Document:

Share Purchase Agreement

 

EXHIBIT 10.2

SHARE PURCHASE AGREEMENT

relating to

all shares representing the total share capital of

JOTEC AESP AS

 

 

THIS AGREEMENT is made on 25 of August 2004 between:

AESP Inc, Miami, here and after referred to as the “Seller”

and

Jorgen Holmefjord AS, here and after referred to as the “Purchaser”

(the above parties are here and after jointly referred to as the “Parties” and
individually as a “Party”.)

WHEREAS:

	 	 	The Seller is the owner of a total of 492.558 shares (here and after
referred to as the “Shares”) in the Norwegian limited liability company
Jotec AESP AS, organization no: 940211700 (here and after referred to as
the “Company”).
	 
	 	 	The Shares constitute all the issued and outstanding shares in the share
capital of the Company.
	 
	 	 	The Seller wants to sell, and the Purchaser want to purchase, the Shares,
upon the terms and conditions set forth herein. I

IT IS AGREED as follows

	1.	 	Sale and Purchase.
	 
	1.1	 	The Seller shall sell, and the Purchaser shall purchase, 100 % of the
entire issued share capital in the Company, together with all rights,
title, risks, obligations and interest attaching to the Shares as of the
closing date cfr. clause 1.3.
	 
	1.2	 	The Shares shall be sold to the Purchaser free from all liens, charges
and encumbrances.
	 
	1.3	 	The Parties have agreed that the Seller shall transfer the title to the
Shares to the Purchaser on 25 of August 2004 (the “Closing Date”).
Furthermore, the Parties have agreed that the Purchaser shall pay the
agreed price of the Shares to the Seller in one installment as described
in clause 2.
	 
	2.	 	Consideration.
	 
	2.1	 	The consideration payable by the Purchaser to the Seller in respect of
the Shares shall here and after be called the “Purchase Price”. The
Purchase Price is NOK 10,-.

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	2.2	 	The Purchase Price shall be paid at the Closing date.
	 
	3.	 	Conditions Precedence
	 
	3.1	 	Closing of this agreement is conditional upon the waiver or
satisfaction of the following conditions prior to the Closing Date:

	 	i)	 	That the Company has entered into a binding agreement with the
existing lessor of the premises regarding immediate termination of the
lease agreement, based on the written offer given by the lessor to the
Company, dated 13.08.04.
	 
	 	ii)	 	That the Purchaser, by the Seller, has been presented to
documentation that verifies that all the shares of Signamax AS, earlier
Lanse AESP AS, has been transferred from the ownership of the Company to
the ownership of the Seller. Further that all existing debts of the
Company to Signamax AS, earlier Lanse AESP A , legally and fully has been
removed from the Company to the Seller.

	3.2	 	In case any of the above mentioned conditions are not fulfilled or
waived on or prior to the Closing Date the Purchaser may elect to
terminate this agreement, and this agreement shall become null and void
and none of the Parties shall have any claim against the other.
	 
	4.	 	Completion of the different Stages / Closing
	 
	4.1	 	The Seller shall at the Closing Date deliver to the Purchaser,
according to the sale and purchase agreed, the necessary attestation that
the purchase of the Shares is registered with the Company’s shareholders’
register.
	 
	4.2	 	The Purchaser shall pay the Purchase Price by cash.
	 
	4.3	 	The Purchaser shall at the Closing Date hold an extraordinary
shareholders meeting, in which a new board of directors is to be elected /
appointed. Further the shareholders meeting shall decide to change the
name of the Company to Jotec AS. These resolutions shall immediately be
sent for registration to The National Register of Business Enterprises.
	 
	5.	 	Warranties and Representation of the Seller.
	 
	 	 	Prior to the signing of this agreement the Purchaser has undertaken a
limited due diligence. This by a interview of the managing director of the
Company, and by reviewing employee contracts, 2 supplier contracts, 4
customer contracts, company certificate, existing lease agreement,
statement of accounts of the Company per 31.12.03 and per 30.06.04, not
signed tax return report, confirmation of receivables per 31.07.04,
comments to Short term liabilities, comments to Intercompany Receivables,
list of shareholders for 2003, list of

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	 	 	customers including receivables, list of supplier including payables, confirmed
information regarding V AT payable per 19.08.04, balance bank overdraft per
18.08.04, articles of association of the Company, written statement from the
Company that no inspection of accounts has occurred and written statement from
employee in regard of repayment of loan.
	 
