A second hostile takeover offer, worth almost HK$200 million, has been launched for corporate finance firm Pacific Challenge Holdings, which is embroiled in a legal battle for survival. The two takeover offers follow the agreement in February by Pacific Challenge's largest shareholder, chairwoman Lily Chiang, to sell her stake to other parties. Completion of that deal has been postponed three times. It is now due to be completed before July 2, which means Ms Chiang remains the largest shareholder. The latest offer comes from Cheong Tin-yau, who has offered to buy each share at 65 HK cents or HK$186.21 million. The price is a 14 per cent premium on Pacific Challenge's market price. If the bid proceeds, Mr Cheong has also offered to acquire any outstanding share options at 33 HK cents each after 23.88 million were issued on February 4. It is unclear how many of the options have yet to be exercised. If all shareholders accept the offer and all the share options are acquired the consideration would be HK$194.09 million. Little is known about Mr Cheong other than he is a Hong Kong resident with experience in Chinese trade and property. If his bid is successful he plans to maintain Pacific Challenge's listing and invite existing members of the board to stay. Mr Cheong's offer follows a hostile bid by two directors of listed finance advisory Yu Ming Investment Management, which made a bid of one HK cent per share last week. Directors of Yu Ming promised they would pay out 90 per cent of Pacific Challenge's HK$203.4 million cash pile if their bid was successful. Earlier this week, Pacific Challenge described the Yu Ming directors' offer as 'incoherent' and urged shareholders to 'attach little credence to the proposal'. Pacific Challenge's financial adviser, Anglo Chinese Corporate Finance, has yet to decide on a response to Mr Cheong's offer, but Anglo Chinese director Stephen Clark said it was better structured than the first proposal. 'At least this time you can't really say this is incoherent or poorly structured - it is a fairly straightforward offer,' Mr Clark said. In February, Ms Chiang agreed to sell a 29.5 per cent stake in Pacific Challenge for HK$153 million to Zhang Mingyu. The transaction valued the shares at HK$1.81 each - more than five times the market value of the shares at the time. Ms Chiang and another shareholder planned to place a further 4.17 per cent stake with investors independent of Mr Zhang after which she would have held no shares in the firm. The deal is still pending completion. The proposed takeovers and sales have taken place amid a continuing legal action taken by the second-largest shareholder, Kistefos Investment, against Pacific Challenge and Ms Chiang. Kistefos alleges a series of transactions have been detrimental to its interest in Pacific Challenge and it is seeking that Pacific Challenge be wound up or the 21.78 per cent stake held by Kistefos be bought out at a price determined by the court. Kistefos last night declined to comment on the latest offer.