NAC Kazatomprom JSC informs that on March 29, 2017, the US based Westinghouse Electric Company LLC (affiliated company of the Japanese corporation Toshiba Corporation) and a number of its foreign and domestic affiliates (the “Westinghouse Group”) filed petitions for reorganization under Chapter 11 of the US Bankruptcy Code in the US Bankruptcy Court for the Southern District of New York to address financial challenges in several of its power plant projects.
The acquisition of WEC’s shares from Toshiba Corporation was executed with the right to a put option agreement in respect to acquired shares, under the terms of which, NAC Kazatomprom JSC has the right to sell its shares back to Toshiba Corporation at a fixed price proportionate to the initial investments.
Therefore, pursuant to the terms set in the put option agreement with Toshiba Corporation, once exercised, NAC Kazatomprom JSC is contractually entitled to receive the originally invested amount.
The reorganization of Westinghouse Electric Company LLC will not have any negative impact on the financial performance of NAC Kazatomprom JSC.