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Stock Purchase Agreement

 

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Title:

Stock Purchase Agreement

Entities:

Pacific Telcom Inc

Date:

2000

Size:

Preview shows 6KB of 69KB total

Price:

$40

ID:

#1664136

 

 

► Purchase & Sale ► Purchase ► Stock Purchase Agreements

 

 

Start of Preview


<SEQUENCE>20

<FILENAME>0020.txt
<TEXT>

STOCK PURCHASE AGREEMENT
------------------------


THIS STOCK PURCHASE AGREEMENT ("Agreement") dated as of February 11, 2000
by and among PACIFIC TELCOM, INC., a corporation organized under the laws of
Illinois ("Buyer"), EASYTEL CANADA CORPORATION, a corporation organized under
the laws of the Province of Ontario (the "Corporation") and RICHARD C.
GOLDSTEIN, being the duly appointed Sellers' Representative of the Selling
Shareholders ("Sellers" or "Shareholders" or "Selling Shareholders").

WITNESSETH

WHEREAS, the Selling Shareholders collectively own of record and
beneficially one hundred percent (100%) of the issued and outstanding shares of
the common stock of EasyTel Canada consisting of 6,315,000 shares of common
stock, no par value (the "Shares"); and

WHEREAS, the Sellers own in addition to 6,315,000 common shares issued and
outstanding on February 4, 2000, the date of the Letter of Intent between the
parties and the further amount of 2,599,850 common shares representing such
shares derived from outstanding options for common stock exercised and Class A
special shares, nonvoting, converted to common shares pursuant to the Articles
of Corporation and by-laws of the Corporation; and

WHEREAS, it is the intention of the parties hereto that, upon consummation
of the purchase and sale of the Shares pursuant to this Agreement, at Closing
effective as of the date hereof (the "Effective Date") Buyer shall own one
hundred percent (100%) of all of the issued and outstanding shares of common
stock of the Corporation;

NOW, THEREFORE, IT IS AGREED:

Section 1. Sale and Purchase.
-------------------

1.1 Sale of the Shares. Subject to the terms and conditions herein stated,
------------------
the Selling Shareholders agree to sell, assign, transfer and deliver
the shares to Buyer on the Effective Date, and Buyer agrees to
purchase the outstanding common shares from the Selling Shareholders
on the Effective Date. The certificates representing the Shares shall
be duly endorsed to the Buyer, or accompanied by Stock Powers and
Assignment Separate from Certificate, duly executed in favor of the
Buyer, by the relevant Selling Shareholder. The Selling Shareholders
agree to cure at any time any deficiencies with respect to the
endorsement of the certificates representing the shares or with
respect to the Stock Power with Assignment Separate from Certificate,
accompanying any such certificates.


<PAGE>
Section 2.0 Purchase Price.
---------------

2.1 Payment. In consideration of the transfer, conveyance and assignment
--------
of the Shares, the Buyer shall pay to the Selling Shareholders the sum
of Two Hundred Fifty Thousand Dollars ($250,000) and One Million
(1,000,000) duly authorized and issued common shares of Pacific
Telcom, Inc., subject to adjustment as described herein, to be paid in
the following manner.

2.2 Payments of Cash. Buyer shall pay One Hundred Fifty Thousand Dollars
----------------
($150,000) payable in the form of check or by wire transfer, at the
direction of the Corporation on the Effective Date as a deposit to be
held by Sellers subject to Section 4.1 hereof. A further sum of One
Hundred Thousand Dollars ($100,000) shall be due to the Corporation
upon the Buyer having its common shares of stock publicly tradable on
or before November 15, 2000 within the price ranges and upon the
conditions as set forth herein in Section 4.1 "Finality". If the
Seller elects not to undo the subject transaction on the Closing Date
upon the occurrence of the events set forth in Section 4.1 "Finality",
the further sum of One Hundred Thousand Dollars ($100,000) shall be
due to Sellers on November 15, 2000.

2.3 Payment in Common Stock. Delivery shall be made by the Buyer to the
------------------------
Selling Shareholders on the Effective Date of One Million (1,000,000)
of common shares of authorized and issued stock of Pacific Telcom,
Inc., subject to the terms and conditions of Section 3.3 and 4.1
"Finality".

2.4 Adjustment to Purchase Price. That portion of the Purchase Price paid
----------------------------
by Buyer to Selling Shareholders in common stock of Buyer is subject
to adjustment, as set forth in Section 4.1 "Finality". It is the
agreement of Buyer and Sellers that adjustments to the Purchase Price,
pursuant to the provisions regarding "Finality" such that the value
received by Sellers from Buyer, after its receipt of common shares

 

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