Document:

QuickLinks
 -- Click here to rapidly navigate through this document

Exhibit 10.7  

FORM OF

INVESTMENT MANAGEMENT TRUST AGREEMENT  

        This Investment Management Trust Agreement ("Agreement") is made as
of                        , 2007 by and between
Taliera Corporation (the "Company") and Continental Stock Transfer & Trust Company ("Trustee"). 

        WHEREAS,
the Company's registration statement on Form S-1, No. 333-136097 ("Registration
Statement"), for its initial public offering of securities ("IPO") has been declared effective as of the date hereof
("Effective Date") by the Securities and Exchange Commission (capitalized terms used herein and not otherwise defined shall have the meanings set forth
in the Registration Statement); and 

        WHEREAS,
the Company has entered into an underwriting agreement with Morgan Joseph & Co. Inc. ("MJ"), acting as
representative of the underwriters (collectively, the "Underwriters") in the IPO, pursuant to which, among other matters, the Underwriters have agreed to purchase from the Company, and effect an IPO
of, 7,500,000 Units, each Unit consisting of one share of the Company's Common Stock, par value $.0001 per share ("Common Stock"), and one warrant
("Warrant"), each Warrant to purchase one share of Common Stock, all as more fully described in the Registration Statement; and 

        WHEREAS,
as described in the Registration Statement, and in accordance with the Company's Certificate of Incorporation, $59,400,000 of the gross proceeds of the IPO and sale of the
Insider Warrants ($68,085,000 if the underwriters over-allotment option is exercised in full) will be delivered to the Trustee to be deposited and held in a trust account for the benefit
of the Company and the holders of the Company's Common Stock, issued in the IPO as hereinafter provided (the amount to be delivered to the Trustee will be referred to herein as the
"Property," the stockholders for whose benefit the Trustee shall hold the Property will be referred to as the "Public Stockholders," and the Public
Stockholders and the Company will be referred to together as the "Beneficiaries"); and 

        WHEREAS,
the Company and the Trustee desire to enter into this Agreement to set forth the terms and conditions pursuant to which the Trustee shall hold the Property; 

        IT
IS AGREED: 

1.    Agreements and Covenants of Trustee. The Trustee hereby agrees and covenants to: 

        (a)   Hold
the Property in trust for the Beneficiaries in accordance with the terms of this Agreement in segregated trust accounts ("Trust
Account") established by the Trustee at J.P. Morgan Chase Bank, selected by the Trustee and at Smith Barney, a division of Citigroup Global Markets, Inc.; 

        (b)   Manage,
supervise and administer the Trust Account subject to the terms and conditions set forth herein; 

        (c)   In
a timely manner, upon the written instruction of the Company, to invest and reinvest the Property in United States "government securities" and/or in any open ended
money market funds selected by the Company meeting the conditions of paragraphs (c)(2), (c)(3) and (c)(4) of Rule 2a-7 promulgated under the Investment Company Act of 1940, as determined
by the Company. As used herein, "Government Security" means any Treasury Bill issued by the United States, having a maturity of one hundred and eighty days or less; 

        (d)   Collect
and receive, when due, all principal and income arising from the Property, which shall become part of the Property, as such term is used herein; 

        (e)   Notify
the Company of all communications received by it with respect to any Property requiring action by the Company; 

        (f)    Supply
any necessary information or documents as may be requested by the Company in connection with the Company's preparation of its tax returns for the Trust Account; 

        (g)   Participate
in any plan or proceeding for protecting or enforcing any right or interest arising from the Property if, as and when instructed by the Company to do so; 

        (h)   Render
to the Company and to MJ, and to such other person as the Company may from time to time instruct, monthly written statements of the activities of and amounts in
the Trust Account reflecting all receipts and disbursements of the Trust Account; 

        (i)    Commence
liquidation of the Trust Account only after and promptly after receipt of, and only in accordance with, the terms of a letter
("Termination Letter"), in a form substantially similar to that attached hereto as either  Exhibit A or Exhibit B hereto, signed on behalf of the Company by its Chief Executive
Officer, President 

