Exhibit 1
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TENDER, VOTING AND OPTION AGREEMENT
TENDER, VOTING AND OPTION AGREEMENT, dated as of August 28, 2000 (this
"Agreement"), among Xxxxxx'x Brewing Group Limited, a corporation organized
under the laws of the State of South Australia, Commonwealth of Australia (ABN:
49 000 000 000) ("Parent"), Bordeaux Acquisition Corp., a Delaware corporation
and wholly owned subsidiary of Parent ("Purchaser") and each of the stockholders
of the Company set forth on Schedule A hereto (each, a "Stockholder" and,
collectively, the "Stockholders").
RECITALS:
A. Parent, Purchaser and Xxxxxxxx Wine Estates Holdings, Inc., a Delaware
corporation (the "Company"), propose to enter into an Agreement and Plan of
Merger, dated as of the date hereof (the "Merger Agreement"), pursuant to which
Purchaser will acquire the Company in a tender offer followed by a merger on the
terms and subject to the conditions set forth in the Merger Agreement. Except as
otherwise defined herein, terms used herein with initial capital letters have
the respective meanings ascribed thereto in the Merger Agreement.
B. As of the date hereof, each Stockholder beneficially owns and is
entitled to dispose of (or to direct the disposition of) and to vote (or to
direct the voting of) the number of Class A Common Shares and/or Class B Common
Shares of the Company set forth opposite such Stockholder's name on Schedule A
hereto (such Shares, together with any other Shares the beneficial ownership of
which is acquired by such Stockholder during the period from and including the
date hereof through and including the date on which this Agreement is terminated
pursuant to Section 6.2 hereof, are collectively referred to herein as such
Stockholder's "Subject Shares").
C. As a condition and inducement to their willingness to enter into the
Merger Agreement, Parent and Purchaser have requested that each Stockholder
agree, and each Stockholder has agreed, to enter into this Agreement.
NOW, THEREFORE, in consideration of the foregoing and the representations,
warranties and covenants contained in this Agreement, and for other good and
valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties hereto hereby agree as follows:
I. TENDER OF SUBJECT SHARES
1.1 Agreement to Tender Shares. Each Stockholder will tender or cause to be
validly tendered (and not withdrawn) pursuant to and in accordance with the
terms of the Offer and Section 14d-2 under the Securities Exchange Act of 1934,
not later than the tenth business day after commencement of the Offer and will
cause to remain validly tendered and not withdrawn until termination of this
Agreement, all of such Stockholder's Subject Shares (other than Shares for which
unexercised options are exercisable unless such options have been exercised).
Each Stockholder hereby acknowledges that Purchaser's obligation to accept for
payment and pay for Shares (including such Stockholder's Subject Shares)
pursuant to the Offer is subject to the terms and conditions of the Offer set
forth in the Merger Agreement. Notwithstanding the provisions of the first
sentence of this Section 1.1, in the event that any Subject Shares are for any
reason withdrawn from the Offer or are not purchased pursuant to the Offer, such
Subject Shares will remain subject to the terms of this Agreement. Nothing in
this Agreement shall obligate any Stockholder to exercise any option to purchase
Shares.
II. VOTING OF SUBJECT SHARES
2.1 Agreement to Vote Subject Shares. From the date hereof until this
Agreement is terminated pursuant to Section 6.2, at any meeting of the
stockholders of the Company called to consider and vote upon the adoption of the
Merger Agreement (and at any and all postponements and adjournments thereof),
and in connection with any action to be taken in respect of the adoption of the
Merger Agreement by written consent of stockholders of the Company, each
Stockholder will vote or cause to be voted (including by written consent, if
applicable) all of such Stockholder's Subject Shares which it has the right to
vote in favor of the adoption of the Merger Agreement and in favor of any other
matter necessary or appropriate for the consummation of the transactions
contemplated by the Merger Agreement that is considered and voted upon at any
such meeting or made the subject of any such written consent, as applicable. At
any meeting of the stockholders of the Company called to consider and vote upon
any Adverse Proposal (and at any and all postponements and adjournments
thereof), and in connection with any action to be taken in respect of any
Adverse Proposal by written consent of stockholders of the Company, each
Stockholder will vote or cause to be voted (including by written consent, if
applicable) all of such Stockholder's Subject Shares which it has the right to
vote against the adoption of such Adverse Proposal. For purposes of this
Agreement, the term "Adverse Proposal" means any (a) Acquisition Transaction,
(b) proposal or action that would reasonably be expected to result in a breach
of any covenant, agreement, representation or warranty of the Company set forth
in the Merger Agreement, or (c) the following actions (other than the Offer, the
Merger and the other transactions contemplated by the Merger Agreement): (i) any
extraordinary corporate transaction, such as a merger, consolidation or other
business combination involving the Company or its Subsidiaries; (ii) a sale,
lease or transfer of a material amount of assets of the Company or one of its
Subsidiaries, or a reorganization, recapitalization, dissolution or liquidation
of the Company or any of its Subsidiaries; (iii) (1) any change in a majority of
the persons who constitute the board of directors of the Company as of the date
hereof; (2) any change in the present capitalization of the Company or any
amendment of the Company's certificate of incorporation or bylaws, as amended to
date; (3) any other material change in the Company's corporate structure or
business; or (4) any other action that, in the case of each of the matters
referred to in clauses (iii)(1), (2) and (3) is intended, or could reasonably be
expected, to impede, interfere with, delay, postpone, or adversely affect the
Offer or the Merger and the other transactions contemplated by this Agreement
and the Merger Agreement or increase the likelihood that such transactions will
not be consummated.
2.2 Irrevocable Proxy. (a) Grant of Proxy. Each Stockholder hereby appoints
Parent and any designee of Parent, each of them individually, such Stockholder's
proxy and attorney-in-fact, with full power of substitution and resubstitution,
to vote or act by written consent with respect to all of such Stockholder's
Subject Shares which it has the right to vote (i) in accordance with Section 2.1
hereof and (ii) to sign its name (as a stockholder) to any consent, certificate
or other document relating to the Company that the law of the State of Delaware
may permit or require in connection with any matter referred to in Section 2.1.
