update from court case25 Jul 2017 08:16
All
I hope all is well.
A quick update for you. Capital Law have heard back from Counsel and the view is broadly positive, such that it appears that we do have a potential cause of action against the Nomad; so that is clearly good news.
Capital have done some number crunching at their end and have consulted the financial backers behind their fund. The economics are currently quite difficult given the deductions that will have to be made for administration costs, success fees, funding costs and after-the-event insurance. We have 80+ investors and the cost of running a multi-party action for the total potential losses involved is really quite high.
We believe that the best solution would be to find an institutional investor who can join an initial action with three of the largest individual investors (whom I have been in dialogue with separately), and we then follow on with a separate (and differently structured) multi-party action once the first case has (hopefully) concluded successfully. I have identified an institutional investor from the RNSs released which relate to significant holdings, and have asked them for a call to see how much they invested and if they would be prepared to join the action. I await a response.
Just to reassure you, there are other options if it doesn't work with Capital's fund, but this remains the quickest and simplest solution. If necessary, I do have access to a range of other funding options which could also work but let's see first if the institutional investor is prepared to join us.
Apologies again for not being able to enter into dialogue on an individual basis but I will endeavour to answer any questions you might have through these group emails.
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