UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
Form
8-K
Current
Report
Pursuant
to Section 13 or 15(d) of the
Securities
Exchange Act of 1934
August
2, 2023
Date
of Report (Date of earliest event reported)
HHG
Capital Corporation
(Exact
Name of Registrant as Specified in its Charter)
| British
Virgin Islands |
|
001-40820 |
|
n/a |
(State
or other jurisdiction
of
incorporation) |
|
(Commission
File
Number) |
|
(I.R.S.
Employer
Identification
No.) |
1
Commonwealth Lane
#03-20,
Singapore |
|
149544 |
| (Address
of Principal Executive Offices) |
|
(Zip
Code) |
Registrant’s
telephone number, including area code: +65 6659 1335
N/A
(Former
name or former address, if changed since last report)
Check
the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under
any of the following provisions:
| ☒ |
Written
communications pursuant to Rule 425 under the Securities Act |
| |
|
| ☐ |
Soliciting
material pursuant to Rule 14a-12 under the Exchange Act |
| |
|
| ☐ |
Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act |
| |
|
| ☐ |
Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act |
Securities
registered pursuant to Section 12(b) of the Act:
| Title
of each class |
|
Trading
Symbol |
|
Name
of each exchange on which registered |
| Units |
|
HHGCU |
|
NASDAQ
Capital Market |
| Ordinary
Shares |
|
HHGC |
|
NASDAQ
Capital Market |
| Warrants |
|
HHGCW |
|
NASDAQ
Capital Market |
| Rights |
|
HHGCR |
|
NASDAQ
Capital Market |
Indicate
by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405)
or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).
Emerging
growth company ☒
If
an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying
with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
IMPORTANT
NOTICES
Participants
in the Solicitation
HHG
Capital Corporation, a British Virgin Islands business company (“HHGC”), Perfect Hexagon Group Limited, a British
Virgin Islands business company (“PHGL”), and their respective directors, executive officers, employees and other
persons may be deemed to be participants in the solicitation of proxies from the holders of HHGC ordinary shares in respect of the proposed
transaction described herein. Information about HHGC’s directors and executive officers and their ownership of HHGC’s ordinary
shares is set forth in HHGC’s Annual Report on Form 10-K for the fiscal year ended December 31, 2022 (the “Form 10-K”)
and the final prospectus dated September 21, 2021 (the “Prospectus”) filed with the Securities and Exchange Commission
(the “SEC”) in connection with the initial public offering of HHGC, as modified or supplemented by any Form 3 or Form
4 filed with the SEC since the date of such filing. Other information regarding the interests of the participants in the proxy solicitation
will be included in the proxy statement pertaining to the proposed transaction when it becomes available. These documents can be obtained
free of charge from the sources indicated below.
Additional
Information and Where To Find It
In
connection with the proposed transactions described herein, HHGC and Perfect Hexagon Holdings Limited , a Cayman Islands exempted company
and wholly owned subsidiary of HHGC (“Purchaser”), will file relevant materials with the SEC, including a registration
statement on Form F-4 (the “Registration Statement”), which Registration Statement will also include a proxy statement
of HHGC. Promptly after the Registration Statement is declared effective, HHGC will mail the definitive proxy statement and a proxy card
to each stockholder entitled to vote at the special meeting relating to the proposed transaction. INVESTORS AND SECURITYHOLDERS OF HHGC
ARE URGED TO READ THESE MATERIALS (INCLUDING ANY AMENDMENTS OR SUPPLEMENTS THERETO) AND ANY OTHER RELEVANT DOCUMENTS IN CONNECTION WITH
THE PROPOSED TRANSACTION THAT HHGC WILL FILE WITH THE SEC WHEN THEY BECOME AVAILABLE, BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION
ABOUT HHGC, PHGL AND THE PROPOSED TRANSACTION. The Registration Statement, definitive proxy statement, the preliminary proxy statement
and other relevant materials in connection with the proposed transaction (when they become available), and any other documents filed
by HHGC with the SEC, may be obtained free of charge at the SEC’s website (www.sec.gov) or by writing to HHG Capital Corporation,
1 Commonwealth Lane, #03-20, Singapore, 149544.
No
Offer or Solicitation
This
Current Report on Form 8-K shall not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there
be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification
under the securities laws of any such jurisdiction. No offering of securities shall be made except by means of a prospectus meeting the
requirements of Section 10 of the Securities Act.
Forward-Looking
Statements
This
Current Report on Form 8-K and the documents incorporated by reference herein (this “Current Report”) contain certain
“forward-looking statements” within the meaning of “safe harbor” provisions of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements can be identified by words such as: “target,” “believe,” “expect,”
“will,” “shall,” “may,” “anticipate,” “estimate,” “would,” “positioned,”
“future,” “forecast,” “intend,” “plan,” “project” and other similar expressions
that predict or indicate future events or trends or that are not statements of historical matters. Examples of forward-looking statements
include, among others, statements made in this Current Report regarding the proposed transactions (the “Merger”) contemplated
by the Agreement and Plan of Merger (the “Merger Agreement”) among HHGC, Purchaser, Perfect Acquisitions Limited (“Merger
Sub”), and PHGL, integration plans, expected synergies and revenue opportunities, anticipated future financial and operating
performance and results, including estimates for growth, the expected management and governance of the combined company and the expected
timing of the Merger. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are
based only on HHGC and PHGL managements’ current beliefs, expectations and assumptions. Because forward-looking statements relate
to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many
of which are outside of our control. Actual results and outcomes may differ materially from those indicated in the forward-looking statements.
Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause actual results and outcomes
to differ materially from those indicated in the forward-looking statements include, among others, the following: (1) the occurrence
of any event that could give rise to the termination of the Merger Agreement; (2) the outcome of any legal proceedings that may be instituted
against HHGC, the combined company, or others following the announcement of the Merger and the Merger Agreement; (3) the inability to
complete the Merger, including due to the failure to obtain approval of HHGC’s shareholders or to satisfy other conditions to closing
in the Merger Agreement; (4) the amount of redemption requests made by HHGC’s shareholders; (5) changes to the proposed structure
of the Merger that may be required or appropriate as a result of applicable laws; (6) the ability to meet Nasdaq listing standards following
the consummation of the Merger; (7) the risk that the Merger disrupts current plans and operations of PHGL as a result of the announcement
and consummation of the Merger; (8) the ability to recognize the anticipated benefits of the Merger, which may be affected by, among
other things, competition, the ability of the combined company to grow and manage growth profitably, maintain relationships with third
parties and partners and retain its management and key employees; (9) costs related to the Merger; (10) changes in applicable laws or
regulations; (11) the possibility that PHGL or the combined company may be adversely affected by other economic, business, regulatory,
and/or competitive factors; (12) the availability of capital and PHGL estimates of expenses; (13) changes in the assumptions underlying
PHGL’s expectations regarding its future business or business model; and (14) other risks and uncertainties set forth in the Registration
Statement to be filed by HHGC with the SEC in connection with the Merger, including those under “Risk Factors” therein, and
other documents filed or to be filed from time to time with the SEC by HHGC.
A
further list and description of risks and uncertainties can be found in the Form 10-K and in the Registration Statement that will be
filed with the SEC by HHGC in connection with the proposed transaction, and other documents that the parties may file or furnish with
the SEC, which you are encouraged to read. Any forward-looking statement made by us in this Current Report is based only on information
currently available to HHGC and PHGL and speaks only as of the date on which it is made. HHGC and PHGL undertake no obligation to publicly
update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information,
future developments or otherwise, except as required by law.
Item
1.01. Entry Into a Material Definitive Agreement
The
Merger Agreement
On
August 2, 2022, HHG Capital Corporation, a Delaware corporation (“HHGC” or “Parent”), entered into
an agreement and plan of merger (the “Merger Agreement”) with Perfect Hexagon Holdings Limited, a British Virgin Islands
business company and wholly owned subsidiary of the Parent (“Purchaser”), Perfect Acquisitions Limited, a British
Virgin Islands business company and wholly owned subsidiary of Purchaser (“Merger Sub”), and Perfect Hexagon Group
Limited, a British Virgin Islands business company (the “Company” or “PHGL”). Upon the closing
of the transactions contemplated by the Merger Agreement, (a) HHGC will be merged with and into Purchaser (the “Reincorporation
Merger”), with Purchaser surviving the Reincorporation Merger, and (b) Merger Sub will be merged with and into the Company
(the “Acquisition Merger”), with the Company surviving the Acquisition Merger as a direct wholly owned subsidiary
of Purchaser (collectively, the “Merger” or the “Business Combination”). Following the Business
Combination, Purchaser will be a publicly traded company listed on a stock exchange in the United States. Capitalized terms used and
not otherwise defined herein shall have the meanings given such terms in the Merger Agreement.
Consideration
Pursuant
to the terms of the Merger Agreement, the aggregate consideration to be paid at the closing of the Business Combination to existing shareholders
of the Company is $990,000,000 (the “Merger Consideration”), which will be paid in 99,000,000 newly issued ordinary
shares of the Purchaser at a deemed price of $10.00 per share.
The
Closing
The
parties have agreed that the closing of the Business Combination shall occur no later than December 31, 2023 (the “Outside Date”).
The Outside Date may be extended upon the written agreement of the parties.
Representations
and Warranties
In
the Merger Agreement, the Company and its subsidiaries make certain representations and warranties (with certain exceptions set forth
in the disclosure schedule to the Merger Agreement) relating to, among other things: (a) proper corporate existence and power of the
Company and its subsidiaries and similar corporate matters; (b) authorization, execution, delivery and enforceability of the Merger Agreement
and other transaction documents; (c) no need for governmental authorization for the execution, delivery or performance of the Merger
Agreement and additional agreements thereto (the “Additional Agreements”); (d) absence of conflicts; (e) capital structure;
(f) accuracy of the list of each subsidiary of the Company; (g) accuracy of corporate records of the Company and its subsidiaries; (h)
required consents and approvals; (i) financial information; (j) books and records and internal accounting controls; (k) absence of certain
changes or events; (l) title to assets and properties; (m) litigation threatened against or affecting the Company and its subsidiaries
; (n) material contracts; (o) material licenses and permits; (p) compliance with laws; (q) intellectual property; (r) customers and suppliers;
(s) accounts receivable and payable and loans; (t) employee benefits; (u) employee and labor matters; (v) withholding of obligations
of the Company and its subsidiaries applicable to its employees; (w) real property; (x) tax matters; (y) environmental laws; (z) finders
fees; (aa) powers of attorney and suretyships; (bb) directors and officers; (cc) international trade matters and anti-bribery compliance;
(dd) that the Company is not an investment company; (ee) insurance; and (ff) affiliate transactions.
In
the Merger Agreement, Parent, Purchaser and Merger Sub (collectively with Parent and Purchaser, the “Parent Parties”)
make certain representations and warranties relating to, among other things: (a) proper corporate existence and power; (b) authorization,
execution, delivery and enforceability of the Merger Agreement and other transaction documents; (c) no need for governmental authorization
for the execution, delivery or performance of the Merger Agreement and Additional Agreements; (d) absence of conflicts; (e) finders fees;
(f) issuance of merger consideration shares; (g) capital structure; (h) information supplied; (i) minimum trust fund amount; (j) validity
of Nasdaq Stock Market listing; (k) that Parent is a publicly-held company subject to reporting obligations; (l) board approval; (m)
SEC filing requirements and financial statements; (n) litigation threatened against or affecting the Parent Group; (o) compliance with
money laundering laws; (p) OFAC-related representations and warranties; (q) that Parent is not an investment company; and (r) tax matters.
Conduct
Prior to Closing; Covenants Pending Closing
Each
of PHGL and Parent has agreed to, and cause its subsidiaries to, operate its respective business in the ordinary course, consistent with
past practice, prior to the closing of the transactions (with certain exceptions) and not to take certain specified actions without the
prior written consent of the other party.
The
Merger Agreement also contains customary closing covenants.
General
Conditions to Closing
Consummation
of the Merger Agreement and the Business Combination is conditioned on, among other things, (a) no provisions of any applicable law and
no order prohibiting or preventing the consummation of the closing; (b) there not being any action brought by a United States or non-United
States government entity, body or authority to enjoin or otherwise restrict the consummation of the closing; (c) all consents, approvals
and filings with and notices to any United States or non-United States government entity, body or authority required to consummate the
transactions contemplated by the Merger Agreement shall have been made or obtained; (d) the Merger Agreement, each of the Additional
Agreements and the transactions contemplated thereby, having been duly authorized and approved by the shareholders of the Company; (e)
the Merger Agreement, each of the Additional Agreements and the transactions contemplated thereby, having been duly authorized and approved
by the shareholders of Purchaser; (f) all required filings under any applicable anti-trust laws shall have been made and any applicable
waiting period shall have been completed; (g) as of the closing, the Purchaser shall have at least $5,000,001 in net tangible assets;
(h) the initial listing application with Nasdaq in connection with the transactions contemplated by the Merger Agreement having been
conditionally approved, the Company having satisfied any applicable initial and continuing listing requirements of Nasdaq, the Company
having not received any notice of noncompliance therewith, and the shares issued as Merger Consideration having been approved for listing
on Nasdaq; (i) the SEC having declared the Registration Statement effective, and no stop order suspending the effectiveness of the Registration
Statement or any part thereof having been issued; and (j) the Reincorporation Merger having been consummated and the applicable certificates
having been filed in the appropriate jurisdictions.
Parent
Parties’ Conditions to Closing
The
obligations of the Parent Parties to consummate the transactions contemplated by the Merger Agreement, in addition to the conditions
described above in the first paragraph of this section, are, subject to waiver by the Parent Parties, conditioned upon each of the following,
among other things: (a) the Company and its subsidiaries having complied with all of the obligations under the Merger Agreement in all
material respects; (b) the representations and warranties of the Company and its subsidiaries being true on and as of the date of the
Merger Agreement and closing date of the transactions in all material respects; (c) there having been no material adverse effect to the
Company and its subsidiaries; (d) the Company having delivered an officer’s certificate as to the accuracy of (a)-(c) of this paragraph;
(e) the Parent Parties having received duly executed opinions from the Company’s British Virgin Islands counsel in form and substance
reasonably satisfactory to the Parent Parties; (f) executed copies of the Additional Agreements to which the Company is a party; (g)
the Parent Parties having received copies of third party consents; (h) certain assets having been legally transferred to the Company
or a subsidiary; and (j) the Company having completed a reorganization.
The
Company’s Conditions to Closing
The
obligations of the Company to consummate the transactions contemplated by the Merger Agreement, in addition to the conditions described
above in the first paragraph of this section, are, subject to waiver by the Company, conditioned upon each of the following, among other
things: (a) the Parent Parties complying with all of their obligations under the Merger Agreement in all material respects; (b) the representations
and warranties of the Parent Parties being true on and as of the date of the Merger Agreement and closing date of the transactions in
all material respects; (c) there having been no material adverse effect to the Parent Parties; (d) the Parent Parties shall have delivered
an officer’s certificate as to the accuracy of (a)-(c) of this paragraph; (e) the Parent Parties shall have delivered a secretary’s
certificate attaching true, correct and complete copies of (i) the organizational documents of the Purchaser, (ii) copies of resolutions
duly adopted by the board of directors of the Parent Parties authorizing the Merger Agreement, each of the Additional Agreements and
the transactions contemplated thereby, and confirmation of the same having been duly authorized and approved by the shareholders of Purchaser;
and (iii) a recent certificate of good standing of the Purchaser; and (f) executed copies of the Additional Agreements to which the Parent
Parties are a party.
Board
of Directors of Surviving Corporation
Pursuant
to the terms of the Merger Agreement, immediately after the closing, the Purchaser’s board of directors shall consist of five directors,
of whom one individual will be designated by Parent and of whom four individuals will be designated by the Company. At least three of
the four Company designees shall be deemed independent in accordance with Nasdaq requirements.
Termination
The
Merger Agreement may be terminated and/or abandoned at any time prior to the closing by:
| |
● |
mutual
written consent of the Parent and the Company duly authorized by each of their respective boards of directors; |
| |
|
|
| |
● |
each
party if (a) on or after the Outside Date, if the Merger shall not have been consummated prior to the Outside Date; provided, however,
that if an Extension Amendment shall be in effect, the Outside Date shall be the Extension Date, provided that no material breach
of the Merger Agreement by the party seeking to terminate the Merger Agreement shall have occurred or have been made; (b) if any
Order having the effect set forth in Section 9.1 of the Merger Agreement shall be in effect and shall have become final and non-appealable;
provided, however, that such Order was not due to such party’s breach of or failure to perform any of its representations,
warranties, covenants or agreements set forth in the Merger Agreement; or (c) if any of the Parent Shareholder Approval Matters shall
fail to receive the Required Parent Shareholder Approval for approval at the Parent Shareholder Meeting; |
| |
|
|
| |
● |
each
party if a governmental authority shall have issued an order or enacted a law having the effect of permanently restraining, enjoining
or otherwise prohibiting either the Redomestication Merger or the Acquisition Merger, which order or law is final and non-appealable,
the Parent Parties or the Company shall have the right, at its sole option, to terminate without liability to the other party, provided
that no material breach of the Merger Agreement by the party seeking to terminate the Merger Agreement shall have occurred or have
been made; |
| |
|
|
| |
● |
the
Parent, if (a) any of the representations or warranties of the Company shall not be true and correct, or if the Company has failed
to perform any covenant or agreement which, if capable of being cured is not cured (or waived by the Parent Parties) by the earlier
of (i) the Outside Date or (ii) 20 days after written notice thereof is delivered to the Company, provided that the Parent Parties
are not in breach of the Merger Agreement at such time, or (b) if the Requisite Company Vote shall not have been obtained within
five (5) Business Days of the delivery to Parent shareholders of the Proxy Statement; |
| |
|
|
| |
● |
the
Company, if any of the representations or warranties of the Parent Parties shall not be true and correct, or if the Parent Parties
has failed to perform any covenant or agreement which, if capable of being cured is not cured (or waived by the Parent Parties) by
the earlier of (i) the Outside Date or (ii) 20 days after written notice thereof is delivered to the Company, provided that the Parent
Parties are not in breach of the Merger Agreement at such time. |
The
foregoing description of the Merger Agreement does not purport to be complete and is qualified in its entirety by the terms and conditions
of the actual Merger Agreement, which is filed as Exhibit 2.1 hereto and incorporated by reference herein.
Additional
Agreements at the Signing of the Merger Agreement
Sponsor
Support Agreement
Contemporaneously
with the execution of the Merger Agreement, certain holders of HHGC ordinary shares entered into a support agreement (the “Sponsor
Support Agreement”), pursuant to which such holders agreed to, among other things, approve the Merger Agreement and the proposed
Business Combination.
The
foregoing description of the Sponsor Support Agreement does not purport to be complete and is qualified in its entirety by the terms
and conditions of the actual agreement, a copy of which is included as Exhibit B to the Merger Agreement and Exhibit 10.1 to this Current
Report on Form 8-K, and is incorporated herein by reference.
Additional
Agreements to be Executed at Closing
Amended
and Restated Registration Rights Agreement
At
the closing of the Business Combination, parties will enter into an amended and restated registration rights agreement (the “Registration
Rights Agreement”), which provides certain demand registration rights and piggyback registration rights to the securityholders.
Purchaser will agree to pay certain fees and expenses relating to registrations under the Registration Rights Agreement.
The
foregoing description of the Registration Rights Agreement is qualified in its entirety by reference to the full text of the form of
Registration Rights Agreement, a copy of which is included as Exhibit C to the Merger Agreement and Exhibit 10.2 to this Current Report
on Form 8-K, and is incorporated herein by reference.
Lock-Up
Agreements
At
the closing of the Business Combination, certain holders of Company ordinary shares will execute lock-up agreements (the “Lock-up
Agreements”). Pursuant to the Lock-Up Agreements such holders shall agree, subject to certain customary exceptions, not to
(i) sell, offer to sell, contract or agree to sell, pledge or otherwise dispose of, directly or indirectly, any Purchaser ordinary shares
held by them (such shares, together with any securities convertible into or exchangeable for or representing the rights to receive Purchaser
ordinary shares if any, acquired during the Lock-Up Period (as defined below), are collectively referred to as the “Lock-up
Shares”), (ii) enter into a transaction that would have the same effect, (iii) enter into any swap, hedge or other arrangement
that transfers to another, in whole or in part, any of the economic consequences of ownership of the Lock-Up Shares or otherwise or engage
in any short sales or other arrangement with respect to the Lock-Up Shares or (iv) publicly announce any intention to effect any transaction
specified in clause (i) or (ii), in each case until the date that is twelve (12) months after the closing date of the Business Combination
(the “Lock-Up Period”).
The
foregoing description of the Lock-Up Agreements does not purport to be complete and is qualified in its entirety by the terms and conditions
of the actual agreements, a form of which is included as Exhibit D to the Merger Agreement and Exhibit 10.3 to this Current Report on
Form 8-K, and is incorporated herein by reference.
Item
7.01. Regulation FD Disclosure
On
August 3, 2023, HHGC and PHGL issued a press release announcing the execution of the Merger Agreement. Attached hereto as Exhibit 99.1
and incorporated into this Item 7.01 by reference is the copy of the press release.
The
information in this Item 7.01 (including Exhibit 99.1) is being furnished and shall not be deemed to be filed for purposes of Section
18 of the Exchange Act , or otherwise be subject to the liabilities of that section, nor shall it be deemed to be incorporated by reference
in any filing under the Securities Act of 1933, as amended, or the Exchange Act.
Item
9.01. Financial Statements and Exhibits
| * |
Schedules
and exhibits have been omitted pursuant to Item 601(b)(2) of Regulation S-K. The registrant hereby undertakes to furnish copies of
any of the omitted schedules and exhibits upon request by the U.S. Securities and Exchange Commission. |
SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by
the undersigned hereunto duly authorized.
| Dated:
August 4, 2023 |
HHG
Capital Corporation |
| |
|
|
| |
By: |
/s/
Chee Shiong (Keith) Kok |
| |
Name: |
Chee
Shiong (Keith) Kok |
| |
Title: |
Chief
Executive Officer |
Exhibit 2.1
AGREEMENT
AND PLAN OF MERGER
dated
August
2, 2023
by
and among
HHG
Capital Corporation, a British Virgin Islands business company,
Perfect
Hexagon Holdings Limited, a British Virgin Islands business company,
Perfect
Acquisitions Limited, a British Virgin Islands business company,
and
Perfect
Hexagon Group Limited, a British Virgin Islands business company
Table
of Contents
| |
Page |
| |
|
| Article
I DEFINITIONS |
3 |
| |
|
|
| Article
II THE REINCORPORATION MERGER |
10 |
| 2.1 |
Reincorporation
Merger |
10 |
| 2.2 |
Reincorporation
Effective Time |
10 |
| 2.3 |
Effect
of the Reincorporation Merger |
9 |
| 2.4 |
Memorandum
and Articles of Association |
11 |
| 2.5 |
Directors
and Officers of the Reincorporation Surviving Corporation |
11 |
| 2.6 |
Effect
on Issued Securities of Parent |
11 |
| 2.7 |
Surrender
of Securities |
13 |
| 2.8 |
Lost,
Stolen or Destroyed Certificates |
13 |
| 2.9 |
Section
368 Reorganization |
13 |
| 2.10 |
Taking
of Necessary Action; Further Action |
13 |
| 2.11 |
Agreement
of Fair Value |
14 |
| |
|
|
| Article
III THE ACQUISITION MERGER |
14 |
| 3.1 |
Acquisition
Merger |
14 |
| 3.2 |
Closing;
Effective Time |
14 |
| 3.3 |
Directors |
15 |
| 3.4 |
Effect
of the Acquisition Merger |
15 |
| 3.5 |
Memorandum
and Articles of Association of the Surviving Corporation |
15 |
| 3.6 |
No
Further Ownership Rights in Company Capital Stock |
15 |
| 3.7 |
Rights
Not Transferable |
15 |
| 3.8 |
Taking
of Necessary Action; Further Action |
15 |
| |
|
|
| Article
IV CONSIDERATION |
16 |
| 4.1 |
Conversion
of Capital |
16 |
| 4.2 |
Payment
of Merger Consideration |
17 |
| 4.3 |
Withholding
Rights |
17 |
| 4.4 |
Balance
Sheet Adjustment |
17 |
| |
|
|
| Article
V REPRESENTATIONS AND WARRANTIES OF THE COMPANY |
18 |
| 5.1 |
Corporate
Existence and Power |
18 |
| 5.2 |
Authorization |
19 |
| 5.3 |
Governmental
Authorization |
19 |
| 5.4 |
Non-Contravention |
19 |
| 5.5 |
Capital
Structure |
20 |
| 5.6 |
Charter
Documents |
20 |
| 5.7 |
Corporate
Records |
20 |
| 5.8 |
Subsidiaries;
Principal Business Operations |
21 |
| 5.9 |
Consents |
21 |
| 5.10 |
Financial
Statements |
22 |
| 5.11 |
Absence
of Certain Changes |
23 |
| 5.12 |
Properties;
Title to the Company’s Assets |
23 |
| 5.13 |
Litigation |
23 |
| 5.14 |
Contracts |
23 |
| 5.15 |
Licenses
and Permits |
26 |
| 5.16 |
Compliance
with Laws |
26 |
TABLE
OF CONTENTS CONTINUED
| 5.17 |
Intellectual
Property |
26 |
| 5.18 |
Customers
and Suppliers |
28 |
| 5.19 |
Accounts
Receivable and Payable; Loans |
29 |
| 5.20 |
Pre-payments |
29 |
| 5.21 |
Employees |
29 |
| 5.22 |
Employment
Matters |
30 |
| 5.23 |
Withholding |
31 |
| 5.24 |
Real
Property |
31 |
| 5.25 |
Tax
Matters |
32 |
| 5.26 |
Environmental
Laws |
32 |
| 5.27 |
Finders’
Fees |
33 |
| 5.28 |
Powers
of Attorney and Suretyships |
33 |
| 5.29 |
Directors
and Officers |
33 |
| 5.30 |
Certain
Business Practices |
33 |
| 5.31 |
Money
Laundering Laws |
33 |
| 5.32 |
OFAC |
34 |
| 5.33 |
International
Trade Matters; Anti-Bribery Compliance |
34 |
| 5.34 |
Related
Party Transactions |
35 |
| 5.35 |
Not
an Investment Company |
35 |
| 5.36 |
Other
Information |
35 |
| |
|
|
| Article
VI REPRESENTATIONS AND WARRANTIES OF PARENT PARTIES |
36 |
| 6.1 |
Corporate
Existence and Power |
36 |
| 6.2 |
Corporate
Authorization |
36 |
| 6.3 |
Governmental
Authorization |
36 |
| 6.4 |
Non-Contravention |
36 |
| 6.5 |
Finders’
Fees |
37 |
| 6.6 |
Issuance
of Shares |
37 |
| 6.7 |
Capitalization |
37 |
| 6.8 |
Information
Supplied |
39 |
| 6.9 |
Trust
Fund |
39 |
| 6.10 |
Listing |
39 |
| 6.11 |
Reporting
Company |
39 |
| 6.12 |
No
Market Manipulation |
40 |
| 6.13 |
Board
Approval |
40 |
| 6.14 |
Parent
SEC Documents and Financial Statements |
40 |
| 6.15 |
Litigation |
41 |
| 6.16 |
Compliance
with Laws |
41 |
| 6.17 |
Money
Laundering Laws |
41 |
| 6.18 |
OFAC |
41 |
| 6.19 |
Not
an Investment Company |
42 |
| 6.20 |
Tax
Matters |
42 |
| 6.21 |
Contracts |
43 |
| |
|
|
| Article
VII COVENANTS |
43 |
| 7.1 |
Conduct
of the Business of the Company |
43 |
| 7.2 |
Conduct
of the Business of Parent |
44 |
| 7.3 |
Alternative
Transactions |
45 |
TABLE
OF CONTENTS CONTINUED
| 7.4 |
Access
to Information |
46 |
| 7.5 |
Notice
of Certain Events |
46 |
| 7.6 |
SEC
Filings |
46 |
| 7.7 |
[Reserved] |
47 |
| 7.8 |
Annual
and Interim Financial Information |
47 |
| 7.9 |
Nasdaq
Listing |
48 |
| 7.10 |
Section
16 Matters |
48 |
| 7.11 |
Trust
Account |
48 |
| 7.12 |
Directors’
and Officers’ Indemnification and Insurance |
48 |
| Article
VIII COVENANTS OF THE COMPANY |
49 |
| 8.1 |
Reporting
and Compliance with Laws |
49 |
| 8.2 |
Reasonable
Best Efforts to Obtain Consents |
49 |
| 8.3 |
Certain
Assets |
49 |
| 8.4 |
Certain
Related Party Transactions |
49 |
| |
|
|
| Article
IX COVENANTS OF ALL PARTIES HERETO |
50 |
| 9.1 |
Reasonable
Best Efforts; Further Assurances |
50 |
| 9.2 |
[Reserved]. |
50 |
| 9.3 |
Settlement
of the Parent Parties’ Liabilities |
50 |
| 9.4 |
Compliance
with SPAC Agreements |
50 |
| 9.5 |
Parent
Special Meeting; Form F-4 |
50 |
| 9.6 |
Extension |
53 |
| 9.7 |
HSR
Act; Other Filings |
53 |
| 9.8 |
Confidentiality |
54 |
| 9.9 |
Adoption
of Equity Incentive Plan |
54 |
| |
|
|
| Article
X CONDITIONS TO CLOSING |
55 |
| 10.1 |
Condition
to the Obligations of the Parties |
55 |
| 10.2 |
Conditions
to Obligations of the Parent Parties |
55 |
| 10.3 |
Conditions
to Obligations of the Company |
56 |
| |
|
|
| Article
XI DISPUTE RESOLUTION |
57 |
| 11.1 |
Arbitration |
57 |
| 11.2 |
Waiver
of Jury Trial; Exemplary Damages |
59 |
| |
|
|
| Article
XII TERMINATION |
59 |
| 12.1 |
Termination |
59 |
| 12.2 |
Effect
of Termination |
60 |
| |
|
|
| Article
XIII MISCELLANEOUS |
61 |
| 13.1 |
Notices |
61 |
| 13.2 |
Amendments;
No Waivers; Remedies |
61 |
| 13.3 |
Arm’s
Length Bargaining; No Presumption Against Drafter |
62 |
| 13.4 |
Publicity |
62 |
| 13.5 |
Expenses |
62 |
| 13.6 |
Attorneys’
Fees |
62 |
| 13.7 |
No
Assignment or Delegation |
63 |
| 13.8 |
Governing
Law |
63 |
| 13.9 |
Counterparts;
Facsimile Signatures |
63 |
| 13.10 |
Entire
Agreement |
63 |
| 13.11 |
Severability |
63 |
| 13.12 |
Construction
of Certain Terms and References; Captions |
63 |
| 13.13 |
Further
Assurances |
64 |
| 13.14 |
Third
Party Beneficiaries |
64 |
| 13.15 |
Non-survival
of Representations, Warranties and Covenants |
64 |
| 13.16 |
Waiver |
64 |
Exhibits
| A:
|
Shareholders
and Merger Consideration |
| B: |
Sponsor
Support Agreement |
| C: |
Form
of Registration Rights Agreement |
| D: |
Form
of Lock-Up Agreement |
AGREEMENT
AND PLAN OF MERGER
This
AGREEMENT AND PLAN OF MERGER (the “Agreement”), dated as of August 2, 2023 (the “Signing Date”),
by and among HHG Capital Corporation, a British Virgin Islands business company (“Parent”), Perfect Hexagon Holdings
Limited, a British Virgin Islands business company and wholly owned subsidiary of Parent (“Purchaser”), Perfect Acquisitions
Limited, a British Virgin Islands business company and wholly owned subsidiary of Purchaser (“Merger Sub”) and Perfect
Hexagon Group Limited, a British Virgin Islands business company (the “Company”).
W
I T N E S E T H :
WHEREAS,
the Company is in the business of precious metals and other commodity trading (the “Business”);
WHEREAS,
Parent is a blank check company formed for the sole purpose of entering into a share exchange, asset acquisition, share purchase, recapitalization,
reorganization or other similar business combination with one or more businesses or entities;
WHEREAS,
Purchaser is a wholly owned subsidiary of Parent and was formed for the sole purpose of the merger of Parent with and into Purchaser,
in which Purchaser will be the Reincorporation Surviving Corporation (as defined below) (the “Reincorporation Merger”);
WHEREAS,
one Business Day after the Reincorporation Effective Time (as defined below), the parties hereto desire that the Merger Sub shall merge
with and into the Company, upon the terms and subject to the conditions set forth herein and in accordance with the applicable provisions
of the British Virgin Islands Business Companies Act, 2004 (as amended) (the “Companies Act”) (the “Acquisition
Merger,” and together with the Reincorporation Merger, the “Mergers”);
WHEREAS,
as a condition and inducement to the Company’s willingness to enter into this Agreement, simultaneously with the execution and
delivery of this Agreement, the Sponsor, one or more shareholders of Parent and certain directors and officers of Parent have executed
and delivered to the Company a support agreement in the form annexed hereto as Exhibit B (the “Sponsor Support Agreement”)
pursuant to which each such signatory has agreed to, among other things, vote to adopt and approve this Agreement and the other documents
contemplated hereby and the transactions contemplated hereby and thereby and to waive all redemption rights in connection therewith;
WHEREAS,
prior to the Closing, Purchaser will execute employment agreements (the “Executive Employment Agreements”) with certain
Key Personnel (as defined below) of the Company to be effective as of, and contingent upon, consummation of the Merger, each in the form
agreed to by the parties before the first confidential filing of the Registration Statement (as defined below) ;
WHEREAS,
at the Closing, Purchaser, certain shareholders of Purchaser and the Shareholders will enter into an Amended and Restated Registration
Rights Agreement with Parent (the “Registration Rights Agreement”);
WHEREAS,
at the Closing, certain shareholders of Purchaser and Purchaser will enter into a Lock-Up Agreement providing for, among other things,
a twelve (12) month lock-up pertaining to certain Purchaser Ordinary Shares owned by such Shareholders and which shall be effective as
of the Closing;
WHEREAS,
for U.S. federal income tax purposes, Purchaser and Parent intend that the Reincorporation Merger will qualify as a “reorganization”
within the meaning of Section 368(a) of the Code, and the boards of directors of Parent and Purchaser have approved this Agreement and
intend that it constitute a “plan of reorganization” within the meaning of Treasury Regulation Sections 1.368-2(g) and 1.368-3;
WHEREAS,
for U.S. federal income tax purposes, the parties hereto intend that the Acquisition Merger will qualify as a “reorganization”
within the meaning of Section 368(a) of the Code, and the Company’s board of directors and the boards of directors of Purchaser
and Merger Sub have approved this Agreement and intend that it constitute a “plan of reorganization” within the meaning of
Treasury Regulation Sections 1.368-2(g) and 1.368-3;
WHEREAS,
the board of directors of the Company has determined that this Agreement, the Acquisition Merger and the other transactions contemplated
by this Agreement are fair and advisable to, and in the best interests of, the Company and the Shareholder;
WHEREAS,
the board of directors of Parent has determined that this Agreement, Reincorporation Merger, the Acquisition Merger and the other
transactions contemplated by this Agreement are fair and advisable to, and in the best interests of, Parent and its shareholders;
WHEREAS,
the board of directors of Purchaser has determined that this Agreement, Reincorporation Merger, the Acquisition Merger and the other
transactions contemplated by this Agreement are fair and advisable to, and in the best interests of, Purchaser and its sole shareholder;
WHEREAS,
the board of directors of Merger Sub has determined that this Agreement, the Acquisition Merger and the other transactions contemplated
by this Agreement are fair and advisable to, and in the best interests of, Merger Sub and its sole shareholder;
NOW,
THEREFORE, in consideration of the premises set forth above, which are incorporated in this Agreement as if fully set forth below,
and the representations, warranties, covenants and agreements contained in this Agreement, and intending to be legally bound hereby,
the parties accordingly agree as follows:
Article
I
DEFINITIONS
The
following terms, as used herein, have the following meanings:
“Action”
means any legal action, suit, claim, investigation, hearing or proceeding, including any audit, claim or assessment for Taxes or otherwise.
“Additional
Agreements” mean the Sponsor Support Agreement, the Registration Rights Agreement, the Lock-Up Agreement and each other agreement,
document, instrument or certificate contemplated by this Agreement to be executed in connection with the transactions contemplated by
this Agreement.
“Affiliate”
means, with respect to any Person, any other Person directly or indirectly Controlling, Controlled by, or under common Control with such
Person. For avoidance of any doubt, with respect to all periods subsequent to the Closing, Purchaser is an Affiliate of the Company.
“Authority”
means any governmental, regulatory or administrative body, agency or authority, any court or judicial authority, any arbitrator, any
relevant stock exchange, or any public, private or industry regulatory authority, whether international, national, U.S. Federal, state,
or local, or non-U.S.
“Books
and Records” means books and records (whether written, electronic, or otherwise embodied) in which a Person’s assets,
the business or its transactions are otherwise reflected, other than stock books and minute books.
“Business”
has the meaning set forth in the recitals.
“Business
Day” means any day other than a Saturday, Sunday or a legal holiday on which commercial banking institutions in British Virgin
Islands and New York, New York are authorized to close for business.
“Closing
Payment Shares” means Ninety Nine Million (99,000,000) Purchaser Ordinary Shares, which is equal to the Merger Consideration
divided by $10.00.
“Code”
means the Internal Revenue Code of 1986, as amended.
“Company
Ordinary Shares” means the ordinary shares, with no par value, of the Company.
“Company
Share Rights” means all other options, warrants, rights, or other securities (including debt instruments) to purchase, convert
or exchange into Company Ordinary Shares.
“Contracts”
means the Leases and all contracts, agreements, leases (including equipment leases, car leases and capital leases), licenses, commitments,
client contracts, statements of work (Sows), sales and purchase orders and similar instruments, oral or written, to which the Company
and/or any of its Subsidiaries is a party or by which any of its respective assets are bound, including any entered into by the Company
and/or any of its Subsidiaries in compliance with this Agreement after the Signing Date and prior to the Closing.
“Control”
means the possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of a Person,
whether through the ownership of voting securities, by Contract or otherwise; and the terms “Controlled” and “Controlling”
shall have the meaning correlative to the foregoing.
