A minority shareholder has to face multidimensional and complex situations that imply ad hoc advice.
STANCE provides minority shareholders advice to help solving governance and liquidity issues at the time of investment.
We assisted a shareholder with a minority stake, whose contribution to the joint venture was very significant, in designing clauses for a coordinated exit in the event of a disagreement with the majority stakeholder so as to have an alternative to a straight sale to a third party in such case.
One of our clients was a minority shareholder whose contractual rights did not encompass all the classical protection for his liquidity. We progressively helped in convincing the entrepreneur who held a majority interest, during somewhat tense negotiations, to organize his long time partner’s liquidity. For this purpose, we analyzed our client’s situation and legal means, and drew on our experience of such situations.
The majority shareholder had decided to wind up a trading company, in which our client - who held a minority interest - would lose his entire investment. We have implemented a series of legal remedies – both via summary proceedings and on the merit – with a view to convincing the majority shareholder to open a satisfying negotiation.