Document:

exv4w3

Exhibit 4.3

IRREVOCABLE UNDERTAKING AGREEMENT

in relation to

THE ACCEPTANCE OF A TENDER OFFER FOR THE SHARES OF

TELVENT GIT, S.A

between

SCHNEIDER ELECTRIC, S.A. and SCHNEIDER ELECTRIC ESPAŇA, S.A.U.

and

MR. IGNACIO GONZÁLEZ DOMINGUEZ

31 May 2011

 

 

Index

	 	 	 	 	 	 	 

	I. PARTIES
	 	 	1	 
	II. RECITALS
	 	 	1	 
	III. CLAUSES
	 	 	3	 
	 
	 	1.        Agreement to Tender	 	 	3	 
	 
	 	2.        Agreement to Vote	 	 	3	 
	 
	 	3.        Undertakings of the Selling Stockholder	 	 	5	 
	 
	 	4.        Undertakings of the Bidder Parties	 	 	7	 
	 
	 	5.        Representations and Warranties of the Bidder Parties	 	 	7	 
	 
	 	6.        Representations and Warranties of the Selling Stockholder	 	 	9	 
	 
	 	7.        Indemnity undertaking	 	 	11	 
	 
	 	8.        No Managing Interest	 	 	11	 
	 
	 	9.        Term	 	 	12	 
	 
	 	10.       Termination of the Agreement	 	 	12	 
	 
	 	11.       Confidentiality; Public Announcements	 	 	13	 
	 
	 	12.       Specific Performance	 	 	13	 
	 
	 	13.       Assignment	 	 	14	 
	 
	 	14.       Costs and taxes	 	 	14	 
	 
	 	15.       Interpretation Standards	 	 	14	 
	 
	 	16.       Notices	 	 	15	 
	 
	 	17.       Governing law	 	 	17	 
	 
	 	18.       Arbitration	 	 	18	 

 

 

31 May 2011

I. PARTIES

Of the one part,

SCHNEIDER ELECTRIC, S.A., a French société anonyme with its registered office at 35, rue Joseph
Monier, 92500 Rueil-Malmaison, France, registered in the Commercial and Companies Registry of
Nanterre under number 542 048 574 (hereinafter, “SE” or the “Bidder”) duly represented herein by
Emmanuel Babeau; and

SCHNEIDER ELECTRIC ESPAŇA, S.A.U., a company organized under the laws of the Kingdom of Spain and
an indirect wholly owned subsidiary of the Bidder, with its corporate domicile in Barcelona, C/ Bac
de Roda, n° 52, edificio A, registered with the Companies’ registry of Barcelona in Tomo 23.584,
Folio 124, Sección 8a, Hojo B-57.594, and having C.I.F. A-08008450 (hereinafter,
“BIDCO”), duly represented herein by Elena González-Anta;

(the Bidder and BIDCO together referred to as the “Bidder Parties”)

and of the other part,

MR. IGNACIO GONZALEZ DOMINGUEZ, an individual of legal age and Spanish nationality residing for
these purposes at C/Valgrande 6, Alcobendas (Madrid), with D.N.I./C.I.F. 28717814-Z (hereinafter,
“Selling Stockholder”), married under the legal reime of separación de bienes;

The expression the “Parties” shall refer to the Bidder, BIDCO, and Selling Stockholder.

	II.	 	RECITALS
	 
	I.	 	Whereas Telvent GIT, S.A. is a company organized under the laws of the Kingdom of Spain, with
its corporate domicile in Alcobendas (Madrid), Valgrande 6, registered with the Commercial
Registry of Madrid under Tomo 15.370, Folio 164, Hoja M-257879, and having C.I.F. A-82631623
(hereinafter, “TELVENT” or the “Company”).
	 
	II.	 	Whereas the share capital of TELVENT currently amounts to €102,454,652.50, represented by
34,094,159 ordinary shares with a nominal value of €3.00505 per

PAGE 1

 

	 	 	share, which are listed on and traded through the Nasdaq Global Select Market
in the United States (hereinafter, the “Telvent Shares”).
	 
	III.	 	Whereas the Bidder Parties intend to launch a tender
offer (hereinafter, the “Offer”) for the Telvent
Shares promptly following the execution hereof,
pursuant to a transaction agreement (the “Transaction
Agreement”) that the Bidder and TELVENT have entered
into on the date hereof, such Offer to be made at a
price of US $40 per share (such amount or, if the
Offer is amended in accordance with the terms of the
Transaction Agreement and a higher amount per Telvent
Share is paid pursuant to the Offer, such higher
amount, the “Acquisition Price”), subject to the
terms and conditions set forth in the Transaction
Agreement and the related Offer materials (the
“Tender Offer Materials”), otherwise in accordance
with the Exchange Act), including Regulation 14D
promulgated thereunder (hereinafter the “US tender
offer rules”).
	 
	IV.	 	Whereas on the date of execution of this Agreement,
Selling Stockholder is the sole “beneficial owner”
(as defined in Rule 13d-3 under the Exchange Act) of
an aggregate number of 120,000 Telvent Shares, (all
such beneficially owned Telvent Shares which are
outstanding as of the date hereof and which may
hereafter be issued to or otherwise acquired or owned
by Selling Stockholder prior to the termination of
this Agreement (including pursuant to any exercise of
acquisition by purchase, or stock dividend,
distribution, split-up, recapitalization, combination
or similar transaction), but excluding any Telvent
Shares which Selling Stockholder is entitled to
acquire or receive pursuant to any Equity Plan prior
to their actual acquisition or receipt by Selling
Stockholder, being referred to herein as the “Subject
Shares”).
	 
	V.	 	Whereas as a condition to their willingness to enter into the Transaction Agreement, the
Bidder Parties have requested that the Selling Stockholder, and in order to induce the Bidder
Parties to enter into the Transaction Agreement, the Selling Stockholder has agreed to, enter
into this Agreement.
	 
	VI.	 	Whereas in light of the above, the Selling Stockholder desires to
sell the Subject Shares to the Bidder Parties at the Acquisition
Price and the Bidder Parties desire to acquire the Subject Shares at
such price subject to the terms and conditions set forth in this Agreement.

PAGE 2

 

	VII.	 	Whereas capitalized terms used but not otherwise defined herein
shall have the respective meanings ascribed to such terms in the
Transaction Agreement, and the other definitional and interpretative
provisions set forth in Section 6.13 of the Transaction Agreement
shall apply hereto as if such provisions were set forth herein.
	 
	VIII.	 	Whereas, in light of the above and the respective representations,
warranties, covenants and agreements set forth below, the Parties
hereto agree as follows.
	 
	III.	 	CLAUSES

	1.	 	Agreement to Tender
	 
	1.1	 	Selling Stockholder agrees that it shall duly tender, or cause to be tendered, in the
Offer, all of the Subject Shares pursuant to and in accordance with the terms of the Offer.
Promptly, but in any event no later than 15 Business Days after the commencement of the
Offer, Selling Stockholder shall (i) deliver to the depositary designated for the Offer (the
“Depositary”) (A) a letter of transmittal with respect to such Subject Shares complying with
the terms of the Offer, (B) a certificate or certificates representing such Subject Shares
or an “agent’s message” (or such other evidence, if any, of transfer as the Depositary may
reasonably request) in the case of a book-entry transfer of any uncertificated Subject
Shares and (C) all other documents or instruments required to be delivered pursuant to the
terms of the Offer, and (ii) instruct its broker or such other person that is the holder of
record of any Subject Shares to irrevocably tender into the Offer all of the Subject Shares
pursuant to and in accordance with the terms of the Offer. Selling Stockholder agrees that
once the Subject Shares are tendered, the Selling Stockholder shall not withdraw, nor cause
or permit the withdrawal of, any tender of such Subject Shares, unless and until (i) the
Offer shall have been terminated in accordance with the terms of the Transaction Agreement,
or (ii) this Agreement shall have been terminated in accordance with clause 10.
	 
