Company: WCT
Filing Date: 2025-05-16
Form Type: 20-F
Source: 0001213900-25-044576
Chunk: 89

Company: Wellchange Holdings Co Ltd
Filing Date: 2025-05-16
Form: 20-F
Item: Item 10
Chunk 89
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a) seventy-five percent (75%) in value of
the shareholders or class of shareholders, as the case may be, or (b) a majority in number of the creditors or each class of creditors,
as the case may be, with whom the arrangement is to be made, that are, in each case present and voting either in person or by proxy at
a meeting, or meetings, convened for that purpose. The convening of the meetings and subsequently the arrangement must be sanctioned by
the Grand Court of the Cayman Islands. While a dissenting shareholder has the right to express to the court the view that the transaction
ought not to be approved, the court can be expected to approve the arrangement if it determines that:

  the statutory provisions as to the required majority vote  

  the shareholders have been fairly represented at the meeting                                                                           

  the arrangement is such that may be reasonably approved by                          
  an intelligent and honest man of that class acting in respect of his interest; and  
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  the arrangement is not one that would more properly be sanctioned  

The Companies Act also contains a statutory power
of compulsory acquisition which may facilitate the “squeeze out” of dissentient minority shareholder upon a tender offer.
When a tender offer is made and accepted by holders of ninety percent (90%) of the shares affected within four months, the offeror
may, within a two-month period commencing on the expiration of such four-month period, require the holders of the remaining shares to
transfer such shares to the offeror on the terms of the offer. An objection can be made to the Grand Court of the Cayman Islands.

If an arrangement and reconstruction is thus approved,
the dissenting shareholder would have no rights comparable to appraisal rights, which would otherwise ordinarily be available to dissenting
shareholders of Delaware corporations, providing rights to receive payment in cash for the judicially determined value of the shares.

Shareholders’ Suits

In principle, we will normally be the proper plaintiff
and as a general rule a derivative action may not be brought by a minority shareholder. However, based on English authorities, which would
in all likelihood be of persuasive authority in the Cayman Islands, the Cayman Islands court can be expected to follow and apply the common
law principles (namely the rule in Foss v. Harbottle and the exceptions thereto) so that a non-controlling shareholder may be permitted
to commence a class action against or derivative actions in