This proxy is given to secure the performance of the duties of such Stockholder
under this Agreement and its existence will not be deemed to relieve the
Stockholders of their obligations under Section 2.1. Each Stockholder affirms
that this proxy is coupled with an interest and is irrevocable until termination
of this Agreement pursuant to Section 6.2, whereupon such proxy and power of
attorney shall automatically terminate. Each Stockholder will take such further
action or execute such other instruments as may be necessary to effectuate the
intent of this proxy. For Subject Shares as to which the Stockholder is the
beneficial but not the record owner, the Stockholder will cause any record owner
of such Subject Shares to grant to Parent a proxy to the same effect as that
contained herein.
(b) Other Proxies Revoked. Each Stockholder represents that any proxy
heretofore given in respect of such Stockholder's Subject Shares is not
irrevocable, and hereby revokes any and all such proxies.
III. PURCHASE OPTION
3.1 Grant of Option. Each Stockholder hereby grants to each of Parent and
Purchaser an irrevocable option to purchase such Stockholder's Subject Shares
not purchased in the Offer (each, an "Option" and, collectively, the "Options")
on the terms and subject to the conditions set forth in this Article III at a
purchase price per share equal to the Per Share Amount (the "Purchase Price").
3.2 Exercise of Option. (a) If the Offer is consummated but (whether due to
improper tender or withdrawal of tender or breach of Section 1.1) Purchaser has
not accepted for payment and paid for all of the Subject Shares, the Options
will become exercisable (in whole but not in part) and remain exercisable (in
whole but not in part) thereafter until termination of this Agreement pursuant
to Section 6.2 (the applicable period of exercisability being the "Option
Period"). Parent may exercise all of the Options of all of the Stockholders, in
whole but not in part, at any time during the Option Period. Notwithstanding
anything in this Agreement to the contrary, Parent will be entitled to purchase
all Subject Shares in respect of which it shall have exercised an Option in
accordance with the terms hereof prior to the expiration of the Option Period,
and the expiration of the Option Period will not affect any rights hereunder
which by their terms do not terminate or expire prior to or as of such
expiration.
(b) If Parent wishes to exercise an Option, it will deliver to the
applicable Stockholder (each a "Selling Stockholder") a written notice (an
"Exercise Notice") to that effect which specifies (a) that it has irrevocably
exercised its right to purchase all the Subject Shares (other than those
purchased in the Offer) and (b) a date (an "Option Closing Date"), not earlier
than two nor later than five business days after the date such Exercise Notice
is delivered, for the consummation of the purchase and sale of such Subject
Shares (an "Option Closing"); provided, however, that Parent will exercise the
Option in accordance with the federal securities laws. If the Option Closing
cannot be effected on the Option Closing Date specified in the Exercise Notice
by reason of any applicable judgment, decree, order, law or regulation, or
because any applicable waiting period under the HSR Act shall not have expired
or been terminated, (i) the Stockholders will promptly take all such actions as
may be requested by Parent, and will otherwise fully cooperate with Parent, to
cause the elimination of all such impediments to the Option Closing and (ii) the
Option Closing Date specified in the Exercise Notice will be extended to the
second business day following the elimination of all such impediments. The place
of the Option Closing will be at the offices of Xxxxx, Day, Xxxxxx & Xxxxx, 000
Xxxxxxxxx Xxxxxx, 00xx Xxxxx, Xxx Xxxx, Xxx Xxxx 00000, and the time of the
Option Closing will be 10:00 a.m. (Eastern Time) on the Option Closing Date.
Upon the giving by Parent to the Selling Stockholder of the Exercise Notice and
the tender of the aggregate Purchase Price, Parent will be deemed to be the
holder of record of the Subject Shares transferrable upon such exercise,
notwithstanding that the stock transfer books of the Company are then closed or
that certificates representing such Subject Shares have not been actually
delivered to Parent.
3.3 Payment and Delivery of Certificates. At any Option Closing, Parent
will deliver to each Selling Stockholder, by wire transfer of immediately
available funds to the account designated by such Selling Stockholder to Parent
prior to the Option Closing, the Purchase Price payable in respect of the
Subject Shares to be purchased from such Selling Stockholder at the Option
Closing, and each Selling Stockholder will deliver to Parent such Subject
Shares, free and clear of all Liens, with the certificate or certificates
evidencing such Subject Shares being duly endorsed for transfer by such Selling
Stockholder and accompanied by all powers of attorney and/or other instruments
necessary to convey valid and unencumbered title thereto to Parent. The Selling
Stockholder will pay all expenses, and any and all United States federal, state
and local taxes and other charges that may be payable in connection with the
preparation, issue and delivery of stock certificates under this Section 3.3 in
the name of Parent or its designee.
3.4 Adjustment upon Changes in Capitalization, Etc. In the event of any
change in the capital stock of the Company by reason of a stock dividend,
subdivision, reclassification, recapitalization, split, combination, exchange of
shares, extraordinary distribution or similar transaction, the type and number
or amount of shares, securities or other property subject to each of the
Options, and the Purchase Price payable therefor, will be adjusted
appropriately, and proper provision will be made in the agreements governing
such transaction, so that (a) Parent will receive upon exercise of any Option
the type and number or amount of shares, securities or property that Parent
would have retained and/or been entitled to receive in respect of the applicable
Selling Stockholder's Subject Shares if the Option had been exercised
immediately prior to such event or the record date therefor, as applicable, and
(b) the applicable Selling Stockholder will receive upon exercise of any Option
granted by such Selling Stockholder the amount of cash that such Selling
Stockholder would have received as a result of the exercise of the Option if the
Option had been exercised immediately prior to such event or the record date
therefor, as applicable. The provisions of this Section 3.4 will apply in a like
manner to successive stock dividends, subdivisions, reclassifications,
recapitalizations, splits, combinations, exchanges of shares, extraordinary
distributions or similar transactions.
