Exhibit 14
AMENDED AND RESTATED MASTER FINANCING AGREEMENT
AMENDED AND RESTATEDMASTER FINANCINGAGREEMENTdatedasof March 16, 2016(as amended,supplemented orotherwisemodifiedfromtimetotime,the“Agreement”),between FintechAdvisory,Inc.(“FAI”) and FintechInvestments Ltd. (“Finance Provider”).
ThePartiesherebyagreeas follows:
SECTION1: DEFINITIONS
1.1DefinedTerms.AsusedinthisAgreement,thefollowingtermsshallhave thefollowingmeanings:
“AccruedRights” | As definedinsubsection6.1 hereof. |
“Asset” | 100% of the membership interests of Fintech Telecom, LLC, a limited liability company organized under the laws of the State of Delaware. |
“Asset Documents” | Agreement of Limited Liability Company, dated October 18, 2013 by Fintech Advisory Inc. as Managing Member. |
“Assignee” | AnyPersontowhichFAIassignsitsrights,claimsandintereststo allor partof anAsset, which Person shall be an affiliate of FAI. |
“DemandDate” | As definedinsubsection3.1(b) hereof. |
“EffectiveDate” | October 24, 2014 |
“Financing” | As definedinsubsection2.1 hereof. |
“GovernmentalAuthority” | Anynationorgovernment,anystateorotherpoliticalsubdivision thereofandanyentityexercisingexecutive,legislative, judicial, regulatoryor administrativefunctions relating to government. |
“Initial Financing Amount” | $925,000,000 to be paid by Finance Provider to FAI. |
“Issuer” | Fintech Telecom, LLC, or FTL |
“Person” | Anyindividual,corporation,partnership,limitedliabilitycompany, jointventure,association,jointstock company,trust, unincorporated association,Governmental Authorityorotherentityofwhatever nature. |
“SPA” | The Amended and Restated Stock Purchase Agreement, dated October 24, 2014 among FTL, Telecom Italia S.p.A. and Telecom Italia International N.V. and solely for the purposes of Article 2 of the SPA, Tierra Argentea S.A. |
SECTION 2: TERMSOF FINANCING
2.1Financing.From time to time,FAI may requesttoobtain fromFinance Provider and Finance Provider may agree to provide to FAI,financing in connection withthe capital needs of the Asset, which shall be provided through a 100% undivided economic participation interest in the Asset, (each a“Financing”);provided,thatsuchFinancing shall be solelyinrespectofeconomicrightsrelatingtosuchAsset,including payments or otherdistributions assetforthinSection3hereof, andthatnovotingrightsorrightsofdisposition or control inrespect of suchAsset(s) shall form any partof the Financing. The Financing shall include any Additional Financing (as defined below) provided by Finance Provider hereunder.
2.2Initial Drawdown of Financing.UpontheEffectiveDateand subjecttosatisfaction ofthe conditionssetforthherein:
(a) Finance Provider shall provide to FAI the InitialFinancing Amount;and
(b) FAIshall provide to Finance Provider (andFinance Providershallacceptandtakewithoutrecourse),a100% undivided beneficial economic interestintheAsset.
2.3Additional Financing.
(a) Within one (1) Business Day of receiving a request for additional capital from the Issuer (a “Capital Request”), FAI shall offer Finance Provider, by written notice, an additional Financing consisting of a 100% undivided economic participation interest in such additional capital (an “Additional Financing”). The purchase price for such Additional Financing shall be equal to 100% of the amount paid by FAI in respect of such Capital Request (each a “Subsequent Financing Amount”).
(b) In caseFinance Provider decides to participate in such Additional Financing, FAI and Finance Provider shall execute an addendum to this Agreement stating the amount of the Additional Financing, the Subsequent Financing Amount and payment terms of such Additional Financing. Such Additional Financing shall be governed by the terms of this Agreement. For the avoidance of doubt, in case of any conflict between any provision included in any supplement, amendment or any other documentation executed pursuant to such Additional Financing and any provision of this Agreement, this Agreement shall prevail.
