Formal claims of c.US$10m lodged against Lonrho

RNS Number : 1686M
Cambria Africa PLC
14 July 2014
 



14 July 2014

Cambria Africa plc
("Cambria" or the "Company")

Cambria issues formal claims totalling approximately US$ 10 million against Lonrho Ltd

Cambria Africa plc, the Southern Africa focussed investment company, announces it has launched legal proceedings in the High Court against Lonrho ltd ("Lonrho"). The particulars of the proceedings, inter alia, state that Cambria:

 

·    seeks to rescind the settlement agreement previously reached  with Lonrho, as announced on 22 July 2013, resulting from alleged fraudulent misrepresentations by or on behalf of Lonrho Ltd  during the settlement negotiations;

·    claims in relation to monies which are alleged by Cambria to have been unlawfully transferred by Lonrho for the benefit for one of their subsidiaries whilst Lonrho were managing Cambria in 2008; and, 

·    claims for US$ 8.8 million related to three aircraft previously owned by Cambria, which were leased to then subsidiaries of Lonrho.  These alleged claims include (i) fraudulent misrepresentations by Lonrho to Cambria relating to the purchase of one of the aircraft by Cambria from Lonrho; (ii) breaches of contract, negligence and breaches of fiduciary duty resulting in (a) unpaid maintenance reserve and lease charges; (b) diversion of insurance claims proceeds by Lonrho to one of its subsidiaries which were properly due to Cambria; and, (c) loss of value of the aircraft due to the poor condition of the aircraft when they were repossessed by Cambria, including, but not limited to, missing engines, missing avionics, and missing propellers.

 

Cambria and its advisors are continuing to make further investigations into other possible instances of Lonrho's mismanagement of Cambria.

 

Cambria will update the market  of any material updates to the above proceedings.

 

 

Contacts




Cambria Africa Plc

www.cambriaafrica.com

Ian Perkins

+44 (0) 796 4908 951

Edzo Wisman

+44 (0) 796 4908 950



WH Ireland Limited

www.wh-ireland.co.uk

James Joyce / Nick Field

+44 (0) 207 220 1666



Peterhouse Corporate Finance Limited

www.pcorpfin.com

Charles Goodfellow / Duncan Vasey

+44 (0) 207 220 9791

 

FTI Consulting

www.fticonsulting.com

Edward Westropp / Adam Cubbage

+44 (0) 203 727 1521

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
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