 

or
Chairman of the Board or Secretary and affirmed by its Board of Directors, and complete the liquidation of the Trust Account and distribute the Property in the Trust Account only as directed in the
Termination Letter and the other documents referred to therein; provided, however, that in the event that a Termination Letter has not been received by
the Trustee by the 24-month anniversary of the effective date of the Registration Statement ("Last Date"), the Trust Account shall be
liquidated in accordance with the procedures set forth in the Termination Letter attached as Exhibit B hereto and distributed to the stockholders
of record on the Last Date. In all cases, the Trustee shall provide MJ with a copy of any Termination Letters and/or any other correspondence that it receives with respect to any proposed withdrawal
from the Trust Account promptly after it receives same. The provisions of this Section 1(i) may not be modified, amended or deleted under any circumstances; and 

        (j)    Upon
written instructions from the Company, in a form substantially similar to that attached hereto as Exhibit C,
the Trustee shall deliver to the Company, on a quarterly basis, an amount equal to the taxes payable by the Company, if any, relating to interest earned on the Property; provided, however, that such
distribution shall be only from income collected on the Property. 

        (k)   Upon
written request from the Company, which may be given from time to time at any time in a form substantially similar to that attached hereto as  Exhibit D, the Trustee shall distribute to the Company the
amount requested by the Company to cover expenses related to investigating and selecting a
target business and other working capital requirements; provided, however, that (i) such distribution shall be only from income collected on the Property, (ii) the aggregate amount of all such
distributions shall not exceed $750,000; and (iii) the Company certifies in its written request that the $700,000 line of credit from Taliera Holdings, LLC has been fully drawn. 

2.    Agreements and Covenants of the Company. The Company hereby agrees and covenants to: 

        (a)   Give
all instructions to the Trustee hereunder in writing, signed by the Company's Chairman of the Board or Chief Executive Officer. In addition, except with respect to
its duties under paragraph 1(i), 1(j) and 1(k) above, the Trustee shall be entitled to rely on, and shall be protected in relying on, any verbal or telephonic advice or instruction which
it in good faith believes to be given by any one of the persons authorized above to give written instructions, provided that the Company shall promptly confirm such instructions in writing; 

        (b)   Hold
the Trustee harmless and indemnify the Trustee from and against, any and all expenses, including reasonable counsel fees and disbursements, or loss suffered by the
Trustee in connection with any action, suit or other proceeding brought against the Trustee involving any claim, or in connection with any claim or demand which in any way arises out of or relates to
this Agreement, the services of the Trustee hereunder, or the Property or any income earned from investment of the Property, except for expenses and losses resulting from the Trustee's gross
negligence, willful misconduct or bad faith. Promptly after the receipt by the Trustee of notice of demand or claim or the commencement of any action, suit or proceeding, pursuant to which the Trustee
intends to seek indemnification under this paragraph, it shall notify the Company in writing of such claim (hereinafter referred to as the "Indemnified
Claim"). The Trustee shall have the right to conduct and manage the defense against such Indemnified Claim, provided, that the Trustee shall obtain the consent of the Company
with respect to the selection of counsel, which consent shall not be unreasonably withheld. The Trustee may not agree to settle any Indemnified Claim without the prior written consent of the Company
unless such settlement includes a full release of the Company with respect to such Indemnified Claim. The Company may participate in such action with its own counsel; 

        (c)   Pay
the Trustee an initial acceptance fee, an annual fee and a transaction processing fee for each disbursement made pursuant to Sections 1(j) as set forth on Schedule A
hereto, which fees shall be subject to modification by the parties from time to time. It is expressly understood that the Property shall not be used to pay such fees and further agreed that said
transaction processing fees shall be deducted by the Trustee from accumulated income at the time that disbursements are made to the Company pursuant to Section 1(j). The Company shall pay the Trustee
the initial acceptance fee and first year's fee at the consummation of the IPO and thereafter on the anniversary of the Effective Date. The Trustee shall refund to the Company the annual fee (on a pro
rata basis) with respect to any period after the liquidation of the Trust Fund. The Company shall not be responsible for any other fees or charges of the Trustee except as set forth in this Section
2(c) and as may be provided in Section 2(b) hereof (it being expressly understood that the Property shall not be used to make any payments to the Trustee under such Sections). 

