On 9 November 2017, Gadens issued an open class representative action on behalf of shareholders against Quintis Ltd ACN 092 200 854 (ASX:QIN) (Quintis) and its former managing director Frank Wilson (Wilson) (collectively, the Respondents). The action was filed in the Federal Court of Australia on behalf of lead plaintiff Excel Texel Pty Ltd ACN 082 642 742 (as trustee for the Mandex Family Trust) and joined at a later date by joint-lead plaintiff Mr Andrew John Wyma (the Excel Texel Class Action).
The claim seeks recovery from the Respondents following a dramatic reduction in share value in March 2017 from its peak of $1.47 to the current share price of $0.295 when information was released which contradicted earlier announcements made by Quintis and Wilson in connection with key supply agreements and performance forecasts. The Excel Texel Class Action claims on behalf of shareholders who purchased shares in Quintis from 1 July 2015 to 10 May 2017 (inclusive). The claim represents shareholders that have been most affected by the alleged misconduct and seeks to recover from the parties most at fault.
A separate class action has also been filed by Piper Alderman (the Davis Class Action) and shareholders were previously required to choose which of the two class actions they wished to participate in. This process closed at the end of 2019 and the Court required that we confirm the final list of group members following this. As such, the group members for the Excel Texel Class Action are now closed.
By way of general update:
• On 14 April 2020, a proposed settlement of the proceeding against Quintis Ltd under s 33V of the Federal Court of Australia Act 1976 (Cth) was filed. A notice was sent to registered group members in respect of the proposed settlement.
• This application was to be heard in May 2020, however due to separate proceedings issued against Quintis to request rectification of its insurance policies (the Rectification Claim), this hearing has been delayed until further notice.
• A decision in the Rectification Claim was delivered by Lee J on 28 January 2021 and on 6 April 2021 orders were made which rectified Quintis’ insurance policies to a certain extent. However, two of the insurers filed an appeal in relation to Lee J’s decision, which is to be heard on 13 and 14 September 2021.
• Following the outcome of the appeal of the Rectification Claim, we expect the s 33V application to be set down for a hearing.
• On 2 July 2021, we filed an Amended Originating Application and a Second Further Amended Statement of Claim – these documents can be accessed by way of the links below and set out the basis of the claim on behalf of the Excel Texel Class Action. The amendments arise after consideration of discovered and produced material and the finalisation of expert evidence.
• The Excel Texel Class Action has been provisionally listed for a six week hearing commencing 6 February 2023 before Lee J in the Federal Court and is to be heard jointly with the Davis Class Action.
All registered group members will be updated via email or mail-out. However, should you have any questions, please contact us at: email@example.com.