SECTION3: PAYMENTS
3.1WhenFAIreceivesorcollectsany cashpaymentofadividendorof principalorinterestoranyother cashdistributionsorpayments in respectofan Asset subjectto a Financing providedhereunder (including any paymentsmadetoFAIuponthesale, assignment, disposition oftheAsset orthegrant of aninterest in, exchange of, or other transferof the Asset) (each a “Cash Distribution”), FAI shall hold such payment forthe accountof Finance Provider and
shallpromptlypay over suchpaymenttoFinance Providertothe accountset forthonthe signaturepagehereto;providedthatFinance Provider’sproratashareofinterest, if any,shallbe appropriately adjusted toreflecttheperiodoftimeduringwhichtherelevant Financing has beenoutstanding.
3.2 If(i)FAI shallpayanyamounttoFinance Providerpursuantto thisAgreementin thebelieforexpectation thatarelatedpaymenthasbeenorwillbereceivedorcollected byFAIfrom Finance Provider or in connection with anyAssetorAsset Documents and (ii) suchrelated payment is not received or collected by FAI,then Finance Providerwill promptly on demand by FAI (the day on which such demand ismade, the “Demand Date”) return such amount to FAI, togetherwithinterestaccruingasagreed uponbetweenthe parties. IfFAIdeterminesatany time thatany amount receivedor collected by FAIinrespect of the Asset mustbepaidtoany other Personpursuanttoanybankruptcyorinsolvencylaw, anysharingclausein anyAsset Documents or otherwise, then, notwithstanding any other provisionofthisAgreement, FAIshallnotberequiredtodistributeanyportion thereof to Finance Provider, andFinance Provider will promptly on demandby FAI repay, which obligation shallsurvive theterminationofthisAgreement, anyportionthereofthatFAIshallhavedistributed to Finance Provider, together withinterestthereonatsuchrate,ifany,asFAIshallpaytotheObligoror such otherPersonwith respectthereto.
3.3 If there is any payment of a dividend or of principal or interest or any other distributions or payments in respect of an Asset subject to a Financing sold hereunder other than a Cash Distribution (an “In-Kind Distribution”), then such In-Kind Distribution, shall be retained by FAI and shall become part of and form part of the Assets that are subject to the Financing, and Finance Provider’s Financing shall be deemed to include a total undivided 100% participation interest in such In-Kind Distribution.
3.4 If anyretroactiveinterestadjustmentis appliedin respectof theAsset,such adjustmentshallbeallocatedbetweenFAIandFinance Providerasmaybenecessarytogiveeffectto themethod of allocation used by the applicable agent or servicing bank in applying such retroactiveinterest adjustment, andtheparties will promptlymake suchpayments asmaybe necessarytogiveeffecttosuch allocation.
SECTION 4: REPRESENTATIONS AND WARRANTIES
4.1 FAIrepresentsandwarrantstoFinance Provider,andFinance Providerrepresentsand warrantstoFAI,that,asof thedatehereofandas of eachEffectiveDate,
(a) itisduly authorizedandvalidlyexistingunder thelawsofitsjurisdictionof organization,andhasthepowerandauthority,andthelegalright,tomake, deliver and perform this Agreement and perform itsobligations hereunder inaccordance withthe provisions hereof;
(b) thisAgreementhas beendulyauthorized,executedanddeliveredby it;
(c) thisAgreementconstitutesitslegal,validandbindingobligation,enforceable againstitin accordance withitsterms,exceptasthesamemaybelimitedbyapplicablebankruptcy, insolvency,reorganization,moratorium or similar laws affecting the enforcement of creditors’ rights generally and by general equitable principles (whether enforcementis sought by proceedings inequityor atlaw); and
(d) it acts as principal for its own account in entering into the Financing.
