27th Sep 2022 12:55
(Alliance News) - Instem PLC on Tuesday said it has agreed on a EUR1.5 million settlement agreement, following a court hearing in Germany.
Shares in the life science software firm were down 8.3% to 610.00 pence each in London on Tuesday afternoon.
Instem said that the German court hearing was in respect of a one-off, historical contractual licence dispute dating back to 2017 with a former customer.
The company has agreed to pay a EUR1.5 million settlement, of which its insurer has agreed to contribute EUR450,000.
"It was a negotiated settlement with the customer and is not an admission of fault on Instem's behalf," Instem explained.
The company added that it had previously created a GBP250,000 provision for the dispute, and therefore the net charge to Instem's financial year 2022 profit and loss be around GBP640,000. This will be accounted as a non-recurring, exceptional item.
Instem noted that that the dispute has no impact on current operations.
By Sophie Rose; [email protected]
Copyright 2022 Alliance News Limited. All Rights Reserved.
Related Shares:
INS.L