Document:

exv10w13

Exhibit 10.13

UNIT ISSUANCE AGREEMENT

     THIS UNIT ISSUANCE AGREEMENT (this “Agreement”), dated as of the 16th day of
February, 2006, is entered into by and among INTERNATIONAL FARMLAND HOLDINGS LLC (“IFH”), a
Delaware limited liability company, XANGO CORPORATION (“Xango”), a British Virgin Islands
corporation, ETIEL SOCIÉTÉ ANONYME (“Etiel”), a British Virgin Islands corporation, COBRA
CA HOLDINGS LTD. (“Cobra”), a British Virgin Islands corporation, and LIUEDE HOLDINGS LTD.
(“Liuede” and, together with Xango, Etiel and Cobra, the “UMA Members”), a British Virgin
Islands corporation,

WITNESSETH:

     WHEREAS, concurrently with the execution and delivery of this Agreement, IFH, Adeco
Brasil Participações Ltda (the “UMA Purchaser”), Usina Monte Alegre S.A. (“UMA”) and the
UMA Shareholders (as defined below) are entering into a Share Purchase and Sale Agreement
of even date herewith (the “Share Purchase Agreement”) pursuant to which the UMA
Shareholders are selling and tranferring to the UMA Purchaser approximately 40% of the
issued and outstanding capital stock of UMA;

     WHEREAS, the UMA Shareholders have transferred the remaining issued and outstanding
shares of capital stock of UMA (the “Remaining Shares”) to the UMA Members;

     WHEREAS, the parties are entering into this Agreement, among other things, to provide
for (i) the transfer by the UMA Members to IFH of the Remaining Shares in exchange for the
issuance by IFH of an aggregate of 12,079,991 Ordinary Units (as defined below), (ii) the
possible issuance of additional Ordinary Units by IFH to the UMA Shareholders as
contemplated in Section 4.5 of the Share Purchase Agreement and (iii) the possible
cancellation of certain of the Ordinary Units issued by IFH to the UMA Shareholders in
discharge of certain indemnification obligations of the related UMA Shareolders provided
for in Section 4.3 of the Share Purchase Agreement, all on the terms and conditions set
forth below;

     NOW, THEREFORE, in consideration of these premises and for other good and valid
consideration, the receipt and sufficiency of which are hereby acknowledged, the parties
agree as follows:

ARTICLE I

DEFINITIONS

     As used in this Agreement, the following terms have the meanings set forth below:

     “Additional IFH Units” shall mean, collectively, the Additional IFH SPA Units and the
Additional IFH UIA Units.

 

 

     “Additional IFH SPA Units” shall have the meaning set forth in Section 2.3.

     “Additional
IFH UIA Units” shall have the meaning set forth in Section 5.2.

     “Agreement” shall have the meaning provided in the preamble.

     “Announcement” shall have the meaning provided in Section 6.1.

     “Cobra” shall have the meaning provided in the preamble.

     “Code shall mean the Internal Revenue Code of 1986, as amended.

     “Dispute” shall have the meaning specified in Section 6.4(a).

     “Etiel” shall have the meaning provided in the preamble.

     “ICC” shall have the meaning specified in Section 6.4(a).

     “IFH” shall have the meaning provided in the preamble.

     “IFH LLC Agreement” shall mean the Second Amended and Restated Limited Liability Company
Agreement of International Farmland Holding LLC dated as of the date hereof, as same may be amended
from time to time.

     “IFH Unit Indemnification Payment Notice” shall have the meaning provided in Section 5.2.

     “IFH Unit Indemnification Payment Option” shall have the meaning provided in Section 5.2.

     “IFH Units” shall mean, collectively, the Initial IFH Units and any Additional IFH Units.

     “Incentive Option Plan” shall have the meaning provided in the IFH LLC Agreement.

     “Initial IFH Units” shall have the meaning provided in Section 2.2.

     “Liens” shall have the meaning provided in Section 2.1.

     “Liuede” shall have the meaning provided in the preamble.

     “Old IFH LLC Agreements” shall mean the “Old LLC Agreements” as defined in the IFH LLC
Agreement.

     “Ordinary Units” shall mean Ordinary Units of membership interests in IFH.

     “Other Members” shall mean the holders of Other Membership Units.

     “Other Membership Units” shall mean any units of membership interests in IFH other than the
IFH Units being issued to the UMA Members.

     “Outstanding Options” shall mean any options granted under the Incentive Option Plan that
are outstanding.

     “Person” shall mean any individual, corporation, partnership, joint venture, association,
joint-stock company, limited liability company, trust, unincorporated organization, government
or any agency or political subdivision thereof, or any other legal entity.

     “Private Placement Memorandum” shall have the meaning provided in Section 3.8.

     “Rebate Amount” shall have the meaning provided in Section 2.3.

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     “Related UMA Member” shall mean: (a) in respect of Mario Jorge de Lemos Vieira, Xango, (b) in
respect of Corina de Almeida Leite, Etiel, (c) in respect of Marcelo Weyland Barbosa Vieira, Liuede
and (d) in respect of Paulo Albert Weyland Vieira, Cobra.

     “Related UMA Shareholder” shall mean: (a) in respect of Xango, Mario Jorge de Lemos Vieira,
(b) in respect of Etiel, Corina de Almeida Leite, (c) in respect of Liuede, Marcelo Weyland Barbosa
Vieira and (d) in respect of Cobra, Paulo Albert Weyland Vieira.

     “Remaining Shares” shall have the meaning provided in the recitals.

     “Rules” shall have the meaning specified in Section 6.4(a).

     “Securities Act” shall mean the Securities Act of 1933, as amended.

     “Share Purchase Agreement” shall have the meaning provided in the recitals.

     “SPA Discharge Amount” shall have the meaning provided in Section 2.4.

     “SPA Indemnification Payment Amount” shall have the meaning provided in Section 2.4.

     “SPA Unit Indemnification Payment Notice” shall have the meaning provided in Section
2.4.

     “SPA Unit Indemnification Payment Option” shall have the meaning provided in Section
2.4.

     “Subsidiary” shall mean any Person of which fifty percent (50%) or more is owned,
directly or indirectly, by IFH.

     “UIA Discharge Amount” shall have the meaning provided in Section 5.1.

     “UIA Indemnification Payment Amount” shall have the meaning provided in Section 5.1.

     “UIA Unit Indemnification Payment Notice” shall have the meaning provided in Section
5.1.

     “UIA Unit Indemnification Payment Option” shall have the meaning provided in Section
5.1.

     “UMA” shall have the meaning provided in the recitals.

     “UMA Members” shall have the meaning provided in the preamble.

     “UMA Purchaser” shall have the meaning provided in the recitals.

     “UMA Shareholders” shall mean Marcelo Weyland Barbosa Vieira, Paulo Albert Weyland
Vieira, Mário Jorge de Lemos Vieira, Gustavo Abel de Lemos Vieira, Corina de Almeida Leite,
Ana Barbosa Vieira and Espólio de Céu de Lemos Vieira.

     “Units” shall mean Units of membership interests in IFH.

     “Unit Rebate Payment Notice” shall have the meaning provided in Section 2.3.

     “Unit Rebate Payment Option” shall have the meaning provided in Section 2.3.

     “Xango” shall have the meaning provided in the preamble.

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ARTICLE II

TRANSFER OF REMAINING SHARES; ISSUANCE AND POTENTIAL

CANCELLATION OF IFH UNITS

     Section 2.1 Transfer of Remaining Shares. Concurrently with the execution and delivery of
this Agreement, the UMA Members are transferring to IFH the following shares of the capital stock
of UMA constituting all the Remaining Shares, in each case free and clear of any encumbrance,
burden, lien, charge, pledges, options, preemptive rights and other similar rights or claims of any
nature whatsoever related thereto (“Liens”) and the parties are causing UMA to record the transfer
of such shares in the appropriate shares registry book (livro de registro de ações nominativas) and
shares transfer book (livro de registro de transferências de ações nominativas), duly reflected by
the signature of the applicable representatives in such books:

	 	 	 	 	 
	UMA Member
	 	Number of UMA Shares
	Xango
	 	 	152,369	 
	Etiel
	 	 	172,511	 
	Liuede
	 	 	434,153	 
	Cobra
	 	 	231,644	 

The transfer of the Remaining Shares reflected above to IFH shall constitute the Capital
Contribution (as defined in the LLC Agreement) of each UMA Member under the LLC
Agreement.

     Section 2.2 Issuance of Initial IFH Units. Concurrently with the execution and delivery of
this Agreement, in consideration of the sale and transfer of the Remaining Shares to IFH, IFH is
issuing to each of the UMA Members the number of Ordinary Units set forth below (collectively, the
“Initial IFH Units”):

	 	 	 	 	 
	UMA Member
	 	Number of IFH Units
	Xango
	 	 	1,857,938	 
	Etiel
	 	 	2,103,543	 
	Liuede
	 	 	5,293,919	 
	Cobra
	 	 	2,824,591	 

     Section 2.3 Potential Issuance of Additional IFH SPA Units. In the event that any amount
becomes payable by the UMA Purchaser and/or IFH to the UMA Shareholders after the fifth anniversary
of the Closing Date under the Share Purchase Agreement as provided in Section 4.4 thereof (a
“Rebate Amount”), each UMA Shareholder related to an UMA Member shall have the option (the “Unit
Rebate Payment Option”) of requiring that such UMA Shareholder’s

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portion of such Rebate Amount be paid in whole or in part by causing IFH to issue to such UMA
Member additional Ordinary Units (“Additional IFH SPA Units”) with an aggregate value (rounded to
the nearest whole Unit) equal to the portion of such Rebate Amount to be paid in such manner,
subject to such UMA Shareholder and IFH agreeing on the per Unit value of such Additional IFH SPA
Units as contemplated by Section 4.4 of the Share Purchase Agreement. Such Unit Rebate Payment
Option shall be exercisable by the applicable UMA Member giving IFH written notice of such exercise
(a “Unit Rebate Payment Notice”) within ten (10) days after such Rebate Amount has been finally
determined pursuant to the applicable provisions of the Share Purchase Agreement, which Unit Rebate
Payment Notice shall specify the portion of such Rebate Amount to be paid through the issuance of
Additional IFH SPA Units to such UMA Member. Subject to IFH and such UMA Shareholder agreeing on
such per Unit value, such Additional IFH SPA Units shall be issued in accordance with Section 4.6
of the IFH LLC Agreement with effect as of the date of such Unit Rebate Payment Notice.

     Section 2.4 Potential Cancellation of IFH Units. In the event that any UMA Shareholder
related to an UMA Member becomes obligated to pay any amount in respect of a “Contigency” pursuant
to Section 4.2 of the Share Purchase Agreement (an “SPA Indemnification Payment Amount”), such UMA
Shareholder shall have the option (the “SPA Unit Indemnification Payment Option”) to discharge such
obligation in whole or in part by the cancellation of IFH Units held by such UMA Member (rounded to
the nearest whole Unit) with an aggregate value equal to the portion of such SPA Indemnification
Payment Amount to be so discharged (the “SPA Discharge Amount”). The value of each IFH Unit for
such purpose shall be deemed to be equal to US$1.2203832 (or the Brazilian Reais equivalent thereof
determined pursuant to the applicable provisions of the Share Purchase Agreement), which amount
shall be proportionately decreased or increased any time that the “Unit Price” applicable to such
IFH Units is adjusted pursuant to Section 5.9 of the IFH LLC Agreement. Such SPA Unit
Indemnification Payment Option shall be exercisable by the applicable UMA Member giving IFH written
notice of such exercise (a “SPA Unit Indemnification Payment Notice”) within ten (10) days after
such SPA Indemnification Payment Amount has been finally determined pursuant to the applicable
provisions of the Share Purchase Agreement, which SPA Unit Indemnification Payment Notice shall
specify the SPA Discharge Amount to be discharged through the cancellation of IFH Units held by
such UMA Member. Such cancellation shall take effect in accordance with Section 4.7 of the IFH LLC
Agreement as of the date of such SPA Unit Indemnification Payment Notice.

ARTICLE III

REPRESENTATIONS AND WARRANTIES OF THE UMA MEMBERS

     Each UMA Member severally and not jointly represents and warrants to IFH as follows:

     Section 3.1 Organization. Such UMA Member is a corporation duly organized, validly existing
and in good standing under the laws of the British Virgin Islands and has the corporate power and
authority to own its property and carry on its business as owned and carried on at the date hereof
and as contemplated hereby. Such UMA Member is duly licensed or qualified to do business and in
good standing in each of the jurisdictions in which the failure to be so licensed or qualified
would have a material adverse effect on its ability to perform its

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obligations hereunder. The applicable Related UMA Shareholder owns of record and
beneficially all of the outstanding capital stock of such UMA Member.

     Section 3.2 Authority; Enforceability. Such UMA Member has the corporate power and
authority to execute and deliver this Agreement and to perform its obligations hereunder, and the
execution, delivery and performance of this Agreement have been duly authorized by all necessary
corporate action. This Agreement has been duly executed and delivered by such UMA Member and
constitutes the legal, valid and binding obligation of such UMA Member, enforceable against such
UMA Member in accordance with its terms.

     Section 3.3 No Conflict; No Default. Neither the execution, delivery or performance of this
Agreement by such UMA Member nor the consummation by such UMA Member of the transactions
contemplated hereby (i) does or will conflict with, violate or result in a breach of (or has
conflicted with, violated or resulted in a breach of) any of the terms, conditions or provisions of
any law, regulation, order, writ, injunction, decree, determination or award of any court, any
governmental department, board, agency or instrumentality, domestic or foreign, or any arbitrator,
applicable to such UMA Member, (ii) does or will conflict with, violate, result in a breach of or
constitute a default under (or has conflicted with, violated, resulted in a breach of or
constituted a default under) any of the terms, conditions or provisions of the articles of
incorporation or bylaws of such UMA Member or of any material agreement or instrument to which such
UMA Member is a party or by which such UMA Member is or may be bound or to which any of its
properties or assets is subject, (iii) does or will conflict with, violate, result in (or has
conflicted with, violated or resulted in) a breach of, constitute (or has constituted) a default
under (whether with notice or lapse of time or both), accelerate or permit the acceleration of (or
has accelerated) the performance required by, give (or has given) to others any material interests
or rights or require any consent, authorization or approval under any indenture, mortgage, lease,
agreement or instrument to which such UMA Member is a party or by which such UMA Member or any of
its properties or assets is or may be bound or (iv) does or will result (or has resulted) in the
creation or imposition of any lien upon any of the properties or assets of such UMA Members.

     Section 3.4 Governmental Authorizations. Any registration, declaration or filing with, or
consent, approval, license, permit or other authorization or order by, or exemption or other action
of, any governmental, administrative or regulatory authority, domestic or foreign, that was or is
required in connection with the valid execution, delivery and performance by such UMA Member of
this Agreement or consummation by such UMA Member of any transactions contemplated hereby has been
completed, made or obtained on or before the date hereof.

     Section 3.5 Investment Intent; Transfer Restrictions. The IFH Units to be issued to such
UMA Member hereunder will be acquired for the account of such UMA Member for investment only and
not with a view to, or with any intention of, any distribution thereof. Such UMA Member
acknowledges that such IFH Units have not been registered under the Securities Act, or the
securities laws of any state or other jurisdiction and cannot be disposed of unless subsequently
registered under the Securities Act and any applicable laws of states or other jurisdictions or an
exemption from such registration is available. Such UMA Member also understands that the transfer
of such IFH Units is subject to certain restrictions contained in the IFH LLC Agreement.

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     Section 3.6 Accredited Investor. Each of such UMA Member and the Related UMA Shareholder
who owns all the issued and outstanding capital stock of such UMA Member is an “accredited
investor” as defined in Rule 501(a) of Securities and Exchange Commission Regulation D.

     Section 3.7 Sophistication. Such UMA Member has such knowledge and experience in financial
and business matters that it is capable of evaluating the merits and risks of an investment in IFH
and making an informed investment decision with respect thereto. Such UMA Member has consulted its
own advisers with respect to its proposed investment in IFH and has reviewed and fully understands
the provisions of this Agreement and the IFH LLC Agreement.

     Section 3.8 Furnished Information. Such UMA Member acknowledges that it has been furnished
a copy of Supplement No. 2 to the Confidential Private Placement Memorandum dated September 28,
2004 (the “Private Placement Memorandum”). Such UMA Member further acknowledges that the
information related to tax and structural considerations set forth in the Private Placement
Memorandum has been superseded and that such UMA Member has completed its own due diligence
investigation with respect to such tax and structural matters and has not relied on any information
related to tax and structural considerations set forth in the Private Placement Memorandum. In the
event of any conflict between this Agreement or the IFH LLC Agreement on the one hand, and the
Private Placement Memorandum on the other hand, the terms of this Agreement or the IFH LLC
Agreement, as the case may be, shall prevail. Such UMA Member has had the opportunity to ask
questions and receive answers concerning the terms and conditions of investing in IFH, as well as
the opportunity to obtain any additional information necessary to verify the accuracy of the
information contained in the Private Placement Memorandum which IFH possesses or can acquire
without unreasonable effort or expense.

     Section 3.9 No General Solicitation or General Advertising. Such UMA Member acknowledges
that at no time was such UMA Member or the Related UMA Shareholder presented with, or solicited by,
any leaflet, public promotional meeting, internet communication, newspaper or magazine article,
radio or television advertisement or any other form of general advertising or general solicitation
with respect to an investment in IFH.

     Section 3.10 Ownership of Remaining Shares. The Remaining Shares being sold by such UMA
Member to the UMA Purchaser hereunder are owned by such UMA Member free and clear of any and all
claims, security interests, Liens or encumbrances whatsoever. The transfer of such Remaining Shares
to the UMA Purchaser hereunder will convey to such UMA Purchaser good and marketable title to such
Remaining Shares free and clear of any claims, security interests, Liens or encumbrances
whatsoever, and such Remaining Shares may be freely assigned and transferred by such UMA Member in
compliance with the laws and regulations applicable in Federative Republic of Brazil.

     Section 3.11 No Broker or Finder. Other than Rabobank International do Brasil, S.A., whose
fees and expenses will be paid as provided in Section 5.1 of the Share Purchase Agreement, there
are no contracts, agreements or understandings between such UMA Member or the Related UMA
Shareholder and any Person that would give rise to a claim for any brokerage

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commission, finder’s fee or other like payment with respect to the sale by such UMA Member of
Remaining Shares to the UMA Purchaser hereunder or the issuance of IFH Units by IFH to such UMA
Member hereunder.

     Section 3.12 Certain Tax Matters. The Related UMA Shareholder who owns all the issued and
outstanding capital stock of such UMA Member is not investing in IFH through such UMA Member for
the principal purpose of permitting IFH to satisfy the 100-partner limitation set forth in Treasury
Regulations Section 1.7704-1(h) (regarding the private placement safe harbor from treatment as a
publicly traded partnership). Such UMA Member is not a “U.S. person” as defined in Section
7701(a)(3) of the Code. Such UMA Member shall promptly notify IFH of any change in circumstances
that would cause the foregoing representations to no longer be true. The UMA Member shall provide
to IFH all documentation as requested by IFH necessary to determine whether withholding is required
with respect to the UMA Member interest in IFH under the Internal Revenue Code of 1986, as amended.

     Section 3.13 Foreign Corrupt Practices Act. Such UMA Member has not violated, is not in
violation of, and will not violate any provision of the U.S. Foreign Corrupt Practices Act of
1977, as amended, to the extent applicable to such UMA Member.

ARTICLE IV

REPRESENTATIONS AND WARRANTIES OF IFH

     IFH hereby represents and warrants to the UMA Members as follows:

     Section 4.1 Organization.

               (a) IFH is a limited liability company duly formed, validly existing and in good standing
under the laws of the Delaware and has the limited liability company power and authority to own its
property and carry on its business as owned and carried on at the date hereof and as contemplated
hereby. IFH is duly licensed or qualified to do business and in good standing in each of the
jurisdictions in which the failure to be so licensed or qualified would have a material adverse
effect on its financial condition or the ability to perform its obligations hereunder.

               (b) Each Subsidiary of IFH is a corporation duly organized, or a partnership or limited
liability company duly formed, and is validly existing and in good standing under the laws of the
jurisdiction of its incorporation or formation and has the corporate, partnership or limited
liability company power and authority to own its property and carry on its business as owned and
carried on at the date hereof and as contemplated hereby. Each such Subsidiary is duly licensed or
qualified to do business and in good standing in each of the jurisdictions in which the failure to
be so licensed or qualified would have a material adverse effect on its financial condition.

     Section 4.2 Authority; Enforceability. IFH has the limited liability power and authority to
execute and deliver this Agreement and the IFH LLC Agreement and to perform its obligations
hereunder and thereunder, and the execution, delivery and performance of this

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Agreement and the IFH LLC Agreement have been duly authorized by all necessary corporate action.
Each of this Agreement and the IFH LLC Agreement has been duly executed and delivered by IFH and
constitutes the legal, valid and binding obligation of IFH, enforceable against it in accordance
with its terms.

     Section 4.3 No Conflict; No Default. Neither the execution, delivery or performance of this
Agreement or the IFH LLC Agreement by IFH, nor the consummation by IFH of the transactions
contemplated hereby or thereby (i) does or will conflict with, violate or result in a breach of (or
has conflicted with, violated or resulted in a breach of) any of the terms, conditions or
provisions of any law, regulation, order, writ, injunction, decree, determination or award of any
court, any governmental department, board, agency or instrumentality, domestic or foreign, or any
arbitrator, applicable to IFH or any Subsidiary, (ii) does or will conflict with, violate, result
in a breach of or constitute a default under (or has conflicted with, violated, resulted in a
breach of or constituted a default under) any of the terms, conditions or provisions of the IFH LLC
Agreement or the constitutive documents of any Subsidiary or of any material agreement or
instrument to which IFH or any Subsidiary is a party or by which IFH or any Subsidiary is or may be
bound or to which any of its properties or assets is subject, (iii) does or will conflict with,
violate, result in (or has conflicted with, violated or resulted in) a breach of, constitute (or
has constituted) a default under (whether with notice or lapse of time or both), accelerate or
permit the acceleration of (or has accelerated) the performance required by, give (or has given) to
others any material interests or rights or require any consent, authorization or approval under any
indenture, mortgage, lease, agreement or instrument to which IFH or any Subsidiary is a party or by
which IFH or any Subsidiary or any of their respective properties or assets is or may be bound or
(iv) does or will result (or has resulted) in the creation or imposition of any lien upon any of
the properties or assets of IFH or any Subsidiary.

     Section 4.4 IFH Membership Interests.

               (a) The Initial IFH Units have been duly authorized, validly issued and fully paid, and upon
the issuance thereof as contemplated herein, any Additional IFH Units will have been duly
authorized, validly issued and fully paid, in each case free and clear of any Liens (other than
any Liens created by action of the applicable UMA Members) and without violating the preemptive
rights of any Person (with the preemptive rights of the existing members of IFH provided for in
Section 5.8 of the Old IFH LLC Agreements having been duly waived).

               (b) All of outstanding Other Membership Units have been duly authorized and validly issued
without violating the preemptive rights of any Person and have been offered and issued without
violating the Securities Act or any securities laws of any applicable state or other jurisdiction.
To the best knowledge of IFH, neither IFH nor any Other Member has breached any obligation of such
party under the IFH LLC Agreement, including (without limitation), any obligation on the party of
any Other Member to contribute capital to IFH.

               (c) Except for the Outstanding Options (a true and correct list of which has heretofore been
provided by IFH to the UMA Shareholders), there are no issued or outstanding subscriptions,
options, warrants or other rights to purchase or acquire any Other Membership Units, and no options
granted under the Incentive Option Plan have been exercised.

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               (d) Neither IFH or any Subsidiary is a party to any agreement or understanding pursuant to
which it is obligated to purchase or redeem any Other Membership Units or Outstanding Options or is
otherwise under any obligation to repurchase, redeem or otherwise acquire any Other Membership
Units or Outstanding Options.

               (e) Other than the IFH LLC Agreement: (i) IFH is not a party to any agreement or understanding
pursuant to which it is obligated to register any Other Membership Units or other securities under
the Securities Act or the securities laws of any state or other jurisdiction and (ii) to the best
knowledge of IFH, no Other Member or holder of an Outstanding Option is a party to any voting
agreement, voting trust, irrevocable proxy or other agreement affecting the voting rights of any
Other Membership Units or any agreement providing for any call or put option, right of first
refusal or offer or other right to acquire or dispose of any Other Membership Units or Outstanding
Options.

               (f) The issuance of the Initial IFH Units has not caused any adjustment in the “Unit Price”
pursuant to Section 5.9 of the Old IFH LLC Agreements.

     Section 4.5 Exempt Issuances. Assuming the accuracy and completeness of the representations
made by the UMA Members herein, the issuance and sale of the Initial IFH Units and the Additional
IFH Units are not required to be registered under the registration provisions of the Securities Act
or the securities laws or any other applicable state or other jurisdiction.

     Section 4.6 No Litigation. Neither IFH or any Subsidiary is presently a defendant in any
material litigation or arbitration, including suits, claims, proceedings or notified
investigations, before any federal, state, municipal or other government department in the United
States or abroad, and is not presently aware of any such threatened material litigation.

     Section 4.7 Financial Statements. IFH has heretofore delivered to the UMA Shareholders true
and correct copies of the following financial statements (collectively, the “Financial
Statements”): (i) the following unaudited financial statements for IFH — statements of assets and
liabilities and partners’ capital of IFH as of December 31, 2003, December 31, 2004 and September
30, 2005, statements of operations of IFH for the twelve months ended December 31, 2003 and
December 31, 2004 and the nine months ended September 30, 2005 and statements of cash flows for
each of such periods; (ii) the following audited financial statements for Adeco Agropecuaria S.R.L.
— a balance sheet as of June 30, 2005 and a statement of operations and a statement of cash flows
for the fiscal year ended June 30, 2005; (iii) the following audited financial statements for Adeco
Agropecuaria Brasil Ltda — a balance sheet as of June 30, 2005 and a statement of operations and a
statement of cash flows for the fiscal year ended June 30, 2005; (iv) the following audited
financial statements for Kelizer S.A. — a balance sheet as of June 30, 2005 and a statement of
operations and a statement of cash flows for the fiscal year ended June 30, 2005; and (v) the
following audited financial statements for La Agraria S.A.A.C y F. — a balance sheet as of June 30,
2005 and a statement of operations and a statement of cash flows for the fiscal year ended June 30,
2005. The Financial Statements have been prepared in accordance with U.S. generally accepted
accounting principles and fairly present the financial condition of the applicable entities as of
the dates indicated and the results of operations of IFH for the periods indicated.

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     Section 4.8 Operation of Businesses. Since September 30, 2005, IFH and its Subsidiaries
have each operated only in the ordinary course of business in a manner consistent with past
practices and there has been no material adverse change in the sales, profits, business,
operations, properties, assets, condition (financial or otherwise) of IFH or any Subsidiary.

     Section 4.9 Compliance with Laws. To the knowledge of IFH, the assets, properties and
business of the IFH and each of its Subsidiaries comply in all material respects with all
applicable requirements of law (including, without limitation, environmental laws) and court orders
and no notice, claim, demand or action has been received by or filed against IFH or any such
Subsidiary alleging any failure to so comply.

     Section 4.10 Taxes. IFH and each Subsidiary has filed all material income tax returns, as
well as material fiscal reports, forms and lists required by any applicable tax authority, and has
timely paid all material federal, state and local taxes and other governmental charges which are
due and payable by it.

     Section 4.11 No Labor Disruption. There are no material labor suits, actions or proceedings
pending against IFH or any Subsidiary relating to employees, commercial representatives or
independent contractors, and IFH does not presently know of any threats of significant strikes,
work stoppages or grievances pending by any such such employees.

     Section 4.12 No Material Defaults or Infringements. Neither IFH or any Subsidiary is in
material default under any material contract or agreement to which it is a party or to IFH’s
knowledge has materially infringed the intellectual property rights of any Person.

     Section 4.13 Registration and Permits. IFH and each Subsidiary has all material federal, state
or municipal government licenses, approvals, certificates, permits and franchises required by it to
carry on its business as presently conducted in each jurisdiction in which it operates, and is not
presently aware of any challenges or material threatened challenges by any relevant authority in
respect thereof.

     Section 4.14 Title to Assets. IFH and each Subsidiary has good and marketable title to all
material assets purported to be owned by it, all material tangible assets used by IFH and each
Subsidiary in its business is in reasonable working condition and IFH and its Subsidiaries own, or
have valid leases or licenses to use, all material assets required for the conduct of their
businesses as currently conducted.

     Section 4.15 Absence of Undisclosed Liabilities. Neither IFH or any Subsidiary is subject to
any material liability (whether pending or threatened, accrued, absolute, contingent or otherwise)
other than (i) liabilities reflected in the Financial Statements, (ii) liabilities incurred by IFH
or a Subsidiary subsequent to the date of the most recent applicable Financial Statements in the
ordinary course of business consistent with past practice that are similar to the liabilities
reflected in such Financial Statements and (iii) liabilities disclosed in the Private Placement
Memorandum or otherwise disclosed by IFH to the UMA Shareholders in writing prior to the date
hereof.

     Section 4.16 Full Disclosure. The Private Placement Memorandum, as modified and supplemented
by the additional documents heretofore delivered by IFH to the UMA

11

 

Shareholders, taken as a whole, (i) does not contain any untrue statements of a material fact, and
(ii) does not omit to state any material facts required to be stated therein or necessary, with
respect to clauses (i) and (ii) in order to make the statements contained therein, taken as a whole
and in light of the circumstances under which they were made, not misleading.

     Section 4.17 No Broker or Finder. There are no contracts, agreements or understandings between
IFH or any Subsidiary and any Person that would give rise to a claim for any brokerage commission,
finder’s fee or other like payment with respect to the sale by such the UMA Member of the Remaining
Shares to the UMA Purchaser hereunder or the issuance of IFH Units by IFH to the UMA Members
hereunder.

ARTICLE V

INDEMNIFICATION

     Section 5.1 Indemnification by the UMA Members. Each UMA Member shall indemnify and hold
IFH harmless from and against any and all losses, costs, damages or liabilities due to or arising
out of any breach of any representation, warranty or covenants of such UMA Member set forth in this
Agreement. In the event that any UMA Member becomes obligated to pay any indemnification amount to
IFH pursuant to this Section 5.1 (an “UIA Indemnification Payment Amount”), such UMA Shareholder
shall have the option (the “UIA Unit Indemnification Payment Option”) to discharge such obligation
in whole or in part by the cancellation of IFH Units held by such UMA Member (rounded to the
nearest whole Unit) with an aggregate value equal to the portion of such UIA Indemnification
Payment Amount to be so discharged (the “UIA Discharge Amount”). The value of each IFH
Unit for such purpose shall be deemed to be equal to US$1.2203832 (or the Brazilian Reais
equivalent thereof determined pursuant to the applicable provisions of the Share Purchase
Agreement), which amount shall be proportionately decreased or increased any time that the “Unit
Price” applicable to such IFH Units is adjusted pursuant to Section 5.9 of the IFH LLC Agreement.
Such UIA Unit Indemnification Payment Option shall be exercisable by the applicable UMA Member
giving IFH written notice of such exercise (a “UIA Unit Indemnification Payment Notice”) within ten
(10) days after such UIA Indemnification Payment Amount has been finally determined pursuant to the
applicable provisions of the Share Purchase Agreement, which UIA Unit Indemnification Payment
Notice shall specify the UIA Discharge Amount to be discharged through the cancellation of IFH
Units held by such UMA Member. Such cancellation shall take effect in accordance with Section 4.7
of the IFH LLC Agreement as of the date of such UIA Unit Indemnification Payment Notice.

     Section 5.2 Indemnification by IFH. IFH shall indemnify and hold the UMA Members harmless
from and against any and all losses, costs, damages or liabilities due to or arising out of any
breach of any representation, warranty or covenants of either of IFH set forth in this Agreement.
Each UMA Member shall have the option (the “IFH Unit Indemnification Payment Option”) of requiring
that the amount of any indemnification payment required to be paid buy IFH pursuant to this Section
5.2 be paid in whole or in part by IFH issuing to such UMA Member additional Ordinary Units
(“Additional IFH UIA Units”) with an aggregate value (rounded to the nearest whole Unit) equal to
the portion of such indemnification payment,

12

 

subject to such UMA Shareholder and IFH agreeing on the per Unit value of such Additional IFH UIA
Units for such purpose. Such IFH Unit Indemnification Payment Option shall be exercisable by the
applicable UMA Member giving IFH written notice of such exercise (a “IFH Unit Indemnification
Payment Notice”) within ten (10) days after the amount of such indemnification payment has been
finally determined hereunder, which IFH Unit Indemnification Payment Notice shall specify the
portion of such indemnification amount to be paid through the issuance of Additional IFH UIA Units
to such UMA Member. Subject to IFH and such UMA Shareholder agreeing on such per Unit value, such
Additional IFH UIA Units shall be issued in accordance with Section 4.6 of the IFH LLC Agreement
with effect as of the date of such Unit UIA Payment Notice.

ARTICLE VI

MISCELLANEOUS

     Section 6.1 Announcements. The parties to this Agreement agree that any announcement
addressed to the general public, relating to the transactions contemplated herein may only be
issued from and after the date of this Agreement (“Announcement”). Any party making any such
Announcement shall notify the other parties thereof within a reasonable time prior to making such
Announcement, stating the time and the content of such Announcement; provided that all
parties shall have a reasonable opportunity to review such an Announcement prior to its release.
Notwithstanding the foregoing, any party may issue any Announcement to the extent required by
applicable laws and regulations.

     Section 6.2 Notices.

               (a) Any notice, request, demand, approval or other communication required or permitted to be
given to a party pursuant to the provisions of this Agreement will be in writing and will be
effective and deemed given under this Agreement on the earliest of: (i) the date of personal
delivery, (ii) the date of transmission by facsimile, with confirmed transmission and receipt,
(iii) two (2) days after deposit with a nationally recognized courier or overnight service such as
Federal Express, or (iv) five (5) days after mailing via certified mail, return receipt requested.
All notices not delivered personally or by facsimile will be sent with postage and other charges
prepaid and properly addressed to the party to be notified at the address set forth for such party:

If to IFH:

International Farmland Holdings LLC

c/o Soros Fund Management LLC

888 Seventh Avenue

New York, New York 10106

USA

Facsimile:      (212) 541-7751

Attention:       Bo Kwon

13

 

     With a copy (which shall not constitute notice) to each of:

Goodwin Procter LLP

599 Lexington Avenue

New York, New York 10022

USA

Facsimile:      212-355-3333

Attention:      Kevin Sheridan, Esq.

     and

Pampas Humedas LLC

c/o Soros Fund Management LLC

888 Seventh Avenue

New York, New York 10106

USA

Facsimile:      (212) 541-7751

Attention:      Bo Kwon

     The UMA Members:

     If to Xango Corporation:

Caixa Postal 062

Alfenas, MG

37130-000

Brazil

Facsimile:      (55 23) 3573-2007

Attention:      Mario Jorge de Lemos Vieira

     If to Etiel Societé Anonyme:

Av. Brigadeiro Faria Lima 1461, 10th floor, Torre Sul

São Paulo, SP

01451-904

Brazil

Facsimile:      (55 11) 3814-1508

Attention:      Corina de Almeida Leite

     If to Cobra CA Holdings Ltd.:

Av. Delfim Moreira 106, apt. 101

Rio de Janeiro, RJ

22441-000

Brazil

Facsimile:      (55 21) 2217-2894

Attention:      Paulo Albert Weyland Vieira

14

 

     If to Liuede Holdings Ltd.:

Av. Delfim Moreira 210, apt. 202

Rio de Janeiro, RJ

22441-000

Brazil

Facsimile:      (55 21) 3573-2010

Attention:      Marcelo Weyland Barbosa Vieira

     With, in the case of each of each of the four UMA Members, a copy (which shall not
constitute notice) to:

Sidley Austin LLP

787 Seventh Ave.

New York, NY 10019

Facsimile:      (212) 839-7395

Attention:       Michael H. Yanowitch, Esq.

and

Vieira, Rezende, Barbosa e Guerreiro Advogados

Av. Presidente Wilson 231, 18 andar

Rio de Janeiro, RJ 20030-021

Facsimile:      (55 21 2217 2887)

Attention:      Fabio Rezende

               (b) Any party hereto (and such party’s permitted assigns) may change such party’s address for
receipt of future notices hereunder by giving written notice to the other parties hereto.

