EXHIBIT 10.2
VOTING AGREEMENT
VOTING AGREEMENT, dated June 11, 1998, between Samstock, L.L.C, a
Delaware limited liability company ("Samstock"), and PhoneTel Technologies,
Inc., an Ohio corporation (the "Company").
WHEREAS, concurrently with the execution and delivery of this
Agreement, the Company, Davel, an Illinois corporation ("Old Davel"), Davel
Holdings, Inc., a Delaware corporation and a wholly owned subsidiary of Old
Davel ("New Davel"), D Subsidiary, Inc., an Illinois corporation and a
wholly owned subsidiary of New Davel ("D Sub"), and PT Merger Corp., an
Ohio corporation and a wholly owned subsidiary of New Davel ("P Sub"), have
entered into an Agreement and Plan of Merger and Reorganization (the
"Merger Agreement"), dated the date hereof, pursuant to which (i) D Sub
will be merged with and into Old Davel with Old Davel surviving as a wholly
owned subsidiary of New Davel (the "Davel Merger") and (ii) P Sub will be
merged with and into the Company with the Company surviving as a wholly
owned subsidiary of New Davel (the "PhoneTel Merger").
WHEREAS, the consummation of the Davel Merger, the PhoneTel Merger and
the other transactions contemplated by the Merger Agreement (the
"Transaction") is subject to certain conditions, including the approval of
the Merger Agreement and the PhoneTel Merger by the holders of at least a
majority of the outstanding shares of common stock, par $.01 per share, of
the Company ("PhoneTel Common Stock").
WHEREAS, Samstock is the record and beneficial owner of 350,000 shares
of PhoneTel Common Stock, representing approximately 2.1% of the shares of
PhoneTel Common Stock outstanding as of June 1, 1998 (such 350,000 shares
of PhoneTel Common Stock, together with any other shares of capital stock
of the Company acquired by Samstock after the date hereof and during the
term of this Agreement being collectively referred to herein as the
"Shares").
WHEREAS, as a condition to the willingness of the Company to enter
into the Merger Agreement, and as an inducement to the Company to do so,
Samstock has agreed for the benefit of the Company as set forth in this
Agreement.
NOW, THEREFORE, in consideration of the representations, warranties,
covenants and agreements contained in this Agreement, the parties hereby
agree as follows:
ARTICLE I
COVENANTS OF SAMSTOCK
Section 1.1 Agreement to Vote. At any meeting of the shareholders
of the Company held prior to the Termination Date (as defined in Section
4.4), however called, and at every reconvened meeting following any
adjournment thereof prior to the Termination Date, or in connection with
any written consent of the shareholders of the Company executed prior to
the Termination Date, Samstock shall vote the Shares in favor of the
approval of the Merger Agreement, the PhoneTel Merger and each of the
actions contemplated by the Merger Agreement to be performed by the Company
in connection with the Transaction and any actions required in furtherance
thereof. Prior to the Termination Date and subject to Section 1.3,
Samstock shall not enter into any agreement or understanding with any
person, directly or indirectly, to vote, grant any proxy or give
instructions with respect to the voting of the Shares in any manner
inconsistent with the preceding sentence.
Section 1.2 Proxies. (a) Samstock hereby revokes any and all
previous proxies granted with respect to matters set forth in Section 1.1
for the Shares.
(b) Prior to the Termination Date, Samstock shall not grant any
proxies or powers of attorney with respect to matters set forth in Section
1.1, deposit any of the Shares into a voting trust or enter into a voting
agreement, with respect to any of the Shares, in each case with respect to
such matters.
Section 1.3 Transfer of Shares by Samstock. Prior to the
Termination Date, Samstock shall not or (a) transfer, sell, exchange or
otherwise dispose of any Shares unless such transferee, purchaser or
acquiror enters into a voting agreement with the Company containing
substantially the same terms as this Agreement or (b) pledge or place any
encumbrance on any Shares, other than pursuant to this Agreement and other
than a pledge or encumbrance of any Shares to any bank or other financial
institution in connection with any bona fide financing transaction by
Samstock or any such transferee, purchaser or acquiror, provided, that such
bank or financial institution, as a condition to exercising its rights to
seize and vote such Shares, enters into a voting agreement with the Company
containing substantially the same terms as this Agreement.
Section 1.4 Action in Shareholder Capacity Only. Samstock makes no
agreement or understanding herein in any capacity other than its capacity
as a record holder and beneficial owner of the Shares, and nothing herein
shall limit or affect any actions taken in any other capacity.
ARTICLE II
REPRESENTATIONS, WARRANTIES AND
ADDITIONAL COVENANTS OF SAMSTOCK
Samstock represents, warrants and covenants to Old Davel that:
Section 2.1 Ownership. Samstock is, as of the date hereof, the
beneficial and record owner of 350,000 shares of PhoneTel Common Stock and
has the sole right to vote such shares, and there are no restrictions on
rights of disposition or other liens pertaining to such shares. None of
such shares is subject to any voting trust or other agreement, arrangement
or restriction with respect to the voting of such shares.
Section 2.2 Authority and Non-Contravention. Samstock has the
right, power and authority to enter into this Agreement and to consummate
the transactions contemplated by this Agreement. This Agreement has been
duly executed and delivered by Samstock and constitutes a valid and binding
obligation of Samstock, enforceable against Samstock in accordance with its
terms, subject to general principles of equity and as may be limited by
bankruptcy, insolvency, moratorium, or similar laws affecting creditors'
rights generally. Neither the execution and delivery of this Agreement by
Samstock nor the consummation by Samstock of the transactions contemplated
hereby will (i) materially violate, or require any consent, approval or
notice under, any provision of any judgment, order, decree, statute, law,
rule or regulation applicable to Samstock or the Shares or (ii) constitute
a material violation of or default under any contract, commitment,
agreement, understanding, arrangement or other restriction of any kind to
which Samstock is a party or by which Samstock or its assets are bound.
Section 2.3 Total Shares. Samstock does not have any option to
purchase or right to subscribe for or otherwise acquire any securities of
the Company and has no other interest in or voting rights with respect to
any other securities of the Company.
Section 2.4 Reasonable Efforts. Prior to the Termination Date,
Samstock shall use reasonable efforts to take, or cause to be taken, all
actions, and to do, or cause to be done, and to assist and cooperate with
the Company in doing, all things reasonably necessary, proper or advisable
to consummate and make effective, in the most expeditious manner reasonably
practicable, the Transaction.
ARTICLE III
REPRESENTATIONS, WARRANTIES AND COVENANTS OF
THE COMPANY
The Company represents, warrants and covenants to Samstock that:
Section 3.1 Authority and Non-Contravention. The Company has the
right, power and authority to enter into this Agreement and to consummate
the transactions contemplated by this Agreement. The execution and
delivery of this Agreement by the Company and the consummation of the
transactions contemplated by this Agreement have been duly authorized by
all necessary action on the part of the Company. This Agreement has been
duly executed and delivered by the Company and constitutes a valid and
binding obligation of the Company, enforceable against the Company in
accordance with its terms, subject to general principles of equity and as
may be limited by bankruptcy, insolvency, moratorium or similar laws
affecting creditors' rights generally. Neither the execution and delivery
of this Agreement nor the consummation by the Company of the transactions
contemplated hereby will (i) materially violate, or require any consent,
approval or notice under, any provision of any judgment, order, decree,
statute, law, rule or regulation applicable to the Company or (ii) violate
or conflict with the articles of incorporation or code of regulations of
the Company or constitute a material violation of or default under any
contract, commitment, agreement, understanding, arrangement or other
restriction of any kind to which the Company is a party or by which the
Company or its assets are bound.
ARTICLE IV
MISCELLANEOUS
Section 4.1 Expenses. All costs and expenses incurred in
connection with this Agreement shall be paid by the party incurring such
costs or expenses.
Section 4.2 Further Assurances. From time to time, at the request
of the Company, in the case of Samstock, or at the request of Samstock, in
the case of the Company, and without further consideration, each party
shall execute and deliver or cause to be executed and delivered such
additional documents and instruments and take all such further action as
may be reasonably necessary or desirable to consummate the transactions
contemplated by this Agreement.
Section 4.3 Specific Performance. Samstock agrees that the Company
would be irreparably damaged if for any reason Samstock fails to perform
any of Samstock's obligations under this Agreement, and that the Company
would not have an adequate remedy at law for money damages in such event.
Accordingly, the Company shall be entitled to seek specific performance and
injunctive and other equitable relief to enforce the performance of this
Agreement by Samstock. This provision is without prejudice to any other
rights that the Company may have against Samstock for any failure to
perform its obligations under this Agreement.
