Exhibit 10.22

 

ADR PURCHASE AGREEMENT

 

This ADR Purchase Agreement (hereinafter referred to as the “Agreement”) is made
on this 10th day of August 2004:

 

BY AND BETWEEN

 

1. Mukul Murthy, a national of the United States of America aged 12 years
residing at 33245, Lark Way, Fremont California 94555, USA represented by Swarna
Murthy (“MM”) in her capacity as custodian;

 

2. Nirav Murthy, a national of the United States of America aged 8 years
residing at 33245, Lark Way, Fremont California 94555, USA represented by Swarna
Murthy (“NM”) in her capacity as custodian;

 

3. Swarna Murthy, an Indian national residing at 2086, Boxwood Bay, Fremont,
California 94539, USA in her capacity as custodian (the “Trustee”) for MM and
NM;

 

4. Phaneesh Murthy, a national of the United States of America aged 41 years
residing at 33245, Lark Way, Fremont California 94555, USA (“PM”);

 

5. Amit Sethi, an Indian national aged 44 years residing at 34276, North Wind
Terrace, Fremont California 94555, USA (“AS”);

 

6. Kanth Miriyala, a national of the United States of America aged 39 years
residing at 499 Quail Drive, Naperville, IL 60565, USA (“KM”) (PM, AS and KM
shall be jointly referred to as “Founders”);

 

7. Quintant Services Limited, a company incorporated under the [Indian]
Companies Act, 1956, as amended (the “Companies Act”) with its registered office
at 93/A, 4th B Cross, 5th Block, Industrial Area, Koramangala, Bangalore 560
095, Karnataka, India (“Company”);

 

8. iGATE Corporation, a Pennsylvania corporation with its principal place of
business at 1000 Commerce Drive, Suite 200, Pittsburgh, PA 15275, USA (“iGATE”)

 

MM, NM, the Trustee, PM, AS, KM, the Company and iGATE shall hereinafter jointly
be referred to as the “Parties” and severally as the “Party”.

 

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WHEREAS:

 

A. Each of MM and NM own 10,000 American Depositary Receipts of the Company
(“ADRs”), which are currently held by the Trustee, in her capacity as custodian
for MM and NM.

 

B. The Trustee, AS and KM (“Selling ADRholders”) currently own a total of 31,666
ADRs.

 

C. The Founders, the Trustee, iGATE and the Company, hereby seek to enter into
an arrangement whereby iGATE will acquire all the 31,666 ADRs held by the
Selling ADRholders in a ADR purchase arrangement, as per the terms of this
Agreement.

 

D. The Parties wish to enter into this Agreement, to set out the terms and
conditions in this regard.

 

NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL PROMISES SET FORTH HEREIN, THE
PARTIES HEREBY AGREE AS FOLLOWS:

 

1. DEFINITIONS AND INTERPRETATION

 

In this Agreement unless the context otherwise requires:

 

1.1 “ADRs” has the meaning assigned to such term in Recital B;

 

1.2 “Agreement” has the meaning assigned to such term in the preamble to this
Agreement, including and includes any and all ;

 

1.3 “AS” has the meaning assigned to such term in the preamble to this
Agreement;

 

1.4 “Approvals” means all approvals or consents (whether arising out of
regulatory requirements or otherwise) required (if any) for the transactions
contemplated by this Agreement;

 

1.5 “Closing” has the meaning assigned to such term in Clause 2.3;

 

1.6 “Closing Date” has the meaning assigned to such term in Clause 2.3;

 

1.7 “Companies Act” has the meaning assigned to such term in the preamble to
this Agreement;

 

1.8 “Company” has the meaning assigned to such term in the preamble to this
Agreement;

 

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1.9 “Encumbrances” means any mortgage, right of way, pledge, equitable interest,
prior assignment, hypothecation, security interest, encumbrance, title defect,
title retention agreement, voting trust agreement, interest, option, lien,
charge, easement, encroachment or other similar condition, commitment,
restriction or limitation of any nature whatsoever, including restriction on
use, voting, transfer, receipt of income or exercise of any other attribute of
ownership;

 

1.10 “Governmental Authority” means any government, regulatory authority,
governmental department, agency, commission, board, tribunal or court or other
law, rule or regulation-making entity having or purporting to have jurisdiction
on behalf of any nation or province or state or other subdivision thereof, or
any municipality, district or other subdivision thereof;

 

1.11 “iGATE” has the meaning assigned to such term in the preamble to this
Agreement;

 

1.12 “KM” has the meaning assigned to such term in the Preamble to this
Agreement;

 

1.13 “Law” means any law, statute, code, ordinance, regulation or rule of any
governmental authority;

 

1.14 “MM” has the meaning assigned to such term in the Preamble to this
Agreement;

 

1.15 “NM” has the meaning assigned to such term in the Preamble to this
Agreement;