     Section 6.3 Governing Law. This Agreement and the rights of the parties hereunder shall be
governed by, and interpreted in accordance with, the laws of the State of Delaware, without regard
to any conflicts of law jurisprudence.

     Section 6.4 Arbitration.

               (a) In General. Any dispute, controversy or claim (a “Dispute”) arising out of or in
connection with this Agreement, including any question regarding its existence, validity,
enforcement, performance, legal interpretation or termination, shall be referred to and finally
resolved by arbitration. The arbitration shall be instituted and held in accordance with the rules
of the International Chamber of Commerce (the “ICC”) (the “Rules”), which Rules are deemed to be
incorporated by reference into this Section 6.4. The administration and correct conduct of the
arbitration proceedings shall be incumbent upon the ICC. The number of arbitrators shall be three
(3), with one (1) arbitrator appointed by the claimant(s), one (1) arbitrator appointed by
defendant(s) and the third arbitrator appointed by the first two.

               (b) Procedural Matters. The legal place of arbitration shall be in the City of São
Paulo, State of São Paulo, Brazil, where the arbitration award shall be rendered. The language to
be used in the arbitral proceedings shall be Portuguese. Notwithstanding the

15

 

foregoing, each party shall (i) provide to the other parties, reasonably in advance of any hearing,
copies of all documents which such party intends to present in such hearing, (ii) be allowed to
conduct reasonable discovery through written document requests and depositions of any employees,
senior officers or service providers of the other parties, the nature and extent of which discovery
shall be determined by the arbitration tribunal taking into account the needs of the parties hereto
and the purposes of arbitration to make discovery expeditious and cost effective, and (iii) be
entitled to make an oral presentation to the arbitration tribunal.

               (c) Consolidation. In order to facilitate the comprehensive resolution of related
disputes, and upon request of any party to the arbitration proceeding, the arbitration tribunal
may, within ninety (90) days of its appointment, consolidate the arbitration proceeding with any
other arbitration proceeding involving any of the parties hereto relating to this Agreement or the
Share Purchase Agreement. The arbitrators shall not consolidate such arbitrations unless they
determine that (i) there are issues of fact or Law common to the proceedings, so that a
consolidated proceeding would be more efficient than separate proceedings, and (ii) no party to
such arbitration would be prejudiced as a result of such consolidation through undue delay,
conflict of interest or otherwise. In the event of conflicting awards on the issue of consolidation
by the arbitration tribunal constituted hereunder, the ruling of the tribunal constituted under
this Agreement shall govern, and that tribunal shall decide all Disputes in the consolidated
proceeding.

               (d) Exceptional Court Jurisdiction. The parties are fully aware of all terms and
effects of the arbitration clause set forth herein, and irrevocably agree that any Disputes shall
be solely referred to arbitration. Without prejudice to validity of the arbitration clause,
however, the parties hereby elect the courts in the Judicial District of São Paulo, State of São
Paulo, Brazil, as the exclusive forum for pursuing any enjoining or other conservatory measures of
a preventive nature to secure the arbitration to be initiated or already in progress between the
parties and/or to ensure the existence and enforceability of the arbitration proceedings.

               (e) Award. The arbitral award shall be final and binding upon the parties, and not
subject to any appeal, to the fullest extent permitted by applicable law, and shall deal with — but
not be limited to the question of liability for administrative costs of arbitration, arbitrators’
fees and all matters related thereto. The arbitrators may at their discretion award costs,
including legal fees, to the prevailing and/or defeated party or parties. Decisions of the
arbitrators shall be in writing and shall set forth the reasons therefore, and, to the extent
applicable, the manner in which the amount of the award was calculated. Any monetary award arising
from the arbitration proceedings may include interest from the date of any damages incurred for
breach or other violation of this Agreement and from the date of the award, until paid in full, at
a rate to be fixed by the arbitrators. The arbitral award may be enforced in any court of competent
jurisdiction. For such purpose, each of the parties hereto irrevocably submits to the jurisdiction
of the New York State courts and the federal courts sitting in the County of New York, State of New
York and the courts in the Judicial District of São Paulo, State of São Paulo, Brazil. Each of the
parties hereto waives irrevocably the defense of inconvenient forum to the maintenance of such
enforcement proceeding.

     Section 6.5 Successors. This Agreement shall be binding upon, and inure to the benefit
of, the parties and their successors and permitted assigns.

16

 

     Section 6.6 Pronouns. Whenever from the context it appears appropriate, each term stated in
either the singular or the plural shall include the singular and the plural, and pronouns stated
in either the masculine, the feminine or the neuter gender shall include the masculine, feminine
and neuter.

     Section 6.7
Table of Contents and Captions Not Part of
Agreement. The table of contents and
captions contained in this Agreement are inserted only as a matter of convenience and in no way
define, limit or extend the scope or intent of this Agreement or any provisions hereof.

     Section 6.8 Waiver, Amendment. No waiver, termination or discharge of this Agreement, or any
of the terms or provisions hereof, shall be binding upon any party hereto unless confirmed in
writing. No waiver by any party hereto of any term or provision of this Agreement or of any
default hereunder shall affect such party’s rights thereafter to enforce such term or provision or
to exercise any right or remedy in the event of any other default, whether or not similar. This
Agreement may not be modified or amended except in writing and executed by all parties hereto.

     Section 6.9 Survival and Severability. All of the agreements, covenants, representations and
warranties made by the UMA Members in this Agreement shall survive the execution and delivery
hereof. The UMA Members shall immediately notify IFH upon discovering that any of the
representations or warranties made herein were false when made or has, as a result of changes in
circumstances, become false. All of the agreements, covenants, representations and warranties made
by IFH in this Agreement shall survive the execution and delivery hereof. IFH shall immediately
notify the UMA Members upon discovering that any of the representations or warranties made herein
were false when made. If any provision of this Agreement shall be held invalid, illegal or
unenforceable in any jurisdiction or in any respect, then the validity, legality and enforceability
of the remaining provisions contained herein shall not in any way be affected or impaired, and the
parties hereto shall use their best efforts to amend or substitute such invalid, illegal or
unenforceable provision with enforceable and valid provisions which would produce as nearly as
possible the rights and obligations previously intended by the parties hereto without renegotiation
of any material terms and conditions stipulated herein.

     Section 6.10 Counterparts. This Agreement may be executed in several counterparts, each of
which shall be deemed an original but all of which shall constitute one and the same instrument.

     Section 6.11 Entire Agreement. This Agreement and the other written agreements described
herein between the parties hereto entered into as of the date hereof, constitute the entire
agreement among them relating to the subject matter hereof. In the event of any conflict between
this Agreement or such other written agreements, the terms and provisions of this Agreement shall
govern and control. No party hereto may assign this Agreement, in whole or in part, without the
prior written consent of all of the other parties.

17

 

     Section 6.12 Further Assurances. Each party agrees to execute and deliver any and all
additional instruments and documents and do any and all acts and things as may be necessary or
expedient to effectuate more fully this Agreement.

18

 

     IN WITNESS WHEREOF, the undersigned have executed this Agreement as of the date first set
forth above.

	 	 	 	 	 
	 	INTERNATIONAL FARMLAND HOLDINGS

LLC

 	 
	 	By:  	 
 	 
	 	 	Name:  	 	 
	 	 	Title:  	 	 
	 
	 	XANGO CORPORATION

 	 
	 	By:  	/s/ Mário Jorge De Lemos Vieira
 	 
	 	 	Name:  	MÁRIO JORGE DE LEMOS VIEIRA 	 
	 	 	Title:  	DIRECTOR 	 
	 
	 	ETIEL SOCIETE ANONYME

 	 
	 	By:  	/s/ Corina De Almeida Leite
 	 
	 	 	Name:  	CORINA DE ALMEIDA LEITE 	 
	 	 	Title:  	DIRECTOR 	 
	 
	 	COBRA CA HOLDINGS LTD.

 	 
	 	By:  	/s/ Paulo Albert Weyland Vieira
 	 
	 	 	Name:  	PAULO ALBERT WEYLAND VIEIRA 	 
	 	 	Title:  	DIRECTOR 	 
	 
	 	LIUEDE HOLDINGS LTD.

 	 
	 	By:  	/s/
Marcelo Weyland Barbosa Vieira	 
	 	 	Name:  	MARCELO WEYLAND BARBOSA VIEIRA	 
	 	 	Title:  	DIRECTOR 	 
	 

19exv10w14

Exhibit 10.14

EXECUTION COPY

SHARE PURCHASE AND SALE AGREEMENT

By this private instrument, the parties, on the one hand:

(a) ADECO BRASIL PARTICIPACÕES LTDA., a Brazilian limitada with principal place of business
in the City of São Paulo, State of São Paulo, at Rua São Joaquim, 249, Loja 13, Zip Code 01508-001,
enrolled in the National Registry of Legal Entities (“C.N.P.J.”) under No. 07.835.579/0001-51,
herein represented by its legal representative, Mr. Leonardo Raúl Berridi, Argentine, engineer,
married, resident and domiciled in the City of Brasilia, Distrito Federal, at SHIS QI 29, Conjunto
14, Casa 21, Lago Sul, enrolled with CPF/MF under No 231.115.108-83 and bearer of Foreigner
Identity Card (RNE) No. V391119-H (hereinafter referred to
as “Purchaser”);

on the other hand,

(b) MARCELO WEYLAND BARBOSA VIEIRA, Brazilian, married, resident and domiciled in
the City of Monte Belo, State of Minas Gerais, at Fazenda Monte Belo, enrolled with CPF/MF under No
192.308.506-91 and bearer of Identity Card
(RG) No. M-6.219.870 SSP/MG  (“Marcelo Vieira”);

(c) PAULO ALBERT WEYLAND VIEIRA, Brazilian, single, resident and domiciled in the City of
Rio de Janeiro, State of Rio de Janeiro, at Av. Presidente Wilson 231, 18th floor,
enrolled with CPF/MF under No 878.412.827-53 and bearer of Identity Card (RG) No. 6.734.039-8 IFP/RJ
(“Paulo Vieira”);

 

- 2 -

(d)
MÁRIO JORGE DE LEMOS VIEIRA, Brazilian, married, resident and domiciled in the City of
Alfenas, State of Minas Gerais, at Fazenda da Braúna, enrolled with CPF/MF under No 335.832.507-53
and bearer of Identity Card (RG) No. 02.609.892-1 IFP/RJ
(“Mário Vieira”);

(e) GUSTAVO ABEL DE LEMOS VIEIRA, Brazilian, divorced, resident and domiciled in the City
of Areado, State of Minas Gerais, at Fazenda Santa Helena, enrolled with CPF/MF under No
271.538.196-49 and bearer of Identity Card
(RG) No. 2.964.836 IFP/RJ (“Gustavo Vieira”);

(f) CORINA DE ALMEIDA LEITE, Brazilian, married, resident and domiciled in the City of São
Paulo, State of São Paulo, at Av. Brigadeiro Faria Lima 1461, 10th Floor, Torre Sul, Zip
Code 01451-904, enrolled with CPF/MF under No 519.057.876-34 and bearer of Identity Card (RG) No.
12.521.599 SSP/SP (“Corina Leite”);

(g) ANA BARBOSA VIEIRA, Brazilian, single, resident and domiciled in the City of São Paulo,
State of São Paulo, at Rua Brasília 85, apto 74, enrolled with CPF/MF under No 918.277.446-34 and
bearer of Identity Card (RG) No. 34.316.510-7 SSP-SP (“Ana Vieira”);

(h)
ESPÓLIO DE CÉU DE LEMOS VIEIRA, which probate is currently in the 12th Court of Family
and Succession of the City of São Paulo under
No. 000.01.063812-1, herein represented by Corina de
Almeida Leite (“Estate”), (Marcelo Vieira, Paulo Vieira, Mário Vieira, Gustavo Vieira,
Corina Leite, Ana Vieira and the Estate hereinafter jointly referred to as “Sellers”);

 

- 3 -

and, as intervening parties,

(i) USINA MONTE ALEGRE S.A., a Brazilian sociedade anônima with principal place of
business in the City of Monte Belo, State of Minas Gerais, at Fazenda Monte Alegre, enrolled
with the National Register of Legal Entities (C.N.P.J.) under No. 22.587.687/0001-46, herein
represented by its legal representatives (hereinafter referred to as “Company”); and

(ii) INTERNATIONAL FARMLAND HOLDINGS LLC, a limited liability company organized under the
laws of the State of Delaware, with registered office in the State of Delaware is 2711 Centerville
Road, Wilmington, Delaware 19808 and principal address at Soros Fund Management LLC, 888 Seventh
Avenue, New York, New York 10106, herein represented by its undersigned legal representative
(hereinafter referred to as “IFH”).