	2.	 	Agreement to Vote
	 
	2.1	 	Except to the extent waived in writing by the Bidder in its discretion, at any
meeting of the stockholders of TELVENT, however called, or at any adjournment thereof, or
in any other circumstances upon which a vote,

PAGE 3

 

	 	 	consent or other approval of all or some of the stockholders of TELVENT is sought, the
Selling Stockholder shall vote all of the Subject Shares owned by it (to the extent the
Subject Shares are not purchased in the Offer): (i) against any action,
transaction or agreement that would result in a breach of any covenant, representation
or warranty or any other obligation or agreement of TELVENT under the Transaction
Agreement or of any of the parties hereto under this Agreement; and (ii) against
the following actions (other than the transactions contemplated or permitted by the
Transaction Agreement): (A) any extraordinary corporate transaction, such as a
merger, consolidation or other business combination involving TELVENT or any of its
subsidiaries; (B) any sale, lease or transfer of a material amount of assets of
TELVENT or any of its subsidiaries; (C) any reorganization, recapitalization,
dissolution, liquidation or winding up of TELVENT or any of its subsidiaries;
(D) any change in the majority of the Company Board; (E) any change in
the present capitalization of TELVENT or any amendment of the articles of association of
TELVENT; (F) any other material change in the corporate structure or business of
TELVENT; and (G) any other action, transaction or proposal involving TELVENT or
any of its subsidiaries that is intended or would reasonably be expected to (x)
prevent, nullify, impede, interfere with, frustrate, delay, postpone, discourage or
otherwise materially adversely affect the Offer, the Transaction Agreement, any of the
transactions contemplated by the Transaction Agreement or this Agreement or the
contemplated economic benefits of any of the foregoing or (y) change in any
manner the voting rights of any Subject Shares; provided that none of the
foregoing shall prohibit the Selling Stockholder from fulfilling his duties as the Chief
Executive Officer and Chairman of the Board of Directors of TELVENT under provisions of
Spanish law and in particular those related to the independence of directors and the
fiduciary duties and duty of care of directors under Spanish Stock Corporation Law (Ley
de Sociedades de Capital).
	 
	2.2	 	Except as set forth in Section 2.1, Selling Stockholder shall retain at all times
the right to vote its Subject Shares in its sole discretion and without any other
limitation on those matters other than those set forth in this Agreement that are at any
time or from time to time presented for consideration to the Company’s stockholders to
the extent that the Company is entitled to do so or not prohibited from doing so under
the Transaction Agreement.

PAGE 4

 

	3.	 	Undertakings of the Selling Stockholder
	 
	3.1	 	Until the earlier of the date of settlement of the Offer, the date of withdrawal of
the Offer or the date of termination of this Agreement, as applicable, and in accordance
with the terms and conditions of this Agreement, Selling Stockholder undertakes to take
any and all necessary or convenient actions to facilitate the successful completion of
the Offer, and in particular (except as otherwise permitted by this Agreement):
	 
	 	 	(x) to maintain sole record and/or beneficial ownership (as “beneficial owner”
is defined in Rule 13d-3 under the Exchange Act), as the case may be, of the Subject
Shares until their transfer to BIDCO, except as such beneficial ownership may be deemed
transferred to the Bidder Parties pursuant to this Agreement; (y) not to,
directly or indirectly, (i) transfer (which term shall include any sale, offer
for sale, transfer, tender, assignment, gift, pledge, hypothecation or other
disposition), or consent to or permit any such transfer of, any or all of the Subject
Shares or any interest therein, or create or permit to exist any Lien on any Subject
Shares, other than any restrictions imposed by applicable Law or pursuant to this
Agreement, (ii) enter into any Contract with respect to any transfer of such
Subject Shares or any interest therein, (iii) grant or permit the grant of any
proxy, power of attorney or other authorization in or with respect to such Subject
Shares, (iv) deposit or permit the deposit of such Subject Shares into a voting
trust or enter into a voting agreement or arrangement with respect to such Subject
Shares, or (v) take or permit any other action that would in any way restrict,
limit or interfere with the performance of its obligations hereunder or the transactions
contemplated hereby or otherwise make any representation or warranty of the Selling
Stockholder herein untrue or incorrect; and (z) to tender all the Subject Shares in the
Offer as promptly as practicable after commencement of the Offer, but in any event no
later than 15 Business Days after the commencement of the Offer.
	 
	 	 	If for any reason, Selling Stockholder, acquires or receives additional Telvent Shares
during such period, Selling Stockholder hereby irrevocably commits to sell, or cause to
be sold, such additional Telvent Shares to the Bidder on the terms and conditions of
this Agreement. Selling Stockholder undertakes that any such additional shares acquired
or received by Selling Stockholder will be

PAGE 5

 

	 	 	free from any lien, pledge, hypothecation, proxy, power of attorney, encumbrance,
option, pre-emptive right, Contract or other agreement or understanding with respect to
any transfer of the Subject Shares or of any interest therein and any restriction to
their free transferability, and that they will carry all full voting and economic rights
in favor of Selling Stockholder. Any Telvent Shares acquired or received by Selling
Stockholder after the date of this Agreement shall be considered “Subject Shares” for
all purposes of this Agreement. For avoidance of doubt, Subject Shares shall not
include any Telvent shares which Selling Stockholder is entitled to acquire or receive
pursuant to any Equity Plan prior to their actual acquisition or receipt by Selling
Stockholder.
	 
	3.2	 	Selling Stockholder shall not directly or indirectly (i) initiate, solicit,
knowingly facilitate or knowingly encourage any inquiry or the making of any proposal
that constitutes or could reasonably be expected to lead to an Alternative Proposal,
(ii) enter into any letter of intent, memorandum of understanding or other
agreement, arrangement or understanding relating to, or that could reasonably be expected
to lead to, an Alternative Proposal, or (iii) continue or otherwise participate
in any discussions or negotiations regarding, furnish to any Person any information or
data with respect to, or otherwise cooperate with or take any other action to knowingly
facilitate any proposal that (A) constitutes, or could reasonably be expected to lead to,
an Alternative Proposal. Selling Stockholder shall immediately cease and cause to be
terminated any existing activities, discussions or negotiations with any Persons or their
respective directors, officers, employees, agents, investment bankers, financial
advisors, attorneys, accountants or other advisors or representatives (collectively
“Representatives”) (other than SE) conducted prior to the date of this Agreement with
respect to an Alternative Proposal. Without limiting the foregoing, any violation of the
restrictions set forth in this Section 3.2 by any Representative of a Selling
Stockholder, whether or not such Person is purporting to act on behalf of such Selling
Stockholder or any of its Affiliates, shall be deemed to be a breach of this Section 3.3
by Selling Stockholder. None of the provisions of this clause 3.2 shall prohibit the
Selling Stockholder from fulfilling his duties as the Chief Executive Officer and
Chairman of the Board of Directors of TELVENT by the taking of any of the actions
otherwise prohibited by this clause 3.2 if and to extent the taking of

PAGE 6

 

	 	 	such action by or on behalf of TELVENT is permitted under the Transaction Agreement.

	4.	 	Undertakings of the Bidder Parties
	 
	4.1	 	The Bidder Parties hereby, jointly and severally (solidariamente), undertake:

	 	(i)	 	To launch the Offer as promptly as practicable following the date hereof in
accordance with the Transaction Agreement.
	 
	 	(ii)	 	Subject to the satisfaction or waiver of all conditions to the Offer set
forth in the Transaction Agreement, to acquire the Subject Shares tendered into the
Offer and to pay to Selling Stockholder the Acquisition Price for each Subject Share
pursuant to and in accordance with the terms of the Offer promptly following the
expiration of the Offer in accordance with the Exchange Act.
	 
	 	(iii)	 	To provide Selling Stockholder with all such information as it shall
reasonably request in relation to the conduct of the Offer.

	5.	 	Representations and Warranties of the Bidder Parties
	 
	5.1	 	The Bidder Parties, jointly and severally (solidariamente), state that the
representations and warranties set forth in clause 5.2 (hereinafter, “Representations and
Warranties of the Bidder Parties”) are true, accurate and complete, and do not omit any
fact or circumstance that might alter, limit or condition their content and scope.
	 
	5.2	 	The Bidder Parties hereby, jointly and severally, represent and warrant to Selling
Stockholder that:

	 	(i)	 	Valid/Binding agreement. Assuming the due authorization, execution
and delivery of this Agreement by Selling Stockholder, this Agreement, when duly
executed, will constitute valid and binding agreement of the Bidder Parties,
enforceable against each Bidder Party in accordance with its terms, subject only to
the Bankruptcy and Equity Exception.
	 
	 	(ii)	 	Valid existence. Each Bidder Party is a duly incorporated company,
validly existing and in good standing under the laws of the jurisdiction

PAGE 7

 

	 	 	 	in which such party is organized, and each Bidder Party has full corporate power
and authority to enter into this Agreement and to perform its obligations
hereunder.

	 	(iii)	 	Authorization / enforceability. The execution, delivery and
performance by the Bidder Parties of this Agreement and all of the documents and
instruments required hereby from the Bidder Parties and the consummation of the Offer
and other transactions contemplated hereby and thereby are within the corporate power
of each Bidder Party and have been duly authorized by all necessary corporate action
of such Bidder Party. Therefore, this Agreement and any other documents or instruments
entered into pursuant to this Agreement shall be enforceable against each Bidder Party
in accordance with their terms, subject only to the Bankruptcy and Equity Exception.
	 
