Document:

Unassociated Document

    STOCK
      ESCROW AGREEMENT

    

    STOCK
      ESCROW AGREEMENT, dated as of _________, 2006 (“Agreement”), by and among
      ADVANCED TECHNOLOGY ACQUISITION CORP., a Delaware corporation (“Company”),
[__________]
      and
[__________]
      (collectively “Initial Stockholders”) and CONTINENTAL
      STOCK
      TRANSFER & TRUST COMPANY, a [__________]
      corporation (“Escrow Agent”).

    

    WHEREAS,
      the Company has entered into an Underwriting Agreement, dated _____________,
      2006 (“Underwriting Agreement”), with CRT Capital Group LLC (“CRT”) acting as
      representative of the several underwriters (collectively, the “Underwriters”),
      pursuant to which, among other matters, the Underwriters have agreed to purchase
      25,000,000 units (“Units”) of the Company. Each Unit consists of one share of
      the Company’s common stock, par value $.0001 per share (“Common Stock”), and one
      Warrant, each Warrant to purchase one share of Common Stock, all as more fully
      described in the Company’s final Prospectus, dated _____________, 2006
      (“Prospectus”) comprising part of the Company’s Registration Statement on Form
      S-1 (File No. 333-_______) under the Securities Act of 1933, as
      amended (“Registration Statement”), declared effective on _____________, 2006
      (“Effective Date”).

    

    WHEREAS,
      the Initial Stockholders have agreed as a condition of the sale of the Units
      to
      deposit their shares of Common Stock of the Company, as set forth opposite
      their
      respective names in Exhibit A attached hereto (collectively “Escrow Shares”), in
      escrow as hereinafter provided.

    

    WHEREAS,
      the Company and the Initial Stockholders desire that the Escrow Agent accept
      the
      Escrow Shares, in escrow, to be held and disbursed as hereinafter
      provided.

    

    Any
      terms
      not defined herein shall have the definition ascribed to them in the
      Registration Statement.

    

    IT
      IS
      AGREED:

    1.       
      Appointment
      of Escrow Agent.
      The
      Company and the Initial Stockholders hereby appoint the Escrow Agent to act
      in
      accordance with and subject to the terms of this Agreement and the Escrow Agent
      hereby accepts such appointment and agrees to act in accordance with and subject
      to such terms.

    

    2.       
      Deposit
      of Escrow Shares.
      On or
      before the Effective Date, each of the Initial Stockholders shall deliver to
      the
      Escrow Agent certificates representing his respective Escrow Shares, to be
      held
      and disbursed subject to the terms and conditions of this Agreement. Each
      Initial Stockholder acknowledges that the certificate representing his Escrow
      Shares is legended to reflect the deposit of such Escrow Shares under this
      Agreement.

     

    3.       
      Disbursement
      of the Escrow Shares.
      The
      Escrow Agent shall hold the Escrow Shares until the date which is one year
      after
      the consummation of a Business Combination. (“Escrow Period”), on which date it
      shall, upon written instructions from each Initial Stockholder, disburse each
      of
      the Initial Stockholder’s Escrow Shares (and any applicable stock power) to such
      Initial Stockholder; provided, however, that if the Escrow Agent is notified
      by
      the Company pursuant to Section 6.7 hereof that the Company is being liquidated
      at any time during the Escrow Period, then the Escrow Agent shall promptly
      destroy the certificates representing the Escrow Shares; provided further,
      however, that if, after the Company consummates a Business Combination (as
      such
      term is defined in the Registration Statement), it (or the surviving entity)
      subsequently consummates a liquidation, merger, stock exchange or other similar
      transaction which results in all of the stockholders of such entity having
      the
      right to exchange their shares of Common Stock for cash, securities or other
      property, then the Escrow Agent will, upon receipt of a certificate, executed
      by
      the Chief Executive Officer or Chief Financial Officer of the Company, in form
      reasonably acceptable to the Escrow Agent, that such transaction is then being
      consummated, release the Escrow Shares to the Initial Stockholders upon
      consummation of the transaction so that they can similarly participate. The
      Escrow Agent shall have no further duties hereunder after the disbursement
      or
      destruction of the Escrow Shares in accordance with this
      Section 3.

