Shareholder seeks to liquidate Hong Kong's ATV
Louise Duffy ©RapidTVNews | 14-10-2011 Norwares Overseas, a company headed by Taiwanese billionaire Tsai Eng Meng, has filed an application to wind up Asia Television Ltd (ATV), one of the two free-to-air broadcasters in Hong Kong.
According to Channel News Asia, Tsai, ATV's second-largest shareholder, said he was "forced" to seek ATV's liquidation in the wake of a dispute with the broadcaster over convertible bonds.
He said he paid HK$23m (S$3.7 million) for ATV's convertible bonds in 2009 but had not received the bonds.
Tsai said he had asked ATV to return his money last month, but the broadcaster failed to do so.
"As a shareholder of ATV, I received no financial statements, agenda or whatsoever from ATV. I'm forced to file to liquidate ATV," said Tsai.
ATV said in a statement that it had already agreed to return Tsai his money.
Hong Kong's media authorities are expected to release more broadcast licences in 2012 in order to increase competition in the free-to-air television market, so ATV will face more competition next year.
ATV's major shareholder, property tycoon Payson Cha, said in a previous interview that "More competition and more choices is good for the audience. But this is a very bad development for ATV."