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Registration Rights Agreement

 

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Title:

Registration Rights Agreement

Entities:

Headhunter Net Inc; Omnicom Group Inc.

Date:

2000

Size:

Preview shows 5KB of 58KB total

Price:

$35

ID:

#1482448

 

 

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                          REGISTRATION RIGHTS AGREEMENT



THIS REGISTRATION RIGHTS AGREEMENT (this "Agreement") is made and
entered into as of July 19, 2000, among HEADHUNTER.NET, INC., a Georgia
corporation (the "Company"), BERNARD HODES GROUP INC. ("BHA"), a Delaware
corporation and wholly owned subsidiary of Omnicom Group Inc. ("Omnicom"), and
ITC HOLDING COMPANY, INC., a Delaware corporation ("ITC") (each of BHA and ITC
may be referred to as an "Investor" and collectively as the "Investors").

R E C I T A L S

WHEREAS, pursuant to the terms of an Agreement and Plan of Merger,
dated as of April 15, 2000, as amended by Amendment No. 1 to Agreement and Plan
of Merger (the "Acquisition Agreement"), among the Company, Resume Acquisition
Corporation, a wholly owned subsidiary of the Company ("Merger Sub"), Omnicom,
BHA, Career Mosaic Inc., a wholly owned subsidiary of BHA ("Career Mosaic"), and
ITC, Career Mosaic will merge with and into Merger Sub (the "Acquisition"), with
the result that the outstanding shares of common stock of Asset Sub ("Asset Sub
Common Stock") will be converted into the right to receive shares of common
stock of the Company (the "Company Common Stock"); and

WHEREAS, the Company has agreed to grant the Investors certain
registration rights; and

WHEREAS, the Company and the Investors desire to define such
registration rights on the terms and subject to the conditions herein set forth.

NOW, THEREFORE, in consideration of the foregoing premises and for
other good and valuable consideration, the parties hereby agree as follows:

1. DEFINITIONS

As used in this Agreement, the following terms have the respective
meanings set forth below:

Commission: shall mean the Securities and Exchange Commission or any
other federal agency at the time administering the Securities Act;

Effective Date: shall mean the date on which the Acquisition is
consummated;

Exchange Act: shall mean the Securities Exchange Act of 1934, as
amended;

Holder: shall mean any holder of Registrable Securities, including the
Investors;



<PAGE> 2

Initiating Holder: shall mean (1) any Investor who holds any then
outstanding Registrable Securities or (2) any Holder or Holders who in the
aggregate are Holders of more than 5% of the then outstanding Registrable
Securities;

Person: shall mean an individual, partnership, joint stock company,
corporation, trust or unincorporated organization, and a government or agency or
political subdivision thereof;

register, registered and registration: shall mean a registration
effected by preparing and filing a registration statement in compliance with the
Securities Act (and any post-effective amendments filed or required to be filed)
and the declaration or ordering of effectiveness of such registration statement;

Registrable Securities: shall mean (A) the shares of Company Common
Stock (1) issued to BHA under the Acquisition Agreement or to any transferee
thereof, (2) held by ITC at the Effective Date and (3) issuable to ITC (or a
wholly owned subsidiary of ITC) upon exercise of any option or warrant
beneficially owned by ITC (or one of its wholly owned subsidiaries) to purchase
shares of Company Common Stock, and (B) any securities of the Company issued as
a dividend or other distribution with respect to, or in exchange for or in
replacement of, the shares of Company Common Stock referred to in clause (A);
provided, that Registrable Securities shall not include (i) securities with
respect to which a registration statement with respect to the sale of such
securities has become effective under the Securities Act and all such securities
have been disposed of in accordance with such registration statement, (ii) such
securities as are actually sold pursuant to Rule 144 (or any successor provision
thereto) under the Securities Act ("Rule 144"), (iii) such securities as are
acquired by the Company or any of its subsidiaries or (iv) the shares of common
stock issued to BHA under the Acquisition Agreement which are registered for
resale by BHA under the Registration Statement (as defined in the Acquisition
Agreement) and which are actually sold under such Registration Statement;

Registration Expenses: shall mean all expenses incurred by the Company
in compliance with Sections 3(a), (b) and (c) hereof, including, without
limitation, all registration and filing fees, printing expenses, fees and
disbursements of counsel for the Company, fees and expenses of one counsel for
all the Holders, blue sky fees and expenses and the expense of any special
audits incident to or required by any such registration (but excluding Selling
Expenses);

 

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