NONDISCLOSURE AGREEMENT
EXHIBIT
(e)(6)
NONDISCLOSURE
AGREEMENT
THIS NONDISCLOSURE AGREEMENT (this “Agreement”), dated
as of June 11, 2008, is made by and between eTelecare
Global Solutions, Inc., a Philippines corporation
(“eTelecare”) and NewBridge International Investment
Ltd, a British Virgin Islands company (“Buyer”).
RECITALS
WHEREAS, Buyer and eTelecare (together, the “Parties”
and each individually, a “Party”) desire to enter into
discussions related to a possible business combination or change
in control transaction (the “Possible Transaction”),
and these discussions will of necessity involve the disclosure
by one Party (the “Disclosing Party”) to the other
Party (the “Receiving Party”) of confidential and
proprietary information; and
WHEREAS, the Parties desire to (i) keep their discussions
and the nature and scope thereof confidential; and
(ii) reflect their agreement on certain matters relating to
the disclosure of such information and the confidentiality of
the discussions in general.
NOW, THEREFORE, in consideration of the mutual covenants and
agreements set forth in this Agreement, and for other good and
valuable consideration, the receipt and sufficiency of which arc
hereby acknowledged, the Parties agree as !allows:
1. Definitions. The following terns shall
have the meanings set forth below:
1.1 “Confidential Information” includes
all non-public information, whether written or oral (whatever
the form or storage medium), or gathered by inspection, or
acquired by one Party or its Representatives from the other
Party or its Representatives regarding such Party or its
business in connection with a Possible Transaction after the
date hereof, regardless of whether such information is
specifically identified as “confidential” and shall
also include the portions of all notes, analyses, compilations,
studies, forecasts, interpretations or other documents prepared
by the Receiving Party to the extent that they contain, reflect
or are based upon, in whole or in part, the information
delivered, disclosed or furnished to the Receiving Party
pursuant hereto. “Confidential Information” shall also
include statements regarding, or summaries or descriptions of,
the existence of negotiations regarding or progress of the
Possible Transaction. The term “Confidential
Information” does not include information which
(i) was known to the Receiving Party or its Representatives
or was in its or its Representatives possession prior to the
date of its disclosure pursuant to this Agreement; (ii) is
or becomes generally available to the public or individuals in
the industry in which such Party operates, other than through an
unauthorized disclosure by the Receiving Party or its
Representatives in violation of this Agreement;
(iii) becomes available to the Receiving Party or its
Representatives from a source other than the Disclosing Party or
its Representatives, provided that the Receiving Party does not
know that such source is prohibited from transmitting such
Confidential Information to the Receiving Party by a
contractual, legal or fiduciary obligation to the Disclosing
Party or its Representatives; or (iv) is independently
developed by the Receiving Party or any of its Representatives.
The term “Confidential Information” shall not apply to
any non-public information, whether written or oral (whatever
the form of the storage medium), that is made available or
provided or becomes known to Xx. Xxxxxxx X. Xxxxx in his
capacity, or in connection with the performance of his duties,
as a director of eTelecare, except to the extent such
information is disclosed to Buyer or its Representatives (other
than Xx. Xxxxx), in which case it shall be Confidential
Information with respect to Buyer or such Representatives (other
than Xx. Xxxxx). Similarly, the terms of this Agreement
shall apply to Xx. Xxxxx only to the extent he acts as a
Representative of Buyer and this Agreement shall in no way
restrict, limit or otherwise apply to Xx. Xxxxx in his
capacity, or in connection with the performance of his duties,
as a director of eTelecare.
1.2 “person” shall be broadly interpreted
to include, without limitation, any individual, corporation,
company, group, partnership, limited liability company or other
entity.
1.3 “Representatives” means a Party and
its affiliates, and its and their respective directors,
officers, employees, agents, potential partners, co-investors or
other financing sources, or representatives, including, without
limitation, its and their respective attorneys, accountants,
consultants and financial advisors.
1.4 “affiliates” when used in connection
with the Buyer, shall include Xxxxx Corporation, a Philippine
corporation.
