Company: EHSI
Filing Date: 2025-09-02
Form Type: PRE 14A
Source: 0001437749-25-028137
Chunk: 58

Company: Elite Health Systems Inc.
Filing Date: 2025-09-02
Form: PRE 14A
Chunk 58
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 and tax free exchange under Section 368(a) of the Internal Revenue Code of 1986, as amended (" Share Exchange"). and WHEREAS, the Shareholders and the board of directors of Company and EHSI have independently determined that it is in the best interests of all of the Parties and their shareholders to execute and effectuate this Agreement. NOW, THEREFORE, in consideration of the mutual covenants and agreements hereinafter set forth and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties hereto agree as follows: ARTICLE I
PURCHASE AND SALE Section 1.01 Exchange of the Company Shares for New EHSI Shares.At the Closing, each of the Shareholders shall sell, transfer, convey, assign and deliver to EHSI the Company Shares, free and clear of any mortgage, pledge, lien, charge, security interest, claim, community property interest, option, equitable interest, restriction of any kind (including any restriction on use, voting, transfer, receipt of income, or exercise of any other ownership attribute), or other encumbrance (each, an " Encumbrance"), in exchange for the New EHSI Shares ,free and clear of all Encumbrances. Section 1.02 Pre-Closing Capitalization.Prior to Closing, EHSI shall take all corporate action and shall obtain all required regulatory approvals to increase the number of shares of authorized common stock to allow for the issuance of the New EHSI Shares. Section 1.03 Treatment as Reorganization.For federal income tax purposes, the Share Exchange is intended to constitute a “reorganization” within the meaning of Section 368 of the Code, and the parties shall report the transactions contemplated by this Agreement consistent with such intent and shall take no position in any tax filing or legal proceeding inconsistent therewith. The parties to this Agreement hereby adopt this Agreement as a “plan of reorganization” within the meaning of Sections 1.368-2(g) and 1.368-3(a) of the United States Treasury Regulations. ARTICLE II
CLOSING Section 2.01 Closing.The Closing of the transactions contemplated by this Agreement (the " Closing") shall take place on the business day following the satisfaction or waiver of all conditions to the obligations of the Parties to consummate the transactions contemplated under this Agreement (other than conditions with respect to actions that the respective Parties will take at Closing) or such other date and time as the Parties may mutually determine (the