Tanfield Group (AIM:TAN) shares climbed about 7% to 5.5p after the company reported another favourable ruling in its long-running legal battle over the value of its stake in Snorkel, the aerial work platform manufacturer.
Tanfield owns 49% of Snorkel through a joint venture struck in 2013 with Xtreme Manufacturing, part of Don Ahern’s Ahern Rentals group.
The investment is currently valued at £19.1 million, although the eventual outcome of the US court case could change that figure.
The dispute centres on a claim by Xtreme that a 2018 call option allowed it to acquire Tanfield’s entire 49% holding for nothing.
Tanfield has always rejected that argument, pointing to contractual provisions requiring payment of a “Preferred Interest”, roughly $25 million in late 2018, as well as an additional option price linked to Snorkel’s earnings.
A Nevada court previously backed Tanfield’s position on the Preferred Interest. The latest ruling, issued on 24 November, goes a step further.
It confirms that Snorkel did exercise its call option in 2018 and must therefore meet the contract’s payment obligations: the Preferred Interest plus an option price. The amount of that option price remains in dispute and will be determined at trial.
Because of recent procedural activity, the trial has been pushed back and is now expected to begin in March or April 2026.
The board called the decision a “very positive outcome” and said it continues to believe further favourable rulings are possible. Tanfield plans to keep defending its stance and will update investors as the case progresses.