	5.1	 	The Seller hereby warrants and represent to the Purchaser as follows,
unless otherwise has been stated:

	 	i)	 	that the Seller is to the necessary extent authorized to
execute and deliver this agreement and to consummate the transaction
contemplated hereby;
	 
	 	ii)	 	that all the Shares are valid issued and fully paid and are
legally and beneficially owned by the Seller. The consummation of
the transaction contemplated in this agreement will convey to the
Purchaser good title to the Shares, free and clear of encumbrances
as of the Closing date;
	 
	 	iii)	 	that so far the Seller is aware, except for the bankruptcy
petition put forward by the landlord, there is no current or pending
action or suit, litigation, prosecution, arbitration or other
proceeding in which the Company is engaged or involved or which is
threatened by or against the Company,
	 
	 	iv)	 	that the annual accounts for 2003 attached as Annex I, and
previous years and the accountancy, regarding the Company, is in
accordance with generally accepted accounting principles, and that
these accounts reflects the true value of the Company;
	 
	 	v)	 	that the accounts per 30.06.04, attached as Annex 2, is in
accordance with generally accepted accounting principles, and that
these accounts reflects the true value, and gives a correct picture
of the development of the business of the Company;
	 
	 	vi)	 	that the accounts receivables of the Company, as described in
the accounts per 30.06.04, are fully and legally valid as accounts
receivables.
	 
	 	vii)	 	that all assets belonging to the Company are not pledged or
otherwise placed as security in any form, except for existing bank
collateral;
	 
	 	viii)	 	that the tax affairs, including all handling of tax issues,
of the Company are in order and in accordance with Norwegian tax
legislations;
	 
	 	ix)	 	that the Seller is not aware of that any of its key personnel
have terminated, or in near future intend to terminate, their
employment contracts;

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	 	x)	 	that the Company have no obligations what so ever in relation to any
pension plans;
	 
	 	xi)	 	that the Seller prior to the Closing Date will not sell or
in any way transfer, to a third party, title to the shares to which
the Purchaser have a right according to this agreement;
	 
	 	xii)	 	that the Seller prior to the Closing Date will not make any
decisions in relation to the business of the Company that are not
ordinary for the daily business of the Company, and
	 
	 	xiii)	 	that all information given and documentation presented by
the Seller / Company to the Purchaser in relation to the limited
due diligence are correct and satisfactorily complete for the
business of the Company and for the purpose of the due diligence.
Further that the Seller and/or the Company in relation to this
transaction not have detained any information which can be
evaluated as essential.

	5.2	 	The Seller shall indemnify the Purchaser from any direct and or
indirect losses due to breaches of warranties and representations given by
the Seller in clause 5.1 above. However, no claim based on such warranties
or representations shall accrue to the Purchaser against the Seller
unless:

	 	i)	 	the Seller or representatives of the Company, except for
clause 5.1 section (iv), (v) and (viii), has acted negligent or by
purpose,
	 
	 	ii)	 	the Seller receives from the Purchaser a written notice
containing details of the claim and, to the extent reasonably
practicable, the estimate of the amount thereof, on or before
25.08.06, except for clause 5.1 section (viii) where such claim
must be put forward on or before 25.08.07, and
	 
	 	iii)	 	the aggregate amount of the liability of the Seller exceeds
NOK150.000,-. If the aggregate amount exceeds NOK 150.000,-, the
liability of the Seller will include the amount in total.

	 	 	Sellers liability, as a consequence of any breaches of the warranties and
representatives given, will under any and all circumstances be limited
to a total amount of NOK 500.000,-
	 
	6.	 	Warranties of the Purchaser.
	 
	6.1	 	The Purchaser hereby warrant and represent to the Seller that on the
date hereof:

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	 	i)	 	that the Purchaser are to the necessary extent
authorized to execute and deliver this agreement, to perform its
obligations hereunder and to consummate the transactions
contemplated hereby, and
	 
	 	ii)	 	that the execution and delivery this agreement and the
consummation of the transaction contemplated hereby have been duly
and validly authorized by all possible requisite corporate action
on the part of the Purchaser.

	7.	 	Different Matters
	 
	 	 	The Company has an “intercompany payable” to the Seller and a “intercompany
receivable” towards the Swedish company AESP AB. Both the accounts payable
and the accounts receivable shall in this clause be estimated to/similar to
the actual balance value in the accounts of the Company per the Closing
Date.
	 