3.5 Sharing of Profits. (a) For the purposes of this Section 3.5 only, the
term "Stockholders" refers solely to Wine Partners, L.P., TPG Partners, L.P. TPG
Parallel I, L.P. and TPG GenPar, L.P. (the "TPG Stockholders"). If (i) the
Merger Agreement is terminated in circumstances in which Parent is entitled to a
fee pursuant to Section 8.2(b) (ii) thereof and (ii) not later than one year
from the date of termination of the Merger Agreement, (1) the Company
consummates a merger, acquisition, consolidation, recapitalization, liquidation,
dissolution or similar transaction involving, or any sale of all or
substantially all of the assets or equity securities of, the Company and its
Subsidiaries (a "Business Combination"), (2) the Company enters into an
Acquisition Agreement providing for a Business Combination, which Business
Combination is ultimately consummated, irrespective of when such consummation
occurs, (3) a TPG Stockholder disposes of any or all of its Subject Shares to
any person not an affiliate or an associate of Parent or Purchaser or to the
Company or any affiliate thereof in connection with a Business Combination, or
(4) a TPG Stockholder realizes proceeds in respect of its Subject Shares as a
result of a distribution to such TPG Stockholder by the Company following the
sale of substantially all of the Company's assets in connection with a Business
Combination (each, a "Subsequent Transaction"), in each case at a per share
price or with equivalent per share proceeds (including, in the case of clause
(4), the market value of the Shares after giving effect to such transactions),
as the case may be (the "Subsequent Price"), having a value in excess of the Per
Share Amount, then the TPG Stockholder will promptly pay to Parent an amount
equal to one-half of the product of (x) the excess of the Subsequent Price over
the Per Share Amount multiplied by (y) the number of Subject Shares beneficially
owned (other than beneficially owned solely by reason of having a right to vote)
by such TPG Stockholder at the time a Business Combination is consummated (in
the case of clauses (1), (2) and (3)) or disposal by such TPG Stockholder (in
the case of clause (4)). Any non-cash consideration received by the TPG
Stockholder in a Subsequent Transaction will be valued at fair market value at
the time of receipt thereof by the TPG Stockholder. In the event of any stock
dividends, stock splits, recapitalizations, combinations, exchanges of shares or
the like or any other action that would have the effect of changing the TPG
Stockholder's ownership of the Company's capital stock or other securities, the
Per Share Amount will be appropriately adjusted for the purpose of this Section
3.5(a).
(b) Indemnification (i) If Shares are purchased in the Offer pursuant to
the terms of the Merger Agreement, Parent and Purchaser hereby jointly and
severally agree to indemnify fully, hold harmless and defend the TPG
Stockholders and their respective successors and assigns solely in such party's
capacity as a stockholder of the Company (collectively, the "Indemnitees") from
and against any and all costs and expenses (including, but not limited to,
reasonable attorneys' fees and the costs and expenses of investigating,
defending and litigating any claims), judgments, fines, losses, claims, damages
and liabilities to the extent sustained or incurred by any Indemnitee in
connection with any action, suit or proceeding by or on behalf of any
stockholder of the Company, other than any Indemnitee (a "Claim") arising out
of, relating to or based upon this Agreement or the Merger Agreement or the
transactions contemplated hereby or thereby; provided that the Indemnitee acted
in good faith in connection with the matters that are the subject of such Claim.
Notwithstanding anything contained in this Section 3.5(b), no claim for
indemnity under this Section 3.5(b) may be asserted by any Indemnitee arising or
resulting from (1) any breach by the Company of any representation, warranty or
covenant of the Company in the Merger Agreement or (2) any breach by any party
to this Agreement (other than by Parent or Purchaser) of any representation,
warranty or covenant in this Agreement.
(ii) Each Indemnitee shall give Parent notice in writing as soon as
practicable after Indemnitee receives notice of a Claim made against Indemnitee
for which indemnification will or could be sought under this Section 3.5(b).
Written notice to Parent shall be given in accordance with Section 6.6. The
failure to notify Parent as required pursuant to this paragraph (ii) will not
relieve Parent or Purchaser from any liability hereunder unless and to the
extent Parent or Purchaser did not otherwise learn of such action and such
failure results in the forfeiture by Parent or Purchaser of any significant
right or defense. In addition, Indemnitee shall give Parent such information and
cooperation as Parent may reasonably request in connection with the defense of
any Claim for which indemnification is sought under this Section 3.5(b).
(iii) Parent and Purchaser will be entitled to participate in the defense
of any Claim for which indemnification will or could be sought under this
Section 3.5(b) or to assume the defense thereof, with counsel reasonably
satisfactory to the Indemnitee, provided that in the event that (1) the use of
counsel chosen by Parent and Purchaser to represent Indemnitee would present
such counsel with an actual or potential conflict, (2) the named parties in any
such Claim (including any impleaded parties) include or is reasonably likely to
include both Parent or Purchaser and Indemnitee and Indemnitee shall conclude
that there may be one or more legal defenses available to it that are different
from or in addition to those available to Parent or Purchaser, or (3) any such
representation by Parent or Purchaser would be precluded under the applicable
standards of professional conduct then prevailing, then Indemnitee will be
entitled to retain separate counsel (but not more than one law firm for all
Indemnitees plus, if applicable, local counsel in respect of any particular
Claim) at Parent's expense. Parent and Purchaser will not, without the prior
written consent of the Indemnitee, effect any settlement of any threatened or
pending Claim which the Indemnitee is or could have been a party unless such
settlement solely involves the payment of money and includes an unconditional
release of the Indemnitee from all liability on any claims that are the subject
matter of or are related to such Claim.
(iv) Purchaser and Parent will not be liable under this Section 3.5(b) to
make any payment to an Indemnitee to the extent Indemnitee has otherwise
actually received payment (net of expenses incurred in connection therewith)
under any insurance policy, the certificate of incorporation or bylaws of the
Company or otherwise of the amounts otherwise indemnifiable hereunder.
IV. REPRESENTATIONS AND WARRANTIES
4.1 Certain Representations and Warranties of the Stockholders. Each
Stockholder, severally and not jointly, represents and warrants to Parent and
Purchaser, as of the date hereof , as of the Option Closing Date and as of the
Closing Date, as follows:
(a) Ownership. Such Stockholder is the sole record and beneficial owner of
the options to acquire Shares described on Schedule B hereto (the "Existing
Options") and will, upon exercise, have full and unrestricted power to dispose
of and to vote any Shares for which the Existing Options are exercisable
("Option Shares"). Such Stockholder is the sole record and beneficial owner of
the number of Shares set forth opposite such Stockholder's name on Schedule A
hereto, has full and unrestricted power to dispose of and to vote such Shares.
