Volpi to Pay 60% of $600m Judgement Debt Awarded by LCIA, Says Oando…

Oando Plc yesterday clarified the judgement of the London Court of International Arbitration (LCIA), saying while it was true that Ansbury Investment Incorporated, owned by Mr. Gabriele Volpi, was awarded $680million as debt owed it by Ocean and Oil Development Partners (OODP) and Whitemore Asset Management Limited, the latter was liable for only $80m, redemption of which it said was being negotiated.

Ansbury’s counsel, Mr. Andrea Moja, had in a statement yesterday said the LCIA issued an award against two companies owned by the Chief Executive Officer of Oando Plc, Mr. Wale Tinubu, and his deputy, Mr. Mofe Boyo, to pay a total debt of US$680 million (N244.8 billion) to Ansbury Investments.

He said the court in its ruling on July 6, 2018 held that OODP, British Virgin Islands, which owns 55.96 per cent of Oando Plc through a holding company named Ocean and Oil Development Partners (OODP) Nigeria Limited, is indebted to Ansbury to the tune of US$600 million (equivalent of N216 billion), while Whitemore owed $80million.

But Oando in its clarification yesterday said Moja’s statement was misleading, pointing out that the implication of the judgement was that Volpi, a co-owner of OODP, would pay 60 per cent of the $600million judgement as his commensurate stake in the company.

“The amounts owed to Ansbury Investments Inc, owned by Mr. Gabriele Volpi, is in fact $80m by Whitmore Asset Management Limited, while the balance of $600m is owed by Ocean and Oil Development Partners (OODP) BVI,” Oando said, adding, “Ocean and Oil Development Partners (OODP) BVI Ltd, is owned by all three parties Wale Tinubu, Mofe Boyo and Gabriele Volpi, hence the judgement by the London Court of International Arbitration (LCIA) implies that Volpi as part owner of OODP BVI owes himself by virtue of his ownership in the company.”

It stated that OODP British Virgin Islands owned 99.99% of OODP Nigeria, which in turn owned 55.96% of Oando PLC.

The dispute between Volpi and the principals of Oando, according to the statement, had been on for over a year and had been a cause of concern for companies and individuals alike who looked for investments to grow their business via individuals in the form of equity or debt.

It explained that Volpi, a significant shareholder in OODP invested in the company during Oando’s acquisition of ConocoPhillips Nigeria assets, which it said at the time would have seemed like the investment of a lifetime.

The company stated, “Unfortunately shortly after, the price of oil crashed and saw many oil and gas companies fold. That Oando is still alive today is testament to its principals’ resilience and hard work.

“The assumption would be that against this backdrop Gabrielle Volpi would wait for OODP to start to reap the rewards of its investment however he has faced near financial ruin in his home country Italy and it seems is now by any means necessary trying to recoup his investments.

“Since the upturn in commodity prices, Oando has recorded 6 consecutive quarters of profits. The company kicked off 2018 on a positive note also, through continued restoration of value to its shareholders via profits in the first quarter of the year.