2. Confidential Information. Each Party
recognizes and acknowledges that damage could result if the
Confidential Information were used or disclosed other than as
permitted by this Agreement. Except as otherwise required by
applicable law or regulatory authority, each Party agrees to
keep confidential and not disclose, and cause its
Representatives (excluding any Representative who executes a
separate confidentiality agreement with eTelecare or its
affiliates) to keep confidential and not disclose, to any person
the Confidential Information it or its Representatives receives
from the other Party or its Representatives without the
Disclosing Party’s prior written consent, except as
provided below. The Receiving Party or its Representatives shall
be entitled to disclose the Confidential Information of the
Disclosing Party and provide copies of the same, without the
Disclosing Party’s prior written consent, to those
Representatives of the Receiving Party who need to know such
Confidential Information solely for the purpose of evaluating
the Possible Transaction. The Receiving Party shall be
responsible for any violations of the confidentiality provisions
of this Agreement caused by any of the Receiving Party’s
Representatives, except to the extent any such Representative
executes a separate confidentiality agreement with eTelecare or
its affiliates in which case the Buyer shall not be responsible
for any such violations.
3. Use of Confidential Information for Evaluation
Disclosure. Neither the Receiving Party nor any
of its Representatives shall use the Confidential Information
for any purpose other than evaluation of the Possible
Transaction. Except as otherwise set forth in this Agreement,
the restrictions on use of Confidential Information in this
Agreement shall extend until such time, if ever, the
Confidential Information becomes publicly available (otherwise
than through a breach of this Agreement). Except to the extent a
Party’s legal counsel advises the Party that disclosure is
required by applicable law or regulatory authority, without the
prior written consent of the other Party, neither Party will,
and will direct the respective Party’s Representatives not
to, disclose to any other person that such Confidential
Information has been requested or made available, that
discussions or negotiations are taking place concerning the
Possible Transaction, or any of the terms, conditions or other
facts with respect to the Possible Transaction, including the
status thereof, or the terms of this Agreement.
4. Requested Disclosure of Confidential
Information. In the event that a Receiving Party
or anyone to whom the Receiving Party transmits such
Confidential Information pursuant to this Agreement is legally
requested (by oral questions, interrogatories, request for
information or documents, subpoena, civil investigative demand
or similar process) or otherwise required to disclose any
Confidential Information of a Disclosing Party (including
disclosure requirements under the United States Securities Act
of 1933, as amended, or the United States Securities Exchange
Act of 1934, as amended, or in each case the rules and
regulations promulgated thereunder, or any applicable laws,
rules and regulations under the laws of the Philippines), the
Receiving Party will provide the Disclosing Party, to the extent
possible, with notice, prior to disclosing such Confidential
Information, so that the Disclosing Party may, at the Disclosing
Party’s expense, seek an appropriate protective order
and/or waive
compliance with this Agreement. If, in the absence of a
protective order or the receipt of a waiver hereunder, the
Receiving Party is nonetheless obligated as a result of such
legal request or other requirement to disclose such Confidential
Information, it may, without violating its obligations under
this Agreement, furnish only that portion of such Confidential
information that such Party is obligated to disclose and agrees
to use commercially reasonable efforts to obtain assurance that
confidential treatment will be accorded such Confidential
Information.
5. No License; Use. Neither the execution
of this Agreement, nor the furnishing of any materials or
Confidential Information hereunder, shall be construed as
granting or conferring any license or other rights to the other
Party, either expressly or by implication, estoppel or
otherwise, with respect to any trademark, patent, copyright,
technological information or other information, or other
intellectual property.