Such Shares are now, and at all times during the term hereof will be, and such
Option Shares will upon exercise and at all times thereafter during the term
hereof be, held by such Stockholder, or by a nominee or custodian for the
benefit of such Stockholder, free and clear of all Liens and proxies, except for
any Liens or proxies arising hereunder. The transfer by such Stockholder of its
SubjectShares to Purchaser or Parent pursuant to the Offer or the applicable
Option, respectively, will pass to and unconditionally vest in Purchaser or
Parent good and valid title to those Subject Shares, free and clear of all Liens
other than restrictions set forth under applicable securities laws. Except as
set forth opposite the Stockholder's name on Schedule A or Schedule B hereto,
such Stockholder (i) does not beneficially own any securities of the Company on
the date hereof; (ii) does not, directly or indirectly, beneficially own or have
any option, warrant or other right to acquire any securities of the Company that
are or may by their terms become entitled to vote or any securities that are
convertible or exchangeable into or exercisable for any securities of the
Company that are or may by their terms become entitled to vote, nor is the
Stockholder subject to any contract, commitment, arrangement, understanding or
relationship (whether or not legally enforceable), other than this Agreement,
that allows or obligates him to vote, dispose of or acquire any securities of
the Company; and (iii) holds exclusive power to vote the Subject Shares and has
not granted a proxy to any other Person to vote the Subject Shares, subject to
the limitations set forth in this Agreement.
(b) Power and Authority; Execution and Delivery. Each Stockholder that is
not a natural person is a limited partnership or corporation duly organized,
validly existing and in good standing under the laws of the State of Delaware.
The Stockholder has all requisite partnership, corporate or individual, as
applicable, power and authority to execute and deliver this Agreement and to
consummate the transactions contemplated hereby, and has taken all necessary
action to authorize the execution, delivery and performance of this Agreement.
This Agreement has been duly executed and delivered by the Stockholder and
constitutes a valid and binding obligation of the Stockholder, enforceable
against the Stockholder in accordance with its terms.
(c) No Conflicts. The execution and delivery of this Agreement do not, and,
subject to compliance with the HSR Act and appropriate filings under securities
laws (which each Stockholder agrees to make promptly), to the extent applicable,
the consummation of the transactions contemplated hereby and compliance with the
provisions hereof will not, conflict with, result in a violation or breach of,
or constitute a default (or an event that, with notice or lapse of time or both,
would result in a default) or give rise to any right of termination, amendment,
cancellation, notice or acceleration under, (i) the Stockholder's articles of
organization, partnership agreement or similar constituent documents, (ii) any
contract, commitment, agreement, understanding, arrangement or restriction of
any kind to which the Stockholder is a party or by which the Stockholder is
bound, (iii) any injunction judgment, writ, decree, order or ruling applicable
to the Stockholder or (iv) any law, statute, rule or regulation applicable to
the Stockholder; except in the case of clauses (ii) and (iii) for conflicts,
violations, breaches or defaults that would not (1) impair the ability of the
Stockholder to perform its obligations under this Agreement or (2) prevent or
delay the consummation of any of the transactions contemplated hereby.
(d) Brokers. Except as set forth in Section 4.10 of the Merger Agreement,
no broker, finder or investment banker is entitled to any brokerage, finder's or
other fee or commission in connection with the transactions contemplated by this
Agreement or the Merger Agreement based upon arrangements made by or on behalf
of the Stockholder that is or will be payable by the Company or any of its
Subsidiaries.
4.2 Representations and Warranties of Parent and Purchaser. Each of Parent
and Purchaser hereby represents and warrants, jointly and severally, to each
Stockholder, as of the date hereof and as of the Closing Date, that:
(a) Organization; Authority. Parent is a corporation duly organized and
validly existing under the laws of the jurisdiction of its incorporation.
Purchaser is a corporation duly organized, validly existing and in good standing
under the laws of the jurisdiction of its incorporation. Each of Parent and
Purchaser has the requisite corporate power and authority to execute and deliver
this Agreement and to consummate the transactions contemplated hereby, and has
taken all necessary corporate action to authorize the execution, delivery and
performance of this Agreement.
(b) Execution and Delivery. This Agreement has been duly executed and
delivered by Parent and Purchaser and, assuming that this Agreement constitutes
a valid and binding obligation of the other parties hereto, constitutes a valid
and binding obligation of Parent and Purchaser, enforceable against Parent and
Purchaser in accordance with its terms.
(c) No Conflicts. Neither the execution and delivery of this Agreement nor
the performance by Parent or Purchaser of its respective obligations hereunder
will conflict with, result in a violation or breach of, or constitute a default
(or an event that, with notice or lapse of time or both, would result in a
default) or give rise to any right of termination, amendment, cancellation, or
acceleration under, (i) Parent's or Purchaser's certificate of incorporation,
bylaws or similar constituent documents, (ii) any contract, commitment,
agreement, understanding, arrangement or restriction of any kind to which Parent
or Purchaser is a party or by which Parent or Purchaser is bound, (iii) any
judgment, writ, decree, order or ruling applicable to Parent or Purchaser, or
(iv) any law, statute, rule or regulation applicable to Parent or Purchaser;
except in the case of clauses (ii) and (iii) for conflicts, violations, breaches
or defaults that would not (1) impair the ability of Parent or Purchaser to
perform its obligations under this Agreement or (2) prevent or delay the
consummation of any of the transactions contemplated hereby.
(d) Securities Law Compliance. The Options and the Subject Shares to be
acquired upon exercise of the Options are being and will be acquired by Parent
without a view to public distribution thereof otherwise than in compliance with
the Securities Act and applicable state securities laws and will not be
transferred or otherwise disposed of except in a transaction registered or
exempt from registration under the Securities Act and in compliance with
applicable state securities laws. Neither Parent nor Purchaser will effect any
offer or sale of Subject Shares which would cause any Stockholder to violate the
registration requirements of the Securities Act or the registration or
qualification requirements of the securities laws of any jurisdiction.