	 	 	The Parties have agreed, and in relation to the a counts payable, that the
Company shall pay NOK 2.000.000,- to the Seller within 15 working days
after the Closing Date. Further, that any additional payment of the balance
to the Seller fully will depend on whether the Company within 26.02.05
(here and after referred to as “Final Date”) receives any payment in
relation to the account receivables from AESP AB. All and any payment prior
to the Final Date from AESP AS to the Company, in relation to the accounts
receivable, shall immediately by the Company be transferred to the Seller.
Any such transfer of funds from the Company to the Seller shall reduce the
remaining balance of the accounts payable. The Company shall have no
obligations whatsoever towards the Seller to pay any remaining balance, in
relation to the accounts payable, if such balance still exists on the Final
Date.
	 
	 	 	The Seller is aware of, and accepts, that any accounts receivable on the
hands of the Company towards AESP AB, which is established after the
Closing Date (here and after referred to as “New Accounts Receivables”),
shall have priority towards the obligation of the Company to use such
received funds to reduce the balance of the accounts payable to the Seller.
This means that any payments received by the Company from the AESP AB prior
to the Final Date, shall reduce any and all New Accounts Receivables before
any reducement of the balance of the accounts payable to the Seller.
	 
	7.2	 	The Parties have agreed to start discussions immediately after the
Closing Date, with the purpose to enter into a distributor agreement,
where the Company, for the future, shall purchase from the Seller the
following products at competitive conditions:

	 	•	 	Signamax Active
	 
	 	•	 	Signamax Passive

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	7.3	 	The Seller shall refrain from (directly and indirectly) engaging in
a similar line of business as the Company’s business, or working for or be
connected with any firm or company engaged in similar business as the
Company in Norway for a period of 3 years from the Closing Date. However,
the Seller shall have the right to sell its products to other companies
located in Norway. The Seller shall also, and for the same period, refrain
from in any way solicit or attempt to solicit any business or employees
from the Company.
	 
	8.	 	Confidentiality.
	 
	 	 	The Parties have agreed that the content of this agreement and all
information that is disclosed in relation to this agreement shall be held
confidential between the Parties, except for the obligation of the Seller,
in accordance with SEC regulations, to file a copy of this agreement as an
exhibit to a future SEC filing.
	 
	9.	 	General.
	 
	9.1	 	This agreement may be executed in two counterparts, each of which
shall be considered an original and all of which shall be considered one
and the same agreement and shall become effective when two counterparts
have been signed by or on behalf of each Party and delivered to the other
Parties, it being understood that all Parties need to sign the same
counterpart.
	 
	9.2	 	No variation of this agreement (or any document entered into pursuant
to this agreement) shall be valid unless it is in writing and signed by or
on behalf of each of the Parties hereto.
	 
	9.3	 	If any term or other provision of this agreement is invalid, illegal
or unenforceable, all other provisions of this agreement shall remain in
full force and effect so long as the economic or legal substance of the
transactions contemplated hereby is not affected in any manner materially
adverse to any Party.
	 
	9.4	 	The Parties shall cover their respective expenses in connection with
this agreement and the consummation contemplated hereby, including
professional fees and costs of attorneys, accountants and advisors.
	 
	10.	 	Governing Law and Legal Venue.
	 
	10.1	 	This agreement shall be governed and construed in accordance with the
laws of Norway.
	 
	10.2	 	Any disputes arising out of this agreement shall be subjected to
negotiations between the Parties. If the Parties fail to solve such
dispute, such dispute is to be brought to and settled by the city court of
Os1o.

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IN WITNESS WHEREOF, this agreement has been duly executed and
delivered by or on behalf of each of the Parties hereto as of the
date first written above.

	 	 	 	 	 
	AESP Inc. Miami

 	 
	By:  	/s/ Slav Stein
 	 
	 	Name:  	Mr. Slav Stein 	 
	 	Title:  	President 	 
	 

	 	 	 	 	 
	Jorgen Holmefjord AS

 	 
	By:  	/s/ Jorgen Holmefjord
 	 
	 	Name:  	Mr. Jorgen Holmefjord 	 
	 	Title:  	CEO 	 
	 

8Sale & Purchase Agreement

 

EXHIBIT 10.3

SALE AND PURCHASE AGREEMENT

by and between

AESP, INC.

and

INTRONICS BARNEVELD B.V.

in respect of the shares in

ADVANCED ELECTRONIC SUPPORT PRODUCTS COMPUTERTILLBEHOR I SWEDEN AB

 

 

	 	 	 	 	 	 	 
	Contents
	 	 	 	Page

	Clause 1.

	 	Interpretation.
	 	 	3	 
	Clause 2.

	 	Subject.
	 	 	5	 
	Clause 3.

	 	Purchase Price.
	 	 	5	 
	Clause 4.

	 	Intercompany Receivables and Liabilities.
	 	 	5	 
	Clause 5.

	 	Conditions.
	 	 	5	 
	Clause 6.

	 	Closing.
	 	 	6	 
	Clause 7.

	 	Warranties.
	 	 	7	 
	Clause 8.

	 	Representations and Warranties of Intronics.
	 	 	7	 
	Clause 9.

	 	Protective Covenants.
	 	 	8	 
	Clause 10.

	 	Liability for Breach of the Warranties.
	 	 	8	 
	Clause 11.

	 	Defense of a claim pursuant to a Breach of the Warranties.
	 	 	9	 
	Clause 12.

	 	Further action.
	 	 	10	 
	Clause 13.

	 	Confidentiality.
	 	 	10	 
	Clause 14.

	 	Miscellaneous.
	 	 	10	 
	Clause 15.

	 	Assignment of rights and obligations.
	 	 	11	 
	Clause 16.

	 	Governing law and arbitration.
	 	 	11	 
	Clause 17.

	 	Notices and place of residence.
	 	 	11	 
	 
	 	 	 	 	 	 
	Schedules
	 	 	 	 	 	 
	 
	 	 	 	 	 	 
	Schedule 1

	 	Norwegian inventory	 	 	 	 
	Schedule 2

	 	Agreement Norwegian Inventory	 	 	 	 
	Schedule 3

	 	Warranties	 	 	 	 
	Schedule 4

	 	Norwegian Statement	 	 	 	 
	Schedule 5

	 	Employee contracts	 	 	 	 
	Schedule 6

	 	Financial Statements 2003 of the Company	 	 	 	 

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THE UNDERSIGNED: 

	1.	 	Intronics Barneveld B.V., a private company with ‘limited liability,
with corporate seat in Barneveld and having its address at Hermesweg 2,
represented at this matter by Mr H. Mohle (hereinafter referred to as
“Intronics”)
	 
	2.	 	AESP, Inc, a public company with limited liability, with corporate
seat in Miami and having its address at 1810 N.E 144th Street, North
Miami, FL 33181, USA, represented at this matter by Mr S. Stein
(hereinafter referred to as “AM”)
	 
	 	 	Together hereinafter as the “Parties”.

WHEREAS: 

	a.	 	AM is the holder of the entire issued capital of Advanced
Electronic Support Products Computertillbehor i Sweden AB, reg no
556333-6691 a private company with limited liability with corporate seat
in Tierp (hereinafter referred to as the “Company”)
	 
	b.	 	AM is willing to sell 100% of the shares of the Company to
Intronics and Intronics is willing to buy 100% of the shares of the
Company from AM.
	 
	c.	 	This agreement will be signed between Parties following the Letter of
Intent signed October 1, 2004.

HEREBY AGREE AS FOLLOWS: 

Clause 1. Interpretation 

	1.1.	 	Affiliated Party: in respect of a person or company:

	 	a.	 	any person who, or company which, belongs to the same group as
that person or company;
	 
	 	b.	 	any subsidiary of that person or company;
	 
	 	c.	 	any person of whom, or company of which, that person or company
is a subsidiary, and any other person who, or company which, is a
subsidiary of the first mentioned person or company;
	 
	 	d.	 	any member of a corporate body, and any employee of that person
or company or of an Affiliated Party;

Annual Accounts: the Company’s annual accounts for the Financial Year;

Annual Report: the annual report of the Company’s management concerning the
Financial Year;

Assets: movable and immovable objects, rights to objects and other property,
shares, membership rights, claims, and any other tangible ,or intangible assets
other than IP- rights;

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Breach of the Warranties: any circumstance which causes a Warranty,
individually or together with other Warranties, to be untrue or misleading at
the time of execution of this agreement and/or the Closing;

Closing: the performance of the actions referred to in clause 8;

Closing Date: the date of transferring the Shares from AM to Intronics;

Disclosure Letter: the letter to be executed at the Closing and addressed by AM
to Intronics purporting to contain exceptions to the Warranties;

Due Diligence Information: all information regarding the Group made available
to Intronics;

Financial Year: the Company’s financial year, which ran from 1 January 2003 to
31 December 2003 (inclusive);

Financial Statements: the Company’s annual accounts for the Financial Year;

Intercompany Receivables and Intercompany Liabilities: the liabilities or
receivables of the Current shareholders against the Company;

IP Rights: copyrights, related rights, patents, rights to design or models,
rights to topographies of semi conductors, trade mark rights, rights to trade
names or other databases, applications for and rights to obtain any IP Right,
and any other rights to intellectual products and similar rights under Swedish
law;

Permits: permits, exemptions and any other authorization from any person who or
body which has been vested with public authority in Sweden or elsewhere;

Shares: the entire issued share capital of the Company;

Share Purchase Price: the purchase price for the shares;

Taxes: all taxes, contributions, dues and other charges which are, pursuant to
any statutory provision, levied by or due to any person who or body which has
been vested with public authority in Sweden;

Warranties: the warranties issued by AM to Intronics herein and listed in
Schedule 3;

Warranty: every item of Schedule 3. 

	1.2.	 	In this agreement, references to a specific clause, or Schedule,
shall be construed as a reference to that specified clause, or Schedule,
of this agreement.
	 
	1.3.	 	The headings and the table of contents are inserted for convenience
of reference only and shall have no effect on the interpretation of this
agreement.
	 
	1.4.	 	Unless otherwise provided herein, all references to the word “day”
shall means a business day in Sweden, exclusive Saturdays, Sundays and
Swedish legal holidays, and all references to a fixed time of a day shall
mean Swedish time as in effect on such day.

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	1.5.	 	The words “herein” “hereof” “hereunder” “hereby” “hereto” “herewith”
and words of similar import shall refer to this agreement as a whole and
not to any particular article, section, subsection or other subdivision.
	 
	1.6.	 	Where a statement in this Agreement (including the Schedules) is
qualified by the expression “to the best of the Current Shareholder’s
knowledge” or “so far as the Current Shareholder’s is aware” or any
similar expression shall be deemed to include all actual knowledge of the
officers and directors of AM.

Clause 2. Subject 

	2.1.	 	AM hereby sells 100% (one hundred percent) of the Shares of the
Company, which is 1 000 shares with a nominal value of SEK. 100 (100 000
Swedish Crowns), and Intronics hereby purchases 100% (one hundred percent)
of the Shares of the Company.

Clause 3. Purchase Price 

	3.1.	 	Intronics will pay to AM SEK 10 (ten Swedish Crowns) for 100% of the
Shares in the Company, as described in article 2.1. of this agreement.

Clause 4. Intercompanv Receivables and Liabilities 

	4.1.	 	Intercompany receivables of the Company have been set off against
intercompany debts according to sections 4.2 and 4.3
	 
	4.2.	 	The Norwegian inventories, Schedule 1, has been sold by the
Company to AM for a purchase price of SEK 10, according to a separate
agreement, Schedule 2. Payment has been received.
	 
	4.3.	 	AM warrants that the claim of the former subsidiary of AM, Jotec
AESP, Norway, of at least SEK 1,118,843 (in words: one million one hundred
eighteen thousand eight hundred and forty three Swedish Crowns) on the
Company, has not been transferred to AM and AM will under no condition be
creditor to such claim against the Company. Jotec AESP, Norway has given a
statement, Schedule 4, that it has no claims against the Company.

Clause 5. Conditions 

	5.1.	 	The Closing shall not take place until the following conditions have
been fulfilled:

	 	a.	 	any notifications and applications required under any statutory
provision in connection with the conclusion or performance of this
agreement have been made to the competent government authorities, and in
respect of each such notification or application:

	 	i.	 	the relevant government authority has stated in writing that
the subject matter of the notification or application is permitted,
or that there are no objections to it or that it will both be subject
to any further investigations; or

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	 	ii.	 	where applicable, the period during which the relevant
government authority may refuse permission for object to or start an
investigation, into the subject matter of the notification of
application, has expired without any such action having been taken;

	 	b.	 	the net asset value, which can be described as total assets less
bank overdraft less short term liabilities excluding intercompany debt
of the Company was on August 31, 2004, at least SEK 690,000 (in words:
six hundred and ninety- thousand Swedish Crowns).
	 
	 	c.	 	to Intronics satisfactory commercial, legal, fiscal and
financial due diligence at the Company has been executed.
	 
	 	d.	 	The bank of the Company (Handelsbanken) shall have released AM
from any and all obligations under its guarantee for the revolving
credit (check-kredit) of the Company.
	 
	 	e.	 	Intronics has received a signed, legally binding, document from
Jotec AS, Norway, according to            Schedule 4.

