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ARTICLE · 23 APRIL 2020

Jersey Cash Box Structures: A Fast Route To Funding

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It is no surprise, as a result of the wider economic unpredictability arising from COVID-19, that listed companies requiring urgent access to capital are turning their attention back to Jersey

JerseyFinance and Banking

It is no surprise, as a result of the wider economic unpredictability arising from COVID-19, that listed companies requiring urgent access to capital are turning their attention back to Jersey cash box structures. With a long history of their use in the capital markets, Jersey cash box structures proved popular during the years following the global financial crash as utilising such structures enabled listed companies to access funds on an expedited basis when alternative methods of capital-raising were expensive and time consuming.

What are the advantages of a Jersey cash box structure?

In an environment where there may be an urgent need for capital, cash box structures are appealing to public listed companies in the United Kingdom (UK PLC) as they permit UK PLCs to issue shares for non-cash consideration.  This creates timing benefits as the pre-emption rights in the Companies Act 2006 do not apply, dispensing with the delays involved in the need to

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