 

1.16 “PM” has the meaning assigned to such term in the preamble to this
Agreement;

 

1.17 “Person” means any individual, sole proprietorship, corporation, company,
partnership, limited liability company, joint venture, unincorporated society,
Governmental Authority, association or trust or any other entity or
organisation;

 

1.18 “Purchase Price” means the consideration, details of which are set out in
Annexure A hereto, for the Quintant Sale ADRs that iGATE will pay the Selling
ADRholders pursuant to Clause 2.2 hereto, such consideration has been determined
in accordance with applicable Law;

 

1.19 “Quintant Sale ADRs” means the ADRs of Quintant that iGATE will purchase
from the Selling ADRholders pursuant to this Agreement, details of which are set
out in Annexure B hereto (in relation to each Selling ADRholder);

 

1.20 “Selling ADRholders” has the meaning assigned to such term in Recital B;

 

1.21 “ADR Purchase” has the meaning assigned to such term in Clause 2.1;

 

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1.22 “Tax” shall mean, without limitation, all taxes, duties, fees, premiums,
assessments, levies and other charges of any kind whatsoever imposed by any
Governmental Authority together with all interest, penalties, fines, additions
to tax or other additional amounts imposed in respect thereof;

 

1.23 “Transaction Documents” means this Agreement all exhibits and schedules
hereto, all other deeds agreements, certificates, guarantees and documents as
may be executed or required to give effect to the transactions contemplated by
the foregoing; and

 

1.24 “Trustee” has the meaning assigned to such term in the preamble to this
Agreement.

 

Expressions in the singular shall include the plural and in the masculine shall
include the feminine and vice versa. Words and expressions used in the Schedules
shall have the same meanings as defined in this Agreement. References to any
statute or statutory provision shall be construed as references to such statute
or statutory provision as respectively amended or re-enacted or as their
operation is modified by any other statute or statutory provision, whether
before or after the date of this Agreement, and shall include any provisions of
which they are re-enactments, whether with or without modification, and shall
include subordinate legislation made under the relevant statute. References to
Recitals, Clauses, and Schedules in this Agreement are references to the
recitals, clauses and schedules to this Agreement.

 

2 SALE AND DELIVERY OF THE QUINTANT SALE ADRS; CLOSING.

 

2.1 ADR Purchase

 

Subject to the terms and conditions of this Agreement, iGATE will purchase the
Quintant Sale ADRs for the Purchase Price as listed in Annexure A, free and
clear of any Encumbrances (“ADR Purchase”).

 

2.2 Obligations after of signing

 

After the signing of this Agreement:

 

  (a) Each of the Selling ADRholders shall deliver or cause to be delivered,
within 15 days of date of execution of this Agreement, to iGATE, good and
sufficient certificates for the Quintant Sale ADRs, duly assigned in blank or
accompanied by duly executed blank stock powers.

 

  (b) Upon iGATE receiving the items set out in Clause 2.2(a) above, from the
Selling ADRholders, iGATE shall deliver or cause to be delivered to the Selling
ADRholders the part of the Purchase Price stated in Clause 2.3(a) by way of a
bankers draft in favour of each of the Selling ADRholders of such values as is
set forth in Annexure B.

 

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2.3 Consideration

 

The Purchase Price shall be paid by iGATE to the Selling ADRholders in the
following manner and on the events:

 

  (a) Upon receipt of the items set out in Clause 2.2(a) above, iGATE shall pay
to the Selling ADRholders USD 2,967,660 (US Dollars Two Million Nine Hundred
Sixty Seven Thousand Six Hundred Sixty Only) to be disbursed among the Selling
ADRholders in the manner set forth in Annexure B; and

 

  (b) The balance of the Purchase Price amounting to USD 6,488,362 (US Dollars
Six Million Four Hundred Eighty Eight Thousand Three Hundred Sixty Two Only)
shall be paid by iGATE to the Selling ADRholders on the Closing Date, to be
disbursed among the Selling ADRholders in the manner set forth in Annexure C.

 

2.4 Closing

 

On September 25, 2004, or a date as may be decided by iGATE, and after all
conditions specified in Clause 4 are satisfied or waived by the appropriate
Party (the “Closing Date”), at the office of iGATE (“Closing”), iGATE shall
deliver a bankers draft in favour of each of the Selling ADRholders for the
amounts and in the manner stated in Clause 2.3(b) above, and the Quintant Sale
ADRs shall be transferred in favour of iGATE.

 

3 REPRESENTATIONS AND WARRANTIES OF THE PARTIES

 

Each Party represents and warrants that:

 

3.1 Authority; Execution

 

Each Party has full power and authority to execute, deliver and perform the
Transaction Documents, to perform its/his respective obligations and to
consummate the transactions contemplated by the Transaction Documents.