Section 4.4 Amendments, Termination. This Agreement may not be
modified or amended except by an instrument or instruments in writing
signed by each party hereto. The representations, warranties, covenants
and agreements set forth in Article I, Article II and Article III shall
terminate, except with respect to liability for prior breaches thereof,
upon the earliest to occur of (i) termination of the Merger Agreement in
accordance with its terms, (ii) the Closing Date and (iii) the date, if
any, upon which the Company's Board of Directors withdraws, modifies or
changes its recommendation or approval of the Merger Agreement or the
PhoneTel Merger in a manner adverse to Old Davel (the "Termination Date").
Section 4.5 Assignment. Subject to Section 1.3 hereof, neither
this Agreement nor any of the rights, interests or obligations under this
Agreement shall be assigned, in whole or in part, by operation of law or
otherwise by any of the parties without the prior written consent of the
other parties. Subject to the preceding sentence, this Agreement shall be
binding upon, and inure to the benefit of, the parties hereto and their
respective successors and assigns.
Section 4.6 Certain Events. Samstock agrees that this Agreement
and the obligations hereunder shall attach to the Shares and shall be
binding upon any person to which legal or beneficial ownership of such
shares shall pass, whether by operation of law or otherwise.
Section 4.7 Entire Agreement. This Agreement (including the
documents referred to herein) (a) constitutes the entire agreement, and
supersedes all prior agreements and understanding, both oral and written
between the parties with respect to the subject matter of this Agreement
and (b) is not intended to confer upon any person other than the parties
hereto any rights or remedies.
Section 4.8 Notices. All notices and other communications
hereunder shall be in writing and shall be deemed given if delivered
personally, sent by documented overnight delivery service or telecopied
with confirmation of receipt, to the parties at the addresses specified
below (or at such other address or telecopy or telex number for a party as
shall be specified by like notice):
If to the Company to:
PhoneTel Technologies, Inc.
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Attention: General Counsel
Telecopy number: 216.875.4337
with a copy to:
Skadden, Arps, Slate, ▇▇▇▇▇▇▇ & ▇▇▇▇
▇▇▇ ▇▇▇▇▇ ▇▇▇▇▇▇
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Attention: ▇▇▇▇▇▇▇ ▇. ▇▇▇▇▇▇, Esq.
Telecopy number: 212.735.2000
If to Samstock, to:
Samstock, L.L.C.
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Attention: F. ▇▇▇▇▇▇ ▇▇▇▇▇
Telecopy number: 312.454.1671
with a copy to:
▇▇▇▇▇▇▇▇▇ & ▇▇▇▇▇▇▇▇▇▇▇, P.C.
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▇▇▇▇▇▇▇, ▇▇▇▇▇▇▇▇ ▇▇▇▇▇
Attention: ▇▇▇▇▇▇ ▇. ▇▇▇▇▇, Esq.
Telecopy number: 312.454.0335
Section 4.9 Governing Law. This Agreement shall be governed by,
and construed in accordance with, the laws of the State of Ohio regardless
of the laws that might otherwise govern under applicable principles of
conflicts of laws thereof.
Section 4.10 Counterparts. This Agreement may be executed in two or
more counterparts, all of which shall be considered one and the same
agreement, and, shall become effective when one or more counterparts have
been signed by each of the parties and delivered to the other parties in
original or facsimile form.
Section 4.11 Interpretation. The headings contained in this
Agreement are inserted for convenience of reference only and shall not
affect in any way the meaning or interpretation of this Agreement.
Section 4.12 Severability. Any provision hereof which is invalid or
unenforceable shall be ineffective to the extent of such invalidity or
unenforceability, without affecting in any way the remaining provisions
hereof.
Section 4.13 Consent to Jurisdiction. Each party hereto irrevocably
submits to the nonexclusive jurisdiction of (a) the state courts of the
State of Ohio and (b) the United States federal district courts located in
the State of Ohio for the purposes of any suit, action or other proceeding
arising out of this Agreement or any transaction contemplated hereby.
Section 4.14 Attorney's Fees. If any action at law or in equity is
necessary to enforce or interpret the terms of this Agreement, the
prevailing party shall be entitled to reasonable attorneys' fees, costs and
necessary disbursements, in addition to any other relief to which such
party may be entitled.
IN WITNESS WHEREOF, this Agreement has been signed by or on behalf of
each of the parties as of the date first above written.
SAMSTOCK, L.L.C.
By SZ Investments, L.L.C., its sole member
By ▇▇▇▇ General Partnership, Inc., its
managing member
By:_______________________________________
Name:
Title:
PHONETEL TECHNOLOGIES, INC.
By:______________________________________
Name:
Title:
