SHARE PURCHASE AGREEMENT
Exhibit 17
This SHARE PURCHASE AGREEMENT, dated as of October 26, 2020 (this “Agreement”), by and among PW Medtech Group Limited, a Cayman Islands company (the “Seller”) and Biomedical Treasure Limited, an exempted company with limited liability incorporated under the laws of the Cayman Islands (the “Purchaser,” and together with the Seller, each a “Party” and collectively, the “Parties”). Capitalized terms used but not otherwise defined herein shall have the meanings ascribed to them in Section 6.1 hereof.
WHEREAS, the Seller is the owner of 5,321,000 Ordinary Shares of the Issuer (as defined below).
WHEREAS, as of the date hereof, the Seller has agreed to sell an aggregate of 1,571,000 Ordinary Shares to one or more purchasers (other than the Purchaser) pursuant to one or more share purchase agreements, each dated on or about the date hereof.
(a) The closing of the purchase and sale of the Sale Shares and the other transactions contemplated hereby (the “Closing”) shall take place within fifteen (15) Business Days after all the conditions set forth under Sections 4.1 and 4.2 are satisfied or waived (other than those conditions that by their nature are to be satisfied at the Closing, but subject to the satisfaction or waiver of such conditions at the Closing) or on such other date as may be agreed by the Parties (the “Closing Date”).
(b) At the Closing:
(i) the Seller shall deliver, or cause to be delivered, to the Purchaser:
(A) a copy of the shareholder statements of the Issuer issued by the Transfer Agent and evidencing the Purchaser has been registered as the sole owner of the Sale Shares as of the Closing Date;
(B) a copy of the director resolutions of the Seller duly authorizing and approving this Agreement and the transactions contemplated hereby; and
(ii) the Purchaser shall deliver, or cause to be delivered, to the Seller:
(A) immediately available funds in the amount of the Purchase Price by wire transfer into an account designated by the Seller in a written notice delivered to the Purchaser at least fifteen (15) Business Days prior to the Closing Date in substantially the form attached hereto as Exhibit A; and
(B) a copy of the director resolutions of the Purchaser duly authorizing and approving this Agreement and the transactions contemplated hereunder.
(c) Unless otherwise agreed by the Seller and the Purchaser, all actions at Closing are inter-dependent and will be deemed to take place simultaneously and no delivery or payment will be deemed to have been made until all deliveries and payments under this Agreement due to be made at Closing have been made.
2. PURCHASER’S REPRESENTATIONS AND WARRANTIES
The Purchaser makes the following representations and warranties to the Seller as of the date hereof and the Closing Date:
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3. SELLER’S REPRESENTATIONS AND WARRANTIES
The Seller makes the following representations and warranties to the Purchaser as of the date hereof and the Closing Date:
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4.1 The obligations of the Seller to consummate the Closing and under Section 1.2(b)(i) hereof are subject to the satisfaction (or waiver by Seller) of the following conditions:
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(a) All of the representations and warranties of the Purchaser contained in Section 2 shall be true and correct in all material respects (other than the Purchaser’s representations and warranties set forth in Section 2.1 which shall be true and correct in all respects) on and as of the date hereof and on the Closing Date.
(b) The Purchaser has performed all of its obligations contained in this Agreement (to be performed prior to the Closing) in all material respects.
(c) Shareholders of the Seller shall have duly approved the transactions contemplated hereby at the Seller EGM.
(d) (i) The SC 13E-3 Amendment (as defined in Section 5.2(b) below) has been first filed with the SEC for no less than thirty (30) days, and (ii) such SC 13E-3 Amendment has been disseminated in accordance with Rule 13e-3(f) under the Exchange Act for no less than twenty (20) days.
(e) No provision of any applicable treaty, law, statute, rule, regulation, judgment, order, writ or decree of any government, government instrumentality or court (including without limitation the SEC), domestic or foreign, shall prohibit the consummation of the Closing.
4.2 The obligations of the Purchaser to consummate the Closing and under Section 1.2(b)(ii) hereof are subject to the satisfaction (or waiver by the Purchaser) of the following conditions:
(a) All of the representations and warranties of the Seller contained in Section 3 shall be true and correct in all material respects (other than the representations and warranties set forth in Sections 3.1 and 3.2 which shall be true and correct in all respects) on and as of the date hereof and on the Closing Date.