	 	(iv)	 	Non contravention. The execution, delivery and performance by the
Bidder Parties of this Agreement and all of the documents and instruments required
hereby from the Bidder Parties and the consummation of the Offer and other
transactions contemplated hereby and thereby do not and will not (i) violate
any certificate of incorporation, bylaws or other organizational documents of either
Bidder Party, (ii) violate any applicable Law or order applicable to the
Bidder Parties, or (iii) result in the imposition of any encumbrance on any
asset of either Bidder Party. No governmental authorization is required in connection
with the execution and delivery of this Agreement by the Bidder Parties or the
consummation by the Bidder Parties of the transactions contemplated hereby, except for
applicable requirements, if any, under the Exchange Act and any other applicable U.S.
state or federal securities laws.

	5.3	 	The Representations and Warranties of the Bidder Parties will remain in force and
will be deemed as true, complete and accurate at the time of transfer of the Subject
Shares to BIDCO and at the time of settlement of the Offer. For avoidance of doubt,
notwithstanding anything in this Agreement to the contrary, the Representations and
Warranties of the Bidder Parties shall not survive the Offer Closing.

PAGE 8

 

	6.	 	Representations and Warranties of the Selling Stockholder
	 
	6.1	 	Selling Stockholder states that the representations and warranties set forth in
clause 6.2 (hereinafter, “Representations and Warranties of the Selling Stockholder” and,
along with the “Representations and Warranties of the Bidder”, the “Representations and
Warranties”) are true, accurate and complete, and do not omit any fact or circumstance
that might alter, limit or condition their content and scope.
	 
	6.2	 	Selling Stockholder hereby represents and warrants to the Bidder Parties that:

	 	(i)	 	Valid/Binding agreement. Assuming the due authorization, execution
and delivery of this Agreement by the Bidder Parties, this Agreement, when duly
executed, will constitute valid and binding agreement of Selling Stockholder
enforceable against such Selling Stockholder in accordance with its terms, subject
only to the Bankruptcy and Equity Exception.
	 
	 	(ii)	 	Legal Capacity/Enforceability. The execution, delivery and
performance by Selling Stockholder of this Agreement and the consummation of the
transactions contemplated hereby are within his or her legal capacity and requisite
powers, and if this Agreement is being executed in a representative or fiduciary
capacity, the Person signing this Agreement has full power and authority to execute,
deliver and perform this Agreement. Therefore, this Agreement and any other documents
or instruments entered into pursuant to this Agreement shall be enforceable against
Selling Stockholder in accordance with their terms, subject only to the Bankruptcy and
Equity Exception.
	 
	 	(iii)	 	Non contravention. The execution, delivery and performance by
Selling Stockholder of this Agreement and the consummation of the transactions
contemplated hereby do not and will not (i) violate any applicable Law or
order applicable to Selling Stockholder, or (ii) result in the imposition of
any encumbrance on any asset of such Selling Stockholder. No governmental
authorization is required in connection with the execution and delivery of this
Agreement by Selling Stockholder or the consummation by Selling Stockholder of the
transactions contemplated

PAGE 9

 

	 	 	 	hereby, except for applicable requirements, if any, under the Exchange Act and any
other applicable U.S. state or federal securities laws.

	 	(iv)	 	Legal title to and beneficial ownership of the Subject Shares.
Selling Stockholder is the sole record or “beneficial owner” of the Subject Shares,
free and clear of any encumbrance and any other limitation or restriction (including
any restriction on the right to vote or otherwise transfer such Subject Shares),
except a pledge of 78,000 Subject Shares to secure indebtedness for borrowed money, as
provided hereunder, or for any applicable restrictions on transfer under the
Securities Act. As of the date hereof, Selling Stockholder does not own, beneficially
or otherwise, any Telvent Shares other than the Subject Shares.
	 
	 	(v)	 	Absence of Charges or Encumbrances on the Subject Shares. The
Subject Shares are, and shall remain until their transfer to BIDCO, free from any type
of Charges or Encumbrances. For these purposes, “Charges and Encumbrances” shall
encompass any restriction, obligation or defect having a real or personal nature which
encumbers: (i) the title to the Subject Shares, their peaceful enjoyment and
full possession; (ii) the capacity of the Selling Stockholder to freely
dispose of the Subject Shares; or (iii) any other right inherent to their
ownership or title. Such term includes without limitation pledges, usufructs,
retention rights, pre-emptive entries in any public registries, and other charges,
restrictions and encumbrances of a real nature, as well as preferential acquisition
rights, rights of first refusal, obligations to offer, buy-back rights, option rights,
limitations on use, disposition or enjoyment, or any other limitations of rights
inherent in the title to the Subject Shares, whether of a voluntary, legal or
contractual nature, or other charges, restrictions or encumbrances of a personal
nature.
	 
	 	(vi)	 	Finder’s Fees. No investment banker, broker, finder or other
intermediary is entitled to a fee or commission in connection with the transactions
contemplated by this Agreement based upon any arrangement or agreement made by or on
behalf of the Selling Stockholder other than as disclosed in the Transaction
Agreement.

	6.3	 	For the purposes of evidencing its record ownership of the Subject Shares, the
Selling Stockholder shall provide the Bidder, no later than ten Business Days

PAGE 10

 

	 	 	from the date of this Agreement, with a certificate of the Transfer Agent setting forth
the number of Telvent Shares held of record by Selling Stockholder as reflected on the
shareholder registered maintained by the Transfer Agent.

	6.4	 	The Representations and Warranties of the Selling Stockholder will remain in force
and will be deemed as true, complete and accurate at the time of transfer of the Subject
Shares to BIDCO and at the time of settlement of the Offer. For avoidance of doubt,
anything contained in this Agreement to the contrary notwithstanding, the Representations
and Warranties of the Seller Stockholder shall not survive the Offer Closing.
	 
	7.	 	Indemnity undertaking
	 
	7.1	 	The Bidder Parties and the Selling Stockholder shall indemnify each other for any
damages (as defined in clause 7.2 below) caused to the other Party as a consequence of
any inaccuracy, omission or falsity in the Representations and Warranties above;
provided that the maximum liability of (i) the Selling Stockholder to the Bidder
Parties under this Agreement shall not exceed the amount of the expected proceeds from
the sale of its Subject Shares pursuant to this Agreement and (ii) the Bidder Parties to
Selling Stockholder under this Agreement shall not exceed the amount payable for the
purchase of the Subject Shares pursuant to this Agreement.
	 
	7.2	 	For the purposes of this Agreement, “damages” will mean any direct and
demonstrable: loss, damage (expressly excluding consequential damage and loss of probable
profit), detriment, charge, liability, capital loss, fine, surcharge, interest or expense
(including expenses and fees for attorneys, solicitors, notaries public, auditors,
accountants, experts or other professionals).
	 
	7.3	 	Indemnity for damages will be calculated on a dollar-for-dollar basis.
	 
	8.	 	No Managing Interest.
	 
	8.1	 	Until such time as the Bidder Parties shall have acquired the Subject Shares
pursuant to the offer, all rights, ownership and economic benefits of and relating to the
Subject Shares shall remain vested in and belong to Selling

PAGE 11

 

	 	 	Stockholder, and the Bidder Parties shall not have any authority to manage, direct,
superintend, restrict, regulate, govern, or administer any of the policies or operations
of TELVENT.

	9.	 	Term
	 
	9.1	 	This Agreement shall enter into force on the date of its execution and shall remain
in force up to the earliest of:

	 	(i)	 	the mutual written consent of the Parties;
	 
	 	(ii)	 	the date of settlement of the Offer (if the Subject Shares are acquired in
the Offer as contemplated herein); or
	 
	 	(iii)	 	the termination or expiration of the Offer, without any Telvent Shares being
accepted for payment thereunder due to the failure of the Offer Conditions to be
satisfied.

	10.	 	Termination of the Agreement
	 
	10.1	 	This Agreement will terminate in any of the following circumstances; provided,
however that no such termination shall relieve any party from liability for any breach
hereof prior to such termination:

	 	(i)	 	Expiry of the term of the Agreement as set out in clause 9.
	 
	 	(ii)	 	At the choice of the non-defaulting Party where any Party gives the other
Parties written notice of termination of this Agreement due to a serious or repeated
breach of any material obligation or covenant assumed under this agreement
(hereinafter, a “Material Breach”), if such Material Breach remains uncured or
unsolved after thirty (30) calendar days from the date of delivery of written notice
to the breaching Party.

	10.2	 	All the provisions contained in this Agreement which, due to their nature, are
called to remain in force after expiry of the term or termination shall remain in force.
In particular, this provision refers to this clause and to clauses 9 (“Term”), 10
(“Termination of the Agreement”), 11 (“Confidentiality; Public Announcements”), 13
(“Assignment”), 14 (“Costs and Taxes”), 16 (“Notices”), 17 (“Governing law”) and 18
(“Arbitration”).

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	11.	 	Confidentiality; Public Announcements
	 
	11.1	 	The terms of this Agreement are strictly private and confidential and should not be
disclosed without the Bidder Parties and the Selling Stockholder’s prior written consent
to any Person other than the Parties’ professional advisors, unless any of the Parties is
otherwise required to disclose such information in compliance with their legal or
regulatory obligations and subject to clause 11.2 below.
	 
	11.2	 	The Parties acknowledge and accept that if the Offer is launched, a description of
this Agreement will be provided in the Tender Offer Materials, and that a copy of the
Agreement may be attached as an exhibit to the Schedule TO filed by the Bidder with the
SEC.
	 
	11.3	 	Selling Stockholder agree to keep confidential any non-public information regarding
TELVENT that it has received as a result of its commercial relationships with, or
ownership of, TELVENT for a period of 5 years from the date hereof.
	 
	12.	 	Specific Performance
	 
	12.1	 	The Parties hereto acknowledge and agree that (a) the covenants,
obligations and agreements of the Parties pursuant to this Agreement relate to special,
unique and extraordinary matters, (b) the Bidder Parties are and will be relying
on such covenants, obligations and agreements in connection with entering into the
Transaction Agreement and the performance of their obligations under the Transaction
Agreement, and (c) a violation of any of the covenants, obligations or agreements
contained in this Agreement by either party will cause the non-defaulting party
irreparable injury for which adequate remedies are not available at law. Therefore, the
Parties shall be entitled to an injunction, restraining order or such other equitable
relief (without the requirement to post bond) as a court of competent jurisdiction may
deem necessary or appropriate to restrain the breaching party from committing any
violation of such covenants, obligations or agreements and to specifically enforce the
terms of this Agreement. These injunctive remedies are cumulative and in addition to any
other rights and remedies the Parties may have under applicable Law. Notwithstanding the
above, and in application of the relevant provisions of Spanish law it is expressly
agreed by

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	 	 	the Parties that: (i) specific performance can only take place when, at the time
it is to be granted, such specific performance is feasible and is being requested in
good faith by the Parties seeking to enforce it (buena fe de exigir); (ii)
specific performance will not be granted when it entails an imposition of a sanction
against individual freedom (hacer personal); and (iii) specific performance will
not be granted when its application implies the breach of an obligation of a third party
(e.g. an obligation imposed by the Sellers on the directors nominated by them to vote in
a given sense at a Board meeting which would go against the duties of directors under
the Spanish Corporation Act).

	13.	 	Assignment
	 
	13.1	 	No Party shall have the right to assign the rights and obligations arising under
this Agreement without the prior written consent of the other Parties.
	 
	14.	 	Costs and taxes
	 
	14.1	 	The Parties will bear the costs and taxes derived from negotiating, formalizing and
executing this Agreement, as follows:

	 	(i)	 	All the expenses and costs incurred and directly related to the Offer shall
be borne by the Bidder Parties.
	 
	 	(ii)	 	The Selling Stockholder shall not bear any of the fees of advisors, auditors
and other professionals contracted by the Bidder Parties or the Company.
	 
	 	(iii)	 	Taxes resulting from formalizing and executing this Agreement, if any, will
be borne, in each case, in accordance with applicable Law.

	15.	 	Interpretation Standards
	 
	15.1	 	Headings. The headings and index used in this Agreement are for reference
purposes only, and will not be deemed to affect its interpretation.
	 
	15.2	 	Prevalence. If conflict arises between the clauses of this Agreement and
the content of its Schedules or a supplementary document, the content of the clauses of
this Agreement will prevail.

PAGE 14

 

	15.3	 	Severability. The illegality, invalidity or nullity of any clause in this
Agreement will not affect the validity of its other clauses, provided the rights and
obligations of the Parties are not affected in an essential manner. “Essential” is
understood as any situation that seriously prejudices the interests of any of the
Parties, or affects the object of this Agreement as provided in clause 1. Such clauses
are to be replaced or integrated into others that, in accordance with law, correspond to
the objectives of the substituted clause(s).
	 
	15.4	 	Entire Agreement. This Agreement constitutes the entire agreement of the
Parties on the date it is entered into, regarding the matters set out in it, and it
substitutes and derogates all other previous agreements relating to its object. All the
schedules form an integral part of this Agreement and have the same validity and effect
as if they were incorporated into the text of this Agreement. Changes to this Agreement
are to be made in writing and signed by the Parties.
	 
	15.5	 	Waiver. No waiver by the Parties of any of the rights under this Agreement
or derived from its breach will be deemed to exist, unless the waiver is made expressly
in writing. If any Party waives any of its rights under this Agreement or any breach of
this Agreement by the other Party pursuant to the previous paragraph, this waiver will
not be understood as a waiver of any other right under this Agreement or any other breach
by the other Party, even though it may be similar to the waived event.
	 
	15.6	 	Amendment of Transaction Agreement. The Bidder Parties agree that they
shall not amend or modify the Transaction Agreement, nor any of the terms thereof,
without the prior written consent of Selling Stockholder.
	 
	16.	 	Notices
	 
	16.1	 	Form. All communications and notices made by the Parties pursuant to or
relating to this Agreement must be in writing, using any of the following methods:

	 	(i)	 	personal delivery with written confirmation of receipt by the other Party;
	 
	 	(ii)	 	notarial service;

PAGE 15

 

	 	(iii)	 	registered fax (bureau fax); or
	 
	 	(iv)	 	mail, commercial delivery service, or electronic mail, or by any other means,
as long as, at all times, there is evidence of receipt by the addressee(s).

	16.2	 	Designated Addresses for Notices. Communications and notices between the
Parties are to be delivered to the following addresses or fax numbers and to the
attention of the persons indicated:

To SE or BIDCO:

Schneider Electric SA

Address: 35 rue Joseph Monier

92500 Rueil Malmaison

France

Telephone: +33 141 393 062

Fax: +1 401 788 2766

E-mail: peter.wexler@schneider-electric.com

Care of: Peter Wexler, General Counsel

With a copy to:

Debevoise & Plimpton LLP

919 Third Avenue

New York, NY 10022

U.S.A.

Telephone: +1 212 909 6000

Fax: +1 212 909 6836

Email : psbird@debevoise.com

             rbetmansour@debevoise.com

Care of: Paul S. Bird

             E. Raman Bet-Mansour

PAGE 16

 

and:

Uria Menendez

Prinicipe de Vergara, 187

Plaza de Rodrigo Uria

28002 — Madrid

Spain

Telephone: +34 915 860 096

Fax: +34 915 860 403

Email: che@uria.com

Care of: Christian Hoedl

To Selling Stockholder:

Address: Valgrande 6

28108 Alcobendas

Madrid

Spain

Telephone: +34 902 335 599

Fax: +34 917 147 008

E-mail: ignacio.gonzalez@telvent.com

With a copy to:

Squire, Sanders & Dempsey (US) LLP

4900 Key Tower

127 Public Square

Cleveland, Ohio 44114-1304

US.A.

Telephone: + 1 216 479 8552

Fax: +1-216-479-8780

E-mail: Laura.Nemeth@ssd.com

Care of: Laura D. Nemeth

	16.3	 	Changes. Under this clause, any changes to the addresses or contact
persons indicated to receive notices under this Agreement are to be notified immediately
to the other Parties. If a Party has not received notice of changes, any notice this
Party makes in accordance with these rules to the addresses and persons indicated in this
Agreement will be deemed valid.
	 
	17.	 	Governing law
	 
	17.1	 	This Agreement will be governed by the laws of Spain.

PAGE 17

 

	18.	 	Arbitration
	 
	18.1	 	All disputes arising out of or in connection with this Agreement between the Bidder
Parties, on the one hand, and the Selling Stockholder, on the other hand, shall be
finally settled under the Rules of Arbitration of the International Chamber of Commerce
by three (3) arbitrators appointed in accordance with the said Rules. For purposes of
appointing arbitrators in accordance with the said Rules, the Bidder Parties shall be
considered one party and the Selling Stockholder shall be considered the other party.
The seat of the arbitration shall be Madrid (Spain), the language of the arbitration
shall be English and in Spanish the arbitration shall be arbitration in law. For the
avoidance of doubt, the arbitrators shall have authority to grant specific performance in
accordance with clause 12 of this Agreement, subject to the limitations therein. The
parties submit to jurisdiction in the Courts of Madrid for the limited purpose of
enforcing this agreement to arbitrate.
	 
	18.2	 	Judgment upon the award may be entered by any court having jurisdiction thereof or
having jurisdiction over the relevant party or its assets.

[Signatures follow]

PAGE 18

 

IN WITNESS WHEREOF, the Parties, duly represented, execute and sign this Agreement in four (4)
original copies.

	 	 	 	 	 
	 	SCHNEIDER ELECTRIC, S.A.

 	 
	 	By:  	/s/ Emmanuel Babeau
 	 
	 	 	Name:  	Emmanuel Babeau 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	SCHNEIDER ELECTRIC ESPAŇA, S.A.U.

 	 
	 	By:  	/s/ Elena González Anta
 	 
	 	 	Name:  	Elena González Anta 	 
	 	 	Title:  	Chief Legal Counsel 	 
	 
	 	IGNACIO GONZÁLEZ DOMINGUEZ

 	 
	 	  	/s/ Ignacio González Dominguez
 	 

PAGE 19exv4w4

Exhibit 4.4

IRREVOCABLE UNDERTAKING AGREEMENT

in relation to

THE ACCEPTANCE OF A TENDER OFFER FOR THE SHARES OF

TELVENT GIT, S.A

between

SCHNEIDER ELECTRIC, S.A. and SCHNEIDER ELECTRIC ESPAŇA, S.A.U.

and

MR. MANUEL SÁNCHEZ ORTEGA

31 May 2011

 

 

Index

	 	 	 	 	 

	I. PARTIES
	 	 	1	 
	II. RECITALS
	 	 	1	 
	III. CLAUSES
	 	 	3	 
	1. Agreement to Tender
	 	 	3	 
	2. Agreement to Vote
	 	 	4	 
	3. Undertakings of the Selling Stockholder
	 	 	5	 
	4. Undertakings of the Bidder Parties
	 	 	6	 
	5. Representations and Warranties of the Bidder Parties
	 	 	7	 
	6. Representations and Warranties of the Selling Stockholder
	 	 	8	 
	7. Indemnity undertaking
	 	 	11	 
	8. No Managing Interest.
	 	 	11	 
	9. Term
	 	 	11	 
	10. Termination of the Agreement
	 	 	12	 
	11. Confidentiality; Public Announcements
	 	 	12	 
	12. Specific Performance
	 	 	13	 
	13. Assignment
	 	 	14	 
	14. Costs and taxes
	 	 	14	 
	15. Interpretation Standards
	 	 	14	 
	16. Notices
	 	 	15	 
	17. Governing law
	 	 	17	 
	18. Arbitration
	 	 	17	 

 

 

31 May 2011

I. PARTIES

Of the one part,

SCHNEIDER ELECTRIC, S.A., a French société anonyme with its registered office at 35, rue Joseph
Monier, 92500 Rueil-Malmaison, France, registered in the Commercial and Companies Registry of
Nanterre under number 542 048 574 (hereinafter, “SE” or the “Bidder”) duly represented herein by
[Emmanuel Babeau]; and

SCHNEIDER ELECTRIC ESPAŇA, S.A.U., a company organized under the laws of the Kingdom of Spain and
an indirect wholly owned subsidiary of the Bidder, with its corporate domicile at Barcelona, C/ Bac
de Roda, n° 52, edificio A, registered with the Companies’ registry of Barcelona in Tomo 23.584,
Folio 124, Sección 8a, Hojo B-57.594, and having C.I.F. A-08008450 (hereinafter,
"BIDCO”), duly represented herein by Elena González-Anta;

(the Bidder and BIDCO together referred to as the “Bidder Parties”)

and of the other part,

MR. MANUEL SÁNCHEZ ORTEGA, an individual of legal age and Spanish nationality, residingat 10404
Grey Fox Road, Potomac, Maryland (United States of America), with D.N.I./C.I.F. 02601273
(hereinafter “Selling Stockholder”), married to Ms. Maria Ángeles Fabelo Rodriguez under the
community marital regime (regimen de gananciales), of legal age, with the same domicile and
passport number BD372438, represented by Mr. Sánchez Ortega by virtue of a power granted in the
Spanish consulate in Washington on September 22, 2009;

The expression the “Parties” shall refer to the Bidder, BIDCO, and Selling Stockholder.

II. RECITALS

	I.	 	Whereas Telvent GIT, S.A. is a company organized under the laws of the Kingdom of Spain, with
its corporate domicile in Alcobendas (Madrid), Valgrande 6, registered with the Commercial
Registry of Madrid under Tomo

PAGE 1

 

	 	 	15.370, Folio 164, Hoja M-257879, and having C.I.F. A-82631623 (hereinafter,
“TELVENT” or the “Company”).

	II.	 	Whereas the share capital of TELVENT currently
amounts to €102,454,652.50, represented by 34,094,159
ordinary shares with a nominal value of €3.00505 per
share, which are listed on and traded through the
Nasdaq Global Select Market in the United States
(hereinafter, the “Telvent Shares”).

	 
	III.	 	
Whereas the Bidder Parties intend to launch a tender
offer (hereinafter, the “Offer”) for the Telvent
Shares promptly following the execution hereof,
pursuant to a transaction agreement (the “Transaction
Agreement”) that the Bidder and TELVENT have entered
into on the date hereof, such Offer to be made at a
price of US $40 per share (such amount or, if the
Offer is amended in accordance with the terms of the
Transaction Agreement and a higher amount per Telvent
Share is paid pursuant to the Offer, such higher
amount, the “Acquisition Price”), subject to the
terms and conditions set forth in the Transaction
Agreement and the related Offer materials (the
“Tender Offer Materials”), otherwise in accordance
with the Exchange Act), including Regulation 14D
promulgated thereunder (hereinafter the “US tender
offer rules”).

	 
	IV.	 	
Whereas on the date of execution of this Agreement,
Selling Stockholder is the sole “beneficial owner”
(as defined in Rule 13d-3 under the Exchange Act) of
an aggregate number of 333,000 Telvent Shares, (all
such beneficially owned Telvent Shares which are
outstanding as of the date hereof and which may
hereafter be issued to or otherwise acquired or owned
by Selling Stockholder prior to the termination of
this Agreement (including pursuant to any exercise of
acquisition by purchase, or stock dividend,
distribution, split-up, recapitalization, combination
or similar transaction), but excluding any Telvent
Shares which Selling Stockholder is entitled to
acquire or receive pursuant to any Equity Plan prior
to their actual acquisition or receipt by Selling
Stockholder, being referred to herein as the “Subject
Shares”).
	 
	V.	 	Whereas as a condition to their willingness to enter into the Transaction Agreement, the
Bidder Parties have requested that the Selling Stockholder, and in order to induce the Bidder
Parties to enter into the Transaction Agreement, the Selling Stockholder has agreed to, enter
into this Agreement.

PAGE 2

 

	VI.	 	Whereas in light of the above, the Selling Stockholder desires to
sell the Subject Shares to the Bidder Parties at the Acquisition
Price and the Bidder Parties desire to acquire the Subject Shares at
such price subject to the terms and conditions set forth in this
Agreement.

	 
	VII.	 	
Whereas capitalized terms used but not otherwise defined herein
shall have the respective meanings ascribed to such terms in the
Transaction Agreement, and the other definitional and interpretative
provisions set forth in Section 6.13 of the Transaction Agreement
shall apply hereto as if such provisions were set forth herein.

	 
	VIII.	 	
Whereas, in light of the above and the respective representations,
warranties, covenants and agreements set forth below, the Parties
hereto agree as follows.

III. CLAUSES

1.    Agreement to Tender

	1.1	 	Selling Stockholder agrees that it shall duly tender, or cause to be tendered, in the
Offer, all of the Subject Shares pursuant to and in accordance with the terms of the Offer.
Promptly, but in any event no later than ten Business Days after the commencement of the
Offer, Selling Stockholder shall (i) deliver to the depositary designated for the Offer (the
“Depositary”) (A) a letter of transmittal with respect to such Subject Shares complying with
the terms of the Offer, (B) a certificate or certificates representing such Subject Shares
or an “agent’s message” (or such other evidence, if any, of transfer as the Depositary may
reasonably request) in the case of a book-entry transfer of any uncertificated Subject
Shares and (C) all other documents or instruments required to be delivered pursuant to the
terms of the Offer, and (ii) instruct its broker or such other person that is the holder of
record of any Subject Shares to irrevocably tender into the Offer all of the Subject Shares
pursuant to and in accordance with the terms of the Offer. Selling Stockholder agrees that
once the Subject Shares are tendered, the Selling Stockholder shall not withdraw, nor cause
or permit the withdrawal of, any tender of such Subject Shares, unless and until (i) the
Offer shall have been terminated in accordance with the terms of the Transaction Agreement,
or (ii) this Agreement shall have been terminated in accordance with clause 10.

