In the first instalment of this series, ‘Crossroads: A Guide to Corporate Distress in the Cayman Islands’, we explored statutory demands and one of the tools available to creditors seeking payment of outstanding debts. However, not every company reaches the end of its life due to financial difficulties, disputes or insolvency.
In fact, most Cayman Islands companies simply achieve the purpose for which they were established.
Perhaps a special purpose vehicle has completed a transaction. Maybe a holding company is no longer required in a corporate structure. A joint venture may have ended, or a startup project may have been abandoned before it ever became operational.
Whatever the reason, directors and shareholders are…