Cheung Chi Shing has been publicly criticized by the Securities and Futures Commission (SFC) for not obtaining regulatory approval before triggering a mandatory general offer obligation for Styland Holdings Limited. Cheung purchased 4.32% of Styland’s shareholding interest, which triggered the obligation to make mandatory conditional general offers for all of Styland’s shares and outstanding convertible bonds. This would have made Cheung and his concert parties substantial shareholders of Styland’s licensed corporations, requiring SFC approval that was not obtained. Although Cheung has since made the general offers, he acknowledged the breach and accepted disciplinary action. The SFC emphasizes compliance with the Codes and encourages consultation when in doubt.
resource: https://apps.sfc.hk/edistributionWeb/gateway/EN/news-and-announcements/news/doc?refNo=23PR26