PAGE 3

 

2. Agreement to Vote

	2.1	 	Except to the extent waived in writing by the Bidder in its discretion, at any
meeting of the stockholders of TELVENT, however called, or at any adjournment thereof, or
in any other circumstances upon which a vote, consent or other approval of all or some of
the stockholders of TELVENT is sought, the Selling Stockholder shall vote all of the
Subject Shares owned by it (to the extent the Subject Shares are not purchased in the
Offer): (i) against any action, transaction or agreement that would result in a
breach of any covenant, representation or warranty or any other obligation or agreement
of TELVENT under the Transaction Agreement or of any of the parties hereto under this
Agreement; and (ii) against the following actions (other than the transactions
contemplated or permitted by the Transaction Agreement): (A) any extraordinary
corporate transaction, such as a merger, consolidation or other business combination
involving TELVENT or any of its subsidiaries; (B) any sale, lease or transfer of
a material amount of assets of TELVENT or any of its subsidiaries; (C) any
reorganization, recapitalization, dissolution, liquidation or winding up of TELVENT or
any of its subsidiaries; (D) any change in the majority of the Company Board;
(E) any change in the present capitalization of TELVENT or any amendment of the
articles of association of TELVENT; (F) any other material change in the
corporate structure or business of TELVENT; and (G) any other action, transaction
or proposal involving TELVENT or any of its subsidiaries that is intended or would
reasonably be expected to (x) prevent, nullify, impede, interfere with,
frustrate, delay, postpone, discourage or otherwise materially adversely affect the
Offer, the Transaction Agreement, any of the transactions contemplated by the Transaction
Agreement or this Agreement or the contemplated economic benefits of any of the foregoing
or (y) change in any manner the voting rights of any Subject Shares.
	 
	2.2	 	Except as set forth in Section 2.1, Selling Stockholder shall retain at all times
the right to vote its Subject Shares in its sole discretion and without any other
limitation on those matters other than those set forth in this Agreement that are at any
time or from time to time presented for consideration to the Company’s stockholders to
the extent that the Company is entitled to do so or not prohibited from doing so under
the Transaction Agreement.

PAGE 4

 

3. Undertakings of the Selling Stockholder

	3.1	 	Until the earlier of the date of settlement of the Offer, the date of withdrawal of
the Offer or the date of termination of this Agreement, as applicable, and in accordance
with the terms and conditions of this Agreement, Selling Stockholder undertakes to take
any and all necessary or convenient actions to facilitate the successful completion of
the Offer, and in particular (except as otherwise permitted by this Agreement):

	 	 	(x) to maintain sole record and/or beneficial ownership (as “beneficial owner”
is defined in Rule 13d-3 under the Exchange Act), as the case may be, of the Subject
Shares until their transfer to BIDCO, except as such beneficial ownership may be deemed
transferred to the Bidder Parties pursuant to this Agreement; (y) not to,
directly or indirectly, (i) transfer (which term shall include any sale, offer
for sale, transfer, tender, assignment, gift, pledge, hypothecation or other
disposition), or consent to or permit any such transfer of, any or all of the Subject
Shares or any interest therein, or create or permit to exist any Lien on any Subject
Shares, other than any restrictions imposed by applicable Law or pursuant to this
Agreement, (ii) enter into any Contract with respect to any transfer of such
Subject Shares or any interest therein, (iii) grant or permit the grant of any
proxy, power of attorney or other authorization in or with respect to such Subject
Shares, (iv) deposit or permit the deposit of such Subject Shares into a voting
trust or enter into a voting agreement or arrangement with respect to such Subject
Shares, or (v) take or permit any other action that would in any way restrict,
limit or interfere with the performance of its obligations hereunder or the transactions
contemplated hereby or otherwise make any representation or warranty of the Selling
Stockholder herein untrue or incorrect; and (z) to tender all the Subject Shares in the
Offer as promptly as practicable after commencement of the Offer, but in any event no
later than ten Business Days after the commencement of the Offer.

	 	 	If for any reason, Selling Stockholder, acquires or receives additional Telvent Shares
during such period, Selling Stockholder hereby irrevocably commits to sell, or cause to
be sold, such additional Telvent Shares to the Bidder on the terms and conditions of
this Agreement. Selling Stockholder undertakes that any such additional shares acquired
or received by Selling Stockholder will be

PAGE 5

 

	 	 	free from any lien, pledge, hypothecation, proxy, power of attorney, encumbrance,
option, pre-emptive right, Contract or other agreement or understanding with respect to
any transfer of the Subject Shares or of any interest therein and any restriction to
their free transferability, and that they will carry all full voting and economic rights
in favor of Selling Stockholder. Any Telvent Shares acquired or received by Selling
Stockholder after the date of this Agreement shall be considered “Subject Shares” for
all purposes of this Agreement. For avoidance of doubt, Subject Shares shall not
include any Telvent shares which Selling Stockholder is entitled to acquire or receive
pursuant to any Equity Plan prior to their actual acquisition or receipt by Selling
Stockholder.

	3.2	 	Selling Stockholder shall not directly or indirectly (i) initiate, solicit,
knowingly facilitate or knowingly encourage any inquiry or the making of any proposal
that constitutes or could reasonably be expected to lead to an Alternative Proposal,
(ii) enter into any letter of intent, memorandum of understanding or other
agreement, arrangement or understanding relating to, or that could reasonably be expected
to lead to, an Alternative Proposal, or (iii) continue or otherwise participate
in any discussions or negotiations regarding, furnish to any Person any information or
data with respect to, or otherwise cooperate with or take any other action to knowingly
facilitate any proposal that (A) constitutes, or could reasonably be expected to lead to,
an Alternative Proposal. Selling Stockholder shall immediately cease and cause to be
terminated any existing activities, discussions or negotiations with any Persons or their
respective directors, officers, employees, agents, investment bankers, financial
advisors, attorneys, accountants or other advisors or representatives (collectively
“Representatives”) (other than SE) conducted prior to the date of this Agreement with
respect to an Alternative Proposal. Without limiting the foregoing, any violation of the
restrictions set forth in this Section 3.3 by any Representative of a Selling
Stockholder, whether or not such Person is purporting to act on behalf of such Selling
Stockholder or any of its Affiliates, shall be deemed to be a breach of this Section 3.3
by Selling Stockholder.

4. Undertakings of the Bidder Parties

	4.1	 	The Bidder Parties hereby, jointly and severally (solidariamente), undertake:

PAGE 6

 

	 	(i)	 	To launch the Offer as promptly as practicable following the date hereof in
accordance with the Transaction Agreement.
	 
	 	(ii)	 	Subject to the satisfaction or waiver of all conditions to the Offer set
forth in the Transaction Agreement, to acquire the Subject Shares tendered into the
Offer and to pay to Selling Stockholder the Acquisition Price for each Subject Share
pursuant to and in accordance with the terms of the Offer promptly following the
expiration of the Offer in accordance with the Exchange Act.
	 
	 	(iii)	 	To provide Selling Stockholder with all such information as it shall
reasonably request in relation to the conduct of the Offer.

5. Representations and Warranties of the Bidder Parties

	5.1	 	The Bidder Parties, jointly and severally (solidariamente), state that the
representations and warranties set forth in clause 5.2 (hereinafter, “Representations and
Warranties of the Bidder Parties”) are true, accurate and complete, and do not omit any
fact or circumstance that might alter, limit or condition their content and scope.
	 
	5.2	 	The Bidder Parties hereby, jointly and severally, represent and warrant to Selling
Stockholder that:

	 	(i)	 	Valid/Binding agreement. Assuming the due authorization, execution
and delivery of this Agreement by Selling Stockholder, this Agreement, when duly
executed, will constitute valid and binding agreement of the Bidder Parties,
enforceable against each Bidder Party in accordance with its terms, subject only to
the Bankruptcy and Equity Exception.
	 
	 	(ii)	 	Valid existence. Each Bidder Party is a duly incorporated company,
validly existing and in good standing under the laws of the jurisdiction in which such
party is organized, and each Bidder Party has full corporate power and authority to
enter into this Agreement and to perform its obligations hereunder.
	 
	 	(iii)	 	Authorization / enforceability. The execution, delivery and
performance by the Bidder Parties of this Agreement and all of the documents and
instruments required hereby from the Bidder Parties and the

PAGE 7

 

	 	 	 	consummation of the Offer and other transactions contemplated hereby and thereby
are within the corporate power of each Bidder Party and have been duly authorized
by all necessary corporate action of such Bidder Party. Therefore, this Agreement
and any other documents or instruments entered into pursuant to this Agreement
shall be enforceable against each Bidder Party in accordance with their terms,
subject only to the Bankruptcy and Equity Exception.

	 	(iv)	 	Non contravention. The execution, delivery and performance by the
Bidder Parties of this Agreement and all of the documents and instruments required
hereby from the Bidder Parties and the consummation of the Offer and other
transactions contemplated hereby and thereby do not and will not (i) violate
any certificate of incorporation, bylaws or other organizational documents of either
Bidder Party, (ii) violate any applicable Law or order applicable to the
Bidder Parties, or (iii) result in the imposition of any encumbrance on any
asset of either Bidder Party. No governmental authorization is required in connection
with the execution and delivery of this Agreement by the Bidder Parties or the
consummation by the Bidder Parties of the transactions contemplated hereby, except for
applicable requirements, if any, under the Exchange Act and any other applicable U.S.
state or federal securities laws.

