Business
Proposed settlement of litigation and name change
Proposed settlement of litigation and name change.
About this update from Fenikso Ltd
[{"type":"text","content":"\n \n \n \n Lekoil Limited\n \n \n \n \n Proposed settlement of litigation and name change\n \n \n \n 7 December 2022: LEKOIL (AQSE: LEK) (the \"Company\"), the Cayman Islands litigation asset company with an investment in oil & gas assets in Nigeria, announces that\n it has reached agreement with, among others, Lekoil Nigeria Limited and Olalekan Akinyanmi, the former CEO of the Company, to terminate all legal proceedings and settle all claims made by or between the relevant participants.\n \n \n \n Summary\n \n \n \n As previously announced, certain disputes have arisen between, among others, the Company, Lekoil Nigeria Limited (\"Lekoil Nigeria\") and Mr Akinyanmi concerning the management of the Company, Lekoil Nigeria and related entities and the related proprietary interests, liabilities and contractual and non-contractual rights and obligations of the Company, Lekoil Nigeria and Mr Akinyanmi (as relevant). In order to resolve these differences, and with no admission of liability, the Company, Lekoil Nigeria and Mr Akinyanmi, among others, have entered into a settlement deed on 7 December 2022 (the \"Deed\") to agree to, among other things, the release and discharge of all relevant claims, the withdrawal of legal proceedings, surrenders of certain shares and other transactions, a new framework for their future relationship and fully and finally to resolve their differences, dispose of ongoing litigation and agree certain ancillary matters (the \"LNL Arrangements\").\n \n \n The LNL Arrangements include:\n \n \n ·\n the Company agreeing to surrender all of its shares in Lekoil Nigeria and transfer those of its subsidiaries involved in the operations of the Lekoil Nigeria group to Lekoil Nigeria;\n \n ·\n Lekoil Nigeria agreeing to surrender all of its ordinary shares in the Company;\n \n \n ·\n the Company waiving all rights to repayment in respect of any and all existing indebtedness due from Lekoil Nigeria, its subsidiaries or from Mr Akinyanmi under various loans;\n \n \n ·\n the Company granting a new loan of approximately US$51.9 million to Lekoil Oil and Gas Investments Limited (\"LOGI\") (the \"LOGI Loan\") in consideration for the transfer of certain loans granted to Lekoil Nigeria and its related entities to LOGI, the release of security related to such loans and the waiver of any repayment of amounts due...