 

3.2 Binding Obligation

 

The Transaction Documents shall constitute the legal, valid and binding
obligation of the Parties enforceable against the Parties in accordance with
their terms.

 

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3.3 No Violation

 

The execution, delivery and performance of the Transaction Documents by such
party do not and will not violate any applicable Law or regulations.

 

4 Conditions Precedent

 

On or prior to the Closing Date the following would have taken place:

 

4.1 Corporate Authorisations

 

  (a) iGATE shall have obtained the necessary authorisation required to complete
the transactions contemplated in this Agreement.

 

  (b) The board of directors of the Company shall pass all necessary resolutions
recording the transfer of the Quintant Sale ADRs and shall pass all necessary
resolutions for the authorization of the transactions contemplated in this
Agreement.

 

4.2 Transaction Documents

 

Execution of the Share Swap and Share Purchase Termination Agreement dated
August 10, 2004 inter alia between the Parties.

 

5 NOTICES

 

Any notice or other communication required or permitted to be given under this
Agreement shall be in writing and shall be duly given if delivered, or if sent
by prepaid registered mail or if transmitted by facsimile to a Party at its
address set forth below:

 

If to iGATE:

 

Attention:    Mr. Michael J. Zugay Address:    1000 Commerce Drive, Suite 500,
Pittsburgh, PA 15275, USA Fax No:    (412) 291-1082 Email:   
mailto:mzugay@igate.com

 

If to the Company:

 

Attention:    Mr. Mukund Srinath Address:   

93/A, 4th B Cross, 5th Block, Industrial Area, Koramangala, Bangalore

560 095, Karnataka, India

Fax No:    +91.80.5125 9090 Email:    mukund.srinath@igate.com

 

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If to the Trustee:

 

Attention:    Ms. Swarna Murthy Address:    2086, Boxwood Way, Fremont,
California, 94539, USA Facsimile:    +1-510-574-8117

 

If to MM:

 

Attention:    Mr. Phaneesh Murthy Address:    33245, Lark Way, Fremont,
California, CA 94555, USA Facsimile:    +1-510-972-7174

 

If to NM:

 

Attention:    Mr. Phaneesh Murthy Address:    33245, Lark Way, Fremont,
California, CA 94555, USA Facsimile:    +1-510-972-7174

 

If to PM:

 

Attention:    Mr. Phaneesh Murthy Address:    33245, Lark Way, Fremont,
California, CA 94555, USA Facsimile:    +1-510-972-7174 Email:   
Phaneesh.Murthy@igate.com

 

 

If to AS:

 

Attention:    Mr. Amit Sethi Address:    34276, North Wind Terrace, Fremont,
California, CA 94555, USA Facsimile:    +1-510 896 3010 Email:   
ASethi@igate.com

 

If to KM:

 

Attention:    Mr. Kanth Miriyala Address:    499, Quail Drive, Naperville,
Illinois, IL 60565, USA Facsimile:    +1-630-579-8514 Email:   
KMiriyala@igate.com

 

or to such other address as the Party to whom such notice is to be given shall
have last notified the Party giving the notice in the manner provided in this
Clause 9.2. Any notice delivered to the Party to whom it is addressed in the
manner provided in this Clause 9.2 shall be deemed to have been given and
received on the day it is so delivered at such address, provided that if such
day is not a business day, then the notice shall be deemed to have been given
and received on the next business day, then the notice shall be deemed to have
been given and received on the next business day. Any notice sent by prepaid
registered mail shall be deemed to have been given and received on the fifth
business day following the date of its mailing. Any notice transmitted by
facsimile shall be deemed given and received upon receipt of a confirmed answer
back following transmission.

 

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6 Dispute Resolution.

 

Any dispute or difference or claim arising out of or in connection with this
Agreement including the construction, validity, performance or breach thereof (a
“Dispute”), which the parties cannot settle by mutual discussions shall be
referred to final and binding arbitration before a panel of three arbitrators
pursuant to the Commercial Arbitration Rules of the American Arbitration
Association. Arbitration shall take place in Allegheny County, Pennsylvania. At
the request of any party, the arbitrators, attorneys, parties to the
arbitration, witnesses, experts, court reporters, and other persons present at
the arbitration shall agree in writing to maintain the strict confidentiality of
the arbitrations proceedings and awards. The award of the arbitrators shall be
enforceable under any applicable Law. The arbitrators may award damages and/or
injunctive relief, but in no event shall the arbitrators have the authority to
award punitive or exemplary damages. Nothwithstanding the above, a party may
apply to a court of competent jurisdiction for relief in the form of a temporary
restraining order or preliminary injunction pending final determination of a
claim through arbitration in accordance with this paragraph. If proper notice
has been given, the arbitrators will have full power to proceed to take evidence
or to perform any other acts necessary to arbitrate the matter in the absence of
any party who fails to appear.

