|
|
|
|
Document Preview Restructure Agreement |
||||
|
|
||||
|
Click "Add to Cart" button to purchase document. |
||||
|
|
||||
|
Title: |
Restructure Agreement |
|||
|
Entities: |
Nurescell Inc.; Triton Private Equities Fund, L.P.; Advanced Technology Industries, Inc.; ATI Nuklear AG; Nurescell Inc |
|||
|
Date: |
2003 |
|||
|
Size: |
Preview shows 7KB of 52KB total |
|||
|
Price: |
$38 |
|||
|
ID: |
#150904 |
|||
|
|
||||
|
||||
|
|
||||
|
Start of Preview |
||||
EXHIBIT 10.12
RESTRUCTURE AGREEMENT
THIS RESTRUCTURE AGREEMENT (the "Agreement") is entered into on March
21, 2003 (the "Effective Date"), by and among Triton Private Equities Fund, L.P.
("Triton"), Nurescell Inc. ("Nurescell"), Advanced Technology Industries, Inc.
("ATI") and ATI Nuklear AG ("ATI Sub"), with reference to the following facts
and circumstances:
A. Nurescell and ATI Sub have previously entered into a "License
Agreement" dated as of August 15, 2000 (the "License Agreement"), an "Investment
Agreement" dated as of August 17, 2000 (the "Investment Agreement") and a
Modification Agreement dated as of June 11, 2001 (the "Modification Agreement"),
each of which was amended by a "Transaction Restructure Agreement" entered into
as of September 30, 2001 by Nurescell, ATI and ATI Sub (the "2001 Restructure
Agreement"). Under the License Agreement, as amended, Nurescell has licensed to
ATI Sub certain "Technology" (as described in Exhibit 1 to the License
Agreement) in return for specified royalty payments.
B. Nurescell presently owes ATI (i) approximately $176,158 for
short-term cash advances previously made by ATI to Nurescell and (ii) various
sums for legal fees that ATI has paid on Nurescell's behalf. Nurescell is also
indebted to ATI Sub pursuant to a $1 million promissory note (the "ATI Sub
Note"). The ATI Sub Note is secured by (i) 15,000,000 unissued shares of
Nurescell's common stock ("Nurescell Common Stock"), (ii) a first priority
security interest in the Technology and (iii) all royalties due to Nurescell
pursuant to Section 4.3 of the License Agreement (collectively, the
"Collateral"). Nurescell is presently in default with respect to its obligations
to ATI and its obligations to ATI Sub under the ATI Sub Note.
C. Nurescell is indebted to Triton (collectively, the "Nurescell Debt")
pursuant to (i) Nurescell's Series 1999-A 8% Convertible Promissory Note dated
December 15, 1999, which came due as to $335,000 in principal on December 1,
2001 (the "1999 Note"), (ii) Nurescell's Series 2000-A 8% Convertible Promissory
Note dated February 8, 2000, which came due as to $385,000 in principal on
December 1, 2001 (the "2000 Note"), (iii) accrued interest on the 1999 Note and
2000 Note (taking into account Triton's prior conversion of $50,000 of the 1999
Note) and (iv) accrued penalties due to Nurescell's failure to register the
shares underlying the 1999 and 2000 Notes as required by the Registration Rights
Agreements (the "Registration Agreements") between Triton and Nurescell dated
December 15, 1999 and February 8, 2000 (again taking into account Triton's prior
conversion of $50,000 of the 1999 Note). Nurescell is presently in default with
respect to its obligations to Triton in connection with the Nurescell Debt.
{PAGE}
D. In light of the fact that Nurescell is unable to satisfy its
obligations to ATI, ATI Sub and Triton, the parties desire to restructure their
relationship so that (i) through conversion into Nurescell Common Stock of at
least a portion of the Nurescell Debt, Triton is able to become the majority
shareholder of Nurescell and control its operations, (ii) Nurescell's Articles
of Incorporation are amended to increase the number of authorized shares so
that, if Triton so desires, Triton is able to convert all of the Nurescell Debt
into Nurescell Common Stock (assuming a conversion price of $0.001 per share)
and (iii) ATI and/or ATI Sub are able to acquire the Technology in return for
(A) cancellation of the ATI Sub Note, the 2001 Restructure Agreement, the
Investment Agreement, the License Agreement, the Modification Agreement and all
other obligations of Nurescell to ATI or ATI Sub (collectively, the "ATI
Obligations") and (B) release of the Collateral for the ATI Sub Note, in each
case on the terms and conditions set forth herein.
NOW, THEREFORE, in consideration of the representations, warranties and
agreements herein contained, the receipt and sufficiency of which are hereby
acknowledged, the parties hereto agree as follows:
ARTICLE I
CONVERSION OF NURESCELL DEBT AND RELATED MATTERS
1.01 INITIAL TRITON CONVERSION. Immediately after (i) Nurescell's
current Board of Directors adopts resolutions in substantially the form of the
attached Exhibit "A" and (ii) all current directors and officers subsequently
resign from their positions with Nurescell (such resignations being in the form
of the attached Exhibit "B"), Triton shall convert into Nurescell Common Stock
at least that much of the Nurescell Debt as would give Triton a majority of the
then-outstanding shares of Nurescell Common Stock (which is anticipated to
require a conversion for at least 16,070,239 shares). To the extent requested by
Triton, Nurescell shall use its best efforts to assist Triton with the foregoing
conversion (the "Initial Conversion"), including appropriate instructions to
Nurescell's stock transfer agent.
1.02 INCREASE IN AUTHORIZED SHARES. Upon completion of the Initial
Conversion, Nurescell and Triton shall each use their best efforts to (i) amend
Nurescell's Articles of Incorporation to increase the number of authorized
shares (the "Share Increase") to an amount that will at least allow the balance
of the Nurescell Debt to be converted into Nurescell Common Stock (assuming a
conversion price of $0.001 per share) and (ii) prepare, file with the Securities
and Exchange Commission and deliver to Nurescell's shareholders an Information
Statement (the "Information Statement") describing both the Share Increase and
the transfer of the Technology pursuant to this Agreement (the "Technology
Transfer") in the manner required by law. The parties acknowledge and agree that
the Share Increase and the Technology Transfer will become effective 20 days
after the Information Statement has been sent or given to Nurescell's
shareholders. To the extent reasonably requested by Nurescell and/or Triton,
ATI, in its capacity as a Nurescell shareholder, shall cooperate in causing the
Share Increase to become effective.
1.03 SUBSEQUENT TRITON CONVERSIONS. After the Effective Date, Triton
may from time-to-time, in its sole discretion, cause some or all of the
remaining Nurescell Debt to be converted into common stock. To the extent
requested by Triton, Nurescell shall use its best efforts to assist Triton with
each such conversion including, but not limited to, providing confirmation of
the prior approval of such conversion by Nurescell's Board of Directors and
|
End of Preview |
Home Intelligence Services Subscriptions News About Us