Cadogan Petroleum PLC - London-based oil and gas company operating in Ukraine - Says the Italian Arbitration committee deemed its unpaid loan agreement Proger Management & Partners both "valid and effective".
In March 2021, Cadogan agreed, at the request of Proger, to postpone a loan reimbursement. At the time, Cadogan said the reimbursement due was EUR14.9 million, including the interest accrued.
Cadogan provided Proger's parent company with a EUR13.4 million loan in February 2019 to subscribe to a capital increase in Proger. The agreement also provided an option to convert the loan into an anticipated indirect 22% equity interest in Proger, but Cadogan did not exercise this option prior to the loan maturity date.
"The company is currently analysing with its legal advisors the various aspects of the decisions," the company adds.
Current stock price: 2.50 pence
12-month change: down 30%
By Sophie Rose; sophierose@alliancenews.com
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Cadogan (CAD)