Pyne Gould Corp has reached a confidential deal with Australia's Wilaci over late payment fees, which it says will be smaller than the 20.5 million British pound cost of its Supreme Court-ordered payout.
NZX-listed, Guernsey, UK-based Pyne Gould posted a loss of 17.1 million pounds in the year ended June 30, from a profit of 6.5 million pounds in 2016, due to recognising the "abnormal expense" of the payment to Australian businessman John Gill's Wilaci, which the Supreme Court confirmed in July when it denied leave to appeal an earlier ruling by the Court of Appeal.
Managing director George Kerr today said the deal "is for less than the amount provisioned in PGC's 2017 annual report, which will have a positive impact on PGC shareholder equity."
"It is not yet possible to quantify the overall impact due to Torchlight Fund LP also incurring ongoing litigation expenses in respect of the Cayman litigation," the company said. "The impact will be reflected in Pyne Gould Corporation's next half year report."
The settlement will be expensed via Torchlight Fund LP, which is consolidated by Pyne Gould, it said.