Leclair, et al. v. FormerXBC Inc., et al.

Under the Settlement, CAD $5,000,000 (the “Settlement Amount”) will be paid in full and final settlement of all claims against the Defendants, including Class Counsel’s fees, applicable taxes and expenses, and interest, in exchange for a full release and settlement of the class action.

The Superior Court of Québec (“Court”) has approved the settlement of this class action. The Court also awarded Class Counsel legal fees in the amount of CAD $1,500,000, which is 30% of the Settlement Amount, plus taxes, as well as their disbursements, to be paid from the Settlement Amount. Class Counsel has not been paid as the matter has proceeded and has funded all of the out-of-pocket expenses of conducting the litigation.

A proposed class action was authorized for settlement purposes only against FormerXBC Inc., formerly Xebec Adsorption Inc. (“Xebec”), Kurt Sorschak, Stéphane Archambault, Louis Dufour, William Beckett, Guy Saint Jacques, Desjardins Securities Inc., National Bank Financial Inc., Canaccord Genuity Group Inc., Raymond James Ltd., Beacon Securities Limited, TD Securities Inc., and Stifel Nicolaus Canada Inc., on behalf of:

All persons and entities, wherever they may reside or may be domiciled, who purchased or otherwise acquired securities of Xebec by any means (whether pursuant to a primary market offering, in the secondary market or otherwise) during the period from November 10, 2019, to March 24, 2021, inclusively, and held some or all of such securities as of the close of trading on the TSX on March 11, 2021 or March 24, 2021, other than the “Excluded Persons”.
Excluded Persons means:

1. Xebec;
2. the Underwriter Defendants and their respective past or present subsidiaries, directors, officers, legal representatives, predecessors, successors and assigns;
3. the Individual Defendants, members of their immediate families and any entity in which the Individual Defendants hold a controlling interest; and
4. SDI, Oost NL and the Trust Foundation, as those entities are defined in the Share Purchase Agreement dated December 8, 2020 with Xebec Europe B.V.

This class action alleges that the Defendants made misrepresentations in certain Xebec disclosure documents. On May 26, 2023, the Plaintiffs and Xebec executed an agreement to settle this class action (the “Settlement”). The Defendants deny any wrongdoing or liability on their part and the Court has not made any findings of wrongdoing or liability in respect of the Defendants.

Your legal rights are affected even if you do nothing. Please read this notice carefully.

The Settlement Agreement and various other Court-approved documents set out the procedures applicable to the Settlement of the class action. The Settlement Amount, less administration costs, notice fees, lawyers’ fees and disbursements, will be distributed to those who are eligible and submit a Claim form and supporting documentation on a pro rata basis up to the value of their calculated loss, in accordance with the Court-approved and supervised Plan of Allocation. The Plan of Allocation, Settlement Agreement, and other pertinent documents can be found at: https://knd.law/class-actions/xebec-adsorption-inc/  and https://www.lexgroup.ca/classaction/xebec-adsorption-inc-securities-class-action/ or by contacting Class Counsel at the address below.

If there is a conflict between the provisions of this notice and the Settlement Agreement, the terms of the Settlement Agreement will prevail.

For assistance, you may contact the Claims Administrator or you may obtain further information at: https://knd.law/class-actions/xebec-adsorption-inc/ (https://knd.law/class-actions/xebec-adsorption-inc/), or by contacting Class Counsel by fax or email addressed to: