LONDON (Alliance News) - Digital music firm 7digital Group PLC said on Friday it has reached a settlement with Media-Saturn Holding GmbH.
7digital shares were 40% higher on Friday at a price of 1.30 pence each.
The case relates to Media-Saturn subsidiary Juke Entertainment GmbH's music service, with Media-Saturn having indicated it wants to change the arrangements.
7digital has accepted settlement and release from all contracts and commitments for the music service for a payment by EUR4.0 million by Juke.
Juke also agreed to write off all interest payments and EUR250,000 of the principal of a convertible loan note 7digital issued to Juke, though the latter will pay GBP500,000 of the outstanding amount.
7digital will, it added, "use its best endeavours" to ensure an orderly sale of Media-Saturn's interest in 7digital, standing around 12%.
