Insight Acquisition sends notice of default to Avila Energy

Avila Energy announces Insight Acquisition Corp. has sent a notice of default, and that it intends to terminate the Business Combination Agreement dated April 3, if such alleged default is not cured by July 26. “Despite the successful negotiation and settlement executed and announced on June 26, between Avila Energy Corporation and MTT, Insight Acquisition Corp. has provided notice that it is not satisfied that Avila has cured its concerns and has chosen to put Avila on notice that it intends to terminate the Business Combination Agreement with Avila Energy… Avila strongly disagrees with Insight’s characterization of various events described by Insight with its notice of default and Insight’s position that Avila has breached the BCA,” the company said. “Despite many challenges that are associated with a transaction of this nature Avila has kept Insight informed as it worked through them over the past few weeks and has now fundamentally dealt with the issues raised in the notice of default. Avila is confident any outstanding issues Insight has raised can be satisfactorily resolved by the cure date of July 26,” the company added. “The decision taken by Insight is disappointing. Avila Energy after careful deliberation has had internal discussions and feels that Insight’s decision is short sighted and does not change the company’s focus its business plan and core businesses, which are no different than what were presented to Insight at the time of the execution of the BCA,” stated Avila.