V. CERTAIN COVENANTS OF STOCKHOLDERS
5.1 Restriction on Transfer of Subject Shares, Proxies and Noninterference.
No Stockholder will, directly or indirectly: (a) except pursuant to the terms of
this Agreement and for the conversion of Subject Shares at the Effective Time
pursuant to the terms of the Merger Agreement, offer for sale, sell, transfer,
tender, pledge, encumber, assign or otherwise dispose of, or enter into any
contract, option or other arrangement or understanding with respect to or
consent to the offer for sale, sale, transfer, tender, pledge, encumbrance,
assignment or other disposition of, any or all of such Stockholder's Subject
Shares other than any sale, transfer or assignment to members of such
Stockholder's family, a family trust of such Stockholder or a charitable
institution if the transferee of such Subject Shares agrees in writing to be
bound by the terms hereof and notice of such sale, transfer or assignment,
including the name and address of the purchaser, transferree or assignee, is
delivered to Parent pursuant to Section 6.6. hereof; (b) acquire any Shares or
other securities of the Company (other than in connection with a transaction of
the type described in Section 5.2 or the grant of Shares to Directors as
Director compensation in accordance with past practice) or enter into any
contract, option, arrangement or other undertaking with respect to the direct or
indirect acquisition of any interest in or the voting of any Subject Shares or
any other securities of the Company; (c) except pursuant to the terms of this
Agreement, grant any proxies or powers of attorney, deposit any Subject Shares
into a voting trust or enter into a voting agreement with respect to any Subject
Shares; or (d) take any action that would reasonably be expected to make any of
its representations or warranties contained herein untrue or incorrect or have
the effect of impairing the ability of such Stockholder to perform such
Stockholder's obligations under this Agreement or preventing or delaying the
consummation of any of the transactions contemplated hereby.
5.2 Adjustments. (a) In the event (i) of any stock dividend, stock split,
recapitalization, reclassification, combination or exchange of shares of capital
stock or other securities of the Company on, of or affecting the Shares or the
like or any other action that would have the effect of changing a Stockholder's
ownership of the Company's capital stock or other securities or (ii) a
Stockholder becomes the beneficial owner of any additional Shares or other
securities of the Company, then the terms of this Agreement will apply to the
shares of capital stock held by the Stockholder immediately following the
effectiveness of the events described in clause (i) or the Stockholder becoming
the beneficial owner thereof, as described in clause (ii), as though they were
Shares hereunder.
(b) Each Stockholder hereby agrees, while this Agreement is in effect, to
promptly notify Parent of the number of any new Shares acquired by the
Stockholder, if any, after the date hereof.
5.3 No Solicitation. No Stockholder will take, authorize or permit any of
its officers, directors, employees, agents or representatives (including any
investment banker, financial advisor, attorney or accountant for such
Stockholder) ("Representatives") to take, any action that the Company would be
prohibited from taking under the first sentence of Section 5.2(a) of the Merger
Agreement (disregarding for purposes of this Section 5.3 the proviso to such
sentence). Each Stockholder will, and will cause its Representatives to,
immediately cease all existing discussions or negotiations with respect to any
of the foregoing and promptly (and in any event within one business day) advise
Parent in writing of the receipt by such Stockholder of a request for
information or any inquiries or proposals relating to an Acquisition
Transaction. Notwithstanding any provision of this Section 5.3 or 5.6 to the
contrary, (a) if any Stockholder is a member of the Board of Directors of the
Company, such member of the Board of Directors of the Company may take actions
in such capacity to the extent permitted by Section 5.2 of the Merger Agreement,
and (b) if any Stockholder is an officer of the Company, such officer may take
actions in such capacity to the extent directed to do so by the Board of
Directors in compliance with Section 5.2 of the Merger Agreement.
5.4 Waiver of Appraisal Rights. Each Stockholder hereby waives any rights
of appraisal or rights to dissent from the Merger that such Stockholder may
have.
5.5 Nonexercise of Rights of First Refusal. No Stockholder will exercise
any purchase right or right of first refusal that it may have with respect to
any Shares of any other Person in connection with any tender by such other
Person of such Shares pursuant to the Offer.
5.6 Cooperation. Each Stockholder will cooperate fully with Parent,
Purchaser and the Company in connection with their respective reasonable best
efforts to fulfill the conditions to (a) the Offer set forth in Annex I to the
Merger Agreement and (b) the Merger set forth in Article VI of the Merger
Agreement.
5.7 Disclosure. Each Stockholder hereby authorizes Parent and Purchaser to
publish and disclose in the Offer Documents, any announcement or disclosure
required by the Australian Stock Exchange Listing Rules and, if approval of the
Company's stockholders is required under applicable law, the Proxy Statement
(including all documents and schedules filed with the SEC in connection with
either of the foregoing), its identity and ownership of the Shares and the
nature of its commitments, arrangements and understandings under this Agreement.
VI. MISCELLANEOUS
6.1 Fees and Expenses. Each party hereto will pay its own expenses incident
to preparing for, entering into and carrying out this Agreement and the
consummation of the transactions contemplated hereby.
6.2 Amendment; Termination. This Agreement may not be amended except by an
instrument in writing signed on behalf of each of the parties hereto. This
Agreement will terminate on the earliest to occur of (a) the consummation of the
purchase of all the Subject Shares pursuant to the Offer, (b) the Effective Time
or (c) the date the Merger Agreement is terminated in accordance with its terms.
This Agreement may be earlier terminated by the mutual consent of the Board of
Directors of Parent and the Stockholders representing a majority of the Subject
Shares subject to this Agreement. Except as set forth below, in the event of
termination of this Agreement pursuant to this Section 6.2, this Agreement will
become null and void and of no effect with no liability on the part of any party
hereto and all proxies granted hereby will be automatically revoked; provided,
however, that no such termination will relieve any party hereto from any
liability for any breach of this Agreement occurring prior to such termination.
