Speaking of Azarga, here is Azarga's discussion of its 2014 deal...

Speaking of Azarga, here is Azarga's discussion of its 2014 deal with Empire Equity Ltd.:

On October 3, 2014, the Company closed a share sale agreement and economic exposure sharing deed with Empire Equity Ltd. (“Empire Equity”) to sell 140,000,000 Black Range shares at Australian Dollars (“A$”) 0.008 per share for total consideration of A$1,120,000. The consideration is payable in four equal installments, with the first payment due on closing and subsequent payments due 12, 24 and 36 weeks after closing. Other key terms include:

• Profit sharing on future sales by Empire Equity – The Company receives 50% of proceeds from future sales of Black Range shares by Empire Equity, if Empire Equity sells the Black Range shares in excess of A$0.010 per share; however, the first A$1,260,000 of proceeds will be retained by Empire Equity;

• Profit guarantee on future sales by Empire Equity – Two years after closing, if Empire Equity sells its Black Range shares for less than A$0.008 per share, the Company will reimburse Empire Equity the difference between the sales price and A$0.008 per share; and

• Anniversary payments – After closing, at each 12 week interval (up to 96 weeks), the
Company is obligated to make anniversary payments to Empire Equity, calculated based
on the cumulative installments paid to the Company at the date of the anniversary​

payment, less the value of shares sold by Empire Equity, multiplied by 2.5%.

The Empire Equity instrument is a hybrid instrument, containing a debt host component and
multiple embedded derivatives. The entire hybrid instrument has been classified as fair value
through profit or loss (“FVTPL”) and fair value changes are recorded through profit and loss. As at March 31, 2015, the Company recorded a liability of $234,093 related to the Empire Equity instrument (December 31, 2014: $228,442). The Company received the first installment payment in 2014 and as at March 31, 2015, no additional installment payments have been received. The Company is actively monitoring the outstanding installment payments and anticipates all outstanding installment payments will be received; however, the timing of the installment payments will continue to be delayed.

(snip)

Source: Azarga Uranium Corp. CONDENSED CONSOLIDATED INTERIM FINANCIAL
STATEMENTS For the three months ended March 31, 2015 and 2014



This is a deal structure only an investment banker such as Alex Molyneux could love. But it doesn't seem to be working out very well for either party.
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