“Deferred
Underwriting Amount” means the portion of the underwriting discounts and commissions held in the Trust Account, which the underwriters
of the IPO are entitled to receive upon the Closing in accordance with the Investment Management Trust Agreement.
“Environmental
Laws” shall mean all applicable Laws that prohibit, regulate or control any Hazardous Material or any Hazardous Material Activity,
including, without limitation, the Comprehensive Environmental Response, Compensation, and Liability Act of 1980, the Resource Recovery
and Conservation Act of 1976, the Federal Water Pollution Control Act, the Clean Air Act, the Hazardous Materials Transportation Act
and the Clean Water Act, as well as all non-U.S. laws that prohibit, regulate or control any Hazardous Material or Hazardous Material
Activity.
“ERISA”
means the U.S. Employee Retirement Income Security Act of 1974, as amended.
“Exchange
Act” means the Securities Exchange Act of 1934, as amended.
“Hazardous
Material” shall mean any material, emission, chemical, substance or waste that has been designated by any governmental Authority
to be radioactive, toxic, hazardous, a pollutant or a contaminant.
“Hazardous
Material Activity” shall mean the transportation, transfer, recycling, storage, use, treatment, manufacture, removal, remediation,
release, exposure of others to, sale, labeling, or distribution of any Hazardous Material or any product or waste containing a Hazardous
Material, or product manufactured with ozone depleting substances, including, any required labeling, payment of waste fees or charges
(including so-called e-waste fees) and compliance with any recycling, product take-back or product content requirements.
“HSR
Act” means the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended.
“IPO”
means the initial public offering of Parent pursuant to a prospectus dated September 20, 2021.
“Indebtedness”
means with respect to any Person, (a) all obligations of such Person for borrowed money, or with respect to deposits or advances of any
kind (including amounts by reason of overdrafts and amounts owed by reason of letter of credit reimbursement agreements) including with
respect thereto, all interests, fees and costs and prepayment and other penalties, (b) all obligations of such Person evidenced by bonds,
debentures, notes or similar instruments, (c) all obligations of such Person under conditional sale or other title retention agreements
relating to property purchased by such Person, (d) all obligations of such Person issued or assumed as the deferred purchase price of
property or services (other than accounts payable to creditors for goods and services incurred in the ordinary course of business), (e)
all Indebtedness of others secured by (or for which the holder of such Indebtedness has an existing right, contingent or otherwise, to
be secured by) any Lien or security interest on property owned or acquired by such Person, whether or not the obligations secured thereby
have been assumed, (f) all obligations of such Person under leases required to be accounted for as capital leases under U.S. GAAP (as
applicable to such Person), (g) all guarantees by such Person and (h) any agreement to incur any of the same.
“Intellectual
Property Right” means any trademark, service mark, registration thereof or application for registration therefor, trade name,
license, domain name, invention, patent, patent application, trade secret, trade dress, know-how, copyright, copyrightable materials,
copyright registration, application for copyright registration, software programs, data bases, URLs, and any other type of proprietary
intellectual property right, and all embodiments and fixations thereof and related documentation, registrations and franchises and all
renewals, extensions, additions, improvements, and accessions thereto, and all allied, ancillary and subsidiary rights relating thereto;
and with respect to each of the forgoing items in this definition, which is owned or licensed or filed or used by or proprietary to the
Company, or used or held for use in the Business, whether registered or unregistered or domestic or foreign, and whether computer generated
or otherwise.
“Investment
Management Trust Agreement” means the investment management trust agreement made as of September 20, 2021 by and between Parent
and the Trustee.
“Law”
means any U.S. domestic or foreign, federal, state, municipality or local law, statute, ordinance, code, principle of common law, act,
treaty or order of general applicability of any applicable Authority, including rule or regulation promulgated thereunder.
“Leases”
all leases, subleases, licenses, concessions and other occupancy agreements (written or oral) for Real Property, together with all fixtures
and improvements erected on the premises leased thereby.
“Liabilities”
means any and all liabilities, Indebtedness, claims, or obligations of any nature (whether absolute, accrued, contingent or otherwise,
whether known or unknown, whether direct or indirect, whether matured or unmatured and whether due or to become due), including Tax Liabilities
due or to become due.
“Lien”
means, with respect to any asset, any mortgage, lien, pledge, charge, security interest or encumbrance of any kind in respect of such
asset, and any conditional sale or voting agreement or proxy, including any agreement to give any of the foregoing.
“Lock-Up
Agreement” means the lock-up agreement to be entered into between Purchaser and certain Shareholders at the Closing and which
will provide for, among other things, a twelve (12) month lock-up pertaining to certain Purchaser Ordinary Shares owned by such shareholders,
in substantially the form annexed hereto as Exhibit D.
“Material
Adverse Effect” or “Material Adverse Change” as to any party means a material adverse change or a material
adverse effect upon on the assets, liabilities, condition (financial or otherwise), prospects, net worth, management, earnings, cash
flows, business, customer relationships, regulatory environment, operations or properties of such party and its Business or business,
taken as a whole, whether or not arising from transactions in the ordinary course of business, provided, however, that “Material
Adverse Effect” or “Material Adverse Change” shall not include any event, occurrence, fact, condition or
change, directly or indirectly, arising out of or attributable to: (i) general economic or political conditions; (ii) conditions generally
affecting the industries in which the Company operates; (iii) any changes in financial, banking or securities markets in general, including
any disruption thereof and any decline in the price of any security or any market index or any change in prevailing interest rates; (iv)
acts of war (whether or not declared), armed hostilities or terrorism, or the escalation or worsening thereof; (v) any action required
or permitted by this Agreement or any action taken (or omitted to be taken) with the written consent of or at the written request of
its counterparty to this Agreement; (vi) any matter of which its counterparty to this Agreement is aware on the date hereof; (vii) any
changes in applicable Laws or accounting rules (including U.S. GAAP or other applicable accounting principles) or the enforcement, implementation
or interpretation thereof; (viii) the announcement, pendency or completion of the transactions contemplated by this Agreement, including
losses or threatened losses of employees, customers, suppliers, distributors or others having relationships with the Company; (ix) any
natural or man-made disaster or acts of God; or (x) any failure by the Company to meet any internal or published projections, forecasts
or revenue or earnings predictions (provided that the underlying causes of such failures (subject to the other provisions of this definition)
shall not be excluded), unless, in the case of each of clauses (i), (ii), (iii), and (iv), any such any event, occurrence, fact, condition
or change, shall have a disproportionate effect on the Company and the Business as compared to comparable companies in the same industry.
“Merger
Consideration” means Nine Hundred Ninety Million Dollars ($990,000,000), which is based on an assumption that the Company will
be free of cash and Indebtedness as of the Closing Date.
“OFAC”
means the U.S. Office of Foreign Assets Control.
“Order”
means any decree, order, judgment, writ, award, injunction, rule or consent of or by an Authority.
“Organizational
Documents” means, with respect to any Person, its certificate of incorporation and bylaws, memorandum and articles of association
or similar organizational documents, in each case, as amended.
“Parent
Ordinary Shares” means the ordinary shares, $0.0001 par value, of Parent.
“Parent
Parties” means Parent, Purchaser and Merger Sub, collectively, and “Parent Party” refers to any of them.
“Parent
Right” means a right to receive one-tenth (1/10) of a Parent Ordinary Share upon the consummation of a business combination.
“Parent
Securities” means the Parent Ordinary Shares, Parent Rights, Parent Units and Parent Warrants, collectively.
“Parent
Unit” means a unit of Parent issued in the IPO or upon the exercise of the underwriters’ overallotment option comprised
of one Parent Ordinary Share, one Parent Warrant and one Parent Right.
“Parent
Warrant” means a warrant to purchase three-fourths (3/4) of one Parent Ordinary Share at a price of $11.50 per whole Parent
Ordinary Share.
“Permitted
Liens” means (i) all defects, exceptions, restrictions, easements, rights of way and encumbrances disclosed in policies of
title insurance which have been made available to the Parent Parties; (ii) mechanics’, carriers’, workers’, repairers’
and similar statutory Liens arising or incurred in the ordinary course of business for amounts (A) that are not delinquent, (B) that
are not material to the business, operations and financial condition of the Company and/or any of its Subsidiaries so encumbered, either
individually or in the aggregate, (C) that not resulting from a breach, default or violation by the Company and/or any of its Subsidiaries
of any Contract or Law, and (D) the Liens set forth on Schedule 1.1 of the Company Disclosure Schedules; and (iii) liens for Taxes
not yet due and payable or which are being contested in good faith by appropriate proceedings (and for which adequate accruals or reserves
have been established in accordance to U.S. GAAP).
“Person”
means an individual, corporation, partnership (including a general partnership, limited partnership or limited liability partnership),
limited liability company, association, trust or other entity or organization, including a government, domestic or foreign, or political
subdivision thereof, or an agency or instrumentality thereof.
“Purchaser
Ordinary Shares” means the ordinary shares, par value $0.0001 per share, of Purchaser.
“Purchaser
Rights” means the rights of Purchaser, each such right convertible into one-tenth (1/10) of a Purchaser Ordinary Share.
“Purchaser
Securities” means the Purchaser Ordinary Shares, Purchaser Rights and Purchaser Warrants, collectively.
“Purchaser
Warrant” means the right to purchase three-fourths (3/4) of one Purchaser Ordinary Share at a price of $11.50 per whole share.
“Pre-Closing
Period” means any period that ends on or before the Closing Date or with respect to a period that includes but does not end
on the Closing Date, the portion of such period through and including the day of the Closing.
“Real
Property” means, collectively, all real properties and interests therein (including the right to use), together with all buildings,
fixtures, trade fixtures, plant and other improvements located thereon or attached thereto; all rights arising out of use thereof (including
air, water, oil and mineral rights); and all subleases, franchises, licenses, permits, easements and rights-of-way which are appurtenant
thereto.
“Registration
Rights Agreement” means the agreement governing the resale of the Closing Payment Shares, in the form attached hereto as Exhibit
C.
“Sarbanes-Oxley
Act” means the Sarbanes-Oxley Act of 2002, as amended.
“SEC”
means the Securities and Exchange Commission.
“Securities
Act” means the Securities Act of 1933, as amended.
“Shareholder”
means each owner of the Company Ordinary Shares, and “Shareholders” means all of them.
“Sponsor”
means Mr. Hooy Kok Wai.
“Subsidiary”
or “Subsidiaries” means one or more entities of which at least fifty percent (50%) of the capital stock or share capital
or other equity or voting securities are Controlled or owned, directly or indirectly, by the respective Person.
“Tangible
Personal Property” means all tangible personal property and interests therein, including machinery, computers and accessories,
furniture, office equipment, communications equipment, automobiles, trucks, forklifts and other vehicles owned or leased by the Company
and other tangible property, including the items listed on Schedule 5.12 of the Company Disclosure Schedules.
“Tax(es)”
means any federal, state, local or foreign tax, charge, fee, levy, custom, duty, deficiency, or other assessment of any kind or nature
imposed by any Taxing Authority (including any income (net or gross), gross receipts, profits, windfall profit, sales, use, goods and
services, ad valorem, franchise, license, withholding, employment, social security, workers compensation, unemployment compensation,
employment, payroll, transfer, excise, import, real property, personal property, intangible property, occupancy, recording, minimum,
alternative minimum, environmental or estimated tax), including any liability therefor as a transferee or successor, as a result of Treasury
Regulation Section 1.1502-6 or similar provision of applicable Law or as a result of any Tax sharing, indemnification or similar agreement,
together with any interest, penalty, additions to tax or additional amount imposed with respect thereto.
“Taxing
Authority” means the Internal Revenue Service and any other Authority responsible for the collection, assessment or imposition
of any Tax or the administration of any Law relating to any Tax.
“Tax
Return” means any return, information return, declaration, claim for refund or credit, report or any similar statement, and
any amendment thereto, including any attached schedule and supporting information, whether on a separate, consolidated, combined, unitary
or other basis, that is filed or required to be filed with any Taxing Authority in connection with the determination, assessment, collection
or payment of a Tax or the administration of any Law relating to any Tax.
“Trust
Amount” means the amount of cash available in the Trust Account after deducting redemptions of Parent public shareholders.
“U.S.
GAAP” means U.S. generally accepted accounting principles, consistently applied.
“$”
means U.S. dollars, the legal currency of the United States.
GLOSSARY
| “Additional
Parent SEC Documents” |
Section
6.14(a) |
| “Affiliate
Transaction” |
Section
5.34 |
| “Alternative
Proposal” |
Section
7.3(d) |
| “Alternative
Transaction” |
Section
7.3(d) |
| “Anti-Corruption
Laws” |
Section
5.33(a) |
| “Antitrust
Laws” |
Section
9.7(a) |
| “Arbitrator” |
Section
11.1(a) |
| “Audited
Financial Statements” |
Section
7.7(a) |
| “BVI
Law” |
Section
2.1 |
| “Closing” |
Section
3.2 |
| “Closing
Date” |
Section
3.2 |
| “Company
Disclosure Schedules” |
Article
V |
| “Company
Dissenting Shares” |
Section
4.1(b) |
| “Company
Dissenting Shareholder” |
Section
4.1(b) |
| “Company
Excluded Shares” |
Section
4.1(d) |
| “Company
Leases” |
Section
5.24(b) |
| “Company
Preferred Shares” |
Section
5.5(a) |
| “Computer
Systems” |
Section
5.17(g) |
| “D&O
Indemnified Persons” |
Section
7.7(a) |
| “D&O
Tail Insurance” |
Section
7.7(b) |
| “Effective
Time” |
Section
3.2 |
| “Equity
Incentive Plan” |
Section
9.9 |
| “Export
Control Laws” |
Section
5.33(a) |
| “FCPA” |
Section
5.30 |
| “International
Trade Control Laws” |
Section
5.33(a) |
| “Key
Personnel” |
Section
5.21(a) |
| “Labor
Agreements” |
Section
5.22(a) |
| “Material
Contracts” |
Section
5.14(a) |
| “Merger
Sub Ordinary Shares” |
Section
6.7(d) |
| “Money
Laundering Laws” |
Section
5.31 |
| “Outside
Date” |
Section
12.1(d) |
| “Owned
Intellectual Property” |
Section
5.17(a) |
| “Owned
Real Property” |
Section
5.24(a) |
| “Parent
Disclosure Schedules” |
Article
VI |
| “Parent
Excluded Shares” |
Section
2.6(e) |
| “Parent
Financial Statements” |
Section
6.14(b) |
| “PCAOB” |
Section
5.10(a) |
| “Parent
SEC Documents” |
Section
6.14(a) |
| “Parent
Shareholder Approval Matters” |
Section
9.5(a) |
| “Parent
Special Meeting” |
Section
9.5(a) |
| “Plan
of Acquisition Merger” |
Section
3.2 |
| “Plan
of Reincorporation Merger” |
Section
2.2 |
| “Prohibited
Party” |
Section
5.33(b) |
| “Prospectus” |
Section
9.5(a) |
| “Proxy
Statement/Prospectus” |
Section
9.5(a) |
| “Reincorporation
Effective Time” |
Section
2.2 |
| “Reincorporation
Surviving Corporation” |
Section
2.1 |
| “Required
Parent Shareholder Approval” |
Section
10.1(e) |
| “Requisite
Company Vote” |
Section
5.2 |
| “Sanctions
Laws” |
Section
5.33(a) |
| “Scheduled
Intellectual Property” |
Section
5.17(a) |
| “Surviving
Corporation” |
Section
3.1 |
| “Trust
Account” |
Section
6.9 |
| “Trustee” |
Section
6.9 |
| “Trust
Fund” |
Section
6.9 |
Article
II
THE
REINCORPORATION MERGER
2.1
Reincorporation Merger. At the Reincorporation Effective Time (as defined in Section 2.2), and subject to and upon the terms and
conditions of this Agreement, and in accordance with the Companies Act and all other applicable provisions of the laws of the British
Virgin Islands (the “BVI Law”), Parent shall be merged with and into Purchaser, the separate corporate existence of
Parent shall cease and Purchaser shall continue as the surviving corporation. Purchaser as the surviving corporation after the Reincorporation
Merger is hereinafter referred to, after the Reincorporation Effective Time, as the “Purchaser” or “Reincorporation
Surviving Corporation.”
2.2
Reincorporation Effective Time. Following the satisfaction or waiver (by the applicable party) of the closing conditions
set forth in Article X (except for Section 10.1(c) and such conditions to be performed at Closing), Parent shall cause the Reincorporation
Merger to be consummated by filing the articles of merger (the (“Articles of Reincorporation Merger”) and the plan
of merger (“Plan of Reincorporation Merger”) (and other documents required by the Companies Act and BVI Law) with
the Registrar of Corporate Affairs in the British Virgin Islands three Business Days before the Closing Date for registration, in accordance
with the relevant provisions of the Companies Act and BVI Law (the time and date of such registration by the Registrar of Corporate Affairs,
or such later time not exceeding 30 days, as specified in the Articles of Reincorporation Merger, being the “Reincorporation
Effective Time”).
2.3
Effect of the Reincorporation Merger. At the Reincorporation Effective Time, the effect of the Reincorporation Merger shall
be as provided in this Agreement, the Articles of Reincorporation Merger, the Plan of Reincorporation Merger, the Companies Act and all
other applicable provisions of BVI Law. Without limiting the generality of the foregoing, and subject thereto, at the Reincorporation
Effective Time, all the property, rights, privileges, agreements, powers and franchises, debts, liabilities, duties and obligations of
Parent shall become the property, rights, privileges, agreements, powers and franchises, debts, liabilities, duties and obligations of
the Reincorporation Surviving Corporation, which shall include the assumption by the Reincorporation Surviving Corporation of any and
all agreements, covenants, duties and obligations of Parent set forth in this Agreement to be performed after the Reincorporation Effective
Time, and all securities of the Reincorporation Surviving Corporation issued and outstanding as a result of the conversion under Sections
2.6(a) through (e) hereof shall be listed on the public trading market on which the Parent Units may be trading prior to the Reincorporation
Merger.
2.4
Memorandum and Articles of Association. At the Reincorporation Effective Time, the memorandum and articles of association
of the Reincorporation Surviving Corporation shall be amended and restated in its entirety in the form agreed to by the parties before
the first confidential filing of the Registration Statement and shall be thereafter amended in accordance with their terms, the Organizational
Documents of the Reincorporation Surviving Corporation and as provided by Law.
2.5
Directors and Officers of the Reincorporation Surviving Corporation. Except as otherwise agreed in writing by the Company and
Parent prior to the Reincorporation Effective Time, the Parties shall take all necessary action so that immediately after the Reincorporation
Effective Time, the board of directors of the Reincorporation Surviving Corporation shall consist of five (5) directors, (a) four (4)
of whom will be designated prior to the Closing by the Company, at a least three (3) of whom will be designated by the Company to serve
as independent directors satisfying the independence requirements of the Securities Act and the Nasdaq rules, and (b) one (1) of whom
will be designated prior to the Closing by Parent.
2.6
Effect on Issued Securities of Parent.
(a)
Conversion of Parent Ordinary Shares. At the Reincorporation Effective Time, every Parent Ordinary Share (other than Parent Excluded
Shares and the Parent Dissenting Shares) issued and outstanding immediately prior to the Reincorporation Effective Time shall be converted
automatically into one Purchaser Ordinary Share. At the Reincorporation Effective Time, all Parent Ordinary Shares shall cease to be
outstanding and shall automatically be converted or canceled (as the case may be) and shall cease to exist. The holders of certificates
previously evidencing Parent Ordinary Shares outstanding immediately prior to the Reincorporation Effective Time shall cease to have
any rights with respect to such Parent Ordinary Shares, except as provided herein or by Law. Each certificate previously evidencing Parent
Ordinary Shares (other than the Parent Excluded Shares and the Parent Dissenting Shares) shall thereafter represent only the right to
receive shall be exchanged for a certificate representing the same number of Purchaser Ordinary Shares upon the surrender of such certificate
in accordance with Section 2.7.
(b)
Parent Units. Immediately prior to the Reincorporation Effective Time, every issued and outstanding Parent Unit shall separate
into each’s individual components of one Parent Ordinary Share, one Parent Warrant and one Parent Right, and all Parent Units shall
cease to be outstanding and shall automatically be canceled and retired and shall cease to exist. Each individually separated component
shall, at the Reincorporation Effective Time, be converted into One Purchaser Ordinary Share, one Purchaser Warrant and/or one Purchaser
Right, as the case may be, in accordance with Section 2.6(a), Section 2.6(c) and Section 2.6(d), respectively. The holders of certificates
previously evidencing Parent Units outstanding immediately prior to the Reincorporation Effective Time shall cease to have any rights
with respect to such Parent Units, except as provided herein or by Law.
(c)
Parent Rights. At the Reincorporation Effective Time, every issued and outstanding Parent Right immediately prior to the Reincorporation
Effective Time shall be converted automatically into one Purchaser Right. At the Reincorporation Effective Time, all Parent Rights shall
cease to be outstanding and shall automatically be converted and shall cease to exist. The holders of certificates previously evidencing
Parent Rights outstanding immediately prior to the Reincorporation Effective Time shall cease to have any rights with respect to such
Parent Rights, except as provided herein or by Law. At the Closing, all Purchaser Rights shall cease to be outstanding and shall automatically
be canceled and retired and shall cease to exist. The holders of Purchaser Rights instead will receive one-tenth (1/10) of one Purchaser
Ordinary Share in exchange for the cancellation of each Purchaser Right; provided that no fractional shares will be issued and all fractional
shares will be rounded down to the nearest whole share.
(d)
Parent Warrants. At the Reincorporation Effective Time, every issued and outstanding Parent Warrant immediately prior to the Reincorporation
Effective Time shall be converted automatically into one Purchaser Warrant. At the Reincorporation Effective Time, all Parent Warrants
shall cease to be outstanding and shall automatically be canceled and retired and shall cease to exist. The holders of certificates previously
evidencing Parent Warrants outstanding immediately prior to the Reincorporation Effective Time shall cease to have any rights with respect
to such Parent Warrants, except as provided herein or by Law. Each certificate previously evidencing Parent Warrants shall be exchanged
for a certificate representing the same number of Purchaser Warrants upon the surrender of such certificate in accordance with Section
2.7.
(e)
Cancellation of Parent Ordinary Shares Owned by Parent. At the Reincorporation Effective Time, if there are any Parent Ordinary
Shares that are owned by Parent as treasury shares or any Parent Ordinary Shares owned by any direct or indirect wholly owned subsidiary
of the Parent immediately prior to the Reincorporation Effective Time (the “Parent Excluded Shares”), such shares
shall be canceled without any conversion thereof or payment therefor.
(f)
Cancellation of Purchaser Ordinary Shares Owned by Parent. At the Reincorporation Effective Time, every issued and outstanding
share(s) of Purchaser owned by Parent as set forth in Section 6.7(b), being the only issued and outstanding share(s) in Purchaser immediately
prior to the Reincorporation Effective Time, shall be canceled without any conversion thereof or payment therefor.
(g)
Transfers of Ownership. If any securities of Purchaser are to be issued in a name other than that in which the certificate surrendered
in exchange therefor is registered, it will be a condition of the issuance thereof that the certificate so surrendered will be properly
endorsed (or accompanied by an appropriate instrument of transfer) and otherwise in proper form for transfer and that the person requesting
such exchange will have paid to Purchaser or any agent designated by it any transfer or other Taxes required by reason of the issuance
of securities of Purchaser in any name other than that of the registered holder of the certificate surrendered, or established to the
satisfaction of Purchaser or any agent designated by it that such tax has been paid or is not payable.
(h)
No Liability. Notwithstanding anything to the contrary in this Section 2.6, none of the Reincorporation Surviving Corporation,
Parent or any party hereto shall be liable to any person for any amount properly paid to a public official pursuant to any applicable
abandoned property, escheat or similar law.
(i)
Fractional Shares. No certificates or scrip representing fractional shares of Purchaser Ordinary Share will be issued pursuant
to the Reincorporation Merger and each holder of Parent Securities who would otherwise be entitled to a fraction of a share of Purchaser
Ordinary Share at any time of Parent Ordinary Shares are distributed to any such Person pursuant to this Agreement (after aggregating
all fractional shares that otherwise would be received by such holder in connection with such distribution) shall receive from Purchaser,
in lieu of such fractional share, one (1) share of Purchaser Ordinary Share.
2.7
Surrender of Securities. All Purchaser Securities issued upon the surrender of Parent Securities in accordance with the
terms hereof shall be deemed to have been issued in full satisfaction of all rights pertaining to such Parent Securities, provided that
any restrictions on the sale and transfer of Parent Securities shall also apply to the Purchaser Securities so issued in exchange.
2.8
Lost, Stolen or Destroyed Certificates. In the event any certificates of Parent Securities shall have been lost, stolen
or destroyed, Purchaser shall issue in exchange for such lost, stolen or destroyed certificates, upon the making of an affidavit of that
fact by the holder thereof; provided, however, that Reincorporation Surviving Corporation may, in its discretion and as a condition precedent
to the issuance thereof, require the owner of such lost, stolen or destroyed certificates to deliver a bond in such sum as it may reasonably
direct as indemnity against any claim that may be made against the Reincorporation Surviving Corporation with respect to the certificates
alleged to have been lost, stolen or destroyed.
2.9
Section 368 Reorganization. For U.S. Federal income tax purposes, the Reincorporation Merger is intended to constitute
a “reorganization” within the meaning of Section 368(a) of the Code. Parent and Purchaser hereby adopt, and the Company acknowledges,
this Agreement as a “plan of reorganization” within the meaning of Section 1.368-2(g) of the United States Treasury Regulations.
Parent and Purchaser agree to file and retain such information as shall be required under Section 1.368-3 of the United States Treasury
Regulations. The parties to this agreement hereby agree to file all Tax and other informational returns on a basis consistent with such
characterization. Notwithstanding the foregoing or anything else to the contrary contained in this Agreement, the parties acknowledge
and agree that no party is making any representation or warranty as to the qualification of the Reincorporation Merger as a reorganization
under Section 368 of the Code or as to the effect, if any, that any transaction consummated on, after or prior to the Reincorporation
Effective Time has or may have on any such reorganization status. Each of the parties acknowledge and agree that each (i) has had the
opportunity to obtain independent legal and tax advice with respect to the transactions contemplated by this Agreement, and (ii) is responsible
for paying its own Taxes, including any adverse Tax consequences that may result if the Reincorporation Merger is determined not to qualify
as a reorganization under Section 368 of the Code.
2.10
Taking of Necessary Action; Further Action. If, at any time after the Reincorporation Effective Time, any further action is necessary
or desirable to carry out the purposes of this Agreement and to vest the Reincorporation Surviving Corporation with full right, title
and possession to all assets, property, rights, privileges, powers and franchises of Parent and Purchaser, the officers and directors
of Parent and Purchaser are fully authorized in the name of their respective companies or otherwise to take, and will take, all such
lawful and necessary action, so long as such action is not inconsistent with this Agreement.
2.11
Agreement of Fair Value. Parent, Purchaser and the Company respectively agree that the consideration payable for the Purchaser
Ordinary Shares represents the fair value of such Purchaser Ordinary Shares for the purposes of BVI Law.
2.12
Dissenter’s Rights. No Person who has validly exercised their dissenters’ rights in respect of the Reincorporation
Merger pursuant to Section 179 of the Companies Act (each a “Parent Dissenting Shareholder”) shall be entitled to
receive the securities of Purchaser in accordance with Section 2.6(a), (b), (c) or (d), as applicable with respect to the shares of Parent
owned by such Person (“Parent Dissenting Shares”) unless and until such Person shall have effectively withdrawn or
lost such Person’s dissenters’ rights under BVI Law. Each Parent Dissenting Shareholder shall be entitled to receive only
the payment resulting from the procedure in Section 179 of the Companies Act with respect to the Parent Dissenting Shares owned by such
Parent Dissenting Shareholder.
Article
III
THE
ACQUISITION MERGER
3.1
Acquisition Merger. Upon and subject to the terms and conditions set forth in this Agreement, on the Closing Date (as defined
in Section 3.2), which is one Business Day after the Reincorporation Effective Time, in accordance with the applicable provisions
of the Companies Act, Merger Sub shall be merged with and into the Company. Immediately upon the effectiveness of the Acquisition Merger,
the separate corporate existence of Merger Sub shall cease, and the Company shall continue as the surviving company in the Acquisition
Merger (the “Surviving Corporation”) under Laws of the British Virgin Islands and become a wholly owned subsidiary
of Purchaser.
3.2
Closing; Effective Time. Unless this Agreement is earlier terminated in accordance with Article XII, the closing of the Acquisition
Merger (the “Closing”) shall take place at the offices of Loeb & Loeb LLP, 345 Park Avenue, New York, New York
on a date no later than three (3) Business Days after the satisfaction or waiver of all the conditions set forth in Article X that are
required to be satisfied prior to the Closing Date, or at such other place and time as the Company and the Parent Parties may mutually
agree upon. The parties may participate in the Closing via electronic means. The date on which the Closing actually occurs is hereinafter
referred to as the “Closing Date”. On or prior to Closing, the parties hereto shall execute an articles of merger
(the “Articles of Acquisition Merger”) and a plan of merger (the “Plan of Acquisition Merger”)
in form and substance acceptable to Merger Sub and the Company, and the parties hereto shall cause the Acquisition Merger to be consummated
by filing the Articles of Acquisition Merger and Plan of Acquisition Merger (and any other documents required by Companies Act) with
the Registrar of Corporate Affairs in the British Virgin Islands in accordance with the relevant provisions of the Companies Act two
Business Days before the Closing Date for registration. The Acquisition Merger shall become effective at the time when it is registered
by the Registrar of Corporate Affairs (or such later time as specified in the Articles of Acquisition Merger, being not more than the
30 days after the date of such filing) in accordance with the Companies Act (the “Effective Time”).
3.3
Directors. Immediately after the Closing, the Company’s board of directors existing immediately prior to the Closing shall
be the Surviving Corporation’s board of directors as of and after the Closing shall consist of five (5) directors, a majority of
which shall be independent directors under the Nasdaq rules. Parent shall have the right to designate two (2) directors to the board,
and Company shall have the right to designate three (3) directors .
3.4
Effect of the Acquisition Merger. At the Effective Time, the effect of the Acquisition Merger shall be as provided in this
Agreement, the Plan of Acquisition Merger and the applicable provisions of the Companies Act. Without limiting the generality of the
foregoing, and subject thereto, at the Effective Time, all the property, rights, privileges, agreements, powers and franchises, debts,
Liabilities, duties and obligations of Merger Sub shall become the property, rights, privileges, agreements, powers and franchises, debts,
Liabilities, duties and obligations of the Surviving Corporation, which shall include the assumption by the Surviving Corporation of
any and all agreements, covenants, duties and obligations of the Merger Sub set forth in this Agreement to be performed after the Effective
Time.
3.5
Memorandum and Articles of Association of the Surviving Corporation. At and immediately following the Effective Time, the memorandum
and articles of association of Company shall be the memorandum and articles of association of the Surviving Corporation.
3.6 No
Further Ownership Rights in Company Shares. At the Effective Time, the register of members of the Company shall be closed
and thereafter there shall be no further registration of transfers of shares of Company Ordinary Shares on the records of the
Company.
3.7
Rights Not Transferable. The rights of the Shareholders as of immediately prior to the Effective Time are personal to each
such Shareholder and shall not be assignable or otherwise transferable for any reason (except (i) in the case of an entity, by operation
of Law or (ii) in the case of a natural person, by will or the Laws of descent and distribution). Any attempted transfer of such right
by any holder thereof (otherwise than as permitted by the immediately preceding sentence) shall be null and void.
3.8
Taking of Necessary Action; Further Action. If, at any time after the Effective Time, any further action is necessary or
desirable to carry out the purposes of this Agreement and to vest the Surviving Corporation with full right, title and interest in, to
and under, and/or possession of, all assets, property, rights, privileges, powers and franchises of Merger Sub and the Company, the officers
and directors of Merger Sub and the Company are fully authorized in the name of their respective corporations or otherwise to take, and
will take, all such lawful and necessary action, so long as such action is not inconsistent with this Agreement.
Article
IV
CONSIDERATION
4.1
Conversion of Capital.
(a)
Conversion of Ordinary Shares. At the Effective Time, by virtue of the Acquisition Merger and without any action on the part of
Purchaser, Merger Sub or the Company, each Company Ordinary Share issued and outstanding immediately prior to the Effective Time (other
than Company Excluded Shares and Company Dissenting Shares) shall be canceled and automatically converted into the right to receive,
without interest, the applicable number of Purchaser Ordinary Shares for such number of Company Ordinary Shares as specified in this
Agreement. For avoidance of any doubt, after the Effective Time, each Shareholder will cease to have any rights with respect to the Company
Ordinary Shares, except the right to receive his, her or its pro rata share of the Merger Consideration. The Merger Consideration shall
be comprised of the Closing Payment Shares, to be allocated as specified on Part 2 of Exhibit A hereto (as the same may be amended
prior to the Closing). For avoidance of any doubt, each Shareholder will cease to have any rights with respect to his, her or its Company
Ordinary Shares, except the right to receive his, her or its pro rata share of the Merger Consideration.
(b)
Dissenting Shares. Each Company Ordinary Share (the “Company Dissenting Shares”) owned by holders of Company
Ordinary Shares who have validly exercised and not effectively withdrawn or lost their rights to dissent from the Acquisition Merger
pursuant to Section 179 of the Companies Act (the “Company Dissenting Shareholders”) shall thereafter represent only
the right to receive the applicable payments set forth in Section 4.5, unless and until such Company Dissenting Shareholder effectively
withdraws its demand for, or loses its rights to, dissent from the Acquisition Merger pursuant to the Companies Act with respect to any
Company Dissenting Shares.
(c)
Share Capital of Merger Sub. Each share of Merger Sub that is issued and outstanding immediately prior to the Effective Time will,
by virtue of the Acquisition Merger and without further action on the part of the sole shareholder of Merger Sub, be converted into and
become one ordinary share of the Surviving Corporation (and such share of the Surviving Corporation into which the ordinary share of
Merger Sub is so converted shall be the only share of the Surviving Corporation that is issued and outstanding immediately after the
Effective Time).
(d)
Treatment of Certain Company Ordinary Shares. At the Effective Time, all Company Ordinary Shares that are owned by the Company
(as treasury shares or otherwise) or any of its direct or indirect Controlled Subsidiaries as of immediately prior to the Effective Time
(collectively, the “Company Excluded Shares”) shall be automatically cancelled without any conversion or consideration
delivered in exchange thereof.
(d)
No Liability. Notwithstanding anything to the contrary in this Section 4.1, none of Surviving Corporation or any other
party hereto shall be liable to any person for any amount properly paid to a public official pursuant to any applicable abandoned property,
escheat or similar law.
(e)
Surrender of Certificates. All securities issued upon the surrender of Company Ordinary Shares in accordance with the terms hereof,
shall be deemed to have been issued in full satisfaction of all rights pertaining to such securities, provided that any restrictions
on the sale and transfer of such Company Ordinary Shares shall also apply to the Closing Payment Shares so issued in exchange.
(f)
Lost, Stolen or Destroyed Certificates. In the event any certificates for any Company Ordinary Shares shall have been lost, stolen
or destroyed, Purchaser shall cause to be issued in exchange for such lost, stolen or destroyed certificates and for each such share,
upon the making of an affidavit of that fact by the holder thereof; provided, however, that Purchaser may, in its discretion and as a
condition precedent to the issuance thereof, require the owner of such lost, stolen or destroyed certificates to deliver a bond in such
sum as it may reasonably direct as indemnity against any claim that may be made against the Company or Purchaser with respect to the
certificates alleged to have been lost, stolen or destroyed.
(g)
Adjustments. Without limiting the other provisions of this Agreement, if at any time during the period between the date of this
Agreement and the Effective Time, any change in the outstanding securities of the Company or Purchaser shall occur (other than the issuance
of additional shares of the Company or Parent as permitted by this Agreement), including by reason of any reclassification, recapitalization,
share split (including a reverse share split), or combination, exchange, readjustment of shares, or similar transaction, or any share
dividend or distribution paid in shares, the number of the Closing Payment Shares payable pursuant to this Agreement shall be appropriately
adjusted to reflect such change; provided, however, that this sentence shall not be construed to permit Purchaser or the Company to take
any action with respect to its securities that is prohibited by the terms of this Agreement.
4.2
Payment of Merger Consideration.
(a)
Upon and subject to the terms and conditions of this Agreement, on the Closing Date, Purchaser shall issue to each Shareholder such number
of Closing Payment Shares opposite such Shareholder’s name on Exhibit A.
(b)
No certificates or scrip representing fractional Purchaser Ordinary Shares will be issued pursuant to the Acquisition Merger, and such
fractional share interests will not entitle the owner thereof to vote or to any rights of a shareholder of Purchaser.
4.3
Withholding Rights. Purchaser shall be entitled to deduct and withhold from the consideration otherwise payable pursuant
to this Agreement to any Person such amounts as it is required to deduct and withhold with respect to the making of such payment under
applicable Law; provided that Purchaser shall provide the Shareholders with advance written notice of any such intended withholding (other
than any withholding on amounts properly treated as compensation to employees for U.S. federal income Tax purposes) at least five (5)
days before the making of such payment, and Purchaser shall cooperate in good faith with the Shareholders to obtain any available exception
from, or reduction in, such withholding to the extent permitted under applicable Law. To the extent that amounts are so withheld by Purchaser,
and are timely paid to the applicable taxing authority or other applicable Person, such withheld amounts shall be treated for all purposes
of this Agreement as having been paid to the Person in respect of which such deduction and withholding was made.
4.4
[Reserved].
4.5
Company Dissenter’s Rights.
(a)
No Company Dissenting Shareholder who has validly exercised their dissenters’ rights in respect of the Acquisition Merger pursuant
to Section 179 of the Companies Act shall be entitled to receive right to receive the Closing Payment Shares with respect to the Company
Dissenting Shares owned by such Company Dissenting Shareholder unless and until such Company Dissenting Shareholder shall have effectively
withdrawn or lost such Company Dissenting Shareholder’s dissenters’ rights under BVI Law. Each Company Dissenting Shareholder
shall be entitled to receive only the payment resulting from the procedure in Section 179 of the Companies Act with respect to the Company
Dissenting Shares owned by such Company Dissenting Shareholder. The Company shall give the Purchaser (i) prompt notice of any notices
of objection, notices of dissent, written demands for appraisal, demands for fair value, attempted withdrawals of such demands, and any
other instruments served pursuant to applicable Laws that are received by the Company relating to any Company Dissenting Shareholder’s
rights of dissent under Companies Act and (ii) the opportunity to direct all negotiations and proceedings with respect to demand for
appraisal under the Companies Act. The Company shall not, except with the prior written consent of Purchaser, voluntarily make any payment
with respect to any demands for appraisal, offer to settle or settle any such demands or approve any withdrawal of any such demands.
