YPB Group (ASX:YPB) gets $250k cash boost following legal settlement

YPB ASX News Industrials
27 Feb 2023 12:48 (AEDT)

  • YPB Group (YPB) gets a $250,000 cash boost following a legal settlement to reclaim unpaid revenue
  • The dispute was lodged against a third-party contractor that manufactured VariSec foil, YPB’s intellectual property asset, under a revenue-share agreement with YPB
  • As the legal action concludes, YPB will receive $450,000 in free cash — $250,000 from unpaid revenue and the refund of a $200,000 security deposit to the court
  • The group first launched the legal action back in 2020, with the matter to be fully and finally settled this month
  • Shares in YBP are trading grey at 0.3 cents at 12:43 pm AEDT

Brand protection company YPB Group (YPB) has received a $250,000 cash boost following the completion of a legal battle over unpaid revenue.

YPB’s claim was first brought to light in 2020 when the group launched legal action against a third-party contractor for unpaid revenue share.

The ongoing proceedings were outlined in YPB’s 2020 and 2021 annual reports, highlighting that the company was pursuing a commercial dispute against an external party.

The contractor manufactured VariSec foil, a wholly-owned intellectual property asset of YPB, under a revenue-share agreement with YPB.

“YPB’s intellectual property portfolio is its key asset and we will vigorously protect our IP as needs be,” YPB Executive Chairman and CEO John Houston said.

The Group will receive $450,000 in free cash as a result of the legal settlement, which includes $250,000 in unpaid revenue and $200,000 through the release of a security deposit to the court.

YPB’s Variable Security Technologies, or VariSec, is a high-security stamping foil that can be used in passports, currency and controlled documents.

Shares in YBP were trading grey at 0.3 cents at 12:43 pm AEDT.


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