(Alliance News) - Fenikso Ltd on Wednesday said it has completed its settlement agreements with Lekoil Nigeria Ltd and Olalekan Akinyanmi, the former chief executive of the company.
Fenikso is a Cayman Islands-based litigation asset company with an investment in oil & gas assets in Nigeria. It was previously known as Lekoil Ltd; the name change was approved at the end of December.
In December, Fenikso agreed to end all legal proceedings against each other and settle all claims with Lekoil Nigeria.
Under the settlement, the two companies agreed to surrender all shares in each other.
Fenikso agreed to waive all rights to repayment of debts owed by Lekoil Nigeria and Olalekan Akinyanmi, the former CEO of Fenikso.
It also said it will will grant a new loan of USD51.9 million to Lekoil Oil & Gas Investments Ltd in consideration for the transfer to LOGI of loans made to Lekoil Nigeria, the release of security related to those loans, and the waiver of any repayment due for the loans.
The company also agreed to change its name to Fenikso and stop using the Lekoil name or brand.
On Wednesday, Fenikso said that Lekoil Nigeria has not surrendered its 107.7 million shares in the company, which were due to be surrendered due to to technical reasons.
The company noted that it has therefore agreed to extend the period for the shares to be surrendered until no later than Tuesday.
Fenikso also said that Guy Oxnard, Dipo Sofola and Adeoye Adefulu have stepped down as directors. Meanwhile, Thomas Richardson has been appointed as interim chair, with Marco D'Attanasio and Pade Durotoye remaining as non-executive directors.
The company expects to announce its revised strategy following completion.
Richardson said: "We are pleased to have closed the transactions with Lekoil Nigeria and Savannah with the support of the company's shareholders. We will now seek to stabilise the company's financial position. We will also seek to engage with our shareholders about the preferred options to realise the value of the company's assets and cash flow stream going forward."
By Sophie Rose, Alliance News reporter
Comments and questions to newsroom@alliancenews.com
Copyright 2023 Alliance News Ltd. All Rights Reserved.