(b)
In the event that any written notices of objection to the Acquisition Merger are served by any shareholders of the Company pursuant section
179 of the Companies Act, the Company shall serve written notice of the authorization and approval of this Agreement, the Plan of Acquisition
Merger and the Acquisition Merger on such shareholders pursuant to section 179(4) of the Companies Act within twenty (20) days of obtaining
the Requisite Company Vote (as defined below), provided that prior to serving any such notice, the Company shall consult with the Purchaser
with respect to such notice and shall afford the Purchaser a reasonable opportunity to comment thereon.
Article
V
REPRESENTATIONS
AND WARRANTIES OF THE COMPANY
Except
as set forth in the disclosure schedules delivered by the Company to the Parent Parties simultaneously with the execution of this Agreement
(the “Company Disclosure Schedules”), the Company hereby represents and warrants to the Parent Parties that each of
the following representations and warranties is true, correct and complete as of the date of this Agreement (or, if such representations
and warranties are made with respect to a certain date, as of such date). The parties hereto agree that any reference to numbered and
lettered sections and subsections of this Article V shall only refer to the section or subsection being referenced. For the avoidance
of doubt, unless the context otherwise requires, the below representations and warranties relate to, where applicable, the Company on
a consolidated basis with its Subsidiaries and also as to each Subsidiary individually for all periods, unless otherwise provided. References
to Schedules in this Article V shall, unless otherwise provided, be to the Company Disclosure Schedules.
5.1
Corporate Existence and Power. The Company is a business company duly incorporated, validly existing and in good standing
under Laws of the British Virgin Islands and each Subsidiary is duly organized, validly existing and in good standing under the laws
of the jurisdiction in which it was formed. The Company and each Subsidiary has all requisite power and authority, corporate and otherwise,
and all governmental licenses, franchises, Permits, authorizations, consents and approvals necessary and required to own and operate
its properties and assets and to carry on the Business as presently conducted, other than as would not be reasonably expected to, individually
or in the aggregate, have a Material Adverse Effect. The Company and each Subsidiary is duly licensed or qualified to do business and
is in good standing in each jurisdiction in which the properties owned or leased by it or the operation of its Business as currently
conducted makes such licensing or qualification necessary, except where the failure to be so licensed, qualified or in good standing
would not have a Material Adverse Effect. Schedule 5.1 of the Company Disclosure Schedules lists all jurisdictions in which the
Company and each Subsidiary is qualified to conduct business as a foreign corporation or other entity. The Company does not conduct its
principal business operations in China (including for these purposes Hong Kong).
5.2
Authorization. The Company has all requisite power and authority to execute and deliver this Agreement and the Additional
Agreements to which it is a party and to consummate the transactions contemplated hereby and thereby. The execution, delivery and performance
by the Company of this Agreement and the Additional Agreements to which it is a party and the consummation by the Company of the transactions
contemplated hereby and thereby are within the corporate powers of the Company and have been duly authorized by all necessary action
on the part of the Company, subject to the authorization and approval of this Agreement, the Articles of Acquisition Merger, the Plan
of Acquisition Merger and the transactions contemplated hereby by way of a resolution of members of the Company passed by the affirmative
vote of holders of Company Ordinary Shares representing at least a majority of the votes of the Company Ordinary Shares present and voting
in person or by proxy at a meeting of the shareholders of the Company in accordance with the memorandum and articles of association of
the Company and the Companies Act (the “Requisite Company Vote”). This Agreement constitutes, and, upon their execution
and delivery, each of the Additional Agreements to which the Company is a will constitute, a valid and legally binding agreement of the
Company enforceable against the Company in accordance with their respective terms.
5.3
Governmental Authorization. Except as set forth in Schedule 5.3 of the Company Disclosure Schedules, none of the execution,
delivery or performance by the Company of this Agreement or any Additional Agreements to which it is a party requires any consent, approval,
license or other action by or in respect of, or registration, declaration or filing with, any Authority as of the date of this Agreement.
5.4
Non-Contravention. None of the execution, delivery or performance by the Company of this Agreement or any Additional Agreements
to which it is a party does or will (a) contravene or conflict with the Organizational Documents of the Company, (b) contravene or conflict
with or constitute a violation of any provision of any Law or Order binding upon or applicable to the Company, constitute a default under
or breach of (with or without the giving of notice or the passage of time or both) or violate or give rise to any right of termination,
cancellation, amendment or acceleration of any right or obligation of the Company or require any payment or reimbursement or result in
a loss of any material benefit relating to which the Company is entitled under any provision of any Permit, Contract or other instrument
or obligations binding upon the Company or by which any of the Company Ordinary Shares, or any of the Company’s assets is or may
be bound, (d) result in the creation or imposition of any Lien on any of the Company Ordinary Shares, (e) cause a loss of any material
benefit relating to the Business to which the Company is entitled under any provision of any Permit or Contract binding upon the Company,
or (f) result in the creation or imposition of any Lien (except for Permitted Liens) on any of the Company’s material assets, in
the cases of (a) to (d), other than as would not be reasonably expected to, individually or in the aggregate, have a Material Adverse
Effect.
5.5
Capital Structure.
(a)
Share Capital. The Company is authorized to issue a maximum of 220,000,000 shares with no par value divided into (i) 160,000,000
Company Ordinary Shares and (ii) 60,000,000 company preferred shares (referred to as “Company Preferred Shares”),
of which 76,402,670 Company Ordinary Shares and 0 Company Preferred Shares are issued and outstanding as of the date hereof. No Company
Ordinary Shares are held in the Company’s treasury. All of the issued and outstanding Company Ordinary Shares and Company Preferred
Shares have been duly authorized and validly issued, are fully paid and non-assessable, are not subject to any preemptive rights and
have not been issued in violation of any preemptive or similar rights of any Person. As of the date hereof, all of the issued and outstanding
Company Ordinary Shares and Company Preferred Shares are owned legally and beneficially by the Persons set forth on Part 1 of Exhibit
A, and immediately prior to the Closing, all of the issued and outstanding Company Ordinary Shares will be owned legally and beneficially
by the Persons set forth on Part 2 of Exhibit A. The only Company Ordinary Shares that will be issued and outstanding immediately
after the Closing will be the Company Ordinary Shares owned by Purchaser. No other class in the share capital of the Company is authorized
or issued or outstanding.
(b)
Schedule 5.5(b) of the Company Disclosure Schedules sets forth all existing Company Share Rights. Except as set forth on Schedule
5.5(b) of the Company Disclosure Schedules, there are no: (a) outstanding Company Share Rights; (b) outstanding subscriptions, options,
warrants, rights (including phantom stock rights), calls, commitments, understandings, conversion rights, rights of exchange, plans or
other agreements of any kind providing for the purchase, issuance or sale of any share of the Company; (c) to the knowledge of the Company,
agreements with respect to any of the Company Ordinary Share, including any voting trust, other voting agreement or proxy with respect
thereto; or (d) disputes, controversies, demands or claims as to any Company Ordinary Shares.
(c)
There are no Company Ordinary Shares that are owned by the Company (as treasury shares or otherwise) or by any of its direct or indirect
Subsidiaries as of immediately prior to the Effective Time.
(d)
Schedule 5.5(d) of the Company Disclosure Schedule sets forth a list of all Subsidiaries, as well as the capitalization of each
Subsidiary, including all classes of equity and all owners thereof.
5.6
Charter Documents. Copies of Organizational Documents of the Company and of each Subsidiary have heretofore been made available
to Parent, and such copies are each true and complete copies of such instruments as amended and in effect on the date hereof. Neither
the Company nor any of its Subsidiaries has taken any action in violation of its Organizational Documents, other than as would not be
reasonably expected to, individually or in the aggregate, have a Material Adverse Effect.
5.7
Corporate Records. The register of members and all proceedings of the shareholders and directors of the Company since May
1, 2021, and of each Subsidiary since the date of its formation, have been made available to Parent, and are true, correct and complete
copies of the original register of members or the equivalent documents of thereof.
5.8
Subsidiaries; Principal Business Operations. Schedule 5.8(a) of the Company Disclosure Schedules sets forth the name of
each Subsidiary, and with respect to each Subsidiary, its jurisdiction of organization, its authorized shares or other equity interests
(if applicable), and the number of authorized and issued and outstanding shares or other equity interests and the record holders thereof.
Each Subsidiary (i) is a legal entity duly organized, validly existing and in good standing under the Laws of its jurisdiction of organization
and (ii) has all requisite power and authority to own, lease and operate its properties and assets and to carry on its business as now
conducted. Each Subsidiary is duly licensed, qualified or authorized to do business as a foreign corporation and is in good standing
under the Laws of each jurisdiction in which it owns or leases real property and each other jurisdiction in which the conduct of its
business or the ownership of its properties requires such license, qualification or authorization. Other than as set forth on Schedule
5.8(a) of the Company Disclosure Schedules, (i) all of the outstanding equity securities of each Subsidiary are duly authorized and
validly issued, duly registered and non-assessable (if applicable), were offered, sold and delivered in material compliance with all
applicable securities Laws, and are owned by the Company or one of its Subsidiaries free and clear of all Liens (other than those, if
any, imposed by such Subsidiary’s Organizational Documents); (ii) there are no Contracts to which the Company or any of its Affiliates
is a party or bound with respect to the voting (including voting trusts or proxies) of the shares or other equity interests of any Subsidiary
other than the Organizational Documents of any such Subsidiary; (iii) there are no outstanding or authorized options, warrants, rights,
agreements, subscriptions, convertible securities or commitments relating to any Subsidiary to which any Subsidiary is a party or which
are binding upon any Subsidiary providing for the issuance or redemption of any shares or other equity interests in or of any Subsidiary;
(iv) there are no outstanding equity appreciation, phantom equity, profit participation or similar rights granted by any Subsidiary;
(v) except as set forth on Schedule 5.8(a) of the Company Disclosure Schedules, no Subsidiary has any limitation on its ability to make
any distributions or dividends to its equity holders, whether by Contract, Order or applicable Law; (vi) except for the equity interests
of the Subsidiaries listed on Schedule 5.8(a) of the Company Disclosure Schedules, the Company does not own or have any rights to acquire,
directly or indirectly, any shares or other equity interests of, or otherwise Control, any Person; (vii) none of the Company or its Subsidiaries
is a participant in any joint venture, partnership or similar arrangement, and (viii) except as set forth on Schedule 5.8(a) of the Company
Disclosure Schedules, there are no outstanding contractual obligations of the Company or its Subsidiaries to provide funds to, or make
any investment (in the form of a loan, capital contribution or otherwise) in, any other Person. No Subsidiary conducts its principal
business operations in China (including for these purposes Hong Kong). The principal business operations of the Company and its Subsidiaries,
taken as a whole, are not located in China (which for these purposes also includes Hong Kong).
5.9
Consents. No Contracts binding upon the Company or by which any of the Company Ordinary Share, or any of the Company’s
assets are bound, requiring a consent, approval, authorization, order or other action of or filing with any Person (other than the Company
or its shareholders) as a result of the execution, delivery and performance of this Agreement or any of the Additional Agreements or
the consummation of the transactions contemplated hereby or thereby.
5.10
Financial Statements.
(a)
The Company has provided to Parent the audited consolidated financial statements of the Company as of and for the fiscal years ended
December 31, 2021 and December 31, 2022 (the “Audited Financial Statements”), consisting of the audited consolidated
balance sheets as of such dates, the audited consolidated income statements for the twelve (12) month period ended on such dates, and
the audited consolidated cash flow statements for the twelve (12) month period ended on such dates, audited in accordance with the requirements
of the Public Company Accounting Oversight Board (the “PCAOB”).
(b)
The Audited Financial Statements are complete and accurate and fairly present in all material respects, in conformity with its applicable
accounting standards applied on a consistent basis in all material respects, the financial position of the Company as of the dates thereof
and the results of operations of the Company for the periods reflected therein. The Audited Financial Statements (i) were prepared from
the Books and Records of the Company; (ii) were prepared on an accrual basis consistent with U.S. GAAP in accordance with its applicable
accounting standards consistently applied; (iii) contain and reflect all necessary adjustments and accruals for a fair presentation of
the Company’s financial condition in all material respects as of their dates including for all warranty, maintenance, service and
indemnification obligations; and (iv) contain and reflect adequate provisions for all Liabilities for all material Taxes applicable to
the Company with respect to the periods then ended.
(c)
Except as specifically disclosed, reflected or fully reserved against on the Audited Financial Statements, and for Liabilities and obligations
of a similar nature and in similar amounts incurred in the ordinary course of business since January 1, 2023 there are no material liabilities,
debts or obligations of any nature (whether accrued, fixed or contingent, liquidated or unliquidated, asserted or unasserted or otherwise)
relating to the Company. All material debts and liabilities, fixed or contingent, which should be included under U.S. GAAP on the Audited
Financial Statements are included therein.
(d)
The Audited Financial Statements accurately reflect in all material respects the outstanding Indebtedness of the Company as of the date
thereof. Except as set forth on Schedule 5.10 of the Company Disclosure Schedules, the Company does not have any Indebtedness.
(e)
The Company has established and maintain systems of internal accounting controls that are sufficient to provide, in all material respects,
reasonable assurance that (i) all transactions are executed in accordance with management’s authorization, and (ii) all transactions
are recorded as necessary to permit preparation of proper and accurate financial statements in accordance with GAAP and to maintain accountability
for the assets of the Company and its Subsidiaries. The Company maintains and, for all periods covered by the Audited Financial Statements,
has maintained Books and Records of the Company and its Subsidiaries in the ordinary course of business that are true and complete and
reflect the revenues, expenses, assets and liabilities of the Company and its Subsidiaries in all material respects.
5.11
Absence of Certain Changes. Since January 1, 2023, except as set forth on Schedule 5.11 of the Company Disclosure
Schedules or contemplated by this Agreement, any Additional Agreements or in connection with the transactions contemplated hereby and
thereby, (a) the Company has conducted the Business in the ordinary course consistent with past practices; (b) there has not been any
Material Adverse Effect; and (c) the Company has not taken any action nor has any event occurred which would have violated the covenants
of the Company set forth in clauses (i) through (xiv) of Section 6.1 if such action had been taken or such event had occurred between
the date hereof and the Closing Date.
5.12
Properties; Title to the Company’s Assets.
(a)
The material items of Tangible Personal Property have no defects, are in good operating condition and repair and function in accordance
with their intended uses (ordinary wear and tear excepted) and have been properly maintained, and are suitable for their present uses
and meet all specifications and warranty requirements with respect thereto; and all of the Tangible Personal Property is in the control
of the Company or a Subsidiary and/or its employees.
(b)
The Company has good, valid and marketable title in and to, or in the case of the assets which are leased or licensed pursuant to Contracts,
a valid leasehold interest or license in or a right to use, all of their assets reflected on the Audited Financial Statements (as defined
below) or acquired on or after January 1, 2023 other than as would not reasonably be expected to, individually or in the aggregate, have
a Material Adverse Effect. No such asset is subject to any Liens other than Permitted Liens. The Company’s assets constitute, in
all material respects, all of the assets of any kind or description whatsoever, including goodwill, for the Company to operate the Business
immediately after the Closing in the same manner as the Business is currently being conducted.
5.13
Litigation. Except as set forth on Schedule 5.13 of the Company Disclosure Schedules, (i) there is no Action (or
any basis therefor) pending against, or to the knowledge of the Company threatened against or affecting, the Company, any Subsidiary,
any of the Company’s or any Subsidiary’s officers or directors, the Business, or any Company Ordinary Shares, or any of the
Company’s or a Subsidiary’s assets or any Contract before any court, Authority or official or which in any manner challenges
or seeks to prevent, enjoin, alter or delay the transactions contemplated hereby or by the Additional Agreements; (ii) there are no outstanding
judgments against the Company or any Subsidiary that would reasonably to be expected to the ability of the Company to enter into and
perform its obligations under this Agreement; and (iii) each Shareholder is not, and has not been in the past six (6) years, subject
to any proceeding with any Authority.
5.14
Contracts.
(a)
Schedule 5.14(a) of the Company Disclosure Schedules lists all material Contracts, oral or written (collectively, the “Material
Contracts”) to which the Company or any Subsidiary is a party and which are currently in effect and constitute the following:
(i)
all Contracts that require annual payments or expenses by, or annual payments or income to, the Company of $1,000,000 or more (other
than standard purchase and sale orders entered into in the ordinary course of business consistent with past practice);
(ii)
all sales, advertising, agency, lobbying, broker, sales promotion, market research, marketing or similar contracts and agreements, in
each case requiring the payment of any commissions by the Company in excess of $500,000 annually;
(iii)
all employment Contracts, employee leasing Contracts, and consultant and sales representatives Contracts with any current or former officer,
director, employee or consultant of the Company or any Subsidiary or other Person, under which the Company (A) has continuing obligations
for payment of annual compensation of at least $300,000 (other than oral arrangements for at-will employment), (B) has material severance
or post termination obligations to such Person (other than COBRA obligations), or (C) has an obligation to make a payment upon consummation
of the transactions contemplated hereby or as a result of a change of control of the Company;
(iv)
all Contracts creating a joint venture, strategic alliance, limited liability company and partnership agreements to which the Company
or any Subsidiary is a party;
(v)
all Contracts relating to any acquisitions or dispositions of assets by the Company in excess of $1,000,000;
(vi)
all Contracts for material licensing agreements, including Contracts licensing Intellectual Property Rights, other than (i) “shrink
wrap” licenses, and (ii) non-exclusive licenses granted in the ordinary course of business;
(vii)
Contracts (i) under which the Company or any of its Subsidiaries is currently: (A) licensing or otherwise providing the right to use
to any third party any Owned Intellectual Property, or (B) licensing or otherwise receiving the right to use from any third party any
material Intellectual Property, with the exception of (1) non-exclusive licenses and subscriptions to commercially available software
or technology used for internal use by the Company, with a dollar value individually not in excess of $150,000, (2) any Contract related
to open source software, or (3) any Contract under which the Company licenses any of its Intellectual Property in the Ordinary Course,
and (ii) under which the Company or any of its Subsidiaries has entered into an agreement not to assert or sue with respect to any Intellectual
Property;
(viii)
all Contracts relating to material secrecy, confidentiality and nondisclosure agreements substantially limiting the freedom of the Company
or any Subsidiary to compete in any line of business or with any Person or in any geographic area;
(ix)
all Contracts relating to material patents, trademarks, service marks, trade names, brands, copyrights, trade secrets and other material
Intellectual Property Rights of the Company;
(x)
all Contracts providing for material guarantees, indemnification arrangements and other hold harmless arrangements made or provided by
the Company or any Subsidiary, including all ongoing agreements for repair, warranty, maintenance, service, indemnification or similar
obligations;
(xi)
all Contracts with or pertaining to the Company or any Subsidiary to which any Shareholder is a party;
(xii)
all Contracts relating to property or assets (whether real or personal, tangible or intangible) in which the Company or any Subsidiary
holds a leasehold interest (including the Leases) and which involve payments to the lessor thereunder in excess of $10,000 per month;
(xiii)
all Contracts relating to outstanding Indebtedness, including financial instruments of indenture or security instruments (typically interest-bearing)
such as notes, mortgages, loans and lines of credit, except any such Contract with an aggregate outstanding principal amount not exceeding
$500,000;
(xiv)
any Contract relating to the voting or control of the equity interests of the Company or the election of directors of the Company or
other Subsidiary (other than the Organizational Documents of the Company);
(xv)
any Contract that can be terminated, or the provisions of which are altered, as a result of the consummation of the transactions contemplated
by this Agreement or any of the Additional Agreements to which the Company or any Subsidiary is a party;
(xvi)
any Contract relating to the Business and not otherwise described in this Section 5.14(a), if it involves an amount in excess of $2,000,000,
it being understood that this clause applies only to metals and other trading contracts entered into on or after January 1,2023; and
(xvii)
any Contract for which any of the benefits, compensation or payments (or the vesting thereof) with respect to a Shareholder, or with
respect to a director, officer, employee or consultant of the Company or any Subsidiary will be increased or accelerated by the consummation
of the transactions contemplated hereby or the amount or value thereof will be calculated on the basis of any of the transactions contemplated
by this Agreement.
(b)
Except for any Material Contract that has terminated or will terminate upon the expiration of the stated term thereof prior to the Closing
Date, and except as set forth on Schedule 5.14(b) of the Company Disclosure Schedules, (i) each Material Contract is a valid and
binding agreement, and is in full force and effect, and neither the Company or any Subsidiary nor, to the Company’s knowledge,
any other party thereto, is in breach or default (whether with or without the passage of time or the giving of notice or both) under
the terms of any such Material Contract, (ii) the Company and each Subsidiary has not assigned, delegated, or otherwise transferred any
of its rights or obligations with respect to any Material Contract, or granted any power of attorney with respect thereto or to any of
the Company’s or any Subsidiary’s assets, (iii) no Material Contract (A) requires the Company or any Subsidiary to post a
bond or deliver any other form of security or payment to secure its obligations thereunder or (B) imposes any non-competition covenants
that may be binding on, or restrict the Business or require any payments by or with respect to the Company or any of its Affiliates.
The Company has previously provided to the Parent Parties true and correct fully executed copies of each written Material Contract.
(c)
Except as set forth on Schedule 5.14(c) of the Company Disclosure Schedules, none of the execution, delivery or performance by
the Company of this Agreement or Additional Agreements to which the Company is a party or the consummation by the Company of the transactions
contemplated hereby or thereby constitutes a default under or gives rise to any right of termination, cancellation or acceleration of
any obligation of the Company or any Subsidiary or to a loss of any material benefit to which the Company or any Subsidiary is entitled
under any provision of any Material Contract.
(d)
Except as set forth on Schedule 5.14(d) of the Company Disclosure Schedules, the Company is in compliance with all material covenants,
including all financial covenants, in all notes, indentures, bonds and other instruments or agreements evidencing any Indebtedness.
5.15
Licenses and Permits. Schedule 5.15 of the Company Disclosure Schedules correctly lists each material license, franchise,
permit, order or approval or other similar authorization affecting, or relating in any way to, the Business, together with the name of
the Authority issuing the same (the “Permits”). Except as set forth on Schedule 5.15 of the Company Disclosure
Schedules, all material Permits are valid and in full force and effect, and no material Permits will, assuming the related third party
consent has been obtained or waived prior to the Closing Date, be terminated or impaired or become terminable as a result of the transactions
contemplated hereby. The Company has all material Permits necessary to operate the Business.
5.16
Compliance with Laws. Except as set forth on Schedule 5.16 of the Company Disclosure Schedules, the Company and each Subsidiary
is not in violation of, has not violated, and to the Company’s knowledge, is neither under investigation with respect to nor has
been threatened to be charged with or given notice of any violation or alleged violation of, any Law, or judgment, order or decree entered
by any court, arbitrator or Authority, domestic or foreign, nor is there any basis for any such charge and within the last 24 months
the Company and each Subsidiary has not received any subpoenas by any Authority. Except as set forth on Schedule 5.16 of the Company
Disclosure Schedules, no material Permit is required by the Company or any Subsidiary in the conduct of the Business under any Law that
is not currently in the possession of the Company or such Subsidiary.
5.17
Intellectual Property.
(a)
Schedule 5.17(a) of the Company Disclosure Schedules sets forth a true, accurate and complete list of all (i) issued patents and
pending patent applications, (ii) trademark registrations and pending trademark applications, (iii) registered copyrights and pending
copyright applications, and (iv) internet domain name registrations, in each case that are owned by the Company or any of its Subsidiaries
(“Scheduled Intellectual Property” and collectively, and together with other Intellectual Property owned by or purported
to be owned by the Company or any of its Subsidiaries, the “Owned Intellectual Property”). All of the registrations,
applications, and issuance within the Scheduled Intellectual Property are subsisting, in full force and effect, and to the knowledge
of the Company, all such registrations and issuances within the Scheduled Intellectual Property are valid, subsisting and enforceable.
(b)
The Company or a Subsidiary exclusively owns all right, title and interest in and to the Owned Intellectual Property free and clear of
all Liens, other than Permitted Liens. Except as set forth on Schedule 5.17(b) of the Company Disclosure Schedules, (i) no Owned
Intellectual Property is the subject of any current opposition, cancellation, or similar Proceeding before any Authority other than Proceedings
involving the examination of applications for registration of Intellectual Property (e.g., patent prosecution Proceedings, trademark
prosecution Proceedings, and copyright prosecution Proceedings), (ii) neither the Company nor any of its Subsidiaries is subject to any
injunction or other specific judicial, administrative, or other Order that restricts or impairs its ownership, registrability, enforceability,
use or distribution of any Owned Intellectual Property, and (iii) neither the Company nor any of its Subsidiaries is subject to any current
Proceeding that the Company reasonably expects would materially and adversely affect the validity, use or enforceability of any Owned
Intellectual Property, in each case since January 1, 2019. To the knowledge of the Company no Proceedings described in this Section 5.17(b)
are or have been threatened in writing.
(c)
To the knowledge of the Company, the conduct of the business of the Company, including its Subsidiaries, as is currently conducted or
conducted since January 1, 2019, including any use of the Owned Intellectual Property as currently used by the Company or any of its
Subsidiaries, does not infringe, misappropriate, or violate any Intellectual Property or other proprietary right of any Person, except
as would not, individually or in the aggregate, have a Material Adverse Effect. Schedule 5.17(c) of the Company Disclosure Schedules
sets forth a true, accurate, and complete list of all Proceedings that are pending since January 1, 2019, in which it is alleged that
the Company or any of its Subsidiaries is infringing, misappropriating, or violating the Intellectual Property of any Person.
(d)
Schedule 5.17(d) of the Company Disclosure Schedules sets forth a true, accurate, and complete list, as of the date of this Agreement,
of pending Proceedings since January 1, 2019, in which it is alleged that any Person is infringing, misappropriating or violating rights
of the Company or any of its Subsidiaries to Owned Intellectual Property. To the knowledge of the Company, no Person is infringing, violating
or misappropriating the rights of the Company or any of its Subsidiaries in or to any Owned Intellectual Property since January 1, 2019,
except as set forth on Schedule 5.17(d) of the Company Disclosure Schedules.
(e)
Each current and former officer, employee or contractor of the Company or any Subsidiary who in the regular course of such Person’s
employment or engagement with the Company or such Subsidiary would reasonably be expected to create or contribute to the creation of
Owned Intellectual Property, has executed an assignment or similar agreement with the Company or Subsidiary assigning to the Company
or such Subsidiary all right, title, and interest in and to such Owned Intellectual Property. No Authority or academic institution has
any right to, ownership of, or right or royalties for, any Owned Intellectual Property.
(f)
The Company and each Subsidiary has taken commercially reasonable steps, consistent with industry practices of companies offering similar
services, to safeguard and maintain the secrecy and confidentiality of, and its proprietary rights in and to, non-public Owned Intellectual
Property. To the knowledge of the Company, no present or former officer, director, employee, agent, independent contractor, or consultant
of the Company or any Subsidiary has misappropriated any material trade secrets or other confidential information of any other Person
in the course of the performance of responsibilities to the Company or such Subsidiary.
(g)
The Company and its Subsidiaries have established and implemented, and, to the knowledge of the Company, are operating in material compliance
with, policies, programs and procedures that are commercially reasonable, consistent with industry practices or companies offering similar
services. The Company and its Subsidiaries maintain security controls, consistent with industry practices or companies offering similar
services, for all material information technology systems owned by the Company and/or its Subsidiaries, including computer hardware,
software, networks, information technology systems, electronic data processing systems, telecommunications networks, network equipment,
interfaces, platforms, peripherals, and data or information contained therein or transmitted thereby, including any outsourced systems
and processes (collectively, the “Computer Systems”). For twelve (12) month period prior to the Signing Date, the
Computer Systems have not suffered any failures, breakdowns, continued substandard performance, unauthorized intrusions, or other adverse
events affecting any such Computer Systems that, in each case, have caused any substantial disruption of or interruption in or to the
Business and the use of such Computer Systems, except as would not, individually or in the aggregate, have a Material Adverse Effect.
(h)
No Actions are pending or, to the knowledge of the Company, threatened in writing against the Company and/or its Subsidiaries relating
to the collection, use, dissemination, storage and protection of personal data.
(i)
Except as would not, individually or in aggregate, have a Material Adverse Effect, none of the software within the Owned Intellectual
Property is currently or was in the past distributed or used by the Company or any Subsidiary with any open source software in a manner
that requires any such software within the Owned Intellectual Property to be dedicated to the public domain, disclosed, distributed in
source code form, made available at no charge, or reverse engineered.
(j)
The Company is in actual possession and control of the source code of the software within the Owned Intellectual Property, as well as
all related material documentation, specifications and know how. Except as set forth on Schedule 5.16(j) of the Company Disclosure
Schedules no Person other than the Company and its employees and contractors (i) has a right to access or possess any source code of
the software within the Owned Intellectual Property, or (ii) will be entitled to obtain access to or possession of such source code as
a result of the execution, delivery and performance of by the Company of this Agreement and the consummation of the transactions contemplated
by this Agreement.
5.18
Customers and Suppliers.
(a)
Schedule 5.18(a) of the Company Disclosure Schedules sets forth a list of the Company’s (on a consolidated basis with its
Subsidiaries) ten (10) largest customers and the ten (10) largest suppliers as measured by the dollar amount of purchases therefrom or
thereby, for the Company’s 2022 fiscal year and for the first six (6) months of the Company’s 2023 fiscal year, showing the
approximate total sales by the Company to each such customer and the approximate total purchases by the Company from each such supplier,
during each such period.
(b)
Except as set forth on Schedule 5.18(b) of the Company Disclosure Schedules to the actual knowledge of the Company or any Subsidiary,
no supplier listed on Schedule 5.18(a) of the Company Disclosure Schedules has (i) terminated its relationship with the Company
or any Subsidiary (ii) materially reduced its business with the Company or any Subsidiary or materially and adversely modified its relationship
with the Company, (iii) notified the Company or any Subsidiary in writing of its intention to take any such action, or (iv) to the knowledge
of the Company, become insolvent or subject to bankruptcy proceedings.
5.19
Accounts Receivable and Payable; Loans.
(a)
To the Company’s knowledge, all accounts receivables and notes of the Company reflected on the Financial Statements, and all accounts
receivable and notes arising subsequent to the date thereof, represent valid obligations arising from services actually performed or
goods actually sold by the Company and its Subsidiaries in the ordinary course of business consistent with past practice. To the Company’s
knowledge, the accounts payable of the Company reflected on the Financial Statements, and all accounts payable arising subsequent to
the date thereof, arose from bona fide transactions in the ordinary course consistent with past practice.
(b)
To the Company’s knowledge, there is no contest, claim, or right of setoff in any agreement with any maker of an account receivable
or note relating to the amount or validity of such account, receivables or note that could reasonably result in a Material Adverse Effect.
To the Company’s knowledge, except as set forth on Schedule 5.19(b) of the Company Disclosure Schedules, all accounts, receivables
or notes are good and collectible in the ordinary course of business.
(c)
The information set forth on Schedule 5.19(c) of the Company Disclosure Schedules separately identifies any and all accounts receivables
or notes of the Company which are owed by any Affiliate of the Company as of or subsequent to January 1, 2022. Except as set forth on
Schedule 5.19(c) of the Company Disclosure Schedules, the Company (including for these purposes all Subsidiaries) is not indebted
to any of its Affiliates and no Affiliates are indebted to the Company.
5.20
Pre-payments. Except as set forth on Schedule 5.20 of the Company Disclosure Schedules, the Company has not received
any payments with respect to any services to be rendered or goods to be provided after the Closing except in the ordinary course of business.
5.21
Employees.
(a)
Schedule 5.21(a) of the Company Disclosure Schedules sets forth a true, correct and complete list of all employees of the Company
and its Subsidiaries, including those employees designated separately as key personnel of the Company or any Subsidiary (the “Key
Personnel”), setting forth the name and title for all Key Personnel. Without limiting the generality of the foregoing, “Key
Personnel” include the Company’s Chief Executive Officer; Chief Financial Officer; Sim Tze Jye (Group CEO); Yap Sheng
Feng (Executive Vice President); Kang Chiu Yee (Deputy CEO) and Goo Li Siang (Deputy CEO). No later than the Closing Date, Purchaser
will enter into Employment Agreements with the following Key Personnel: Sim Tze Jye (Group CEO); Yap Sheng Feng (Executive Vice President);
Kang Chiu Yee (Deputy CEO) and Goo Li Siang (Deputy CEO). Execution of all the foregoing Employment Agreements will be a condition to
the Parent Parties’ obligation to consummate the Closing.
(b)
Except as set forth on Schedule 5.21(b) of the Company Disclosure Schedules, the Company is not a party to or subject to any collective
bargaining agreement, non-competition agreement or other agreement restricting the activities of the Company or any Subsidiary, and there
has been no activity or proceeding by a labor union or representative thereof to organize any employees of the Company.
(c)
There are no pending or, to the knowledge of the Company, threatened claims or proceedings against the Company or any Subsidiary under
any worker’s compensation policy or long-term disability policy.
5.22
Employment Matters.
(a)
Schedule 5.22(a) of the Company Disclosure Schedules sets forth a true and complete list of (i) employment agreements and if applicable,
commission agreements between the Company or any Subsidiary and any employee, consultant or other Person performing services on its behalf,
(ii) each employee group or executive medical, life, or disability insurance plan, and each incentive, bonus, profit sharing, retirement,
deferred compensation, equity, phantom stock, stock option, stock purchase, stock appreciation right or severance plan whether or not
subject to any governmental regulation, and any other plan providing for discretionary or non-discretionary bonus, commission or incentive
compensation, profit sharing, pension, severance, savings, deferred compensation, fringe benefit, insurance (whether medical, dental,
life, disability or otherwise), welfare, post-retirement health or welfare benefit, severance, stock option, phantom stock, stock purchase,
restricted stock, company car, scholarship, relocation, disability, accident, sick pay, sick leave, accrued leave, vacation, holiday,
termination, unemployment, individual employment, executive compensation, payroll practices, retention, change in control, or other plan,
agreement, policy, trust fund, or arrangement (whether written or unwritten, insured or self-insured) maintained, sponsored, or contributed
to (or with respect to which any obligation to contribute has been undertaken) by the Company on behalf of any employee, officer, director,
consultant or other service provider of the Company any Subsidiary or under which the Company or any Subsidiary has any obligation to
any employee, consultant or other Person performing services on its behalf and any (iii) any written or verbal understanding between
the Company or any Subsidiary and any employee, consultant or other Person performing services on its behalf concerning the terms of
such Person’s employment or engagement that does not apply to the Company’s employees generally (collectively, the “Labor
Agreements”). The Company has previously delivered to the Parent Parties true and complete copies of all Labor Agreements and
of each generally applicable employee handbook or policy statement of the Company.
(b)
To the knowledge of the Company, no current employee of the Company or any Subsidiary, in the ordinary course of his or her duties, has
breached any obligation to a former employer in respect of any covenant against competition or soliciting clients or employees or servicing
clients or confidentiality or any proprietary right of such former employer and there is no pending representation question or union
organizing activity respecting employees of the Company or any Subsidiary.
(c)
Neither the Company nor any Subsidiary is regulated by, or subject to regulation under any provision of ERISA.
5.23
Withholding. Except as disclosed on Schedule 5.23 of the Company Disclosure Schedules, all obligations of the Company applicable
to its employees, whether arising by operation of Law, by contract, by past custom or otherwise, or attributable to payments by the Company
to trusts or other funds or to any governmental agency, with respect to unemployment compensation benefits, social security benefits,
social insurance, housing fund contributions or any other benefits for its employees with respect to the employment of said employees
through the date hereof have been paid or adequate accruals therefor have been made on the Financial Statements, other than as would
not reasonably be expected to, individually or in the aggregate, have a Material Adverse Effect. Except as disclosed on Schedule 5.23
of the Company Disclosure Schedules all reasonably anticipated obligations of the Company with respect to such employees (except for
those related to wages during the pay period immediately prior to the Closing Date and arising in the ordinary course of business), whether
arising by operation of Law, by contract, by past custom, or otherwise, for salaries and holiday pay, bonuses and other forms of compensation
payable to such employees in respect of the services rendered by any of them prior to the date hereof have been or will be paid by the
Company prior to the Closing Date, other than as would not reasonably be expected to, individually or in the aggregate, have a Material
Adverse Effect.
5.24
Real Property.
(a)
Except as set forth on Schedule 5.24(a) of the Company Disclosure Schedules, the Company and each Subsidiary does not own any
Real Property (“Owned Real Property”). The Company and each Subsidiary has good, valid and subsisting title to its
Owned Real Property, free and clear of all Liens (except for the Permitted Liens) and there are no outstanding options or rights of first
refusal to purchase the Owned Real Property, or any portion thereof or interest therein.
(b)
Schedule 5.24(b) of the Company Disclosure Schedules sets forth a list of all Leases to which the Company or a Subsidiary is a
party (“Company Leases”). With respect to each Company Lease: (i) each Company Lease is valid, binding and in full
force and effect; (ii) all rents and additional rents and other sums, expenses and charges due thereunder have been paid; (iii) the lessee
has been in peaceable possession since the commencement of the original term thereof; (iv) no waiver, indulgence or postponement of the
lessee’s obligations thereunder has been granted by the lessor; (v) there exist no default or event of default thereunder by the
Company or any Subsidiary; and (vi) there are no outstanding claims of breach or indemnification or notice of default or termination
thereunder, in cases of each of clauses (i) through (vi). The Company or a Subsidiary holds the leasehold estate on the Company Leases
free and clear of all Liens, except for the Permitted Liens and the Liens of mortgagees of the Real Property in which such leasehold
estate is located.
5.25
Tax Matters.
