SEC Contract Filing

Filing Date: 2021-06-01

Document Content:
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<FILENAME>exhibit101stockpurchasea.htm
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<DIV><FONT size="1" style="font-size:1pt;color:white"> 1 STOCK PURCHASE AGREEMENT THIS STOCK PURCHASE AGREEMENT (this &#8220;Agreement&#8221;) is entered this 28th day of May, 2021, by and among Ki Tai Yeung, an individual residing in the State of New York (&#8220;Stockholder&#8221;), constituting the minority stockholder of Kirnland Food Distribution, Inc., a Georgia corporation (the &#8220;Company&#8221;); HF Group Holding Corp., a Delaware corporation (&#8220;Purchaser&#8221;), a subsidiary ofHF Foods Group Inc., a Delaware corporation (&#8220;Parent&#8221;); and, solely for purposes of Section 5.4 hereinbelow, the Company. W I T N E S S E T H: WHEREAS, the Company is a wholesale food distributor (the &#8220;Business&#8221;); WHEREAS, the Stockholder owns 1,000 shares of the capital stock of the Company, constituting 33-1/3% of all of the issued and outstanding shares of capital stock of the Company; and WHEREAS, Purchaser desires to purchase from the Stockholder and the Stockholder desires to sell to Purchaser all of his Shares of the Company (collectively, the &#8220;Purchased Shares&#8221;), free and clear of all liens and encumbrances, as hereinafter provided. NOW, THEREFORE, in consideration of the foregoing premises and the mutual representations, warranties and covenants herein contained, and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows: ARTICLE 1 PURCHASE AND SALE OF STOCK 1.1 Purchase and Sale. On the terms, provisions and conditions set forth herein and in reliance upon the warranties and representations contained herein, Purchaser shall purchase, and the Stockholder shall sell, transfer and assign to Purchaser, at the Closing all of the Purchased Shares, free and clear of all Liens and Stock Encumbrances. At the Closing, the Stockholder shall deliver to Purchaser certificates evidencing such Purchased Shares, which shall be delivered to Purchaser and duly endorsed in blank or accompanied by stock transfer powers duly executed in blank, and proper forms for transfer, for the consideration to be delivered by Purchaser as specified in Article 2. As used in this Agreement, &#8220;Liens&#8221; shall mean any claims, liens, encumbrances, conditions, easements, restrictions, leases, security interests, and similar interests of any kind or nature whatsoever. &#8220;Stock Encumbrances&#8221; shall mean restrictions on the voting, transfer, receipt of dividends or other attributes of ownership whatsoever other than those imposed by Law, the certificate or articles of incorporation or bylaws of the Company. &#8220;Stock Rights&#8221; shall mean conversion rights, exchange rights, rights, warrants or options. &#8220;Law&#8221; means any applicable law, judgment, order, decree, statute, ordinance, rule or regulation issued or promulgated by any governmental entity. &#8220;Transaction Documents&#8221; means each of the agreements, documents and instruments referenced in this Agreement to be executed and delivered by the Purchaser, the Company and/or the Stockholder. 1.2 Closing. The closing of the transactions contemplated herein (the &#8220;Closing&#8221;) shall take place on or before May 28, 2021, to be effective as of 11:59 p.m. ET on such date, or such other date as the parties shall agree in writing (the &#8220;Closing Date&#8221;), by means of exchange of signature pages by facsimile or other electronic means (to be followed by delivery of hard copies of all Closing deliveries) </FONT></DIV>
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<DIV><FONT size="1" style="font-size:1pt;color:white"> 2 or, at the election of the Stockholder and Purchaser, at the offices of the Stockholder&#8217;s or Purchaser&#8217;s counsel. ARTICLE 2 PURCHASE PRICE 2.1 Purchase Price. The aggregate purchase price for the Purchased Shares shall be Five Million and No/100 Dollars ($5,000,000.00) (the &#8220;Purchase Price&#8221;) and shall be paid by Purchaser at Closing in cash, certified check, bank wire transfer, or other immediately available funds (&#8220;Cash at Closing&#8221;). ARTICLE 3 OTHER COVENANTS AND AGREEMENTS 3.1 Expenses. (a) Expenses of Purchaser. All of the expenses incurred by Purchaser in connection with the authorization, negotiations, preparation, execution and performance of this Agreement and other agreements referred to herein, including, without limited, all fees and expenses of agents, representatives, brokers, counsel and accountants for Purchaser, shall be paid by Purchaser. (b) Expenses of Stockholder. All expenses incurred by the Stockholder in connection with the authorization, negotiation, preparation, execution and performance of this Agreement and the other agreements referred to herein, including without limitation, all fees and expenses of agents, representatives, brokers, counsel and accountants for Stockholder shall be paid by the Stockholder. 3.2 Taxes. (a) Definitions. As used in this Agreement, the following terms have the specified meanings: (i) &#8220;Affiliated Group&#8221; means any affiliated group within the meaning of Section 1504(a) of the Code or any similar group defined under similar provision of state, local or foreign Law. (ii) &#8220;Code&#8221; shall mean the Internal Revenue Code of 1986, as amended, and the revenue rulings and re