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

       

      4.        Rights
        of Initial Stockholders in Escrow Shares.
        

       

    

    4.1     
      Voting
      Rights as a Stockholder.
      Subject
      to the terms of the Insider Letter described in Section 4.4 hereof and except
      as
      herein provided, the Initial Stockholders shall retain all of their rights
      as
      stockholders of the Company during the Escrow Period, including, without
      limitation, the right to vote such shares.

    

    4.2     
      Dividends
      and Other Distributions in Respect of the Escrow Shares.
      During
      the Escrow Period, all dividends payable in cash with respect to the Escrow
      Shares shall be paid to the Initial Stockholders, but all dividends payable
      in
      stock or other non-cash property (“Non-Cash Dividends”) shall be delivered to
      the Escrow Agent to hold in accordance with the terms hereof. As used herein,
      the term “Escrow Shares” shall be deemed to include the Non-Cash Dividends
      distributed thereon, if any.

    

    4.3     
      Restrictions
      on Transfer.
      During
      the Escrow Period, no sale, transfer or other disposition may be made of any
      or
      all of the Escrow Shares except (i) to a spouse or child of the beneficial
      owner
      of the shares owned by the Initial Stockholder or to a trust established for
      their benefit, (ii) by virtue of the laws of descent and distribution upon
      death
      of any Initial Stockholder, or (iii) pursuant to a qualified domestic relations
      order; provided,
      however,
      that
      such permissive transfers may be implemented only upon the respective
      transferee’s written agreement to be bound by the terms and conditions of this
      Agreement and of the Insider Letter (as defined below) signed by the Initial
      Stockholder transferring the Escrow Shares. 

    

    4.4     
      Insider
      Letters.
      Each of
      the Initial Stockholders has executed a letter agreement, dated as indicated
      on
      Exhibit A hereto, and which is filed as an exhibit to the Registration
      Statement (“Insider Letter”), respecting the rights and obligations of such
      Initial Stockholder in certain events, including but not limited to the
      liquidation of the Company.

    

    5.        Concerning
      the Escrow Agent.

    

    5.1     
      Good
      Faith Reliance.
      The
      Escrow Agent shall not be liable for any action taken or omitted by it in good
      faith and in the exercise of its own best judgment, and may rely conclusively
      and shall be protected in acting upon any order, notice, demand, certificate,
      opinion or advice of counsel (including counsel chosen by the Escrow Agent),
      statement, instrument, report or other paper or document (not only as to its
      due
      execution and the validity and effectiveness of its provisions, but also as
      to
      the truth and acceptability of any information therein contained) which is
      believed by the Escrow Agent to be genuine and to be signed or presented by
      the
      proper person or persons. The Escrow Agent shall not be bound by any notice
      or
      demand, or any waiver, modification, termination or rescission of this Agreement
      unless evidenced by a writing delivered to the Escrow Agent signed by the proper
      party or parties and, if the duties or rights of the Escrow Agent are affected,
      unless it shall have given its prior written consent thereto. 

    

