The London Court of Arbitration award confirms the proper exercise of call option by Arricano
In its judgement of 31 March 2015, the London Court of International Arbitration (LCIA) confirmed that Arricano real Estate plc had validly exercised a call option to buy Assofit Holdings Limited: Arricano deposited sufficient funds on third party accounts prior to 1 January 2015 as ordered by the LCIA judgement of 17 August 2014. These actions of Arricano served as an official confirmation of the intention and financial capacity to abide by LCIA ruling in the procedure of buying the majority stake in SkyMall SEC from Stockman Interhold affiliated to A.Adamovsky. Having accomplished its part of the agreement, Arricano expects Stockman Interhold to also abide by the court’s ruling, insofar as a handover of SkyMall shopping centre and its corporate ownership rights to an independent third party is concerned.
On 17 August 2014 the London Court of International Arbitration (LCIA) upheld the earlier decision in favour of Arricano in a dispute to exercise its call-option rights for SkyMall Shopping centre. The court reinstated Arricano’s right to exercise a call option to buy 50,03% stake of the holding company owning SkyMall in Kiev for USD 51,4 mln and on the conditions of the 2010 agreement.
Yarema Kovaliv, Board member of Arricano Real Estate plc: “The London Court of Arbitration, internationally recognised for its impartiality and integrity, has yet again substantiated Arricano’s rightness in the matter. The Arbitration’s decision was unequivocal – Arricano had validly exercised the call option, Arricano is fully entitled to become the sole shareholder of the Assofit company, and consequently, the sole proprietor of the SkyMall shopping centre.
Regretfully, the London court ruling does not suffice to resolve the conflict. The disputed property is located in Ukraine, and it is here that our opponents chose to act illegally: in September and December 2014 they resorted to a string of measure to “erode” the ownership structure of the property. We are determined in our intention to retrieve SkyMall, but only through legal procedures. In addition, we continue legal actions against Stockman on the subject of losses inflicted on our company in the period when it was operated by Stockman; we believe the losses to approximate USD 60 mln.
We also regret to admit that each victory by Arricano seems to put the company under more robust and - in our view, - unjustified pressure exerted by law enforcement agencies. To this end, we plead the country leaders, dear Mr President Petr Poroshenko, Mr Prime Minister Arseniy Yatsenuk, Prosecutor General Victor Shonkin, we ask you to guarantee that Arricano’s submission to the office of Prosecutor General is properly investigated and the company is treated without bias by the law enforcement agencies. The only thing that is needed for Ukraine to become a fully functional part of Europe is to ensure that the European system of justice is respected here and that no person can be exempt from the rule of law.