6. Ownership of Confidential
Information. The Confidential Information shall
remain the property of the Disclosing Party, and the Disclosing
Party may demand the return or destruction thereof at any time
by written notice to the Receiving Party. Upon receipt of such
notice, the Receiving Party shall, at the Receiving Party’s
option, either (a) return to the Disclosing Party all
physical documents, drawings, data, memoranda and other written
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materials together with any tapes and computer stored
information, including any copies thereof, embodying, containing
or relating to the Disclosing Party’s Confidential
information, in the possession of the Receiving Party or its
Representatives; or (b) destroy and cause each of its
Representatives to destroy all copies of any such materials or
the parts thereof embodying, containing or relating to such
other party’s Confidential Information (provided that the
Receiving Party may retain on a confidential basis one copy of
the Confidential Information in order to comply with legal,
regulatory, or policy requirements and any electronic
information (including emails and attachments) may be retained
in backup servers if it is not intentionally made available to
any person, and is retained in accordance with the Receiving
Party’s normal policies with respect to the electronic
retention of records). The Receiving Party will keep
confidential any copies, extracts or other reproductions in
whole or in part of any such materials which it is not
practicable to destroy. Upon written request by the Disclosing
Party, a senior officer of the Receiving Party shall certify
within a reasonable time following such request that the
destruction of Confidential Information in compliance with this
paragraph was completed. Notwithstanding the return or
destruction of the Confidential Information, each Party and its
Representatives shall continue to be bound by the obligations of
confidentiality and other obligations and agreements hereunder.
7. Communications; Nonsolicit. In
consideration of the Confidential Information being furnished to
the Receiving Party, the Receiving Party hereby agrees that, for
a period of two years from the date of this Agreement, the
Receiving Party and its affiliates will not, without the prior
written consent of the Disclosing Party: solicit to employ or
actually employ (A) any person now employed by the
Disclosing Party in an executive or management level position or
(B) any of the employees of the Disclosing Party with whom
the Receiving Party or its Representatives have had contact with
during the negotiations regarding the Possible Transaction.
Until the earliest of (i) the execution by Buyer or one of
its affiliates of a final definitive agreement regarding a
Possible Transaction with eTelecare or (ii) two years from
the date of this Agreement, Buyer agrees not to initiate or
maintain any contact (except for those contacts made in the
ordinary course of business or apart from a Possible
Transaction) with any officer or employee of eTelecare or its
subsidiaries, regarding the Possible Transaction or
eTelecare’s business, operations, prospects or finances,
except with the express permission of eTelecare, Xxxxxx
Xxxxxxx & Co. Incorporated (“Xxxxxx
Xxxxxxx”) will arrange for appropriate contacts with
officers and employees of eTelecare for due diligence purposes.
Buyer should submit or direct to Xxxxxx Xxxxxxx all
communications regarding the Possible Transaction, including
questions regarding procedures, requests for due diligence
information and requests for management meetings or other
contact with officers and employees of eTelecare.
This Section 7 will not restrict a Party or its affiliates
from conducting any general solicitations for employees
(including through the use of employment agencies) not
specifically directed at the other Party, its employees or
members, and will not restrict a Party or its affiliates from
hiring any person who (i) responds to any such general
solicitation; (ii) contacts a Party on his or her own
initiative without any solicitation by or encouragement from
such Party or (iii) has not been employed by the non-hiring
Party during the preceding six months.
8. Material Non-Public Information. Buyer
acknowledges and agrees that it is aware (and that its
Representatives are aware) that (i) the Confidential
Information being furnished to Buyer or its Representatives
contains or may itself be material, non-public information
regarding eTelecare and (ii) the United States and
Philippines securities laws prohibit any persons who have
material, nonpublic information concerning eTelecare, including
the Confidential Information, from purchasing or selling
securities of eTelecare or from communicating such information
to any person under circumstances in which it is reasonably
foreseeable that such person is likely to purchase or sell such
securities in reliance upon such information.
9. No Agreement. Each Party understands
and agrees that no contract or agreement providing for any
Possible Transaction shall be deemed to exist between the
parties hereto unless and until a final definitive agreement has
been executed and delivered, and each party hereby waives, in
advance, claims seeking enforcement of a binding agreement in
connection with any transaction unless and until the parties
shall have entered into a final definitive agreement. Each Party
also agrees that unless and until a final definitive agreement
regarding a Possible Transaction has been executed and
delivered, neither party will be under any legal obligation of
any kind whatsoever with respect to such a Possible Transaction
by virtue of this letter agreement except for the matters
specifically agreed to herein. Buyer further acknowledges and
agrees that eTelecare reserves the right, in its sole
discretion, to reject any and all proposals made by Buyer or any
of its Representatives with regard to a Possible
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Transaction, to determine not to engage in discussions or
negotiations and to terminate discussions and negotiations with
Buyer at any time, and to conduct, directly or through any of
its Representatives, any process for any transaction involving
eTelecare or any of its subsidiaries, if and as they in their
sole discretion shall determine (including, without limitation,
negotiating with any other interested parties and entering into
a definitive agreement without prior notice to Buyer or any
other person).
10. No Warranties. The Receiving Party
acknowledges that neither the Disclosing Party nor its
Representatives makes any representation or warranty hereunder,
as to the accuracy or completeness of any Confidential
Information of the Disclosing Party or other information
disclosed pursuant to this Agreement. The Receiving Party agrees
that neither the Disclosing Party nor its Representatives shall
have any liability hereunder to the Receiving Party or to any of
the Receiving Party’s Representatives as a result of the
use of such Confidential Information by the Receiving Party and
the Receiving Party’s Representatives, it being understood
that only those particular representations and warranties that
may be made to the Receiving Party by the Disclosing Party or
its affiliates in a definitive transaction agreement, when, as
and if it is executed, and subject to such limitations and
restrictions as may be specified in such definitive agreement,
shall have any legal effect.
11. Notices. All notices, requests,
consents, and other communications required or permitted
hereunder shall be in writing and shall be personally delivered,
mailed using first-class, registered, or certified mail, postage
prepaid, sent using a nationally recognized overnight courier or
faxed to the following addresses or to such other address as the
parties hereto may designate in writing:
eTELECARE:
eTelecare Global Solutions, Inc.
0000 Xxxxxxxx Xxxxx, Xxxxx 000
Xxxxxxxxxx, XX 00000
Xxxxxx Xxxxxx
Attn: Xxxx Xxxxxx, President
Fax: (000) 000-0000
0000 Xxxxxxxx Xxxxx, Xxxxx 000
Xxxxxxxxxx, XX 00000
Xxxxxx Xxxxxx
Attn: Xxxx Xxxxxx, President
Fax: (000) 000-0000
with a copy to (which shall not constitute delivery):
Pillsbury Xxxxxxxx Xxxx Xxxxxxx LLP
0000 Xxxxxxx Xxxxxx
Xxxx Xxxx, XX 00000
Attn: Xxx Xxxxxxx
Fax: (000) 000-0000
0000 Xxxxxxx Xxxxxx
Xxxx Xxxx, XX 00000
Attn: Xxx Xxxxxxx
Fax: (000) 000-0000
BUYER:
NewBridge International Investment Ltd
c/x Xxxxx Corporation
32/F Tower One Exchange Plaza, Xxxxx Avenue
Makati City, Metro Manila, Philippines 1226
Attn: Xxxxxxx X. Xxxxxxxxx
Fax: (000) 0000000
c/x Xxxxx Corporation
32/F Tower One Exchange Plaza, Xxxxx Avenue
Makati City, Metro Manila, Philippines 1226
Attn: Xxxxxxx X. Xxxxxxxxx
Fax: (000) 0000000
with a copy to (which shall not constitute delivery):
Xxxxx Xxxx & Xxxxxxxx
000 Xxxxxxxxx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attn: Xxxx Xxxxxx
Fax: (000) 000-0000
000 Xxxxxxxxx Xxxxxx
Xxx Xxxx, Xxx Xxxx 00000
Attn: Xxxx Xxxxxx
Fax: (000) 000-0000
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All such notices, requests, consents and other communications
shall be deemed to be properly given if delivered (a) if
delivered personally to the address as provided in this Section,
be deemed given upon delivery, (b) if delivered by
facsimile transmission to the Facsimile number as provided for
in this Section, be deemed given upon facsimile confirmation,
(c) if sent by mail, upon delivery and (d) if
delivered by overnight courier to the address as provided in
this Section upon receipt. Any Party from time to time may
change its address, facsimile number or other information for
the purpose of notices to that party by giving notice specifying
such change to the other Party hereto.
12. Severability. If any term or
provision of this Agreement is held by a court of competent
jurisdiction to be invalid, void or unenforceable, the remainder
of the terms and provisions of this Agreement shall remain in
full force and effect and shall in no way be affected, impaired
or invalidated.
