NEW YORK, June 18, 2014 /PRNewswire/ -- Ironridge Global IV, Ltd., an institutional investor in micro-cap public companies, obtained a published legal decision in favor of Ironridge by the United States District Court, Southern District of New York, which is available for review here. The official legal citation for the published opinion against NewLead Holdings Ltd. (NEWL) is NewLead Holdings Ltd. v. Ironridge Global IV Ltd., 14CV3945, 2014 WL 2619588 (S.D.N.Y. June 11, 2014).
In ruling in favor of Ironridge, the Federal Court explained: "As noted, Ironridge agreed to accept cash instead of shares. But NewLead has refused to pay the cash." Due to NewLead's wrongful failure to pay its debts when due, the court allowed Ironridge to, "resort to self-help and instruct the transfer agent to deliver shares if NewLead does not pay." See 2014 WL 2619588 at *8.
In the order, U.S. District Judge William H. Pauley III also expressly found that Ironridge has never engaged in short selling, that Ironridge never manipulated NewLead's stock, and that Ironridge has no undisclosed brokerage relationships. See 2014 WL 2619588 at *7.
The court ruled in favor of Ironridge Global on every single issue before it. The published legal opinion represents a complete vindication of Ironridge, and a total loss for NewLead. Ironridge will continue to fully live up to all of its obligations under the agreement.
Ironridge is represented by the law firm of Skadden, Arps, Slate, Meagher & Flom LLP.
About Ironridge Global
Ironridge Global IV, Ltd. is an institutional investor, making direct equity investments in micro-cap public companies. Ironridge is a British Virgin Islands business company that is a wholly-owned subsidiary of Ironridge Global Partners, LLC. The fund has entered into more than 60 equity financing transactions in the last three years, ranging from a quarter to $25 million each. Ironridge seeks to be a long-term financial partner, assisting public companies in financing growth and expansion by supplying innovative funding solutions and flexible capital. For more information please visit http://www.ironridgeglobal.com.
SOURCE Ironridge Global IV, Ltd.