So, Paul walks away with $846k cash, and shareholder's are stuck with URI paper?
Maybe Paul should consider receiving some paper if the deal is all it is made out to be.
On 5 August 2015, Uranium Resources, Anatolia, Paul Cronin and Swellcap entered into a letter agreeing to terminate the engagement of Swellcap (Termination Letter). Under the consultancy agreement between Anatolia, Paul Cronin and Swellcap (Consultancy Agreement), Swellcap is entitled to a success fee of GBP£192,000 (as referred to in Note 1 above) and any amounts paid out in lieu of notice (PILON) (the notice period being 12 months).
Pursuant to the Termination Letter, each party acknowledges and agrees that, conditional upon the Schemes becoming unconditional:
a) Anatolia will pay Swellcap a success fee of GBP£192,000 upon the Schemes becoming unconditional (as referred to in Note 1 above);
b) Anatolia will give notice of termination of the Consultancy Agreement on the date on which Anatolia ceases to be a member of the official list of the ASX (Delisting);
c) as soon as practicable after Delisting, Uranium Resources will procure that Anatolia Shareholders and any of its related bodies corporate (if required) approve payment to Swellcap of any PILON in respect of the balance of the 12 month notice period; and
d) if Uranium Resources is unable to procure any approval required in accordance with paragraph (c), it must take all steps required to provide Swellcap with the maximum amount of the PILON owed under the Consultancy Agreement.
Other than disclosed in the table above, no payment or benefit is proposed to be given to any director, secretary or executive officer of any member of the Anatolia Group in connection with the Merger or on termination of employment.
AEK Price at posting:
6.5¢ Sentiment: None Disclosure: Not Held
