OFFSHORE SECURITIES SUBSCRIPTION AGREEMENT
This
Offshore Securities Subscription Agreement (the “Agreement”),
by
and between Wako Logistics Group, In., a Delaware corporation (the “Seller”
or the
“Company”)
and
the Subscriber (the “Purchaser”),
set
forth on the execution page of this Agreement, is executed in reliance upon
the
transaction exemption afforded by Regulation S as promulgated by the United
States Securities and Exchange Commission (the “SEC”),
pursuant to the Securities Act of 1933, as amended (the “1933
Act”).
This
Agreement has been executed by the undersigned in connection with the private
placement of shares (the “Shares”)
of the
Company’s common stock (the “Common
Stock”).
The
purchase price for each Share is $1.00 per Share.
The
Purchaser hereby represents and warrants to, and agrees with, the Seller
as
follows:
1. |
Agreement
to Subscribe: Payment of Purchase Price.
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a.
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The
Purchaser hereby subscribes for such number of Shares at a purchase
price
of U.S.$1.00 per share, as set forth on the execution page of this
Agreement.
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b.
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The
Purchaser shall pay the purchase price for the Shares by delivering
a
check to the Seller, made payable to “WAKO LOGISTIC GROUP, INC.” Payment
may be arranged by other mutually agreed to
methods.
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2. |
Legends;
Transfer Agent Instructions.
Seller’s transfer agent will be instructed to issue one or more
certificate(s) representing the Shares. The certificates representing
the
Shares will have legends that, among other items, provide that
the Shares
may not be sold for a period of two (2) years from issuance without
the
Seller’s express written consent and thereafter only in accordance with
the provisions of Regulation S of the 1933 Act (“Regulation
S”),
pursuant to an exemption from the registration requirements of
the 1933
Act or pursuant to an effective registration statement covering
the resale
pf the Shares, and the transfer agent will be notified to stop
the
transfer of any Shares until the date two (2) years from the date
of
issuance. The certificate(s) shall also have a legend providing
that no
hedging transactions shall be permitted other than in accordance
with the
1933 Act.
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3. |
Representations
and Warranties of Purchaser.
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a. |
Offshore
Transaction: the Purchaser represents and warrants to Seller as
follows:
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(i)
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The
Purchaser is not a “U.S. person” as that term is defined under Regulation
S:
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(1) |
“U.S.
Person”
is defined by Regulation S:
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i) |
Any
natural person resident in the United
States;
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ii) |
Any
partnership or corporation organized or incorporated under the
laws of the
United States;
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iii) |
Any
estate of which any executor or administrator is a U.S.
person;
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iv) |
Any
trust of which any trustee is a U.S.
person;
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v) |
Any
agency or branch of a foreign entity located in the United
States;
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vi) |
Any
non-discretionary account or similar account (other than an estate
or
trust) held by a dealer or other fiduciary for the benefit or
account of a
U.S. Person;
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vii) |
Any
discretionary account or similar account (other than an estate
or trust)
held by a dealer or other fiduciary organized, incorporated,
or (if an
individual) resident in the United States;
and
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viii) |
Any
partnership or corporation if:
|
a) |
Organized
or incorporated under the law of any foreign jurisdiction;
and
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b) |
Formed
by a U.S. person principally for the purpose of investing in
securities
not registered under the 1933 Act, unless it is organized, incorporated,
and owned by accredited investors (as defined in Rule 501(a)
under the
0000 Xxx) who are not natural persons, estates or
trusts.
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(ii)
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At
the time the buy order for the Shares was originated the Purchaser
was
outside the United States.
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(iii)
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The
Purchaser is purchasing the Shares for its own account and not
for the
account of and/or on behalf of any U.S. person, and the sale
of the Shares
has not been prearranged with a purchaser in the United
States.
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(iv)
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All
offering documents received by the Purchaser included statements
to the
effect that (A) the Shares have not been registered under the
1933 Act and
may not be offered or sold to any person, including, but not
limited to,
persons in the United States or to U.S. persons until the date
two (2)
years from the date of the issuance of the Shares or such longer
period as
may be required pursuant to Regulation S, and, thereafter,
the Shares may
only be sold pursuant to the provisions of Regulation S, if
the Shares are
registered for resale under the 1933 Act or an exemption from
such
registration requirements is available, and (B) no “hedging” transactions
may occur involving the Shares unless done in compliance with
the 1933
Act.
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2
b.
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The
Purchaser represents and warrants and hereby agrees that no offers
or
sales of the Shares owned by the Purchaser and acquired hereby
shall be
made prior to the expiration of a period of a two (2) year period
from the
date of the Shares or such longer period as may be required pursuant
to
Regulation S.