(a)
(i) The Company has duly and timely filed all Tax Returns which are required to be filed by or with respect to it, and has paid all Taxes
which have become due; (ii) all such Tax Returns are true, correct and complete and accurate and disclose all Taxes required to be paid;
(iii) except as set forth on Schedule 5.25(a) of the Company Disclosure Schedules, all such Tax Returns have been examined by the relevant
Taxing Authority or the period for assessment for Taxes in respect of such Tax Returns has expired; (iv) there is no Action, pending
or proposed in writing or, to the knowledge of the Company, threatened, with respect to Taxes of the Company or for which a Lien may
be imposed upon any of the Company’s assets; (v) no statute of limitations in respect of the assessment or collection of any Taxes
of the Company for which a Lien may be imposed on any of the Company’s assets has been waived or extended, which waiver or extension
is in effect, except for automatic extensions of time to file Tax Returns obtained in the ordinary course of business; (vi) to the knowledge
of the Company, the Company has complied with all applicable Laws relating to the reporting, payment, collection and withholding of Taxes
and has duly and timely withheld or collected, paid over to the applicable Taxing Authority and reported all Taxes (including income,
social, security and other payroll Taxes) required to be withheld or collected by the Company; (vii) to the knowledge of the Company,
no stock transfer Tax, sales Tax, use Tax, real estate transfer Tax or other similar Tax will be imposed on the transfer of the securities
to Parent or Purchaser pursuant to this Agreement or otherwise with respect to or as a result of any transactions contemplated by this
Agreement; (viii) there is no Lien (other than Permitted Liens) for Taxes upon any of the assets of the Company; (ix) there is no outstanding
request for a ruling from any Taxing Authority, request for a consent by a Taxing Authority for a change in a method of accounting, subpoena
or request for information by any Taxing Authority, or closing agreement with any Taxing Authority (within the meaning of Section 7121
of the Code or any analogous provision of the applicable Law), with respect to the Company; (x) except as set forth on Schedule 5.25(x)
of the Company Disclosure Schedules, no claim has been made by a Taxing Authority in a jurisdiction where the Company has not paid
any tax or filed Tax Returns, asserting that the Company is or may be subject to Tax in such jurisdiction; (xi) there is no outstanding
power of attorney from the Company authorizing anyone to act on behalf of the Company in connection with any Tax, Tax Return or Action
relating to any Tax or Tax Return of the Company; (xii) the Company is not, and has ever been, a party to any Tax sharing or Tax allocation
Contract, other than any customary commercial contract the principal subject of which is not Taxes; and (xiii) the Company is not currently
and has never been included in any consolidated, combined or unitary Tax Return other than a Tax Return that includes only the Company.
(b)
The unpaid Taxes of the Company for the current fiscal year (i) did not, as of the most recent fiscal month end, exceed the reserve for
Tax liability (other than any reserve for deferred Taxes established to reflect timing differences between book and Tax income) set forth
on the Financial Statements and (ii) will not exceed that reserve as adjusted for the passage of time through the Closing Date in accordance
with the past custom and practice of the Company in filing its Tax Return.
5.26
Environmental Laws.
(a)
Except as set forth on Schedule 5.26(a) of the Company Disclosure Schedules, neither the Company nor any Subsidiary has (i) received
any written notice of any alleged claim, violation of or Liability under any Environmental Law which has not heretofore been cured or
for which there is any remaining liability; (ii) disposed of, emitted, discharged, handled, stored, transported, used or released any
Hazardous Materials, arranged for the disposal, discharge, storage or release of any Hazardous Materials, or exposed any employee or
other individual to any Hazardous Materials so as to give rise to any Liability or corrective or remedial obligation under any Environmental
Laws; or (iii) entered into any agreement that may require it to guarantee, reimburse, pledge, defend, hold harmless or indemnify any
other Person with respect to liabilities arising out of Environmental Laws or the Hazardous Materials Activities of the Company.
(b)
Except as set forth on Schedule 5.26(b) of the Company Disclosure Schedules, to the knowledge of the Company, there are no Hazardous
Materials in, on, or under any properties owned, leased or used at any time by the Company such as could give rise to any material liability
or corrective or remedial obligation of the Company under any Environmental Laws.
5.27
Finders’ Fees. Except as set forth on Schedule 5.27 of the Company Disclosure Schedules, with respect to the transactions
contemplated by this Agreement, there is no investment banker, broker, finder or other intermediary which has been retained by or is
authorized to act on behalf of the Company or any of Affiliates who might be entitled to any fee or commission from Parent, Merger Sub
or any of their Affiliates (including the Company following the Closing) upon consummation of the transactions contemplated by this Agreement.
5.28
Powers of Attorney and Suretyships. Except as set forth on Schedule 5.28 of the Company Disclosure Schedules, neither the
Company nor any Subsidiary has any general or special powers of attorney outstanding (whether as grantor or grantee thereof) outside
the Company or any obligation or liability (whether actual, accrued, accruing, contingent, or otherwise) as guarantor, surety, co-signer,
endorser, co-maker, indemnitor or otherwise in respect of the obligation of any Person outside the Company or other than as reflected
in the Financial Statements.
5.29
Directors and Officers. Schedule 5.29 of the Company Disclosure Schedules sets forth a true, correct and complete
list of all directors and officers of the Company and of each Subsidiary.
5.30
Certain Business Practices. Neither the Company or any Subsidiary, nor any director, officer, agent or employee of the Company
or any Subsidiary (in their capacities as such) has (i) used any funds for unlawful contributions, gifts, entertainment or other unlawful
expenses relating to political activity, (ii) made any unlawful payment to foreign or domestic government officials or employees, to
foreign or domestic political parties or campaigns or violated any provision of the Foreign Corrupt Practices Act of 1977 15 U.S.C. §§
78dd-1, et seq. (“FCPA”) or (iii) made any other unlawful payment. Neither the Company or any Subsidiary, nor any
director, officer, agent or employee of the Company or any Subsidiary (nor any Person acting on behalf of any of the foregoing, but solely
in his or her capacity as a director, officer, employee or agent of the Company or any Subsidiary) has, since September 2015, directly
or indirectly, given or agreed to give any gift or similar benefit in any material amount to any customer, supplier, governmental employee
or other Person who is or may be in a position to help or hinder the Company or any Subsidiary or assist the Company or any Subsidiary
in connection with any actual or proposed transaction, in each case, which, if not given could reasonably be expected to have had a Material
Adverse Effect on the Company or on any Subsidiary, or which, if not continued in the future, could reasonably be expected to adversely
affect the business or prospects of the Company or of any Subsidiary that could reasonably be expected to subject the Company or any
Subsidiary to suit or penalty in any private or governmental litigation or proceeding.
5.31
Money Laundering Laws. The operations of the Company and of each Subsidiary are and have been conducted at all times in compliance
with applicable laundering statutes in all applicable jurisdictions, the rules and regulations thereunder and any related or similar
rules, regulations or guidelines, issued, administered or enforced by any governmental Authority (collectively, the “Money Laundering
Laws”), and no Action involving the Company with respect to the Money Laundering Laws is pending or, to the knowledge of the
Company, threatened.
5.32
OFAC. Neither the Company or any Subsidiary, nor any director or officer of the Company or any Subsidiary (nor, to the
knowledge of the Company, any agent, employee, affiliate or Person acting on behalf of the Company or any Subsidiary) is currently identified
on the specially designated nationals or other blocked person list or otherwise currently subject to any U.S. sanctions administered
by OFAC; and the Company and its Subsidiaries have not, directly or indirectly, used any funds, or loaned, contributed or otherwise made
available such funds to any subsidiary, joint venture partner or other Person, in connection with any sales or operations in Balkans,
Belarus, Burma, Cote D’Ivoire (Ivory Coast), Cuba, Democratic Republic of Congo, Iran, Iraq, Liberia, North Korea, Sudan, Syria,
and Zimbabwe or any other country sanctioned by OFAC or for the purpose of financing the activities of any Person currently subject to,
or otherwise in violation of, any U.S. sanctions administered by OFAC in the previous fiscal years.
5.33
International Trade Matters; Anti-Bribery Compliance.
(a)
The Company currently is and, for the past five years has been, in compliance with applicable Laws related to (i) anti-corruption or
anti-bribery, including the FCPA and any other equivalent or comparable Laws of other countries in which the Company has conducted and/or
currently conducts business (collectively, “Anti-Corruption Laws”), (ii) economic sanctions administered, enacted
or enforced by U.S. Governmental Authorities (including, but not limited to, OFAC, the U.S. Department of State and the U.S. Department
of Commerce), the United Nations Security Council, the European Union, Her Majesty’s Treasure, or any other relevant Governmental
Authority (collectively, “Sanctions Laws”), (iii) export controls, including the U.S. Export Administration Regulations,
15 C.F.R. §§ 730, et seq., and any other equivalent or comparable Laws of other countries in which the company has conducted
and/or currently conducts business (collectively, “Export Control Laws”), (iv) anti-money laundering, including the
Money Laundering Control Act of 1986, 18 U.S.C. §§ 1956, 1957, and any other equivalent or comparable Laws of other countries;
(v) anti-boycott regulations, as administered by the U.S. Department of Commerce; and (vi) importation of goods, including Laws administered
by the U.S. Customs and Border Protection, Title 19 of the U.S.C. and C.F.R., and any other equivalent or comparable Laws of other countries
in which the Company has conducted and/or currently conducts business (collectively, “International Trade Control Laws”).
(b)
Neither the Company nor any Subsidiary, nor any director or officer of the Company or any Subsidiary, nor, to the knowledge of the Company,
any employee or agent of the Company (acting on behalf of the Company or any Subsidiary), is or is acting under the direction of, on
behalf of or for the benefit of a Person that is, (i) the subject of Sanctions Laws or identified on any sanctions-related lists administered
by the U.S. Department of State, the U.S. Department of the Treasury, including the OFAC specially Designated Nationals List, the U.S.
Department of Commerce, including the Bureau of Industry and Security’s Denied Persons List and Entity List, Her Majesty’s
Treasury, including the Consolidated List of Financial Sanctions Targets and the Investment Bank List, or any similar list enforced by
any other relevant Governmental Authority, as amended from time to time, or any Person owned or controlled by any of the foregoing (collectively,
“Prohibited Party”); or (ii) located, organized or resident in a country or territory that is, or whose government
is, the target of comprehensive trade sanctions under Sanctions Laws, including, as of the date of this Agreement, Crimea, Cuba, Iran,
North Korea, Sudan and Syria. Neither the Company, nor any director or officer, nor, to the knowledge of the Company, any employee or
agent of the Company (acting on behalf of the Company) has, in the past five (5) years, engaged in any transaction involving a Prohibited
Party, or any country or territory that was during such period or is, or whose government was during such period or is, the target of
comprehensive trade sanctions under Sanctions Laws.
(c)
To the knowledge of the Company, neither the Company nor any Subsidiary has exported (including deemed exportation) or re-exported, directly
or indirectly, any commodity, software, technology, or services in violation of any applicable Export Control Laws or has participated
in any transaction in violation of or connected with any purpose prohibited by Anti-Corruption Laws or any applicable International Trade
Control Laws, including support for international terrorism and nuclear, chemical, or biological weapons proliferation.
(d)
Neither the Company nor any Subsidiary has received written notice of, nor, to the knowledge of the Company, any of its officers, employees,
agents or third-party representatives is or has been the subject of, any investigation, inquiry or enforcement proceedings by any Governmental
Authority regarding any offense or alleged offense under Anti-Corruption Laws or International Trade Control Laws.
5.34
Related Party Transactions. Schedule 5.34 of the Company Disclosure Schedules sets forth a true, complete and correct list
of the following (each such arrangement of the type required to be set forth thereon, whether or not actually set forth thereon, an “Affiliate
Transaction”): (i) each Contract entered into prior to the date hereof, between the Company or any Subsidiary, on the one hand,
and any Shareholder or any other current or former Affiliate of the Company on the other hand; and (ii) all Indebtedness (for monies
actually borrowed or lent) owed by any Shareholder or any other current or former Affiliate to the Company. Other than the Affiliate
Transactions, no Shareholder or Affiliate thereof owns any right in or to any of the material Assets or properties belonging to the Company.
Except as set forth on Schedule 5.34 of the Company Disclosure Schedules, each Affiliate Transaction entered into or occurring
prior to the Closing (i) is an arms-length transaction with fair market price and does not impair the interests of the Shareholders (except
to an extent that is not material), or (ii) is transaction duly approved by the board of directors in accordance with the Organizational
Documents of such Company or the affected Subsidiary.
5.35
Not an Investment Company. The Company is not an “investment company” within the meaning of the Investment
Company Act of 1940, as amended, and the rules and regulations promulgated thereunder.
5.36
Other Information. No material information provided by the Company to Parent in the virtual data room established by the Company
to facilitate due diligence in connection with the negotiation or execution of this Agreement or any agreement contemplated hereby, contained
or contains (as applicable) any untrue statement of a material fact or omitted to state any material fact required to be stated therein
or necessary in order to make the statements therein, in light of the circumstances in which they were made, not misleading.
Article
VI
REPRESENTATIONS
AND WARRANTIES OF PARENT PARTIES
The
Parent Parties hereby, jointly and severally, represent and warrant to the Company that, except as (i) as set forth in the disclosure
schedules delivered by the Parent Parties to the Company simultaneously with the execution of this Agreement (the “Parent Disclosure
Schedules”) or (ii) disclosed in the Parent SEC Documents (excluding (a) any disclosures in any risk factors section that do
not constitute statements of fact, disclosures in any forward-looking statements disclaimer and other disclosures that are generally
cautionary, predictive or forward-looking in nature and (b) any exhibits or other documents appended thereto), each of the following
representing representations and warranties is true, correct and complete as of the date of this Agreement (or, if such representations
and warranties are made with respect to a certain date, as of such date). The parties hereto agree that any reference to numbered and
lettered sections and subsections of this Article VI shall only refer to the section or subsection being referenced.
6.1
Corporate Existence and Power. Parent is a business company duly incorporated, validly existing and in good standing under
the Laws of the British Virgin Islands. Each of Purchaser and Merger Sub is a business company duly incorporated, validly existing and
in good standing under the Laws of the British Virgin Islands. Each of the Parent Parties has all power and authority, corporate and
otherwise, and all governmental licenses, franchises, permits, authorizations, consents and approvals required to own and operate its
properties and assets and to carry on its business as presently conducted and as proposed to be conducted.
6.2
Corporate Authorization. The execution, delivery and performance by the Parent Parties of this Agreement and the Additional Agreements
(to which it is a party to) and the consummation by the Parent Parties of the transactions contemplated hereby and thereby are within
the corporate powers of the Parent Parties and have been duly authorized by all necessary corporate action on the part of Parent Parties
to the extent required by their respective Organizational Documents, applicable Laws or any Contract to which it is a party or by which
its securities are bound other than the Required Parent Shareholder Approval and the authorization and approval of this Agreement, the
Articles of Acquisition Merger, the Plan of Acquisition Merger and the transactions contemplated hereby by way of a written resolution
of the sole shareholder of the Merger Sub. This Agreement has been duly executed and delivered by the Parent Parties and it constitutes,
and upon their execution and delivery, the Additional Agreements (to which it is a party to) will constitute, a valid and legally binding
agreement of the Parent Parties, enforceable against them in accordance with their representative terms.
6.3
Governmental Authorization. Other than as required under applicable Laws, neither the execution, delivery nor performance
by the Parent Parties of this Agreement or any Additional Agreements requires any consent, approval, license or other action by or in
respect of, or registration, declaration or filing with any Authority.
6.4
Non-Contravention. The execution, delivery and performance by the Parent Parties of this Agreement or any Additional Agreements
to which they are a party do not and will not (i) contravene or conflict with the organizational or constitutive documents of Parent,
Purchaser or Merger Sub or (ii) contravene or conflict with or constitute a violation of any provision of any Law, judgment, injunction,
order, writ, or decree binding upon the Parent Parties, except, in each case of clauses (i) and (ii), for any contravention or conflicts
that would not reasonably be expected to have a Material Adverse Effect on the Parent Parties.
6.5
Finders’ Fees. Except for the Deferred Underwriting Amount and as set forth on Schedule 6.5 of the Parent Party Disclosure
Schedules, there is no investment banker, broker, finder or other intermediary which has been retained by or is authorized to act on
behalf of Parent or any of its Affiliates who might be entitled to any fee or commission from the Company, or any of its Affiliates upon
consummation of the transactions contemplated by this Agreement or any of the Additional Agreements.
6.6
Issuance of Shares. The Closing Payment Shares, when issued in accordance with this Agreement, will be duly authorized
and validly issued, and will be fully paid and nonassessable, free and clear of any Liens and not subject to or issued in violation of
any right of any third party pursuant to any contract to which Purchaser is bound, applicable Law or Purchaser’s Organizational
Documents.
6.7
Capitalization.
(a)
Parent is authorized to issue a maximum of 500,000,000 ordinary shares, par value $0.0001, of which 5,083,406 Parent Ordinary Shares
are issued and outstanding as of the date hereof. A total of 4,503,750 Parent Ordinary Shares are reserved for issuance with respect
to the Parent Warrants and a total of 600,500 Parent Ordinary Shares are reserved for issuance with respect to the Parent Rights. No
other shares or other voting securities of Parent are issued, reserved for issuance or outstanding. All issued and outstanding Parent
Ordinary Shares are duly authorized, validly issued, fully paid and nonassessable and not subject to or issued in violation of any purchase
option, right of first refusal, preemptive right, subscription right or any similar right under any provision of the Laws of the British
Virgin Islands, Parent’s Organizational Documents or any contract to which Parent is a party or by which Parent is bound. Except
as set forth in Parent’s Organizational Documents, there are no outstanding contractual obligations of Parent to repurchase, redeem
or otherwise acquire any Parent Ordinary Shares or any capital equity of Parent. There are no outstanding contractual obligations of
Parent to provide funds to, or make any investment (in the form of a loan, capital contribution or otherwise) in, any other Person.
(b)
As of the Signing Date, Purchaser is authorized to issue a maximum of 500,000,000 shares, par value $0.0001 per share, of which one (1)
share of Purchaser is issued and outstanding as of the date hereof. No other shares or other voting securities of Purchaser are issued,
reserved for issuance or outstanding. All issued and outstanding shares of the Purchaser are duly authorized, validly issued, fully paid
and nonassessable and not subject to or issued in violation of any purchase option, right of first refusal, preemptive right, subscription
right or any similar right under any provision of the Companies Act, Purchaser’s Organizational Documents or any contract to which
Purchaser is a party or by which Purchaser is bound. Except as set forth in the Purchaser’s Organizational Documents, there are
no outstanding contractual obligations of Purchaser to repurchase, redeem or otherwise acquire any Purchaser Ordinary Shares or any capital
equity of Purchaser. There are no outstanding contractual obligations of Purchaser to provide funds to, or make any investment (in the
form of a loan, capital contribution or otherwise) in, any other Person.
(c)
At Closing, Purchaser is authorized to issue a maximum of 500,000,000 Purchaser Ordinary Shares of par value of US$0.0001 each. As of
immediately prior to the Closing, and before giving effect to any shareholder redemptions in connection with the Parent Shareholder Approval
Matters, there shall be outstanding 5,083,406 Purchaser Ordinary Shares (assuming no conversion of Parent Excluded Shares); a total of
4,503,750 Purchaser Ordinary Shares will be reserved for issuance with respect to the Purchaser Warrants and a total of 600,500 Purchaser
Ordinary Shares will be reserved for issuance with respect to the Purchaser Rights. No other shares or other voting securities of Purchaser
are issued, reserved for issuance or outstanding. All issued and outstanding Purchaser Ordinary Shares are duly authorized, validly issued,
fully paid and nonassessable and not subject to or issued in violation of any purchase option, right of first refusal, preemptive right,
subscription right or any similar right under any provision of BVI Law, the Purchaser’s Organizational Documents or any contract
to which Purchaser is a party or by which Purchaser is bound. Except as set forth in the Purchaser’s Organizational Documents,
there are no outstanding contractual obligations of Purchaser to repurchase, redeem or otherwise acquire any Purchaser Ordinary Shares
or any capital equity of Purchaser. There are no outstanding contractual obligations of Purchaser to provide funds to, or make any investment
(in the form of a loan, capital contribution or otherwise) in, any other Person.
(d)
The Merger Sub is authorized to issue a maximum of 500,000,000ordinary shares of par value $0.0001 each (the “Merger Sub Ordinary
Shares”) of which one (1) Merger Sub Ordinary Share is issued and outstanding as of the date hereof. No other shares or other
voting securities of Merger Sub are issued, reserved for issuance or outstanding. All issued and outstanding Merger Sub Ordinary Share(s)
are duly authorized, validly issued, fully paid and nonassessable and not subject to or issued in violation of any purchase option, right
of first refusal, preemptive right, subscription right or any similar right under any provision of the Laws of the British Virgin Islands,
Merger Sub’s Organizational Documents or any contract to which Merger Sub is a party or by which Merger Sub is bound. Except as
set forth in Merger Sub’s Organizational Documents, there are no outstanding contractual obligations of Merger Sub to repurchase,
redeem or otherwise acquire any Merger Sub Ordinary Share(s) or any share capital or equity of Merger Sub. There are no outstanding contractual
obligations of Merger Sub to provide funds to, or make any investment (in the form of a loan, capital contribution or otherwise) in,
any other Person.
(e)
Except for securities described in the foregoing sub-sections of this Section 6.7 or as set forth in Schedule 6.7(a) of the Parent
Disclosure Schedules, the Parent Parties have not issued any share capital, options, warrants, preemptive rights, calls, convertible
or exchangeable securities or other rights, agreements, arrangements or commitments of any character relating to the issued or unissued
share capital of the Parent Parties or obligating any Parent Party to issue or sell any share capital or other equity or voting securities
or interests in any Parent Party. The Parent Parties are not party to, or otherwise bound by, and the Parent Parties have not granted,
any equity appreciation rights, participations, phantom equity or similar rights.
6.8
Information Supplied. None of the information supplied or to be supplied by any Parent Party expressly for inclusion or incorporation
by reference in the filings with the SEC and mailings to Parent’s shareholders with respect to the solicitation of proxies to approve
the transactions contemplated hereby will, at the date of filing and/ or mailing, as the case may be, contain any untrue statement of
a material fact or omit to state any material fact required to be stated therein or necessary in order to make the statements therein,
in light of the circumstances under which they are made, not misleading (subject to the qualifications and limitations set forth in the
materials provided by any Parent Party or that is included in the Parent SEC Documents). No material information provided by Parent to
the Company in connection with the negotiation or execution of this Agreement or any agreement contemplated hereby (including but not
limited to Parent public filings, as of the respective dates of their submission to the SEC), contained or contains (as applicable) any
untrue statement of a material fact or omitted to state any material fact required to be stated therein or necessary in order to make
the statements therein, in light of the circumstances in which they were made, not misleading.
6.9
Trust Fund. As of the date of this Agreement, Parent has at least $35,143,815.03 in the trust fund established by Parent for the
benefit of its public shareholders (the “Trust Fund”) in a United States-based account at JP Morgan Chase Bank, N.A.,
maintained by American Stock Transfer & Trust Company, LLC (the “Trustee”) acting as trustee (the “Trust
Account”), and such monies are invested in “government securities” (as such term is defined in the Investment Company
Act of 1940, as amended) and held in trust by the Trustee pursuant to the Investment Management Trust Agreement. There are no separate
agreements, side letters or other agreements or understandings (whether written, unwritten, express or implied) that would cause the
description of the Trust Agreement in the Parent SEC Documents to be inaccurate in any material respect or, to the Parent Parties’
knowledge, that would entitle any Person to any portion of the funds in the Trust Account. Prior to the Closing, none of the funds held
in the Trust Account are permitted to be released, except in the circumstances described in the Organizational Documents of Parent and
the Trust Agreement. Parent has performed all material obligations required to be performed by it to date under, and is not in material
default or delinquent in performance or any other respect (claimed or actual) in connection with the Trust Agreement, and, to the knowledge
of Parent, no event has occurred which, with due notice or lapse of time or both, would constitute such a material default thereunder.
As of the date of this Agreement, there are no claims or proceedings pending with respect to the Trust Account. Since September 23, 2021,
and except as otherwise provided in Parent’s public SEC filings, Parent has not released any money from the Trust Account (other
than interest income earned on the funds held in the Trust Account as permitted by the Trust Agreement). Upon the consummation of the
transactions contemplated hereby, Parent shall have no further obligation under either the Trust Agreement or the Organizational Documents
of Parent to liquidate or distribute any assets held in the Trust Account, and the Trust Agreement shall terminate in accordance with
its terms.
6.10
Listing. As of the date hereof, the Parent Ordinary Shares, Parent Warrants, Parent Rights and Parent Units are listed
on the Nasdaq Stock Market, with trading symbols “HHGC,” “HHGCW,” “HHGCR,” and “HHGCU, “respectively.
6.11
Reporting Company. Parent is a publicly-held company subject to reporting obligations pursuant to Section 13 of the Exchange Act,
and the Parent Ordinary Shares, Parent Warrants, Parent Rights and Parent Units are registered pursuant to Section 12(b) of the Exchange
Act. There is no Proceeding pending or, to Parent’s knowledge, threatened against Parent by the SEC with respect to the deregistration
of the Parent Ordinary Shares, Parent Warrants, Parent Rights or Parent Units under the Exchange Act. Parent has taken no action in an
attempt to terminate the registration of the Parent Ordinary Shares, Parent Warrants, Parent Rights or Parent Units under the Exchange
Act.
6.12
No Market Manipulation. Neither the Parent Parties nor its Affiliates have taken, and will not take, directly or indirectly,
any action designed to, or that might reasonably be expected to, cause or result in stabilization or manipulation of the price of the
Parent Ordinary Shares to facilitate the sale or resale of the Parent Ordinary Shares or affect the price at which the Parent Ordinary
Shares may be issued or resold; provided, however, that this provision shall not prevent Parent from engaging in investor relations or
public relations activities consistent with past practices.
6.13
Board Approval. Each of the boards of directors (including any required committee or subgroup of such boards) of Parent,
Purchaser and Merger Sub have, as of the Signing Date, unanimously (i) declared the advisability of the transactions contemplated by
this Agreement and (ii) determined that the transactions contemplated hereby are in the best interests of the shareholders of Parent,
Purchaser and Merger Sub, respectively. The Parent Board has, as of the Signing Date, determined that the transactions contemplated hereby
constitutes a “Business Combination” as such term is defined in Parent’s Organizational Documents.
6.14
Parent SEC Documents and Financial Statements.
(a)
Parent has filed all forms, reports, schedules, statements and other documents, including any exhibits thereto, required to be filed
or furnished by Parent with the SEC since Parent’s formation under the Exchange Act or the Securities Act, together with any amendments,
restatements or supplements thereto, and will file all such forms, reports, schedules, statements and other documents required to be
filed subsequent to the Signing Date (the “Additional Parent SEC Documents”). Parent has made available to the Company
copies in the form filed with the SEC of all of the following, except to the extent available in full without redaction on the SEC’s
website through EDGAR for at least two (2) days prior to the date of this Agreement: (i) Parent’s Quarterly Reports on Form 10-Q
for each fiscal quarter of Parent beginning with the first quarter Parent was required to file such a form, (ii) all proxy statements
relating to Parent’s meetings of shareholders (whether annual or special) held, and all information statements relating to shareholder
consents, since the beginning of the first fiscal quarter referred to in clause (i) above, (iii) its Form 8-Ks filed since the beginning
of the first fiscal quarter referred to in clause (i) above, and (iv) all other forms, reports, registration statements and other documents
(other than preliminary materials if the corresponding definitive materials have been provided to the Company pursuant to this Section
6.14(a)) filed by Parent with the SEC since Parent’s formation (the forms, reports, registration statements and other documents
referred to in clauses (i), (ii), (iii), and (iv) above, whether or not available through EDGAR, are, collectively, the “Parent
SEC Documents”). The Parent SEC Documents were, and the Additional Parent SEC Documents will be, prepared in all material respects
in accordance with the requirements of the Securities Act, the Exchange Act, and the Sarbanes-Oxley Act, as the case may be, and the
rules and regulations thereunder. The Parent SEC Documents did not, and the Additional Parent SEC Documents will not, at the time they
were or are to be filed, as the case may be, with the SEC (except to the extent that information contained in any Parent SEC Document
or Additional Parent SEC Document has been or is revised or superseded by a later filed Parent SEC Document or Additional Parent SEC
Document, then on the date of such filing) contain any untrue statement of a material fact or omit to state a material fact required
to be stated therein or necessary in order to make the statements made therein, in the light of the circumstances under which they were
made, not misleading. As used in this Section 6.14, the term “file” shall be broadly construed to include any manner
in which a document or information is furnished, supplied or otherwise made available to the SEC.
(b)
The financial statements and notes contained or incorporated by reference in the Parent SEC Documents and the Additional Parent SEC Documents
(collectively, the “Parent Financial Statements”) are or will be, as the case may be, complete and accurate and fairly
present in all material respects, in conformity with U.S. GAAP applied on a consistent basis in all material respects and Regulation
S-X or Regulation S-K, as applicable, the financial position of Parent as of the dates thereof and the results of operations of Parent
for the periods reflected therein. The Parent Financial Statements are or will, as the case may be (i) prepared from the Books and Records
of Parent; (ii) prepared on an accrual basis in accordance with U.S. GAAP consistently applied; and they contain and reflect or will
contain and reflect, as the case may be, (iii) all necessary adjustments and accruals for a fair presentation of Parent’s financial
condition as of their dates; and (iv) adequate provisions for all material Liabilities for all material Taxes applicable to Parent with
respect to the periods then ended.
(c)
Except as specifically disclosed, reflected or fully reserved against in the Parent Financial Statements, and except for liabilities
and obligations of a similar nature and in similar amounts incurred in the ordinary course of business since Parent’s formation,
there are no material liabilities, debts or obligations (whether accrued, fixed or contingent, liquidated or unliquidated, asserted or
unasserted or otherwise) relating to Parent. All debts and Liabilities, fixed or contingent, which should be included under U.S. GAAP
on a balance sheet are or will be (as the case may be) included in Parent Financial Statements.
6.15
Litigation. There is no Action (or any basis therefore) pending against any Parent Party, any of its officers or directors or
relating to any of its securities or any of its assets or Contracts before any court, Authority or official or which in any manner challenges
or seeks to prevent, enjoin, alter or delay the transactions contemplated hereby or by the Additional Agreements. There are no outstanding
judgments against the Parent Parties. No Parent Party is, and has previously been, subject to any legal proceeding with any Authority.
6.16
Compliance with Laws. No Parent Party is in violation of, has violated, under investigation with respect to any violation
or alleged violation of, any Law, or judgment, order or decree entered by any court, arbitrator or Authority, domestic or foreign, nor
is there any basis for any such charge and no Parent Party has previously received any subpoenas by any Authority.
6.17
Money Laundering Laws. The operations of the Parent Parties are and have been conducted at all times in compliance with
the Money Laundering Laws, and no Action involving the Parent Parties with respect to the Money Laundering Laws is pending or, to the
knowledge of the Parent Parties, threatened.
6.18
OFAC. Neither the Parent Parties, nor any director or officer of the Parent Parties (nor, to the knowledge of the Parent Parties,
any agent, employee, affiliate or Person acting on behalf of the Parent Parties) is currently identified on the specially designated
nationals or other blocked person list or otherwise currently subject to any U.S. sanctions administered by OFAC; and the Parent Parties
have not, directly or indirectly, used any funds, or loaned, contributed or otherwise made available such funds to any subsidiary, joint
venture partner or other Person, in connection with any sales or operations in Balkans, Belarus, Burma, Cote D’Ivoire (Ivory Coast),
Cuba, Democratic Republic of Congo, Iran, Iraq, Liberia, North Korea, Sudan, Syria, and Zimbabwe or any other country sanctioned by OFAC
or for the purpose of financing the activities of any Person currently subject to, or otherwise in violation of, any U.S. sanctions administered
by OFAC in the previous fiscal years.
6.19
Not an Investment Company. Neither of Parent or Purchaser is an “investment company” within the meaning of the Investment
Company Act of 1940, as amended, and the rules and regulations promulgated thereunder.
6.20
Tax Matters.
(a)
Except in each case as to matters that would not reasonably be expected to have, individually or in the aggregate, a Material Adverse
Effect. (i) each Parent Party has duly and timely filed all Tax Returns which are required to be filed by or with respect to it, and
has paid all Taxes which have become due; (ii) all such Tax Returns are true, correct and complete and accurate and disclose all Taxes
required to be paid; (iii) all such Tax Returns have been examined by the relevant Taxing Authority or the period for assessment for
Taxes in respect of such Tax Returns has expired; (iv) there is no Action, pending or proposed in writing or, to the knowledge of the
Parent Parties, threatened, with respect to Taxes of the Parent Parties or for which a Lien may be imposed upon any of either of the
Parent Parties’ assets; (v) no statute of limitations in respect of the assessment or collection of any Taxes of the Parent Parties
for which a Lien may be imposed on any of the Parent Parties’ assets has been waived or extended, which waiver or extension is
in effect, except for automatic extensions of time to file Tax Returns obtained in the ordinary course of business; (vi) to the knowledge
of the Parent Parties, the Parent Parties complied with all applicable Laws relating to the reporting, payment, collection and withholding
of Taxes and has duly and timely withheld or collected, paid over to the applicable Taxing Authority and reported all Taxes (including
income, social, security and other payroll Taxes) required to be withheld or collected by the Purchase Parties; (vii) to the knowledge
of the Parent Parties, no stock transfer Tax, sales Tax, use Tax, real estate transfer Tax or other similar Tax will be imposed on the
transfer of the securities of Purchaser pursuant to this Agreement or otherwise with respect to or as a result of any transaction contemplated
by this Agreement; (viii) there is no Lien (other than Permitted Liens) for Taxes upon any of the assets of the Parent Parties; (ix)
there is no outstanding request for a ruling from any Taxing Authority, request for a consent by a Taxing Authority for a change in a
method of accounting, subpoena or request for information by any Taxing Authority, or closing agreement with any Taxing Authority (within
the meaning of Section 7121 of the Code or any analogous provision of the applicable Law), with respect to the Parent Parties; (x) no
claim has been made by a Taxing Authority in a jurisdiction where the Parent Parties have not paid any tax or filed Tax Returns, asserting
that the any of the Parent Parties is or may be subject to Tax in such jurisdiction; (xi) there is no outstanding power of attorney from
either of the Parent Parties authorizing anyone to act on behalf of such party in connection with any Tax, Tax Return or Action relating
to any Tax or Tax Return of that party; (xii) no Parent Party is, or has ever been, a party to any Tax sharing or Tax allocation Contract,
other than any customary commercial contract the principal subject of which is not Taxes; and (xiii) the neither Parent Party is currently
or has ever been included in any consolidated, combined or unitary Tax Return other than a Tax Return that includes only the Parent Parties.
(b)
The unpaid Taxes of the Parent Parties for the current fiscal year (i) did not, as of the most recent fiscal month end, exceed the reserve
for Tax liability (other than any reserve for deferred Taxes established to reflect timing differences between book and Tax income) set
forth on the Financial Statements and (ii) will not exceed that reserve as adjusted for the passage of time through the Closing Date
in accordance with the past custom and practice of the Parent Parties in filing its Tax Return.
6.21
Contracts. Schedule 6.21 of the Parent Party Disclosure Schedules lists all material Contracts, oral or written to which
any of the Parent Parties is a party other than those available in full without redaction on the SEC’s website through EDGAR.
Article
VII
COVENANTS
7.1
Conduct of the Business of the Company. From the date hereof through the Closing Date, the Company shall, and shall cause its
Subsidiaries to, except as otherwise explicitly contemplated by this Agreement or the Additional Agreements or required by Law (including
for this purposes any COVID-19 measures) or as consented to by Parent in writing (which consent shall not be unreasonably conditioned,
withheld, delayed or denied) use commercially reasonable efforts (a) to conduct their respective business only in the ordinary course,
consistent with past practices, and (b) to preserve substantially intact their material business relationships with clients, suppliers
and other third parties. Without limiting the generality of the foregoing, except (i) as contemplated or permitted by this Agreement
or any Additional Agreement, (ii) as required by applicable Law (including for this purposes any COVID-19 measures) or (iii) as consented
by Parent in writing, from the Signing Date through the Closing Date or valid termination of this Agreement pursuant to Article XI),
the Company shall not, and shall cause each of its Subsidiaries not to:
(i)
materially amend, modify or supplement its Organizational Documents other than pursuant to this Agreement;
(ii)
modify, amend, waive any provision of, enter into or terminate any Contract or, commitment, which obligates the payment of more than
$500,000 (individually or in the aggregate);
(iii)
make any capital expenditures in excess of $200,000 (individually or in the aggregate);
(iv)
sell, lease, license or otherwise dispose of any of the Company’s or any Subsidiary’s assets or assets covered by any Contract
except (i) pursuant to existing contracts or commitments disclosed herein, (ii) sales of assets, property or equipment in the ordinary
course consistent with past practice, and (iii) not exceeding $250,000;
(v)
pay, declare or promise to pay any dividends or other distributions with respect to its capital stock or share capital, or pay, declare
or promise to pay any other payments to any Shareholder (other than, in the case of any Shareholder that is also an employee, payments
of salary accrued in said period at the current salary rate);
(vi)
obtain or incur any loan or other Indebtedness in excess of $250,000, except in connection with trading in the ordinary course of business,
including drawings under the Company’s existing line of credit;
(vii)
suffer or incur any Lien on the Company’s or any Subsidiary’s assets, except for Permitted Liens or the Liens incurred in
the ordinary course of business consistent with past practice;
(viii)
suffer any damage, destruction or loss of property related to any of the Company’s or any Subsidiary’s assets, whether or
not covered by insurance, the aggregate value of which, following any available insurance reimbursement, exceed $250,000;
(ix)
merge or consolidate with or acquire any other Person or be acquired by any other Person;
(x)
make any change in its accounting principles other than in accordance with the applicable accounting policies or methods or write down
the value of any assets other than in the ordinary course of business consistent with past practice;
(xi)
extend any loans other than travel or other expense advances to employees in the ordinary course of business or with the principal amount
not exceeding $10,000;
(xii)
issue, redeem or repurchase any capital stock or share, membership interests or other securities, or issue any securities exchangeable
for or convertible into any share or any shares of its capital stock other than pursuant to the equity incentive plan of the Company;
(xiii)
make or change any material Tax election or change any annual Tax accounting periods; or
(xiv)
undertake any legally binding obligation to do any of the foregoing.