     5.2    
      Indemnification.
      The
      Escrow Agent shall be indemnified and held harmless by the Company from and
      against any expenses, including counsel fees and disbursements, or loss suffered
      by the Escrow Agent in connection with any action, suit or other proceeding
      involving any claim which in any way, directly or indirectly, arises out of
      or
      relates to this Agreement, the services of the Escrow Agent hereunder, or the
      Escrow Shares held by it hereunder, other than expenses or losses arising from
      the gross negligence or willful misconduct of the Escrow Agent. Promptly after
      the receipt by the Escrow Agent of notice of any demand or claim or the
      commencement of any action, suit or proceeding, the Escrow Agent shall notify
      the other parties hereto in writing. In the event of the receipt of such notice,
      the Escrow Agent, in its sole discretion, may commence an action in the nature
      of interpleader in an appropriate court to determine ownership or disposition
      of
      the Escrow Shares or it may deposit the Escrow Shares with the clerk of any
      appropriate court or it may retain the Escrow Shares pending receipt of a final,
      non-appealable order of a court having jurisdiction over all of the parties
      hereto directing to whom and under what circumstances the Escrow Shares are
      to
      be disbursed and delivered. The provisions of this Section 5.2 shall survive
      in
      the event the Escrow Agent resigns or is discharged pursuant to Sections 5.5
      or
      5.6 below.

    

    5.3     
      Compensation.
      The
      Escrow Agent shall be entitled to reasonable compensation from the Company
      for
      all services rendered by it hereunder. The Escrow Agent shall also be entitled
      to reimbursement from the Company for all reasonable expenses paid or incurred
      by it in the administration of its duties hereunder including, but not limited
      to, all counsel, advisors’ and agents’ fees and disbursements and all taxes or
      other governmental charges.

    

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    5.4     
      Further
      Assurances.
      From
      time to time on and after the date hereof, the Company and the Initial
      Stockholders shall deliver or cause to be delivered to the Escrow Agent such
      further documents and instruments and shall do or cause to be done such further
      acts as the Escrow Agent shall reasonably request to carry out more effectively
      the provisions and purposes of this Agreement, to evidence compliance herewith
      or to assure itself that it is protected in acting hereunder.

    

    5.5     
      Resignation.
      The
      Escrow Agent may resign at any time and be discharged from its duties as escrow
      agent hereunder by its giving the other parties hereto written notice and such
      resignation shall become effective as hereinafter provided. Such resignation
      shall become effective at such time that the Escrow Agent shall turn over to
      a
      successor escrow agent appointed by the Company, the Escrow Shares held
      hereunder. If no new escrow agent is so appointed within the 60 day period
      following the giving of such notice of resignation, the Escrow Agent may deposit
      the Escrow Shares with any court it reasonably deems appropriate.

    

    5.6     
      Discharge
      of Escrow Agent.
      The
      Escrow Agent shall resign and be discharged from its duties as escrow agent
      hereunder if so requested in writing at any time by the other parties hereto,
      jointly, provided, however, that such resignation shall become effective only
      upon acceptance of appointment by a successor escrow agent as provided in
      Section 5.5.

    

    5.7     
      Liability.
      Notwithstanding anything herein to the contrary, the Escrow Agent shall not
      be
      relieved from liability hereunder for its own gross negligence or its own
      willful misconduct.

    

    6.       
      Miscellaneous.

    

    6.1     
      Governing
      Law.
      This
      Agreement shall for all purposes be deemed to be made under and shall be
      construed in accordance with the laws of the State of New York, without giving
      effect to conflicts of law principles that would result in the application
      of
      the substantive laws of another jurisdiction.

    

    6.2     
      Third
      Party Beneficiaries.
      Each of
      the Initial Stockholders hereby acknowledges that the Underwriters are third
      party beneficiaries of this Agreement and this Agreement may not be modified
      or
      changed without the prior written consent of CRT.

    

    6.3     
      Entire
      Agreement.
      This
      Agreement contains the entire agreement of the parties hereto with respect
      to
      the subject matter hereof and, except as expressly provided herein, may not be
      changed or modified except by an instrument in writing signed by the party
      to
      the charged.

     

    6.4      Headings.
      The
      headings contained in this Agreement are for reference purposes only and shall
      not affect in any way the meaning or interpretation thereof.

    

    6.5     
      Binding
      Effect.
      This
      Agreement shall be binding upon and inure to the benefit of the respective
      parties hereto and their legal representatives, successors and
      assigns.

