Embattled mining firm Ferrexpo has delayed the release of its financial results as various legal action against it remains ongoing.
In a statement published yesterday, the iron ore pellet producer said it had taken the decision after taking legal advice on the potential proceedings against it in a Ukrainian court with regard to its subsidiary Ferrexpo Poltava Mining.
Adding that it “needed time” to finalise the results, the company confirmed that it will be providing updates on when the results may be expected in due course.
The Ukrainian court case, which is considering the application from LLC PCC “Kysen” to recover £44,641, scheduled for 12 March, has been postponed with no reschedule date in sight.
But the company said it was “continuing to explore options” to settle the Kysen debt or agree to an extension of payment terms.
The firm has been embroiled in a whirlwind of legal challenges in recent months.
The most significant of these is a £98m claim against one of Ferrexpo’s subsidiaries, Ferrexpo Poltava Mining (FPM), which remains active and relates to money that is said to be owed to an unnamed creditor by Kostyantyn Zhevago, a Ukrainian billionaire and former owner for Ferrexpo.
The claimant’s action alleges that Zhevago misappropriated funds from the now-liquidated Finances and Credit Bank, which he also owned.
Finances and Credit bank was founded in 1990 and by the size of assets it was considered one of the largest banks of Ukraine according to classification of National Bank of Ukraine.
Ferrexpo cancelled its dividend at the eleventh hour last month when the case did not reach settlement.
The company’s shares have fallen 60.3 per cent per cent in the last year and are down 6.3 per cent today.