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Agreement and Plan of Merger

 

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Title:

Agreement and Plan of Merger

Entities:

Business Objects SA

Date:

2006

Size:

Preview shows 40KB of 369KB total

Price:

$90

ID:

#1211298

 

 

► Plans ► Agreements ► Agreements & Plans of Merger
► Technology ► Software & Programming

 

 

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AGREEMENT AND PLAN OF MERGER
by and among
BUSINESS OBJECTS S.A.,
BUSINESS OBJECTS AMERICAS,
FLAGSHIP ACQUISITION CORP.,
FIRSTLOGIC, INC.,
and
RALPH BOUMA, JR.
dated as of
February 8, 2006
 

 


 

TABLE OF CONTENTS
         
    Page  
ARTICLE I DEFINITIONS
    2  
Section 1.1 Definitions
    2  
 
       
ARTICLE II THE MERGER
    12  
Section 2.1 The Merger
    12  
Section 2.2 Closing; Effective Time
    12  
Section 2.3 Effect of the Merger
    13  
Section 2.4 Certificate of Incorporation; Bylaws
    13  
Section 2.5 Directors and Officers
    13  
Section 2.6 Effect on Capital Stock
    14  
Section 2.7 Merger Consideration Adjustment
    15  
Section 2.8 Escrow
    19  
Section 2.9 Payment for Company Common Stock and Stock Options
    20  
Section 2.10 Adjustments
    22  
Section 2.11 No Further Ownership Rights in Company Common Stock or Stock Options
    22  
Section 2.12 Withholding Rights
    23  
 
       
ARTICLE III SHAREHOLDER REPRESENTATIVE
    23  
Section 3.1 Shareholder Representative
    23  
 
       
ARTICLE IV REPRESENTATIONS AND WARRANTIES OF THE COMPANY
    25  
Section 4.1 Organization; Qualification
    26  
Section 4.2 Capital Structure; Subsidiaries
    26  
Section 4.3 Authorization; Validity of Agreement
    27  
Section 4.4 Consents and Approvals; No Violations
    28  
Section 4.5 Financial Statements
    28  
Section 4.6 Books and Records
    29  
Section 4.7 No Undisclosed Liabilities
    29  
Section 4.8 Accounts Receivable
    30  
Section 4.9 Disputed Accounts Payable
    30  
Section 4.10 Prepayment of Company Debt
    30  
Section 4.11 Absence of Certain Changes
    30  
Section 4.12 Title to Properties; Encumbrances
    31  
Section 4.13 Real Property
    32  
Section 4.14 Plant and Equipment
    35  
Section 4.15 Environmental Matters
    35  
Section 4.16 Material Contracts
    36  
Section 4.17 Customers
    39  
Section 4.18 Insurance
    39  
Section 4.19 Casualties
    40  
Section 4.20 Litigation
    40  

-ii-


 

TABLE OF CONTENTS
(continued)
         
    Page  
Section 4.21 Compliance with Laws; Permits and Licenses
    40  
Section 4.22 Employee Benefit Plans
    41  
Section 4.23 Tax Matters
    43  
Section 4.24 Intellectual Property
    46  
Section 4.25 Privacy
    51  
Section 4.26 HIPAA Compliance
    52  
Section 4.27 Labor Matters
    52  
Section 4.28 Personnel
    54  
Section 4.29 Warranties; Product Claims
    54  
Section 4.30 Potential Conflict of Interest
    54  
Section 4.31 Propriety of Past Payments
    55  
Section 4.32 Brokers or Finders
    55  
Section 4.33 Vote Required
    55  
Section 4.34 Transaction Expenses
    56  
Section 4.35 State Takeover Statutes
    56  
Section 4.36 Full Disclosure
    56  
Section 4.37 Affiliate Transactions
    56  
 
       
ARTICLE V REPRESENTATIONS AND WARRANTIES OF PARENT, PARENT AMERICAS AND MERGER SUB
    56  
Section 5.1 Organization and Qualification
    57  
Section 5.2 Authority
    57  
Section 5.3 Non-Contravention
    58  
Section 5.4 Necessary Approvals
    58  
Section 5.5 Brokers or Finders
    58  
Section 5.6 Financing Resources
    58  
 
       
ARTICLE VI COVENANTS
    59  
Section 6.1 Interim Operations of the Company
    59  
Section 6.2 Access; Confidentiality
    62  
Section 6.3 Efforts and Actions to Cause Closing to Occur
    63  
Section 6.4 Notification of Certain Matters
    65  
Section 6.5 No Solicitation
    66  
Section 6.6 Employee Matters
    67  
Section 6.7 Indemnification, Exculpation and Insurance
    68  
Section 6.8 Litigation
    68  
Section 6.9 Termination of Agreements
    69  
Section 6.10 Resignation of Directors and Officers
    69  
Section 6.11 General Cooperation
    69  
Section 6.12 Certain Tax Matters
    69  
Section 6.13 Shareholder Meeting
    70  
Section 6.14 Public Announcements
    71  
Section 6.15 Financial Statements and Consents of Accountants
    72  
 
       
ARTICLE VII TAX MATTERS
    72  

-iii-


 

TABLE OF CONTENTS
(continued)
         
