Aqua Bio Technology: Positive decision in legal dispute in Sweden

After a long dispute between Aqua Bio Technology and a Swedish customer, the District Court of Helsingborg, Sweden ruled that ABT violated a delivery commitment in 2015. However, the customer’s claim of a NOK 12.2 million compensation has been rejected by the court.

The Swedish company Zona Nordic filed a legal complaint against Aqua Bio Technology in 2018, arguing that ABT had failed to deliver an agreed volume of the ingredient Zonase for use in Zona Nordic’s skincare products (reference is made to ABT’ announcement 18.06.2018). Zona Nordic demanded a NOK 12.2 million compensation, claiming that this was the market value of the ingredient volume not delivered. ABT rejected the claim, arguing that obligations towards Zona Nordic had been met and that the claim was without merit.

The Helsingborg District Court today ruled that Aqua Bio Technology did violate its commitment in 2015, however the court found the NOK 12.2 million compensation demand without basis. The court set the compensation to approximately NOK 350,00 representing the agreed book value of the obligation to deliver the ingredient.

The court found that Zona Nordic’s claim for compensation was unreasonably high as it was clear that the company failed to prove losses at the claimed level. The court also found that Zona Nordic would have been unable to make use of the disputed ingredient volume, had it been delivered.

Zona Nordic still may sell and distribute Zonase in two brands outside of the Nordic Countries, and the court therefore found that Zona Nordic AB shall compensate ABT for appr. 50 per cent of ABT’s legal costs, representing a payment to ABT of approximately NOK 600,000.

For further information, please contact Mr Edvard Cock, Chairman of Aqua Bio Technology ASA, telephone  004.

This information is subject to the disclosure requirements pursuant to Section 5-12 of the Norwegian Securities Trading Act.