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Form #1236Merger
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merger
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"A" type.
This Plan of Merger dated _________, is by and between
Merger Corporation, a _________ corporation and a wholly-owned subsidiary of TM
Inc., a _________ corporation ("Merger Co."), and TXL, a _________
corporation (" TXL"), such corporations being collectively referred
to below as the "Constituent Corporations."
Recitals
Merger Co. is a corporation organized and existing
under the laws of the state of _________, having an authorized capital of
_________ shares of common stock, par value $_____ per share, (the "Common
Stock of Merger Co."), of which _________ shares are issued and
outstanding as of the date of this contract;
TXL is a corporation duly organized and existing under
the laws of the state of _________ having an authorized capitalization which
consists of _________ shares of preferred stock, par value $_____, of which no
shares are issued and outstanding; _________ shares of voting common stock, no
par value, of which _________ shares are issued and outstanding (the
"Common Stock of TXL"); and _________ shares of Class A non-voting
common stock, no par value, of which no shares are issued and outstanding;
The respective boards of directors of Merger Co. and
TXL have each approved this Plan of Merger (the "Plan") providing for
the merger of Merger Co. with and into TXL with TXL as the surviving
corporation as authorized by the statutes of the state of _________;
TXL and T, Inc., a _________ corporation
("T"), have entered into an Agreement and Plan of Reorganization (the
"Reorganization Agreement") dated as of _________, setting forth
certain representations, warranties, covenants, agreements, and conditions in
connection with the merger;
T owns all the issued and outstanding voting
securities of Merger Co.
Agreement
In consideration of the premises and the mutual
covenants and agreements contained in this agreement, and for the purpose of
setting forth the terms and conditions of the merger and the manner and basis
of causing the shares of TXL to be converted into shares of common stock of T,
par value $_____ per share (the "Exchanged T Stock") and such other
provisions as are deemed necessary or desirable, the parties have agreed,
subject to the approval and adoption of this Plan by the requisite vote of the
stockholders of each Constituent Corporation, and subject to the conditions set
forth below, as follows:
Article I.
Merger and Name of Surviving Corporation
On the Effective Date of the merger, Merger Co. shall
be merged with and into TXL, which is designated as the "Surviving
Corporation," the name of which on the Effective Date of the merger shall
be " TXL, Ltd.," or such other name as may be available and the
parties may agree to.
Article II.
Terms and Conditions of Merger
The terms and conditions of the merger are (in
addition to those set forth elsewhere in this Plan) as follows:
(a). On the Effective Date of the merger:
(1). Merger Co. shall be merged into TXL to form a
single corporation and TXL shall be designated as the Surviving Corporation.
(2). The separate existence of Merger Co. shall cease.
(3). The Surviving Corporation shall have all the
rights, privileges, immunities, and powers and shall be subject to all duties
and liabilities of a corporation organized under the _________ Corporation
Code.
(4). The Surviving Corporation shall possess all the
rights, privileges, immunities, and franchises, of a public as well as of a
private nature, of each of the Constituent Corporations; and all property,
real, personal, and mixed, and all debts due of whatever account, including
subscriptions to shares, and all other choses in action, and all other
interest, of each of the Constituent Corporations, shall be deemed to be
transferred to the Surviving Corporation without further act the title to any
real estate or interest, vested in either Constituent Corporation shall not
revert or be in any way impaired by reason of the merger; the Surviving
Corporation shall be responsible and liable for all the liabilities and
obligations of each of the Constituent Corporations; any claim existing or
action or proceeding pending by or against either of such Constituent
Corporations may be prosecuted as if the merger had not taken place, or the
Surviving Corporation may be substituted in place of the Constituent
Corporation; and neither the rights of creditors nor any liens on the property
of either of the Constituent Corporations shall be impaired by the merger.
(b). On the Effective Date of the merger, the articles
of incorporation of the Surviving Corporation shall be the articles of
incorporation of TXL and the bylaws of the Surviving Corporation shall be the
bylaws of TXL.