    

    6.6     
      Notices.
      Any
      notice or other communication required or which may be given hereunder shall
      be
      in writing and either be delivered personally or be mailed, certified or
      registered mail, or by private national courier service, return receipt
      requested, postage prepaid, and shall be deemed given when so delivered
      personally or, if mailed, two days after the date of mailing, as
      follows:

    

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    If
      to the
      Company, to:

    

    Advanced
      Technology Acquisition Corp.

    14
      A
      Achimeir Street 

    Ramat
      Gan
      52587 Israel

    Attn:
      Moshe Bar-Niv 

    

    If
      to a
      Stockholder, to his address set forth in Exhibit A.

    

    and
      if to
      the Escrow Agent, to:

    

    Continental
      Stock Transfer & Trust Company

    17
      Battery Place

    New
      York,
      NY 10004

    Attn:
      Steve Nelson, Chairman and President

    

    A
      copy of
      any notice sent hereunder shall be sent to:

    

    Proskauer
      Rose LLP

    1585
      Broadway

    New
      York,
      New York 10036-8299

    Attn:
      Brian B. Margolis, Esq.

    

    and:

    

    CRT
      Capital Group LLC

    262
      Harbor Drive

    Stamford,
      CT 06902

    Attn:
      Jeff Marshall, Managing Director

    

    and:

    

    Mintz
      Levin Cohn Ferris Glovsky and Popeo PC

    666
      Third
      Avenue

    New
      York,
      NY 10017

    Attn:
      Kenneth Koch, Esq.

     

    The
      parties may change the persons and addresses to which the notices or other
      communications are to be sent by giving written notice to any such change in
      the
      manner provided herein for giving notice.

    

     6.7     Liquidation
      of the Company.
      The
      Company shall give the Escrow Agent written notification of the liquidation
      and
      dissolution of the Company in the event that the Company fails to consummate
      a
      Business Combination within the time period(s) specified in the
      Prospectus.

    

    (Remainder
      of page intentionally left blank. Signature page immediately
      follows.)

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    WITNESS
      the execution of this Agreement as of the date first above written.

     

    
      	 	 	 
	 	
              ADVANCED
                TECHNOLOGY ACQUISITION CORP.

            
	 
 	 
 	 
 
	 	By:  	 
	 	
              

              [___________]

            
	 	
              Chairman
                and Chief Executive Officer 

            

    

    
      
        	 	 	 
	 	 
	 	
                INITIAL
                  STOCKHOLDERS: 

              
	 	
                
                  
                    [___________]

                  

                

              
	 
 	 
 	 
 
	 	By:  	 
	 	
                

                
                  Name:

                

              
	 	
                
                  Title:

                

              
	 	 
	 	 
	 	
                
  
	 	 
	 	
                
  
	 	 

      

      
         

        
          	 	 	 
	 	
                  
                    CONTINENTAL
                      STOCK TRANSFER & 

                    TRUST
                      COMPANY

                  

                
	 
 	 
 	 
 
	 	By:  	 
	 	
                  

                  
                    Name:
                      

                  

                
	 	
                  Title:

                

        

      

    

     

    

      [Stock
        Escrow Agreement]

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    EXHIBIT
      A

    

    
      	
               

              Name
                and Address of  

              Initial
                Stockholder 

            	
               

              Number
                

              of
                Shares

            	
               

              Stock
                

              Certificate
                Number

            	
               

              Date
                of 

              Insider
                Letter

            
	
               

              M.O.T.A.
                Holdings Ltd.

            	
              1,747,500

            	
              1

            	
              9/29/2006

            
	
               

              FSGL
                Holdings Ltd

            	
              1,747,500

            	
              2

            	
              9/29/2006

            
	
               

              OLEV
                Holdings Ltd

            	
               

              1,747,500

            	
              3

            	
              9/29/2006

            
	
               

              Josef
                Neuhaus Ltd

               

            	
               

              30,000

            	
              4

            	
              9/29/2006

            
	
               

              Elisha
                Yanay

            	
               

              82,500

            	
              5

            	
              9/29/2006

            
	
              Avigdor
                Kaplan

            	
               

              20,000

            	
              6

            	
              9/29/2006

            
	
              Shrem,
                Fudim, Kelner - Technologies Ltd.

