Quess Corp terminate agreement with East Bengal, give back sporting rights to the club

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East Bengal have finally managed to terminate the agreement with their investors Quess Corp and get back the sporting rights...

Quess Corp has officially decided to end their joint venture with East Bengal on Friday by executing a termination of the Share Subscription and Shareholder’s Agreement between Quess East Bengal FC (QEBFC), East Bengal Club and the Company.

In a letter addressed to the Department of Corporate Services of the National Stock Exchange of India Limited, Quess Corp states, “Please note that the Board of Directors has considered, approved and noted execution of termination of the Share Subscription and Shareholder’s Agreement (“Agreement”) dated July 5, 2018, executed between Quess East Bengal FC Private Limited (“QEBFC”), East Bengal Club (“Club”) and the Company.”

The Bengaluru-based business service providing company had formed the joint venture (QEBFC) with East Bengal in July 2018 acquiring 70% stake in the newly formed company to promote and operate sports and matches particularly cricket and football on behalf of the club. This meant that the sporting rights of the club belonged to Quess Corp.

But with the termination of the contract, the company has decided to acquire the remaining 30 per cent stake in QEBFC and return the sporting rights back to East Bengal.

Quess Chairman Ajit Isaac has sent a letter addressing senior East Bengal official Debabrata (Nitu) Sarkar where he conveyed his regards and best wishes to the club for their upcoming endeavours.

The letter read, “My best wishes to you for the future and we will always be your well-wisher as the club moves into a new chapter.

The Red and Golds have been trying to get back their sporting rights from their investors for a long time. Without the sporting rights, the club would have neither been able to complete the club licensing process nor could they take part in any competition.

2020-07-17 18:00:05

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