Warburg Pincus sues Titan Petrochemicals

23-Jul-12

U.S. private equity fund Warburg Pincus, a stakeholder of Titan Petrochemicals Group Ltd, has sued Titan and some of its executives in Hong Kong’s High Court for misrepresentation and breaches of contract, Reuters reported. The suit alleges Hong Kong-listed Titan and its founder Tsoi Tin Chun and two unidentified executives secretly provided 1.48 billion yuan (US$232.22 million) of unauthorised guarantees to subsidiaries. The guarantees led to significant unspecified damages and potential liabilities, according to Warburg, which holds a stake of around 10% in Titan.