            	
               

              583,333

            	
              7

            	
              9/29/2006

            
	
              Shrem,
                Fudim, Kelner & Co. Ltd.

            	
               

              291,667

            	
              8

            	
              9/29/2006$_________
                

            	
              As
                of ____________ 

            

    

    

    Ramat
      Gan, Israel 

    

    Advanced
      Technology Acquisition Corp. ("Maker") promises to pay to the order of
      [___________] ("Payee") the principal sum of [ ] Thousand Dollars and No Cents
      ($[_________]) in lawful money of the United States of America, on the terms
      and
      conditions described below. 

    

    1.  Principal.
      The
      principal balance of this Note shall be repayable on the earlier of (i)
      ___________, 2007 [one year anniversary of IPO] or (ii) the date on which Maker
      consummates an initial public offering of its securities. Notwithstanding the
      foregoing, repayment
      of the principal balance on this Note may, in the sole discretion of Maker,
      be
      deferred for up to 12 months.

    

     2.  Interest.
      No
      interest shall accrue on the unpaid principal balance of this Note.

    

     3.  Application
      of Payments.
      All
      payments shall be applied first to payment in full of any costs incurred in
      the
      collection of any sum due under this Note, including (without limitation)
      reasonable attorneys' fees, then to the payment in full of any late charges
      and
      finally to the reduction of the unpaid principal balance of this
      Note.

    

     4.  Events
      of Default.
      The
      following shall constitute Events of Default:

    

    a.  Failure
      to Make Required Payments. Failure by Maker to pay the principal of this Note
      within five (5) business days following the date when due.

    

    b.  Voluntary
      Bankruptcy, Etc. The commencement by Maker of a voluntary case under the Federal
      Bankruptcy Code, as now constituted or hereafter amended, or any other
      applicable federal or state bankruptcy, insolvency, reorganization,
      rehabilitation or other similar law, or the consent by it to the appointment
      of
      or taking possession by a receiver, liquidator, assignee, trustee, custodian,
      sequestrator (or other similar official) of Maker or for any substantial part
      of
      its property, or the making by it of any assignment for the benefit of
      creditors, or the failure of Maker generally to pay its debts as such debts
      become due, or the taking of corporate action by Maker in furtherance of any
      of
      the foregoing.

    

    c.  Involuntary
      Bankruptcy, Etc. The entry of a decree or order for relief by a court having
      jurisdiction in the premises in respect of maker in an involuntary case under
      the Federal Bankruptcy Code, as now or hereafter constituted, or any other
      applicable federal or state bankruptcy, insolvency or other similar law, or
      appointing a receiver, liquidator, assignee, custodian, trustee, sequestrator
      (or similar official) of Maker or for any substantial part of its property,
      or
      ordering the winding-up or liquidation of its affairs, and the continuance
      of
      any such decree or order unstayed and in effect for a period of 60 consecutive
      days.

    

    
      
         

      

      
        -1-

        
          

        

      

      
         

      

    

    5.  Remedies.

    

    a.  Upon
      the occurrence of an Event of Default specified in Section 4(a), Payee may,
      by
      written notice to Maker, declare this Note to be due and payable, whereupon
      the
      principal amount of this Note, and all other amounts payable thereunder, shall
      become immediately due and payable without presentment, demand, protest or
      other
      notice of any kind, all of which are hereby expressly waived, anything contained
      herein or in the documents evidencing the same to the contrary
      notwithstanding.

    

    b.  Upon
      the occurrence of an Event of Default specified in Sections 4(b) and 4(c),
      the
      unpaid principal balance of, and all other sums payable with regard to, this
      Note shall automatically and immediately become due and payable, in all cases
      without any action on the part of Payee.

