Document:

25 August 2022

 

 

Re: Acquisition of 25% of Equity
in, and Call Option Agreement with:

 

ALTEROLA BIOTECH INC.

 

 

Mr. Terry Rafih Chairman

BRIGHT GREEN CORPORATION (BGXX),

401 E Las Olas Blvd #1400,

Fort Lauderdale, Florida 33301, USA.

 

Dear Mr. Rafih,

 

The purpose of this letter (the “Letter
of Intent” or “LOI”) is to set forth: (A) the binding agreement of both parties regarding Bright Green Corporation’s
acquisition of 25% of Alterola Biotech Inc., a Nevada Company traded on OTC Markets under the symbol “ABTI,” in exchange for
a consideration of cash and consideration to be paid; and (B) the non-binding understanding of both parties regarding Alterola Biotech
Inc.’s intent to irrevocably grant to Bright Green Corporation the right to purchase the remaining shares of Alterola Biotech Inc.,
on terms and conditions as set out in this Letter of Intent.

 

The Parties:

 

		(1)	ALTEROLA BIOTECH INC., a company organized under
the laws of Nevada, having offices at 47 Hamilton Square, Birkenhead, Merseyside, CH41 5AR, United

Kingdom (the “Seller”, “Alterola”
or “ABTI”);

 

And

 

		(2)	BRIGHT GREEN CORPORATION, a US corporation, with its registered
office at 401 E Las Olas Blvd #1400, Fort Lauderdale, Florida 33301, USA (the “Buyer”,

“Bright Green”, or “BGXX”).

 

 

		1.	The Terms

 

a)      
Subject to the binding terms of this LOI, the parties hereby agree that Buyer shall purchase 25%
of the issued Common Shares of ABTI (“25% Share Purchase”) for a total considered value of four-million dollars ($4,000,000)
(the “Purchase Price”).

 

b)      
The obligations of Buyer at the signing of this LOI are subject to the fulfilment of the following
conditions, which may be waived in whole or in part by BGXX in writing:

 

(i)   
BGXX shall have obtained and completed sufficient and satisfactory financing of the Purchase Price;

    	 		 

    	 

    

 

(ii)   
Alterola shall submit to, and facilitate, a due diligence review performed by BGXX counsel; and

 

(iii)   
Terry Rafih, or his designee, shall be appointed to Alterola’s board of directors.

 

c)      
Both parties will work in good faith to close the 25% Share Purchase transaction, arising from the
binding terms of this LOI, within fourteen to twenty (14-20) days from

the signing of this LOI (the “LOI Closing”). Regardless,
the LOI Closing will not exceed 1 month from the signing of this LOI in case of being subject to any delays from regulatory authorities
which are out of Bright Green’s or Alterola’s control.

 

d)     
Additionally, both Bright Green and Alterola will work in good faith and in a reasonable time-frame
to reach a binding agreement to be executed in a final set of definitive documents (“Definitive Agreement”) governing the
following transaction:

 

(i)   
a grant to the Buyer of the right to purchase the remaining issued Common Shares of ABTI (the “Call
Option”) for an amount equal to $0.06 per share (the “Call Price”).

 

e)      
Both parties will work in good faith to execute the Definitive Agreement and close the contemplated
transaction within 3 months of such execution (the “Definitive Agreement Closing”). Regardless, the Definitive Agreement Closing
will not exceed 6 months from the execution of this LOI subject to any delays from regulatory authorities which are out of Bright Green’s
or Alterola’s control.

 

f)       
The Definitive Agreement Closing is conditioned on the agreement of Tim Rogers (Alterola Chairman
of the Board), Seamus McAuley (CEO), Dominic Schiller (CIPO), Colin Stott (COO), Hunter Land (VP Translational Research), Guy Webber (Pre-clinical
Development Director) and Shridar Prasad (Research and Development Director) (the “ABTI Key Personnel”):

 

(i)   
to continue their employment at Alterola for at least 3 years, a time period to be measured from
the date of the Definitive Agreement Closing; and

 

(ii)   
that the ABTI Key Personnel’s shares of BGXX will be locked up for at least 3 years, a time
period to be measured from the date of the Definitive Agreement Closing.

 

g)      
The positions at BGXX for ABTI Key Personnel will be agreed ahead of the Definitive Agreement Closing
and will become immediately available with roles to commence upon the Definitive Agreement Closing.

