Leaf Clean Energy Company Update on Invenergy Judgement (5743L)
April 20 2018 - 2:00AM
UK Regulatory
TIDMLEAF
RNS Number : 5743L
Leaf Clean Energy Company
20 April 2018
This announcement contains inside information defined in Article
7 of the EU Market Abuse Regulation No 596/2014 and has been
announced in accordance with the Company's obligations under
Article 17 of that Regulation.
20 April 2018
Leaf Clean Energy Company
Update on Invenergy Judgement
On April 19, 2018, the Delaware Court of Chancery issued a
post-trial opinion with respect to certain claims asserted in Leaf
Invenergy Company, LLC v. Invenergy Wind LLC, C.A. No. 1830-VCL.
The trial court previously held Invenergy Wind LLC ("Invenergy")
had breached the parties' Third Amended and Restated Limited
Liability Company Agreement ("Operating Agreement") by engaging in
a defined "Material Partial Sale" without either obtaining Leaf's
consent or paying Leaf a contractually defined return on its
investment. In its post-trial opinion, the trial court held that
Leaf is only entitled to nominal damages of $1 as a result of
Invenergy's breach of the Operating Agreement. In addition, the
trial court rejected Invenergy's counterclaim seeking a declaration
that Leaf had breached certain provisions governing Leaf's ability
to put its shares, and Invenergy's ability to call those shares,
and ordered the parties to complete the put/call process in
accordance with the Operating Agreement.
On the basis of the put/call process Leaf's entitlement would be
$50.7 million. Recalculating the Company's unaudited Net Asset
Value per share at 31 December 2017 using $50.7 million as the
value of the Invenergy investment (and adjusting for certain
related liabilities) produces an NAV/share of 39.72 cents (28.17
pence per share at the current exchange rate).
Commenting on the post-trial opinion, Chairman Mark Lerdal
remarked that "I am extremely disappointed in the judgement. The
Board and our legal advisers are evaluating our options and will
revert to shareholders in due course."
For further information please contact:
Mark Lerdal +1 (415) 264-5096
Leaf Clean Energy Company
Nicholas Wells/Callum Davidson +44 (0) 207 397 8980
Cenkos Securities plc
This information is provided by RNS
The company news service from the London Stock Exchange
END
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