Company: VREOF
Filing Date: 2025-03-07
Form Type: PRE 14C
Source: 0001140361-25-007601
Chunk: 112

Company: Vireo Growth Inc.
Filing Date: 2025-03-07
Form: PRE 14C
Chunk 112
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 will issue and deliver to Proper (as described below in “Description of the Merger Agreements – Proper Mergers – Procedures for Receiving Merger Consideration”) a number of Subordinate Voting Shares equal to 90% of (i) the estimated Proper Closing Merger Consideration multiplied by (ii) the closing share price of $0.52, with such share issuance described herein as the “Proper Closing Share Payment.”

The remaining 10% of the Subordinate Voting Shares in respect of the Proper Closing Merger Consideration (the “Proper Escrow Shares”) will be delivered to Odyssey Transfer and Trust Company, in its capacity as the escrow agent (the “Proper Escrow Agent”), under an escrow agreement by and among the Company, Member Representative, and the Proper Escrow Agent (the “Proper Escrow Agreement”). The Proper Escrow Shares will be held by the Proper Escrow Agent pursuant to the Proper Escrow Agreement as a recourse of the Company in support of the purchase price adjustment mechanism described below and the indemnification obligations of the Proper Share Recipients described below in “Description of the Merger Agreements – Proper Mergers – Indemnification.” The Proper Escrow Shares that are not otherwise subject to any indemnification claims of the Company indemnified parties will be released to Proper for further distribution to the Proper Share Recipients following the date that is twenty-four months after the Proper Closing.

Within ninety (90) days of the Proper Closing Date, the Company is entitled to prepare and deliver to the Member Representative a statement setting forth the Company’s good faith calculation of the Proper Closing Merger Consideration (the “Proper Final Closing Statement”). The estimated Proper Closing Merger Consideration is subject to adjustment based upon review of the Proper Final Closing Statement by the Member Representative and the parties’ review and negotiation of any objections that the Member Representative may have with respect to the Proper Final Closing Statement. To the extent that the Company and the Member Representative are not able to resolve any disputes, such disputes will be submitted to CohnReznik, or, if CohnReznik is not able to serve, another independent accountant mutually appointed by the Company and the Member Representative (the “Proper Independent Accountant”) for resolution. The fees of the Proper Independent Accountant will be paid by the Company, on the one hand, and Proper, on the other hand, based upon the percentage that the amount actually contested but not awarded to the Company or Proper, respectively, bears to the