In a recent legal development, a Federal Capital Territory (FCT) High Court has issued a temporary order preventing Novare and its subsidiaries, a South African company, from selling their assets, including prominent retail malls such as Lekki and Abuja malls, in Nigeria. This judicial intervention comes as a response to an ex-parte motion presented by the applicants’ counsel, Darlington Ozurumba, with Justice Peter Kekemeke presiding over the case.
The applicants in question are Grand Towers Reality Ltd, Grand Towers Plc, and Nze Chidi Duru, identified as the Nigerian partners of Novare Investment (PTY) Ltd, the entity that owns Shoprite. The legal proceedings are recorded under the suit FCT/HC/0224/2017, with the marking and motion number M/13811/2023.
In their motion dated October 3rd, the applicants sought an interim order from the court to restrain the defendants, Novare and its subsidiaries, from engaging in the sale, leasing, or transfer of interests in specific properties or assets. These assets include Novare Mall Lekki, Lagos State; Novare Mall, Sangotedo, Lagos; and Novare Gateway Mall, Lugbe District, Abuja. The restriction also encompasses other locations such as Novare Mall, Apo, Abuja, and Novare Central Mall, Wuse Zone 5, Abuja. Additionally, it covers all other Novare Malls currently under construction in Nigeria. The applicants requested this injunction pending the hearing and determination of the motion on notice.
Responding to Ozurumba’s motion on November 6, Justice Kekemeke promptly granted the interim injunction order. The certified true copy of this order was disclosed to the press in Abuja on a Wednesday. The judge has scheduled the next hearing for the motion on notice on February 13, 2024.
This legal development is the latest chapter in a longstanding legal dispute between the involved parties, dating back to 2017. The conflict originated when Novare publicly announced its intentions to exit the Nigerian market, citing challenges such as supply chain disruptions and difficulties in repatriating funds.
Previously reported by Infostride News, Novare had listed its malls in Lekki and Abuja (Lekki Mall, Apo Mall Abuja, Novare Central Mall, and Gateway Mall Abuja.) for sale in September. This move triggered the ongoing legal proceedings and the subsequent court order preventing the sale of these assets.
As the legal battle continues, the implications of this court order on Novare’s operations and the broader retail landscape in Nigeria remain uncertain. The next hearing on February 13, 2024, will likely provide more clarity on the trajectory of this dispute and its potential impact on the parties involved. Infostride News will continue to monitor and report on developments in this case as they unfold.
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