4.2Withrespectto theAsset,exceptasexpresslyprovidedherein,FAI makes norepresentationorwarranty,andshallhavenoresponsibility,astothedueauthorizationor execution,genuineness,validity,enforceabilityor collectability of the Asset or Asset Documents or any of the terms, covenants or conditions contained therein, as the casemay be, or the existence,value,perfectionor priorityof any collateralsecurityfor theAsset; the filing, recording or takingof anyactionwithrespectto theAsset, Asset Documents or the restructuring thereof;thefinancial or other condition of theIssueror anyother Person; any representation or warrantymade by, or the accuracy, completenessor sufficiency of any documentation orinformation (orthevalidity,completeness oradequate disclosureof assumptions underlyingany estimates,forecastsor projectionscontainedin such information)suppliedby the Issuer or any other Person in connection with the Asset or Asset Documents;the performance or observanceby the Issuer of its obligations under Asset Documents or with respect to the Asset; or any othermatter relating to anyoftheforegoing, including, withoutlimitation, anyrestructuring oftheAssetor thelikelihood of such occurrence.
4.3WithrespecttotheFinancing,Finance Providerrepresentsandwarrantsto FAIthat,asofthedatehereofandasoftheEffective Datefor the Financing, (a) ithasmade anindependent determinationtoacquire andis acquiringtheFinancing foritsownaccount without a viewto the distribution thereof, (b) it hasmadean independent appraisal of the financial condition and affairs oftheIssuer and ofthetermsand investmentmeritsof theFinancing, theAsset and theAsset Documents withoutrelianceon FAIor any affiliate thereof andbasedon suchdocuments and information as Finance Provider has deemed necessary for suchpurpose, (c) ithas not reliedandwill not rely upon FAI or any affiliatethereof tofurnishanyinformation toit regarding thefinancial condition andaffairsof the Issuer or theAssetor theAsset Documents, (d) it isa sophisticated institutional investorfamiliarwithinvestments of thenatureof theFinancing and fullyunderstands and is capable ofbearing allofthe risks involvedin acquiringthe Financing, (e) ifdeemed necessary, ithas obtained theadviceof counsel inthenegotiation, execution anddelivery of thisAgreement andthedocuments relating thereto and(f)nojointventure existsbetween FAI andFinance Provider. Finance Provider waives anyclaims,now orhereafter arising, itmayhave againstFAI oranyaffiliate thereof arising out of or otherwiseinrespect ofanyfailure todisclose anyinformationandagrees thatithasnorecourse toFAIwithrespectto the Financinghereunder notwithstanding the occurrence or nonoccurrence of any restructuring,buyback,rebalancing or other similar transaction inrespect of the Asset.
SECTION 5: CERTAIN RIGHTS AND OBLIGATIONS
5.1 Finance ProvidershallacquiretheFinancingforitsownaccountandriskand withoutrecoursetoFAI.WithrespecttotheAsset,FAI shallhavenoobligation totake any action tocollectany dividendsinrespectof, principalof, or intereston the Asset or any other amount payable by theIssuer or anyother Person inrespect thereto, to enforcein anyothermanneranyof
theprovisionsoftheAssetDocumentsoranyother document, or totakeanyotheractionagainsttheIssueror anyotherPerson under theAssetDocumentsor anyotherdocument.
5.2 Finance ProvidershallpaytoFAIondemand,andindemnifyFAIfully against,Finance Provider’sproratashareofanyandallclaims, losses, liabilities, costs, disbursements, and expenses (including, without limitation, legalfees and disbursements) incurred or paid by FAI inconnectionwiththeFinancing (other than thosearising outofFAI’sgrossnegligenceor willfulmisconduct),which indemnification and reimbursement obligationshall survivethe termination ofthis Agreement.
5.3 Finance Provider authorizes FAI to withhold from Finance Provider anyamounts payableby FAItoFinance Providerhereundertotheextentrequiredby law.
5.4 AllcollateralsecurityandguaranteesthatFAInoworhereafterholdsas directorindirectguarantees of,orcollateralsecurityfor,theAssetsmaybeheldbyFAIinits name;provided thatsuchcollateral security and guarantees shall beheldby FAIforthebenefit of Finance Provider.
5.5 Each of FAI and Finance Provider shall execute and deliversuch further instrumentsandtakesuchfurtheractionfromtimetotimeasreasonablymayberequiredtoeffect thetransactionscontemplatedhereby.
