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Document Preview Affiliate Agreement |
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Title: |
Affiliate Agreement |
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Entities: |
Netopia Inc.; Proxim Inc /DE/; Wilson Sonsini Goodrich & Rosati |
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Date: |
2001 |
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Size: |
Preview shows 3KB of 17KB total |
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Price: |
$43 |
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ID: |
#1347461 |
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AFFILIATE AGREEMENT
THIS AFFILIATE AGREEMENT (this "Agreement") is made and entered into as
of January 23, 2001 by and between Proxim, Inc., a Delaware corporation
("Parent"), and the undersigned stockholder (the "Affiliate"), who may be deemed
an affiliate of Netopia, Inc., a Delaware corporation (the "Company"), under
applicable law.
RECITALS:
A. Parent, the Company and Merger Sub (as defined below) have entered
into an Agreement and Plan of Merger and Reorganization (the "Reorganization
Agreement") which provides for the merger (the "Merger") of a wholly-owned
subsidiary of Parent ("Merger Sub") with and into the Company, pursuant to which
all outstanding capital stock of the Company (the "Company Capital Stock") will
be converted into the right to receive common stock of Parent. Capitalized terms
used but not otherwise defined herein shall have the respective meanings
ascribed thereto in the Reorganization Agreement.
B. The Affiliate has been advised that the Affiliate may be deemed to be
an "affiliate" of the Company, as the term "affiliate" is used for purposes of
Rule 144 and Rule 145 of the rules and regulations of the Securities and
Exchange Commission (the "Commission").
C. The execution and delivery of this Agreement by the Affiliate is a
material inducement to Parent to enter into the Reorganization Agreement.
NOW, THEREFORE, intending to be legally bound hereby, the parties hereto
hereby agree as follows:
1. Acknowledgments by Affiliate. The Affiliate understands and hereby
acknowledges that the representations, warranties and covenants by the Affiliate
set forth herein shall be relied upon by Parent, the Company and their
respective affiliates and legal counsel, and that substantial losses and damages
may be incurred by such persons if the representations and warranties of the
Affiliate contained herein are inaccurate or if the covenants of the Affiliate
contained herein are breached. The Affiliate hereby represents and warrants to
Parent that the Affiliate has carefully read this Agreement and the
Reorganization Agreement and has discussed the requirements of this Agreement
with the Affiliate's professional advisors, who are qualified to advise the
Affiliate with regard to such matters.
2. Application to Subsequently Acquired Shares. The Affiliate hereby
agrees that all shares of Company Capital Stock and common stock of Parent
("Parent Common Stock") acquired by the Affiliate subsequent to the date hereof
(including shares of Parent Common Stock acquired in the Merger) shall be
subject to the terms and conditions set forth in this Agreement as if held by
the Affiliate as of the date hereof.
3. Compliance with Rule 145 and the Securities Act.
<PAGE> 2
(a) The Affiliate understands and hereby acknowledges that the
Affiliate has been advised that (i) the issuance of shares of Parent Common
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