(b) The Seller has performed all of its obligations contained in this Agreement (to be performed prior to the Closing) in all material respects.
(c) Shareholders of the Seller shall have duly approved the transactions contemplated hereby at the Seller EGM.
(d) (i) The SC 13E-3 Amendment has been first filed with the SEC for no less than thirty (30) days, and (ii) such SC 13E-3 Amendment has been disseminated in accordance with Rule 13e-3(f) under the Exchange Act for no less than twenty (20) days.
(e) No provision of any applicable treaty, law, statute, rule, regulation, judgment, order, writ or decree of any government, government instrumentality or court (including without limitation the SEC), domestic or foreign, shall prohibit the consummation of the Closing.
5. COVENANTS
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(a) Each Party agrees, confirms and undertakes that, in connection with the signing of this Agreement and the transactions contemplated hereby, such Party shall promptly file, within the time period required by applicable laws and regulations, the requisite filings with the SEC.
(b) Without limiting the generality of Section 5.2(a), the Parties agree to cooperate with each other and provide all information reasonably necessary to satisfy the applicable disclosure requirements under Rule 13e-3 under the Exchange Act (the “Rule 13e-3”) and Section 13(d) of the Exchange Act. Each Party may disclose the terms of this Agreement as required by the rules of a U.S. or foreign securities exchange, or in any filings with the SEC as required by the Securities Act or the Exchange Act, including in connection with the submissions contemplated under Rule 13e-3 and in any amendment to the Schedule 13D of the Parties relating to securities of the Issuer. As soon as reasonably practicable following the date hereof, the Parties shall cooperate to jointly prepare and use their respective commercially reasonable efforts to cause to be filed with the SEC and to be disseminated (in accordance with Rule 13e-3(f)) an amendment to the Rule 13e-3 transaction statement on Schedule 13E-3 filed by certain members of the Consortium on February 19, 2020 (as amended on March 30, 2020 and April 24, 2020, the “Original Schedule 13E-3”) in respect of the entering into this Agreement by the Parties and the transactions contemplated hereby (such amendment to the Original Schedule 13E-3 is referred to herein as the “SC 13E-3 Amendment;” and the Original Schedule 13E-3 as amended by the SC 13E-3 Amendment is referred to herein as the “Amended Schedule 13E-3”). Each Party shall (i) promptly notify the other Party upon the receipt of any comments (written or oral) from the SEC or its staff or any request from the SEC or its staff for amendments or supplements to the Amended Schedule 13E-3 in connection with the transactions contemplated by this Agreement, and (ii) use its reasonable best efforts to respond jointly and promptly to any comments of the SEC or its staff with respect to the Amended Schedule 13E-3 in connection with the transactions contemplated by this Agreement. Each Party hereby represents, warrants and undertakes to the other Party that the information provided by such Party for inclusion in the Amended Schedule 13E-3, at each time it is filed with the SEC, will not contain any untrue statement of a material fact or omit to state any material fact with respect to such Party as required to be stated or incorporated by reference therein or necessary in order to make the statements therein, in light of the circumstances under which such Amended Schedule 13E-3is made, not false or misleading, except to the extent that the information in the Amended Schedule 13E-3 is amended or superseded by a later version thereof.
(a) the Seller shall: (i) prepare, finalize and post a circular to its shareholders and/or such other announcements, documents, notices and communications as may be required by the Hong Kong Listing Rules and the Organizational Documents of the Seller (collectively, the “Required Shareholder Communication”), in each case, subject to clearance of the same (if required) by The Stock Exchange of Hong Kong Limited, as soon as practicable, which shall, amongst other things, convene the Seller EGM to consider resolutions to be passed by the relevant shareholders for the purposes set out in Sections 4.1(c) and 4.2(c); and (ii) hold such Seller EGM as soon as commercially practicable;
(b) the Seller undertakes to provide the Purchaser (or advisers nominated by the Purchaser) with draft copies of the Required Shareholder Communication to be sent to the Seller’s shareholders at such time as will allow the Purchaser a reasonable opportunity to provide comments on such draft copies of Required Shareholder Communication before they are finalized and dispatched or released; and
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(c) subject to the requirements under the Hong Kong Listing Rules and the Organizational Documents of the Seller, the Seller undertakes and agrees to consider any reasonable comments provided by the Purchaser pursuant to Section 5.3(b) above.