	5.3	 	The Representations and Warranties of the Bidder Parties will remain in force and
will be deemed as true, complete and accurate at the time of transfer of the Subject
Shares to BIDCO and at the time of settlement of the Offer. For avoidance of doubt,
notwithstanding anything in this Agreement to the contrary, the Representations and
Warranties of the Bidder Parties shall not survive the Offer Closing.

6. Representations and Warranties of the Selling Stockholder

	6.1	 	Selling Stockholder states that the representations and warranties set forth in
clause 6.2 (hereinafter, “Representations and Warranties of the Selling Stockholder” and,
along with the “Representations and Warranties of the Bidder”, the “Representations and
Warranties”) are true, accurate and complete, and do not omit any fact or circumstance
that might alter, limit or condition their content and scope.

PAGE 8

 

	6.2	 	Selling Stockholder hereby represents and warrants to the Bidder Parties that:

	 	(i)	 	Valid/Binding agreement. Assuming the due authorization, execution
and delivery of this Agreement by the Bidder Parties, this Agreement, when duly
executed, will constitute valid and binding agreement of Selling Stockholder
enforceable against such Selling Stockholder in accordance with its terms, subject
only to the Bankruptcy and Equity Exception.
	 
	 	(ii)	 	Legal Capacity/Enforceability. The execution, delivery and
performance by Selling Stockholder of this Agreement and the consummation of the
transactions contemplated hereby are within his or her legal capacity and requisite
powers, and if this Agreement is being executed in a representative or fiduciary
capacity, the Person signing this Agreement has full power and authority to execute,
deliver and perform this Agreement. Therefore, this Agreement and any other documents
or instruments entered into pursuant to this Agreement shall be enforceable against
Selling Stockholder in accordance with their terms, subject only to the Bankruptcy and
Equity Exception.
	 
	 	(iii)	 	Non contravention. The execution, delivery and performance by
Selling Stockholder of this Agreement and the consummation of the transactions
contemplated hereby do not and will not (i) violate any applicable Law or
order applicable to Selling Stockholder, or (ii) result in the imposition of
any encumbrance on any asset of such Selling Stockholder. No governmental
authorization is required in connection with the execution and delivery of this
Agreement by Selling Stockholder or the consummation by Selling Stockholder of the
transactions contemplated hereby, except for applicable requirements, if any, under
the Exchange Act and any other applicable U.S. state or federal securities laws.
	 
	 	(iv)	 	Legal title to and beneficial ownership of the Subject Shares.
Selling Stockholder is the sole record or “beneficial owner” of the Subject Shares,
free and clear of any encumbrance and any other limitation or restriction (including
any restriction on the right to vote or otherwise transfer such Subject Shares),
except as provided hereunder or for any applicable restrictions on transfer under the
Securities Act. As of the date hereof,

PAGE 9

 

	 	 	 	Selling Stockholder does not own, beneficially or otherwise, any Telvent Shares
other than the Subject Shares.

	 	(v)	 	Absence of Charges or Encumbrances on the Subject Shares. The
Subject Shares are, and shall remain until their transfer to BIDCO, free from any type
of Charges or Encumbrances. For these purposes, “Charges and Encumbrances” shall
encompass any restriction, obligation or defect having a real or personal nature which
encumbers: (i) the title to the Subject Shares, their peaceful enjoyment and
full possession; (ii) the capacity of the Selling Stockholder to freely
dispose of the Subject Shares; or (iii) any other right inherent to their
ownership or title. Such term includes without limitation pledges, usufructs,
retention rights, pre-emptive entries in any public registries, and other charges,
restrictions and encumbrances of a real nature, as well as preferential acquisition
rights, rights of first refusal, obligations to offer, buy-back rights, option rights,
limitations on use, disposition or enjoyment, or any other limitations of rights
inherent in the title to the Subject Shares, whether of a voluntary, legal or
contractual nature, or other charges, restrictions or encumbrances of a personal
nature.
	 
	 	(vi)	 	Finder’s Fees. No investment banker, broker, finder or other
intermediary is entitled to a fee or commission in connection with the transactions
contemplated by this Agreement based upon any arrangement or agreement made by or on
behalf of the Selling Stockholder other than as disclosed in the Transaction
Agreement.

	6.3	 	For the purposes of evidencing its record ownership of the Subject Shares, the
Selling Stockholder shall provide the Bidder, no later than ten Business Days from the
date of this Agreement, with a certificate of the Transfer Agent setting forth the number
of Telvent Shares held of record by Selling Stockholder as reflected on the shareholder
registered maintained by the Transfer Agent.
	 
	6.4	 	The Representations and Warranties of the Selling Stockholder will remain in force
and will be deemed as true, complete and accurate at the time of transfer of the Subject
Shares to BIDCO and at the time of settlement of the Offer. For avoidance of doubt,
anything contained in this Agreement to the contrary

PAGE 10

 

	 	 	notwithstanding, the Representations and Warranties of the Seller Stockholder shall not
survive the Offer Closing.

7. Indemnity undertaking

	7.1	 	The Bidder Parties and the Selling Stockholder shall indemnify each other for any
damages (as defined in clause 7.2 below) caused to the other Party as a consequence of
any inaccuracy, omission or falsity in the Representations and Warranties above;
provided that the maximum liability of (i) the Selling Stockholder to the Bidder
Parties under this Agreement shall not exceed the amount of the expected proceeds from
the sale of its Subject Shares pursuant to this Agreement and (ii) the Bidder Parties to
Selling Stockholder under this Agreement shall not exceed the amount payable for the
purchase of the Subject Shares pursuant to this Agreement.
	 
	7.2	 	For the purposes of this Agreement, “damages” will mean any direct and
demonstrable: loss, damage (expressly excluding consequential damage and loss of probable
profit), detriment, charge, liability, capital loss, fine, surcharge, interest or expense
(including expenses and fees for attorneys, solicitors, notaries public, auditors,
accountants, experts or other professionals).
	 
	7.3	 	Indemnity for damages will be calculated on a dollar-for-dollar basis.

	8.	 	No Managing Interest.

	8.1	 	Until such time as the Bidder Parties shall have acquired the Subject Shares
pursuant to the offer, all rights, ownership and economic benefits of and relating to the
Subject Shares shall remain vested in and belong to Selling Stockholder, and the Bidder
Parties shall not have any authority to manage, direct, superintend, restrict, regulate,
govern, or administer any of the policies or operations of TELVENT.

9. Term

	9.1	 	This Agreement shall enter into force on the date of its execution and shall remain
in force up to the earliest of:

	 	(i)	 	the mutual written consent of the Parties;

PAGE 11

 

	 	(ii)	 	the date of settlement of the Offer (if the Subject Shares are acquired in
the Offer as contemplated herein); or
	 
	 	(iii)	 	the termination or expiration of the Offer, without any Telvent Shares being
accepted for payment thereunder due to the failure of the Offer Conditions to be
satisfied.

10. Termination of the Agreement

	10.1	 	This Agreement will terminate in any of the following circumstances; provided,
however that no such termination shall relieve any party from liability for any breach
hereof prior to such termination:

	 	(i)	 	Expiry of the term of the Agreement as set out in clause 9.
	 
	 	(ii)	 	At the choice of the non-defaulting Party where any Party gives the other
Parties written notice of termination of this Agreement due to a serious or repeated
breach of any material obligation or covenant assumed under this agreement
(hereinafter, a “Material Breach”), if such Material Breach remains uncured or
unsolved after thirty (30) calendar days from the date of delivery of written notice
to the breaching Party.

	10.2	 	All the provisions contained in this Agreement which, due to their nature, are
called to remain in force after expiry of the term or termination shall remain in force.
In particular, this provision refers to this clause and to clauses 9 (“Term”), 10
(“Termination of the Agreement”), 11 (“Confidentiality; Public Announcements”), 13
(“Assignment”), 14 (“Costs and Taxes”), 16 (“Notices”), 17 (“Governing law”) and 18
(“Arbitration”).

11. Confidentiality; Public Announcements

	11.1	 	The terms of this Agreement are strictly private and confidential and should not be
disclosed without the Bidder Parties and the Selling Stockholder’s prior written consent
to any Person other than the Parties’ professional advisors, unless any of the Parties is
otherwise required to disclose such information in compliance with their legal or
regulatory obligations and subject to clause 11.2 below.

PAGE 12

 

	11.2	 	The Parties acknowledge and accept that if the Offer is launched, a description of
this Agreement will be provided in the Tender Offer Materials, and that a copy of the
Agreement may be attached as an exhibit to the Schedule TO filed by the Bidder with the
SEC.
	 
	11.3	 	Selling Stockholder agree to keep confidential any non-public information regarding
TELVENT that it has received as a result of its commercial relationships with, or
ownership of, TELVENT for a period of 5 years from the date hereof.

