Namibia High Court: Riskowitz Trustco Shares Frozen Until November 20

• The Namibian High Court extended an order freezing 200 million Trustco Group Holdings shares linked to Riskowitz Value Fund LP until November 20.
• The freeze relates to an ongoing dispute over a N$468-million transaction.
• Riskowitz Value Fund LP, a US-based entity, has unconditionally submitted to the jurisdiction of the Namibian High Court.
• Trustco informed the Namibian Securities Exchange (NSX) about the extension on Friday, following the court's decision on November 5.

The court order explicitly states that Riskowitz has "unconditionally and irrevocably submitted to the jurisdiction of this court," a crucial detail for a foreign entity involved in a local financial disagreement.

The High Court in Namibia has prolonged an order that prevents the trading of 200 million Trustco Group Holdings shares, which are associated with the United States-based Riskowitz Value Fund LP. This extension, which was granted on November 5, maintains the freeze until November 20, as the legal contention surrounding a N$468-million transaction persists between the parties.

This development follows a request made by Riskowitz, and both the investment fund and Trustco reached an agreement on the extension. The initial freezing order was previously issued, and this latest court action ensures the shares remain inaccessible for a further period while the underlying dispute continues to be addressed.

A significant aspect of the High Court's recent ruling is the confirmation that Riskowitz Value Fund LP has consented to have the entire dispute adjudicated within Namibia. The court order explicitly states that Riskowitz has "unconditionally and irrevocably submitted to the jurisdiction of this court," a crucial detail for a foreign entity involved in a local financial disagreement.

This submission to Namibia High Court jurisdiction underscores the potential for domestic courts to assert authority over international investment vehicles when disputes involve assets or transactions within their borders. It highlights the critical importance of jurisdictional clauses in cross-border investment agreements, particularly for entities listed on local exchanges like Trustco.

Trustco Group Holdings promptly informed the Namibian Securities Exchange (NSX) on Friday about the High Court's decision to extend the freeze on the shares. This disclosure ensures market transparency regarding the ongoing Riskowitz Trustco shares frozen Namibia situation, which directly impacts a substantial portion of the company's stock.

The continued freeze on these shares is a direct consequence of the unresolved Riskowitz Value Fund LP dispute concerning the N$468-million transaction Trustco is involved in. The extension signals that the resolution process for this significant financial and legal matter is still underway, with implications for both parties and the broader market.

This case highlights the critical importance of jurisdictional clauses in cross-border investment agreements and the potential for Namibian courts to assert jurisdiction over foreign entities in disputes involving local assets. Lawyers should advise clients on the enforceability of such orders and the implications for shareholding and transaction completion when dealing with NSX-listed entities.

Source: Original reporting via The Namibian