Notwithstanding anything to the contrary contained in this Agreement, (a)
if this Agreement is terminated for any reason, Sections 3.5(a), 6.1, 6.5, 6.15
and 6.16 and this Section 6.2 will survive any termination of this Agreement
indefinitely and (b) if this Agreement is terminated pursuant to clause (a) or
(b) in the preceding paragraph, Section 3.5(b) will survive such termination for
a period of six years.
6.3 Extension; Waiver. Any agreement on the part of a party to waive any
provision of this Agreement, or to extend the time for any performance
hereunder, will be valid only if set forth in an instrument in writing signed on
behalf of such party. The failure of any party to this Agreement to assert any
of its rights under this Agreement or otherwise will not constitute a waiver of
such rights. Any waiver by any party of a breach of any provision of this
Agreement will not operate as or be construed as a waiver of any other breach of
such provision or of any breach of any other provision of this Agreement. The
failure of a party to insist upon strict adherence to any term of this Agreement
or one or more sections hereof will not be considered a waiver or deprive that
party of a right thereafter to insist upon strict adherence to that term or any
other term of this Agreement.
6.4 Entire Agreement; No Third-Party Beneficiaries; Several Obligations.
This Agreement and the Merger Agreement constitute the entire agreement among
the parties hereto with respect to the subject matter hereof, and supersede all
prior agreements and understandings, both written and oral, among the parties
with respect to such matters. Neither the Merger Agreement nor this Agreement is
intended to confer upon any Person other than the parties hereto any rights or
remedies. The obligations of, and the representations and warranties made by,
each Stockholder shall be several and not joint and shall relate only to such
Stockholder.
6.5 Governing Law. This Agreement will be governed by, and construed in
accordance with, the laws of the State of Delaware regardless of the laws that
might otherwise govern under applicable principles of conflict of laws thereof.
6.6 Notices. Any notice required to be given hereunder will be sufficient
if in writing, and sent by facsimile transmission and by courier service (with
proof of service), hand delivery or certified or registered mail (return receipt
requested and first-class postage prepaid), addressed as follows:
If to Parent or Purchaser:
Xxxxxx'x Brewing Group Limited
00 Xxxxxxxxx Xxxxxxxxx
Xxxxxxxxx Xxxxxxxx Xxxxxxxxx 3006
Attn: Company Secretary
Fax No.: 000-000-0000-0000
With copies to:
Xxxxx, Day, Xxxxxx & Xxxxx
000 Xxxxxxxxx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attn: Xxxxx X. X'Xxxxxx
Fax No.: 000-000-0000
If to any Stockholder:
000 Xxxxxxxx Xxxxxx
Xxxxx 0000
Xxxx Xxxxx, Xxxxx 00000
Attention: Xxxxxxx Xxxxxxxxx, Esq.
Fax No.: 000-000-0000
With copies to:
Cleary, Gottlieb, Xxxxx & Xxxxxxxx
Xxx Xxxxxxx Xxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attn: Xxxxx Xxxxxxxx
Fax No.: 000-000-0000
or to such other address as any party specifies by written notice, such notice
being deemed to have been delivered as of the date so telecommunicated,
personally delivered or mailed.
6.7 Assignment. Neither this Agreement nor any of the rights, interests, or
obligations under this Agreement may be assigned or delegated, in whole or in
part, by operation of law or otherwise, by any Stockholder without the prior
written consent of Parent or by Parent without the consent of the applicable
Stockholder (and then only with respect to such Stockholder), and any such
assignment or delegation that is not consented to will be null and void;
provided that this Agreement, together with any rights, interests, or
obligations of Parent hereunder, may be assigned or delegated, in whole or in
part, by Parent to any direct or indirect wholly owned subsidiary of Parent
without the consent of or any action by any Stockholder upon notice by Parent to
each Stockholder affected thereby as herein provided; provided further, however,
that any such assignment shall not relieve Parent of its obligations hereunder.
Subject to the preceding sentence, this Agreement will be binding upon, inure to
the benefit of, and be enforceable by, the parties and their respective
successors and assigns (including, without limitation, any Person to whom any
Subject Shares are sold, transferred or assigned).
6.8 Further Assurances. Each Stockholder will execute and deliver such
other documents and instruments and take such further actions as may be
necessary or appropriate or as may be reasonably requested by Parent in order to
ensure that Parent and Purchaser receive the full benefit of this Agreement.
6.9 Publicity. Parent, Purchaser, the Company and each Stockholder will
consult with each other party before issuing any press release or otherwise
making any public statements with respect to this Agreement or the Merger
Agreement or the other transactions contemplated hereby or thereby and will not
issue any such press release or make any such public statement before such
consultation, except as may be required by law or applicable stock exchange
rules.
6.10 Enforcement. Irreparable damage would occur in the event that any of
the provisions of this Agreement were not performed in accordance with their
specific terms or were otherwise breached. Accordingly, the parties will be
entitled to an injunction or injunctions to prevent breaches of this Agreement
and to enforce specifically the terms and provisions of this Agreement, this
being in addition to any other remedy to which they are entitled at law or in
equity.
6.11 Severability. Whenever possible, each provision or portion of any
provision of this Agreement will be interpreted in such a manner as to be
effective and valid under applicable law but if any provision or portion of any
provision of this Agreement is held to be invalid, illegal or unenforceable in
any respect under any applicable law or rule in any jurisdiction, such
invalidity, illegality or unenforceability will not affect any other provision
or portion of any provision in such jurisdiction, and this Agreement will be
reformed, construed and enforced in such jurisdiction as if such invalid,
illegal or unenforceable provision or portion of any provision had never been
contained herein.
6.12 Counterparts. This Agreement may be executed in one or more
counterparts, all of which will be considered one and the same instrument and
will become effective when one or more counterparts have been signed by each
party and delivered to the other parties.
6.13 Headings. The descriptive headings contained herein are for
convenience and reference only and will not affect in any way the meaning or
interpretation of this Agreement.
6.14 Remedies Not Exclusive. All rights, powers and remedies provided under
this Agreement or otherwise available in respect hereof at law or in equity will
be cumulative and not alternative, and the exercise of any thereof by either
party will not preclude the simultaneous or later exercise of any other such
right, power or remedy by such party.
