Polo Resources Investee Celamin Raises Funds To Cover Court Expenses (ALLISS)
LONDON (Alliance News) - Polo Resources Ltd on Wednesday said investee company Celamin Holdings NL has raised funds to cover costs associated with legal procedures against its joint venture partner.
The multi-sector investment company said Celamin raised AUD1.6 million through the second tranche of its placement.
The investee company intends to use funds to pursue enforcement of the final arbitration award for recovery of its interest in the Chaketma phosphate project and other legal actions in Tunisia and for general working capital purposes.
Celamin is litigating to recover a 51% holding in Chaketma Phosphates SA, which it claims was fraudulently transferred to its joint venture partner Tunisia Mining Services. Polo Resources has a 33% interest in Celamin.
In early December, Celamin secured a favourable ruling saying a controlling stake in the Tunisian project be returned and damages in excess of USD4.0 million be paid to it.
Celamin said it did not get the stake back and thus applied for enforcement to the Tunisian Court of Appeal lodged in March.
Meanwhile, Celamin said it is continuing with various other legal actions in Tunisia including criminal proceedings and debt recovery action.
Shares in Polo Resources closed down 4.2% at 4.10 pence per share on Wednesday.
By Evelina Grecenko