All of the parties described above are hereinafter referred to jointly as “Parties”, each
being “Party”.

WITNESSETH

WHEREAS Sellers, together with Cobra CA Holdings Ltd, Liuede Holdings Ltd., Etiel Societé Anonyme,
Xango Corporation, Fabio Leonel de Rezende and Francisco Cândido de Almeida Leite hold one million,
six hundred and eighty thousand (1,680,000) common non par registered shares of the Company, which
represent 100% of the Company’s capital;

WHEREAS the Sellers wish to sell to the Purchaser six hundred and eighty-nine thousand, three
hundred and twenty-three (689,323) common registered non par

 

- 4 -

shares, representing approximately forty-one percent (41%) of the Company’s corporate capital
(“Shares”), as per the following chart:

	 	 	 	 	 
	 	 	SHARES BEING
	SELLER	 	SOLD
	Mário Vieira
	 	 	52,591	 
	Corina Leite
	 	 	32,449	 
	Gustavo Vieira
	 	 	62,012	 
	Ana Vieira
	 	 	204,960	 
	Estate
	 	 	20,160	 
	Paulo Vieira
	 	 	259,830	 
	Marcelo Vieira
	 	 	57,321	 
	Total
	 	 	689,323	 

WHEREAS the Purchaser is willing to acquire the Shares from the Sellers.

NOW, THEREFORE, the Parties agree to enter into this Share Purchase and Sale Agreement for Purchase
and Sale of Shares (“Agreement”), which shall be governed by the terms and conditions
below.

SECTION 1. —  PURCHASE AND SALE OF SHARES

1.1. Purchase and Sale of Shares. Subject to the conditions set forth in this Agreement,
the Purchaser agrees to buy and the Sellers agree to sell and transfer to the Purchaser for the
Purchase Price (as defined in Section 1.2 below) the Shares, which represent approximately
forty-one percent (41%) of the capital stock of the Company, all such Shares being completely free
and clear of any encumbrance,

 

- 5 -

burden, lien, charge, pledges, options, preemptive rights and other similar rights or claims of any
nature whatsoever related thereto (“Liens”).

1.2. Purchase Price.

1.2.1. The price to be paid by the Purchaser to the Sellers for the acquisition of the Shares is
the equivalent in Reais to ten million, two hundred and fifty-seven thousand, seven hundred and
eighty-two US dollars and seventy-four cents (US $10,257,782.74) (the “Purchase Price”).
The Purchase Price will be allocated among the Sellers as described below:

	 	 	 	 	 
	 	 	PURCHASE
	 	 	PRICE
	SELLER	 	ALLOCATION
	Mário Vieira
	 	US$	782,604.17	 
	Corina Leite
	 	US$	482,872.02	 
	Gustavo Vieira
	 	US$	922,797.62	 
	Ana Vieira
	 	US$	3,050,000.00	 
	Estate
	 	US$	300,000.00	 
	Paulo Vieira
	 	US$	3,866,517.86	 
	Marcelo Vieira
	 	US$	852,991.07	 
	Total
	 	US$	10,257,782.74	 

1.3. Purchase Price Payment

1.3.1. On the date hereof (the “Closing Date”), the Purchaser shall pay a portion of the Purchase
Price in the amount equivalent in R$ to nine million, one hundred and eighty-eight thousand, twenty
US dollars and eighty-three cents (US$ 9,188.020.83)

 

- 6 -

(“Initial
Payment”) to the Sellers in cash.

1.3.2. All conversion of U.S. dollars into Brazilian Reais required by this Agreement shall be made
based on the average purchase and sale commercial exchange rates of the business day immediately
preceding the Closing Date, as published on SISBACEN system of the Central Bank of Brazil (PTAX 800
- Option 5), and the payment to the Sellers shall be made by means of wire transfers (TEDs), in the
amounts described below and to the bank accounts to be informed by the Sellers in writing to the
Purchaser on the date hereof:

	 	 	 	 	 
	 	 	INITIAL
	 	 	PAYMENT
	SELLER	 	ALLOCATION
	Mário Vieira
	 	US$	648,883.93	 
	Corina Leite
	 	US$	349,151.79	 
	Gustavo Vieira
	 	US$	789,077.38	 
	Ana Vieira
	 	US$	2,916,279.76	 
	Estate
	 	US$	300,000.00	 
	Paulo Vieira
	 	US$	3,599,077.38	 
	Marcelo Vieira
	 	US$	585,550.60	 
	Total
	 	US$	9,188,020.83	 

1.3.3. The remaining portion of the Purchase Price, in the amount of one million, sixty-nine
thousand, seven hundred and sixty-one Unites States dollars and
ninety cents (US$ 1,069,761.90),
which based on the exchange rate agreed in the previous clause shall be on the Closing Date the
total amount of two million, two hundred eighty-six thousand, one hundred and eighty-eight reais
and seventeen cents (R$2.286.188,17) (the “Holdback”), shall be paid by the Purchaser to
the Sellers on February 16, 2011, by means of wire transfers (TED) in accordance with written

 

- 7 -

instruction provided by the Sellers no later than 10 days prior to the payment date, in the
following proportion:

	 	 	 	 	 
	 	 	HOLDBACK
	SELLER	 	ALLOCATION
	Mário Vieira
	 	 	12.5	%
	Corina Leite
	 	 	12.5	%
	Gustavo Vieira
	 	 	12.5	%
	Ana Vieira
	 	 	12.5	%
	Paulo Vieira
	 	 	25	%
	Marcelo Vieira
	 	 	25	%
	Total
	 	 	100	%

1.3.4. The amount of the Holdback shall be monetarily adjusted based on the variation of the Índice
Geral de Preços — Mercado (IGP-M) disclosed by the Fundação Getúlio Vargas — FGV from February 2006
until the month prior to the effective date of payment.

1.4. Transfer of Shares. Concurrently with the payment of the Initial Payment, the Parties
shall cause the Company to record the transfer of the Shares contemplated herein in the appropriate
shares registry book (livro de registro de ações nominativas) and shares transfer book (livro de
registro de transferências de ações nominativas), duly reflected by the signature of each Party’s
representatives in such books.

 

- 8 -

1.5 Taxes. Each Party shall bear the respective taxes imposed on it as a result of the
transactions contemplated by this Agreement in accordance with the applicable laws and regulations.

SECTION 2. — REPRESENTATIONS AND WARRANTIES OF THE SELLERS

Each Seller (other the Estate and Ana Vieira with respect to Sections 2.7 to 2.23 below), hereby
provides the Purchaser the following representations and warranties:

2.1. — Organization. Except as disclosed in the due diligence report attached hereto as
Schedule 2.1:

     (i) the Company is a joint-stock company duly organized under the laws of the Federative
Republic of Brazil;

     (ii) the Company has all requisite power and authority to carry on its business as presently
conducted;

     (iii) the Sellers have delivered to the Purchaser complete and correct copies of the current
bylaws of the Company, as amended and in effect on the date hereof, which have been duly filed with
the competent commercial register;

     (iv) the Company has no subsidiaries, nor does it own any share of capital or any other equity
ownership in any other company, partnership, joint venture or other business organization, except
to its ownership interest in Anhumas Agrícola Ltda.; and

 

- 9 -

     (v) there are no shareholders’ agreements involving the Company.

2.2. Ownership of the Shares. The Shares are owned by Sellers free and clear of any and all
claims, security interests, Liens or encumbrances whatsoever.

2.2.1. The transfer of the Shares to the Purchaser hereunder will convey to the Purchaser good and
marketable title to the Shares free and clear of any claims, security interests, Liens or
encumbrances whatsoever.

2.2.2. The Shares may be freely assigned and transferred by the Sellers in compliance with the laws
and regulations applicable in Federative Republic of Brazil.

2.3. Capital Stock. The capital stock of the Company is two million, five hundred and
twenty thousand reais (R$ 2.520.000,00), represented by one million six hundred and eighty thousand
(1.680.000) shares. The Shares represent approximately forty-one percent (41%) of the total
subscribed and paid up capital stock of the Company. The Sellers are the owners of the Shares,
which are free and clear from any and all Liens. All Shares have been validly subscribed for and
fully paid up. There are no outstanding subscription rights, options or other rights for the
acquisition of the Shares or any other shares to be issued by the Company, or which may be
converted or traded into shares (and/or the right to receive shares) of the capital stock of the
Company. There are no outstanding or authorized subscriptions, option, warrants or other rights or
agreements (including any right of conversion or exchange under any outstanding security or other
instrument) relating to the issuance, sale, delivery or transfer by the Company or by the Sellers
of any shares of the Company’s capital stock. There are no outstanding contractual obligations of
the Company or the Sellers to repurchase, redeem or otherwise acquire any shares

 

- 10 -

of the Company’s capital stock. There are no outstanding or authorized stock appreciation or
phamton stock rights with respect to the Company.

2.4. Corporate Authority and Authorization. The Sellers have all power and authority to
enter into this Agreement, to consummate the transactions contemplated herein, and to perform their
obligations hereunder. The Sellers have taken all action as shareholder of the Company necessary to
perform their obligations under this Agreement.

2.5. No Violation. Except as set forth in Schedule 2.5 (which the Sellers represent could
not, individually or in the aggregate, reasonably be expected to adversely affect the ability of
Sellers to consummate the transactions contemplated hereby or to perform their obligations
hereunder), the execution of this Agreement by the Sellers, the consummation of the transactions
contemplated herein and the performance of their obligations hereunder (a) do not violate (i) any
agreement, commitment or obligation to which any of the Sellers is a party, (ii) any law, decree,
rule or regulation, administrative or judicial order to which any of the Sellers may be subject,
and (b) do not require any consent, approval or authorization of, notice to, or filing or
registration with any individual or entity, court or governmental authority.

2.6. Binding Effect. This Agreement has been duly executed and constitutes a valid and
binding obligation of each of the Sellers, and is enforceable against them in accordance with its
terms.

2.7. Financial Statements. Schedule 2.7 contains the Company’s unaudited interim financial
statements for the period ended on September 30, 2005 (the “Balance Sheet Date”) (the
“Financial Statements”). Except as set forth in the notes

 

- 11 -

thereto, the Financial Statements fairly and accurately represent in all material respects the
financial position of the Company for the dates and periods reflected therein in conformity with
accounting principles generally accepted in Brazil applied on a consistent basis with the financial
statements of the Company for the preceding years.

2.8. Operation of Business. Since the Balance Sheet Date, the Company has operated in its
ordinary course of business in a manner consistent with past practices and there has been no
material adverse change in the sales, profits, business, operations, properties, assets, condition
(financial or otherwise) of the Company.

2.9. Taxes. Except as disclosed in the due diligence reports attached hereto as Schedule
2.9-A and Schedule 2.9-B, the Company has filed all income tax returns, as well as material fiscal
reports, forms and lists required by the Internal Revenue Service (SRF), Ministry of Labor, the
Department of Welfare (INSS) and the Welfare Financial Administration Institute (IAPAS), and has
timely paid all material federal, state and local taxes and other material governmental charges
including without limitation, income, franchise, gross receipts, sales, employment, personal
property, real property and excise taxes, Social Security Contributions and Contributions to the
Unemployment Guarantee Fund (FGTS), PIS, FINSOCIAL and social contributions relating to the
Company’s business or to the assets of the Company which were due and payable by the Company prior
to the Closing Date.

2.10. Labor Matters. Except as disclosed in the due diligence reports attached hereto as
Schedule 2.10-A and 2.10-B, there are:

     (i) no pending labor suits, actions or proceedings against the Company relating to employees,
commercial representatives or independent contractors, and

 

- 12 -

the Sellers do not presently know of any threats of significant strikes, work stoppages or
grievances pending by such employees;

     (ii) no material collective bargaining or union contracts other than those attached hereto as
Schedule 2.10-C, and the Company is not presently engaged in negotiations with any labor union or
representative thereof with respect to such employees; and

     (iii) no employees entitled to compensation from the time before the FGTS system was introduced.

