REG-Quantum Blockchain Technologies Plc: Sipiem - First Court Settlement

Quantum Blockchain TechnologiesAnnouncement

16/05/2024 07:15

 16 May 2024

 

Quantum Blockchain Technologies Plc

(" QBT" or the "Company")

 

 

First Sipiem settlement and

Acquisition of 30% of the claims collection rights

 

The Company is pleased to announce that the first preliminary settlement has
been agreed between its wholly owned subsidiary, Clear Leisure 2017 Limited
("CL17"), and some of the Sipiem in Liquidazione S.r.l ("Sipiem") case
defendants.

 

Simultaneously, an agreement has been reached with Sipiem's receiver
("Receiver") to acquire its right to receive 30% of any sums collected, which
was a provision of the initial claim purchase agreement (as announced on 10
September 2019). As a result, all judgment debt and/or settlement funds
hereafter collected by CL17 will be entirely retained by it.  Under the terms
of the 2019 agreement, CL17 acquired the rights to certain claims against the
former Sipiem directors and members of the statutory audit committee from
Sipiem's liquidator, for €50,000 (of which €30,000 is being held in an
escrow account) plus 30% of any sums collected, net of legal and other costs
conditional on the ruling against the defendants.

 

In October 2022, the Venice Court ruled in favour of CL17 for a sum of
€6.275 million plus interest and inflation adjustment, to be paid by the
defendants (the "Judgment").

 

In February 2023, all defendants appealed the ruling and filed a request for
the collection actions by CL17 to be frozen until the outcome of the appeal. 
The application was approved in part by the Venice Court, with the exception
of the main defendant and one former director who continue to remain subject
to enforcement of the Judgment.

 

More recently, most of those Sipiem defendants who benefited from the February
2023 court order offered CL17 a settlement, subject to, among other things,
the Receiver's waiving pursuit of any possible civil and/or criminal claims
against them. Such settlement would involve an insurance provider for these
specific defendants

 

Following negotiations between CL17 and the Receiver regarding the proposed
settlement and the potential length of time to successfully conclude any
collection actions, the Receiver has agreed, with the approval of the Rovigo
Insolvency Court Judge in charge of the Sipiem bankruptcy case to sell to CL17
its rights reserved in the 2019 agreement, namely  30% of any sums collected
from the Sipiem matter, net of legal costs for a fixed amount of €170,000.

 

As a result, CL17 has agreed with these specific defendants currently
protected by the February 2023 court order to settle a portion of the judgment
awarded to CL17. The settlement is for a total cash consideration of
€700,000, to be paid in two installments, respectively within 20 and 30 days
from the execution of the preliminary settlement agreement completed on 29
April 2024.

 

The aforementioned €700,000 settlement further remains conditional upon the
approval by the Venice Court of Appeal. The interested parties have already
filed a joint application with that Court for this purpose.

 

In the event, however, that the Venice Court of Appeal does not set the
hearing date to approve the settlement before its ruling on the appeal before
it against the original Judgment, the preliminary agreement will be void.

 

 

The remaining value of the Judgment (provided the settlement is confirmed by
the Court) is approximately €5.575 million (plus interest and inflation
adjustment). CL17 continues its efforts to collect this amount from the
remaining main defendant and the other defendant not subject to the settlement
agreement.

 

Francesco Gardin, Executive Chairman of QBT, commented: "We are very happy
with the outcome of this double negotiation with the Defendants and the
Receiver, which allows us to cash in the first tangible result of the Sipiem
Litigation and now gives us the rights to all funds recovered, namely the
€700,000 of this agreement and the balance amounting to €5.575 million
plus interest and augmentation for inflation.

 

This provides us with an improved negotiating position regarding the
collection of the remaining amount due to us"

 

 

For further information please contact:

 

Quantum Blockchain Technologies Plc

Francesco Gardin, CEO and Executive Chairman  +39 335 296573

 

SP Angel Corporate Finance (Nominated Adviser & Broker)

Jeff Keating  +44 (0)20 3470 0470

Kasia Brzozowska

 

Leander (Financial PR)

Christian Taylor-Wilkinson  +44 (0) 7795 168 157

 

About Quantum Blockchain Technologies Plc

QBT (AIM: QBT) is an AIM listed investment company which has recently
realigned its strategic focus to technology related investments, with special
regard to Quantum computing, Blockchain, Cryptocurrencies and AI sectors. The
Company has commenced an aggressive R&D and investment programme in the
dynamic world of Blockchain Technology, which includes cryptocurrency mining
and other advanced blockchain applications.



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