Starcom PLC Litigation Update (0501O)

TIDMSTAR

RNS Number : 0501O

Starcom PLC

30 September 2019

30 September 2019

Starcom plc

("Starcom" or "the Company")

Litigation Update

The Company announces an update on the suit which was filed by Top-Alpha Capital Ltd. ("Top Alpha") against Avi Hartmann (Chief Executive Officer), Doron Kedem (former Chief Operating Officer) and the Company and its subsidiary companies (the "Starcom Group") as originally announced on 3 December 2014.

In the Company's annual report and accounts for the year ended 31 December 2016, the Company updated that the claim by Top Alpha had been restricted to Avi Hartmann, Doron Kedem and a subsidiary of the Company, Starcom Systems Limited. The Company further notified that, in the event of a claim being successful it was not expected to exceed a total of approximately $180,000 (based on exchange rates at that time) and, in any event, Mr Hartmaan and Mr Kedem have agreed to bear the cost of any such claim, so no such liability fell upon the Company.

On 25 September 2019, the Company was notified that, on 19 September 2019, the Tel Aviv District Court issued a judgment against Mr Hartmann and Mr Kedem in the amount of 677,000 shekels (approximately $194,000) in total. No judgement has been made against either the Company or any of its subsidiaries in respect of the claim. Whilst it is the intention of the defendants to lodge an appeal against this decision, this judgement means that there is no liability to the Starcom Group in respect of Top Alpha's claim.

-ends-

For further information please contact:

 
 Starcom Plc 
  Michael Rosenberg, Chairman                       07785 727595 
  Avi Hartmann, CEO                                 [phone] 
 Allenby Capital Limited (Nominated Adviser 
  and Joint Broker) 
  James Reeve/Jeremy Porter/Asha Chotai           020 3328 5656 
 Peterhouse Capital Limited (Joint Broker) 
  Lucy Williams/Charles Goodfellow/Eran Zucker    020 7469 0930 
 Leander PR (Financial PR) 
  Christian Taylor-Wilkinson                      07795 168 157 
 

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September 30, 2019 02:02 ET (06:02 GMT)