 

h)      
As a condition to entering the Definitive Agreement, both parties will negotiate in good faith to
determine the most suitable collaboration approaches for ABTI to acquire cannabis and cannabis extracts, derivatives, products and research
services from BGXX, including a Joint Venture Agreement, a Research and Development Collaboration Agreement, a First Right of Refusal
Supply Agreement, or any other form of mutually

    	 	2	 

    	 

    

 

advantageous agreement which will enable deeper and more
formal collaboration that shall inure to the benefit of both parties.

 

i)       
Both parties shall make representations, warranties, and indemnities as are customary for transactions
of these types; and include a warranty that there are no liabilities in Alterola other than as disclosed in its audited financial statements
and quarterly filings with the SEC, and that Bright Green warrants that there are funds, promissory notes or agreements in place for the
share purchases in Alterola and, furthermore, that there is an authorised escrow account and process for the delivery of shares against
the consideration.

 

j)       
On the terms of this LOI, the Seller shall sell and the Buyer shall buy, with effect from completion,
the Shares with full title guarantee, free from any encumbrance and together with all rights that attach (or may in the future attach)
to them including, in particular, the right to receive all dividends and distributions declared, made or paid on or after the date of
the LOI Closing or Definitive Agreement Closing, respectively.

 

 

		2.	Consideration

 

Bright Green shall acquire 25% of Alterola for four-million
dollars ($4,000,000) in cash. Additionally, Bright Green may, at its sole discretion, exercise the Call Option for the purchase of Alterola’s
remaining issued Common Shares at an amount equal to the Call Price. Details on the timing and mechanism of these payments and the Call
Option are as follows:

 

a)      
Four-million dollars ($4,000,000) in cash to be paid to Alterola within 14-20 but not exceeding 30
days of signing this LOI provided that BGXX is satisfied with the results of the due diligence review performed on Alterola by BGXX counsel.

		i)	The cash component will be divided equally by Alterola amongst relevant shareholders and the following
companies, namely:

 

OPES MEDICAL HOLDINGS LIMITED PHYOTHERAPEUTICS HOLDINGS LIMITED
EQUIPPED4 HOLDINGS LIMITED

TPR GLOBAL LIMITED

 

c)      
If the Buyer elects, in its sole discretion, to exercise the Call Option, it shall provide the Seller
notice in writing of such election (a “Call Notice”).

 

		d)	Within ten (10) business days after receiving the Call Notice:

 

(i)   
the Seller shall transfer the remaining issued Common Shares of ABTI to Buyer and issue any applicable
certificates evidencing the Shares in the name of the Buyer; and

 

(ii)   
the Buyer shall pay the Call Price to Seller as follows: six-million dollars ($6,000,000) in cash
with the remainder to be paid in BGXX stock to Alterola shareholders.

 

    	 	3	 

    	 

    

		3.	Definitive Agreement.The Definitive Agreement will contain
such terms and conditions as the parties shall agree, including:

 

a)         
Definitive Agreement. The parties shall, as indicated above,
memorialize the understanding and intentions set forth herein in the Definitive Agreement.

 

b)        
No Material Adverse Information. The investigation by each
party of the other party shall reveal, in the investigating party's sole judgment, no material adverse information with respect to the
other party or its business, prospects, assets, or financial condition.

 

c)         
Access. Each party shall provide to the other party access
to such information as may reasonably be necessary for the other party to complete its due diligence.

 

d)        
Consents and Approvals. Both Parties shall have received,
to the extent required, board approval for the consummation of all transactions contemplated herein and in the Definitive Agreement, all
necessary consents and approvals of governmental bodies, regulatory authorities, and other third parties, including the approval of the
transactions by each company’s board of directors.

 

e)         
Brokers' Fees. The parties hereto acknowledge that any broker
or other person or entity acting on behalf of Alterola is or will be entitled to any finders or brokers' fee as previously agreed or any
other similar commission directly or indirectly in relation to the transactions contemplated hereunder. Accordingly, Alterola is solely
responsible for the payment of any such fees.

 

f)          
Legally Binding Provisions. The parties recognize that,
in completing the 25% Share Purchase and Call Option, documents and information relating to their respective affairs must be made available
to the other party and that certain matters must be agreed to in a fashion binding upon the parties
to facilitate such availability and the resulting due diligence. Accordingly, the parties hereto, intend to be legally bound under
this provision in addition to the provisions in subsections 1(a), 1(b), 1(c), 2(a), 3(g) (No-Shop), 3(i) (Confidentiality), 3(j) (Non-Circumvention),
3(k) (Binding Consent) and 3(l) (Public Announcements).