7.2
Conduct of the Business of Parent. From the date hereof through the Closing Date, Parent shall remain a “blank check
company” as defined under the Securities Act, and without the Company’s prior written consent (which shall not be unreasonably
withheld) shall not conduct any business operations other than in connection with this Agreement and ordinary course operations to maintain
its status as a Nasdaq-listed special purpose acquisition company pending the completion of the transactions contemplated hereby. Without
limiting the generality of the foregoing, through the Closing Date, other than in connection with the transactions contemplated by this
Agreement, without the Company’s prior written consent (which shall not be unreasonably withheld), Parent shall not amend, waive
or otherwise change the Investment Management Trust Agreement in any manner adverse to Parent. Notwithstanding anything to the contrary
in this Section 6.2, nothing in this Agreement shall prohibit or restrict Parent from extending, in accordance with Parent’s Organizational
Documents and the Prospectus, the deadline by which it must complete its Business Combination (an “Extension”), including
undertaking any related loans evidenced by promissory notes made to Parent as described in the Prospectus, and no consent of any other
party shall be required in connection therewith.
7.3
Alternative Transactions. From the date hereof through the earlier of (x) termination of this Agreement in accordance with Article
XI and (y) the Closing, other than in connection with the transactions contemplated hereby, neither the Company, on the one hand, nor
the Parent Parties, on the other hand, shall, and such Persons shall cause each of their respective officers, directors, Affiliates,
managers, consultants, employees, representatives (including investment bankers, attorneys and accountants) and agents not to, directly
or indirectly, (i) encourage, solicit, initiate, engage or participate in negotiations with any Person concerning, or make any offers
or proposals related to, any Alternative Transaction, (ii) take any other action intended or designed to facilitate the efforts of any
Person relating to a possible Alternative Transaction, (iii) enter into, engage in or continue any discussions or negotiations with respect
to an Alternative Transaction with, or provide any non-public information, data or access to employees to, any Person that has made,
or that is considering making, a proposal with respect to an Alternative Transaction or (iv) approve, recommend or enter into any Alternative
Transaction or any Contract related to any Alternative Transaction. For purposes of this Agreement, the term “Alternative Transaction”
shall mean any of the following transactions involving the Company or the Parent Parties (other than the transactions contemplated by
this Agreement): (1) any merger, consolidation, share exchange, business combination, amalgamation, recapitalization, consolidation,
liquidation or dissolution or other similar transaction involving the Company or the Parent Parties, (2) any sale, lease, exchange, transfer
or other disposition of a material portion of the assets of the Company or the Parent Parties (other than the sale, the lease, transfer
or other disposition of assets in the ordinary course of business) or (3) any sale, exchange, transfer or disposition of any class or
series of the share capital or capital stock or other equity interests of the Company or the Parent Parties, whether in a single transaction
or series of related transactions. In the event that there is an unsolicited proposal for, or an indication of a serious interest in
entering into, an Alternative Transaction, communicated in writing to the Company or the Parent Parties or any of their respective officers,
directors, Affiliates, managers, consultants, employees, representatives (including investment bankers, attorneys and accountants), representatives
or agents (each, an “Alternative Proposal”), such party shall as promptly as practicable (and in any event within
two (2) Business Days after receipt) advise the other parties to this Agreement in writing of such Alternative Proposal and the material
terms and conditions of any such Alternative Proposal (including any changes thereto) and the identity of the person making any such
Alternative Proposal. The Company and the Parent Parties shall keep each other informed on a reasonably current basis of material developments
with respect to any such Alternative Proposal. Notwithstanding anything to the contrary as set forth above, if the board of directors
of the Company or of either Parent Party (as applicable) has determined in good faith, after consultation with its financial advisor
and/or outside legal counsel, that failure to take such action would constitute a breach of its directors’ fiduciary duties under
applicable Law, the other party may waive any such provision to the extent necessary to permit such Person to comply with applicable
Law, provided, however, that prior to taking such action or announcing the intention to do so, such Person has complied in all material
respects with its written notification obligation in respect of the Alternative Transaction in accordance with this Section 7.1.
7.4
Access to Information. From the date hereof until and including the Closing Date, the Company and the Parent Parties shall, to
the best of their abilities, (a) continue to give the other party, its legal counsel and other representatives full access to its offices,
properties, and Books and Records, (b) furnish to the other party, its legal counsel and other representatives such information relating
to the business of the Company or the Parent Parties as such Persons may request and (c) cause its respective employees, legal counsel,
accountants and representatives to cooperate with the other party in such other party’s investigation of its business; provided
that no investigation pursuant to this Section (or any investigation prior to the date hereof) shall affect any representation or warranty
given by the Company or the Parent Parties and, provided further, that any investigation pursuant to this Section shall be conducted
in such manner as not to interfere unreasonably with the conduct of the business of the Company or the Parent Parties. Notwithstanding
anything to the contrary in this Agreement, neither party shall be required to provide the access described above or disclose any information
if doing so is reasonably likely to (i) result in a waiver of attorney client privilege, work product doctrine or similar privilege or
(ii) violate any contract to which it is a party or to which it is subject or applicable Law, provided that the non-disclosing party
must advise the other party that it is withholding such access and/or information and (to the extent reasonably practicable) and provide
a description of the access not granted and/or information not disclosed.
7.5
Notice of Certain Events. Each party shall promptly notify the other party of:
(a)
any notice or other communication from any Person alleging that the consent of such Person is or may be required in connection with the
transactions contemplated by this Agreement or the Additional Agreement, or that the transactions contemplated by this Agreement or the
Additional Agreements might give rise to any Action by or on behalf of such Person or result in the creation of any Lien on any Company
Ordinary Shares, any share capital or capital stock of the Parent Parties or any of the Company’s or the Parent Parties’
assets;
(b)
any notice or other communication from any Authority in connection with the transactions contemplated by this Agreement or the Additional
Agreements;
(c)
any Actions commenced or, to such party’s knowledge, threatened against, relating to or involving or otherwise affecting the consummation
of the transactions contemplated by this Agreement or the Additional Agreements;
(d)
the occurrence of any fact or circumstance which constitutes or results, or might reasonably be expected to constitute or result, in
a Material Adverse Change; and
(e)
the occurrence of any fact or circumstance which results, or might reasonably be expected to result, in any representation or warranty
made hereunder by such party to be false or misleading in any material respect or to omit or fail to state a material fact, including,
without limitation, any occurrence requiring any change in the information set forth on Exhibit A.
7.6
SEC Filings.
(a)
The Company acknowledges that:
(i)
Parent’s shareholders must approve the transactions contemplated by this Agreement prior to the Merger contemplated hereby being
consummated and that, in connection with such approval, Parent must call a special meeting of its shareholders requiring Parent to prepare
and file with the SEC a Proxy Statement (as defined in Section 9.5);
(ii)
the Parent Parties will be required to file quarterly and annual reports that may be required to contain information about the transactions
contemplated by this Agreement; and
(iii)
Parent will be required to file a Form 8-K to announce the transactions contemplated hereby and other significant events that may occur
in connection with such transactions.
(b)
In connection with any filing the Parent Parties make with the SEC that requires information about the transactions contemplated by this
Agreement to be included, the Company will, and will use its best efforts to cause its Affiliates to, in connection with the disclosure
included in any such filing or the responses provided to the SEC in connection with the SEC’s comments to a filing, use their best
efforts to (i) cooperate with the Parent Parties, (ii) respond to questions about the Company required in any filing or requested by
the SEC, and (iii) provide any information requested by the Parent Parties in connection with any filing with the SEC.
(c)
The Company acknowledges that a substantial portion of the filings with the SEC and mailings to Parent’s shareholders with respect
to the Proxy Statement shall include disclosure regarding the Company and its management, operations and financial condition. Accordingly,
the Company agrees to as promptly as reasonably practical provide the Parent Parties with such information as shall be reasonably requested
by the Parent Parties for inclusion in or attachment to the Proxy Statement, that is accurate in all material respects and complies as
to form in all material respects with the requirements of the Securities Act and the Exchange Act and the rules and regulations promulgated
thereunder and in addition shall contain substantially the same financial and other information about the Company and its Shareholders
as is required under Regulation 14A of the Exchange Act regulating the solicitation of proxies. The Company understands that such information
shall be included in the Proxy Statement and/or responses to comments from the SEC or its staff in connection therewith and mailings.
The Company shall cause its and its Subsidiaries’ managers, directors, officers and employees to be reasonably available to the
Parent Parties and their counsel in connection with the drafting of such filings and mailings and responding in a timely manner to comments
from the SEC.
7.7
[Reserved].
7.8
Annual and Interim Financial Information. From the date hereof through the Closing Date, within forty-five (45) calendar days
following the end of each three-month quarterly period, the Company shall deliver to Parent Parties, for the first three quarters of
the year, unaudited management accounts of the Company. The Company shall also promptly deliver to the Parent Parties copies of any audited
annual consolidated financial statements of the Company that the Company’s auditor may issue. The Company will provide additional
financial information as reasonably requested by the Parent Parties for inclusion in any filings to be made by the Parent Parties with
the SEC. If reasonably requested by the Parent Parties, the Company shall use its reasonable best efforts to cause such information to
be reviewed or audited by the Company’s auditors.
7.9
Nasdaq Listing. Parent shall use its reasonable best efforts to cause (i) Parent’s initial listing application with Nasdaq
in connection with the transactions contemplated by this Agreement to have been approved; (ii) Parent (and, as of the Closing, Purchaser)
to satisfy all applicable initial and continuing listing requirements of Nasdaq and (iii) the Purchaser Ordinary Shares issuable in accordance
with this Agreement, including the Merger, to be approved for listing on Nasdaq, subject to official notice of issuance, in each case,
as promptly as reasonably practicable after the date of this Agreement, and in any event prior to the Effective Time.
7.10
Section 16 Matters. Prior to the Effective Time, Parent’s board of directors, or an appropriate committee of “non-employee
directors” (as defined in Rule 16b-3 under the Exchange Act) thereof, shall adopt a resolution consistent with the interpretive
guidance of the SEC so that the acquisition of Parent Ordinary Shares (including, in each case, securities deliverable upon exercise,
vesting or settlement of any derivative securities) pursuant to this Agreement (and the other agreements contemplated hereby), by any
person owning securities of the Company who is expected to become a director or officer (as defined under Rule 16a-1(f) under the Exchange
Act) of Parent following the Closing shall be an exempt transaction for purposes of Section 16(b) of the Exchange Act pursuant to Rule
16b-3 thereunder.
7.11
Trust Account. The Company acknowledges that Parent shall make appropriate arrangements to cause the funds in the Trust Account
to be disbursed in accordance with the Investment Management Trust Agreement and for the payment of (i) all amounts payable to shareholders
of Parent holding Parent Ordinary Shares who shall have validly redeemed their Parent Ordinary Shares upon acceptance by Parent of such
Parent Ordinary Shares, (ii) the expenses of the Parent Parties to the third parties to which they are owed, including without limitation
transaction expenses, deferred advisor fees, and any obligations owed to the Sponsor, (iii) the Deferred Underwriting Amount to the underwriter
in the IPO and (iv) the remaining monies in the Trust Account to the Parent Parties. Except as otherwise expressly provided in the Investment
Management Trust Agreement, Parent shall not agree to, or permit, any amendment or modification of, or waiver under, the Investment Management
Trust Agreement without the prior written consent of the Company.
7.12
Directors’ and Officers’ Indemnification and Insurance.
(a)
The parties agree that all rights to exculpation, indemnification and advancement of expenses existing in favor of the current or former
directors and officers of the Parent Parties (the “D&O Indemnified Persons”) as provided in their respective Organizational
Documents, in each case as in effect on the date of this Agreement, or under any indemnification, employment or other similar agreements
between any D&O Indemnified Person and any of the Parent Parties in effect on the date hereof and disclosed in Schedule 5.7(a)
of the Parent Party Disclosure Schedules shall survive the Closing and continue in full force and effect in accordance with their
respective terms to the extent permitted by applicable Law. For a period of six (6) years after the Effective Time, the Parent Parties
and the Company shall cause the Organizational Documents of Purchaser and the Company to contain provisions no less favorable with respect
to exculpation and indemnification of and advancement of expenses to D&O Indemnified Persons than are set forth as of the date of
this Agreement in the Organizational Documents of the Parent Parties to the extent permitted by applicable Law. The provisions of this
Section 7.12 shall survive the Closing and are intended to be for the benefit of, and shall be enforceable by, each of the D&O Indemnified
Persons and their respective heirs and representatives. The Company agrees that it shall cause the Organizational Documents of Purchaser
and the Company to provide for the advancement of expenses (including without limitation legal and other professional fees and related
expenses) to current and former officers and directors of Parent, Purchaser and the Company, to the maximum extent permitted by applicable
laws.
(b)
The Company shall, or shall cause its Affiliates to, obtain and fully pay the premium for a “tail” insurance policy that
provides coverage for up to a six-year period from the Closing Date, for the benefit of the D&O Indemnified Persons (the “D&O
Tail Insurance”) that is substantially equivalent to and in any event not less favorable in the aggregate than Parent’s
existing policy or, if substantially equivalent insurance coverage is unavailable, the best available coverage; provided that in no event
shall the Company be required to expend for such policies pursuant to this Section 7.12(b) an annual premium amount in excess
of 200% of the amount per annum Parent paid in its last full fiscal year, which amount is set forth in Schedule 5.7(b) of the
Parent Party Disclosure Schedules. The Parent Parties shall cause such D&O Tail Insurance to be maintained in full force and effect,
for its full term, and cause the other Parent Parties to honor all obligations thereunder.
(c)
On the Closing Date, Purchaser shall enter into customary indemnification agreements reasonably satisfactory to all parties with the
individuals set forth on Schedule 5.7(c) of the Parent Party Disclosure Schedules, which indemnification agreements shall continue
to be effective following the Closing.
Article
VIII
COVENANTS
OF THE COMPANY
The
Company agrees that:
8.1
Reporting and Compliance with Laws. From the date hereof through the Closing Date, the Company shall duly and timely file all
Tax Returns required to be filed with the applicable Taxing Authorities, pay any and all Taxes required by any Taxing Authority and duly
observe and conform in all material respects, to all applicable Laws and Orders.
8.2
Reasonable Best Efforts to Obtain Consents. The Company shall use its reasonable best efforts to obtain each third party
consent as promptly as practicable hereafter.
8.3
Certain Assets. All assets, including Intellectual Property Rights and other intellectual property, that are used by the Company
or any Subsidiary in connection with the Business and that are owned or held by any Shareholder or other Affiliate of the Company, shall
be legally transferred to the Company or a Subsidiary on or prior to the Closing. Such assets are listed on Schedule 8.3 of the
Company Disclosure Schedules.
8.4
Certain Related Party Transactions. The Company and its Subsidiaries shall terminate the Affiliate Transactions that are
listed on Schedule 8.4 of the Company Disclosure Schedules on or prior to the Closing.
Article
IX
COVENANTS
OF ALL PARTIES HERETO
The
parties hereto covenant and agree that:
9.1
Reasonable Best Efforts; Further Assurances. Subject to the terms and conditions of this Agreement, each party shall use its reasonable
best efforts to take, or cause to be taken, all actions and to do, or cause to be done, all things necessary or desirable under applicable
Laws, and cooperate as reasonably requested by the other parties, to consummate and implement expeditiously each of the transactions
contemplated by this Agreement. The parties hereto shall execute and deliver such other documents, certificates, agreements and other
writings and take such other actions as may be necessary or reasonably desirable in order to consummate or implement expeditiously each
of the transactions contemplated by this Agreement.
9.2
[Reserved].
9.3
Settlement of the Parent Parties’ Liabilities. Concurrently with the Closing, all outstanding liabilities of the
Parent Parties shall be settled and paid in full and reimbursement of out-of-pocket expenses reasonably incurred by Parent or Parent’s
officers, directors, or any of their respective Affiliates, in connection with identifying, investigating and consummating a business
combination.
9.4
Compliance with SPAC Agreements. The Company and the Parent Parties shall comply with each of the applicable agreements entered
into in connection with the IPO, including that certain Registration Rights Agreement, dated as of September 20, 2021 by and between
Parent and the investors named therein.
9.5
Parent Special Meeting; Form F-4.
(a)
As promptly as practicable following the execution and delivery of this Agreement, Parent shall prepare, with the assistance of the Company,
and cause to be filed with the SEC a registration statement on Form F-4 (as amended or supplemented from time to time, and including
the Proxy Statement/Prospectus contained therein, the “Registration Statement”) in connection with the registration
under the Securities Act of the Purchaser Ordinary Shares to be issued under this Agreement, which Registration Statement will also contain
the Proxy Statement/Prospectus. The Registration Statement shall include a proxy statement of Parent as well as a prospectus for the
offering of shares to Parent’s shareholders (as amended, the “Proxy Statement/Prospectus”) for the purpose of
soliciting proxies from Parent shareholders for the matters to be acted upon at the Parent Special Meeting (as defined below) and providing
the public shareholders of Parent an opportunity in accordance with Parent’s Organizational Documents and the final IPO prospectus
of the Parent, dated September 20, 2021 (the “Prospectus”) to have their Parent Ordinary Shares redeemed in conjunction
with the shareholder vote on the Parent Shareholder Approval Matters (as defined below). The Proxy Statement/Prospectus shall include
proxy materials for the purpose of soliciting proxies from Parent shareholders to vote, at an extraordinary general meeting of Parent
to be called and held for such purpose (the “Parent Special Meeting”), in favor of resolutions approving (i) the adoption
and approval of this Agreement and the Additional Agreements and the transactions contemplated hereby or thereby, including the Mergers,
by the holders of Parent Ordinary Shares in accordance with Parent’s Organizational Documents, the Companies Act and the rules
and regulations of the SEC and Nasdaq, (ii) the adoption of the Amended and Restated Memorandum and Articles of Association of Purchaser
(iii) the adoption of the Equity Incentive Plan, (iv) the adoption and approval of the issuance of the Purchaser Ordinary Shares in connection
with the transactions contemplated by this Agreement as required by Nasdaq listing requirements, (v) the adoption and approval of each
other proposal that either the SEC or Nasdaq (or the respective staff members thereof) indicates is necessary in its comments to the
Proxy Statement/Prospectus or in correspondence related thereto, (vi) such other matters as the Company and Parent shall hereafter mutually
determine to be necessary or appropriate in order to effect the Mergers and the other transactions contemplated by this Agreement, and
(vii) approval to adjourn the Parent Special Meeting, if necessary, to permit further solicitation of proxies because there are not sufficient
votes to approve and adopt any of the foregoing (the approvals described in foregoing clauses (i) through (vii), collectively, the “Parent
Shareholder Approval Matters”). Without the prior written consent of the Company, the Parent Shareholder Approval Matters shall
be the only matters (other than procedural matters) which Parent shall propose to be acted on by Parent’s shareholders at the Parent
Special Meeting. Neither Parent’s board of directors nor any committee or agent or representative thereof shall withdraw (or modify
in a manner adverse to the Company), or propose to withdraw (or modify in a manner adverse to the Company) Parent’s board of director’s
recommendation that the Parent shareholders vote in favor of the adoption of the Parent Shareholder Approval Matters. The Parent Parties
shall provide the Company (and its counsel) with a reasonable opportunity to review and comment on and approve in writing the Proxy Statement/Prospectus
and any amendment or supplement thereto prior to filing the same with the SEC.
(b)
The Company shall provide the Parent Parties with such information concerning the Company and its equity holders, officers, directors,
employees, assets, Liabilities, condition (financial or otherwise), business and operations that may be required or appropriate for inclusion
in the Proxy Statement/Prospectus, or in any amendments or supplements thereto, which information provided by the Company shall be true
and correct and not contain any untrue statement of a material fact or omit to state a material fact necessary in order to make the statements
made, in the light of the circumstances under which they are made, not materially misleading (subject to the qualifications and limitations
set forth in the materials provided by the Company). If required by applicable SEC rules or regulations, such financial information provided
by the Company must be reviewed or audited by the Company’s auditors. The Parent Parties shall provide such information concerning
each Parent Party and its equity holders, officers, directors, employees, assets, Liabilities, condition (financial or otherwise), business
and operations that may be required or appropriate for inclusion in the Proxy Statement/Prospectus, or in any amendments or supplements
thereto, which information provided by the Parent Parties shall be true and correct and not contain any untrue statement of a material
fact or omit to state a material fact necessary in order to make the statements made, in the light of the circumstances under which they
are made, not materially misleading.
(c)
Each of Parent and the Company shall use its reasonable best efforts to cause the Proxy Statement/Prospectus to comply with the rules
and regulations promulgated by the SEC, to have the Registration Statement declared effective under the Securities Act as promptly as
practicable after such filing and to keep the Registration Statement effective as long as is necessary to consummate the Merger. Each
of Parent and the Company shall furnish all information concerning it as may reasonably be requested by the other Party in connection
with such actions and the preparation of the Registration Statement and the Proxy Statement/Prospectus. Promptly after the Registration
Statement is declared effective under the Securities Act, Parent will cause the Proxy Statement/Prospectus to be mailed to shareholders
of Parent. Parent also agrees to use its reasonable best efforts to obtain all necessary state securities law or “Blue Sky”
permits and approvals required to carry out the transactions contemplated hereby.
(d)
Each of Parent and the Company shall cooperate and mutually agree upon (such agreement not to be unreasonably withheld or delayed), any
response to comments of the SEC or its staff with respect to the Registration Statement and any amendment to the Registration Statement
filed in response thereto. If Parent or the Company becomes aware that any information contained in the Registration Statement shall
have become false or misleading in any material respect or that the Registration Statement is required to be amended in order to comply
with applicable Law, then (i) such Party shall promptly inform the other Parties and (ii) Parent, on the one hand, and the Company, on
the other hand, and shall cooperate and mutually agree upon (such agreement not to be unreasonably withheld or delayed) an amendment
or supplement to the Registration Statement. Parent shall cause the Registration Statement as so amended or supplemented, which is mutually
agreed upon by Parent and the Company, to be filed with the SEC and to be disseminated to the holders of shares of Parent Ordinary Shares
pursuant to applicable Law and subject to the terms and conditions of this Agreement and the Parent Organizational Documents and the
Company Organizational Documents. Each of the Company and Parent shall provide the other Parties with copies of any written comments,
and shall inform such other Parties of any oral comments, that Parent or the Company receives from the SEC or its staff with respect
to the Registration Statement promptly after the receipt of such comments and shall give the other Parties a reasonable opportunity to
review and comment on any proposed written or oral responses to such comments prior to responding to the SEC or its staff.
(e)
Each party shall, and shall cause each of its subsidiaries to, make their respective directors, officers and employees, upon reasonable
advance notice, available at a reasonable time and location to the Company, the Parent Parties and their respective representatives in
connection with the drafting of the public filings with respect to the transactions contemplated by this Agreement, including the Proxy
Statement/Prospectus, and responding in a timely manner to comments from the SEC. The Parent Parties shall cause the Proxy Statement/Prospectus
to be disseminated to Parent’s shareholders, in each case as and to the extent required by applicable Laws and subject to the terms
and conditions of this Agreement and Parent’s Organizational Documents.
(f)
The Parent Parties shall as promptly as reasonably practicable advise the Company of the time of effectiveness of the Proxy Statement/Prospectus
or the filing of any supplement or amendment thereto, the issuance of any stop order relating thereto or the suspension of the qualification
of the Purchaser Ordinary Shares for offering or sale in any jurisdiction, of the initiation or written threat of any Proceeding for
any such purpose, or of any request by the SEC for the amendment or supplement of the Proxy Statement/Prospectus or for additional information
and Parent and the Company shall each use its reasonable best efforts to have any such stop order or suspension lifted, reversed or otherwise
terminated.
(g)
As promptly as reasonably practicable following the time at which the Proxy Statement/Prospectus is declared effective under the Securities
Act, Parent shall (i) establish the record date for, duly call, give notice of and (ii) duly convene and hold the Parent Special Meeting.
Parent may postpone or adjourn the Parent Special Meeting (i) to solicit additional proxies for the purpose of obtaining the Parent’s
shareholders’ approval, (ii) due to the absence of a quorum or (iii) to allow reasonable additional time for the filing or mailing
of any supplemental or amended disclosures that Parent has determined, based on the advice of outside legal counsel, is reasonably likely
to be required under applicable Law and for such supplemental or amended disclosure to be disseminated and reviewed by the Parent’s
shareholders prior to the Parent Special Meeting; provided that, without the consent of the Company, in no event shall Parent adjourn
the Parent Special Meeting for more than 15 Business Days later than the most recently adjourned meeting or a date that is beyond the
Outside Date.
9.6
Extension. Parent shall extend the deadline by which it must complete its Business Combination by depositing into the Trust Account
for each one month Extension $9,080.20, as necessary, in accordance with Parent’s Organizational Documents and the Prospectus to
the extent required to continue in business until the Closing
9.7
HSR Act; Other Filings.
(a)
To the extent required under any Laws that are designed to prohibit, restrict or regulate actions having the purpose or effect of monopolization
or restraint of trade, including the HSR Act (“Antitrust Laws”), each party hereto agrees to promptly (and in connection
with any required filings under the HSR Act, no later than ten (10) Business Days after the date of this Agreement) make any required
filing or application under Antitrust Laws, as applicable. The parties hereto agree to supply as promptly as reasonably practicable any
additional information and documentary material that may be requested pursuant to Antitrust Laws and to take all other actions necessary,
proper or advisable to cause the expiration or termination of the applicable waiting periods or obtain required approvals, as applicable
under Antitrust Laws as soon as practicable, including by requesting early termination of the waiting period provided for under the HSR
Act.
(b)
Each party hereto shall, in connection with its efforts to obtain all requisite approvals and authorizations for the transactions contemplated
hereby under any Antitrust Law, use its reasonable best efforts to: (i) cooperate in all respects with each other party or its Affiliates
in connection with any filing or submission and in connection with any investigation or other inquiry, including any Action initiated
by a private person; (ii) keep the other parties reasonably informed of any communication received by such party or its Representatives
from, or given by such party or its Representatives to, any Governmental Authority and of any communication received or given in connection
with any Action by a private person, in each case regarding any of the transactions contemplated hereby; (iii) permit a Representative
of the other parties and their respective outside counsel to review any communication given by it to, and consult with each other in
advance of any meeting or conference with, any Governmental Authority or, in connection with any Action by a private person, with any
other person, and to the extent permitted by such Governmental Authority or other person, give a Representative or Representatives of
the other parties the opportunity to attend and participate in such meetings and conferences; (iv) in the event a party’s Representative
is prohibited from participating in or attending any meetings or conferences, the other parties shall keep such party promptly and reasonably
apprised with respect thereto; and (v) use reasonable best efforts to cooperate in the filing of any memoranda, white papers, filings,
correspondence or other written communications explaining or defending the transactions contemplated hereby, articulating any regulatory
or competitive argument or responding to requests or objections made by any Governmental Authority.
(c)
No party hereto shall take any action that could reasonably be expected to adversely affect or materially delay the approval of any Governmental
Authority of any required filings or applications under Antitrust Laws. The parties hereto further covenant and agree, with respect to
a threatened or pending preliminary or permanent injunction or other order, decree or ruling or statute, rule, regulation or executive
order that would adversely affect the ability of the parties hereto to consummate the transactions contemplated hereby, to use reasonable
best efforts to prevent or lift the entry, enactment or promulgation thereof, as the case may be.
9.8
Confidentiality. Except as necessary to complete the Proxy Statement, the Company, on the one hand, and the Parent Parties, on
the other hand, shall hold and shall cause their respective representatives to hold in strict confidence, unless compelled to disclose
by judicial or administrative process or by other requirements of Law, all documents and information concerning the other party furnished
to it by such other party or its representatives in connection with the transactions contemplated by this Agreement (except to the extent
that such information can be shown to have been (a) previously known by the party to which it was furnished, (b) in the public domain
through no fault of such party or (c) later lawfully acquired from other sources, which source is not the agent of the other party, by
the party to which it was furnished), and each party shall not release or disclose such information to any other person, except its representatives
in connection with this Agreement. In the event that any party believes that it is required to disclose any such confidential information
pursuant to applicable Laws, such party shall give timely written notice to the other parties so that such parties may have an opportunity
to obtain a protective order or other appropriate relief. Each party shall be deemed to have satisfied its obligations to hold confidential
information concerning or supplied by the other parties if it exercises the same care as it takes to preserve confidentiality for its
own similar information. The parties acknowledge that some previously confidential information will be required to be disclosed in the
Proxy Statement.
9.9
Adoption of Equity Incentive Plan. Prior to the Closing Date, Parent shall approve and adopt an Equity Incentive Plan in
substantially the form agreed to by the parties before the first confidential filing of the Registration Statement (with such changes
as may be agreed in writing by Parent and the Company, the “Equity Incentive Plan”) with share reserves and shares
issuable to be included in the plan as are mutually agreed to by the parties, and which shall be presented for approval at the Parent
Special Meeting.
Article
X
CONDITIONS
TO CLOSING
10.1
Condition to the Obligations of the Parties. The obligations of all of the parties hereto to consummate the Closing are
subject to the satisfaction of all the following conditions:
(a)
No provisions of any applicable Law or Order that is then in effect and which has the effect of making the Closing illegal or which otherwise
prohibit or prevent the consummation of the Closing.
(b)
There shall not be any Action brought by any Person to enjoin or otherwise restrict the consummation of the Closing.
(c)
Parent’s initial listing application in connection with the transactions contemplated by this Agreement shall have been conditionally
approved by Nasdaq and, immediately following the Merger, the Parent Parties will satisfy any applicable initial and continuing listing
requirements of Nasdaq.
(d)
All consents, approvals and actions of, filings with and notices to any Authority required to consummate the transactions contemplated
by this Agreement shall have been made or obtained.
(e)
The Parent Shareholder Approval Matters that are submitted to the vote of the shareholders of Parent at the Parent Special Meeting in
accordance with the Proxy Statement and Parent’s Organizational Documents shall have been approved by the requisite vote of the
shareholders of Parent at the Parent Special Meeting in accordance with Parent’s Organizational Documents, applicable Law and the
Proxy Statement (the “Required Parent Shareholder Approval”).
(f)
This Agreement, the Plan of Acquisition Merger and the transactions contemplated hereby and thereby, including the Mergers, shall have
been authorized and approved by the holders of Company Ordinary Shares constituting the Requisite Company Vote in accordance with the
Companies Act and the Company’s memorandum and articles of association.
(g)
Immediately after the Closing, the Parent Parties shall have in excess of $5,000,001 in net tangible assets (inclusive of the assets
of the Company).
(h)
All required filings under the HSR Act, and other applicable anti-trust laws, shall have been completed and any applicable waiting period,
any extensions thereof, and any commitments by the parties not to close before a certain date under a timing agreement entered into with
a Authority shall have expired or otherwise been terminated.
10.2
Conditions to Obligations of the Parent Parties. The obligation of the Parent Parties to consummate the Closing is subject
to the satisfaction, or the waiver at the Parent Parties’ sole and absolute discretion, of all the following further conditions:
(a)
The Company shall have duly performed all of its obligations hereunder required to be performed by it at or prior to the Closing Date
in all material respects, unless the applicable obligation has a materiality qualifier in which case it shall be duly performed in all
respects.
(b)
All of the representations and warranties of the Company contained in Article IV in this Agreement, disregarding all qualifications and
exceptions contained herein relating to materiality or Material Adverse Effect, regardless of whether it involved a known risk, shall:
(i) be true and correct at and as of the date of this Agreement except as provided in the disclosure schedules pursuant to Article IV,
and (ii) be true and correct as of the Closing Date except as provided in the disclosure schedules pursuant to Article IV (if the representation
and warranties that speak as of a specific date prior to the Closing Date, such representations and warranties need only to be true and
correct as of such earlier date), other than in the case of (i) and (ii), as would not in the aggregate reasonably be expected to have
a Material Adverse Effect.
(c)
There shall have been no event, change or occurrence which individually or together with any other event, change or occurrence, could
reasonably be expected to have a Material Adverse Effect, regardless of whether it involved a known risk.
(d)
The Parent Parties shall have received a certificate signed by the Chief Executive Officer and Chief Financial Officer of the Company
to the effect set forth in clauses (a) through (c) of this Section 10.2.
(e)
The Parent Parties shall have received duly executed opinions from the Company’s British Virgin Islands counsel in form and substance
reasonably satisfactory to the Parent Parties, addressed to the Parent Parties and dated as of the Closing Date.
(f)
The Parent Parties shall have received a copy of each of the Additional Agreements to which the Company is a party duly executed by the
Company (and with all Employment Agreements executed by the appropriate Key Personnel), and a copy of each of the Additional Agreements.
(g)
The Parent Parties shall have received copies of third party consents set forth on Schedule 10.2(g) of the Company Disclosure
Schedules in form and substance reasonably satisfactory to the Parent Parties, and no such consents have been revoked.
(h)
Each of the assets listed on Schedule 8.3 of the Company Disclosure Schedules shall have been legally transferred to the Company
or a Subsidiary.
(i)
Each of the transactions and contracts listed on Schedule 8.4 of the Company Disclosure Schedules shall have been terminated.
(j)
The Company shall have completed a reorganization resulting in (a) all Company Preferred Shares being cancelled and/or converted into
Company Ordinary Shares, (b) all equity of the Subsidiaries being owned 100% by the Company, and (c) all preferred stock of all Subsidiaries
being redeemed, converted or otherwise cancelled, each no later than the date of the initial public filing of the Proxy Statement/Prospectus,
so that, as of such date, no Company Preferred Shares and no preferred shares of any Subsidiary shall be existing.
10.3
Conditions to Obligations of the Company. The obligations of the Company to consummate the Closing is subject to the satisfaction,
or the waiver at the Company’s discretion, of all of the following further conditions (with the exception of Section 10.3(h), which
condition may not be waived by any party):
(a)
The Parent Parties shall have duly performed all of their obligations hereunder required to be performed by them at or prior to the Closing
Date in all material respects, unless the applicable obligation has a materiality qualifier in which case it shall be duly performed
in all respects.
(b)
All of the representations and warranties of the Parent Parties contained in Article V of this Agreement, disregarding all qualifications
and exceptions contained herein relating to materiality or Material Adverse Effect, regardless of whether it involved a known risk, shall:
(i) be true and correct at and as of the date of this Agreement and (ii) be true and correct as of the Closing Date (except for representation
and warranties that speak as of a specific date prior to the Closing Date, in which case such representations and warranties need only
to be true and correct as of such earlier date), other than in the case of (i) and (ii), as would not in the aggregate reasonably be
expected to have a Material Adverse Effect.
(c)
There shall have been no event, change or occurrence which individually or together with any other event, change or occurrence, could
reasonably be expected to have a Material Adverse Effect on the Parent Parties, regardless of whether it involved a known risk.
(d)
The Company shall have received a certificate signed by an authorized officer of Parent Parties to the effect set forth in clauses (a)
through (c) of this Section 10.3.
(e)
From the date hereof until the Closing, the Parent Parties shall have been in material compliance with the reporting requirements under
the Securities Act and the Exchange Act applicable to the Parent Parties.
(f)
The Parent Parties shall have executed and delivered to the Company each of the Additional Agreements to which it is a party.
(g)
The directors designated by the Company shall have been appointed to the board of directors of Purchaser, in accordance with this Agreement,
effective as of the Closing.
(h)
Purchaser shall remain listed on Nasdaq and the additional listing application for the Closing Payment Shares shall have been approved
by Nasdaq. As of the Closing Date, Purchaser shall not have received any written notice from Nasdaq that it has failed, or would reasonably
be expected to fail to meet the Nasdaq listing requirements as of the Closing Date for any reason, where such notice has not been subsequently
withdrawn by Nasdaq or the underlying failure appropriately remedied or satisfied. The additional listing application for the Closing
Payment Shares shall have been approved by Nasdaq.
Article
XI
DISPUTE
RESOLUTION
11.1
Arbitration.
(a)
The parties shall promptly submit any dispute, claim, or controversy arising out of or relating to this Agreement (including with respect
to the meaning, effect, validity, termination, interpretation, performance, or enforcement of this Agreement) or any alleged breach thereof
(including any action in tort, contract, equity, or otherwise), to binding arbitration before one arbitrator (the “Arbitrator”).
Binding arbitration shall be the sole means of resolving any dispute, claim, or controversy arising out of or relating to this Agreement
(including with respect to the meaning, effect, validity, termination, interpretation, performance or enforcement of this Agreement)
or any alleged breach thereof (including any claim in tort, contract, equity, or otherwise).
(b)
If the parties cannot agree upon the Arbitrator, the Arbitrator shall be selected by the New York, New York chapter head of the American
Arbitration Association upon the written request of either side. The Arbitrator shall be selected within thirty (30) days of such written
request.
(c)
In any arbitration hereunder, this Agreement shall be governed by the laws of the State of New York applicable to a contract negotiated,
signed, and wholly to be performed in the State of New York, which laws the Arbitrator shall apply in rendering his decision. The Arbitrator
shall issue a written decision, setting forth findings of fact and conclusions of law, within sixty (60) days after he or she shall have
been selected. The Arbitrator shall have no authority to award punitive or other exemplary damages.
(d)
The arbitration shall be held in New York, New York in accordance with and under the then-current provisions of the rules of the American
Arbitration Association, except as otherwise provided herein.
(e)
On application to the Arbitrator, any party shall have rights to discovery to the same extent as would be provided under the Federal
Rules of Civil Procedure, and the Federal Rules of Evidence shall apply to any arbitration under this Agreement; provided, however, that
the Arbitrator shall limit any discovery or evidence such that his or her decision shall be rendered within the period referred to in
Section 11.1(c).
(f)
The Arbitrator may, at his or her discretion and at the expense of the party who will bear the cost of the arbitration, employ experts
to assist him in his determinations.
(g)
The costs of the arbitration proceeding and any proceeding in court to confirm any arbitration award (including actual attorneys’
fees and costs), shall be borne by the unsuccessful party and shall be awarded as part of the Arbitrator’s decision, unless the
Arbitrator shall otherwise allocate such costs in such decision. The determination of the Arbitrator shall be final and binding upon
the parties and not subject to appeal.
