SHENZHEN,
China, April 7, 2021
/PRNewswire/ -- Nam Tai Property Inc. ("Nam
Tai" or the "Company") (NYSE Symbol: NTP) today announced
the filing of an application to appeal the March 3, 2021 judgment issued by the Eastern
Caribbean Supreme Court in the High Court of Justice in the
British Virgin Islands (the
"Court"). The judgment held that the private placement previously
announced by the Company on October 5,
2020 was void and should be set aside.
The Company appeals on the basis that the judgment discloses a
number of significant errors and, in particular, a demonstrable
failure to take account of important evidence.
The judgment follows legal proceedings instituted by IsZo
Capital LP ("IsZo") against the Company and other parties.
Leading up to the private placement,
Nam Tai's lending banks had notified
the Company that the Company's operations and management control
were subject to substantial uncertainties triggered by actions that
had been recently taken by IsZo. The purpose of the private
placement was to raise capital to meet funding requirements due to
the accelerated repayment demands made by its banks. As a result of
the series of actions taken by IsZo, the Company continues to face
significant liquidity issues impacting its operations and
construction projects under development.
The Company's appeal is on a number of grounds, including that
the Judge erroneously rejected the existence of the liquidity
crisis facing Nam Tai at the time of
the share allocation. As a consequence, the Judge erroneously
rejected the evidence from Nam Tai's
directors that the purpose of the share allocation was to address
the liquidity crisis and instead erroneously held that the purpose
of the share allocation was to entrench the board. Further, the
Company appeals on the additional bases that the Judge failed to
consider the relevant timeline in the evaluation of the liquidity
crisis, overlooked compelling contemporaneous evidence and
erroneously assessed the director's evidence.
"We were extremely disappointed with and surprised by the
Court's previous ruling and are appealing on a number of grounds.
Nam Tai now faces significant
liquidity challenges as a result of the cancelled transaction meant
to address the withdrawal of our bank financing," said Dr.
Lai Ling Tam, Director and Executive
Chairman. "Nam Tai is committed to
driving growth and creating long-term value for shareholders. The
board of directors and management of Nam
Tai continue to execute their fiduciary duties to act in the
best interests of the Company and all shareholders as the Company
moves forward in its mission to become a leading technology park
developer and operator committed to long-term and sustainable
growth."
Forward-looking Statement and Factors that Could Cause our
Share Price to Decline
Certain statements included in this press release, other than
statements of historical fact, are forward-looking statements.
Forward-looking statements generally can be identified by the use
of forward-looking terminology such as "may", "might", "can",
"could", "will", "would", "anticipate", "believe", "continue",
"estimate", "expect", "forecast", "intend", "plan", "seek", or
"timetable". These forward-looking statements, which are subject to
risks, uncertainties, and assumptions, may include projections of
our future financial performance based on our growth strategies and
anticipated trends in our business and the industry in which we
operate. These statements are only predictions based on our current
expectations about future events. There are several factors, many
beyond our control, which could cause results to differ materially
from our expectation. These risk factors are described in our
Annual Report on Form 20-F and in our Current Reports filed on Form
6-K from time to time and are incorporated herein by reference. Any
of these factors could, by itself, or together with one or more
other factors, adversely affect our business, results of operations
or financial condition. There may also be other factors currently
unknown to us, or have not been described by us, that could cause
our results to differ from our expectations. Although we believe
the expectations reflected in the forward-looking statements are
reasonable, we cannot guarantee future results, levels of activity,
performance, or achievements. You should not rely upon
forward-looking statements as predictions of future events. These
forward-looking statements apply only as of the date of this
announcement; as such, they should not be unduly relied upon as
circumstances change. Except as required by law, we are not
obligated, and we undertake no obligation, to release publicly any
revisions to these forward-looking statements that might reflect
events or circumstance occurring after the date of this press
release or those that might reflect the occurrence of unanticipated
events.
ABOUT NAM TAI PROPERTY INC.
We are a real estate developer and operator, mainly conducting
business in Mainland China. Our main land resources are located in
the Guangdong-Hong Kong-Macao
Greater Bay Area ("Greater Bay Area") and Wuxi, China, of which the three plots in
Shenzhen will be developed into
Nam Tai Inno Park, Nam Tai Technology Center and Nam Tai Inno Valley. We plan to build these
technology parks into landmark parks in the region and provide
high-quality industrial offices, industrial service spaces and
supporting dormitories to the tenants. Based on the experience of
developing and operating technology parks and an industrial
relationship network accumulated over the past 40 years, we have
also exported the operation model of technology parks to other
industrial properties. Through an asset-light model, we have leased
industrial properties for repositioning and business invitation. We
will also expand the commercial and residential property business
in China as an auxiliary
development strategy of the Company. As the growth prospects of
China maintain, we shall seize
development opportunities in the Greater Bay Area and other first-
and second-tier cities in China,
and continue to strengthen and expand the business of industrial
real estate, and commercial and residential properties. Nam Tai
Property Inc. is a corporation registered in the British Virgin Islands and listed on the New
York Stock Exchange (Symbol: "NTP").
Please refer to our corporate website (https://www.namtai.com/)
or the SEC website (www.sec.gov) for our press releases and
financial statements.
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SOURCE Nam Tai Property Inc.