Three companies had been party to a joint venture agreement for the provision of Tote Direct, an off-course opportunity for Tote betting. One company sold its businesses to another, reducing the participants to two, and the Monopolies and Mergers Commission required the betting part to be sold within six months. Equality of interests had not been maintained in the company’s loan capital, which led to a request to the court to determine the interests. The company appealed a finding that the interest to be disposed of included promissory notes. The MMC decision explicitly included the notes.
Held: The word ‘interest’ in this context was wider than the shareholdings. The appeal was allowed. The court specified the interests to be divested, and the ‘equivalent’ interests for which reasonable endeavours were to be applied to acquire.
Judges:
The Vice-Chancellor, Lord Justice Rober Walker, Lord Justice Rix
Citations:
[2002] EWCA Civ 176
Links:
Jurisdiction:
England and Wales
Commercial, Company
Updated: 02 September 2022; Ref: scu.167663