(h)
Any judgment upon any award rendered by the Arbitrator may be entered in and enforced by any court of competent jurisdiction. The parties
expressly consent to the non-exclusive jurisdiction of the courts (Federal and state) in New York, New York to enforce any award of the
Arbitrator or to render any provisional, temporary, or injunctive relief in connection with or in aid of the arbitration. The parties
expressly consent to the personal and subject matter jurisdiction of the Arbitrator to arbitrate any and all matters to be submitted
to arbitration hereunder. None of the parties hereto shall challenge any arbitration hereunder on the grounds that any party necessary
to such arbitration (including the parties hereto) shall have been absent from such arbitration for any reason, including that such party
shall have been the subject of any bankruptcy, reorganization, or insolvency proceeding.
(i)
The parties shall indemnify the Arbitrator and any experts employed by the Arbitrator and hold them harmless from and against any claim
or demand arising out of any arbitration under this Agreement, unless resulting from the gross negligence or willful misconduct of the
person indemnified.
(j)
This arbitration section shall survive the termination of this Agreement.
11.2
Waiver of Jury Trial; Exemplary Damages.
(a)
THE PARTIES TO THIS AGREEMENT HEREBY KNOWINGLY, VOLUNTARILY AND IRREVOCABLY WAIVE ANY RIGHT EACH SUCH PARTY MAY HAVE TO TRIAL BY JURY
IN ANY ACTION OF ANY KIND OR NATURE, IN ANY COURT IN WHICH AN ACTION MAY BE COMMENCED, ARISING OUT OF OR IN CONNECTION WITH THIS AGREEMENT
OR ANY ADDITIONAL AGREEMENT, OR BY REASON OF ANY OTHER CAUSE OR DISPUTE WHATSOEVER BETWEEN OR AMONG ANY OF THE PARTIES TO THIS AGREEMENT
OF ANY KIND OR NATURE. NO PARTY SHALL BE AWARDED PUNITIVE OR OTHER EXEMPLARY DAMAGES RESPECTING ANY DISPUTE ARISING UNDER THIS AGREEMENT
OR ANY ADDITIONAL AGREEMENT.
(b)
Each of the parties to this Agreement acknowledge that each has been represented in connection with the signing of this waiver by independent
legal counsel selected by the respective party and that such party has discussed the legal consequences and import of this waiver with
legal counsel. Each of the parties to this Agreement further acknowledge that each has read and understands the meaning of this waiver
and grants this waiver knowingly, voluntarily, without duress and only after consideration of the consequences of this waiver with legal
counsel.
Article
XII
TERMINATION
12.1
Termination.
This Agreement shall be terminated:
(a)
by the mutual written consent of the Company and Parent duly authorized by each of their respective boards of directors;
(b)
by Parent, if any of the representations or warranties of the Company set forth in Article IV shall not be true and correct, or if the
Company has failed to perform any covenant or agreement on the part of the Company set forth in this Agreement (including an obligation
to consummate the Closing), in each case such that the conditions to Closing set forth in either Section 9.2(a) or Section
9.2(b) would not be satisfied and the breach or breaches causing such representations or warranties not to be true and correct, or
the failure to perform any covenant or agreement, as applicable, are not cured (or waived by Parent) by the earlier of (i) the Outside
Date (as defined below) or (ii) 20 days after written notice thereof is delivered to the Company; provided that Parent shall not
have the right to terminate this Agreement pursuant to this Section 12.1(b) if any Parent Party is then in material breach of
any representation, warranty, covenant, or obligation hereunder, which breach has not been cured;
(c)
by the Company, if any of the representations or warranties of Parent or Merger Sub set forth in Article V shall not be true and correct,
or if either Parent or Merger Sub has failed to perform any covenant or agreement on the part of Parent or Merger Sub set forth in this
Agreement (including an obligation to consummate the Closing), in each case such that the conditions to Closing set forth in either Section
9.3(a) or Section 9.3(b) would not be satisfied and the breach or breaches causing such representations or warranties not
to be true and correct, or the failure to perform any covenant or agreement, as applicable, are not cured (or waived by the Company)
by the earlier of (i) the Outside Date or (ii) 20 days after written notice thereof is delivered to Parent; provided that the
Company is not then in breach of this Agreement so as to cause the conditions to Closing set forth in Section 9.3(a) or Section
9.3(b) from being satisfied;
(d)
by either the Company or Parent:
(i)
on or after December 31, 2023 (the “Outside Date”), if the Merger shall not have been consummated prior to the Outside
Date; provided, however, that if an Extension Amendment shall be in effect, the Outside Date shall be the Extension Date; and
provided further, that the right to terminate this Agreement under this 12.1(d)(i) shall not be available to a party if the failure
of the Merger to have been consummated on or before the Outside Date was due to such party’s breach of or failure to perform any
of its representations, warranties, covenants or agreements set forth in this Agreement; or
(ii)
if any Order having the effect set forth in Section 9.1 shall be in effect and shall have become final and non-appealable; provided,
however, that the right to terminate this Agreement under this Section 12.1(d)(ii) shall not be available to a party
if such Order was due to such party’s breach of or failure to perform any of its representations, warranties, covenants or agreements
set forth in this Agreement; or
(iii)
if any of the Parent Shareholder Approval Matters shall fail to receive the Required Parent Shareholder Approval for approval at the
Parent Shareholder Meeting (unless such Parent Shareholder Meeting has been adjourned or postponed, in which case at the final adjournment
or postponement thereof); or
(e)
by Parent if the Requisite Company Vote shall not have been obtained within five (5) Business Days of the delivery to Parent shareholders
of the Proxy Statement, provided that the termination right under this Section 12.1(e) shall be of no further force or effect
if such Requisite Company Vote is delivered to a Parent Party prior to the termination of the Agreement (even if after the five (5) Business
Day period provided above).
12.2
Effect of Termination. In the event of the termination of this Agreement as provided in Section 11.1 (other than
termination pursuant to Section 12.1(a)), written notice thereof shall be given by the party desiring to terminate to the other party
or parties, specifying the provision hereof pursuant to which such termination is made, and this Agreement shall following such delivery
become null and void (other than the provisions of Article XII and this Section 12.2), and there shall be no Liability on the
part of Parent, Merger Sub or the Company or their respective directors, officers and Affiliates; provided, however, that nothing in
this Agreement will relieve any party from Liability for any fraud, intentional misrepresentation or willful breach.
Article
XIII
MISCELLANEOUS
13.1
Notices. Any notice hereunder shall be sent in writing, addressed as specified below, and shall be deemed given: (a) if by hand
or recognized courier service, by 4:00PM on a business day, addressee’s day and time, on the date of delivery, and otherwise on
the first business day after such delivery; (b) if by fax or email, on the date that transmission is confirmed electronically, if by
4:00PM on a business day, addressee’s day and time, and otherwise on the first business day after the date of such confirmation;
or (c) five days after mailing by certified or registered mail, return receipt requested. Notices shall be addressed to the respective
parties as follows (excluding telephone numbers, which are for convenience only), or to such other address as a party shall specify to
the others in accordance with these notice provisions:
if
to the Company (following the Closing), to:
Perfect
Hexagon Group Limited
No.
29, Jalan SS 23/11
Taman
SEA, 47400 Petaling Jaya
Selangor,
Malaysia
Email:
wwkow@perfecthexagon.com and sfyap@perfecthexagon.com
if
to Parent and/or Merger Sub:
HHG
Capital Corporation
1
Commonwealth Lane
#03-20,
Singapore 149544
Attn:
Keith Kok, CEO
Email:
kokkeith@gmail.com
with
a copy to (which shall not constitute notice):
Ms.
Lora Chan: lorachan349@gmail.com
and
to:
Loeb
& Loeb LLP
345
Park Avenue
New
York, New York 10154
Attn:
Lawrence Venick, Esq.
Email:
lvenick@loeb.com
13.2
Amendments; No Waivers; Remedies.
(a)
This Agreement cannot be amended, except by a writing signed by each of the Parent Parties and the Company, and cannot be terminated
orally or by course of conduct. No provision hereof can be waived, except by a writing signed by the party against whom such waiver is
to be enforced, and any such waiver shall apply only in the particular instance in which such waiver shall have been given.
(b)
Neither any failure or delay in exercising any right or remedy hereunder or in requiring satisfaction of any condition herein nor any
course of dealing shall constitute a waiver of or prevent any party from enforcing any right or remedy or from requiring satisfaction
of any condition. No notice to or demand on a party waives or otherwise affects any obligation of that party or impairs any right of
the party giving such notice or making such demand, including any right to take any action without notice or demand not otherwise required
by this Agreement. No exercise of any right or remedy with respect to a breach of this Agreement shall preclude exercise of any other
right or remedy, as appropriate to make the aggrieved party whole with respect to such breach, or subsequent exercise of any right or
remedy with respect to any other breach.
(c)
Except as otherwise expressly provided herein, no statement herein of any right or remedy shall impair any other right or remedy stated
herein or that otherwise may be available.
(d)
Notwithstanding anything else contained herein, neither shall any party seek, nor shall any party be liable for, punitive or exemplary
damages, under any tort, contract, equity, or other legal theory, with respect to any breach (or alleged breach) of this Agreement or
any provision hereof or any matter otherwise relating hereto or arising in connection herewith.
13.3
Arm’s Length Bargaining; No Presumption Against Drafter. This Agreement has been negotiated at arm’s-length
by parties of equal bargaining strength, each represented by counsel or having had but declined the opportunity to be represented by
counsel and having participated in the drafting of this Agreement. This Agreement creates no fiduciary or other special relationship
between the parties, and no such relationship otherwise exists. No presumption in favor of or against any party in the construction or
interpretation of this Agreement or any provision hereof shall be made based upon which Person might have drafted this Agreement or such
provision.
13.4
Publicity. Except as required by law and except with respect to the Parent SEC Documents, the parties agree that neither
they nor their agents shall issue any press release or make any other public disclosure concerning the transactions contemplated hereunder
without the prior approval of the other party hereto. If a party is required to make such a disclosure as required by law, the parties
will use their best efforts to cause a mutually agreeable release or public disclosure to be issued.
13.5
Expenses. Each party shall bear its own costs and expenses in connection with this Agreement and the transactions contemplated
hereby; provided however that at the Closing, all of the Parent Parties’ unpaid or contingent liabilities, including but not limited
to any fees and expenses associated with the Parent’s IPO and of the transactions contemplated by this Agreement, will be paid
from the capital of Parent.
13.6
Attorneys’ Fees. Notwithstanding anything else contained herein, in the event of any Action initiated by any party arising
under or out of, in connection with or in respect of, this Agreement, the prevailing party shall be entitled to reasonable attorneys’
fees, costs and expenses incurred in such action, as determined and fixed by the Arbitrator or the court.
13.7
No Assignment or Delegation. No party may assign any right or delegate any obligation hereunder, including by merger, consolidation,
operation of law, or otherwise, without the written consent of the other party. Any purported assignment or delegation without such consent
shall be void, in addition to constituting a material breach of this Agreement.
13.8
Governing Law. This Agreement shall be construed in accordance with and governed by the laws of the State of New York,
without giving effect to the conflict of laws principles thereof.
13.9
Counterparts; Facsimile Signatures. This Agreement may be executed in counterparts, each of which shall constitute an original,
but all of which shall constitute one agreement. This Agreement shall become effective upon delivery to each party of an executed counterpart
or the earlier delivery to each party of original, photocopied, or electronically transmitted signature pages that together (but need
not individually) bear the signatures of all other parties.
13.10
Entire Agreement. This Agreement together with the Additional Agreements, including any exhibits and schedules attached hereto
or thereto, sets forth the entire agreement of the parties with respect to the subject matter hereof and thereof and supersedes all prior
and contemporaneous understandings and agreements related thereto (whether written or oral), all of which are merged herein. No provision
of this Agreement or any Additional Agreement, including any exhibits and schedules attached hereto or thereto, may be explained or qualified
by any agreement, negotiations, understanding, discussion, conduct or course of conduct or by any trade usage. Except as otherwise expressly
stated herein or any Additional Agreement, there is no condition precedent to the effectiveness of any provision hereof or thereof. No
party has relied on any representation from, or warranty or agreement of, any person in entering into this Agreement, prior hereto or
contemporaneous herewith or any Additional Agreement, except those expressly stated herein or therein.
13.11
Severability. A determination by a court or other legal authority that any provision that is not of the essence of this
Agreement is legally invalid shall not affect the validity or enforceability of any other provision hereof. The parties shall cooperate
in good faith to substitute (or cause such court or other legal authority to substitute) for any provision so held to be invalid a valid
provision, as alike in substance to such invalid provision as is lawful.
13.12
Construction of Certain Terms and References; Captions. In this Agreement:
(a)
References to particular sections and subsections, schedules, and exhibits not otherwise specified are cross-references to sections and
subsections, schedules, and exhibits of this Agreement.
(b)
The words “herein,” “hereof,” “hereunder,” and words of similar import refer to this Agreement as
a whole and not to any particular provision of this Agreement, and, unless the context requires otherwise, “party” means
a party signatory hereto.
(c)
Any use of the singular or plural, or the masculine, feminine, or neuter gender, includes the others, unless the context otherwise requires;
“including” means “including without limitation;” “or” means “and/or;” “any”
means “any one, more than one, or all;” and, unless otherwise specified, any financial or accounting term has the meaning
of the term under United States generally accepted accounting principles as consistently applied heretofore by the Company.
(d)
Unless otherwise specified, any reference to any agreement (including this Agreement), instrument, or other document includes all schedules,
exhibits, or other attachments referred to therein, and any reference to a statute or other law includes any rule, regulation, ordinance,
or the like promulgated thereunder, in each case, as amended, restated, supplemented, or otherwise modified from time to time. Any reference
to a numbered schedule means the same-numbered section of the disclosure schedule.
(e)
If any action is required to be taken or notice is required to be given within a specified number of days following a specific date or
event, the day of such date or event is not counted in determining the last day for such action or notice. If any action is required
to be taken or notice is required to be given on or before a particular day which is not a Business Day, such action or notice shall
be considered timely if it is taken or given on or before the next Business Day.
(f)
Captions are not a part of this Agreement, but are included for convenience, only.
(g)
For the avoidance of any doubt, all references in this Agreement to “the knowledge or best knowledge of the Company” or similar
terms shall be deemed to include the actual or constructive (e.g., implied by Law) knowledge of any of the Key Personnel.
13.13
Further Assurances. Each party shall execute and deliver such documents and take such action, as may reasonably be considered
within the scope of such party’s obligations hereunder, necessary to effectuate the transactions contemplated by this Agreement.
13.14
Third Party Beneficiaries. Neither this Agreement nor any provision hereof confers any benefit or right upon or may be enforced
by any Person not a signatory hereto.
13.15
Non-survival of Representations, Warranties and Covenants. The representations, warranties, covenants, obligations or other
agreements in this Agreement, including any rights arising out of any breach of such representations, warranties, covenants, obligations,
agreements and other provisions, shall not survive the Closing Date and shall terminate and expire upon the occurrence of the Closing
(and there shall be no liability after the Closing Date in respect thereof).
13.16
Waiver. Reference is made to the Prospectus of Parent. The Company has read the Prospectus and understand that Parent has
established the Trust Account for the benefit of the public shareholders of Parent, and the underwriters of the IPO pursuant to the Investment
Management Trust Agreement and that, except for a portion of the interest earned on the amounts held in the Trust Account, Parent may
disburse monies from the Trust Account only for the purposes set forth in the Investment Management Trust Agreement. For and in consideration
of Parent agreeing to enter into this Agreement, the Company hereby agrees that it does not have any right, title, interest or claim
of any kind in or to any monies in the Trust Account and hereby agrees that he, she or it will not seek recourse against the Trust Account
for any claim it may have in the future as a result of, or arising out of, any negotiations, contracts or agreements with Parent. In
the event that the Company or any of its respective Affiliates commences Action based upon, in connection with, relating to or arising
out of any matter relating to Parent which proceeding seeks, in whole or in part, relief against the Trust Account (including any distributions
therefrom) or the public shareholders, whether in the form of money damages or injunctive relief, Parent shall be entitled to recover
from the Company and its Affiliates, as applicable, the associated legal fees and costs in connection with any such Action, in the event
Parent, prevails in such Action. This Section 13.16 shall survive termination of this Agreement for any reason and continue indefinitely.
13.17
Legal Representation.
(a)
The parties agree that, notwithstanding the fact that Loeb & Loeb LLP may have, prior to Closing, jointly represented Parent and/or
Merger Sub in connection with this Agreement, the Additional Agreements and the transactions contemplated hereby and thereby, and has
also represented Parent and/or its Affiliates in connection with matters other than the transaction that is the subject of this Agreement,
Loeb & Loeb LLP will be permitted in the future, after Closing, to represent Sponsor or its Affiliates in connection with matters
in which such Persons are adverse to Parent or any of its Affiliates, including any disputes arising out of, or related to, this Agreement.
The Company, who is or has the right to be represented by independent counsel in connection with the transactions contemplated by this
Agreement, hereby agrees, in advance, to waive (and to cause their Affiliates to waive) any actual or potential conflict of interest
that may hereafter arise in connection with Loeb & Loeb LLP’s future representation of one or more of Sponsor or their respective
Affiliates in which the interests of such Person are adverse to the interests of Parent, the Company or any of their respective Affiliates,
including any matters that arise out of this Agreement or that are substantially related to this Agreement or to any prior representation
by Loeb & Loeb LLP of Parent, Merger Sub, or any of their respective Affiliates. The parties acknowledge and agree that, for the
purposes of the attorney-client privilege, Sponsor and Parent shall be deemed the clients of Loeb & Loeb LLP with respect to the
negotiation, execution and performance of this Agreement and the Additional Agreements. All such communications shall remain privileged
after the Closing and the privilege and the expectation of client confidence relating thereto shall belong solely to Sponsor and Parent,
shall be controlled by Sponsor and Parent and shall not pass to or be claimed by Parent post-Closing; provided, further, that nothing
contained herein shall be deemed to be a waiver by Parent or any of its Affiliates (including, after the Effective Time) of any applicable
privileges or protections that can or may be asserted to prevent disclosure of any such communications to any third party.
(b)
Each party warrants and represents that (i) it is a sophisticated party represented at all relevant times during the negotiation and
execution of this Agreement by counsel of its choice, and that it has executed this Agreement with the consent and on the advice of such
independent legal counsel; (ii) it and its counsel have determined through independent investigation and robust, arm’s-length negotiation
that the terms of this Agreement shall exclusively embody and govern the subject matter of this Agreement; (iii) it has investigated
the facts pertinent to this Agreement as it deemed necessary; (iv) no other person or party, nor any agent or attorney of a party, made
any promise, representation or warranty whatsoever, express or implied, not contained in this Agreement concerning the subject matter
of this Agreement to induce it to execute this Agreement; (v) it has not executed this Agreement in reliance on any promise, representation
or warranty whatsoever, express or implied, not contained in this Agreement concerning the subject matter of this Agreement; and (vi)
it has not executed this Agreement in reliance on any promise, representation or warranty not contained herein. The parties included
this paragraph to preclude any claim that any party was fraudulently induced to execute this Agreement and to preclude the introduction
of parol evidence to vary, interpret, supplement or contradict the terms of this Agreement.
[The
remainder of this page intentionally left blank; signature pages to follow]
IN
WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the day and year first above written.
| |
Parent: |
| |
|
|
| |
HHG
CAPITAL CORPORATION |
| |
|
|
| |
By: |
/s/
Chee Shiong (Keith) Kok |
| |
Name: |
Chee
Shiong (Keith) Kok |
| |
Title: |
Chief
Executive Officer |
| |
|
|
| |
Purchaser: |
|
| |
|
|
| |
PERFECT
HEXAGON HOLDINGS LIMITED |
| |
|
|
| |
By: |
/s/
Chee Shiong (Keith) Kok |
| |
Name: |
Chee
Shiong (Keith) Kok |
| |
Title: |
Chief
Executive Officer |
| |
|
|
| |
Merger Sub: |
| |
|
|
| |
PERFECT
ACQUISITIONS LIMITED |
| |
|
|
| |
By: |
/s/
Chee Shiong (Keith) Kok |
| |
Name: |
Chee
Shiong (Keith) Kok |
| |
Title: |
Chief
Executive Officer |
IN
WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly executed as of the day and year first above written.
| |
Company: |
| |
|
|
| |
PERFECT
HEXAGON GROUP LIMITED |
| |
|
|
| |
By: |
/s/
Jyh Yaong Tan |
| |
Name: |
Jyh
Yaong Tan |
| |
Title: |
Chairman |
| |
|
|
| |
By: |
/s/
Tze Jye SIM |
| |
Name: |
Tze
Jye SIM |
| |
Title: |
Chief
Executive Officer |
EXHIBIT
A
Part
1 – Shareholders of the Company as of the date of this Agreement
| Name of Shareholders | |
Number of Company Ordinary Shares | | |
Shares Ownership Percentage | |
| Tan Sri Dato’ Koo Yuen Kim | |
| 30,601,068 | | |
| 40.05 | % |
| Tan Sri Datuk Tan Jyh Yaong | |
| 22,900,801 | | |
| 29.98 | % |
| Sim Tze Shiong | |
| 22,900,801 | | |
| 29.98 | % |
| | |
| | | |
| | |
| Total | |
| 76,402,670 | | |
| 100.00 | % |
Part
2 – Shareholders of the Company as of the Closing Date
| Name of Shareholder | |
Number of Company Ordinary Shares | | |
Shares Ownership Percentage | | |
Closing Payment Shares | |
| Tan Sri Dato’ Koo Yuen Kim | |
| | | |
| | | |
| | |
| Tan Sri Datuk Tan Jyh Yaong | |
| | | |
| | | |
| | |
| Sim Tze Shiong | |
| | | |
| | | |
| | |
| | |
| | | |
| | | |
| | |
| Total | |
| | | |
| 100.00 | % | |
| | |
Exhibit 10.1
SPONSOR
SUPPORT AGREEMENT
This
SPONSOR SUPPORT AGREEMENT, dated as of August 2, 2023 (this “Agreement”), is entered into by and among the stockholder(s)
listed on Exhibit A hereto (each, a “Shareholder”), Perfect Hexagon Group Limited, a British Virgin Islands
business company (the “Company”), and HHG Capital Corporation, a British Virgin Islands business company (“Parent”).
Capitalized terms used but not defined in this Agreement shall have the meanings ascribed to them in the Merger Agreement (as defined
below).
WHEREAS,
Parent, Perfect Hexagon Holdings Limited, a British Virgin Islands business company and wholly owned subsidiary of Parent (“Purchaser”),
Perfect Acquisitions Limited, a British Virgin Islands business company and wholly owned subsidiary of Purchaser (“Merger Sub”)
and the Company have entered into that certain Agreement and Plan of Merger (as may be amended, supplemented or otherwise modified from
time to time, the “Merger Agreement”), pursuant to which (a) Parent will be merged with and into Purchaser (the “Reincorporation
Merger”), with Purchaser surviving the Reincorporation Merger, and (b) Merger Sub will be merged with and into the Company
(the “Acquisition Merger”), with the Company surviving the Acquisition Merger as a direct wholly owned subsidiary
of Purchaser (collectively, the “Business Combination”). Following the Business Combination, Purchaser will be a publicly
traded company listed on a stock exchange in the United States;
WHEREAS,
as of the date hereof, each Shareholder owns the number of ordinary shares, par value $0.0001, of Parent set forth on Exhibit A
(all such shares, and/or any successor shares of Parent (including, upon the effectiveness of the Reincorporation Merger, any shares
of Purchaser issued in exchange therefor) of which ownership of record or the power to vote is hereafter acquired by the Stockholder
prior to the termination of this Agreement being referred to herein as the “Shares”); and
WHEREAS,
in order to induce the Company to enter into the Merger Agreement, each Stockholder is executing and delivering this Agreement to the
Company.
NOW,
THEREFORE, in consideration of the foregoing and of the mutual covenants and agreements contained herein, and intending to be legally
bound hereby, the parties hereby agree as follows:
1.
Agreement to Vote. During the period commencing on the date hereof and ending on the earlier to occur of (a) the Effective Time,
and (b) such date and time as the Merger Agreement shall be terminated in accordance with Section 12.1 thereof (the “Expiration
Time”), each Shareholder, with respect to its Shares, hereby irrevocably agrees to (1) appear at any meeting of the shareholders
of Parent (a “Parent Shareholders’ Meeting”) in person or proxy or otherwise cause the Shares to be counted
as present thereat for the purpose of establishing a quorum, and (2) vote, or cause to be voted or consented at a Parent Shareholders’
Meeting, or in any action by written consent of the shareholders, all of the Shares owned as of the record date for such meeting (a)
in favor of the approval and adoption of the Merger Agreement and the transactions contemplated thereby, (b) in favor of any other matter
reasonably necessary to the consummation of the transactions contemplated by the Merger Agreement and considered and voted upon at any
Parent Shareholders’ Meeting, (c) in favor of the approval of the Parent Party Shareholder Approval Matters (as defined in the
Merger Agreement), (d) against the approval of any merger, purchase of all or substantially all of the Company’s assets or other
business combination transaction (other than the Merger Agreement and the transactions contemplated thereby), or against any proposal,
action or agreement that would (i) impede, frustrate, prevent or nullify any provision of this Agreement, the Merger Agreement, the Reincorporation
Merger or the Acquisition Merger, (ii) result in a breach in any respect of any covenant, representation, warranty or any other obligation
or agreement of Parent, Purchaser or Merger Sub under the Merger Agreement, or (iii) result in any of the conditions set forth in Article
X of the Merger Agreement not being fulfilled, and (e) against any amendment of the organizational documents of Parent or any change
in Parent’s capitalization, corporate structure or business other than as contemplated by the Merger Agreement. Each Shareholder
acknowledges receipt and review of a copy of the Merger Agreement. The obligations of each Shareholder specified in this Section 1 shall
apply whether or not the Reincorporation Merger or the Acquisition Merger or any action described above is recommended by Parent’s
Board of Directors.
Each
Shareholder hereby irrevocably agrees that it shall not commit or agree to take any action inconsistent with the foregoing.
2.
Redemptions Rights; Waiver Conversion Ratios. Each Shareholder irrevocably agrees that it will (i) not exercise its right to redeem
all or a portion of such Shareholder’s Shares (in connection with the transactions contemplated by this Agreement or the Merger
Agreement or otherwise) as set forth in the organizational documents of Parent and (ii) waive any adjustment to the conversion ratio
set forth in Parent’s organizational documents.
3.
Transfer of Shares. Until the Expiration Time, each Shareholder irrevocably agrees that it shall not, directly or indirectly,
(a) sell, assign, transfer (including by operation of law), allow the creation of a lien, pledge, distribute, dispose of or otherwise
encumber any of the Shares, either voluntarily or involuntarily (collectively, “Transfer”), or otherwise agree or
offer to do any of the foregoing, (b) deposit any Shares into a voting trust or enter into a voting agreement or arrangement or grant
any proxy or power of attorney with respect thereto that is inconsistent with this Agreement, (c) enter into any contract, option or
other arrangement or undertaking with respect to the direct or indirect acquisition or sale, assignment, transfer (including by operation
of law) or other disposition of any Shares, (d) establish or increase a put equivalent position or liquidate or decrease a call equivalent
position within the meaning of Section 16 of the Exchange Act, with respect to any Shares, (e) enter into any swap or other arrangement
that transfers to another, in whole or in part, any of the economic consequences of ownership of any Share, (f) take any action that
would have the effect of preventing or disabling Shareholder from performing its obligations hereunder or (g) publicly announce any intention
to effect any transaction specified in this Section 3; provided, that, Transfers by Shareholder are permitted to an Affiliate or to a
direct or indirect owner of equity or other interest in such Shareholder (a “Permitted Transfer”); provided, further,
that any Permitted Transfer shall be permitted only if, as a precondition to such Transfer, the transferee also agrees in a writing,
reasonably satisfactory in form and substance to the Company, to assume all of the obligations of the Shareholder under, and be bound
by all of the terms of, this Agreement; provided, further, that any Transfer permitted under this Section 3 shall not relieve the Shareholder
of its obligations under this Agreement. Any Transfer in violation of this Section 3 with respect to the Shareholder’s Shares shall
be null and void.
4.
Representations and Warranties. Each Shareholder, severally and not jointly, represents and warrants for and on behalf of itself
to the Company as follows:
(a)
The execution, delivery and performance by Shareholder of this Agreement and the consummation by Shareholder of the transactions contemplated
hereby do not and will not (i) conflict with or violate any Law applicable to Shareholder, (ii) require any consent, approval or authorization
of, declaration, filing or registration with, or notice to, any person or entity, (iii) result in the creation of any Lien on any Shares
(other than pursuant to this Agreement or transfer restrictions under applicable securities laws or the organization documents of Shareholder),
or (iv) conflict with or result in a breach of or constitute a default under any provision of Shareholder’s organizational documents.
(b)
Shareholder is the only record and a beneficial owner (within the meaning of Rule 13d-3 under the Exchange Act) of and has good, valid
and marketable title to the Shares free and clear of any Lien (other than (i) pursuant to this Agreement or (ii) transfer restrictions
under applicable securities Laws) and has the sole power (as currently in effect) to vote the Shares and has not entered into any voting
agreement or voting trust with respect to any of the Shares that is inconsistent with the Shareholder’s obligations pursuant to
this Agreement. Shareholder has the full right, power and authority to sell, transfer and deliver such Shares, and Shareholder does not
own, directly or indirectly, any other Shares, other than Parent warrants held by Shareholder (if any).
(c)
Shareholder is a natural person or a legal entity duly organized, validly existing and, to the extent such concept is applicable, in
good standing under the Laws of the jurisdiction of its organization, has the power, authority and capacity to execute, deliver and perform
this Agreement, has not entered into any agreement or undertaking that would interfere with, or prohibit or prevent it from satisfying,
its obligations pursuant to this Agreement and that this Agreement has been duly authorized, executed and delivered by Shareholder. This
Agreement, assuming due authorization, execution and delivery hereof by the Company and Parent, constitutes a legal, valid and binding
obligation of Shareholder in accordance with its terms (except as such enforceability may be limited by bankruptcy, insolvency, fraudulent
transfer, reorganization, moratorium and other similar laws of general applicability relating to or affecting creditor’s rights
and to general equitable principles).
(d)
As of the date of this Agreement, there is no action, proceeding or, to the Shareholder’s knowledge, investigation pending against
the Shareholder or, to the knowledge of the Shareholder, threatened against the Shareholder that questions the beneficial or record ownership
of the Shareholder’s Shares, the validity of this Agreement or the performance by the Shareholder of its obligations under this
Agreement.
(e)
Shareholder understands and acknowledges that the Company is entering into the Merger Agreement in reliance upon the Shareholder’s
execution and delivery of this Agreement.
(f)
Shareholder has not entered into, and shall not enter into, any agreement that would prevent it from performing any of its obligations
under this Support Agreement.
(g)
No investment banker, broker, finder or other intermediary is entitled to any broker’s, finder’s, financial advisor’s
or other similar fee or commission for which Parent, Purchaser, Merger Sub or the Company is or will be liable in connection with the
transactions contemplated hereby based upon arrangements made by or, to the knowledge of the Shareholder, on behalf of the Shareholder.
5.
New Shares. In the event that, during the period commencing on the date hereof and ending at the Expiration Time, (a) any Shares
are issued to Shareholder after the date of this Agreement pursuant to any share dividend, share split, recapitalization, reclassification,
combination or exchange of Shares or otherwise, (b) a Shareholder purchases or otherwise acquires beneficial ownership of any Shares,
or (c) a Shareholder acquires the right to vote or share in the voting of any Shares (collectively the “New Securities”),
then such New Securities acquired or purchased by such Shareholder shall be subject to the terms of this Agreement to the same extent
as if they constituted the Shares owned by such Shareholder as of the date hereof.
6.
No Challenges. Each Shareholder agrees not to commence, join in, facilitate, assist or encourage, and agrees to take all actions
necessary to opt out of any class in any class action with respect to, any claim, derivative or otherwise, against Parent, Purchaser,
Merger Sub, the Company or any of their respective successors or directors (a) challenging the validity of, or seeking to enjoin the
operation of, any provision of this Agreement or the Merger Agreement or (b) alleging a breach of any fiduciary duty of any person in
connection with the evaluation, negotiation or entry into the Merger Agreement.
7.
Termination. This Agreement and the obligations of Shareholder under this Agreement shall automatically terminate upon the earliest
of: (a) the Effective Time; (b) the termination of the Merger Agreement in accordance with its terms; and (c) the mutual agreement of
the Company and Parent. Upon termination or expiration of this Agreement, no party shall have any further obligations or liabilities
under this Agreement; provided, however, such termination or expiration shall not relieve any party from liability for any willful breach
of this Agreement occurring prior to its termination.
8.
Miscellaneous.
(a)
Except as otherwise provided herein or in the Merger Agreement or any other transaction document, all costs and expenses incurred in
connection with this Agreement and the transactions contemplated hereby shall be paid by the party incurring such costs and expenses,
whether or not the transactions contemplated hereby or thereby are consummated.
(b)
All notices, requests, claims, demands and other communications hereunder shall be in writing and shall be given (and shall be deemed
to have been duly given upon receipt) by delivery in person, by telecopy or e-mail or by registered or certified mail (postage prepaid,
return receipt requested) to the respective parties at the following addresses (or at such other address for a party as shall be specified
in a notice given in accordance with this Section 8(b)):
If
to Shareholder:
To
such Shareholder’s address set forth in Exhibit A.
with
copies to (which shall not constitute notice):
Loeb
& Loeb
345
Park Avenue, 19th Floor
New
York, NY 10154
Attention:
Lawrence Venick, Esq.
E-mail:
lvenick@loeb.com
If
to the Company, to:
Perfect
Hexagon Holdings Limited
No.
29, Jalan SS 23/11
Taman
SEA, 47400 Petaling Jaya
Selangor,
Malaysia
Attention:
Ms. Wei Wei Kow and Mr. Sheng Feng Yap
Email:
wwkow@perfecthexagon.com and sfyap@perfecthexagon.com
with
a copy to (which shall not constitute notice):
Ogier
11th
Floor Central Tower, 28 Queen’s Road Central
Central,
Hong Kong, PRC
Attn:
Rachel Huang, Esq.
Email:
Rachel.Huang@ogier.com
If
to Parent or Purchaser, to:
HHG
Capital Corporation
1
Commonwealth Lane
#03-20,
Singapore 149544
Attn:
Mr. Chee Shiong (Keith) Kok
Email:
kokkeith@gmail.com
with
a copy to (which shall not constitute notice):
Loeb
& Loeb
345
Park Avenue, 19th Floor
New
York, NY 10154
Attention:
Lawrence Venick, Esq.
E-mail:
lvenick@loeb.com
(c)
If any term or other provision of this Agreement is invalid, illegal or incapable of being enforced by any rule of law, or public policy,
all other conditions and provisions of this Agreement shall nevertheless remain in full force and effect so long as the economic or legal
substance of the transactions contemplated hereby is not affected in any manner materially adverse to any party. Upon such determination
that any term or other provision is invalid, illegal or incapable of being enforced, the parties hereto shall negotiate in good faith
to modify this Agreement so as to effect the original intent of the parties as closely as possible in a mutually acceptable manner in
order that the transactions contemplated hereby be consummated as originally contemplated to the fullest extent possible.
(d)
This Agreement and the Merger Agreement constitute the entire agreement among the parties with respect to the subject matter hereof and
supersede all prior agreements and undertakings, both written and oral, among the parties, or any of them, with respect to the subject
matter hereof. This Agreement shall not be assigned (whether pursuant to a merger, by operation of law or otherwise).
(e)
This Agreement shall be binding upon and inure solely to the benefit of each party hereto, and nothing in this Agreement, express or
implied, is intended to or shall confer upon any other person any right, benefit or remedy of any nature whatsoever under or by reason
of this Agreement.
(f)
This Agreement shall be governed by, and construed in accordance with, the Laws of the State of New York applicable to contracts executed
in and to be performed in that State without giving effect to principles or rules of conflict of laws to the extent such principles or
rules would require or permit the application of Laws of another jurisdiction. All actions, suits or proceedings (collectively, “Action”)
arising out of or relating to this Agreement shall be heard and determined exclusively in any federal or state court having jurisdiction
within the State of New York. The parties hereto hereby (i) submit to the exclusive jurisdiction of federal or state courts within the
State of New York for the purpose of any Action arising out of or relating to this Agreement brought by any party hereto, and (ii) irrevocably
waive, and agree not to assert by way of motion, defense, or otherwise, in any such Action, any claim that it is not subject personally
to the jurisdiction of the above-named courts, that its property is exempt or immune from attachment or execution, that the Action is
brought in an inconvenient forum, that the venue of the Action is improper, or that this Agreement or the transactions contemplated hereunder
may not be enforced in or by any of the above-named courts.
(g)
The parties hereto agree that irreparable damage would occur if any provision of this Agreement were not performed in accordance with
the terms hereof, and accordingly, that the parties shall be entitled to an injunction or injunctions to prevent breaches of this Agreement
or to enforce specifically the performance of the terms and provisions hereof in any federal or state court within the State of New York
without proof of actual damages or otherwise, in addition to any other remedy to which they are entitled at law or in equity as expressly
permitted in this Agreement. Each of the parties further waives (i) any defense in any action for specific performance that a remedy
at law would be adequate and (b) any requirement to post security or a bond as prerequisite to obtaining equitable relief.
(h)
This Agreement may be executed and delivered (including by facsimile or portable document format (pdf) transmission) in one or more counterparts,
and by the different parties hereto in separate counterparts, each of which when executed shall be deemed to be an original but all of
which taken together shall constitute one and the same agreement.
(i)
Each Shareholder shall execute and deliver, or cause to be delivered, such additional documents, and take, or cause to be taken, all
such further actions and do, or cause to be done, all things reasonably necessary (including under applicable Laws), or reasonably requested
by Parent or the Company, to effect the actions and consummate the Merger and the other transactions contemplated by this Agreement and
the Merger Agreement (including the transactions contemplated hereby and thereby), in each case, on the terms and subject to the conditions
set forth therein and herein, as applicable.
(j)
This Agreement may not be amended, changed, supplemented, waived or otherwise modified or terminated, except upon the execution and delivery
of a written agreement executed by Parent, the Company and each Shareholder.