	5.2.	 	Each party shall use its best efforts to ensure that the conditions
referred to in subclause 1 shall be fulfilled as soon as possible after
the execution of this agreement. If a party becomes aware of a
circumstance, which will or may prevent the fulfillment of a condition, it
will notify the other parties thereof without delay.
	 
	5.3.	 	If any of the conditions referred to in subclause 1. have not been
fulfilled on the Closing Date, all parties may, by notifying the other
parties:

	 	a.	 	waive the unfulfilled conditions referred to in subclause 1.; or
	 
	 	b.	 	postpone the Closing to a date to be determined by the parties
and which shall not be later than 10 (ten) days after the day on which
the Closing had to take place originally; or
	 
	 	c.	 	terminate this agreement.

	5.4.	 	In the event that one of the parties shall postpone the Closing,
this agreement shall apply as if the postponed Closing were the original
Closing.
	 
	5.5.	 	In the event that one of the parties shall terminate this agreement,
this party shall not be liable to the other parties for any damages,
including but not limited to special, incidental or consequential damages,
punitive damages, loss of anticipated profits, savings, or costs (whether
for advisers or incurred otherwise, however arising.

Clause 6. Closing 

	6.1.	 	Closing shall take place at the offices of Advokatfirman Lindahl in
Uppsala on the Closing Date            October 14, 2004.
	 
	6.2.	 	At Closing AM shall:

	 	a)	 	Deliver to Intronics

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	 	(i)	 	the share certificates representing the Shares duly
endorsed on the reverse in favor of Intronics;

	 	b)	 	make available to Intronics the share register of the Company;

	6.3.	 	At Closing Intronics shall:

	 	a)	 	pay to AM the SEK 10 (ten) in accordance with the payment
instructions to be given to Intronics by AM;
	 
	 	b)	 	cause a shareholders’ meeting and a board meeting to be held in
the Company at which new directors and deputy directors are appointed
and company signatories are amended. The firm of the Company shall be
changed, deleting the present firm, within six months after Closing.

	6.4.	 	At Closing AM shall:
	 
	 	 	Enter into an Agreement regarding the Company’s inventories at Jotec AS,
Norway, Schedule 2.
	 
	6.5.	 	At the Closing and from time to time thereafter, AM shall execute
such additional instruments and take such other actions as Intronics may
request in order to effectively sell, transfer and assign Shares to
Intronics and confirm Intronics title thereto.
	 
	6.6.	 	At the Closing the Company and AM shall have entered into a
Distribution Agreement granting the Company the exclusive rights to
distribute Signamax branded products.

Clause 7. Warranties 

	7.1.	 	AM represents and warrants to Intronics that the warranties set out
in Schedule 3 to the best of AM’s knowledge, are true and not
misleading both at the time of execution of this agreement and at the time
of the Closing. AM has the burden of proof that it did not know about the
circumstances that constitutes the breach of Warranty.
	 
	7.2.	 	The Warranties set out explicitly in this Agreement and in
Schedule 3 are the only and exclusive warranties given by AM to
Intronics with respect to the Group and their business and they are in
lieu of, cancel and supersede any other representations or warranties
given at any occasion, whether in writing of verbally, express or implied,
or provided by law, if any.

Clause 8 Representations and Warranties of Intronics 

	8.1.	 	Intronics hereby gives the following representations and warranties
to AM. Unless otherwise specifically stated, the representations and
warranties shall be true and accurate as of the date of this Agreement and
as of Closing.
	 
	8.2.	 	Power and authority of Intronics

	 	a)	 	Intronics is a company duly organized, validly existing under the
laws of the Netherlands.

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	 	b)	 	Intronics has full power and authority to purchase the Shares
and to perform all other undertakings hereunder and the execution,
delivery and performance of this Agreement. This Agreement is a valid
and binding obligation of Intronics enforceable against Intronics in
accordance with the terms herein.

	8.3.	 	Violation of Laws and Regulations

	 	a)	 	Assuming all filings, registrations, approvals, notifications
etc required by applicable laws are duly made, the execution and
delivery of this Agreement by Intronics and the Closing of the
transactions contemplated hereby:

	 	•	 	will not violate any provision of the Articles of Association of
Intronics;
	 
	 	•	 	will not violate any statute, rule, regulation, order or
decree of any public body or authority by which Intronics or any of
its properties or assets is bound; and
	 
	 	•	 	will not result in a violation or breach of, or constitute a
default under, any license, franchise, permit, indenture, agreement
or other instrument to which Intronics is a party, or by which
Intronics or any of its properties or assets is bound.