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c.
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The
Purchaser understands that (1) the Shares have not been, and will
not be,
registered under the 1933 Act and may not be offered or sold in
the United
States or to U.S. persons prior to the date two (2) years from
the date of
issuance, except with the express written consent of the Seller
and after
such two (2) year period only pursuant to Regulation S, if the
Shares are
registered for resale under the 1933 Act or an exemption therefrom
is
available, (3) neither the Company nor any other person or entity
is under
any obligation whatsoever to carry out such a registration or obtain,
or
assist in obtaining, any such exemption from registration, (4)
that the
Shares are not being registered or otherwise qualified for sale
under the
applicable laws of any jurisdiction, and (5) the Purchaser shall
not
affect any “hedging” transaction involving the Shares, unless such
transaction is done in accordance with the 1933
Act.
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d.
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The
Purchaser is not relying on the Seller or any of its representatives
with
respect to tax or other economic or suitability considerations
involved in
the Purchaser’s decision to make the purchase of the Shares and is fully
aware of the risks associated with the purchase of the Shares.
The
Purchaser understands that the Seller will refuse to transfer the
Shares
if the sale thereof was not made in compliance with the provisions
of
Regulation S.
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e.
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(A)
If the Purchaser is a corporation, partnership, trust, estate or
other
entity other than a natural person, it is duly organized, validly
existing
and in good standing under the laws of its jurisdiction of organization;
(B) the execution and delivery by it of this Agreement and completion
by
it of the purchase of the Shares are within its powers, have been
duly
authorized by all necessary action on its behalf, and require no
filing
with, or action by, or in respect of, any governmental body, agency
or
official; and (C) each person signing this Agreement on behalf
of the
Purchaser has been duly authorized by the Purchaser for such
purpose.
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f.
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The
execution and delivery of this Agreement by the Purchaser and the
completion by it of the purchase of the Shares does not contravene
or
constitute a default under any provision of the Purchaser’s certificate or
incorporation or other organizational documents, if applicable,
or any
agreement, judgment, injunction, order, decree or other instrument
binding
on the Purchaser or any of the Purchaser’s
property.
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3
g.
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The
Purchaser is acquiring the Shares for investment and not with the
intent
of reselling the Shares in the United States or
elsewhere.
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h.
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The
Purchaser has had an opportunity to review in detail copies of
all of the
Seller’s periodic filings made with the SEC, including its financial
statements.
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i.
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The
Purchaser, in making the decision to purchase the Shares subscribed
for,
has relied upon independent investigations made by the Purchaser
and the
Purchaser’s representatives, if any, and the Purchaser and such
representatives, if any, to the extent requested, have, prior to
any sale
to the Purchaser, been given access and the opportunity to examine
all
material books and records of the Seller, all material contacts
and
documents relating to the Offering and an opportunity to ask questions
of,
and to receive answers from, the Seller or any person acting on
its behalf
concerning the terms and conditions of this offering. The Purchaser
and
the Purchaser’s advisors, if any, have been furnished with all materials
relating to the business, finances and operations of the Seller
and
materials relating to the offer and sale of the Shares which have
been
requested. The Purchaser and the Purchaser’s advisors, if any, have
received complete and satisfactory answers to any such
inquiries.
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j.
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The
Purchaser understands that no federal or state agency has passed
on or
made a recommendation or endorsement of the
Shares.
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k.
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The
Purchaser hereby indemnifies and holds the Seller and its officers,
directors and agents harmless from and against any damages, including
reasonable attorney’s fees, that result from, or arise out of, any
misrepresentations or violation of this Agreement by the
Purchaser.
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l.
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The
Purchaser represents that, as a result of the purchase of shares
of the
Shares sold hereby, the Purchaser is not the beneficial owner of
5% or
more of the outstanding shares of the Common
Stock.
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4. |
Representations
and Warranties of the Seller.
The Seller represents and warrants to, agrees with, the Purchaser
that:
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a.
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The
Seller has been duly incorporated under the laws of
Delaware.
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b.
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The
Seller is a reporting company as defined by Rule 902 of the
Regulation S
and has filed all periodic reports required to be filed by
it pursuant to
the Securities Exchange Act of 1934, as amended (the “Exchange
Act”).
The shares of Common Stock are quoted on the NASD Bulletin
Board.
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4
c.
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Offshore
Transaction.
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(i)
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The
Seller has not offered the Shares to any person in the United States
or to
any person in the United States or to any “U.S. person” as that term is
defined in Regulation S.