        (d)   Not,
nor authorize the Trustee to, use the Property, or income earned on the Property, to pay any taxes except in the event that the Property, or a portion thereof, is
released to the Company: (i) in accordance with 

2

 

Section
1(j) above or (ii) in accordance with Section 1(i) hereof if and only if the Trustee receives a Termination Letter in the form of Exhibit A attached hereto; and 

        (e)   Provide
to the Trustee any letter of intent, agreement in principle or definitive agreement for a Business Combination that is executed on or prior to the First Date;
and 

        (f)    In
connection with any vote of the Company's stockholders regarding a Business Combination, provide to the Trustee an affidavit or certificate of a firm regularly
engaged in the business of soliciting proxies and/or tabulating stockholder votes (which firm may be the Trustee) verifying the vote of the Company's stockholders regarding such Business Combination. 

3.    Limitations of Liability. The Trustee shall have no responsibility or liability to: 

        (a)   Take
any action with respect to the Property, other than as directed in paragraph 1 hereof and the Trustee shall
have no liability to any party except for liability arising out of its own negligence, willful misconduct or bad faith; 

        (b)   Institute
any proceeding for the collection of any principal and income arising from, or institute, appear in or defend any proceeding of any kind with respect to, any
of the Property unless and until it shall have received instructions from the Company given as provided herein to do so and the Company shall have advanced or guaranteed to it funds sufficient to pay
any expenses incident thereto; 

        (c)   Change
the investment of any Property, other than in compliance with paragraph 1(c) herein; 

        (d)   Refund
any depreciation in principal of any Property; 

        (e)   Assume
that the authority of any person designated by the Company to give instructions hereunder shall not be continuing unless provided otherwise in such designation,
or unless the Company shall have delivered a written revocation of such authority to the Trustee; 

        (f)    The
other parties hereto or to anyone else for any action taken or omitted by it, or any action suffered by it to be taken or omitted, in good faith and in the exercise
of its own best judgment, except for its gross negligence, willful misconduct or bad faith. The Trustee 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 Trustee), 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 Trustee, in good faith, to be genuine and to be signed or
presented by the proper person or persons. The Trustee shall not be bound by any notice or demand, or any waiver, modification, termination or rescission of this Agreement or any of the terms hereof,
unless evidenced by a written instrument delivered to the Trustee signed by the proper party or parties and, if the duties or rights of the Trustee are affected, unless it shall give its prior written
consent thereto; 

        (g)   Verify
the correctness of the information set forth in the Registration Statement or to confirm or assure that any Business Combination consummated by the Company or any
other action taken by the Company is as contemplated by the Registration Statement; and 

        (h)   Subject
to the requirements of paragraph 1(j) of this Agreement, pay any taxes on behalf of the Trust Account to any governmental entity or taxing authority. 

4.    Termination. This Agreement shall terminate as follows: 

        (a)   If
the Trustee gives written notice to the Company that it desires to resign under this Agreement, the Company shall use its reasonable efforts to locate a successor
trustee. At such time that the Company notifies the Trustee that a successor trustee has been appointed by the Company and has agreed to become subject to the terms of this Agreement, the Trustee
shall transfer the management of the Trust Account to the successor trustee, including but not limited to the transfer of copies of the reports and statements relating to the Trust Account, whereupon
this Agreement shall terminate; provided, however, that, in the event that the Company does not locate a successor trustee within ninety
(90) days of receipt of the resignation notice from the Trustee, the Trustee may submit an application to have the Property deposited with any court in the State of New York or with the United
States District Court for the Southern District of New York and upon such deposit, the Trustee shall be immune from any liability whatsoever that arises due to any actions or omissions to act by any
party after such deposit; or 

3

 

        (b)   At
such time that the Trustee has completed the liquidation of the Trust Account in accordance with the provisions of paragraph 1(i) hereof, and
distributed the Property in accordance with the provisions of the Termination Letter, this Agreement shall terminate except with respect to Paragraph 2(b). 

5.    Miscellaneous. 

        (a)   The
Company and the Trustee each acknowledge that the Trustee will follow the security procedures set forth below with respect to funds transferred from the Trust
Account. Upon receipt of written instructions, the Trustee will confirm such instructions with an Authorized Individual at an Authorized Telephone Number listed on the attached  Exhibit D. The
Company and the Trustee will each restrict access to confidential information relating to such security procedures to authorized
persons. Each party must notify the other party immediately if it has reason to believe unauthorized persons may have obtained access to such information, or of any change in its authorized personnel.
In executing funds transfers, the Trustee will rely upon account numbers or other identifying numbers of a beneficiary, beneficiary's bank or intermediary bank, rather than names. The Trustee shall
not be liable for any loss, liability or expense resulting from any error in an account number or other identifying number, provided it has accurately transmitted the numbers provided. 

        (b)   This
Agreement shall be governed by and construed and enforced 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. This Agreement may be executed in several original or facsimile counterparts, each one of which shall constitute
an original, and together shall constitute but one instrument. 

        (c)   This
Agreement contains the entire agreement and understanding of the parties hereto with respect to the subject matter hereof. Except for
Section 1(i) (which may not be amended under any circumstances), this Agreement or any provision hereof may only be changed, amended or modified by a writing signed by each of the
parties hereto; provided, however, that no such change, amendment or modification may be made without the prior written consent of MJ. As to any claim,
cross-claim or counterclaim in any way relating to this Agreement, each party waives the right to trial by jury. 

        (d)   The
parties hereto consent to the jurisdiction and venue of any state or federal court located in the City of New York, Borough of Manhattan, for purposes of resolving
any disputes hereunder. 

4

 

        (e)   Any
notice, consent or request to be given in connection with any of the terms or provisions of this Agreement shall be in writing and shall be sent by express mail or
similar private courier service, by certified mail (return receipt requested), by hand delivery or by facsimile transmission: 

if
to the Trustee, to: 

Continental
Stock Transfer

    & Trust Company

17 Battery Place

New York, New York 10004

Attn: Steven G. Nelson

Fax No.: (212) 509-5150 

if
to the Company, to: 

Taliera
Corporation

250 East 96th Street, Suite 415

Indianapolis, Indiana 46240

Attn: J. Smoke Wallin

Fax No.: (317) 574-6424 

in
either case with a copy to: 

Morgan
Joseph & Co. Inc.

600 Fifth Avenue, 19th Floor

New York, New York 10020

Attn: Jeffrey Sieglen

Fax No.: (212) 218-3719 

and 

Ice
Miller LLP

One American Square

Suite 3100

Indianapolis, Indiana 46282-0200

Attn: Joseph E. DeGroff, Esq.

Fax No. (317) 592-4637 

        (f)    This
Agreement may not be assigned by the Trustee without the prior written consent of the Company. 

        (g)   Each
of the Trustee and the Company hereby represents that it has the full right and power and has been duly authorized to enter into this Agreement and to perform its
respective obligations as contemplated hereunder. The Trustee acknowledges and agrees that it shall not make any claims or proceed against the Trust Account, including by way of set-off,
and shall not be entitled to any funds in the Trust Account under any circumstance. 

        (h)   Each
of the Company and the Trustee hereby acknowledge that MJ is a third party beneficiary of this Agreement. 

        (i)    The
Trustee hereby consents to the inclusion of Continental Stock Transfer & Trust Company in the Registration Statement and other materials relating to the IPO. 

[Signature
Page Follows] 

5

 

        IN
WITNESS WHEREOF, the parties have duly executed this Investment Management Trust Agreement as of the date first written above. 

	

 	

CONTINENTAL STOCK TRANSFER & TRUST

COMPANY, as Trustee
	

 	

By:	

  

	 	 	Name:
	 	 	Title:
	

 	

TALIERA CORPORATION
	

 	

By:	

  

	 	 	Name: J. Smoke Wallin
	 	 	Title: Chief Executive Officer

6

 
 