    Page  
Section 7.1 Tax Return Filings
    72  
Section 7.2 Tax Indemnification
    73  
Section 7.3 Cooperation
    74  
Section 7.4 Tax Sharing Agreements
    74  
Section 7.5 Calculation of Losses
    74  
Section 7.6 Procedures Relating to Indemnification of Tax Claims
    75  
Section 7.7 Transfer Taxes
    75  
Section 7.8 FIRPTA Certificate
    75  
Section 7.9 Amended Returns and Settlements
    76  
 
       
ARTICLE VIII CONDITIONS
    76  
Section 8.1 Conditions to Each Partys Obligation to Effect the Merger
    76  
Section 8.2 Conditions to Obligations of Parent, Parent Americas and Merger Sub to Effect the Merger
    76  
Section 8.3 Conditions to Obligations of the Company to Effect the Merger
    77  
Section 8.4 Obligations to Effect the Merger
    78  
 
       
ARTICLE IX TERMINATION
    79  
Section 9.1 Termination
    79  
Section 9.2 Effect of Termination
    81  
 
       
ARTICLE X INDEMNIFICATION
    81  
Section 10.1 Survival of Certain Representations, Warranties and Covenants
    81  
Section 10.2 Indemnification by the Effective Time Company Shareholders
    81  
Section 10.3 Indemnification by Parent and Parent Americas
    83  
Section 10.4 Indemnification Procedures
    83  
Section 10.5 Limitations
    84  
Section 10.6 Right to Bring Action
    86  
 
       
ARTICLE XI MISCELLANEOUS
    86  
Section 11.1 Fees and Expenses
    86  
Section 11.2 Amendment and Modification
    87  
Section 11.3 Publicity
    87  
Section 11.4 Notices
    87  
Section 11.5 Counterparts
    89  
Section 11.6 Entire Agreement; No Third Party Beneficiaries
    89  
Section 11.7 Severability
    89  
Section 11.8 Governing Law; Waiver of Jury Trial
    89  
Section 11.9 Enforcement; Venue
    89  
Section 11.10 Time of Essence
    90  
Section 11.11 Extension; Waiver
    90  
Section 11.12 Election of Remedies
    90  
Section 11.13 Assignment
    90  

-iv-


 

TABLE OF CONTENTS
(continued)
                 
    Page          
EXHIBITS:
               
 
               
Exhibit A            Shareholders Executing Voting and Support Agreement
               
 
               
Exhibit B            Cash Escrow Agreement
               
 
               
Exhibit C            Gardner, Carton & Douglas LLP Opinion
               
 
               
SELECTED SCHEDULES
               
 
               
Schedule A            Current Assets
               
 
               
Schedule B            Current Liabilities
               
 
               
Schedule B-1  B    Deferred Revenue
               
 
               
Schedule C            Balance Sheet Rules
               

-v-


 

AGREEMENT AND PLAN OF MERGER
     AGREEMENT AND PLAN OF MERGER, dated as of February 8, 2006 (this Agreement), by and among Business Objects S.A., a socit anonyme organized under the laws of the Republic of France (Parent), Business Objects Americas, a Delaware corporation (Parent Americas) and wholly owned subsidiary of Parent, Flagship Acquisition Corp., a Wisconsin corporation and a wholly owned subsidiary of Parent Americas (Merger Sub), Firstlogic, Inc., a Wisconsin corporation (the Company), and Ralph Bouma, Jr., acting solely as the Shareholder Representative referred to herein.
WITNESSETH:
     WHEREAS, the respective Boards of Directors of Parent, Parent Americas, Merger Sub and the Company have each approved the merger of Merger Sub with and into the Company, with the Company being the Surviving Corporation (the Merger), upon the terms and subject to the conditions set forth in this Agreement;
     WHEREAS, the shareholders of the Company set forth on Exhibit A and the Board Optionholders (as defined below) have entered into a Voting and Support Agreement, dated as of the date hereof (the Voting and Support Agreements), pursuant to which such shareholders and Board Optionholders have, among other things, agreed to vote in favor of the transactions contemplated hereby; have consented to the appointment of the Shareholder Representative pursuant to Section 3.1; have granted an option on the purchase of their shares of Company Common Stock (as defined below); and have agreed to be bound as of the Effective Time (as defined below) by the indemnification provisions set forth in Section 10.2 of this Agreement;
     WHEREAS, Parent Americas, the Company and each of the persons listed on Schedule 8.2(i) hereto have entered into an employment agreement or an employment and transition agreement (collectively, the Employment Agreements) to be in effect at the Effective Time (as defined below).
     WHEREAS, Parent, Parent Americas, the Shareholder Representative on behalf of each Shareholder and Board Optionholder of the Company immediately prior to the Effective Time (the Effective Time Company Shareholders) and U.S. Bank, National Association, a federally chartered bank (the Escrow Agent), have entered into an escrow agreement substantially in the form attached hereto as Exhibit B (the Cash Escrow Agreement) to be in effect at the Effective Time in order to satisfy any Losses (as defined below) suffered or reasonably expected to be suffered by the Parent Indemnified Parties (as defined below) prior to the 18 month anniversary of the Effective Time and to provide a potential payment to Parent Americas as a result of the Working Capital Adjustment (as defined below).

 

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