EGM Update: Potential Claim
January 14 2009 - 2:00AM
UK Regulatory
TIDMKEF
RNS Number : 5918L
KSK Emerging India Energy Fund Ltd
14 January 2009
Not for release, publication or distribution in, or into, the United States,
Canada, Australia, Japan, Israel, the Republic of Ireland or the Republic of
South Africa.
+------------------------------------+------------------------------------+
| Press Release | 14 January 2009 |
+------------------------------------+------------------------------------+
KSK Emerging India Energy Fund Limited
("KEF" or "the Company")
EGM Update: Potential Claim
Following the Company's announcement on 23 December 2008 regarding proposals to
be put to shareholders at an EGM on 22 January 2009, KSK Asset Management
Services Private Limited ("KSKAM"), the Company's investment manager, has
clarified its position to the Board.
KSKAM has confirmed that it remains committed to the continued success of the
Company. However, should the resolution to liquidate the company be passed by
shareholders at the EGM, and the investment management agreement terminates,
KSKAM has confirmed it intends to claim compensation of not less than GBP10
million, which KSKAM states is the value of management fees receivable by it for
the 5 year initial term of that agreement.
The Board has taken legal advice as to the merits of KSKAM's potential claim and
has been advised that this claim, if made, would be without merit.
Notwithstanding this, the Board understands that the proposed liquidators, if
they are appointed, may be obliged to hold back cash to satisfy the full amount
of any such potential claim until such time as the claim has been dealt with.
Therefore, a decision to liquidate the Company is likely to affect the estimated
timing of cash to be returned to shareholders as stated in the Company's
circular of 22 December 2008 ("Circular"). In addition, the costs incurred by
the proposed liquidators in dealing with this potential claim would have some
impact on the amount of cash estimated to be returned to shareholders.
In the Circular, the Directors stated that they anticipated that the proposed
liquidators would distribute approximately 90 pence per share within a period of
six weeks following their appointment. As a result of the potential claim by
the investment manager referred to above, the Directors anticipate that the
proposed liquidators would actually distribute approximately 80 pence per share
within six weeks following their appointment, and the balance upon settlement of
all liabilities and realisation of invested assets
- ENDS -
For further information:
+-------------------------------------------------+------------------------+
| KSK Emerging India Energy Fund Limited | |
+-------------------------------------------------+------------------------+
| Michael Liston, Chairman | Tel: +44 (0) 20 7398 |
| | 7715 |
+-------------------------------------------------+------------------------+
| | www.ksk-eiefund.com |
+-------------------------------------------------+------------------------+
+-------------------------------------------------+------------------------+
| Liberum Capital Limited | |
| (Financial Adviser and Broker) | |
+-------------------------------------------------+------------------------+
| Steve Pearce | Tel: +44 (0) 20 3100 |
| | 2224 |
+-------------------------------------------------+------------------------+
| steve.pearce@liberumcapital.com | www.liberumcapital.com |
+-------------------------------------------------+------------------------+
+-------------------------------------------------+------------------------+
| Grant Thornton UK LLP | |
| (Nominated Adviser) | |
+-------------------------------------------------+------------------------+
| Philip Secrett | Tel: +44 (0) 20 7728 |
| | 2578 |
+-------------------------------------------------+------------------------+
| philip.j.secrett@gtuk.com | www.gtuk.com |
+-------------------------------------------------+------------------------+
Media enquiries:
+-------------------------------------------------+------------------------+
| Abchurch Communications Limited | |
+-------------------------------------------------+------------------------+
| Nick Probert / Henry Harrison-Topham | Tel: +44 (0) 20 7398 |
| | 7715 |
+-------------------------------------------------+------------------------+
| nick.probert@abchurch-group.com | www.abchurch-group.com |
+-------------------------------------------------+------------------------+
Disclaimer
This press release is not for distribution (directly or indirectly) in or to the
United States, Canada, Australia, Japan, Israel, the Republic of Ireland or the
Republic of South Africa or any other jurisdiction in which the same would be
unlawful. This press release is not an offer of securities for sale in or into
the United States, Canada, Australia, Japan, Israel, the Republic of Ireland or
the Republic of South Africa. This press release does not constitute or form
part of any offer or invitation to sell or issue, or any solicitation of any
offer to purchase or subscribe for, any Ordinary Shares of the Fund.
The Company is a Registered Closed-ended Investment Fund pursuant to the
framework introduced by the guidance document issued by the Guernsey Financial
Services Commission (the "GFSC") dated February 2007. Shares may not be offered
directly to the public within Guernsey, such public being defined in the
Guidance Document as being any person not regulated under any of Guernsey's
financial services regulatory laws. Neither the GFSC nor the States of Guernsey
Policy Council take any responsibility for the financial soundness of the
Company or for the correctness of any of the statements made or opinions
expressed with regard to it.
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCZGGMMRFDGLZM
Ksk Emerg. (LSE:KEF)
Historical Stock Chart
From Jun 2024 to Jul 2024
Ksk Emerg. (LSE:KEF)
Historical Stock Chart
From Jul 2023 to Jul 2024