AGREEMENT
Exhibit 10.20
THIS AGREEMENT is executed on November 29, 2022, to confirm and document certain actions completed and agreements made by and among: (i) JP Outfitters, LLC, a Delaware limited liability company (“JPO”), (ii) Sterling Apparel Limited, a Hong Kong limited company (“Sterling”). and (iii) Santai Global Asset Management, Ltd. fka Santai Biotechnology Research Institute Company Limited, a Hong Kong limited company (“Santai”). JPO, Xxxxxxxx, and Xxxxxx referred to herein individually as a “Party” and collectively as the “Parties”.
BACKGROUND
X. XXX and Xxxxxx entered into a Capital Contribution Acknowledgement and Consent dated September 14th, 2022 (“CCAC”).
B. The CCAC described certain actions taken with respect to amounts owed to Sterling by JPO and payments by Santai to Sterling which affect the capital of Santai in JPO. The CCAC is hereby incorporated herein by reference.
In light of the Background described above, the Parties hereby acknowledge and consent to the following:
1. Xxxxxxxx has sold and supplied apparel and other items to JPO.
2. JPO had a trade payable to Sterling in the amount of about $10 million as of October 31, 2022
3. After taking into consideration the effect of the CCAC, Xxxxxx has agreed to acquire from Sterling the trade payable due to Sterling by JPO in the amount of US$5,500,000, reducing the debt due to Sterling by JPO in a like amount and increasing a debt due Sterling by Xxxxxx in a like amount.
4. Xxxxxx now agrees to convert the receivable of $5,500,000 from JPO it just acquired from Sterling into capital contribution to JPO. Hereafter, JPO will convert $5,500,000 of its debt into equity, and Xxxxxx will record a payable to Sterling of $5,500,000.
5. From time to time after hereafter, Xxxxxx may agree to pay additional amounts to Sterling or acquire debts payable to Xxxxxxxx on behalf of JPO.
6. Xxxxxxxx and JPO have agreed to determine a repayment schedule for JPO to pay off the balance of its accounts payable due to Xxxxxxxx.
Signature Page to Acknowledgement and Consent
| JP OUTFITTERS, LC | ||
| By: | /s/ Xxxxxx Xxxxx | |
| Name: | Xxxxxx Xxxxx |
|
| Title: | Managing director | |
| STERLING APPAREL LIMITED | ||
| By: | /s/ Xxxx Xxx Xxx Xxxxx | |
| Name: | Xxxx Xxx Xxx Xxxxx |
|
| Title: | Executive Director and Chief Executive officer | |
| SANTAI GLOBAL ASSET MANAGEMENT. LTD FKA SANTAI BIOTECHNOLOGY RESEARCH INSTITUTE COMPANY LIMITED | ||
| By: | /s/ Xxxx Xxx Xxx Xxxxxxx | |
| Name: | Xxxx Xxx Xxx Xxxxxxx |
|
| Title: | Director | |
