Tencent Technology News, LeTV.com: Received the “Arbitration Application” from LeTV Sports. The arbitration amount is about 240 million yuan. For example, each new investor in A+ and B rounds has filed an arbitration application with the listed company. Le Interactive and Beijing Pengyi may jointly undertake repurchase responsibilities within approximately 11 billion yuan.
The following is an announcement
LeTV Information Technology (Beijing) Co., Ltd.
Announcement on matters involving litigation (arbitration) of the company
1. LeTV Sports introduced investors in April 2016 and signed the “B-round Shareholders Agreement” and “B-round Financing Agreement”. More than 40 new investors increased their capital in the form of cash and debt-to-equity swaps, with a total investment of 7.833 billion. yuan. The "B-round Shareholders' Agreement" sets out the repurchase terms of the original shareholders (cum LeTV, Lele Interactive Sports Culture Development (Beijing) Co., Ltd., Beijing Pengyi Asset Management Center (Limited Partnership)).
The company recently received the “Arbitration Application”. The applicant is the newly added investor Beijing Pusi, Xiamen Jiayu and Tianhong Innovation, and applied for the arbitration amount (including legal fees, notary fees, etc.) to the original shareholders. About 240 million yuan.
2. In LeTV sports cases, for example, new investors in A+ and B rounds filed arbitration applications against listed companies. According to preliminary calculations by listed companies, listed companies, Lele Interactive and Beijing Pengyi may jointly undertake about 11 billion yuan. Within the repurchase responsibility, this result is only expected within the company, and the final result is subject to the judgment of the judicial committee such as the Arbitration Commission or the court.
3. The listed company will retain the right to continue to pursue and sue the relevant responsible persons and related enterprises in the non-listing system in accordance with the responsibilities and liabilities that may result in the repurchase and litigation compensation that the listed company may bear.