!
£
5
3.
(c)
HKNIC's financial contribution would be in the form of a subordinated loan rather than equity. This loan would be of a similar amount, that is US$160 million and would have a high return. (This alternative was suggested by Poon. Bischoff however said that it would be difficult to obtain investors/lenders for this course of action.)
HKNIC-MTRC type of institution
(a)
(b)
Institution wholly-owned by HK Government would be the 40% investor in GNPS. It would be run on similar lines to MTRC (Mass Transit Railway Corporation) but with China Light management. Board of directors would consist of China Light, Hong Kong Electric and independent outsiders. HK Government would guarantee 40% of loans to GNPS.
Same as (a) above but HK Government would have, say, 75% of capital with outside investors, including China Light, Hong Kong Electric and others owning 25%.
Management would still be in hands of China Light. HK government would still guarantee 40% of the loans to GNPS.
4.
Guarantee by HKG
If all else fails HK Government might be willing, for political purposes, to guarantee 40% of the loans to
Least likely, but possible political, solution.
GNPS.
1.