KUALA LUMPUR: Hibiscus Petroleum Bhd's wholly-owned unit Gulf Hibiscus Ltd (GHL) has filed a writ of summons to claim compensation against Lime Petroleum Norway AS (Lime Norway) and its three directors for financial losses suffered following the restructuring undertaken by Lime Norway.
The three directors of Lime Norway are Hans Ove Leonard Lidgren, Svein Helge Kjellesvik and Ivar Aarseth.
The suit was filed at the Oslo District Court on Oct 11.
"The company and its subsidiaries fully reserve all their rights," Hibiscus said in a filing with the stock exchange.
GHL had, in 2016, claimed for US$35 million (RM136.4 million) in compensation from Lime Norway for financial losses suffered by GHL.
To recap, Hibiscus bought a 35 per cent stake in Lime Petroleum Plc (Lime Plc) for US$55 million in 2012 as its maiden acquisition to become a full-fledged listed company from a special-purpose acquisition company.
Previously, Lime Petroleum had undergone a restructuring exercise, comprising a reduction in share capital by cancelling 900,000 shares held by Rex International Investments Pte Ltd.
The 77.4 million Norwegian kroner (RM36 million) arising from the cancelling of shares were paid through a selective capital repayment to Rex, which Hibiscus said gave 'Rex an unreasonable benefit at the expense of Lime plc'.
The share capital of Lime Petroleum was then reduced to 2.92 million Norwegian kroner from 251.12 million Norwegian kroner by a reduction in nominal value of its shares.
Lime Petroleum then issued 77.4 million new shares to Rex for one Norwegian krone per share, which was satisfied by the capital repayment.
As a result of the exercise, Hibiscus said Rex had acquired an additional 70.3 per cent stake, increasing its holdings to 96.5 per cent from 26.2 per cent previously, without any additional payment to Lime Petroleum.
The dilution of interest in Lime Norway had partly affected Hibiscus's financial performance.
As a result, Hibiscus' loss widened to RM164.17 million for the second quarter ended December 2015 from RM10.66 million, a year ago.