6.15 Jurisdiction; Consent to Service of Process. (a) Each party hereto
hereby irrevocably and unconditionally submits, for itself and its property, to
the exclusive jurisdiction of the Chancery or other courts of the State of
Delaware (a "Delaware Court"), and any appellate court from any such court, in
any suit, action or proceeding arising out of or relating to this Agreement, or
for recognition or enforcement of any judgment resulting from any suit, action
or proceeding, and each party hereby irrevocably and unconditionally agrees that
all claims in respect of any such suit, action or proceeding may be heard and
determined in a Delaware Court.
(b) It will be a condition precedent to each party's right to bring any
such suit, action or proceeding that such suit, action or proceeding, in the
first instance, be brought in a Delaware Court (unless such suit, action or
proceeding is brought solely to obtain discovery or to enforce a judgment), and
if each such court refuses to accept jurisdiction with respect thereto, such
suit, action or proceeding may be brought in any other court with jurisdiction.
(c) No party may move to (i) transfer any such suit, action or proceeding
from a Delaware Court to another jurisdiction, (ii) consolidate any such suit,
action or proceeding brought in a Delaware Court with a suit, action or
proceeding in another jurisdiction, or (iii) dismiss any such suit, action or
proceeding brought in a Delaware Court for the purpose of bringing the same in
another jurisdiction.
(d) Each party hereby irrevocably and unconditionally waives, to the
fullest extent it may legally and effectively do so, (i) any objection which it
may now or hereafter have to the laying of venue of any suit, action or
proceeding arising out of or relating to this Agreement in a Delaware Court,
(ii) the defense of an inconvenient forum to the maintenance of such suit,
action or proceeding in any such court, and (iii) the right to object, with
respect to such suit, action or proceeding, that such court does not have
jurisdiction over such party. Each party irrevocably consents to service of
process in any manner permitted by law.
6.16 Waiver of Jury Trial. EACH OF THE PARTIES HERETO IRREVOCABLY
WAIVES ANY AND ALL RIGHT TO TRAIL BY JURY IN ANY LEGAL PROCEEDING ARISING OUR OF
OR RELATED TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY.
6.17 Fiduciary Duties. Each Stockholder is signing this Agreement solely in
such Stockholder's capacity as the beneficial owner of Subject Shares and
nothing contained herein shall limit or affect any actions taken by such
Stockholder in his or her capacity as an officer or director of the Company and
none of such actions in any such capacity shall be deemed to constitute a breach
of this Agreement.
IN WITNESS WHEREOF, each of the parties hereto has caused this Agreement to
be signed as of the day and year first written above.
XXXXX FAMILY TRUST
By: /s/ Xxxx X. Xxxxx
-----------------
Name: Xxxx X. Xxxxx
Title: Trustee
MOONE FAMILY TRUST
By: /s/ E. Xxxxxxx Xxxxx
--------------------
Name: E. Xxxxxxx Xxxxx
Title: Trustee
PRIVATE RESERVE LP
By: /s/ E. Xxxxxxx Xxxxx
--------------------
Name: E. Xxxxxxx Xxxxx
Title:
MOONE FAMILY FOUNDATION
By: /s/ E. Xxxxxxx Xxxxx
--------------------
Name: E. Xxxxxxx Xxxxx
Title: Trustee
MOONE ENTERPRISES LLP
By: /s/ E. Xxxxxxx Xxxxx
--------------------
Name: E. Xxxxxxx Xxxxx
Title:
XXXXXX'X BREWING GROUP LIMITED
By: /s/ Xxxxx X. Bobeff
-------------------
Name: Xxxxx X. Bobeff
Title: SVP Commercial Affairs
BORDEAUX ACQUISITION CORP.
By: /s/ Xxxxx X. Xxxxx
------------------
Name: Xxxxx X. Xxxxx
Title: Director
THE XXXXXX X. XXXXXXXXXX AND
XXXXX XXXXXXXXXX 1992 TRUST
By: /s/ Xxxxxx X. Xxxxxxxxxx
------------------------
Name: Xxxxxx X. Xxxxxxxxxx
Title: SVP Vineyard Operations
XXXXXX FAMILY TRUST
By: /s/ Xxxxxx X. Xxxx
------------------
Name: Xxxxxx X. Xxxx
Title: Trustee
VARE FAMILY PARTNERSHIP
By: /s/ Xxxxxx X. Xxxx
------------------
Name: Xxxxxx X. Xxxx
Title: Trustee
XXXXXXXX FAMILY TRUST
By: /s/ Xxxxxx X. Xxxxxxxx
----------------------
Name: Xxxxxx X. Xxxxxxxx
Title: Trustee
WINE PARTNERS, L.P.
By: TPG Advisors, Inc., its general partner
By: /s/ Xxxxx Xxxxxxx
-----------------
Name: Xxxxx Xxxxxxx
Title: Managing Director
TPG GENPAR, L.P.
By: TPG Advisors, Inc., its general partner
By: /s/ Xxxxx Xxxxxxx
-----------------
Name: Xxxxx Xxxxxxx
Title: Managing Director
TPG PARALLEL I, L.P.
By: TPG GenPar, L.P., its general partner
By: TPG Advisors, Inc., its general partner
By: /s/ Xxxxx Xxxxxxx
-----------------
Name: Xxxxx Xxxxxxx
Title: Managing Director
TPG PARTNERS, L.P.