 

g)         
No-Shop. Both Parties contemplate the expenditure of substantial
time and money in connection with the 25% Share Purchase and the preparation and negotiation of the Definitive Agreement, including the
due diligence required thereby. Accordingly, upon execution of this Letter of Intent and for a period of 90 days from the date thereof
(the “No- Shop Period”), Alterola shall not, directly or indirectly, through any representative or otherwise solicit or entertain
offers from, negotiate with or in any manner encourage, discuss, accept or consider the proposal of any other person relating to the acquisition
of the stock of either party or business, in whole or in part, whether through direct purchase, merger, consolidation or other business
combination without the written consent of the other party, provided that this No-Shop restriction shall not prevent Alterola from entering
into an equity investment transaction for the purpose of financing its activities. The parties further represent and warrant that there
are no existing letters of intent, or other agreements to which either party are bound with respect to the Definitive Agreement or that
conflict with any of the foregoing transactions.

 

    	 	4	 

    	 

    

h)        
Governing Law. This Letter of Intent shall be interpreted,
construed, and enforced in accordance with the laws of the State of Delaware, without giving effect to its rule or principles governing
conflicts of laws that would compel the application of the substantive law of any other jurisdiction.

 

i)          
Confidentiality. The matters contemplated in this Letter
of Intent and any information of a confidential nature relating to the Bright Green or ABTI disclosed in connection with the proposed
Definitive Agreement are to be treated as strictly confidential and should not be disclosed to any person (except to the parties’
respective executive managers, board of directors and outside advisors and consultants who need to know and have an obligation to maintain
this information in confidence).

 

j)          
Non-Circumvention. ABTI hereby agrees that from the effective
date of this Letter of Intent that it shall not negotiate, enter into or attempt to negotiate or enter into any agreement, covenant or
understanding, written or oral, directly or indirectly, that could in any manner be construed to be inconsistent with this Letter of Intent
or could undermine any of the rights or interests of the other party in, under or in respect of this Letter of Intent and agrees not to
interfere with, circumvent, frustrate or otherwise impede in any manner the realization by the other party of any of the objectives it
seeks or benefits derived, or to be derived, from any of the foregoing. ABTI further agrees that, for a period of two years from the effective
date of this Letter of Intent, that it shall not, directly or indirectly through an affiliate, solicit, discuss, pursue, or enter into
any transaction or agreement with any person (including any firm, partnership, or other entity) directly or indirectly introduced to it
by BGXX without in each case the prior written consent of BGXX, which consent may be given or withheld in its discretion and may be conditioned
on payment of a transaction fee.

 

k)        
Binding Consent. While it is understood that this Letter
of Intent, except for this subsection and subsections 1(a), 1(b), 1(c), 2(a), 3(f) (Legally Binding Provisions), 3(g) (No-Shop), 3(i)
(Confidentiality), 3(j) (Non-Circumvention) and 3(l) (Public Announcements) does not constitute a binding agreement between the parties,
it does set forth the understanding in principle and the present intention of the parties to enter into the Definitive Agreement providing
for the above understandings upon the terms and conditions mutually acceptable to both Parties.

 

l)          
Public Announcements. No public announcements relating to
this LOI are to be made by either party without the prior approval of the wording and the consent of the other party unless required to
do so by law and any public announcement shall require mutually agreed disclosure as to the medical science statement and commercial terms
of the proposed agreement.

 

		m)	Termination: This Letter of Intent may be terminated:

 

		i.	By mutual written consent of both parties.

		ii.	Upon written notice by either party that due diligence is not satisfactory;
or

		iii.	Upon written notice by any party to the other party
if the Definitive Agreement has not been executed prior to the expiration of the No-Shop Period; provided, however, that the termination
of the binding provisions shall not affect the liability of any party of breach of any of the binding provisions prior to the termination.
Upon termination, the parties shall have no further obligations hereunder, except under subsection 3(i) (Confidentiality)
and 3(j) (Non- Circumvention).

 

    	 	5	 

    	 

    

 

Accepted and Agreed to:

 

BRIGHT GREEN CORPORATION

 

/s/
Terry Rafih

Name: Terry Rafih,

Chairman

 

 

 

Accepted and Agreed to:

ALTEROLA BIOTECH INC.

  

/s/ Seamus McAuley

Name: Seamus McAuley,

Chief Executive Officer

 

    	 	6ex_419056.htm

Exhibit 10.1

 

AMENDMENT TO REGISTRATION RIGHTS AGREEMENT

 

This amendment (“Amendment”) is dated as of August 31, 2022 and amends the Registration Rights Agreement, dated as August 11, 2022 by and among ENDI Corp., a Delaware corporation (the “Company”), and Cohanzick Management, LLC, a Delaware limited liability company (the “CBA Member”) and the undersigned parties listed under Holder on the signature page thereto (each such party, a “Holder” and collectively, the “Holders”) (the “Registration Rights Agreement”).