2.10.1. Except as provided for by law or applicable collective bargaining contracts, the Company
has not since the Balance Sheet Date modified any employment contract or profit sharing plan
established and in effect for its employees, nor has it increased the wages, salaries,
compensation, pensions or other benefits payable or to become payable to any of its employees other
than in the ordinary and regular course of business, or made any bonus payments or arrangements
with any of them, for the fiscal year ending December 31, 2005 other than in the regular and
ordinary course of business.

2.10.2. — Without limitation to the foregoing, the Company has not or has not had in the past any
special labor, consulting or other agreements or arrangements with employees, autonomous workers or
other individuals or companies which may have accrued liabilities in excess of two hundred and
fifty thousand reais (R$250.000,00).

2.10.3. — There are no conditions or benefits payable to any managers or directors which are out of
the Company’s ordinary course of business. All employment

 

- 13 -

conditions including benefits for managers, officers and directors are disclosed in Schedule 2.10.3
hereto.

2.11. Registration and Permits. The Company has all federal, state or municipal government
licenses, approvals, certificates, permits and franchises required by the Company to carry on its
business as presently conducted, and is not presently aware of any challenges or material
threatened challenges by any relevant authority in respect thereof.

2.12. Litigation. Except as disclosed in the due diligence report attached hereto as
Schedule 2.12, the Company is not presently a defendant in any material litigation or arbitration,
including suits, claims, proceedings or notified investigations, before any federal, state,
municipal or other government department in the Federative Republic of Brazil or abroad, and is not
presently aware of any such threatened material litigation.

2.13. Intellectual Property. Schedule 2.13 hereto lists the intellectual property rights
material to the business of the Company including, without limitation, specifications, know-how,
patents, patent applications, patent rights, trademarks, trademark applications, trade names,
service marks, service mark applications, service names, copyrights, registrations, copyright
applications, computer programs and other computer software, inventions, trade secrets, technology,
proprietary process and formulae and customer and marketing information (collectively, the
“Intellectual Property”). All Intellectual Property is owned by the Company. Except as set
forth in Schedule 2.13 hereto, the Company has not entered into any license or other agreement with
respect to, or otherwise consented to, the use of, any of the Intellectual Property.

 

- 14 -

2.13.1 — All patents listed in Schedule 2.13 are valid and in force and all patent applications
listed therein are in good standing, and except as otherwise disclosed in Schedule 2.13 attached
hereto, all without receipt of written notice of challenge of any kind and, except as otherwise
disclosed in Schedule 2.13 attached hereto, the Company owns the entire right, title and interest
in and to such patents and patent applications. All of the registrations for trade names,
trademarks, service names, service marks, domain names and copyrights listed, in Schedule 2.13 are
valid and in force and all applications for such registrations are pending and in good standing,
and except as otherwise disclosed in Schedule 2.13 attached hereto, all without receipt of written
notice of challenge of any kind, and the Company owns the entire right, title and interest in and
to all such trade names, trademarks, service names, service marks, domain names and copyrights so
listed as well as the registrations and applications for registration therefore.

2.13.2 — Except as set forth in Schedule 2.13, the use of all Intellectual Property necessary or
required for the conduct of the business of the Company as presently conducted does not infringe or
violate the intellectual property rights of any person. Except as set forth in Schedule 2.13, there
is no infringing use of any of the Intellectual Property by any other person and neither the
Sellers nor the Company has committed any acts, or omitted to take any acts, as would cause a
forfeiture or abandonment of any material rights in the Intellectual Property or would cause the
Intellectual Property to enter the public domain.

2.14. Environmental Matters; Occupational Health and Safety. Except as otherwise provided
for in the due diligence reports attached hereto as Schedule 2.14-A, Schedule 2.14-B and Schedule
2.14-C, the Company complies with all environmental and occupational health and safety laws and
requirements according to usual practices in the Federative Republic of Brazil, and the Sellers are
not aware

 

- 15 -

of any material fact which is likely to entail a violation of environmental or occupational health
and safety laws. There has been no material spill, discharge, leak, emission, injection, escape,
dumping or release into any property of the Company or into the environment surrounding any
property of the Company of any toxic or hazardous substances as defined under Brazilian law.

2.15. Assets. All assets being utilized by the Company in its normal course of operation,
including without limitation land, buildings, vehicles, plant and machinery, have been properly
maintained and can be used by the Company as they have been used thus far in the normal course of
business of the Company.

2.15.1. The Company has good and marketable title to all its material assets reflected in the
Financial Statements or acquired since the date thereof (other than those disposed of since the
date thereof in the ordinary course of business and consistent with past practices adopted by the
Company), free and clear of any encumbrance or Lien except:

     (i) as disclosed in the Financial Statements, in this Agreement, and any Schedules hereto;

     (ii) Liens for taxes, assessments or governmental charges or levies which are not material in
amount and may be paid without penalty or are being contested in good faith by appropriate
proceedings;

     (iii) Liens arising in the ordinary course of business in relation to financing of Company’s
operations; and

     (iv) Liens which neither materially detract from the value of such assets

 

- 16 -

nor materially interfere with their present use.

2.15.2. Except as set forth in Schedule 2.15.2, the Company has good and marketable title over the
real estate where the premises of the Company are located.

2.16. Contracts. The Company is not a party to any remunerated contracts which are not in
the ordinary course of business and which could significantly affect the future profitability of
the Company. All existing material contracts entered into by the Company on the Balance Sheet Date
are listed in the due diligence report attached hereto as Schedule 2.16-A. All existing material
contracts entered into by the Company from the Balance Sheet Date until the Closing Date are
described in Schedule 2.16-B hereto. All existing contracts and agreements entered into by the
Company with its related parties are described in Schedule 2.16-C hereto.

2.17. Insurance. All insurance contracts in force are described in Schedule 2.17 hereto.

2.18. Compliance with Law. To the best of each Seller’s knowledge after due inquiry, the
assets, properties and business of the Company comply in all material respects with all applicable
requirements of law and court orders and no notice, claim, demand or action has been received by or
filed against the Company alleging any failure to so comply in all such material respects.

2.19. Accounts Receivable. Except as disclosed in Schedule 2.19, all accounts receivable of
the Company have arisen from bona fide transactions by the Company in the ordinary course of
business and consistent with past practices adopted by the Company. Such accounts receivable are
subject to no valid defense or offsets except routine customer complaints of an immaterial nature.
All accounts receivable

 

- 17 -

reflected in the Financial Statements are good and collectible in the ordinary course of business
at the aggregate recorded amounts thereof, net of any applicable allowance for doubtful accounts
reflected in the Financial Statements, which are consistent with the Company’s historical record of
non collectible accounts.

2.20. Inventory. The inventories of the Company (including raw materials, packaging,
ingredients, supplies, work in-process, finished goods and other materials) (i) are in good,
merchantable and useable condition, and (ii) are reflected in the Financial Statements and (iii)
are reflected in the books and records of the Company at the average monthly cost. The reserve for
inventory obsolescence contained in the Financial Statements fairly reflects the amount of obsolete
inventory as of the respective dates thereof consistently with past practices adopted by the
Company.

2.20.1. Except as set forth in Schedule 2.20.1., the Company has complied with applicable Brazilian
laws and regulations in all material aspects relating to the manner in which the sugar cane related
products are produced and commercialized.

2.21. Changes. Since the Balance Sheet Date, except as disclosed in Schedule 2.21, the
businesses of the Company have been conducted only in the ordinary course of business consistent
with past practices adopted by the Company. Since the Balance Sheet, the Company has not:

(i) sold, leased (as lessor), transferred or otherwise disposed of, mortgaged or pledged, or
imposed or suffered to be imposed any security interest on, any of the material assets necessary to
conduct the business as presently conducted and reflected on the Financial Statements, except for
inventory and minor amounts of

 

- 18 -

personal property sold or otherwise disposed of for fair value in the ordinary course of business;

(ii) canceled any debts owed to or claims held by or waived any rights of the Company (including
the settlement of any claims or litigation) other than in the ordinary course of business;

(iii) created, incurred, assumed or guaranteed, or agreed to create, incur, assume or guarantee,
any material indebtedness for borrowed money or any material capitalized lease obligations in
respect of the Company, other than borrowings pursuant to the refinancing of existing credit
facilities of the Company consistent with past practices adopted by the Company;

(iv) accelerated or delayed collection of material notes or accounts receivable generated by the
business of the Company in advance of or beyond their regular due dates or the dates when the same
would have been collected in the ordinary course of business;

(v) delayed or accelerated payment of any material account payable or other material liability of
the Company beyond or in advance of its due date or the date when such liability would have been
paid in the ordinary course of business;

(vi) allowed the levels of raw materials, supplies, packaging, ingredients, work-in-process or
other materials included in the inventory of the Company to vary in any material respect from the
levels customarily maintained by the Company;

(vii) made, or agreed to make, any payment of cash or distribution of assets or any-loan to the
Sellers;

 

- 19 -

(viii) paid or agreed to pay, conditionally or otherwise, any material increase in any compensation
to any director, officer or employee of the Company with respect to the business or in any profit
sharing, bonus, incentive, deferred compensation, pension, retirement, medical, hospital,
disability, welfare or other benefits made available to directors, officers or employees of the
Company;

(ix) (a) made, declared, set aside or paid any dividend or distribution (whether in cash, stock or
other property) to any shareholder or
ex-shareholder; (b) issued, granted, sold or pledged or
agreed to issue, grant, sell or pledge any shares of capital stock of the Company, or series
convertible into or exchangeable or exercisable for, or otherwise evidencing a right to acquire
shares of capital stock of the Company; (c) redeemed, purchased or otherwise acquired or offered to
acquire any outstanding shares of its capital; (d) split, combined or reclassified any shares of
its capital stock; or (e) adopted a plan of liquidation or resolutions providing for the
liquidation, dissolution, merger, consolidation or reorganization of the Company;

(ix) modified, terminated or cancelled any agreement, contract, lease or license involving more
than the Brazilian Reais equivalent to one million reais (R$1.000.000,00) to which the Company is
a party or by which the Company is bound, other than in its ordinary course of business;

(x) made any capital expenditure involving more than one million reais (R$1.000.000,00), other than
in its ordinary course of business;

 

- 20 -

(xi) made any material capital investment in, any loan to, or any acquisition of the securities or
assets of any person or entity, other than in its ordinary course of business;

(xii) experienced any material damage, destruction or loss (whether or not covered by insurance) to
its property that had materially impaired its ability to conduct its business as conducted on the
Balance Sheet Date; or

(xiii) modified, terminated or cancelled any existing material employment contract (or terms of
employment of) any director or officer or key employee of the Company or adopted, modified,
terminated or cancelled any bonus, incentive, compensation or other plan, contract or commitment
for the benefit of any director or officer of the Company.

2.22. Powers of Attorney. All powers of attorney granted by the Company and currently in
effect (except for ad judicia powers of attorney) are listed in Schedule 2.22 hereto.

2.23. Bank Accounts. All bank accounts opened and maintained by the Company are identified
in Schedule 2.23 hereto.

2.24. Matters Disclosed. Each representation and warranty to Purchaser stated in Sections
2.1 through 2.23 above (“Warranties”) is to be read down and qualified by any information:

(a) disclosed to the Purchaser by the Sellers in writing on or before the Closing Date during
the course of the due diligence investigation conducted by the Purchaser; and

 

- 21 -

(b) which was, prior to the Closing Date, otherwise within the actual knowledge of the Purchaser

and that is inconsistent with that Warranty and, to the extent that any Warranty is incorrect or
misleading having regard to any such information, that Warranty is deemed not to have been given to
the extent of such inconsistency.

2.25. Purchaser’s Acknowledgement. The Purchaser acknowledges and agrees that in entering
into this Agreement, the Purchaser had relied on the Warranties only, and not on any other
statement, representation, warranty, condition, forecast or other conduct which may have been made
by or on behalf of the Sellers.

SECTION 3. — REPRESENTATIONS AND WARRANTIES OF THE PURCHASER AND IFH

The Purchaser and IFH hereby represent and warrant to the Sellers as follows:

3.1. Organization. The Purchaser is a Brazilian limitada duly organized under the laws of
the Federative Republic of Brazil.

3.2. Power and Authorization. The Purchaser has full power and authority to enter into this
Agreement, to perform its obligations hereunder and to consummate the transactions contemplated
hereby. The execution and delivery of this Agreement by the Purchaser and the performance of its
obligations hereunder have been duly authorized by all necessary corporate acts on the part of the
Purchaser. No other action is necessary to authorize the execution, delivery and performance of
this Agreement by the Purchaser.