SCHEDULE A    
    

Schedule
of fees pursuant to Section 2(c) of Investment Management Trust Agreement

between Taliera Corporation and

Continental Stock Transfer & Trust Company 

	Fee Item
	 	Time and method of payment
	 	Amount

	Initial acceptance fee	 	Initial closing of IPO by wire transfer	 	$	1,000
	Annual fee	 	First year, initial closing of IPO by wire transfer; thereafter on the anniversary of the effective date of the IPO by wire transfer or check	 	$	3,000
	Transaction processing fee for disbursements to Company under Section 1(j)	 	Deduction by Trustee from accumulated income following disbursement made to Company under Section 1(j)	 	$	250
	Transaction processing fee for disbursements to Company under Section 1(k).	 	Deduction by Trustee from accumulated income following disbursement made to Company under Section 1(k).	 	$	250

	

 	
 	

Agreed:
	

Dated:                            , 2007	
 	

 	

 
	 	 	Taliera Corporation
	

 	
 	

By:	

    
 Authorized Officer
	

 	
 	

Continental Stock Transfer & Trust Co.
	

 	
 	

By:	

    
 Authorized Officer

EXHIBIT A

	

 	
 	
[Letterhead of Company]	
 	

 
	

 	
 	
[Insert date]	
 	

 

Continental Stock Transfer

    & Trust Company

17 Battery Place

New York, New York 10004

Attn: Steven Nelson 

	Re:
	Trust
Account No. 530-                        Termination Letter 

Gentlemen:

        Reference
is made to that certain Investment Management Trust Agreement by and between Taliera Corporation ("Company") and Continental
Stock Transfer & Trust Company ("Trustee"), dated as
of                        , 2007 ("Trust
Agreement"), pursuant to paragraph 1(i) of the Trust Agreement, the Company hereby advises you that it has entered into a definitive agreement to consummate a
Business Combination (as defined in the Trust Agreement) on or about [insert date]. The Company shall notify you at least
48 hours in advance of the actual date of the consummation of the Business Combination ("Consummation Date"). 

        In
accordance with the terms of the Trust Agreement, the Company hereby authorizes you to commence liquidation of the Trust Account to the effect that, on the Consummation Date, all of
funds held in the Trust Account will be immediately available for transfer to the account or accounts that the Company shall direct on the Consummation Date. 

        On
the Consummation Date (i) the Company shall deliver to you written notification that the Business Combination has been consummated and (ii) the Company shall deliver to
you (a) a certificate of an Authorized officer which verifies the vote of the Company's stockholders in connection with the Business Combination and (b) written instructions with respect
to the transfer of the funds held in the Trust Account ("Instruction Letter"). You are hereby directed and authorized to transfer the funds held in the
Trust Account immediately upon your receipt of the counsel's notification and the Instruction Letter, in accordance with the terms of the Instruction Letter. In the event that certain deposits held in
the Trust Account may not be liquidated by the Consummation Date without penalty, you will notify the Company of the same and the Company shall direct you as to whether such funds should remain in the
Trust Account and distributed after the Consummation Date to the Company. Upon the distribution of all the funds in the Trust Account pursuant to the terms hereof, the Trust Agreement shall be
terminated and the Trust Account closed. 

        In
the event that the Business Combination is not consummated on the Consummation Date described in the
notice thereof and we have not notified you on or before the original Consummation Date of a new Consummation Date, then the funds held in the Trust Account shall be reinvested as provided in the
Trust Agreement on the business day immediately following the Consummation Date as set forth in the notice. 

	

 	
 	

Very truly yours,
	

 	
 	

TALIERA CORPORATION
	

 	
 	

By:	

    
 J. Smoke Wallin, Chief Executive Officer
	

 	
 	

By:	

    
 Donald Hammond, Executive Vice President

cc: Morgan Joseph & Co. Inc. 

EXHIBIT B  

	

 	
 	
[Letterhead of Company]	
 	

 
	

 	
 	
[Insert date]	
 	

 

Continental Stock Transfer

    & Trust Company

17 Battery Place

New York, New York 10004

Attn: 

	Re:
	Trust
Account No. 530-            Termination Letter 

Gentlemen:

        Reference
is made to that certain Investment Management Trust Agreement by and between Taliera Corporation ("Company") and Continental
Stock Transfer & Trust Company ("Trustee"), dated as
of                        , 2007 ("Trust
Agreement"), pursuant to section 1(i) of the Trust Agreement, the Company hereby advises you that the Company has been unable to effect a Business Combination (as
defined in the Trust Agreement) within the time frame specified in the Company's Certificate of Incorporation, as described in the Company's prospectus relating to its IPO. 