 

RECITALS

 

A.         WHEREAS, the Company, the CBA Member and certain Holders entered into the Registration Rights Agreement on August 11, 2022.

 

B.         WHEREAS, the Company, the CBA Member and certain Holders desire to extend the filing date of the Registration Statement for a Shelf Registration from “within thirty (30) calendar days following the Closing Date” to “on or before May 1, 2023”.

 

C.         WHEREAS, pursuant to 5.6 of the Registration Rights Agreement, upon the written consent of (a) the Company and (b) the holders of a majority of the total Registrable Securities (on an as converted to Common Stock basis), compliance with any of the provisions, covenants and conditions set forth in the Registration Rights Agreement may be waived, or any of such provisions, covenants or conditions may be amended or modified.

 

D.         WHEREAS, the CBA Member and Holders signatory to this Amendment hold at least a majority of the total Registrable Securities.

 

E.         WHEREAS, all capitalized terms used herein and not defined shall have the meanings set forth in the Registration Rights Agreement.

 

AGREEMENT

 

NOW, THEREFORE, the parties hereto hereby covenant and agree to be bound as follows:

 

(1)    Amendment. The first sentence in Section 2.3.1 of the Registration Rights Agreement, is hereby amended and replaced in its entirety to read as follows:

 

“On or before May 1, 2023, the Company shall submit to or file with the Commission a Registration Statement for a Shelf Registration on Form S-1 (the “Form S-1 Shelf”) or a Registration Statement for a Shelf Registration on Form S-3 (the “Form S-3 Shelf”), if the Company is then eligible to use a Form S-3 Shelf, in each case, covering the resale of all the Registrable Securities (determined as of two (2) business days prior to such submission or filing) on a delayed or continuous basis and shall use its commercially reasonable efforts to have such Shelf declared effective as soon as practicable after the filing thereof, but no later than the earlier of (a) the sixtieth (60th) calendar day (or ninetieth (90th) calendar day if the Commission notifies the Company that it will “review” the Registration Statement) following Closing and (b) the tenth (10th) business day after the date the Company is notified (orally or in writing, whichever is earlier) by the Commission that the Registration Statement will not be “reviewed” or will not be subject to further review (such earlier date, the “Effectiveness Deadline”); provided, however, that if such Effectiveness Deadlines falls on a Saturday, Sunday or other day that the Commission is closed for business, the Effectiveness Deadlines shall be extended to the business day on which the Commission is open for business.”

 

(2)    Acknowledgement. The parties acknowledge that except for the amendment expressly set forth in this Amendment, all other terms and conditions of the Registration Rights Agreement shall be unaffected hereby and remain in full force and effect.

 

(3)    Miscellanous.

 

(a) This Amendment may be executed in multiple counterparts (including PDF counterparts), each of which shall be deemed an original, and all of which together shall constitute the same instrument, but only one of which need be produced.

 

(b) To the extent that any provision of the Registration Rights Agreement needs to be waived or amended in order to allow the amendment made herein to be effective, such provisions are hereby waived and/or amended to the extent necessary to allow for the amendment made herein to be effective.

 

(c) This Amendment and all disputes or controversies arising out of or relating to this Amendment or the transactions contemplated hereby shall be governed by, and construed in accordance with, the internal laws of the State of Delaware, without regard to the laws of any other jurisdiction that might be applied because of the conflicts of laws principles of the State of Delaware.

 

(d) On or after the date of this Amendment, each reference in the Registration Rights Agreement to “this Agreement,” “hereunder,” “hereof,” “herein” or words of like import referring to the Registration Rights Agreement shall mean and be a reference to the Agreement as amended by this Amendment, and this Amendment shall be deemed to be a part of the Registration Rights Agreement.

 

 

[SIGNATURE PAGE FOLLOWS]

 

 

 

 

 

 

 

IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed as of the date and year first above written.

 

ENDI CORP.

 

 

By:         _/s/ Alea Kleinhammer______________                           

Name:         Alea Kleinhammer

Title:          Chief Financial Officer

 

 

Confirmed and Agreed:

 

Cohanzick Management, LLC

 

 

By:        _ /s/ David Sherman_________________                           

Name:         David K. Sherman

Title:          Managing Member

 

 

 

_/s/ David Sherman________________________

David Sherman

 

 

 

_/s/ Steven Kiel___________________________

Steven Kiel

 

 

 

Arquitos Capital Offshore Master, Ltd.

 

By:         _/s/ Steven Kiel____________________                           

Name:         Steven Kiel

Title:          Authorized Signor

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