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Title: |
Agreement and Plan of Reorganization |
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Date: |
2001 |
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Preview shows 6KB of 55KB total |
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Price: |
$37 |
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ID: |
#858905 |
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ACQUISITION OF TECHNOLOGY DEVELOPMENT, INC.
BY
THE QUANTUM GROUP, INC.
AGREEMENT AND PLAN OF REORGANIZATION
This Agreement and Plan of Reorganization ("Agreement") is entered into by
and among The Quantum Group, Inc. ("QGI"), a Nevada Corporation, UTEK
Corporation, a Delaware Corporation ("UTEK") and Technology Development,
Inc. (TDI) a Florida Corporation.
WHEREAS, UTEK owns 100% of the outstanding shares of the capital stock of
TDI; and
WHEREAS, TDI has negotiated with Dartmouth College (DARTMOUTH) and seeks to
acquire by the Closing Date, the exclusive worldwide license (for the
fields of use described in the License Agreement contained in Exhibit A) to
develop and market a proprietary technology for modifying ice adhesion
strength to conductive surfaces which is described in a US patent entitled
"Systems and Methods for Modifying Ice Adhesion Strength" (TECHNOLOGY)
Inventor: Dr. Victor F. Petrenko. US Patent Number 6,027,075. DARTMOUTH is
the owner of US Patent Number 6,027,075.
WHEREAS, the parties desire to provide for the terms and conditions upon
which TDI will be acquired by QGI in a tax free, stock for stock exchange
("Acquisition") in accordance with the Corporation Law of Nevada and the
State of Florida, upon consummation of which the assets and business of TDI
will be owned by QGI, and all issued and outstanding shares of capital
stock of TDI will be exchanged for common stock of QGI with terms and
conditions as set forth more fully herein; and
WHEREAS, for federal income tax purposes, it is intended that the
Acquisition qualify as a tax-free reorganization within the meaning of
Section 368 (a)(1)(B) of the Internal Revenue Code of 1986, as amended
("Code").
NOW, THEREFORE, in consideration of the premises and for other good and
valuable consideration, the receipt, adequacy and sufficiency of which are
hereby acknowledged, the parties agree as follows:
ARTICLE 1
THE ACQUISITION
1.01 The Acquisition
Agreement and Plan of Reorganization
------------------------------------
1
<PAGE> 2
(a) Agreement to Merge. Subject to the terms and conditions of
this Agreement, at the Effective Time, as defined below, TDI shall be
merged with and into QGI in accordance with the Nevada Act and the
provisions of this Agreement; the separate corporate existence of TDI shall
cease; and QGI shall continue as the surviving corporation ("Surviving
Corporation"). The constituent corporations ("Constituent Corporations") to
the Acquisition are QGI and TDI. The name of the Surviving Corporation, The
Quantum Group, Inc., shall not be changed by reason of the Acquisition.
(b) Effective Time. The Acquisition shall become effective
("Effective Time") upon the execution of this Agreement. Following this
execution, QGI will file of a Certificate of Merger ("Certificate of
Merger") with the Secretary of State of the State of Nevada in accordance
with the applicable provisions of the Nevada Act and UTEK will file the
Articles of Merger with the Secretary of State of the State of Florida in
accordance with the applicable provisions of the Florida Act.
(c) Effect of the Acquisition. At the Effective Time the effect of
the Acquisition as shall be as provided herein and as set forth in the
Nevada Act and the Florida Act, without limiting the generality of the
foregoing and subject thereto, as of the Effective Time, all rights,
powers, privileges, franchises, licenses and permits of the Constituent
Corporations and all property, real, personal and mixed, shall be vested in
the Surviving Corporation; and all debts, duties, liabilities and claims of
every kind, character and description of the Constituent Corporations shall
be debts, duties, liabilities and claims of the Surviving Corporation and
may be enforced against the Surviving Corporation to the same extent as if
such debts, duties, liabilities and claims had been incurred by it
originally. All rights of creditors of the Constituent Corporations and all
liens upon property of any Constituent Corporation shall be preserved
unimpaired and shall not be altered in any way by reason of the
Acquisition.
(d) Tax Consequences. It is intended that the Acquisition shall
constitute reorganization within the meaning of Section 368 (a) (1) (B) of
the Code and that the Agreement shall constitute a "Plan of Reorganization"
within the meaning of Treasury Regulation Section 1.350-2(g).
1.02 Conversion of Stock. At the Effective Time, by virtue of the
Acquisition and without any action on the part of the shareholders of the
Constituent Corporations:
(i) All of the shares of TDI stock that are issued and outstanding at
the Effective Time shall be converted into 1,446,153 unregistered
shares (the actual number of shares has been adjusted based on the
bid price on the day prior to closing to equal a value of
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