        In
accordance with the terms of the Trust Agreement, we hereby authorize you to commence liquidation of the Trust Account as promptly as practicable to stockholders of record on the Last
Date (as defined in the Trust Agreement). You will notify the Company in writing as to when all of the funds in the Trust Account will be available for immediate transfer
("Transfer Date") in accordance with the terms of the Trust Agreement and the Amended and Restated Certificate of Incorporation of the Company. You
shall commence distribution of such funds in accordance with the terms of the Trust Agreement and the Certificate of Incorporation of the Company and you shall oversee the distribution of the funds.
Upon the distribution of all the funds in the Trust Account, your obligations under the Trust Agreement shall be terminated. 

	

 	
 	

Very truly yours,
	

 	
 	

TALIERA CORPORATION
	

 	
 	

By:	

    
 J. Smoke Wallin, Chief Executive Officer
	

 	
 	

By:	

    
 Donald Hammond, Executive Vice President

cc: Morgan Joseph & Co. Inc. 

EXHIBIT C  

	

 	
 	
[Letterhead of Company]	
 	

 
	

 	
 	
[Insert date]	
 	

 

Continental Stock Transfer

    & Trust Company

17 Battery Place

New York, New York 10004

Attn: Steven Nelson 

	Re:
	Trust
Account No. 530-                         

Gentlemen:

        Reference
is made to that certain Investment Management Trust Agreement by and between Taliera Corporation ("Company") and Continental
Stock Transfer & Trust Company ("Trustee"), dated as
of                        , 2007 ("Trust
Agreement"), pursuant to paragraph 1(j) of the Trust Agreement, the Company hereby requests that you deliver to the Company $            of the income earned on
the
Property as of the date hereof. The Company needs such funds to pay its tax obligations. In accordance with the terms of the Trust Agreement, you are hereby directed and authorized to transfer (via
wire transfer) such funds promptly upon your receipt of this letter to the Company's operating account at: 

[WIRE INSTRUCTION INFORMATION]

	

 	
 	

Very truly yours,
	

 	
 	

TALIERA CORPORATION
	

 	
 	

By:	

    
 J. Smoke Wallin, Chief Executive Officer
	

 	
 	

By:	

    
 Donald Hammond, Executive Vice President

cc: Morgan Joseph & Co. Inc. 

EXHIBIT D  

	

 	
 	
[Letterhead of Company]	
 	

 
	

 	
 	
[Insert date]	
 	

 

Continental Stock Transfer

& Trust Company

17 Battery Place

New York, New York 10004

Attn: 

Re:
Trust Account No. 530- 

Gentlemen:

        Pursuant
to paragraph 1(k) of the Investment Management Trust Agreement between Taliera Corporation ("Company") and Continental Stock Transfer & Trust Company ("Trustee"), dated
as of                        , 2007 ("Trust Agreement"), this is to advise you that the Company hereby requests that you deliver
to the Company $            of the income earned on the Property as of the
date hereof. The Company also certifies that the $700,000 line of credit from Taliera Holdings LLC has been fully drawn. The Company needs such funds to cover its expenses relating to investigating
and selecting a target business and other working capital requirements. In accordance with the terms of the Trust Agreement, you are hereby directed and authorized to transfer (via wire transfer) such
funds promptly upon your receipt of this letter to the Company's operating account at: 

[WIRE INSTRUCTION INFORMATION]

	

 	
 	

Very truly yours,
	

 	
 	

TALIERA CORPORATION
	

 	
 	

By:	

    
 J. Smoke Wallin, CEO
	

 	
 	

By:	

    
 Donald Hammond, Executive Vice President

cc: Morgan Joseph & Co. Inc. 

