Innofactor's Lumagate trial concluded

Translation: Original comment published in Finnish on 07/04/2024 at 7:17 am EEST

Innofactor announced that the arbitration tribunal has awarded the case for the benefit of the defendant in the Lumagate acquisition. As a result, Innfoactor will not receive the previously awarded damages of 2.3 MEUR in full. The company’s distribution share shall be around 1.0 MEUR at the maximum.  In addition, Innofactor will bear its own trial costs of approximately EUR 309,000, the opposing party’s costs of approximately EUR 310,000 and the costs for the arbitration, EUR 166,150.  In other words, the total expenses amount to approximately EUR 785,000. We believe that Innofactor will receive at least 5 MSEK (EUR ~441,000) from the bankruptcy estate. In our forecasts, we had previously estimated that the net amount received by Innofactor would be zero. Based on the announcement, it is difficult to estimate how much Innofactor could eventually receive from the bankruptcy estate, but as a whole, the release is not very dramatic relative to our forecasts.