She1K to drop Lumiere32 lawsuit, sources say

The lawsuit involving Singapore startup Lumiere32 and angel investment syndicate She1K appears to be heading toward a settlement.

Sources tell Tech in Asia that She1K is discontinuing the legal proceedings. As part of the proposed settlement, each party will bear its own legal costs.

Lumiere32 founders (from left) Priti Bhole and Raman Chauhan / Photo credit: Lumiere32

Tech in Asia has reached out to She1K and its lawyers at leading Singapore firm Drew and Napier. Lumiere32 and its attorneys from Dentons Rodyk, one of the city-state’s largest law firms, declined to comment.

Multiple sources claim that C-level executives at Enterprise Singapore, a statutory board under the country’s Ministry of Trade and Industry, have been involved in mediating the dispute. She1K counts Enterprise Singapore as a partner.

Tech in Asia has also reached out to Enterprise Singapore for comment.

As reported last week, Lumiere32, a business-to-business medical supplies marketplace based in Singapore, had won a pitching competition organized by She1K in March that offered S$300,000 in funding as a prize. But the term sheet wasn’t to the startup’s liking, and when further negotiations proved unsuccessful, the founders declined the investment.

In response, She1K filed a lawsuit against Lumiere32, citing a breach of the event’s participation agreement. The document, which was signed by all startups that joined the competition, stated the investment terms and disallowed the startup from backing out of it.

The lawsuit amount was S$900,803 – over three times the proposed investment figure. A source that Tech in Asia spoke to claimed that Lumiere32 has spent over S$100,000 in legal fees.

Drew and Napier has previously said that the events described by Tech in Asia‘s sources are “inaccurate and paint a skewed picture of the issues in dispute.”

This story is developing. Check back for updates.