EXHIBIT E  

	AUTHORIZED INDIVIDUAL(S)

FOR TELEPHONE CALL BACK
	 	AUTHORIZED

TELEPHONE NUMBER(S)

	
Company:	
 	

 
	

Taliera Corporation

250 East 96th Street, Suite 415

Indianapolis, Indiana 46240

Attn: J. Smoke Wallin, Chief Executive Officer

Attn: S.K. (Skeeter) Johnston, III, Chairman of the Board	
 	

(317) 496-6660
	
Trustee:	
 	

 
	

Continental Stock Transfer

    & Trust Company

17 Battery Place

New York, New York 10004

Attn: Steven G. Nelson, Chairman	
 	

(212) 845-3200

QuickLinks

SCHEDULE AQuickLinks
 -- Click here to rapidly navigate through this document

Exhibit 10.8  

 
 

FORM OF STOCK ESCROW AGREEMENT    
    

        This STOCK ESCROW AGREEMENT, dated as of                        ,
2007 ("Agreement"), is by and among TALIERA CORPORATION,
a Delaware corporation ("Company"), TALIERA HOLDINGS, LLC ("Holdings"), Martin Frost, Michael V. Cheek and Eric D. Todd (collectively, the
"Initial Stockholders") and CONTINENTAL STOCK TRANSFER & TRUST COMPANY, a New York corporation ("Escrow
Agent"). 

        WHEREAS,
the Company has entered into an Underwriting Agreement, dated                        , 2007 ("Underwriting
Agreement"), with Morgan
Joseph & Co. Inc. ("MJ"), pursuant to which, among other matters, MJ has agreed to purchase 7,500,000 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                        , 2007
("Prospectus") comprising part of the
Company's Registration Statement on Form S-1 (File No. 333-136097) under the Securities Act of 1933, as amended ("Registration
Statement"), declared effective on            , 2007 ("Effective Date"). 

        WHEREAS,
the Initial Stockholders have agreed as a condition of the sale of the Units to deposit 1,875,000 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. 

        NOW,
THEREFORE, the parties agree as follows: 

	1.
	For
purposes of this Agreement:

	(a)
	"Business Combination" shall mean a merger, capital stock exchange, asset or stock acquisition or other similar business combination
with one or more operating businesses.

	(b)
	"Release Date" shall mean the earliest to occur of: (a) twelve (12) months following the closing of a Business
Combination by the Company; or (b) the Sale Date; and (c) the Trust Account Liquidation Date.

	(c)
	"Sale Date" shall mean the date that a Stockholder Liquidation Event occurs.

	(d)
	"Stockholder Liquidation Event" shall mean any of the following events that occurs subsequent to the closing of a Business Combination:
(i) a liquidation, merger, stock exchange or similar transaction involving the Company (or successor to the Company) which results in all of the Company's stockholders having the right to
exchange their Common Stock for cash, securities or other property; or (ii) the liquidation of the Company.

	(e)
	"Trust Account" shall mean a trust account at Smith Barney, a division of Citigroup Global Markets, Inc., maintained by
Continental Stock Transfer & Trust Company, acting as trustee.

	(f)
	"Trust Account Liquidation Date" shall mean the date prior to the completion of a Business Combination that the Trust Account is
liquidated pursuant to the terms of that certain Trust Agreement and the funds in the Trust Account are distributed to the beneficial owners of the Trust Account. 

        2.     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. 

        3.     Deposit of Escrow Shares.    On or before the Effective Date, each of the Initial Stockholders shall deliver to
the Escrow Agent certificates representing his or its 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 or its Escrow Shares is legended to reflect the deposit of such Escrow Shares under this Agreement. 

        4.     Disbursement of the Escrow Shares. 

	(a)
	The
Escrow Agent shall hold the Escrow Shares until the Release Date, 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, if the Company consummates a Business Combination in which holders vote against such
Business Combination and seek conversion of their shares, Holdings hereby agrees that the Escrow Agent 

 

shall
return to the Company for cancellation a number of shares owned by Holdings so that the Initial Stockholders will collectively own 20% of the Company's outstanding shares of Common Stock upon
consummation of a Business Combination (without giving effect to any shares that may be issued in the Business Combination); provided,  further, that if the
Escrow Agent is notified by the Company pursuant to Section 7.7 hereof of a
Trust Account Liquidation Date, then the Escrow Agent shall promptly destroy the certificates representing the Escrow Shares. If, after the Company consummates a Business Combination, 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 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 4. 

