STOCKHOLM, March 6, 2019 /PRNewswire/ --
Quant has reached an agreement with Oji Fibre Solutions (NZ) Limited to settle a dispute arising from a contract expiry in 2017. Under the terms of the agreement Quant New Zealand Limited will receive NZD 1.2 million (EUR 0.7 million) of contract termination redundancy cost and Oji Fibre Solutions (NZ) Limited revokes its NZD 8.4 million (EUR 5.1 million) claim on Quant New Zealand Limited.
During 2017 a maintenance contract between Oji Fibre Solutions (NZ) Limited ("Oji") and Quant New Zealand Limited ("Quant NZ") expired, which led to the redundancy of a large number of Quant NZ employees. Oji disputed part of the redundancy payments and withheld payment of NZD 2.7 million (EUR 1.6 million) of the total sum claimed by Quant NZ. In addition, Oji claimed NZD 8.4 million (EUR 5.1 million) as reimbursement of redundancy payments already made on the basis that redundancy cost should be for the account of Quant NZ.
Quant NZ and Oji have reached an agreement to settle the disputes. Under the terms of the agreement Quant NZ will receive NZD 1.2 million (EUR 0.7 million) for contract termination redundancy costs and Oji revokes its claim of NZD 8.4 million (EUR 5.1 million). The settlement will be completed during March 2019. The full settlement amount, net of legal expenses, will impact gross profit and cash flow for Quant during March 2019. The settlement will be recorded as a non-recurring item in Quant's profit and loss statement.
Quant AB (publ) is a global leader in industrial maintenance. For over 30 years, we have been realizing the full potential of maintenance for our customers. From embedding superior safety practices and building a true maintenance culture, to optimizing maintenance cost and improving plant performance, our people make the difference. We are passionate about maintenance and proud of ensuring we achieve our customers' goals in the most professional way. The group operates internationally in close to 30 countries world-wide, employing close to 3,000 people. The parent company is located in Stockholm, Sweden.
Quant AB (publ) is privately held by Nordic Capital since 2014. For additional information about the group, please visit www.quantservice.com.
This information is information that Quant is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 08:00 CET on 6 March 2019.
For further information, please contact:
Commercial, Investor Relations & Treasury: +46-708-410-796
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SOURCE Quant AB