SECTION6: SUBSEQUENTTRANSACTIONS
6.1 Following a period that is eighteen (18) months after the Closing Date (as such term is defined in the SPA) (the “Restricted Period”), intheeventFAIshallhavedetermined,initssoleandabsolutediscretion, thatitnolonger wishestoberecord holder of allorpartoftheAsset,FAImay assigntoany Assigneewithoutconsiderationall oranyportion oftheAsset in an aggregate amount equalto the Financing,togetherwiththe relatedrights and obligations under the AssetDocuments and this Agreement,and shalldeliveranotice ofsuchassignmentsubstantially in theform ofExhibitA to Finance Provider. Suchassignment(a)shall complywith the Asset Documents, (b)shall substitutethe Assigneeasrecord holderofanyportion ofanyAssetsoassigned, (c)shall release FAI from all of its obligations withrespecttoanyassigned Asset,(d)shallnotaffectany rightsofFAIunder subsection 5.2 hereofaccruingin respectof the periodendingon the effectivedateof such assignment(the “AccruedRights”)and (e)shall bewithoutrecourse to,orany representation or warrantyby,FAI.Inconnection with theforegoingassignment, FAI shall assigntotheAssignee allofthe rights(other thanthe Accrued Rights) andobligationsof FAIwithrespect tothe Asset under thisAgreementandFAIshallbereleasedfromallitsobligations hereunderrelatingtothe Asset,providedthat suchassignment shallnotaffectany ofFAI’sobligations underSection3 hereof accrued prior to the effectiveness of such assignment. Finance Provider agrees to execute and deliverpromptlysuchinstruments and AssetDocumentsasFAImayrequestto effect such assignment and release with respect to all or any portion ofthe Assetsoassigned and, if applicable, withrespect tothis Agreement.
6.2Withoutlimitingsubsection 6.1, at any time following the Restricted Period,Finance Provider may request FAI toassign the Assettoany Assigneefor(orwithout)considerationforfairmarket value(asitdeterminesinitssolediscretion).Ontheeffective dateofsuch Transfer, (a) FAIshallpay the net proceeds ofthe assignment, if any, tothe Finance Provider asset
forth inSection3, (b) therelevantFinancingshallbecanceledandFinance Providershallbedeemedtohaverelinquished allofitsrightsandinterestintheAssetandtherelatedAsset Documents and (c) FAI shall assign the Asset to the Assignee pursuant to documentation prepared by FAI. Such assignment shall be made pursuant to clauses (a)-(e) of subsection 6.1. In connection with the foregoing assignment, (i) if the Assignee shall be a Person other than Finance Provider, FAI shall assign to the Assignee all of the rights (other than the Accrued Rights) and obligations of FAI under this Agreement with respect to such Assets and FAI shall be released from all of its obligations hereunder relating to the Asset and (ii) if the Assignee shall be the Finance Provider, the Financing shall terminate and be of no further force or effect and FAI shall be released from all its obligations hereunder relating to the asset (provided that any such termination shall not terminate any Accrued Rights). The parties hereto agree to take such actions and execute such documents as FAI or any Assignee may reasonably request in connection with the foregoing.
SECTION 7: MISCELLANEOUS
7.1Termination.EitherpartymayterminatethisAgreementuponpriornotice totheotherparty(butsuchtermination shallnotaffecttherightsandobligations ofthepartiesin respectof anyoutstandingFinancing).
7.2Notices.Allnotices,communications,requestsanddemandstooruponthe respectivepartiesheretoshallbeaddressedtotheotherpartyheretoattheaddressortelecopy number as such partymayspecify totheother party from time totime.
7.3Nature of Interest.The Financing and each Additional Financing, if any, shall not bear interest. Solely for U.S. federal, state and local tax purposes, the Parties agree that the Financing and each Additional Financing, if any, shall not be treated as a debt obligation of FAI.