	(b)
	The
Escrow Agent shall rely upon a certificate (the "Officer's Certificate"), executed by the Chief Executive Officer or Chief
Financial Officer of the Company, in form reasonably acceptable to the Escrow Agent, that certifies that the Release Date has occurred, and shall not be required to disburse the Escrow Shares unless
and until it receives the Officer's Certificate. 

        5.     Rights of Initial Stockholders in Escrow Shares. 

        5.1.  Voting Rights as a Stockholder.    Subject to the terms of the Insider Letter described in  Section 5.4 hereof and except as herein provided,
the Initial Stockholders shall retain all of their rights as stockholders of the Company with
respect to the Escrow Shares during the Escrow Period, including, without limitation, the right to vote such shares. 

        5.2.  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. 

        5.3.  Restrictions on Transfer.    During the Escrow Period, the Initial Stockholders agree not to sell, transfer or
otherwise dispose of any or all of the Escrow Shares except (i) to its members (and the Escrow Shares may then
subsequently be transferred by such members to their ancestors, descendants or spouse or to trusts established for the benefit of such persons or the member) or (ii) 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 signed by the Initial Stockholder transferring the Escrow Shares. 

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

        6.     Concerning the Escrow Agent. 

        6.1.  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. 

2

 

        6.2.  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
negligence, willful misconduct or bad faith 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 6.2 shall survive in the event the Escrow Agent resigns or is discharged pursuant
to Sections 6.5 or 6.6 below. 

        6.3.  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 out-of-pocket 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. 

        6.4.  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. 

        6.5.  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 sixty (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. 

        6.6.  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 6.5. 

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

        7.     Miscellaneous. 

        7.1.  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. 

        7.2.  Intentionally Omitted. 

        7.3.  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. 

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

        7.5.  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. 

3

 

        7.6.  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: 

If
to the Company, to: 

Taliera
Corporation

250 East 96th Street, Suite 415

Indianapolis, Indiana 46240

Attn: J. Smoke Wallin, Chief Executive Officer 

If
to an Initial Stockholder, to his or its address as set forth in Exhibit A. 

and
if to the Escrow Agent, to: 

Continental
Stock Transfer & Trust Company

17 Battery Place

New York, New York 10004

Attn: Chairman 

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

Ice
Miller LLP

One American Square

Suite 3100

Indianapolis, Indiana 46282-0200

Attn: Joseph E. DeGroff, Esq. 

and: 

Morgan
Joseph & Co. Inc.

600 Fifth Avenue, 19th Floor

New York, New York 10020

Attn: Jeffrey Sieglen 

and:

Graubard
Miller

The Chrysler Building

405 Lexington Avenue

New York, New York 10174

Attn: David Alan Miller, 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. 

        7.7.  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. 

*
* * * * * * * * * * * 

4

 

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

	 	 	TALIERA CORPORATION
	

 	
 	

By:	
 	

 
	 	 	 	 	

	

 	
 	

INITIAL STOCKHOLDERS:
	

 	
 	

	 	 	Taliera Holdings, LLC
	

 	
 	

	 	 	Martin Frost
	

 	
 	

	 	 	Michael V. Cheek
	

 	
 	

	 	 	Eric D. Todd
	

 	
 	

CONTINENTAL STOCK TRANSFER

& TRUST COMPANY
	

 	
 	

By:	
 	

 
	 	 	 	 	

	 	 	 	 	Name:
	 	 	 	 	Title:

5

 
 

EXHIBIT A    
    

	Name and Address of

Initial Stockholders
	 	Number

of Shares
	 	Stock

Certificate Number
	 	Date of

Insider Letter

	

Taliera Holdings, LLC	
 	

1,818,750	
 	

	
 	

	

Martin Frost	
 	

18,750	
 	

	
 	

	

Michael V. Cheek	
 	

18,750	
 	

	
 	

	

Eric D. Todd	
 	

18,750	
 	

	
 	

QuickLinks

FORM OF STOCK ESCROW AGREEMENT

EXHIBIT A

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00118-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00118-of-00352.parquet"}]]