Clause 9. Protective Covenants 

	9.1.	 	AM covenants with Intronics (for itself and as agent for AM) that it
shall not:

	 	•	 	for a period of three (3) year(s) from Closing be concerned
in any business, carrying on businesses in Sweden which is
competitive with any of the businesses carried on by the Company at
Closing; or
	 
	 	•	 	in case the Company does not fulfill its purchase and
payment obligations under the Distribution Agreement (section 6.6)
with AM, regarding AM Signamax branded products, and AM has
terminated the Distribution Agreement, according to the terms of the
Distributor Agreement, AM is entitled to distribute such products in
Sweden through other by AM appointed distributors/agents.
	 
	 	•	 	for a period of three (3) year(s) from Closing induce any
Key Employee, as listed to leave the employment of the Company; or
	 
	 	•	 	make use of or (except as required by law or any competent
regulatory body) disclose or divulge to any third party any
information of a secret or confidential nature relating to the
business or affairs of the AM group or its customers or suppliers.

Clause 10. Liability for Breach of the Warranties

	10.1.	 	If a Breach of the Warranties becomes apparent within twelve (12)
months after the Closing, Intronics may demand that AM shall reimburse
Intronics for the amount of damages actually incurred, exceeding an
aggregate amount of SEK 100.000. AM shall never be obliged to pay more
than SEK 1.000.000.

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	10.2.	 	Intronics agrees that AM shall not be under any liability with
respect to any Breach of the Warranties in the event, that the
circumstance have been disclosed in the Warranties themselves.
	 
	10.3.	 	If a Breach of the Warranties becomes apparent after the Closing,
Intronics shall be entitled to payment of damages in accordance with
Swedish law. In no event shall AM be liable more than once for the same
matter under different Warranties or be liable for any special, incidental
or consequential damages, including but not limited to punitive damages,
loss of anticipated profits, savings, or costs, however arising.
	 
	10.4.	 	No liability of AM in case of a Breach of the Warranties shall
exist:

	 	a.	 	if the damage has been wholly caused by conduct, including a
failure to act, which can be attributed to Intronics and/or the Company
after the Closing Date; and
	 
	 	b.	 	if Intronics and/or the Company after the Closing Date has
failed to take all reasonable measures to prevent and limit damage; and
	 
	 	c.	 	in case the claim under the Warranties is based upon a
liability, which is contingent only, unless, and until such contingent
liability becomes an actual damage.

Clause 11. Defense of a claim pursuant to a Breach of the Warranties 

	11.1.	 	In the event that a Breach of the Warranties arises, with respect
to any third party claim, dispute or litigation, AM shall, with
consultation of Intronics, elect, at their own expense, a legal and/or tax
adviser (or any other adviser) to assist the parties in contesting and/or
defending such claim, dispute or litigation.
	 
	11.2.	 	Intronics shall ensure that

	 	a.	 	Intronics and each of the relevant members of the Company shall
do everything in their power to conduct a defense against, or to
negotiate about, the matter concerned and to minimize the damage which
may arise;
	 
	 	b.	 	The relevant members of the Company shall grant to AM and its
advisers all authorizations and all assistance reasonably necessary to
enable AM to defend any claim or dispute and to properly conduct any
litigation resulting therefrom; and
	 
	 	c.	 	Neither Intronics, nor the relevant member(s) of the Company
shall assume any liability or enter into an agreement with respect to a
fact or circumstance which may lead to a claim, without AM’s prior
written consent.

	11.3.	 	Intronics shall ensure that AM can, if so requested by AM,
compromise or defend, at its own expense and by its own counsel, any such
dispute. If AM undertakes to compromise or defend any such asserted
liability, AM shall promptly notify Intronics in writing of its intentions
to do so. Intronics shall cooperate with AM or its counsel in the defense
against any asserted liability and in any compromise thereof .

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Clause 12. Further action 

	12.1.	 	In the event that at any moment after the Closing any further
action shall be necessary to finalize the transfer of ownership of he
Shares and/or other actions as may be required to achieve the purposes of
this agreement, each party shall take such further action (including the
execution and delivery of such further instruments and documents) as any
other party may reasonably request, all at the sole cost and expense of
the requesting party.
	 