By: TPG GenPar, L.P., its general partner
By: TPG Advisors, Inc., its general partner
By: /s/ Xxxxx Xxxxxxx
-----------------
Name: Xxxxx Xxxxxxx
Title: Managing Director
/s/ Xxxxxxx X. Xxxxx
--------------------
Xxxxxxx X. Xxxxx
/s/ Xxxxx Xxxxxxxxxxxxxx
------------------------
Xxxxx Xxxxxxxxxxxxxx
/s/ Xxxx X. Xxxxx
-----------------
Xxxx X. Xxxxx
/s/ Xxxxxxx X. Xxxxxx
---------------------
Xxxxxxx X. Xxxxxx
/s/ Xxxxxxx X. Xxxxxxx
----------------------
Xxxxxxx X. Xxxxxxx
/s/ E. Xxxxxxx Xxxxx
--------------------
E. Xxxxxxx Xxxxx
/s/ Xxxxx Xxxxxx
----------------
Xxxxx Xxxxxx
/s/ Xxxxxx X. Xxxx
------------------
Xxxxxx X. Xxxx
/s/ Xxxxxxx X. Xxxxxx
---------------------
Xxxxxxx X. Xxxxxx
/s/ Xxxxx X. Xxxxxx
-------------------
Xxxxx X. Xxxxxx
/s/ Xxxxxx X. Xxxxxx
--------------------
Xxxxxx X. Xxxxxx
/s/ Xxxxxx X. Xxxxx
-------------------
Xxxxxx X. Xxxxx
/s/ Xxxxx Tor Kenwood
---------------------
Xxxxx Tor Kenwood
/s/ Xxxxxx Xxxxxxxx
-------------------
Xxxxxx Xxxxxxxx
/s/ Xxxxxx X. Xxxxxxxx
----------------------
Xxxxxx X. Xxxxxxxx
/s/ Xxxxx Xxxxx
---------------
Xxxxx Xxxxx
/s/ Xxxxxx Sbagia
-----------------
Xxxxxx Sbagia
/s/ Xxxxxx X. Xxxxxxxxxx
------------------------
Xxxxxx X. Xxxxxxxxxx
/s/ Xxxxxxx X. Xxxxxxxx
-----------------------
Xxxxxxx X. Xxxxxxxx
/s/ Xxxxxxx X. Xxxxxx
---------------------
Xxxxxxx X. Xxxxxx
/s/ Xxxxx X. Xxxxxxx
--------------------
Xxxxx X. Xxxxxxx
SCHEDULE A
----------
STOCKHOLDER CLASS A SHARES CLASS B SHARES TOTAL A & B
----------- -------------- -------------- -----------
Xxxxxxx Xxxxx 0 2,685 2,685
Xxxxx Xxxxxxxxxxxxxx 0 6,203 6,203
Xxxx X. Xxxxx 0 8,498 8,498
Xxxxx Family Trust 0 149,540 149,540
Xxxxxxx Xxxxxx 0 3,083 3,083
E. Xxxxxxx Xxxxx 0 8,795 8,795
Moone Family Trust 28,000 0 28,000
Private Reserve LP 0 202,068 202,068
Moone Family Trust 0 261,410 261,410
Moone Family Foundation 0 8,245 8,245
Moone Enterprises LLP 0 17,359 17,359
Xxxxx Xxxxxx 0 2,761 2,761
Xxxxxx Family Trust 0 22,287 22,287
Xxxxxx X. Xxxx 14,000 127,673 141,673
Vare Family Partnership 0 66,106 66,106
Xxxxxxx X. Xxxxxx 796 21,651 22,447
Xxxxx X. Xxxxxx 0 7,000 7,000
Xxxxxx X. Xxxxxx 630 26,130 26,760
Xxxxx Tor Xxxxxxx 796 16,445 17,241
Xxxxxx X. Xxxxx 3,980 65,600 69,580
Xxxxxx Xxxxxxxx 0 7,000 7,000
Xxxxxxxx Family Trust 0 29,728 29,728
Xxxxxxx X. Xxxxxxx 316 10,687 11,003
Xxxxxx Xxxxxxx 1,856 0 1,856
Xxxxx Xxxxx 0 1,928 1,928
Xxxxxx X. Xxxxxxxxxx 1,856 0 1,856
The Xxxxxx X. Xxxxxxxxxx and 0 39,826 39,826
Xxxxx Xxxxxxxxxx 1992 Trust
Xxxxxxx X. Xxxxxxxx 398 295 693
Xxxxxxx X. Xxxxxx 0 31,244 31,244
Wine Partners, L.P. 68,956 0 68,956
TPG Partners, L.P. 1,083,012 7,520,876 8,603,888
TPG Parallel I, L.P. 107,934 749,537 857,471
TPG GenPar, L.P. 0 11,692 11,692
TOTAL 1,312,530 9,426,352 10,738,882
** Excludes one Class B Common Share owned by each designated party. Parent and
Purchaser hereby acknowledge that this Class B Common Share is not part of this
Agreement and does not constitute a breach of the agreements and representations
and warranties of the Stockholder contained herein.
SCHEDULE B
----------
STOCKHOLDER OPTIONS TO PURCHASE SHARES
----------- --------------------------
Xxxxxxx Xxxxx 0
Xxxxx Xxxxxxxxxxxxxx 0
Xxxx X. Xxxxx 0
Xxxxx Family Trust 0
Xxxxxxx Xxxxxx 0
E. Xxxxxxx Xxxxx 0
Moone Family Trust 0
Private Reserve LP 0
Moone Family Trust 0
Moone Family Foundation 0
Moone Enterprises LLP 0
Xxxxx Xxxxxx 0
Xxxxxx Family Trust 0
Xxxxxx X. Xxxx 0
Vare Family Partnership 0
Xxxxxxx X. Xxxxxx 63,892
Xxxxx X. Xxxxxx 30,000
Xxxxxx X. Xxxxxx 45,806
Xxxxx Tor Xxxxxxx 54,892
Xxxxxx X. Xxxxx 249,584
Xxxxxx Xxxxxxxx 25,000
Xxxxxx X. Xxxxxxxx 33,342
Xxxxxxxx Family Trust 0
Xxxxxxx X. Xxxxxxx 60,500
Xxxxxx Xxxxxxx 112,374
Xxxxx Xxxxx 138,000
Xxxxxx X. Xxxxxxxxxx 90,317
The Xxxxxx X. Xxxxxxxxxx and
Xxxxx Xxxxxxxxxx 1992 0
Trust
Xxxxxxx X. Xxxxxxxx 62,517
Xxxxxxx X. Xxxxxx 23,750
Xxxxx X. Xxxxxxx 135,000
Wine Partners, L.P. 0
TPG Partners, L.P. 0
TPG Parallel I, L.P. 0
TPG GenPar, L.P. 0
TOTAL 1,124,974
