1 Mar 2012 11:54
For Immediate Release | 1 March 2012 |
Redhall Group plc
("Redhall" or the "Group")
VIVERGO
The latest adjudication between Vivergo Fuels Limited ("Vivergo") and Redhall Engineering Solutions Limited referred to in the AGM statement of 1 February 2012 was lost by Vivergo on all counts. In particular the Adjudicator determined that the method adopted by Vivergo to measure the work done was not in accordance with the contract and therefore not correct. It was anticipated that this ruling would determine an independent valuation of the works carried out by Redhall Engineering Solutions Limited on site. Unfortunately Vivergo refused to carry out a full re-measure as proposed by the Adjudicator which left him unable to make his assessment of value but he dismissed Vivergo's argument and awarded costs against them.
The Redhall Board remains confident of the eventual outcome of formal proceedings with Vivergo and in particular with the net balance sheet value of £8.3 million currently carried. Although the process is slower than the Group would like, it does not affect the running of the day to day business which continues to perform in line with market expectations.
For more information please contact:
Redhall Group plc David Jackson, Executive Chairman John O'Kane, Group Finance Director | Tel +44 (0)1924 385 386 |
Buchanan | Tel: +44 (0)20 7466 5000 |
Tim Anderson / Isabel Podda | |
Canaccord Genuity Limited Brokers Robert Finlay | Tel: +44 (0)20 7050 6500 |
Altium, Financial Advisers Phil Adams / Simon Lord / Paul Lines | Tel : +44 (0) 845 505 4343 |