Underground mining company Macmahon Holdings (ASX:MAH) has reached an agreement to settle the class action proceedings that started against them in the Federal Court of Australia in November 2015.
The proceedings related to market disclosures by Macmahon in 2012 regarding a construction project in that year.
Macmahon’s Chairman, Mr Jim Walker, said: “The decision to settle was a purely commercial matter, taken in the best interests of our shareholders.
He said Macmahon continues to deny any wrongdoing in this matter and it is important to note that the settlement is not an admission of any liability, nor a finding against the company or any individuals."
Macmahon will pay $6.7 million in full and final settlement of the proceedings, inclusive of interest and the applicant’s legal costs.
Shares in Macmahon Holdings (ASX:MAH) are trading 1.89 per cent higher to 27 cents.