(k)
This Agreement shall not be effective or binding upon Shareholder until such time as the Merger Agreement is executed by each of the
parties thereto.
(l)
If, and as often as, there are any changes in Parent by way of share split, share dividend, combination or reclassification, or through
merger, consolidation, reorganization, recapitalization or business combination, or by any other means, equitable adjustment shall be
made to the provisions of this Agreement as may be required so that the rights, privileges, duties and obligations hereunder shall continue
with respect to Shareholder and the Shares as so changed.
(m)
Each of the parties hereto hereby waives to the fullest extent permitted by applicable law any right it may have to a trial by jury with
respect to any litigation directly or indirectly arising out of, under or in connection with this Agreement. Each of the parties hereto
(i) certifies that no representative, agent or attorney of any other party has represented, expressly or otherwise, that such other party
would not, in the event of litigation, seek to enforce that foregoing waiver and (ii) acknowledges that it and the other parties hereto
have been induced to enter into this Agreement and the transactions contemplated hereby, as applicable, by, among other things, the mutual
waivers and certifications in this Paragraph (m).
(n)
Shareholder hereby authorizes Parent and the Company to publish and disclose in any disclosure required by the United States Securities
and Exchange Commission the Shareholder’s identity and beneficial ownership of the Shares and the nature of the Shareholder’s
obligations under this Agreement.
[remainder
of page intentionally left blank]
IN
WITNESS WHEREOF, the parties have executed this Agreement as of the date first written above.
| |
SHAREHOLDERS: |
| |
|
| |
/s/
Kok Wai Hooy |
| |
Kok
Wai Hooy |
| |
|
| |
/s/
Chee Shiong (Keith) Kok |
| |
Chee
Shiong (Keith) Kok |
| |
|
| |
/s/
Shuk Man (Lora) Chan |
| |
Shuk
Man (Lora) Chan |
| |
|
| |
/s/
Kym Hau |
| |
Kym
Hau |
| |
|
| |
/s/
Tzu Fei (Philip) Ting |
| |
Tzu
Fei (Philip) Ting |
| |
|
| |
/s/
Weiyi Di |
| |
Weiyi
Di |
| |
COMPANY: |
| |
|
|
| |
PERFECT
HEXAGON GROUP LIMITED |
| |
|
|
| |
By: |
/s/
Jyh Yaong Tan |
| |
Name: |
Jyh
Yaong Tan |
| |
Title: |
Chairman |
| |
|
|
| |
By: |
/s/
Tze Jye Sim |
| |
Name: |
Tze
Jye Sim |
| |
Title: |
Chief
Executive Officer |
| |
PARENT: |
| |
|
|
| |
HHG
CAPITAL CORPORATION |
| |
|
|
| |
By: |
/s/
Chee Shiong (Keith) Kok |
| |
Name:
|
Chee
Shiong (Keith) Kok |
| |
Title: |
Chief
Executive Officer |
Signature
Page to Sponsor Support Agreement
Exhibit
A
Shareholders
| Shareholder |
|
Number
of
Ordinary
Shares |
|
Address
for Notices |
| |
|
|
|
|
| Kok
Wai Hooy |
|
3,614,500 |
|
c/o
1 Commonwealth Lane, #03-20, Singapore 149544 |
| |
|
|
|
|
| Chee
Shiong (Keith) Kok |
|
160,000 |
|
c/o
1 Commonwealth Lane, #03-20, Singapore 149544 |
| |
|
|
|
|
| Shuk
Man (Lora) Chan |
|
80,000
|
|
c/o
1 Commonwealth Lane, #03-20, Singapore 149544 |
| |
|
|
|
|
| Kym
Hau |
|
5,000 |
|
c/o
1 Commonwealth Lane, #03-20, Singapore 149544 |
| |
|
|
|
|
| Tzu
Fei (Philip) Ting |
|
5,000 |
|
c/o
1 Commonwealth Lane, #03-20, Singapore 149544 |
| |
|
|
|
|
| Weiyi
Di |
|
5,000 |
|
c/o
1 Commonwealth Lane, #03-20, Singapore 149544 |
Exhibit
10.2
AMENDED
AND RESTATED
REGISTRATION RIGHTS AGREEMENT
THIS
AMENDED AND RESTATED REGISTRATION RIGHTS AGREEMENT (this “Agreement”) effective as of the [•] day
of [•], 2023, is made and entered into by and among HHG Capital Corporation, a British Virgin Islands business company (the “Parent”),
Perfect Hexagon Holdings Limited, a British Virgin Islands business company (the “Purchaser” or “Company”),
Perfect Hexagon Group Limited, a British Virgin Islands exempted company (the “PHGL”), and each of the undersigned
parties that are Pre-IPO Investors (as defined below), and any person or entity who hereafter becomes a party to this Agreement pursuant
to Section 6.2 of this Agreement (together with the Pre-IPO Investors, the “Existing Holders”), and the undersigned
parties listed as New Holders on the signature pages hereto (each such party, together with any person or entity deemed a “New
Holder” who hereafter becomes a party to this Agreement pursuant to Section 6.2 of this Agreement, a “New Holder”
and collectively the “New Holders”). Existing Holders, collectively with New Holders, are referred to herein
as “Holders.”
WHEREAS,
each of the Parent and certain investors (each, a “Pre-IPO Investor”) is a party to, and hereby consents to,
this amendment and restatement of that certain Registration Rights Agreement, dated as of September 20, 2021 (the “Original
Registration Rights Agreement”), pursuant to which the Parent granted the Pre-IPO Investors certain registration rights
with respect to certain securities of the Parent, as set forth therein;
WHEREAS,
Parent, Purchaser, Perfect Acquisitions Limited , a British Virgin Islands business company, a wholly owned subsidiary of Purchaser (“Merger
Sub”), and PHGL have entered into that certain Agreement and Plan of Merger dated as of March [*], 2023 (as may be amended,
supplemented or otherwise modified from time to time, the “Merger Agreement”), pursuant to which (a) Parent
will be merged with and into Purchaser (the “Reincorporation Merger”), with Purchaser surviving the Reincorporation
Merger, and (b) Merger Sub will be merged with and into the Company (the “Acquisition Merger”), with the Company
surviving the Acquisition Merger as a direct wholly owned subsidiary of Purchaser (collectively, the “Business Combination”).
Following the Business Combination, Purchaser will be a publicly traded company listed on a stock exchange in the United States;
WHEREAS,
the Pre-IPO Investors and Parent desire to enter into this Agreement in connection with the closing of the transactions contemplated
by the Merger Agreement (the “Closing”) to amend and restate the Original Registration Rights Agreement to
provide the Holders with certain rights relating to the registration of the securities held by them as of the date hereof on the terms
and conditions set forth in this Agreement;
NOW,
THEREFORE, in consideration of the mutual covenants and agreements set forth herein, and for other good and valuable consideration, the
receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:
1.
DEFINITIONS. The following capitalized terms
used herein have the following meanings:
“Agreement”
means this Agreement, as amended, restated, supplemented, or otherwise modified from time to time.
“Business
Combination” is defined in the preamble to this Agreement.
“Business
Day” means a day other than Saturday, Sunday or other day on which commercial banks in New York, New York are authorized
or required by law to close.
“Closing”
is defined in the preamble to this Agreement.
“Commission”
means the Securities and Exchange Commission, or any other Federal agency then administering the Securities Act or the Exchange Act.
“Company”
is defined in the preamble to this Agreement.
“Demand
Registration” is defined in Section 2.1.1.
“Demanding
Holder” is defined in Section 2.1.1.
“Effective
Date” means the date the parties consummate the Business Combination.
“Exchange
Act” means the Securities Exchange Act of 1934, as amended, and the rules and regulations of the Commission promulgated
thereunder, all as the same shall be in effect at the time.
“Form
S-3 or Form F-3” is defined in Section 2.3.
“Founder
Shares” means the 1,437,500 Parent Ordinary Shares issued to certain shareholders prior to the Parent’s initial public
offering and 255,000 Parent Ordinary Shares that certain shareholder purchased on a private placement basis.
“Holder
Indemnified Party” is defined in Section 4.1.
“Indemnified
Party” is defined in Section 4.3.
“Indemnifying
Party” is defined in Section 4.3.
“Investor”
is defined in the preamble to this Agreement.
“IPO”
means the Parent’s initial public offering.
“Maximum
Number of Shares” is defined in Section 2.1.4.
“Merger
Agreement” is defined in the preamble to this Agreement.
“Merger
Sub” is defined in the preamble to this Agreement.
“Notices”
is defined in Section 6.3.
“Ordinary
Shares” means the ordinary shares, par value $0.0001 per share, of the Company.
“Original
Registration Rights Agreement” is defined in the preamble to this Agreement.
“Parent
Ordinary Shares” means the ordinary shares, $0.0001 par value each, of Parent.
“Person”
means a company, corporation, association, partnership, limited liability company, organization, joint venture, trust or other legal
entity, an individual, a government or political subdivision thereof or a governmental agency.
“Piggy-Back
Registration” is defined in Section 2.2.1.
“Pre-IPO
Investor” is defined in the preamble to this Agreement.
“Private
Rights” means rights to purchase up to 25,500 Parent Ordinary Shares included in the Private Units.
“Private
Shares” means 255,000 Parent Ordinary Shares included in the Private Units.
“Private
Units” means 255,000 units, consisting of the Private Shares and the Private Warrants, and Private Rights that the Investors
(or their designees or affiliates) privately purchased under an exemption from registration under the Securities Act simultaneously with
the consummation of the Parent’s initial public offering.
“Private
Warrants” means warrants to purchase up to 191,250 Parent Ordinary Shares included in the Private Units.
“Pro
Rata” is defined in Section 2.1.4.
“Prospectus”
shall mean the prospectus included in any Registration Statement, as supplemented by any and all prospectus supplements and as amended
by any and all post-effective amendments and including all material incorporated by reference in such prospectus.
“Purchaser
Ordinary Shares” means, collectively, (i) the class A purchaser ordinary shares of US$0.0001 par value each of the Purchaser
(the “Class A Purchaser Ordinary Shares”) and (ii) the class B purchaser ordinary shares of US$0.0001 par value
each of the Purchaser (the “Class B Purchaser Ordinary Shares”).
“Register,”
“Registered” and “Registration” mean a registration effected by preparing and filing
a registration statement or similar document in compliance with the requirements of the Securities Act, and the applicable rules and
regulations promulgated thereunder, and such registration statement becoming effective.
“Registrable
Securities” means (i) the Founder Shares and the Ordinary Shares issued or issuable upon the conversion of any Founder
Shares, (ii) the Private Shares, (iii) the Private Warrants, (iv) the Private Rights, (v) the Ordinary Shares, as applicable, underlying
the Private Warrants and Private Rights, (vi) any securities issuable upon conversion of loans from the IPO Investors (or their designees
or affiliates) to the Parent for either (A) the purpose of extending the duration of the Parent in accordance with the terms of the Parent’s
Amended and Restated Certificate of Incorporation (the “Extension Loan Securities”) or (B) the Parent’s
use as working capital whether made before or subsequent to the date of the Original Registration Rights Agreement, if any (the “Working
Capital Loan Securities”), (vii) shares of Common Stock underlying any Extension Loan Securities or Working Capital Loan
Securities, and (viii) any outstanding Ordinary Shares or any other equity security (including the Ordinary Shares issued or issuable
upon the exercise or conversion of any other equity security) of the Purchaser held by a Holder immediately following the Closing (including,
for avoidance of doubt, all Ordinary Shares to be issued to the New Holders pursuant to the Merger Agreement). Registrable Securities
include any warrants, shares of capital stock or other securities of the Parent issued as a dividend or other distribution with respect
to or in exchange for or in replacement of such Founder Shares, Private Shares, Private Warrants, Private Rights, Extension Loan Securities,
Working Capital Loan Securities, and underlying securities. As to any particular Registrable Securities, such securities shall cease
to be Registrable Securities when: (a) a Registration Statement with respect to the sale of such securities shall have become effective
under the Securities Act and such securities shall have been sold, transferred, disposed of or exchanged in accordance with such Registration
Statement; (b) such securities shall have been otherwise transferred, new certificates for them not bearing a legend restricting further
transfer shall have been delivered by the Parent, and subsequent public distribution of them shall not require registration under the
Securities Act; (c) such securities shall have ceased to be outstanding, or (d) the Registrable Securities are freely saleable under
Rule 144 under the Securities Act without volume limitations.
“Registration
Statement” means a registration statement filed by the Purchaser with the Commission in compliance with the Securities
Act and the rules and regulations promulgated thereunder for a public offering and sale of equity securities, or securities or other
obligations exercisable or exchangeable for, or convertible into, equity securities (other than a registration statement on Form S-4,
F-4 or Form S-8, or their successors, or any registration statement covering only securities proposed to be issued in exchange for securities
or assets of another entity).
“Securities
Act” means the Securities Act of 1933, as amended, and the rules and regulations of the Commission promulgated thereunder,
all as the same shall be in effect at the time.
“Underwriter”
means, solely for the purposes of this Agreement, a securities dealer who purchases any Registrable Securities as principal in an underwritten
offering and not as part of such dealer’s market-making activities.
“Underwritten
Offering” means a Registration in which securities of the Purchaser are sold to the Underwriter in a firm commitment underwriting
for distribution to the public.
2.
REGISTRATION RIGHTS.
2.1
Demand Registration.
2.1.1
Request for Demand Registration. At any time and from time to time on or after (i) the date that the Parent consummates a Business
Combination with respect to the Private Units (or underlying Ordinary Shares), Over-Allotment Units (or underlying Ordinary Shares) and
Working Capital Loan Securities or (ii) three months prior to the Release Date with respect to all other Registrable Securities, the
holders of a majority-in-interest of the Registrable Securities, as the case may be, held by the Investors, officers or directors of
the Parent or their affiliates, or the transferees of the Investors, may make a written demand, on no more than two occasions, for registration
under the Securities Act of all or part of their Registrable Securities, as the case may be (a “Demand Registration”).
Any demand for a Demand Registration shall specify the number of shares of Registrable Securities proposed to be sold and the intended
method(s) of distribution thereof. The Purchaser will notify, in writing, all holders of Registrable Securities of the demand, with ten
(10) days of the Purchaser’s receipt of such demand, and each holder of Registrable Securities who wishes to include all or a portion
of such holder’s Registrable Securities in the Demand Registration (each such holder including shares of Registrable Securities
in such registration, a “Demanding Holder”) shall so notify the Purchaser within fifteen (15) days after the
receipt by the holder of the notice from the Purchaser. Upon any such request, the Demanding Holders shall be entitled to have their
Registrable Securities included in the Demand Registration, subject to Section 2.1.4 and the provisions set forth in Section 3.1.1. The
Purchaser shall not be obligated to effect more than an aggregate of two (2) Demand Registrations under this Section 2.1.1 in respect
of all Registrable Securities.
2.1.2
Effective Registration. A registration will not count as a Demand Registration until the Registration Statement filed with the
Commission with respect to such Demand Registration has been declared effective and the Purchaser has complied with all of its obligations
under this Agreement with respect thereto; provided, however, that if, after such Registration Statement has been declared effective,
the offering of Registrable Securities pursuant to a Demand Registration is interfered with by any stop order or injunction of the Commission
or any other governmental agency or court, the Registration Statement with respect to such Demand Registration will be deemed not to
have been declared effective, unless and until, (i) such stop order or injunction is removed, rescinded or otherwise terminated, and
(ii) a majority-in-interest of the Demanding Holders thereafter elect to continue the offering; provided, further, that the Purchaser
shall not be obligated to file a second Registration Statement until a Registration Statement that has been filed is counted as a Demand
Registration or is terminated.
2.1.3
Underwritten Offering pursuant to Demand Registration. If a majority-in-interest of the Demanding Holders so elect and such holders
so advise the Purchaser as part of their written demand for a Demand Registration, the offering of such Registrable Securities pursuant
to such Demand Registration shall be in the form of an underwritten offering. In such event, the right of any holder to include its Registrable
Securities in such registration shall be conditioned upon such holder’s participation in such underwriting and the inclusion of
such holder’s Registrable Securities in the underwriting to the extent provided herein. All Demanding Holders proposing to distribute
their Registrable Securities through such underwriting shall enter into an underwriting agreement in customary form with the Underwriter
or Underwriters selected for such underwriting by a majority-in-interest of the holders initiating the Demand Registration.
2.1.4
Reduction of Offering in Connection with Demand Registration. If the managing Underwriter or Underwriters for a Demand Registration
that is to be an underwritten offering advises the Purchaser and the Demanding Holders in writing that the dollar amount or number of
shares of Registrable Securities which the Demanding Holders desire to sell, taken together with all other Ordinary Shares or other securities
which the Purchaser desires to sell and the Ordinary Shares, if any, as to which registration has been requested pursuant to written
contractual piggy-back registration rights held by other shareholders of the Purchaser who desire to sell, exceeds the maximum dollar
amount or maximum number of shares that can be sold in such offering without adversely affecting the proposed offering price, the timing,
the distribution method, or the probability of success of such offering (such maximum dollar amount or maximum number of shares, as applicable,
the “Maximum Number of Shares”), then the Purchaser shall include in such registration: (i) first, the Registrable
Securities as to which Demand Registration has been requested by the Demanding Holders (pro rata in accordance with the number of shares
that each such Person has requested be included in such registration, regardless of the number of shares held by each such Person (such
proportion is referred to herein as “Pro Rata”)) that can be sold without exceeding the Maximum Number of Shares; (ii) second,
to the extent that the Maximum Number of Shares has not been reached under the foregoing clause (i), the Ordinary Shares or other securities
that the Purchaser desires to sell that can be sold without exceeding the Maximum Number of Shares; and (iii) third, to the extent that
the Maximum Number of Shares has not been reached under the foregoing clauses (i) and (ii), the Ordinary Shares or other securities for
the account of other persons that the Purchaser is obligated to register pursuant to written contractual arrangements with such persons
and that can be sold without exceeding the Maximum Number of Shares.
2.1.5
Withdrawal. If a majority-in-interest of the Demanding Holders disapprove of the terms of any underwriting or are not entitled
to include all of their Registrable Securities in any offering, such majority-in-interest of the Demanding Holders may elect to withdraw
from such offering by giving written notice to the Purchaser and the Underwriter or Underwriters of their request to withdraw prior to
the effectiveness of the Registration Statement filed with the Commission with respect to such Demand Registration. If the majority-in-interest
of the Demanding Holders withdraws from a proposed offering relating to a Demand Registration, then such registration shall not count
as a Demand Registration provided for in Section 2.1. Notwithstanding the forgoing, a Holder may withdraw all or any portion of its Registrable
Securities included in a Demand Registration from such Demand Registration at any time prior to the effectiveness of the applicable Registration
Statement; provided that such withdrawal shall be irrevocable and, after making such withdrawal, a Holder shall no longer have
any right to include Registrable Securities in the Demand Registration as to which such withdrawal was made. Notwithstanding anything
to the contrary in this Agreement, the Purchaser shall be responsible for the registration expenses described in Section 3.3 incurred
in connection with a Registration pursuant to a Demand Registration or an Underwritten Offering prior to its withdrawal under this Section
2.1.5..
2.2
Piggy-Back Registration.
2.2.1
Piggy-Back Rights. If at any time on or after the date the Parent consummates a Business Combination the Purchaser proposes to
file a Registration Statement under the Securities Act with respect to an offering of equity securities, or securities or other obligations
exercisable or exchangeable for, or convertible into, equity securities, by the Purchaser for its own account or for shareholders of
the Purchaser for their account (or by the Purchaser and by shareholders of the Purchaser including, without limitation, pursuant to
Section 2.1), other than a Registration Statement (i) filed in connection with any employee stock option or other benefit plan, (ii)
for an exchange offer or offering of securities solely to the Purchaser’s existing shareholders, (iii) for an offering of debt
that is convertible into equity securities of the Purchaser or (iv) for a dividend reinvestment plan, then the Purchaser shall (x) give
written notice of such proposed filing to the holders of Registrable Securities as soon as practicable but in no event less than ten
(10) days before the anticipated filing date, which notice shall describe the amount and type of securities to be included in such offering,
the intended method(s) of distribution, and the name of the proposed managing Underwriter or Underwriters, if any, of the offering, and
(y) offer to the holders of Registrable Securities in such notice the opportunity to register the sale of such number of shares of Registrable
Securities as such holders may request in writing within five (5) days following receipt of such notice (a “Piggy-Back Registration”).
The Purchaser shall cause such Registrable Securities to be included in such registration and shall use its best efforts to cause the
managing Underwriter or Underwriters of a proposed underwritten offering to permit the Registrable Securities requested to be included
in a Piggy-Back Registration on the same terms and conditions as any similar securities of the Purchaser and to permit the sale or other
disposition of such Registrable Securities in accordance with the intended method(s) of distribution thereof. All holders of Registrable
Securities proposing to distribute their securities through a Piggy-Back Registration that involves an Underwriter or Underwriters shall
enter into an underwriting agreement in customary form with the Underwriter or Underwriters selected for such Piggy-Back Registration.
2.2.2
Reduction of Offering. If the managing Underwriter or Underwriters for a Piggy-Back Registration that is to be an underwritten
offering advises the Purchaser and the holders of Registrable Securities in writing that the dollar amount or number of Ordinary Shares
which the Purchaser desires to sell, taken together with the Ordinary Shares, if any, as to which registration has been demanded pursuant
to written contractual arrangements with persons other than the holders of Registrable Securities hereunder, the Registrable Securities
as to which registration has been requested under this Section 2.2, and the Ordinary Shares, if any, as to which registration has been
requested pursuant to the written contractual piggy-back registration rights of other shareholders of the Purchaser, exceeds the Maximum
Number of Shares, then the Purchaser shall include in any such registration:
(a)
If the registration is undertaken for the Purchaser’s account: (A) first, the Ordinary Shares or other securities that the Purchaser
desires to sell that can be sold without exceeding the Maximum Number of Shares; (B) second, to the extent that the Maximum Number of
Shares has not been reached under the foregoing clause (A), the Ordinary Shares or other securities, if any, comprised of Registrable
Securities, as to which registration has been requested pursuant to the applicable written contractual piggy-back registration rights
of such security holders, Pro Rata, that can be sold without exceeding the Maximum Number of Shares; and (C) third, to the extent that
the Maximum Number of Shares has not been reached under the foregoing clauses (A) and (B), the Ordinary Shares or other securities for
the account of other persons that the Purchaser is obligated to register pursuant to written contractual piggy-back registration rights
with such persons and that can be sold without exceeding the Maximum Number of Shares;
(b)
If the registration is a “demand” registration undertaken at the demand of persons other than either the holders of Registrable
Securities, (A) first, the Ordinary Shares or other securities for the account of the demanding persons that can be sold without exceeding
the Maximum Number of Shares; (B) second, to the extent that the Maximum Number of Shares has not been reached under the foregoing clause
(A), the Ordinary Shares or other securities that the Purchaser desires to sell that can be sold without exceeding the Maximum Number
of Shares; (C) third, to the extent that the Maximum Number of Shares has not been reached under the foregoing clauses (A) and (B), collectively
the Ordinary Shares or other securities comprised of Registrable Securities, Pro Rata, as to which registration has been requested pursuant
to the terms hereof, that can be sold without exceeding the Maximum Number of Shares; and (D) fourth, to the extent that the Maximum
Number of Shares has not been reached under the foregoing clauses (A), (B) and (C), the Ordinary Shares or other securities for the account
of other persons that the Purchaser is obligated to register pursuant to written contractual arrangements with such persons, that can
be sold without exceeding the Maximum Number of Shares.
2.2.3
Withdrawal. Any holder of Registrable Securities may elect to withdraw such holder’s request for inclusion of Registrable
Securities in any Piggy-Back Registration by giving written notice to the Purchaser of such request to withdraw prior to the effectiveness
of the Registration Statement. The Purchaser (whether on its own determination or as the result of a withdrawal by persons making a demand
pursuant to written contractual obligations) may withdraw a Registration Statement at any time prior to the effectiveness of such Registration
Statement. Notwithstanding any such withdrawal, the Purchaser shall pay all expenses incurred by the holders of Registrable Securities
in connection with such Piggy-Back Registration as provided in Section 3.3.
2.2.4
Registrations on Form S-3. The holders of Registrable Securities may at any time and from time to time, request in writing that
the Purchaser register the resale of any or all of such Registrable Securities on Form S-3 or any similar short-form registration which
may be available at such time (“Form S-3”); provided, however, that the Purchaser shall not be obligated to effect
such request through an underwritten offering. Upon receipt of such written request, the Purchaser will promptly give written notice
of the proposed registration to all other holders of Registrable Securities, and, as soon as practicable thereafter, effect the registration
of all or such portion of such holder’s or holders’ Registrable Securities as are specified in such request, together with
all or such portion of the Registrable Securities or other securities of the Purchaser, if any, of any other holder or holders joining
in such request as are specified in a written request given within fifteen (15) days after receipt of such written notice from the Purchaser;
provided, however, that the Purchaser shall not be obligated to effect any such registration pursuant to this Section 2.3: (i) if Form
S-3 is not available for such offering; or (ii) if the holders of the Registrable Securities, together with the holders of any other
securities of the Purchaser entitled to inclusion in such registration, propose to sell Registrable Securities and such other securities
(if any) at any aggregate price to the public of less than $500,000. Registrations effected pursuant to this Section 2.3 shall not be
counted as Demand Registrations effected pursuant to Section 2.1.
3.
REGISTRATION PROCEDURES.
3.1
Filings; Information. Whenever the Purchaser is required to effect the registration of any Registrable Securities pursuant to
Section 2, the Purchaser shall use its best efforts to effect the registration and sale of such Registrable Securities in accordance
with the intended method(s) of distribution thereof as expeditiously as practicable, and in connection with any such request:
3.1.1
Filing Registration Statement; Restriction on Registration Rights. The Purchaser shall use its best efforts to, as expeditiously
as possible after receipt of a request for a Demand Registration pursuant to Section 2.1, prepare and file with the Commission a Registration
Statement on any form for which the Purchaser then qualifies or which counsel for the Purchaser shall deem appropriate and which form
shall be available for the sale of all Registrable Securities to be registered thereunder in accordance with the intended method(s) of
distribution thereof, and shall use its best efforts to cause such Registration Statement to become effective and use its best efforts
to keep it effective for the period required by Section 3.1.3; provided, however, that the Purchaser shall have the right to defer any
Demand Registration for up to thirty (30) days, and any Piggy-Back Registration for such period as may be applicable to deferment of
any demand registration to which such Piggy-Back Registration relates, in each case if the Purchaser shall furnish to the holders a certificate
signed by Chief Executive Officer or Chairman of the Purchaser stating that, in the good faith judgment of the Board of Directors of
the Purchaser, it would be materially detrimental to the Purchaser and its shareholders for such Registration Statement to be effected
at such time; provided further, however, that the Purchaser shall not have the right to exercise the right set forth in this provision
more than once in any 365-day period in respect of a Demand Registration hereunder.
3.1.2
Copies. The Purchaser shall, prior to filing a Registration Statement or prospectus, or any amendment or supplement thereto, furnish
without charge to the holders of Registrable Securities included in such registration, and such holders’ legal counsel, copies
of such Registration Statement as proposed to be filed, each amendment and supplement to such Registration Statement (in each case including
all exhibits thereto and documents incorporated by reference therein), the prospectus included in such Registration Statement (including
each preliminary prospectus), and such other documents as the holders of Registrable Securities included in such registration or legal
counsel for any such holders may request in order to facilitate the disposition of the Registrable Securities owned by such holders.
3.1.3
Amendments and Supplements. The Purchaser shall prepare and file with the Commission such amendments, including post-effective
amendments, and supplements to such Registration Statement and the prospectus used in connection therewith as may be necessary to keep
such Registration Statement effective and in compliance with the provisions of the Securities Act until all Registrable Securities and
other securities covered by such Registration Statement have been disposed of in accordance with the intended method(s) of distribution
set forth in such Registration Statement or such securities have been withdrawn.
3.1.4
Notification. After the filing of a Registration Statement, the Purchaser shall promptly, and in no event more than two (2) business
days after such filing, notify the holders of Registrable Securities included in such Registration Statement of such filing, and shall
further notify such holders promptly and confirm such advice in writing in all events within two (2) business days of the occurrence
of any of the following: (i) when such Registration Statement becomes effective; (ii) when any post-effective amendment to such Registration
Statement becomes effective; (iii) the issuance or threatened issuance by the Commission of any stop order (and the Purchaser shall take
all actions required to prevent the entry of such stop order or to remove it if entered); and (iv) any request by the Commission for
any amendment or supplement to such Registration Statement or any prospectus relating thereto or for additional information or of the
occurrence of an event requiring the preparation of a supplement or amendment to such prospectus so that, as thereafter delivered to
the purchasers of the securities covered by such Registration Statement, such prospectus will not contain an untrue statement of a material
fact or omit to state any material fact required to be stated therein or necessary to make the statements therein (in the case of the
prospectus, in the light of the circumstances under which they were made), not misleading, and promptly make available to the holders
of Registrable Securities included in such Registration Statement any such supplement or amendment; except that before filing with the
Commission a Registration Statement or prospectus or any amendment or supplement thereto, including documents incorporated by reference,
the Purchaser shall furnish to the holders of Registrable Securities included in such Registration Statement and to the legal counsel
for any such holders, copies of all such documents proposed to be filed sufficiently in advance of filing to provide such holders and
legal counsel with a reasonable opportunity to review such documents and comment thereon, and the Purchaser shall not file any Registration
Statement or prospectus or amendment or supplement thereto, including documents incorporated by reference, to which such holders or their
legal counsel shall object.
3.1.5
State Securities Laws Compliance. The Purchaser shall use its best efforts to (i) register or qualify the Registrable Securities
covered by the Registration Statement under such securities or “blue sky” laws of such jurisdictions in the United States
as the holders of Registrable Securities included in such Registration Statement (in light of their intended plan of distribution) may
request and (ii) take such action necessary to cause such Registrable Securities covered by the Registration Statement to be registered
with or approved by such other governmental authorities as may be necessary by virtue of the business and operations of the Purchaser
and do any and all other acts and things that may be necessary or advisable to enable the holders of Registrable Securities included
in such Registration Statement to consummate the disposition of such Registrable Securities in such jurisdictions; provided, however,
that the Purchaser shall not be required to qualify generally to do business in any jurisdiction where it would not otherwise be required
to qualify but for this paragraph or subject itself to taxation in any such jurisdiction.
3.1.6
Agreements for Disposition. The Purchaser shall enter into customary agreements (including, if applicable, an underwriting agreement
in customary form) and take such other actions as are reasonably required in order to expedite or facilitate the disposition of such
Registrable Securities. The representations, warranties and covenants of the Purchaser in any underwriting agreement which are made to
or for the benefit of any Underwriters, to the extent applicable, shall also be made to and for the benefit of the holders of Registrable
Securities included in such registration statement. No holder of Registrable Securities included in such registration statement shall
be required to make any representations or warranties in the underwriting agreement except, if applicable, with respect to such holder’s
organization, good standing, authority, title to Registrable Securities, lack of conflict of such sale with such holder’s material
agreements and organizational documents, and with respect to written information relating to such holder that such holder has furnished
in writing expressly for inclusion in such Registration Statement.
3.1.7
Cooperation. The principal executive officer of the Purchaser, the principal financial officer of the Purchaser, the principal
accounting officer of the Purchaser and all other officers and members of the management of the Purchaser shall cooperate fully in any
offering of Registrable Securities hereunder, which cooperation shall include, without limitation, the preparation of the Registration
Statement with respect to such offering and all other offering materials and related documents, and participation in meetings with Underwriters,
attorneys, accountants and potential investors.
3.1.8
Records. The Purchaser shall make available for inspection by the holders of Registrable Securities included in such Registration
Statement, any Underwriter participating in any disposition pursuant to such registration statement and any attorney, accountant or other
professional retained by any holder of Registrable Securities included in such Registration Statement or any Underwriter, all financial
and other records, pertinent corporate documents and properties of the Purchaser, as shall be necessary to enable them to exercise their
due diligence responsibility, and cause the Purchaser’s officers, directors and employees to supply all information requested by
any of them in connection with such Registration Statement.
3.1.9
Opinions and Comfort Letters. In the case of any underwritten offering or if reasonably requested by any participant in any other
offering pursuant to a Registration Statement filed pursuant to this Agreement, the Purchaser shall obtain opinions of counsel representing
the Purchaser for the purposes of a registration pursuant to this Agreement, addressed to the holders participating in such registration,
the placement agent or sales agent, if any, and the Underwriters, if any, covering such legal matters with respect to such registration
in respect of which such opinion is being given as such holders, placement agent, sales agent, or Underwriter may reasonably request
and as are customarily included in such opinions and negative assurance letters, and reasonably satisfactory to a holders of a majority-in-interest
of the Registrable Securities included in such registration. In the case of any underwritten offering or if reasonably requested by any
participant in any other offering pursuant to a Registration Statement filed pursuant to this Agreement, the Purchaser shall obtain a
“cold comfort” letters from the Purchaser’s independent registered public accountants in the event of an underwritten
public offering pursuant to this Agreement, in customary form and covering such matters of the type customarily covered by “cold
comfort” letters as the managing Underwriter may reasonably request, and reasonably satisfactory to a holders of a majority-in-interest
of the Registrable Securities included in such registration. The Purchaser shall furnish to each holder of Registrable Securities included
in any Registration Statement a signed counterpart, addressed to such holder, of (i) any opinion of counsel to the Purchaser delivered
to any Underwriter and (ii) any comfort letter from the Purchaser’s independent public accountants delivered to any Underwriter.
3.1.10
Earnings Statement. The Purchaser shall comply with all applicable rules and regulations of the Commission and the Securities
Act, and make available to its shareholders, as soon as practicable, an earnings statement covering a period of twelve (12) months, which
earnings statement shall satisfy the provisions of Section 11(a) of the Securities Act and Rule 158 thereunder.
3.1.11
Listing. The Purchaser shall use its best efforts to cause all Registrable Securities included in any registration to be listed
on such exchanges or otherwise designated for trading in the same manner as similar securities issued by the Purchaser are then listed
or designated or, if no such similar securities are then listed or designated, in a manner satisfactory to the holders of a majority
of the Registrable Securities included in such registration.
3.1.12
Road Show. If the registration involves the registration of Registrable Securities involving gross proceeds in excess of $5,000,000,
the Purchaser shall use its reasonable efforts to make available senior executives of the Purchaser to participate in customary “road
show” presentations that may be reasonably requested by the Underwriter in any underwritten offering.
3.1.13 Regulation
M. The Purchaser shall take no direct or indirect action prohibited by Regulation M under the Exchange Act; provided, that, to
the extent that any prohibition is applicable to the Purchaser, the Purchaser will take all reasonable action to make any such
prohibition inapplicable.
3.2
Obligation to Suspend Distribution. Upon receipt of any notice from the Purchaser of the happening of any event of the kind described
in Section 3.1.4(iv), or, in the case of a resale registration on Form S-3 pursuant to Section 2.3 hereof, upon any suspension by the
Purchaser, pursuant to a written insider trading compliance program adopted by the Purchaser’s Board of Directors, of the ability
of all “insiders” covered by such program to transact in the Purchaser’s securities because of the existence of material
non-public information, each holder of Registrable Securities included in any registration shall immediately discontinue disposition
of such Registrable Securities pursuant to the Registration Statement covering such Registrable Securities until such holder receives
the supplemented or amended prospectus contemplated by Section 3.1.4(iv) or the restriction on the ability of “insiders”
to transact in the Purchaser’s securities is removed, as applicable, and, if so directed by the Purchaser, each such holder will
deliver to the Purchaser all copies, other than permanent file copies then in such holder’s possession, of the most recent prospectus
covering such Registrable Securities at the time of receipt of such notice.
3.3
Registration Expenses. The Purchaser shall bear all costs and expenses incurred in connection with any Demand Registration pursuant
to Section 2.1, any Piggy-Back Registration pursuant to Section 2.2, and any registration on Form S-3 effected pursuant to Section 2.3,
and all expenses incurred in performing or complying with its other obligations under this Agreement, whether or not the Registration
Statement becomes effective, including, without limitation: (i) all registration and filing fees; (ii) fees and expenses of compliance
with securities or “blue sky” laws (including fees and disbursements of counsel in connection with blue sky qualifications
of the Registrable Securities); (iii) printing expenses; (iv) the Purchaser’s internal expenses (including, without limitation,
all salaries and expenses of its officers and employees); (v) the fees and expenses incurred in connection with the listing of the Registrable
Securities as required by Section 3.1.11; (vi) Financial Industry Regulatory Authority fees; (vii) fees and disbursements of counsel
for the Purchaser and fees and expenses for independent certified public accountants retained by the Purchaser (including the expenses
or costs associated with the delivery of any opinions or comfort letters requested pursuant to Section 3.1.9); (viii) the reasonable
fees and expenses of any special experts retained by the Purchaser in connection with such registration and (ix) the reasonable fees
and expenses of one legal counsel selected by the holders of a majority-in-interest of the Registrable Securities included in such registration.
The Purchaser shall have no obligation to pay any underwriting discounts or selling commissions attributable to the Registrable Securities
being sold by the holders thereof, which underwriting discounts or selling commissions shall be borne by such holders. Additionally,
in an underwritten offering, all selling shareholders and the Purchaser shall bear the expenses of the Underwriter pro rata in proportion
to the respective amount of shares each is selling in such offering.
3.4
Holders’ Information. The holders of Registrable Securities shall provide such information as may reasonably be requested
by the Purchaser, or the managing Underwriter, if any, in connection with the preparation of any Registration Statement, including amendments
and supplements thereto, in order to effect the registration of any Registrable Securities under the Securities Act pursuant to Section
2 and in connection with the Purchaser’s obligation to comply with Federal and applicable state securities laws.
4.
INDEMNIFICATION AND CONTRIBUTION.