(c). On the Effective Date of the merger, the board of
directors of the Surviving Corporation shall consist of the members of the
board of directors of TXL immediately prior to the merger, to serve in
accordance with the bylaws of the Surviving Corporation and until their
respective successors shall have been duly elected and qualified in accordance with
such bylaws and the laws of the state of _________.
(d). On the Effective Date of the merger, the officers
of the Surviving Corporation shall be the officers of TXL immediately prior to
the merger, such officers to serve in accordance with the bylaws of the
Surviving Corporation and until their respective successors shall have been
elected and qualified in accordance with such bylaws and the laws of the state
of _________.
If on the Effective Date of the merger, a vacancy
shall exist in the board of directors or in any of the officers of the
Surviving Corporation, such vacancy may be filled in the manner provided in the
bylaws of the Surviving Corporation.
Article III.
Manner and Basis of Converting Shares
The manner and basis of converting the shares of the
Constituent Corporations and the mode of carrying the merger into effect are as
follows:
(a). Each share of Common Stock of Merger Co.
outstanding on the Effective Date of the merger shall, without any action on
the part of the holder, be converted into one fully paid and nonassessable
share of Common Stock of TXL which shall, on such conversion, be validly issued
and outstanding, fully paid, and nonassessable, and shall not be liable to any
further call, nor shall the holder be liable for any further payments with
respect to it.
(b). Each
share of the Common Stock of TXL outstanding on the Effective Date of the
merger shall, without any action on the part of the holder, be converted into
approximately _________ fully paid and nonassessable shares of Exchanged T
Stock which shares of Exchanged T Stock shall then be validly issued and
outstanding, fully paid, and nonassessable and shall not be liable to any
further call, nor shall the holder be liable for any further payments with
respect to them. After the Effective Date of the merger, each holder of an
outstanding certificate which had represented shares of the Common Stock of TXL
shall be entitled, on surrender to the transfer and
exchange agent to receive in exchange a certificate or
certificates representing the number of whole shares of Exchanged T Stock into
which the shares of Common Stock of TXL so surrendered shall have been
converted in such denominations as such holder may request. Until so
surrendered, each such outstanding certificate (which prior to the Effective
Date of the merger represented shares of the Common Stock of TXL) shall for all
purposes evidence the ownership of the shares of Exchanged T Stock into which
such shares shall have been converted; provided, that dividends or other distributions
which are payable in respect of shares of Exchanged T Stock into which shares
of Common Stock of TXL shall have been converted shall be set aside by T and
shall not be paid to holders of certificates representing such shares of Common
Stock of TXL until such certificates shall have been surrendered in exchange
for certificates representing Exchanged T Stock. On such surrender, the
holder(s) of such shares shall be entitled to receive such dividends or other
distributions without interest. T shall not issue any fractional interest in
shares of Exchanged T Stock in connection with the conversion.
(c). All shares of Exchanged T Stock into which shares
of the Common Stock of TXL shall have been converted pursuant to this Article
III shall be issued in full satisfaction of all rights pertaining to the shares
of TXL stock.
(d). If any certificate for shares of Exchanged T
Stock is to be issued in a name other than that in which the certificate
surrendered in exchange is registered, it shall be a condition of its issuance
that the certificate so surrendered shall be properly endorsed and otherwise in
proper form for transfer, that the transfer be in compliance with applicable
federal and state securities laws, and that the person requesting such exchange
pay to T or any agent designated by it any transfer or other taxes required by
reason of the issuance of a certificate for shares of Exchanged T Stock in any
name other than that of the registered holder of the certificate surrendered,
or establish to the satisfaction of T or any agent designated by it that such
tax has been paid or is not payable.
(e). In addition to the consideration provided for in
the Reorganization Agreement, T shall issue to the shareholders of TXL an
additional _________ restricted shares of common stock of T in the aggregate
upon certification by the secretary of T that:
(i) T has sold (either in multiple groups or
individually) _________ additional licenses for development in the _________
metropolitan area; and
(ii) the _________ T centers currently owned and
operated by TXL and the T centers to be opened pursuant to the sale of
additional licenses in the _________ metropolitan area have had an aggregate
month of gross sales in excess of $_____.
