New Hampshire Investors' Rights Agreement between Telocity, Inc., Existing Holders, and Founders

• Category: Corporations - Public - Rights
• State: Multi-State
• Control #: US-EG-9103
• Format: Word; Rich Text

Description

Second Amended and Restated Investment Rights Agreement of Telocity, Inc. dated December 13, 1999. 36 pages New Hampshire Investors' Rights Agreement is a legal document which outlines the rights and obligations of Velocity, Inc., existing holders, and founders regarding investments made in the company. This agreement serves to protect the interests of both the investors and the company, ensuring a fair and transparent relationship between all parties involved. Key clauses included in the New Hampshire Investors' Rights Agreement generally cover the following aspects: 1. Shareholder Rights: This agreement guarantees certain rights to the investors, such as the right to inspect corporate records, receive financial reports, and vote on certain matters related to the company's operation and management. 2. Pro Rata Rights: Investors typically have the opportunity to maintain their ownership percentage by participating in subsequent financing rounds. This provision ensures that they have the option to purchase additional shares of the company on a pro rata basis. 3. Voting Rights: The agreement may specify the voting rights of investors in matters such as electing the board of directors, approving major corporate actions (e.g., mergers, acquisitions), and any other decisions that may affect the shareholders' interests. 4. Information Rights: Investors have the right to receive timely and accurate information about the company's financial performance, business operations, and any material events or developments. 5. Preemptive Rights: This clause might allow investors to purchase additional shares of the company before new shares are offered to third parties, ensuring they have the opportunity to maintain their ownership stakes. 6. Transfer Restrictions: The agreement may include restrictions on the transfer of shares by investors, requiring their consent or compliance with certain conditions before transferring their ownership interests to protect the company's interests. 7. Registration Rights: Founders and existing holders usually grant investors the right to require the company to register their shares with the Securities and Exchange Commission if the company intends to undergo an IPO or register its securities for public trading. There may be various types of New Hampshire Investors' Rights Agreement tailored to the specific needs and characteristics of the company and its investors. While the general structure and key provisions mentioned above remain consistent, the specific terms and conditions can vary depending on factors such as the company's stage of development, the amount of investment, and the negotiation between the parties involved. It is important for all parties to understand the terms of the agreement, seek legal counsel, and ensure that it aligns with their individual rights, responsibilities, and objectives before signing it.

New Hampshire Investors' Rights Agreement is a legal document which outlines the rights and obligations of Velocity, Inc., existing holders, and founders regarding investments made in the company. This agreement serves to protect the interests of both the investors and the company, ensuring a fair and transparent relationship between all parties involved. Key clauses included in the New Hampshire Investors' Rights Agreement generally cover the following aspects: 1. Shareholder Rights: This agreement guarantees certain rights to the investors, such as the right to inspect corporate records, receive financial reports, and vote on certain matters related to the company's operation and management. 2. Pro Rata Rights: Investors typically have the opportunity to maintain their ownership percentage by participating in subsequent financing rounds. This provision ensures that they have the option to purchase additional shares of the company on a pro rata basis. 3. Voting Rights: The agreement may specify the voting rights of investors in matters such as electing the board of directors, approving major corporate actions (e.g., mergers, acquisitions), and any other decisions that may affect the shareholders' interests. 4. Information Rights: Investors have the right to receive timely and accurate information about the company's financial performance, business operations, and any material events or developments. 5. Preemptive Rights: This clause might allow investors to purchase additional shares of the company before new shares are offered to third parties, ensuring they have the opportunity to maintain their ownership stakes. 6. Transfer Restrictions: The agreement may include restrictions on the transfer of shares by investors, requiring their consent or compliance with certain conditions before transferring their ownership interests to protect the company's interests. 7. Registration Rights: Founders and existing holders usually grant investors the right to require the company to register their shares with the Securities and Exchange Commission if the company intends to undergo an IPO or register its securities for public trading. There may be various types of New Hampshire Investors' Rights Agreement tailored to the specific needs and characteristics of the company and its investors. While the general structure and key provisions mentioned above remain consistent, the specific terms and conditions can vary depending on factors such as the company's stage of development, the amount of investment, and the negotiation between the parties involved. It is important for all parties to understand the terms of the agreement, seek legal counsel, and ensure that it aligns with their individual rights, responsibilities, and objectives before signing it.