“Acquisition” means that certain acquisition transaction contemplated under the Acquisition Proposal.
“Acquisition Proposal” means a non-binding proposal dated as of September 18, 2019 submitted to the board of directors of the Issuer by parties to the Consortium Agreement in connection with an acquisition of the Issuer, as may be amended and/or restated from time to time.
“Affiliate” means, with respect to a person, any other person that, directly or indirectly, Controls, is Controlled by or is under common Control with such person.
“Business Day” means any day except any Saturday, any Sunday, any day that is a federal legal holiday in the United States or any day on which banking institutions in the State of New York, the People’s Republic of China, Hong Kong, or the Cayman Islands are authorized or required by law or other governmental action to close.
“Consortium” means the parties to the Consortium Agreement (together with any other Persons that subsequently joined for the purpose of effecting the Acquisition but excluding those that have withdrawn therefrom).
“Consortium Agreement” means the consortium agreement dated as of September 18, 2019 by and among the Seller and other parties named therein, as amended by an amendment No. 1 thereto dated as of January 23, 2020 and as may be amended and/or restated from to time.
“Control” of a given person means the power or authority, whether exercised or not, to direct the business, management and policies of such person, directly or indirectly, whether through the ownership of voting securities, by contract or otherwise.
“Exchange Act” means the Securities Exchange Act of 1934, as amended.
“Hong Kong Listing Rules” means the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited.
“Issuer” means China Biologic Products Holdings, Inc., a Cayman Islands exempted company.
“Ordinary Shares” means ordinary shares, par value of US$0.0001 per share, of the Issuer.
“Organizational Documents” means, with respect to any person, the memorandum of association, articles of association, articles of incorporation, certificate of incorporation, bylaws and any charter, partnership agreements, joint venture agreements or other organizational documents of such entity and any amendments thereto.
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“Per Share Consideration” means US$120.00.
“Person” or “person” means any individual, corporation, partnership, limited partnership, proprietorship, association, limited liability company, firm, trust, estate or other enterprise or entity.
“Purchase Price” means the aggregate amount of US$450,000,000 which equals the product of (a) Per Share Consideration multiplied by (b) the number of Sale Shares.
“PWM XXX” means that certain investor rights agreement, dated as of January 1, 2018, by and between the Issuer and the Seller, as may be amended and/or restated from time to time.
“SEC” means the United States Securities and Exchange Commission.
“Securities Act” means the Securities Act of 1933, as amended.
“Transfer Agent” means Securities Transfer Corporation, or such other transfer agent for Ordinary Shares as may be appointed by the Issuer from time to time.
(a) This Agreement may be terminated prior to the Closing (i) by mutual written consent of the Seller and the Purchaser; (ii) by either Party if the Closing has not occurred by the earlier of (A) the twentieth (20th) Business Day from the date on which the shareholders of the Seller have duly approved the transactions contemplated hereby at the Seller EGM and (B) the date that is six (6) months from the date hereof; or (iii) automatically without any action of either Party immediately before closing of the Acquisition; provided, that a Party shall not have the right to terminate this Agreement pursuant to the foregoing Section 6.2(a)(ii) if such Party is then in material breach of this Agreement.
(b) If this Agreement is terminated in accordance with Section 6.2(a), this Agreement shall become void and have no effect, the transactions contemplated hereby shall be abandoned without further action by the Parties and there shall be no liability on the part of any Party; provided that (i) the provisions of Section 6 (Miscellaneous) shall survive the termination of this Agreement; and (ii) such termination shall not release any Party from any liability that has already accrued as of the effective date of such termination, and shall not constitute a waiver or release of any rights, remedies or claims that a Party may have under this Agreement as of such termination.
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6.8 Governing Law. This Agreement shall be interpreted, construed and governed by and in accordance with the laws of the State of New York without regard to the conflicts of law principles thereof.