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(ii)
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At
the time the buy order was originated, the Seller and/or its agents
reasonably believed that the Purchaser was outside of the United
States
and was not a “U.S. person.”
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(iii)
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The
Seller and/or its agents reasonably believed that the transaction
has not
been prearranged with a purchaser in the United
States.
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d.
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In
connection with the Offering, the Seller has not conducted any
“direct
selling efforts” as that term is defined in Regulation S nor has the
Seller conducted any general solicitation relating to the offer
and sale
of the Shares to persons resident within the United States or
elsewhere.
No underwriters or distributing agents have been involved with
this
transaction.
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5. |
Certain
Other Agreements.The
Company shall not (i) register any transfer of the hares
not made in
accordance with the provisions of Regulation S, pursuant
to registration
under the Securities Act or pursuant to an available exemption
from
registration, and (ii) assist in facilitating any “hedging” transaction of
the Shares not done in accordance with the 1933
Act.
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6. |
Exemptions
Reliance on Representations.
The Purchaser understands that the offer and sale of
the Shares is not
being registered under the 1933 Act. The Seller is
relying on the rules
governing offers and sales made outside the United
States pursuant to
Regulation S. Rules 901 through 904 of Regulation S
govern this
transaction.
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7. |
Survival
of Representations and Warranties.
The representations, warranties, acknowledgements
and agreements of the
parties to this Agreement shall survive the offering
and purchase of the
Shares.
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8. |
Waiver,
Amendment and Termination.
Neither this Agreement nor any provision hereof
shall be modified, waived,
changed, discharged or terminated except by
an instrument in writing
signed by the parties or, in the case of a
waiver, by the party granting
it.
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9. |
Successors
and Assigns; Nonassignability.
Except as otherwise provided herein,
this Agreement and all the terms
and
provisions hereof shall be binding
upon and inure to the benefit of
the
parties and their respective successors,
assigns by law, trustees and
legal representatives. The parties’ respective interests under this
Agreement are not transferable and
any purported transfer in violation
of
this provision shall be
void.
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5
10. |
Counterparts;
Entire Agreement.
This Agreement may be executed
in counterpart copies, each
of which shall
be considered an original.
This Agreement contains the
entire agreement of
the parties relating to the
subject matter
thereof.
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11. |
Applicable
Law; Jurisdiction.
This Agreement shall
be governed by and
construed in accordance
with the
internal laws of
the State of New
York without regard
to the conflicts
of
laws principles thereof.
The parties hereto
hereby irrevocably
agree that
any suit or proceeding
arising directly
and/or indirectly
pursuant to or
under this Agreement
shall be brought
solely in a federal
or state court
located in the City,
County and State
of New York. By its
execution
hereof, the parties
hereby covenant and
irrevocably submit
to the
in personam
jurisdiction of the
federal and state
courts located in
the City, County
and State of New
York and agree that
any process in any
such action may be
served upon any of
them personally,
or by certified mail
or registered
mail upon them or
their agent, return
receipt requested,
with the same
full force and effect
as if personally
served upon them
in New York City.
The parties hereto
expressly and irrevocably
waive any claim that
any such
jurisdiction is not
a convenient forum
for any such suit
or proceeding and
any defense or lack
of in
personam
jurisdiction with
respect thereto.
In the event of any
such action or
proceeding, the party
prevailing therein
shall be entitled
to payment from
the other party hereto
of its reasonable
counsel fees and
disbursements.
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12. |
Purchaser
Certification.
The Purchaser
hereby acknowledges
that the
Seller and
its counsel
will
rely upon
the representations
contained
herein in
issuing the
Shares and
rendering
appropriate
legal opinions
in connection
with such
issuance
pursuant
to Regulation
S and hereby
certifies
that the
representations
of
the Purchaser
contained
herein are
true and
correct and
may be relied
upon
in issuing
such Shares
and rendering
such
opinions.
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6
IN
WITNESS THEREOF,
this
Offshore Securities Subscription Agreement was duly executed on the date
written
below.
PURCHASER |
Date:
___________________
|
______________________________
Name
(Print)
______________________________
Name
(Signature)______________________________
TitlePlease
type or print the number of shares
subscribed
to pursuant to this Agreement
______________________________
Please
Type or Print Name Exactly As You
Wish
It
To Appear On Certificate
______________________________
Please
Type or Print Address That
Certificate
Is To Be Delivered
Subscription
Accepted By:
WAKO
LOGISTICS GROUP, INC.
By:________________________________
President
Date:
______________________________
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