 

- 22 -

3.3. No Violation. The execution of this Agreement by the Purchaser, the consummation of
the transactions contemplated herein and the performance of its obligations hereunder (a) do not
violate (i) any agreement, commitment or obligation to which the Purchaser is a party, (ii) any
law, decree, rule or regulation, administrative or judicial order to which the Purchaser may be
subject, and (b) do not require any consent, approval or authorization of, notice to, or filing or
registration with any individual or entity, court or governmental authority.

3.4. Binding Effect. This Agreement constitutes the legal, valid and binding obligation of
the Purchaser enforceable in accordance with its terms.

SECTION 4. — INDEMNIFICATION

4.1. Subject to the terms and conditions of this Section 4, Sellers, jointly and severally, as the
case may be pursuant to Section 4.2 below, shall indemnify Purchaser, the Company and each of
Purchaser’s affiliates, directors, officers and employees and the successors and assigns of any of
them (collectively, the “Indemnified Parties”, each
being an “Indemnified Party”)
for all demands, claims, actions or causes of action, assessments, losses, damages, liabilities,
costs and expenses (including, without limitation, reasonable attorney’s fees and expenses)
(collectively, “Contingencies”), of any nature whatsoever, asserted against, resulting
from, relating to, imposed upon or incurred by any Indemnified Party, directly or indirectly, by
reason of (a) an act, fact and/or omission taking place at any time before and including the
Closing Date and not identified by, revealed or disclosed to, the Purchaser before the Closing Date
(except for Identified Contingencies defined in item 4.1(c) below); (b) any inaccuracy of any
Warranty, or breach of any material representation of this Agreement, or (c) any of the potential

 

- 23 -

Contingencies
listed in Schedule 4.1(c) (the “Identified Contingencies”) which Identified
Contingencies shall, notwithstanding any provision to the contrary contained herein, be indemnified
by the Sellers regardless of the fact that such Identified Contingencies are known to the Purchaser
on the date hereof.

4.1.1 The Purchaser hereby acknowledges and accepts that Ana Vieira shall only be obliged to
respond for the Contingencies referred to in items (a) and (c) of Section 4.1 and therefore shall
not be obliged to respond for Contingencies referred to in item (b) of Section 4.1.

4.2. In the event Sellers are obliged to pay any amount due to a Contingency, such amount shall be
firstly paid with the proceeds of the Holdback, and the payment shall be made to the relevant
Indemnified Party. Once the Holdback is entirely consumed, any amount due by the Sellers to an
Indemnified Party in view of a Contingency may be paid, at the Sellers’ option, (i) in cash or (ii)
by means of a dilution in the membership interest held by each applicable Seller in IFH, pursuant
to the mechanism set forth in the LLC Agreement and Unit Issuance Agreement of IFH. It is hereby
agreed by the Parties that the indemnification obligation of the Sellers assumed in this Section 4
will be joint and several (solidária) up to the amount of three million one hundred forty-seven
thousand reais (R$3,147,000.00). In case the amount of the Contingencies is higher than such
amount, then the liability of the Sellers shall no longer be joint and several for the excess, and
each of the Sellers shall be liable for a portion of the Contingencies according to the Holdback
allocation as defined on Section 1.3.2.

4.3. Notwithstanding any other provision of this Agreement and this Section 4, the indemnification
liability of the Sellers as regards an Indemnified Party shall observe the following rules:

 

- 24 -

(a) Sellers shall only be obliged to pay Contingencies that (i) have an individual amount equal to
or higher than fifteen thousand reais (R $15,000.00), (ii) are due by the Indemnified Party in view
of an act, fact and/or omission occurred at any time prior to and including the Closing Date; and
(iii) are no longer subject to any form of judicial appeal. The amount provided for in item (i)
above shall be annually adjusted by the variation of the IGP-M;

(b) Sellers will only be obliged to effect any payments when the total accrued amount of the
Contingencies is superior than the equivalent in Brazilian currency to two hundred fifty thousand
United States dollars (US $250,000) (the
“Deductible”). For purposes of calculation of the
Deductible, it shall be applied the conversion from agreed in Section 1.3.2. above on the date when
the payment is made by the Indemnified Party. The Parties agree that (a) any payments that are not
subject to indemnification pursuant to Section 4.3(a)(i) shall not be counted for purposes of
verifying whether the Deductible has been met, and (b) any payments made by the Company due to the
ICMS tax enforcement actions (execuções fiscais) identified during the due diligence conducted by
the Purchaser, as identified in Schedule 4.3, shall not be subject to the Deductible. In other
words, any amounts paid by the Company under such tax enforcement shall be indemnified by the
Sellers in full.

(c) the indemnification obligation of the Sellers as provided for in this Section 4 shall be
limited to the amounts and time limits listed in the chart below, in addition to the amount of the
Holdback. The amounts provided for in the chart below are not cumulative and any amount already
paid by the Sellers as indemnification shall be deducted therefrom. Also the limits below will not
be applicable and the liability of the Sellers will be unlimited in case it is proved that a
Contingency has not been disclosed to the Purchaser due to bad-faith or a malicious act of the
Sellers.

 

- 25 -

	 	 	 	 	 

	From the Closing Date until its 1st anniversary
	 	R$	19,000,000.00	 
	From the lst until the 2nd anniversary of the Closing Date
	 	R$	15,000,000.00	 
	From the 2nd until the 3rd anniversary of the Closing Date
	 	R$	10,000,000.00	 
	From the 3rd until the 4th anniversary of the Closing Date
	 	R$	6,000,000.00	 
	From the 4th until the 5th  anniversary of the Closing Date
	 	R$	3,000,000.00	 
	As from the 5th anniversary of the Closing Date
	 	R$	0.00	 

4.4. It is hereby agreed by the Parties that any amount to be received by the Company due to any
unknown asset of the Company somehow related to a period before the Closing Date, as well as any
amounts to be received by the Company or used for off-setting as a result of the lawsuit against
the National Social Security Institute — INSS identified in Schedule 4.4 shall be (i) deducted from
the amount of the Contingencies to be paid by the Sellers, or (ii) paid to the Sellers in cash on
the fifth anniversary of the date hereof, in case the balance of such unknown assets is positive
after the deduction provided in item (i) above, being hereby agreed that such amount shall be
monetarily adjusted based on the variation of the IGPM from the date when the Company receives the
proceeds resulting from winning award of such lawsuit until the date of actual payment to Sellers.
In the event any amount is due by the Purchaser to the Sellers in view of this Section 4.4, Sellers
will have the option to receive such amount by means of ordinary units of membership interest in
IFH, which will be issued at a price to be agreed upon among the Purchaser, Sellers and IFH.

4.4.1 Further to the provisions of Section 4.4 above, any amount and/or credit received by or
granted to the Company due to the suit for damages (ação de indenização) initiated against the
Brazilian Federal Government as regards the sugar cane and alcohol price control, identified in
Schedule 4.4.1 hereto, are not included in the transaction contemplated in this Agreement, and
therefore, shall be

 

- 26 -

transferred and/or assigned to the Sellers by the Purchaser immediately after such amounts are
received by the Company. All reasonable costs and expenses incurred as from the Closing Date in the
defense of such law suit shall be deducted from the amount to be transferred and/or assigned to the
Sellers, provided they can be proved by means of applicable documents.

4.5. After the Closing Date, the Indemnified Party will notify all Sellers promptly upon the
initiation of any proceeding relating to a Contingency hereunder, but no later than within the time
that corresponds to half of the term for presentation of the defense, being agreed that failure of
the Purchaser in notifying all Sellers within such maximum term shall relieve the Sellers of their
indemnification obligations for the respective Contingency. The Sellers shall have the right to
defend the Indemnified Party in any proceeding which may give rise to the payment of any amounts
relating to a Contingency hereunder, provided that the Sellers acknowledge the applicability of the
indemnification provisions pursuant to this Section 4 as to the subject matter of such proceeding.
The defense carried out by the Sellers shall be made by attorneys contracted by the Sellers and
approved by the Company, which approval shall not be unreasonably withheld, being the associated
reasonable fees paid by the Company. In the event of a final decision contrary to the Company and
not subject to appeal, all amounts paid by the Company in connection with the respective lawsuit
and related to a Contingency, as well as the attorneys’ fees and other reasonable related costs,
shall be reimbursed by the Sellers, and deducted from the limits provided for in the chart of
Section 4.3(c) above. The Company and the Purchaser agree to cooperate fully with the Sellers and
their counsel in the defense against any such asserted liability. In any event, the Company and the
Purchaser shall have the right to participate at their own expense in the defense of such asserted
liability. Neither the Company nor the Purchaser may effect payments or compromise without the
prior written consent of the Sellers, which shall not be
unreasonably denied.

 

- 27 -

4.5.1. The Indemnified Party shall use its reasonable efforts to seek indemnification with respect
to every Contingency from all of the Sellers, and not only from one or a portion of the Sellers.
Should the Indemnified Party fail to use reasonable efforts to seek indemnification with respect to
any Contingency from any given Seller, the indemnification obligation of all Sellers with respect
to such Contingency shall be relieved.

4.6. At any time until the 5th anniversary of the Closing Date (but not more than one
time per quarter), any Seller shall be entitled to request from the Purchaser a statement
reflecting all amounts indemnified by the Sellers pursuant to this Section 4 and, as the case may
be, along with evidence that reasonable efforts seeking indemnification were taken against all
Sellers with respect to the respective indemnified Contingencies.

SECTION 5. — OTHER COVENANTS

5.1. Expenses.

(a) The fees and expenses (including the fees and expenses of its attorneys, accountants, financial
advisors and other professionals), incurred by Sellers and the Company in connection with this
Agreement and all transactions related hereto shall be borne by the Company.

(b) The fees and expenses (including the fees and expenses of its attorneys, accountants, financial
advisors and other professionals), incurred by the Purchaser and/or IFH in connection with this
Agreement and all transactions related hereto
shall be borne by Purchaser and/or IFH.

 

- 28 -

(c) Outstanding success fees due to Banco Rabobank International do Brasil S.A. (“Rabobank”) under
a certain Consultancy Agreement shall be paid by the Sellers.

5.2. Best Efforts, Further Assurances. Subject to the terms and conditions contained
herein, each of the Parties hereto agrees to use its best efforts to take, or cause to be taken,
all actions and measures reasonably necessary or advisable under applicable laws to consummate and
make effective the transactions contemplated by this Agreement.

5.3. Approvals and Consents. The Sellers and the Purchaser shall cooperate, if necessary,
to give all notices and obtain, as soon as reasonably practicable, all approvals, consents and
waivers of federal, state and local government departments or agencies or of any other parties
required or deemed necessary or beneficial for consummation of the transactions contemplated by
this Agreement.

5.4. Replacement of Guarantees. The Purchaser hereby acknowledges that the Sellers have
given certain guarantees to third parties in relation to obligations assumed by the Company, all
such guarantees described in Schedule 5.4 (“Guarantees”), and the Purchaser hereby undertakes to
replace all such Guarantees (subject to the required creditor approval) for other equivalent
guarantees in no later than 90 (ninety) days as from the Closing Date. The Purchaser shall
indemnify and hold each Seller harmless against any cost and/or expense incurred by each Seller
resulting from the enforcement of any Guarantee against such Seller.

5.5. Announcements. The Parties agree that any announcement addressed to the general
public, relating to the transaction contemplated herein may only be issued

 

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from and after the date of this Agreement (“Announcement”). Any Party making any such
Announcement shall notify the other party thereof within a reasonable time prior to making such
Announcement, stating the time and the content of such Announcement; provided that the Parties
shall have a reasonable opportunity to review such an Announcement prior to its release. The
Parties agree that they shall use their best efforts that, in the event they refer, in any
Announcement, to the specifics of the transactions contemplated herein and in the ancillary
documents related hereto, to accurately reflect their structure. Notwithstanding the above, each
Party may issue any Announcement to the extent required by applicable laws and regulations.

5.6. IFH Guarantee. In the capacity of intervening party to this Agreement, IFH irrevocably
and unconditionally, jointly and severally, guarantees to each Seller punctual performance by the
Purchaser of all the Purchaser’s obligations under this Agreement, pursuant to the terms of
Articles 275 to 285 of the Brazilian Civil Code.