 

7 SEVERABILITY

 

Each Article, Clause, paragraph and clause of this Agreement constitutes a
separate and distinct undertaking, covenant and/or provision. Whenever possible,
each provision of this Agreement shall be interpreted in such manner as to be
effective and valid under Law. In the event that any provision of this Agreement
shall be finally determined to be unlawful, such provision shall be deemed
severed from this Agreement, but every other provision of this Agreement shall
remain in full force and effect, and in substitution for any such provision held
unlawful, there shall be substituted by mutual consultation and agreement of the
parties hereto a provision of similar import reflecting the original intent of
the parties to the extent permissible under Law.

 

8 GOVERNING LAW

 

This Agreement shall be governed by and construed in accordance with the Laws of
the State of Pennsylvania, without giving effect to the principles of conflicts
of laws thereof.

 

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9 ASSIGNMENT

 

No party hereto shall assign this Agreement or any rights and/or obligations
hereunder to any Person, provided, however, that iGATE may assign this Agreement
or any rights and/or obligations under this Agreement to any affiliate of iGATE.

 

10 ENTIRE AGREEMENT

 

This Agreement, together with its Annexures and the other Transaction Documents
constitutes the entire agreement reached between the parties to this Agreement
with respect to the transactions contemplated by this Agreement and may not be
amended or modified except pursuant to Clause 11 of this Agreement. Any and all
previous agreements and understandings between the parties regarding the subject
matter of this Agreement, whether written or oral, are superseded, cancelled and
terminated by this Agreement.

 

11 AMENDMENTS

 

No change, modification, or termination of any of the terms, provisions, or
conditions of this Agreement shall be effective unless made in writing and
signed or initialled by all signatories to this Agreement.

 

12 BENEFIT OF AGREEMENT

 

Nothing herein expressed or implied is intended, nor shall it be construed, to
confer upon or give to any Person who is not a party to this Agreement any
right, remedy or claim under or by reason of this Agreement or any part hereof.

 

13 SURVIVAL

 

Termination of this Agreement shall not affect those provisions hereof that by
their nature are intended to survive such termination.

 

14 TITLES

 

Titles and captions contained in this Agreement are inserted only as a matter of
convenience and for reference, and in no way define, limit, extend or describe
the scope of this Agreement or the intent of any provision.

 

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15 COUNTERPARTS

 

This Agreement may be executed by the parties hereto in one or more
counterparts, each of which shall be deemed to be an original, but all of which
together shall constitute one and the same agreement.

 

[signature page on following page]

 

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IN WITNESS WHEREOF, the parties to this Agreement have caused this Agreement to
be executed on the day and year first written above.

 

MUKUL MURTHY REPRESENTED BY HIS

CUSTODIAN SWARNA MURTHY

/s/    SWARNA MURTHY

NIRAV MURTHY REPRESENTED BY HIS

CUSTODIAN SWARNA MURTHY

/s/    SWARNA MURTHY SWARNA MURTHY /s/    SWARNA MURTHY PHANEESH MURTHY
/s/    PHANEESH MURTHY AMIT SETHI /s/    AMIT SETHI KANTH MIRIYALA /s/    KANTH
MIRIYALA iGATE CORPORATION

By:

  /s/    MICHAEL J. ZUGAY    

Name: Michael J. Zugay

   

Title: CFO

QUINTANT SERVICES LIMITED

By:

  /s/    MUKUND SRINATH    

Name: Mukund Srinath

   

Title: Authorised Signatory

 

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Annexure A

 

Details with respect to the ADR Purchase

 

Name

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No. of Quintant ADRs to

be encashed

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Cash to be paid

(In ‘USD)

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Mukul Murthy represented by his custodian Swarna Murthy

   10000    2986174

Nirav Murthy represented by his custodian Swarna Murthy

   10000    2986174

Amit Sethi

   5833    1741837

Kanth Miriyala

   5833    1741837     

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Total

   31666    9456022     

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Annexure B

 

Details with respect to consideration to be paid to the Selling ADRholders upon
the signing of this Agreement

 

Name

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Cash to be paid

(In ‘USD)

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Mukul Murthy represented by his custodian Swarna Murthy

   986034

Nirav Murthy represented by his custodian Swarna Murthy

   986034

Amit Sethi

   641132

Kanth Miriyala

   354459     

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Total

   2967659     

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Annexure C

 

Details with respect to the consideration to be paid to the Selling ADRholders
upon Closing

 

Name

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Cash to be paid

(In ‘USD)

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Mukul Murthy represented by his custodian Swarna Murthy

   2000139

Nirav Murthy represented by his custodian Swarna Murthy

   2000139

Amit Sethi

   1100705

Kanth Miriyala

   1387378     

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Total

   6488361     

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