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Cross-border financing
Posted on 23 September 2016 in > Banking & Finance

MOLITOR was contacted by a lead counsel to a Swedish bank, who asked MOLITOR’s advice as Luxembourg counsel in relation to a cross-border financing transaction. In particular, the bank planned to grant a loan to a company and, as a security, enter into a Swedish law-governed share pledge agreement over shares of Swedish companies, with two Luxembourg companies as pledgors, all in connection with an intra-group re-organisation. MOLITOR advised on whether the structure would create any financial assistance or corporate benefit issues, advised on the share pledge agreement (not governed by Luxembourg law), reviewed certain corporate authorisation documents in connection with the share pledge agreement and issued a legal opinion.

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