12. Specific Performance

	12.1	 	The Parties hereto acknowledge and agree that (a) the covenants,
obligations and agreements of the Parties pursuant to this Agreement relate to special,
unique and extraordinary matters, (b) the Bidder Parties are and will be relying
on such covenants, obligations and agreements in connection with entering into the
Transaction Agreement and the performance of their obligations under the Transaction
Agreement, and (c) a violation of any of the covenants, obligations or agreements
contained in this Agreement by either party will cause the non-defaulting party
irreparable injury for which adequate remedies are not available at law. Therefore, the
Parties shall be entitled to an injunction, restraining order or such other equitable
relief (without the requirement to post bond) as a court of competent jurisdiction may
deem necessary or appropriate to restrain the breaching party from committing any
violation of such covenants, obligations or agreements and to specifically enforce the
terms of this Agreement. These injunctive remedies are cumulative and in addition to any
other rights and remedies the Parties may have under applicable Law. Notwithstanding the
above, and in application of the relevant provisions of Spanish law it is expressly
agreed by the Parties that: (i) specific performance can only take place when, at
the time it is to be granted, such specific performance is feasible and is being
requested in good faith by the Parties seeking to enforce it (buena fe de exigir);
(ii) specific performance will not be granted when it entails an imposition of a
sanction against individual freedom (hacer personal); and (iii) specific
performance will not be granted when its application implies the breach of an obligation
of a third party (e.g. an obligation imposed by the Sellers on the directors

PAGE 13

 

	 	 	nominated by them to vote in a given sense at a Board meeting which would go against the
duties of directors under the Spanish Corporation Act).

13. Assignment

	13.1	 	No Party shall have the right to assign the rights and obligations arising under
this Agreement without the prior written consent of the other Parties.

14. Costs and taxes

	14.1	 	The Parties will bear the costs and taxes derived from negotiating, formalizing and
executing this Agreement, as follows:

	 	(i)	 	All the expenses and costs incurred and directly related to the Offer shall
be borne by the Bidder Parties.
	 
	 	(ii)	 	The Selling Stockholder shall not bear any of the fees of advisors, auditors
and other professionals contracted by the Bidder Parties or the Company.
	 
	 	(iii)	 	Taxes resulting from formalizing and executing this Agreement, if any, will
be borne, in each case, in accordance with applicable Law.

15. Interpretation Standards

	15.1	 	Headings. The headings and index used in this Agreement are for reference
purposes only, and will not be deemed to affect its interpretation.
	 
	15.2	 	Prevalence. If conflict arises between the clauses of this Agreement and
the content of its Schedules or a supplementary document, the content of the clauses of
this Agreement will prevail.
	 
	15.3	 	Severability. The illegality, invalidity or nullity of any clause in this
Agreement will not affect the validity of its other clauses, provided the rights and
obligations of the Parties are not affected in an essential manner. “Essential” is
understood as any situation that seriously prejudices the interests of any of the
Parties, or affects the object of this Agreement as provided in clause 1. Such clauses
are to be replaced or integrated into others

PAGE 14

 

	 	 	that, in accordance with law, correspond to the objectives of the substituted
clause(s).

	15.4	 	Entire Agreement. This Agreement constitutes the entire agreement of the
Parties on the date it is entered into, regarding the matters set out in it, and it
substitutes and derogates all other previous agreements relating to its object. All the
schedules form an integral part of this Agreement and have the same validity and effect
as if they were incorporated into the text of this Agreement. Changes to this Agreement
are to be made in writing and signed by the Parties.
	 
	15.5	 	Waiver. No waiver by the Parties of any of the rights under this Agreement
or derived from its breach will be deemed to exist, unless the waiver is made expressly
in writing. If any Party waives any of its rights under this Agreement or any breach of
this Agreement by the other Party pursuant to the previous paragraph, this waiver will
not be understood as a waiver of any other right under this Agreement or any other breach
by the other Party, even though it may be similar to the waived event.
	 
	15.6	 	Amendment of Transaction Agreement. The Bidder Parties agree that they
shall not amend or modify the Transaction Agreement, nor any of the terms thereof,
without the prior written consent of Selling Stockholder.

16. Notices

	16.1	 	Form. All communications and notices made by the Parties pursuant to or
relating to this Agreement must be in writing, using any of the following methods:

	 	(i)	 	personal delivery with written confirmation of receipt by the other Party;
	 
	 	(ii)	 	notarial service;
	 
	 	(iii)	 	registered fax (bureau fax); or
	 
	 	(iv)	 	mail, commercial delivery service, or electronic mail, or by any other means,
as long as, at all times, there is evidence of receipt by the addressee(s).

PAGE 15

 

	16.2	 	Designated Addresses for Notices. Communications and notices between the
Parties are to be delivered to the following addresses or fax numbers and to the
attention of the persons indicated:

To SE or BIDCO:

Schneider Electric SA

Address: 35 rue Joseph Monier

92500 Rueil Malmaison

France

Telephone: +33 141 393 062

Fax: +1 401 788 2766

E-mail: peter.wexler@schneider-electric.com

Care of: Peter Wexler, General Counsel

With a copy to:

Debevoise & Plimpton LLP

919 Third Avenue

New York, NY 10022

U.S.A.

Telephone: +1 212 909 6000

Fax: +1 212 909 6836

Email : psbird@debevoise.com

             rbetmansour@debevoise.com

Care of: Paul S. Bird

             E. Raman Bet-Mansour

and:

Uria Menendez

Prinicipe de Vergara, 187

Plaza de Rodrigo Uria

28002 — Madrid

Spain

Telephone: +34 915 860 096

Fax: +34 915 860 403

Email: che@uria.com

Care of: Christian Hoedl

PAGE 16

 

To Selling Stockholder:

Address: 10415 Grey Fox Road

Potomoc, Maryland 20854

U.S.A.

Telephone: +34 954 937 111

Fax: +34 955 641 705

E-mail: mso@abengoa.com

With a copy to:

DLA Piper Spain, S.L.

Address: Paseo de la Castellana, 35

28046 Madrid, SPAIN

Telephone: +34 91 319 12 12

Fax: +34 91 319 19 40

E-mail: juan.picon@dlapiper.com

Care of: Juan Picón García de Leániz

	16.3	 	Changes. Under this clause, any changes to the addresses or contact
persons indicated to receive notices under this Agreement are to be notified immediately
to the other Parties. If a Party has not received notice of changes, any notice this
Party makes in accordance with these rules to the addresses and persons indicated in this
Agreement will be deemed valid.

17. Governing law

	17.1	 	This Agreement will be governed by the laws of Spain.

18. Arbitration

	18.1	 	All disputes arising out of or in connection with this Agreement between the Bidder
Parties, on the one hand, and the Selling Stockholder, on the other hand, shall be
finally settled under the Rules of Arbitration of the International Chamber of Commerce
by three (3) arbitrators appointed in accordance with the said Rules. For purposes of
appointing arbitrators in accordance with the said Rules, the Bidder Parties shall be
considered one party and the Selling Stockholder shall be considered the other party.
The seat of the arbitration shall be Madrid (Spain), the language of the arbitration
shall

PAGE 17

 

	 	 	 	be English and in Spanish the arbitration shall be arbitration in law. For the
avoidance of doubt, the arbitrators shall have authority to grant specific performance in
accordance with clause 12 of this Agreement, subject to the limitations therein. The
parties submit to jurisdiction in the Courts of Madrid for the limited purpose of
enforcing this agreement to arbitrate.

	 	18.2	 	Judgment upon the award may be entered by any court having jurisdiction thereof or
having jurisdiction over the relevant party or its assets.

[Signatures follow]

PAGE 18

 

IN WITNESS WHEREOF, the Parties, duly represented, execute and sign this Agreement in four (4)
original copies.

	 	 	 	 	 
	 	
SCHNEIDER ELECTRIC, S.A.

 	 
	 	By:  	/s/ Emmanuel Babeau
 	 
	 	 	Name:  	Emmanuel Babeau 	 
	 	 	Title:  	Chief Financial Officer 	 
	 
	 	
SCHNEIDER ELECTRIC ESPAŇA, S.A.U.

 	 
	 	By:  	/s/ Elena González Anta
 	 
	 	 	Name:  	Elena González Anta                                     	 
	 	 	Title:  	Chief Legal Counsel 	 
	 
	 	MANUEL SÁNCHEZ ORTEGA

 	 
	 	 	/s/ Manuel Sánchez Ortega
 	 
	 
	 	MARIA ÁNGELES FABELO RODRÍGUEZ

 	 
	 	/s/ Manuel Sánchez Ortega
 	 
	 	By Manuel Sánchez Ortega, 	 
	 	as attorney-in-fact 	 
	 

PAGE 19

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