SECTION 6. — MISCELLANEOUS

6.1. Notices. Any notice or other communication permitted or required to be given between
the Parties hereto shall be made in writing and shall be deemed to have been duly given to a Party
when delivered in person, or sent by courier service or by electronic facsimile transmission
(receipt electronically confirmed) to such Party at the relevant address or facsimile number set
forth below. Any Party may change its address or facsimile number for the purpose of receiving
notices by giving notice in accordance with the provisions of this Clause 6.

To the Sellers:

 

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(a) Marcelo Vieira

Fazenda Monte Belo

37115-000 Monte Belo — MG

Brazil

Fax: (55-35) 3573-2010

(b) Paulo Vieira

Av. Presidente Wilson 231, 18th floor

20030-021 Rio de Janeiro — RJ

Brazil

Fax: (21) 2217-2894

(c) Mário Vieira

Fazenda da Braúna

37130-000 Alfenas — MG

Brazil

Fax: (55-35) 3573 2007

(d) Gustavo Vieira

Fazenda Santa Helena

37140-000 Areado — MG

Brazil

Fax: (55-35) 3573-2500

(e) Corina Almeida Leite

Av. Brigadeiro Faria Lima, 1.461, 10th floor, Torre Sul

01451-904 São Paulo — SP

Brazil

 

- 31 -

Fax:
(55-11) 3814-1508

(f) Ana Vieira

Rua Brasília 85, apto. 74

04534-040 São Paulo — SP

Fax: (55-11) 3167-7717

(g) Estate

Corina Almeida Leite

Av. Brigadeiro Faria Lima, 1.461,10th floor, Torre Sul

01451-904 São Paulo — SP

Fax: (55-11) 3814-1508

With a copy (which shall not constitute notice) to:

Fabio Rezende

Av. Presidente Wilson 231, 18th floor

20030-021 Rio de Janeiro — RJ

Brazil

Fax: (21) 2217-2894

To the Purchaser:

Adeco Brasil Participações Ltda.

SHIS — QI23, Bloco B, sala 201, Ed. Top 23, Lago Sul

71660-000 Brasília — DF

Brazil

Fax: (55-61)3366-3744

 

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Attention: Leonardo Berridi

With a copy (which shall not constitute notice) to:

Álvaro Martins dos Santos

R. Boa Vista 254, 9° andar

01014-907 São Paulo—SP

Brazil

Fax: (55-11) 3247-8600

To the Company:

Fazenda Monte Alegre

37140-000 Areado — MG

Brazil

Fax: (55-35) 3573 2007

Attention: Marcelo Vieira

With a copy (which shall not constitute notice) to:

Adeco Brasil Participações Ltda.

SHIS — QI23, Bloco B, sala 201, Ed. Top 23, Lago Sul

71660-000 Brasília—DF

Brazil

Fax: (55-61)3366-3744

Attention: Leonardo Berridi

Álvaro Martins dos Santos

 

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R. Boa Vista 254, 9° andar

01014-907 São Paulo — SP

Brazil

Fax: (55-11) 3247-8600

To IFH:

International Farmland Holdings LLC

c/o Soros Fund Management LLC

888 Seventh Avenue

New York, New York 10106

USA

Fax:(l 212) 541-7751

Attention: Dang Phan

With a copy (which shall not constitute notice) to each of:

Goodwin Procter LLP

599 Lexington Avenue

New York, New York 10022

USA

Fax: 1 212-355-3333

Attention: Kevin Sheridan, Esq.

and

Pampas Humedas LLC

c/o Soros Fund Management LLC

 

- 34 -

888 Seventh Avenue

New York, New York 10106

USA

Facsimile: (212) 541-7751

Attention: Dang Phan

6.2. Arbitration. Any dispute, controversy or claim (a “Dispute”) arising out of or
in connection with this Agreement, including any question regarding its existence, validity,
enforcement, performance, legal interpretation or termination, shall be referred to and finally
resolved by arbitration. The arbitration shall be instituted and held in accordance with the rules
of the Brazil-Canada Chamber of Commerce (Cámara de Comércio Brasil-Canadá; the “CCBC”) (the
“Rules”), which Rules are deemed to be incorporated by reference into this
Section 6.2. The administration and correct conduct of the arbitration proceedings shall be
incumbent upon the CCBC. The number of arbitrators shall be three (3), with one (1) arbitrator
appointed by the claimant(s), one (1) arbitrator appointed by defendant(s). The arbitrators
appointed by the parties, on their turn, shall choose a third arbitrator among the members of the
Panel of Arbitrators of the CCBC, who shall preside over the Arbitration Tribunal.

6.2.1. Procedural Matters. The legal place of arbitration shall be in the City of São
Paulo, State of São Paulo, Brazil, where the arbitration award shall be rendered. The language to
be used in the arbitral proceedings shall be Portuguese. The governing Law of this Agreement shall
be as specified in Section 6.10 below and the procedural aspects of the arbitration shall be
governed by the Rules. Notwithstanding the foregoing, each Party shall (i) provide to the other
party, reasonably in advance of any hearing, copies of all documents which such party intends to
present in such hearing, (ii) be allowed to conduct reasonable discovery

 

- 35 -

through written document requests and depositions of any employees, senior officers or service
providers of the other Party, the nature and extent of which discovery shall be determined by the
arbitration tribunal taking into account the needs of the parties hereto and the purposes of
arbitration to make discovery expeditious and cost effective, and (iii) be entitled to make an oral
presentation to the arbitration tribunal.

6.2.2. Consolidation. In order to facilitate the comprehensive resolution of related
Disputes, and upon request of any Party to the arbitration proceeding, the arbitration tribunal
may, within ninety (90) days of its appointment, consolidate the arbitration proceeding with any
other arbitration proceeding involving any of the Parties hereto relating to this Agreement. The
arbitrators shall not consolidate such arbitrations unless they determine that (i) there are issues
of fact or Law common to the proceedings, so that a consolidated proceeding would be more efficient
than separate proceedings, and (ii) no Party hereto would be prejudiced as a result of such
consolidation through undue delay, conflict of interest or otherwise. In the event of conflicting
awards on the issue of consolidation by the arbitration tribunal constituted hereunder, the ruling
of the tribunal constituted under this Agreement shall govern, and that tribunal shall decide all
Disputes in the consolidated proceeding.

6.2.3. Exceptional Court Jurisdiction. The Parties are fully aware of all terms and effects
of the arbitration clause set forth herein, and irrevocably agree that any Disputes shall be solely
referred to arbitration. Without prejudice to validity of the arbitration clause, however, the
Parties hereby elect the courts in the Judicial District of São Paulo, State of São Paulo, Brazil,
as the exclusive forum for pursuing any enjoining or other conservatory measures of a preventive
nature to secure the arbitration to be initiated or already in progress between the Parties

 

- 36 -

and/or to ensure the existence and enforceability of the arbitration proceedings.

6.2.4. Award. The arbitral award shall be final and binding upon the parties, and not
subject to any appeal, to the fullest extent permitted by applicable Law, and shall deal with — but
not be limited to — the question of liability for administrative costs of arbitration, arbitrators’
fees and all matters related thereto. The arbitrators may at their discretion award costs,
including legal fees, to the prevailing and/or defeated Party or Parties, which shall be limited to
10% over the amount of the award granted to winning party. Decisions of the arbitrators shall be in
writing and shall set forth the reasons therefore, and, to the extent applicable, the manner in
which the amount of the award was calculated. Any monetary award arising from the arbitration
proceedings may include interest from the date of any damages incurred for breach or other
violation of this Agreement and from the date of the award, until paid in full, at a rate to be
fixed by the arbitrators.

6.3. Entire Agreement. This Agreement and Schedules attached hereto contain the entire
agreement and understanding concerning the subject matter hereof among the Parties hereto and
specifically supersede any prior understanding of the Parties on the subject matter hereof.

6.4. Waiver, Amendment. No waiver, termination or discharge of this Agreement, or any of
the terms or provisions hereof, shall be binding upon any Party hereto unless confirmed in writing.
No waiver by any Party hereto of any term or provision of this Agreement or of any default
hereunder shall affect such Party’s rights thereafter to enforce such term or provision or to
exercise any right or remedy in the event of any other default, whether or not similar. This
Agreement may not be modified or amended except in writing and executed by all Parties
hereto.

 

- 37 -

6.5. Severability. If any provision of this Agreement shall be held void, voidable, invalid
or inoperative, no other provision of this Agreement shall be affected as a result thereof, and,
accordingly, the remaining provisions of this Agreement shall remain in full force and effect as
though such void, voidable, invalid or inoperative provision had not been contained herein.

6.6. Assignment. No Party hereto may assign this Agreement, in whole or in part, without
the prior written consent of all of the other Parties, except that the Purchaser shall be
authorized to assign this Agreement to any affiliate upon a 30 day prior written notice to the
Sellers.

6.7. Binding Effect. This Agreement shall be binding upon and inure to the benefit of the
Parties hereto and their respective successors and permitted assigns.

6.8. Submission to the Antitrust Authorities. The Parties will discuss in good faith
whether the transaction contemplated hereby is subject to approval the Conselho Administrativo de
Defesa Econômica — CADE, the Secretaria de Direito Econômico — SDE, and Secretaria de
Acompanhamento Econômico — SEAE (collectively, the “Antitrust Authorities”). Should the
Parties reach the conclusion that such approval is required, the Parties will coordinate and submit
the transaction contemplated hereby to the Antitrust Authorities within 15 (fifteen) business days
as from the date of execution of this Agreement. The Parties will cooperate with and provide each
other with any and all information and documents that are reasonably required for the purposes of
submitting the transaction hereunder to the Antitrust Authorities.]

6.8.1. The relevant Antitrust Authorities filing fees and related expenses (including attorney
fees) shall be borne by the Company.

 

- 38 -

6.9. Languages. This Agreement is executed only in the English language. The Parties agree
to review and initial (either directly or through its attorneys at law) all pages of a sworn
translation into Portuguese. In the event of any dispute, the respective sworn translation
initialed as agreed herein shall prevail.

6.10. Governing Law. This Agreement shall be governed by and construed in accordance with
the laws of the Federative Republic of Brazil.

IN WITNESS WHEREOF, the Parties have duly executed this Agreement, in seven (7) originals of
identical form and content, along with the two (2) witnesses below.

	 	 	 	 	 
	 	Rio de Janeiro and New York, February 16, 2006

ADECO BRASIL PARTICIPAÇÕES LTDA.

 	 
	By     	/s/ Leonardo Raúl Berridi
 	 
	 	Leonardo Raúl Berridi 	 
	 	 	 
	 	MARCELO WEYLAND BARBOSA VIEIRA

 	 
	 	/s/ Marcelo Weyland Barbosa Vieira
 	 
	 	 	 
	 	PAULO ALBERT WEYLAND VIEIRA

 	 
	 	/s/ Paulo Albert Weyland Vieira
 	 
	 	 	 
	 	MÁRIO JORGE DE LEMOS VIEIRA

 	 
	 	/s/
Mário Jorge De Lemos Vieira
 	 
	 	 	 
	 	 	 

 

- 39 -

	 	 	 	 	 
	 	GUSTA VO ABEL DE LEMOS VIEIRA

 	 
	 	/s/ Gusta Vo Abel De Lemos Vieira
 	 
	 	 	 
	 	CORINA DE ALMEIDA LEITE

 	 
	 	/s/ Corina De Almeida Leite
 	 
	 	 	 
	 	ANA BARBOSA VIEIRA

 	 
	 	/s/ Ana Barbosa Vieira
 	 
	 	 	 
	 	ESPÓLIO DE CÉU DE LEMOS VIEIRA

 	 
	 	/s/ Corina de Almeida Leite
 	 
	 	Corina de Almeida Leite 	 
	 	 	 
	 	USINA MONTE ALEGRE S.A.

 	 
	 	/s/ Gusta Vo Abel De Lemos Vieira	 
	 	 	 
	 	INTERNATIONAL FARMLAND HOLDINGS LLC

 	 
	 	/s/ Alan Boyce
 	 
	 	Alan Boyce 	 
	 	 	 

Witnesses:

	 	 	 	 	 

	1. -

	 	/s/ [ILLEGIBLE]
 

Name: [ILLEGIBLE]
	 	 
	 

	 	I.D.: 11660685.6	 	 
	 
	 	 	 	 
	2. -

	 	/s/ [ILLEGIBLE]
 

Name: [ILLEGIBLE]
	 	 
	 

	 	I.D.: 11661918-1

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