In the event that the conditions set forth
above have not been met by _________[date], the provision for the
receipt of additional shares to be received shall extinguish.
(f). The certificates representing such additional T
shares to be issued to each shareholder shall be the same portion as the number
of shares of T stock held by each such shareholder, excluding the shares
transferred to the finder, pursuant to the Reorganization Agreement. In lieu of
issuing such shares to the shareholders, such shares shall be issued to any
successor or assignee of such shareholder if at least seven days prior to the
date of issuance T shall have received written evidence satisfactory to it that
such succession was signed and executed by such shareholder or, in the event of
h death or incapacity, executed by h personal representative and accompanied by
appropriate evidence of appointment. No interest or other penalty shall be due
or payable on additional T stock issuable under the Reorganization Agreement.
(g). For all relevant purposes of this article, the
number of shares of T stock to be issued and delivered pursuant to the
Reorganization Agreement shall be appropriately adjusted to take into account
any stock splits, stock dividends, reverse stock split, recapitalization, or similar
change in the T common stock par value, which may occur between the date of the
Reorganization Agreement and date of delivery of such shares.
Article IV.
Articles of Incorporation and Bylaws
1. The articles of incorporation of TXL shall, on the
merger becoming effective, be the articles of incorporation of the Surviving
Corporation until amended in the manner provided by law.
2. The bylaws of TXL shall, on the merger becoming
effective, be the bylaws of the Surviving Corporation until amended in the manner
provided by law.
Article V.
Other Provisions With Respect to Merger
1. This Plan shall be submitted for approval by the
stockholders of each of the Constituent Corporations as provided by the laws of
the state of _________. After the approval or adoption by the stockholders of
each Constituent Corporation in accordance with the requirements of the laws of
the state of _________, all required documents shall be executed, filed, and
recorded, and all required acts shall be done in order to accomplish the merger
under the provisions of the laws of the state of _________, subject to the
terms and conditions of the Reorganization Agreement.
2. This Plan may be terminated at any time prior to
the Effective Date of the merger in the manner provided in the Reorganization
Agreement.
Article VI.
Approval and Effective Date of the Merger;
Miscellaneous Matters
1. The merger shall become effective when all the
following actions shall have been taken:
(a) This Plan shall be authorized, adopted, and
approved on behalf of each Constituent Corporation in accordance with the laws
of the state of _________; and
(b) This Plan, executed and verified in accordance
with the laws of the state of _________, shall be filed in the Office of the
Secretary of State of _________.
The date on which such actions are
completed and such merger is effected is referred to as the "Effective
Date."
2. If at any time the Surviving Corporation shall deem
or be advised that any further grants, assignments, confirmations, or
assurances are necessary or desirable to vest, perfect, or confirm title in the
Surviving Corporation, of record or otherwise, to any property of Merger Co.
acquired or to be acquired by, or as a result of, the merger, the officers and
directors of Merger Co. or any of them shall be severally and fully authorized
to execute and deliver any and all such deeds, assignments, confirmations, and
assurances and to do all things necessary or proper so as to best prove, confirm,
and ratify title to such property in the Surviving Corporation and otherwise
carry out the purposes of the merger and the terms of this Plan.
3. For the convenience of the parties and to
facilitate the filing and recording of this Plan, any number of counterparts of
it may be executed, each such counterpart shall be deemed to be an original
instrument, and all such counterparts together shall be considered one
instrument.
4. This Plan shall be governed by and construed in
accordance with the laws of the state of _________.
5. This Plan cannot be altered or amended except
pursuant to an instrument in writing signed on behalf of the parties.
In witness, each Constituent Corporation has caused
this Plan to be executed, all as of the date first above written.
Attest: _________, Secretary
T Merger Corporation
By _________, Authorized
Officer
Attest: _________, Secretary
TXL
By _________, Authorized
Officer
T (which is not a party to the foregoing Plan), joins
in the foregoing Plan, agrees that it will be bound by it, and that it will do
and perform all the acts and obligations referred to in or provided to be done
by it.
Attest: _________, Secretary
T
By _________, Authorized
Officer
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