Document background
The Collateral Agency Agreement is a crucial document in secured financing transactions under Hong Kong law, typically used in syndicated loans, bond issuances, and other complex financing arrangements where multiple lenders or secured parties are involved. This agreement becomes necessary when there is a need to appoint a professional agent to hold and manage collateral on behalf of multiple secured parties, ensuring coordinated and efficient administration of security interests. The document addresses specific requirements under Hong Kong's legal framework, including compliance with the Companies Ordinance, Securities and Futures Ordinance, and relevant banking regulations. It establishes the mechanism for the collateral agent to act as a central point of coordination, detailing their rights, duties, and protections while managing security interests, handling enforcement actions, and maintaining proper records in accordance with Hong Kong law.
