In an article for Lianhe Zaobao, Felicia Tan, Partner in TSMP’s Restructuring & Insolvency practice, shared her perspective on the news that Crystal Jade’s holding companies in Singapore and Hong Kong have been placed under receivership.

Felicia acknowledged that the news may unsettle stakeholders. Receivership is serious, but it does not necessarily mean the end of a business. It is a mechanism through which a secured creditor enforces its security to protect or recover the value of the secured assets. The receiver’s powers depend on the security arrangements and may cover only certain assets of the company or a broader range.