The decision on Monday to approve the HK$1.06 billion sale of 75% of Boto's core artificial Christmas tree and leisure furniture businesses to the Carlyle Group - with the remaining 25% held by Boto - has been widely seen as an example where the views of independent shareholders in Hong Kong have been ignored by regulators in the SAR.
On paper it looks like the company's independent investors voted in favour of selling a franchise that has been profitable for the past seven years, allowing Boto to focus purely on computer animation. But the fact that this side of the business lost HK$8 million in the last year, suggests there is more...
