Pioneer Group

Background

Harbour funded an US$80 million dispute between the liquidator of Pioneer Iron & Steel Group and its sole former shareholder and director, who was based in China. As the group entered into insolvency she asserted that valuable company assets belonged not to the company but to a relative.

Harbour’s funding

Pioneer’s creditors, although well-funded, were reluctant to finance litigation to recover assets. Having been approached by one of the creditors, Harbour stepped in.

Outcome

Our funding enabled the liquidator to make an application to the court for the appointment of an interim receiver over one of the company assets, being certain Shanghai-listed mining stocks. As part of the funding, Harbour provided a £20 million cross undertaking in damages to support the appointment, a tactic which helped to secure an early settlement and a substantial payment to Pioneer’s creditors.