(a) Any dispute, actions and proceedings against any Party arising out of or in any way relating to this Agreement shall be submitted to the Hong Kong International Arbitration Centre (“HKIAC”) and resolved in accordance with the Arbitration Rules of HKIAC in force at the relevant time and as may be amended by this Section 6.9 (the “Rules”). The place of arbitration shall be Hong Kong. The official language of the arbitration shall be English and the tribunal shall consist of three (3) arbitrators (each, an “Arbitrator”). The claimant(s), irrespective of number, shall nominate jointly one (1) Arbitrator; the respondent(s), irrespective of number, shall nominate jointly one (1) Arbitrator; and a third (3rd) Arbitrator will be nominated jointly by the first two (2) Arbitrators and shall serve as chairman of the arbitration tribunal. In the event the claimant(s) or respondent(s) or the first two (2) Arbitrators shall fail to nominate or agree the joint nomination of an Arbitrator or the third (3rd) Arbitrator within the time limits specified by the Rules, such Arbitrator shall be appointed promptly by the HKIAC. The arbitration tribunal shall have no authority to award punitive or other punitive-type damages. The award of the arbitration tribunal shall be final and binding upon the disputing parties. Any party to an award may apply to any court of competent jurisdiction for enforcement of such award and, for purposes of the enforcement of such award, the Parties irrevocably and unconditionally submit to the jurisdiction of any court of competent jurisdiction and waive any defenses to such enforcement based on lack of personal jurisdiction or inconvenient forum.
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(b) Notwithstanding the foregoing, the Parties hereby consent to and agree that in addition to any recourse to arbitration as set out in Section 6.9(a), any Party may, to the extent permitted under the rules and procedures of the HKIAC, seek an interim injunction or other form of relief from the HKIAC as provided for in its Rules. Such application shall also be governed by, and construed in accordance with, the laws of the State of New York.
(c) The Parties hereto agree that the obligations imposed on them in this Agreement are special, unique and of an extraordinary character and irreparable damage would occur if any of the provisions of this Agreement were not performed in accordance with their specific terms or were otherwise breached. Accordingly, each Party to this Agreement (a) shall be entitled to an injunction or injunctions, specific performance and other equitable relief to prevent breaches or threatened breaches of this Agreement and to enforce specifically the terms and provisions of this Agreement in the forum described in this Section 6.9, without proof of damages or otherwise, this being in addition to any other remedy at law or in equity, and (b) hereby waives any requirement for the posting of any bond or similar collateral in connection therewith. Each Party hereto agrees that it will not oppose the granting of an injunction, specific performance and other equitable relief on the basis that (i) any other Party has an adequate remedy at law or (ii) an award of specific performance is not an appropriate remedy for any reason at law or equity.
If to the Seller, to:
PW Medtech Group Limited
Xxxxx 00, Xxxxxxxx Xxxxxx
000 Xxxxx’s Road East
Hong Kong
Attention: Xxxxxx Xxxx
With a copy to (which shall not constitute notice):
PW Medtech Group Limited
Building 1, Xx. 00 Xxxxxxx Xxxx Xxxx
Xxxxxx Xxxxxxxx, Xxxxxxx
PRC 101204
Attention: Xxxxxx Xxxx
Xxxxxx Xxxxxxx Xxxxxxxx & Xxxxxx
Xxxxx 0000, 00/X, Xxxxxxx Xxxxx
0 Xxxxxxxxx Xxxxx, Xxxxxxx
Xxxx Xxxx
Attention: Xxxxxxx Xxxx
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If to the Purchaser, to:
18 F, Jialong International Tower
Xx. 00, Xxxxxxxx Xxxx Xxxx
Xxxxxxxx Xxxxxxxx, Xxxxxxx
PRC 100125
Attention: Xxxxxx Xxxx
With a copy to (which shall not constitute notice):
Merits & Tree Law Offices
5th Floor, Raffles City Beijing Office Tower
Xx.0 Xxxxxxxxxx Xxxxx Xxxxxx
Xxxxxxxxx Xxxxxxxx, Xxxxxxx
PRC 100007
Attention: Youyuan Jin
[Signature pages follow]
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PW Medtech Group Limited | ||
By: | /s/ Yue’e Zhang | |
Name: | Yue’e Zhang | |
Title: | Executive Director and Chief Executive Officer |
[Signature Page to Share Purchase Agreement]
Biomedical Treasure Limited | ||
By: | /s/ Xxxxxx Xxxx | |
Name: | Xxxxxx Xxxx | |
Title: | Director |
[Signature Page to Share Purchase Agreement]
Exhibit A
Form of Payment Notice