	12.2.	 	If requested by AM for the preparation of tax filings and/or
financial reporting, Intronics shall provide, and will cause the Company
to provide, all reasonable cooperation to AM in regard thereto.
	 
	12.3.	 	If requested by Intronics for the preparation of tax filings and/or
financial reporting, AM shall provide all reasonable co-operation to
Intronics in regard thereto.

Clause 13. Confidentiality 

	13.1.	 	Each party undertakes not to disclose this agreement or any
information obtained in connection with the conclusion or performance of
this agreement to any third party, unless there is an obligation to
disclose pursuant to the law, any regulation of any officially recognized
exchange or a binding decision of the court or any other governmental
authority. Insofar as possible, the party making the disclosure shall
consult with the other party before the disclosure about the form and
contents thereof.

Clause 14. Miscellaneous 

	14.1.	 	This Agreement shall not have any legal effect until each party has
validly executed this agreement.
	 
	14.2.	 	If part of this Agreement is or becomes invalid or non-binding, the
parties shall remain bound to the remaining part. The parties shall
replace the invalid or non-binding part by provisions which are valid and
binding and the legal effect of which, given the contents and purpose of
this agreement, is, to the greatest extent possible, similar to the
invalid or non-binding part.
	 
	14.3.	 	After the Closing, this agreement may not be rescinded in whole or
in part. The party in error shall bear the risk of any error made in
creating this Agreement.
	 
	14.4.	 	After this agreement ends, for whatever reason, those clauses which
are meant to do so by their nature shall remain effective.
	 
	14.5.	 	This agreement contains the entire agreement of the parties in
relation to its subject matter. From the moment that this agreement is
signed, all previous agreements and arrangements made by the parties in
relation to its subject matter shall end.
	 
	14.6.	 	The Schedules to this agreement shall form a part thereof.
	 
	14.7.	 	This agreement may only be amended or supplemented in writing.
	 
	14.8.	 	Unless this agreement provides otherwise, all costs which a party
incurred or must incur in preparing, concluding or performing this
agreement are for its own account.

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	14.9.	 	Subclauses 1 to 8 (inclusive) shall apply mutatis mutandis to
agreements, which are connected with this agreement, unless the relevant
agreement expressly provides otherwise.

Clause 15. Assignment of rights and obligations 

	15.1.	 	No party may assign rights and obligations, or its legal
relationship, under this agreement to any third party.

Clause 16. Governing law and arbitration 

	16.1.	 	This agreement shall be governed exclusively by the laws of Sweden.
	 
	16.2.	 	All disputes arising in connection with its agreement, including
disputes concerning the existence and validity thereof, shall be resolved
by Swedish courts with the district court of Stockholm as first instance.

Clause 17. Notices and place of residence 

	17.1.	 	Notices and other statements in connection with this Agreement may
only be given way of a letter sent by regular or other mail, or place of
residence as most recently nominated in accordance with subclauses 2. and
3. or at another place of residence. Each statement must be in the English
language. A statement, which does not comply with this subclause, shall
have no effect.
	 
	17.2.	 	For all matters relating to this agreement, each party nominates
the address referred to below as its place of residence:

To Intronics

Intronics Barneveld B. V.

Address: Hermesweg 22

Postal code and town: NL 3771 ND Barneveld, The Netherlands

PO Box: 123;

Postal code and town: NL 3770 AC Barneveld, The Netherlands

For the attention of: Mr Henk Mohle

Telefax: +31-342-413489

To the Current Shareholder

AESP, Inc.

Address: 1810 N.E. 144th Street

Postal code and town: North Miami, FL 33181, USA

For the attention of: Mr S. Stein

Telefax: + 1-305-949-4483

	17.3.	 	A party may nominate a different place of residence from that
referred to in sublclause 2 by notifying the other parties of that new place.

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	17.4.	 	Subclauses 1 to 3 (inclusive) shall also apply to notices given in
connection with agreements which are connected with this Agreement, unless
the relevant agreement expressly provides otherwise.

IN EVIDENCE WHEREOF:

This agreement was signed in four folds in the name of each party in the
manner set out below.

For and on behalf of

Intronics Barneveld B.V.

	 	 	 	 	 
	 	 	 
	/s/  H Mohle
 	 
	By: Mr H Mohle 	 
	Title:  	Director 	 
	 

For and on behalf of

AESP, Inc.

	 	 	 	 	 
	 	 	 
	/s/  S. Stein
 	 
	By: Mr S. Stein 	 
	Title:  	CEO 	 

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