    

    6.  Waivers.
      Maker
      and all endorsers and guarantors of, and sureties for, this Note waive
      presentment for payment, demand, notice of dishonor, protest, and notice of
      protest with regard to the Note, all errors, defects and imperfections in any
      proceedings instituted by Payee under the terms of this Note, and all benefits
      that might accrue to Maker by virtue of any present or future laws exempting
      any
      property, real or personal, or any part of the proceeds arising from any sale
      of
      any such property, from attachment, levy or sale under execution, or providing
      for any stay of execution, exemption from civil process, or extension of time
      for payment; and Maker agrees that any real estate that may be levied upon
      pursuant to a judgment obtained by virtue hereof, on any writ of execution
      issued hereon, may be sold upon any such writ in whole or in part in any order
      desired by Payee.

    

    7.  Unconditional
      Liability.
      Maker
      hereby waives all notices in connection with the delivery, acceptance,
      performance, default, or enforcement of the payment of this Note, and agrees
      that its liability shall be unconditional, without regard to the liability
      of
      any other party, and shall not be affected in any manner by any indulgence,
      extension of time, renewal, waiver or modification granted or consented to
      by
      Payee, and consents to any and all extensions of time, renewals, waivers, or
      modifications that may be granted by Payee with respect to the payment or other
      provisions of this Note, and agree that additional makers, endorsers,
      guarantors, or sureties may become parties hereto without notice to them or
      affecting their liability hereunder.

    

    8.  Notices.
      Any
      notice called for hereunder shall be deemed properly given if (i) sent by
      certified mail, return receipt requested, (ii) personally delivered, (iii)
      dispatched by any form of private or governmental express mail or delivery
      service providing receipted delivery, (iv) sent by telefacsimile or (v) sent
      by
      e-mail, to the following addresses or to such other address as either party
      may
      designate by notice in accordance with this Section:

    

    If
      to
      Maker:

    

    Advanced
      Technology Acquisition Corp. 

    14
      A
      Achimeir Street 

    Ramat
      Gan
      52587 Israel

    Attn.:
      Chief Executive Officer 

     

    

    If
      to
      Payee:

    

    [____________]

    Attn:
      [                                 
]

     

    
      
         

      

      
        -2-

        
          

        

      

      
         

      

    

    Notice
      shall be deemed given on the earlier of (i) actual receipt by the receiving
      party, (ii) the date shown on a telefacsimile transmission confirmation, (iii)
      the date on which an e-mail transmission was received by the receiving party's
      on-line access provider, (iv) the date reflected on a signed delivery receipt,
      or (v) two (2) Business Days following tender of delivery or dispatch by express
      mail or delivery service. 

    

    9.  Construction.
      This Agreement shall be governed by, interpreted under, and construed in
      accordance with the internal laws of the State of New York applicable to
      agreements made and to be performed within the State of New York, without giving
      effect to any choice-of-law provisions thereof that would compel the application
      of the substantive laws of any other jurisdiction.

    

    10.  Severability.
      Any provision contained in this Note which is prohibited or unenforceable in
      any
      jurisdiction shall, as to such jurisdiction, be ineffective to the extent of
      such prohibition or unenforceability without invalidating the remaining
      provisions hereof, and any such prohibition or unenforceability in any
      jurisdiction shall not invalidate or render unenforceable such provision in
      any
      other jurisdiction.

    

    IN
      WITNESS WHEREOF, Maker, intending to be legally bound hereby, has caused this
      Note to be duly executed by its _____________ on the day and year first above
      written.  

    
      	 	 	 	 
	ADVANCED TECHNOLOGY ACQUISITION
              CORP. 	 	 	 
	 	 	 	 
	By: 	 	 	 
	
              
                

              

              Name: 

              Title: 

            	 	 	
            
	 	 	 	 

    
      
         

      

      
        -3-

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