4.1
Indemnification by the Purchaser. The Purchaser agrees to indemnify and hold harmless each Investor and each other holder of Registrable
Securities, and each of their respective officers, employees, affiliates, directors, partners, members, attorneys and agents, and each
person, if any, who controls an Investor and each other holder of Registrable Securities (within the meaning of Section 15 of the Securities
Act or Section 20 of the Exchange Act) (each, an “Investor Indemnified Party”), from and against any expenses, losses, judgments,
claims, damages or liabilities, whether joint or several, arising out of or based upon any untrue statement (or allegedly untrue statement)
of a material fact contained in any Registration Statement under which the sale of such Registrable Securities was registered under the
Securities Act, any preliminary prospectus, final prospectus or summary prospectus contained in the Registration Statement, or any amendment
or supplement to such Registration Statement, or arising out of or based upon any omission (or alleged omission) to state a material
fact required to be stated therein or necessary to make the statements therein not misleading, or any violation by the Purchaser of the
Securities Act or any rule or regulation promulgated thereunder applicable to the Purchaser and relating to action or inaction required
of the Purchaser in connection with any such registration; and the Purchaser shall promptly reimburse the Investor Indemnified Party
for any legal and any other expenses reasonably incurred by such Investor Indemnified Party in connection with investigating and defending
any such expense, loss, judgment, claim, damage, liability or action; provided, however, that the Purchaser will not be liable in any
such case to the extent that any such expense, loss, claim, damage or liability arises out of or is based upon any untrue statement or
allegedly untrue statement or omission or alleged omission made in such Registration Statement, preliminary prospectus, final prospectus,
or summary prospectus, or any such amendment or supplement, in reliance upon and in conformity with information furnished to the Purchaser,
in writing, by such selling holder expressly for use therein. The Purchaser also shall indemnify any Underwriter of the Registrable Securities,
their officers, affiliates, directors, partners, members and agents and each person who controls such Underwriter on substantially the
same basis as that of the indemnification provided above in this Section 4.1.
4.2
Indemnification by Holders of Registrable Securities. Each selling holder of Registrable Securities will, in the event that any
registration is being effected under the Securities Act pursuant to this Agreement of any Registrable Securities held by such selling
holder, indemnify and hold harmless the Purchaser, each of its directors and officers and each Underwriter (if any), and each other selling
holder and each other person, if any, who controls another selling holder or such Underwriter within the meaning of the Securities Act,
against any losses, claims, judgments, damages or liabilities, whether joint or several, insofar as such losses, claims, judgments, damages
or liabilities (or actions in respect thereof) arise out of or are based upon any untrue statement or allegedly untrue statement of a
material fact contained in any Registration Statement under which the sale of such Registrable Securities was registered under the Securities
Act, any preliminary prospectus, final prospectus or summary prospectus contained in the Registration Statement, or any amendment or
supplement to the Registration Statement, or arise out of or are based upon any omission or the alleged omission to state a material
fact required to be stated therein or necessary to make the statement therein not misleading, if the statement or omission was made in
reliance upon and in conformity with information furnished in writing to the Purchaser by such selling holder expressly for use therein,
and shall reimburse the Purchaser, its directors and officers, and each other selling holder or controlling person for any legal or other
expenses reasonably incurred by any of them in connection with investigation or defending any such loss, claim, damage, liability or
action. Each selling holder’s indemnification obligations hereunder shall be several and not joint and shall be limited to the
amount of any net proceeds actually received by such selling holder.
4.3
Conduct of Indemnification Proceedings. Promptly after receipt by any person of any notice of any loss, claim, damage or liability
or any action in respect of which indemnity may be sought pursuant to Section 4.1 or 4.2, such person (the “Indemnified Party”)
shall, if a claim in respect thereof is to be made against any other person for indemnification hereunder, notify such other person (the
“Indemnifying Party”) in writing of the loss, claim, judgment, damage, liability or action; provided, however, that the failure
by the Indemnified Party to notify the Indemnifying Party shall not relieve the Indemnifying Party from any liability which the Indemnifying
Party may have to such Indemnified Party hereunder, except and solely to the extent the Indemnifying Party is actually prejudiced by
such failure. If the Indemnified Party is seeking indemnification with respect to any claim or action brought against the Indemnified
Party, then the Indemnifying Party shall be entitled to participate in such claim or action, and, to the extent that it wishes, jointly
with all other Indemnifying Parties, to assume control of the defense thereof with counsel satisfactory to the Indemnified Party. After
notice from the Indemnifying Party to the Indemnified Party of its election to assume control of the defense of such claim or action,
the Indemnifying Party shall not be liable to the Indemnified Party for any legal or other expenses subsequently incurred by the Indemnified
Party in connection with the defense thereof other than reasonable costs of investigation; provided, however, that in any action in which
both the Indemnified Party and the Indemnifying Party are named as defendants, the Indemnified Party shall have the right to employ separate
counsel (but no more than one such separate counsel) to represent the Indemnified Party and its controlling persons who may be subject
to liability arising out of any claim in respect of which indemnity may be sought by the Indemnified Party against the Indemnifying Party,
with the fees and expenses of such counsel to be paid by such Indemnifying Party if, based upon the written opinion of counsel of such
Indemnified Party, representation of both parties by the same counsel would be inappropriate due to actual or potential differing interests
between them. No Indemnifying Party shall, without the prior written consent of the Indemnified Party, consent to entry of judgment or
effect any settlement of any claim or pending or threatened proceeding in respect of which the Indemnified Party is or could have been
a party and indemnity could have been sought hereunder by such Indemnified Party, unless such judgment or settlement includes an unconditional
release of such Indemnified Party from all liability arising out of such claim or proceeding.
4.4
Contribution.
4.4.1
If the indemnification provided for in the foregoing Sections 4.1, 4.2 and 4.3 is unavailable to any Indemnified Party in respect of
any loss, claim, damage, liability or action referred to herein, then each such Indemnifying Party, in lieu of indemnifying such Indemnified
Party, shall contribute to the amount paid or payable by such Indemnified Party as a result of such loss, claim, damage, liability or
action in such proportion as is appropriate to reflect the relative fault of the Indemnified Parties and the Indemnifying Parties in
connection with the actions or omissions which resulted in such loss, claim, damage, liability or action, as well as any other relevant
equitable considerations. The relative fault of any Indemnified Party and any Indemnifying Party shall be determined by reference to,
among other things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission to state a
material fact relates to information supplied by such Indemnified Party or such Indemnifying Party and the parties’ relative intent,
knowledge, access to information and opportunity to correct or prevent such statement or omission.
4.4.2
The parties hereto agree that it would not be just and equitable if contribution pursuant to this Section 4.4 were determined by pro
rata allocation or by any other method of allocation which does not take account of the equitable considerations referred to in the immediately
preceding Section 4.4.1.
4.4.3
The amount paid or payable by an Indemnified Party as a result of any loss, claim, damage, liability or action referred to in the immediately
preceding paragraph shall be deemed to include, subject to the limitations set forth above, any legal or other expenses incurred by such
Indemnified Party in connection with investigating or defending any such action or claim. Notwithstanding the provisions of this Section
4.4, no holder of Registrable Securities shall be required to contribute any amount in excess of the dollar amount of the net proceeds
(after payment of any underwriting fees, discounts, commissions or taxes) actually received by such holder from the sale of Registrable
Securities which gave rise to such contribution obligation. No person guilty of fraudulent misrepresentation (within the meaning of Section
11(f) of the Securities Act) shall be entitled to contribution from any person who was not guilty of such fraudulent misrepresentation.
5.
RULE 144.
5.1
Rule 144. The Purchaser covenants that it shall file any reports required to be filed by it under the Securities Act and the Exchange
Act and shall take such further action as the holders of Registrable Securities may reasonably request, all to the extent required from
time to time to enable such holders to sell Registrable Securities without registration under the Securities Act within the limitation
of the exemptions provided by Rule 144 under the Securities Act, as such Rules may be amended from time to time, or any similar rule
or regulation hereafter adopted by the Commission. Upon the request of any holder of Registrable Securities, the Purchaser shall deliver
to such Holder a written certification of a duly authorized officer as to (A) whether the Purchaser has filed (i) all reports and other
materials required to be filed pursuant to Sections 13(a) or 15(d) of the Exchange Act, as applicable, during the preceding 12 months
(or for such shorter period that the Purchaser was required to file such reports and materials), other than Current Reports on Form 8-K
and (ii) current “Form 10 information” (within the meaning of Rule 144 under the Securities Act) with the Commission reflecting
the Purchaser’s status as an entity that is no longer an issuer described in paragraph (i)(1)(i) of Rule 144 under the Securities
Act and (B) the first date that the Purchaser filed “Form 10 information” (within the meaning of Rule 144 under the Securities
Act) with the Commission.
6.
MISCELLANEOUS.
6.1
Other Registration Rights. The Parent represents and warrants that, except as disclosed in the Parent’s registration statement
on Form S-1 (File No. 333-257124), no person, other than the holders of the Registrable Securities, has any right to require the Purchaser
to register any of the Purchaser’s share capital for sale or to include the Purchaser’s share capital in any registration
filed by the Purchaser for the sale of share capital for its own account or for the account of any other person.
6.2
Assignment; No Third Party Beneficiaries. This Agreement and the rights, duties and obligations of the Purchaser hereunder may
not be assigned or delegated by the Purchaser in whole or in part. This Agreement and the rights, duties and obligations of the holders
of Registrable Securities hereunder may be freely assigned or delegated by such holder of Registrable Securities in conjunction with
and to the extent of any transfer of Registrable Securities by any such holder. This Agreement and the provisions hereof shall be binding
upon and shall inure to the benefit of each of the parties, to the permitted assigns of the Investors or holder of Registrable Securities
or of any assignee of the Investors or holder of Registrable Securities. This Agreement is not intended to confer any rights or benefits
on any persons that are not party hereto other than as expressly set forth in Article 4 and this Section 6.2. Any additional holder of
Registrable Securities may become party to this Agreement by executing and delivering a joinder to the Purchaser and the Sponsor in form
and substance reasonably satisfactory to the Purchaser.
6.3
Notices. All notices, demands, requests, consents, approvals or other communications (collectively, “Notices”)
required or permitted to be given hereunder or which are given with respect to this Agreement shall be in writing and shall be personally
served, delivered by reputable air courier service with charges prepaid, or transmitted by hand delivery, telegram, telex or facsimile,
addressed as set forth below, or to such other address as such party shall have specified most recently by written notice. Notice shall
be deemed given on the date of service or transmission if personally served or transmitted by telegram, telex or facsimile; provided,
that if such service or transmission is not on a Business Day or is after normal business hours, then such notice shall be deemed given
on the next Business Day. Notice otherwise sent as provided herein shall be deemed given on the next Business Day following timely delivery
of such notice to a reputable air courier service with an order for next-day delivery.
To
the Purchaser:
Perfect
Hexagon Holdings Limited
No.
29, Jalan SS 23/11
Taman
SEA, 47400 Petaling Jaya
Selangor,
Malaysia
Attention:
Ms. Wei Wei Kow and Mr. Sheng Feng Yap
Email:
wwkow@perfecthexagon.com and sfyap@perfecthexagon.com
with
a copy to (which copy shall not constitute notice):
Ogier
1
Commonwealth Lane
11th
Floor Central Tower, 28 Queen’s Road Central
Central,
Hong Kong, PRC
Attn:
Rachel Huang, Esq
Email:
Rachel.Huang@ogier.com
To
a Holder, to the address set forth below such Holder’s name on Exhibit A hereto.
6.4
Severability. This Agreement shall be deemed severable, and the invalidity or unenforceability of any term or provision hereof
shall not affect the validity or enforceability of this Agreement or of any other term or provision hereof. Furthermore, in lieu of any
such invalid or unenforceable term or provision, the parties hereto intend that there shall be added as a part of this Agreement a provision
as similar in terms to such invalid or unenforceable provision as may be possible that is valid and enforceable.
6.5
Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be deemed an original, and all of which
taken together shall constitute one and the same instrument.
6.6
Entire Agreement. This Agreement (including all agreements entered into pursuant hereto and all certificates and instruments delivered
pursuant hereto and thereto) constitute the entire agreement of the parties with respect to the subject matter hereof and supersede all
prior and contemporaneous agreements, representations, understandings, negotiations and discussions between the parties, whether oral
or written.
6.7
Modifications and Amendments. Any term of this Agreement may be amended, modified or terminated and the observance of any term
of this Agreement may be waived (either generally or in a particular instance, and either retroactively or prospectively) with the written
consent of the Purchaser and the holders of a majority of the Registrable Securities then outstanding.
6.8
Titles and Headings. Titles and headings of sections of this Agreement are for convenience only and shall not affect the construction
of any provision of this Agreement.
6.9
Waivers and Extensions. Any party to this Agreement may waive any right, breach or default which such party has the right to waive,
provided that such waiver will not be effective against the waiving party unless it is in writing, is signed by such party, and
specifically refers to this Agreement. Waivers may be made in advance or after the right waived has arisen or the breach or default waived
has occurred. Any waiver may be conditional. No waiver of any breach of any agreement or provision herein contained shall be deemed a
waiver of any preceding or succeeding breach thereof nor of any other agreement or provision herein contained. No waiver or extension
of time for performance of any obligations or acts shall be deemed a waiver or extension of the time for performance of any other obligations
or acts.
6.10
Remedies Cumulative. In the event that the Purchaser fails to observe or perform any covenant or agreement to be observed or performed
under this Agreement, the Holder or any other holder of Registrable Securities may proceed to protect and enforce its rights by suit
in equity or action at law, whether for specific performance of any term contained in this Agreement or for an injunction against the
breach of any such term or in aid of the exercise of any power granted in this Agreement or to enforce any other legal or equitable right,
or to take any one or more of such actions, without being required to post a bond. None of the rights, powers or remedies conferred under
this Agreement shall be mutually exclusive, and each such right, power or remedy shall be cumulative and in addition to any other right,
power or remedy, whether conferred by this Agreement or now or hereafter available at law, in equity, by statute or otherwise.
6.11
Governing Law. This Agreement shall be governed by, interpreted under, and construed in accordance with the internal laws of the
State of Delaware applicable to agreements made and to be performed within the State of Delaware, without giving effect to any choice-of-law
provisions thereof that would compel the application of the substantive laws of any other jurisdiction.
6.12
Waiver of Trial by Jury. Each party hereby irrevocably and unconditionally waives the right to a trial by jury in any action,
suit, counterclaim or other proceeding (whether based on contract, tort or otherwise) arising out of, connected with or relating to this
Agreement, the transactions contemplated hereby, or the actions of the Holder in the negotiation, administration, performance or enforcement
hereof.
6.13
Term. This Agreement shall terminate upon the earlier of (i) the third anniversary of the date of this Agreement or (ii) the date
as of which (A) all of the Registrable Securities have been sold pursuant to a Registration Statement (but in no event prior to the applicable
period referred to in Section 4(a)(3) of the Securities Act and Rule 174 thereunder (or any successor rule promulgated thereafter by
the Commission)) or (B) the holders of all Registrable Securities are permitted to sell the Registrable Securities under Rule 144 (or
any similar provision) under the Securities Act without limitation on the amount of securities sold or the manner of sale.
[REMAINDER
OF PAGE INTENTIONALLY LEFT BLANK]
IN
WITNESS WHEREOF, the parties have caused this Amended and Restated Registration Rights Agreement to be executed and delivered by their
duly authorized representatives as of the date first written above.
| PARENT: |
|
| HHG Capital Corporation |
|
| |
|
|
| By: |
|
|
| Name: |
Chee
Shiong (Keith) Kok |
|
| Title: |
Chief
Executive Officer |
|
| PURCHASER: |
|
| |
|
|
| Perfect Hexagon Holdings Limited |
| |
|
|
| By: |
|
|
| Name: |
|
|
| Title: |
|
|
| PHGL: |
|
| |
|
|
| Perfect Hexagon Group Limited |
| |
|
|
| By: |
|
|
| Name: |
|
|
| Title: |
|
|
| EXISTING
HOLDERS: |
|
| |
|
|
| By: |
|
|
| Name: |
Kok
Wai Hooy |
|
| |
|
|
| By: |
|
|
| Name: |
Chee
Shiong (Keith) Kok |
|
| |
|
|
| |
|
|
| |
Shuk
Man (Lora) Chan |
|
| |
|
|
| |
|
|
| |
Kym
Hau |
|
| |
|
|
| |
|
|
| |
Tzu
Fei (Philip) Ting |
|
| |
|
|
| |
|
|
| |
Weiyi
Di |
|
IN
WITNESS WHEREOF, the parties have caused this Amended and Restated Registration Rights Agreement to be executed and delivered by their
duly authorized representatives as of the date first written above.
[Signature
Page to Amended and Restated Registration Rights Agreement]
EXHIBIT
A
Name
and Address of Holders
INVESTORS:
| Name
of Holders |
|
Address |
| Hooy
Kok Wai |
|
c/o
1 Commonwealth Lane, #03-20, Singapore 149544 |
| Chee
Shiong (Keith) Kok |
|
c/o
1 Commonwealth Lane, #03-20, Singapore 149544 |
| Shuk
Man (Lora) Chan |
|
c/o
1 Commonwealth Lane, #03-20, Singapore 149544 |
| Kym
Hau |
|
c/o
1 Commonwealth Lane, #03-20, Singapore 149544 |
| Tzu
Fei (Philip) Ting |
|
c/o
1 Commonwealth Lane, #03-20, Singapore 149544 |
| Weiyi
Di |
|
c/o
1 Commonwealth Lane, #03-20, Singapore 149544 |
| |
|
c/o
1 Commonwealth Lane, #03-20, Singapore 149544 |
| [*] |
|
[TO
FOLLOW] |
| |
|
[TO
FOLLOW] |
Exhibit
10.3
LOCK-UP
AGREEMENT
THIS
LOCK-UP AGREEMENT (this “Agreement”) is dated as of _________, 2023, by and between the undersigned (the “Holder”)
and Perfect Hexagon Holdings Limited, a British Virgin Islands business company (“Purchaser”). Capitalized terms used
and not otherwise defined herein shall have the meanings given such terms in the Merger Agreement (as defined below).
BACKGROUND
A.
WHEREAS, HHG Capital Corporation, a British Virgin Islands business company (“Parent”), Purchaser, Perfect Acquisitions
Limited, a British Virgin Islands business company and wholly owned subsidiary of Purchaser (“Merger Sub”) and Perfect
Hexagon Group Limited, a British Virgin Islands business company (the “Company”) have entered into that certain Agreement
and Plan of Merger (as may be amended, supplemented or otherwise modified from time to time, the “Merger Agreement”),
pursuant to which (a) Parent will be merged with and into Purchaser (the “Reincorporation Merger”), with Purchaser
surviving the Reincorporation Merger, and (b) Merger Sub will be merged with and into the Company (the “Acquisition Merger”),
with the Company surviving the Acquisition Merger as a direct wholly owned subsidiary of Purchaser (collectively, the “Business
Combination”). Following the Business Combination, Purchaser will be a publicly traded company listed on a stock exchange in
the United States.
B.
The Holder is the record and/or beneficial owner of certain Company Ordinary Shares, which will be exchanged for Purchaser Ordinary Shares
pursuant to the Merger Agreement.
C.
As a condition of, and as a material inducement for Parent to enter into and consummate the transactions contemplated by the Merger Agreement,
the Holder has agreed to execute and deliver this Agreement.
NOW,
THEREFORE, for and in consideration of the mutual covenants and agreements set forth herein, and other good and valuable consideration,
the receipt and sufficiency of which is hereby acknowledged, the parties, intending to be legally bound, agree as follows:
AGREEMENT
1.
Lock-Up.
(a)
During the Lock-up Period (as defined below), the Holder irrevocably agrees that it will not offer, sell, contract to sell, pledge or
otherwise dispose of, directly or indirectly, any of the Lock-up Shares (as defined below), enter into a transaction that would have
the same effect, or enter into any swap, hedge or other arrangement that transfers, in whole or in part, any of the economic consequences
of ownership of such Lock-up Shares, whether any of these transactions are to be settled by delivery of any such Lock-up Shares, in cash
or otherwise, publicly disclose the intention to make any offer, sale, pledge or disposition, or to enter into any transaction, swap,
hedge or other arrangement, or engage in any Short Sales (as defined below) with respect to any security of the Purchaser.
(b)
In furtherance of the foregoing, the Purchaser will (i) place an irrevocable stop order on all Lock-up Shares, including those which
may be covered by a registration statement, and (ii) notify the Purchaser’s transfer agent in writing of the stop order and the
restrictions on such Lock-up Shares under this Agreement and direct the Purchaser’s transfer agent not to process any attempts
by the Holder to resell or transfer any Lock-up Shares, except in compliance with this Agreement.
(c)
For purposes hereof, “Short Sales” include, without limitation, all “short sales” as defined in Rule 200
promulgated under Regulation SHO under the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and all
types of direct and indirect stock pledges, forward sale contracts, options, puts, calls, swaps and similar arrangements (including on
a total return basis), and sales and other transactions through non-US broker dealers or foreign regulated brokers.
(d)
For purpose of this Agreement, the “Lock-up Period” means with respect to the Lock-up Shares, the period commencing
on the Closing Date and ending on the date that is twelve (12) months thereafter.
The
restrictions set forth herein shall not apply to: (1) transfers or distributions to the Holder’s current or former general or limited
partners, managers or members, stockholders, other equity holders or direct or indirect affiliates (within the meaning of Rule 405 under
the Securities Act of 1933, as amended) or to the estates of any of the foregoing; (2) transfers by bona fide gift to a member of the
Holder’s immediate family or to a trust, the beneficiary of which is the Holder or a member of the Holder’s immediate family
for estate planning purposes; (3) by virtue of the laws of descent and distribution upon death of the Holder; or (4) pursuant to a qualified
domestic relations order, in each case where such transferee agrees to be bound by the terms of this Agreement.
In
addition, after the Closing Date, if there is a Change of Control, then upon the consummation of such Change of Control, all Lock-up
Shares shall be released from the restrictions contained herein. A “Change of Control” means: (a) the sale of all
or substantially all of the consolidated assets of the Purchaser and the Purchaser’s subsidiaries to a third-party purchaser; (b)
a sale resulting in no less than a majority of the voting power of the Purchaser being held by person that did not own a majority of
the voting power prior to such sale; or (c) a merger, consolidation, recapitalization or reorganization of the Purchaser with or into
a third-party purchaser that results in the inability of the pre-transaction equity holders to designate or elect a majority of the board
of directors (or its equivalent) of the resulting entity or its parent company.
2.
Representations and Warranties. Each of the parties hereto, by their respective execution and delivery of this Agreement, hereby
represents and warrants to the others and to all third party beneficiaries of this Agreement that (a) such party has the full right,
capacity and authority to enter into, deliver and perform its respective obligations under this Agreement, (b) this Agreement has been
duly executed and delivered by such party and is the binding and enforceable obligation of such party, enforceable against such party
in accordance with the terms of this Agreement, and (c) the execution, delivery and performance of such party’s obligations under
this Agreement will not conflict with or breach the terms of any other agreement, contract, commitment or understanding to which such
party is a party or to which the assets or securities of such party are bound.
3.
Beneficial Ownership. The Holder hereby represents and warrants that it does not beneficially own, directly or through its nominees
(as determined in accordance with Section 13(d) of the Exchange Act, and the rules and regulations promulgated thereunder), any Company
Ordinary Shares or Purchaser Ordinary Shares (of any class), or any economic interest in or derivative of such stock, other than those
securities specified on the signature page hereto. For purposes of this Agreement, the Company Ordinary Shares beneficially owned by
the Holder as specified on the signature page hereto, and the Purchaser Ordinary Shares that such Company Ordinary Shares will be converted
into pursuant to the Merger Agreement are collectively referred to as the “Lock-up Shares.”
4.
No Additional Fees/Payment. Other than the consideration specifically referenced herein, the parties hereto agree that no fee,
payment or additional consideration in any form has been or will be paid to the Holder in connection with this Agreement.
5.
Termination of the Merger Agreement. This Agreement shall be binding upon the Holder upon the Holder’s execution and delivery
of this Agreement, but this Agreement shall only become effective upon the Closing. Notwithstanding anything to the contrary contained
herein, in the event that the Merger Agreement is terminated in accordance with its terms prior to the Closing, this Agreement shall
automatically terminate and become null and void, and the parties shall not have any rights or obligation hereunder.
6.
Notices. Any notices required or permitted to be sent hereunder shall be sent in writing, addressed as specified below, and shall
be deemed given: (a) if by hand or recognized courier service, by 4:00 PM on a business day, addressee’s day and time, on the date
of delivery, and otherwise on the first business day after such delivery; (b) if by fax or email, on the date that transmission is confirmed
electronically, if by 4:00 PM on a business day, addressee’s day and time, and otherwise on the first business day after the date
of such confirmation; or (c) five days after mailing by certified or registered mail, return receipt requested. Notices shall be addressed
to the respective parties as follows (excluding telephone numbers, which are for convenience only), or to such other address as a party
shall specify to the others in accordance with these notice provisions:
(Prior
to Closing)
HHG
Capital Corporation
1
Commonwealth Lane
#03-20,
Singapore 149544
Attn:
Chee Shiong (Keith) Kok, CEO
Email:
kokkeith@gmail.com
with
a copy to (which shall not constitute notice):
Loeb
& Loeb
345
Park Avenue, 19th Floor
New
York, NY 10154
Attention:
Lawrence Venick, Esq.
E-mail:
lvenick@loeb.com
(After
Closing)
Perfect
Hexagon Holdings Limited
No.
29, Jalan SS 23/11
Taman
SEA, 47400 Petaling Jaya
Selangor,
Malaysia
Attention:
Ms. Wei Wei Kow and Mr. Sheng Feng Yap[*]
Email:
wwkow@perfecthexagon.com and sfyap@perfecthexagon.com
with
a copy to (which shall not constitute notice):
Ogier
1
Commonwealth Lane
11th
Floor Central Tower, 28 Queen’s Road Central
Central,
Hong Kong, PRC
Attn:
Rachel Huang, Esq.
Email:
Rachel.Huang@ogier.com
| |
(b) |
If
to the Holder, to the address set forth on the Holder’s signature page hereto, with a copy, which shall not constitute notice,
to: |
Ogier
1
Commonwealth Lane
11th
Floor Central Tower, 28 Queen’s Road Central
Central,
Hong Kong, PRC
Attn:
Rachel Huang, Esq.
Email:
Rachel.Huang@ogier.com
or
to such other address as any party may have furnished to the others in writing in accordance herewith.
7.
Enumeration and Headings. The enumeration and headings contained in this Agreement are for convenience of reference only and shall
not control or affect the meaning or construction of any of the provisions of this Agreement.
8.
Counterparts. This Agreement may be executed in facsimile and in any number of counterparts, each of which when so executed and
delivered shall be deemed an original, but all of which shall together constitute one and the same agreement.
9.
Successors and Assigns. This Agreement and the terms, covenants, provisions and conditions hereof shall be binding upon, and shall
inure to the benefit of, the respective heirs, successors and assigns of the parties hereto. The Holder hereby acknowledges and agrees
that this Agreement is entered into for the benefit of and is enforceable by Parent and its successors and assigns.
10.
Severability. If any provision of this Agreement is held to be invalid or unenforceable for any reason, such provision will be
conformed to prevailing law rather than voided, if possible, in order to achieve the intent of the parties and, in any event, the remaining
provisions of this Agreement shall remain in full force and effect and shall be binding upon the parties hereto.
11.
Amendment. This Agreement may be amended or modified by written agreement executed by each of the parties hereto.
12.
Further Assurances. Each party shall do and perform, or cause to be done and performed, all such further acts and things, and
shall execute and deliver all such other agreements, certificates, instruments and documents, as any other party may reasonably request
in order to carry out the intent and accomplish the purposes of this Agreement and the consummation of the transactions contemplated
hereby.
13.
No Strict Construction. The language used in this Agreement will be deemed to be the language chosen by the parties to express
their mutual intent, and no rules of strict construction will be applied against any party.
14.
Governing Law. The terms and provisions of this Agreement shall be construed in accordance with the laws of the State of New York.
15.
Controlling Agreement. To the extent the terms of this Agreement (as amended, supplemented, restated or otherwise modified from
time to time) directly conflicts with a provision in the Merger Agreement, the terms of this Agreement shall control.
[Signature
Page Follows]
IN
WITNESS WHEREOF, the parties hereto have caused this Lock-up Agreement to be duly executed by their respective authorized signatories
as of the date first indicated above.
| |
PERFECT
HEXAGON HOLDINGS LIMITED |
| |
|
| |
By: |
|
| |
Name:
|
|
| |
Title: |
|
IN
WITNESS WHEREOF, the parties hereto have caused this Lock-up Agreement to be duly executed by their respective authorized signatories
as of the date first indicated above.
| |
NAME
OF HOLDER: |
| |
|
|
| |
By: |
|
| |
Name: |
|
| |
Title: |
|
| |
Address: |
|
| |
|
|
| |
NUMBER OF LOCK-UP SHARES
NUMBER OF PURCHASER ORDINARY SHARES:
|
| |
|
| |
|
| |
|
| |
NUMBER OF PURCHASER ORDINARY SHARES:
|
| |
|
| |
|
| |
|
|
| |
ADDRESS: |
|
| |
|
|
| |
EMAIL: |
|
IN
WITNESS WHEREOF, the parties hereto have caused this Lock-up Agreement to be duly executed by their respective authorized signatories
as of the date first indicated above.
| |
NAME OF HOLDER: |
| |
|
|
| |
By: |
|
| |
Name: |
|
| |
Title: |
|
| |
Address: |
|
| |
|
|
| |
NUMBER OF LOCK-UP SHARES
|
| |
|
|
| |
NUMBER OF PURCHASER ORDINARY SHARES:
|
| |
|
| |
|
| |
|
|
|
NUMBER OF PURCHASER ORDINARY SHARES:
|
| |
|
| |
|
| |
|
|
| |
ADDRESS: |
|
| |
|
|
| |
EMAIL: |
|
Exhibit 99.1
HHG
Capital Corporation Announces Signing of Merger Agreement with Perfect Hexagon Holdings Limited
SINGAPORE
AND NEW YORK, August 3, 2023 /PRNewswire/ — HHG Capital Corporation (“HHGC”) (NASDAQ: HHGC, HHGCU, HHGCW), a
special purpose acquisition company, announced today that it has entered into a definitive merger agreement (the “Merger Agreement”)
with Perfect Hexagon Group Limited (“PH”), a company engaging in the trading of commodities, specifically in precious metals,
providing for a proposed business combination that, if consummated, will result in PH becoming a publicly listed company.
PH
is a physical commodity trading house focusing on precious metal and base metals. PH began partnering with some of the world’s
largest commodity trading houses in 2014 with which it collaborated to generate large volumes of global and physical trade flows. These
partnerships, combined with PH’s strong capital base, create synergies in the value chain that put it at the forefront of the trading
market.
PH
also focuses on market making and trading of various types of physical commodities, including precious metals, palm oil and carbon credits.
It has a broad base of suppliers and customers which ranges from world-class banks and international financial institutions.
PH’s
current management team is currently expected to continue running the combined company after the transaction.
PH
is thrilled to announce the proposed merger with HHGC and its proposed debut on Nasdaq.
Transaction
Overview
Upon
the transaction’s closing, expected to be completed in the fourth quarter of 2023, the combined company will be named Perfect Hexagon
Holdings Limited and listed on NASDAQ under the symbol “PHGL”.
Pursuant
to the Merger Agreement, HHGC, which currently holds approximately $35 million of cash in trust, will combine with PH.
As
part of the transaction, HHGC is seeking to secure additional investment proceeds from a private investment in public equity (PIPE);
however, there can be no assurances that such investment will be available on terms acceptable to HHGC and PH.
PH’s
management team projects that current PH equity holders will roll 100% of their equity interests into the combined company. The co-founders
of PH will be under a lock-up for twelve months from the closing of the transaction.
The
Boards of Directors of HHGC and PH have unanimously approved the proposed business combination, though the transaction remains subject
to approval by HHGC’s and PH’s shareholders, satisfaction of the conditions stated in the Merger Agreement and other customary
closing conditions, including that the U.S. Securities and Exchange Commission (the “SEC”) completes its review of the registration
statement on Form F-4 and the proxy statement/prospectus that HHGC will cause to file with the SEC, the receipt of certain regulatory
approvals, and approval by the Nasdaq Stock Market to list the securities of the combined company.
HHGC
will file a Current Report on Form 8-K, which includes a copy of the Merger Agreement, with the SEC, which is available at www.sec.gov.
About
HHG Capital Corporation
HHG
Capital Corporation is a British Virgin Islands company incorporated as a blank check company for the purpose of entering into a merger,
share exchange, asset acquisition, share purchase, recapitalization, reorganization or similar business combination with one or more
businesses or entities.
About
Perfect Hexagon Holdings Limited
PH
is a Malaysia based leading non-financial institution market maker of commodities in Asia, as well as a physical commodity trading house
focusing on precious metal and base metals.
Important
Information About the Proposed Business Combination and Where to Find It
For
additional information on the proposed Business Combination, see HHGC’s Current Report on Form 8-K to be filed with the SEC. In
connection with the Business Combination, HHGC and PH intend to file relevant materials with the SEC, including a registration statement
on Form F-4 (the “Registration Statement”), which Registration Statement will also include a proxy statement of HHGC, and
will file other documents regarding the proposed Business Combination with the SEC. Before making any voting or investment decision,
HHGC’s shareholders and other investors and interested persons are advised to read, when available, the preliminary proxy statement/prospectus
contained in the Registration Statement, the amendments thereto and the definitive proxy statement and documents incorporated by reference
therein filed in connection with the proposed Business Combination, as these materials will contain important information about PH and
HHGC and the proposed Business Combination. Promptly after the Registration Statement is declared effective by the SEC, HHGC will mail
the definitive proxy statement/prospectus and a proxy card to each shareholder entitled to vote at the meeting relating to the approval
of the Business Combination and other proposals set forth in the proxy statement/prospectus. The documents filed by HHGC with the SEC
may be obtained free of charge at the SEC’s website at www.sec.gov, or by directing a request to HHG Capital Corporation, 1 Commonwealth
Lane, #03-20, Singapore 149544; Attn: Keith Kok; hhgcapitalcorp@gmail.com.
Participants
in the Solicitation
HHGC,
PH, and their respective directors, executive officers, employees and other persons may be deemed to be participants in the solicitation
of proxies from the holders of ordinary shares of HHGC in respect of the proposed transaction described herein. Information about HHGC’s
directors and executive officers and their ownership of HHGC’s ordinary shares is set forth in HHGC’s Annual Report on Form
10-K for the fiscal year ended December 31, 2022 (the “Form 10-K”) and the final prospectus dated September 21, 2021 (the
“Prospectus”) filed with the SEC in connection with the IPO, as modified or supplemented by any Form 3 or Form 4 filed with
the SEC since the date of such filing. Other information regarding the interests of the participants in the proxy solicitation will be
included in the proxy statement pertaining to the proposed transaction when it becomes available. These documents can be obtained free
of charge from the sources indicated below.
Forward-Looking
Statements
This
press release contains, and certain oral statements made by representatives of HHGC, PH, and their respective affiliates, from time to
time may contain, “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private
Securities Litigation Reform Act of 1995. HHGC’s and PH’s actual results may differ from their expectations, estimates and
projections and consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as
“expect,” “estimate,” “project,” “budget,” “forecast,” “anticipate,”
“intend,” “plan,” “may,” “will,” “could,” “should,” “believes,”
“predicts,” “potential,” “might” and “continues,” and similar expressions are intended
to identify such forward-looking statements. These forward-looking statements include, without limitation, HHGC’s and PH’s
expectations with respect to future performance and anticipated financial impacts of the business combination, the satisfaction of the
closing conditions to the business combination and the timing of the completion of the business combination. These forward-looking statements
involve significant risks and uncertainties that could cause actual results to differ materially from expected results. Most of these
factors are outside the control of HHGC or PH and are difficult to predict. Factors that may cause such differences include, but are
not limited to: (1) the occurrence of any event, change or other circumstances that could give rise to the termination of the Merger
Agreement relating to the proposed business combination; (2) the outcome of any legal proceedings that may be instituted against HHGC
or PH following the announcement of the Merger Agreement and the transactions contemplated therein; (3) the inability to complete the
business combination, including due to failure to obtain approval of the shareholders of HHGC or other conditions to closing in the Merger
Agreement; (4) delays in obtaining or the inability to obtain necessary regulatory approvals (including approval from insurance regulators)
required to complete the transactions contemplated by the Merger Agreement; (5) the occurrence of any event, change or other circumstance
that could give rise to the termination of the Merger Agreement or could otherwise cause the transaction to fail to close; (6) the inability
to obtain or maintain the listing of the post-acquisition company’s ordinary shares on NASDAQ following the business combination;
(7) the risk that the business combination disrupts current plans and operations as a result of the announcement and consummation of
the business combination; (8) the ability to recognize the anticipated benefits of the business combination, which may be affected by,
among other things, competition, the ability of the combined company to grow and manage growth profitably and retain its key employees;
(9) costs related to the business combination; (10) changes in applicable laws or regulations; (11) the possibility that PH or the combined
company may be adversely affected by other economic, business, and/or competitive factors; and (12) other risks and uncertainties to
be identified in the Form F-4 filed by HHGC (when available) relating to the business combination, including those under “Risk
Factors” therein, and in other filings with the Securities and Exchange Commission (“SEC”) made by HHGC and PH. HHGC
and PH caution that the foregoing list of factors is not exclusive. HHGC and PH caution readers not to place undue reliance upon any
forward-looking statements, which speak only as of the date made. Neither HHGC or PH undertakes or accepts any obligation or undertaking
to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change
in events, conditions or circumstances on which any such statement is based, subject to applicable law. The information contained in
any website referenced herein is not, and shall not be deemed to be, part of or incorporated into this press release.
No
Offer or Solicitation
This
press release is for informational purposes only and shall not constitute a solicitation of a proxy, consent or authorization with respect
to any securities or in respect of the Business Combination. This press release also shall not constitute an offer to sell or the solicitation
of an offer to buy any securities pursuant to the Business Combination or otherwise, nor shall there be any sale of securities in any
jurisdiction in which the offer, solicitation or sale would be unlawful prior to the registration or qualification under the securities
laws of any such jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section
10 of the Securities Act of 1933, as amended, or an exemption therefrom.
Contacts
Investor
Relations
Perfect
Hexagon Group Limited
info@perfecthexagon.com
HHG
Capital Corporation
hhgcapitalcorp@gmail.com
Media
Contact
hhgcapitalcorp@gmail.com
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