2020 Sports Illustrated Swimsuit Edition.

McCoy commented: “I am humbled by the opportunity to serve my Territory with tremendous focus and energy in this important position and recognizing the immense potential and possibilities of our tourism industry.”

BVI Finance congratulates Clive McCoy on his appointment! Read the full announcement, here.

IFC REVIEW'S JURISDICTION IN FOCUS FEATURES BVI

IFC Review, a leading publication representing international finance centres across the globe, has now published its BVI section which features articles from a number of BVI industry practitioners. Articles include:

The Great Connector: The BVI’s Critical Role In Global Finance by Simon Filmer, Vistra
The Five Things Fund Managers Should Be Doing Now by Kerry Anderson, O’Neal Webster
The British Virgin Islands PTC: Because Privacy Matters by Carl O’Shea, Hatstone and Michael Shenkin
Staying Ahead of the Curve in an Age of COVID-19 by Lorna Smith, OBE, LGS and Associates
BVI Investment Funds Regime at A Glance by Martin Litwak, Untitled
BVI Takes Significant Steps to Enforce Court Judgments and Arbitration Awards by Hon. Barry Leon and Dancia Penn, OBE, QC