13. Entire Agreement: Amendments. This
Agreement comprises the full agreement between the Parties
concerning the Confidential Information. This Agreement
supersedes any prior understandings or agreements, regardless of
form, between the Parties with respect to the Confidential
Information. No amendments, changes or modifications may be made
to this Agreement without the express written consent of each of
the Parties hereto.
14. Governing Law and Venue. This
Agreement and all matters related thereto shall be governed by
and construed in accordance with the laws of the State of New
York, applicable to contracts made and to be performed therein,
without giving effect to its principles or rules regarding
conflicts of laws, other than such principles directing
application of New York law. The state and federal courts
located in New York shall have exclusive jurisdiction and venue
over any dispute arising out of or relating to this Agreement,
and each Party consents to the personal jurisdiction and venue
of these courts, and each agrees that all proceedings relating
hereto will be brought in courts located in the State of New
York.
15. Remedies; Legal Fees. Each Party
acknowledges that the other may be irreparably injured if the
Receiving Party breaches any of its obligations under this
Agreement.
The Parties each agree that money damages may not be a
sufficient remedy for any breach of this Agreement and that, in
the event of a breach by a Party or its Representatives, the
other Party shall be entitled to seek equitable relief,
including injunction and specific performance as a remedy for
such breach (without any obligation of such Party to post any
bond or other surety in connection therewith). Such remedies
shall not be deemed to be the exclusive remedies for a breach of
this Agreement by a Party or its Representatives but shall be in
addition to all other remedies available at law or equity to the
non-breaching Party in the event of litigation relating to this
Agreement, if a court of competent jurisdiction determines that
a Party or any of its Representatives have breached this
Agreement, then such Party shall be liable and pay to the other
Party the reasonable legal fees incurred by the other Party in
connection with such litigation, including any appeal therefrom.
16. Waiver. Each Party understands and
agrees that no failure or delay by the other Party in exercising
any right, power or privilege under this Agreement shall operate
as a waiver thereof nor shall any single or partial exercise
thereof preclude any other or future exercise of any right,
power or privilege hereunder.
17. Term of Agreement. This Agreement
shall terminate on the earlier to occur of (i) the closing
of the Possible Transaction and (ii) two years from the
date hereof.
18. Binding Effect. No Recourse. This
Agreement shall benefit and be binding upon the Parties and
their respective successors and assigns. No past, present or
future director, officer, employee, member, shareholder,
incorporator, partner,
and/or
affiliate of the Parties or any affiliate thereof who is an
individual shall have any liability for any obligations of the
parties hereto under this agreement or for any claim based on,
in respect of or by reason of such obligations or their creation.
19. Construction. This Agreement has been
negotiated by the Parties and their respective attorneys, and
the language of this Agreement shall not be construed for or
against either Party.
20. Counterparts; Facsimile
Signatures. This Agreement may be executed in two
or more counterparts, each of which shall be binding as of the
date first written above. Each such copy shall be deemed an
original, and it shall not be necessary in making proof of this
Agreement to produce or account for more than one such
counterpart. This Agreement may be executed and delivered by
facsimile or by other electronic means (such as a .pdf file or
other
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electronic file) and upon such delivery the signature delivered
thereby will be deemed to have the same effect as if the
original signature had been delivered to the other party. The
original signature copy shall be delivered to the other party by
overnight courier. The failure to deliver the original signature
copy and/or
the nonreceipt of the original signature copy shall have no
effect upon the binding and enforceable nature of this Agreement.
[remainder of page intentionally left blank; signature page
follows]
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IN WITNESS WHEREOF, this Nondisclosure Agreement has been
executed by the parties hereto as of the day and year first
written above.
a Philippine corporation
By: |
/s/ Xxxx
X. Xxxxxxxxx
|
Name: Xxxx X. Xxxxxxxxx
Title: | Chairman of the Board |
NEWBRIDGE INTERNATIONAL INVESTMENT LTD
By: |
/s/ Xxxxxx
X. Xxxxxx
|
Name: Xxxxxx X. Xxxxxx
Title: | Director, Corporate Secretary and |
Attorney-in-Fact
By: |
/s/ Xxxxxxx
X. Xxxxxxxxx
|
Name: Xxxxxxx X. Xxxxxxxxx
Title: | Attorney-in-Fact |
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