Liquidation Update
The Liquidator is currently administering the Court-approved claims process, the purpose of which was to solicit claims against Novelion and its directors and officers. Written notice of the commencement of the Liquidation and the claims process to all known creditors of Novelion was published in major newspapers in
A total of 12 claims having an aggregate value of
Novelion Assets and Amryt Shares
As announced on
As previously announced on
The custodian holding the ADRs confirms that Novelion currently holds ADRs representing approximately 12.49 million ordinary shares of Amryt.
In addition, Novelion holds certain limited royalty interests and equity interests in subsidiaries that carry on no active business and, aside from cash in an amount not exceeding
Registered shareholders on the Company's stock transfer books ('Registered Holders') as of the Effective Date will be entitled to a pro-rata share of any distribution to shareholders in the Liquidation. The Liquidator will distribute any remaining Amryt Equity (which is publicly traded and subject to volatility), or net proceeds therefrom, and any remaining cash assets to Registered Holders of the Company's shares in connection with the completion of the Liquidation process. The Liquidator continues to expect that the liquidation distribution will consist almost entirely of the Amryt Equity or net proceeds therefrom, net of any sales of the Amryt Equity that are necessary to fund the Company's liabilities and cover the expenses of the Liquidation.
The Liquidator continues to believe that it will be able to complete distributions in the fourth quarter of 2020, subject to the resolution of claims and other ongoing administrative matters including the finalization of tax returns and related matters in
Cautionary Information Regarding the Company's Securities
As of the Effective Date, the Company's transfer agent closed the Company's stock transfer books and discontinued recording transfers, and Registered Holders are no longer able to transfer record ownership of their shares. Any distributions made in the Liquidation will be made only to Registered Holders as of the Effective Date, and beneficial holders of common shares will be entitled to receive any distributions only through and from the applicable Registered Holder of their shares. Shareholders whose shares in Novelion are held in a brokerage firm or with a securities dealer, trust company, bank or another similar organization, are encouraged to reach out to their broker, dealer, trust, bank or other agent with any questions relating to the processes or requirements for receiving any such distributions if and when they are made.
The Company believes, but cannot assure, that trading in the Company's common shares was suspended or otherwise ceased as of the Effective Date or shortly thereafter. The Company cautions that investors who seek to trade in Novelion common shares or other securities after the Effective Date (to the extent such trading is available), including on any secondary markets, do so at substantial risk to their investment.
The Company continues to caution that trading in the Company's securities (to the extent such trading is available) remains highly speculative and poses substantial risks. Trading prices for the Company's securities may bear little or no relationship to the actual value realized, if any, by holders of the Company's securities. Accordingly, the Company urges extreme caution with respect to existing and future investments in its securities.
Forward-Looking Statements
Certain statements in this press release constitute 'forward-looking statements' and 'forward-looking information' within the meaning of applicable laws and regulations, including
Such risks and uncertainties include, among others, the impact of any determinations of the Court and the actions of the Liquidator undertaken as part of the Liquidation, the possibility that there could be claims or actions that result from the claims process conducted as part of the Liquidation or otherwise, the possibility that such claims and actions could be costly to defend and could have negative outcomes, the possibility that actual expenses and claims that result from the Liquidation will be greater than anticipated, and the potential impact of any volatility in the market price of the shares of Amryt Equity held by the Company, any or all of which could materially reduce the availability of assets available for distribution to shareholders, as well as those risks identified in Novelion's filings with the
Novelion cautions investors and others not to place undue reliance on any forward-looking statements, which speak only as of the date they are made. Except as required by law, Novelion undertakes no obligation to update or revise the information contained in this press release, whether as a result of new information, future events or circumstances or otherwise.
Contact:
Email: nvirmani@alvarezandmarsal.com
Web: www.alvarezandmarsal.com/novelion
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