7.4Severability.AnyprovisionofthisAgreement thatisprohibitedor unenforceableinanyjurisdiction shall,astosuchjurisdiction,beineffectivetotheextentofsuch prohibitionorunenforceability withoutimpairingorinvalidatingthe validity,legalityand enforceability of the remaining provisions contained herein and shallnot affect in any way the validity, legality or enforceability of such provision inanyother jurisdiction.
7.5Expenses.Eachofthepartiesshallbearitsownexpenses(including attorneys’feesandexpenses)inconnectionwiththenegotiation, preparation, executionand deliveryof thisAgreement andanydocuments relating thereto.
7.6GOVERNINGLAW.THIS AGREEMENTAND EACH CLOSING CERTIFICATE SHALL BEGOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWSOF THE STATE OF NEW YORK.
7.7Counterparts.ThisAgreementmaybeexecutedinseparatecounterparts, andallofsaidcounterparts takentogethershall bedeemedto constitute oneandthesame instrument.
INWITNESSWHEREOF,thepartiesheretohavecausedthis Amended and RestatedMaster Financing Agreementtobeexecutedanddeliveredbyadulyauthorized officer as of the datefirst above written.
FINTECHADVISORY,INC.
By: /s/ ErikaMouynes Name:ErikaMouynes Title:AuthorizedPerson |
FINTECH INVESTMENTS LTD.
By: /s/ Natalie Sutter Name: Natalie Sutter Title: Executive Vice President
AccountInformationUSD: Institution:UBSAG NewYork, Stamford,CT06912-0300 ABANumber:026007993 Swift:UBSWUS33 Forfurthercredit:FintechInvestmentsLtd. Account:101-WA-271985-000 Ref/ContactName:ChristineAebi
Account Information EUR: Correspondent Bank UBS AG, Frankfurt Swift: UBSWDEFF Beneficiary Bank: UBS AG, Zurich Swift: UBSWCHZH80V Beneficiary Name: Fintech Investments Ltd. Account: CH240020620626730361B Ref/Contact Name: Christine Aebi
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[Signature Page to Master Financing Agreement]
EXHIBIT A TO
MASTER FINANCING AGREEMENT
Formof Noticeof Assignmentof Assets PursuanttoSubsection6.1 of MasterFinancing
Agreement
TO: | Fintech Investments Ltd.c/oKENDRIS AG Steinengraben5 |
CH-4051 BaselSwitzerland
Telephone:4158 450 5240
Fax Number:4158 450 5270
Attention:AndréSpörri
FROM:Fintech Advisory, Inc.
375 Park Avenue38thFloor
New York, NY 10152
Telephone:212 593 3500
Fax Number:212 593 3461
Attention:J.R. Rodriguez,ErikaMouynes
DATE: [●]
RE: Amended and Restated Master Financing Agreementdatedasof[●],2016(asamendedor supplementedfromtimetotime,the“Agreement”)betweenFintechAdvidosry, Inc. (“FAI”) and Fintech Investments Ltd. (“Finance Provider”).
Gentlemen:
Pursuanttosubsection6.1oftheAgreement, FAIherebygivesnoticetoFinance Providerofits decisiontoassign[iflessthanall,describetheportionassigned]theAssetparticipated to Finance Provider (the“AssignedAssets”)to[insertnameofassignee] (“Assignee”),effective[insertterminationdate].
UpontheoccurrenceofFAI’sreceiptofthisletter countersignedbyFinance Provider,FAIshall assigntheAssignedAssetstoAssignee,pursuanttodocumentation satisfactorytoFAI,andthe Financingwithrespectto the Assigned Assets shall terminate, except as specificallyprovided for inthe Agreement.
E-A
Pleaseindicateyouragreementwiththeabovebyreturningacountersignedcopyofthis lettertoFAI.
Very trulyyours,
Fitnech Advisory, Inc.
By: _______________________________
Name: Julio Rafael Rodriguez, Jr.
Title: Authorized Person
By: _______________________________
Name: Erika Mouynes
Title: Authorized Person
AgreedtoandAcceptedby:
Fintech Investments Ltd.
By: _______________________________
Name: Diretora Corporate Services S.A.
Title: Director
Date:
E-A