Item 1.01 Entry into a Material Definitive Agreement
Effective
The Total Purchase Price shall be paid in accordance with the payment schedule
set forth in the Agreement, subject to adjustments based upon market
circumstances. Within seven (7) days after the signing of the Agreement, AAI
shall pay the Seller a down payment in the amount of
Date Payment Amount September 28, 2021$ 1,552,703.70 October 28, 2021$ 1,414,600.20 November 28, 2021$ 1,414,600.20 December 28, 2021$ 1,268,680.20 January 28, 2022$ 778,200.00 February 28, 2022$ 778,200.00 March 28, 2022$ 697,200.00 April 28, 2022$ 697,200.00 May 28, 2022$ 697,200.00
One (1) month prior to the shipment of a Batch, the Seller shall notify AAI of the actual purchase price, provided that the actual purchase price shall not be higher than the total price set forth in the payment schedule in the Agreement, and upon receipt of the actual purchase price, AAI shall be entitled to exercise one of three following payment options: (i) continue to perform the order of the current Batch with the original rated hashrate and pay the remaining amount at the actual price; (ii) request the Seller to increase the rated hashrate in equivalent to the difference in price (under this circumstance, the Seller shall have the right to negotiate with AAI for the amount of the additional rated hashrate based on its then inventory); or (iii) partially or wholly cancel the order of the current Batch, provided that AAI has received the notification of the actual price. Before the Seller notifies AAI of the actual price, AAI shall make timely payment for each Batch in accordance with the payment schedule set forth in the Agreement.
In the event that AAI fails to fully settle the respective percentage of the Total Purchase Price before the prescribed deadlines and fails to make a written request to the Seller no less than five (5) business days prior to the prescribed deadline and obtain the Seller's written consent, the Seller shall be entitled to request AAI to pay a reasonable liquidated damage (not a penalty) of 20% of the purchase price of such Batch within sixty (60) days. If AAI fails to pay the liquidated damage when due, the Seller shall be entitled to terminate the Agreement.
In the event that the Seller fails to deliver a Batch within thirty (30) days after the prescribed deadline, AAI shall be entitled to cancel such Batch and request the Seller to refund the total price of such undelivered Batch together with interest at 0.0333% per day. If AAI does not cancel the order of the undelivered Batch and requests the Seller to perform its delivery obligation, the Seller shall continue to perform its delivery obligation and compensate AAI in accordance with the terms set forth in the Agreement.
The foregoing is only brief description of the material terms of the Agreement, the form of which is attached hereto as Exhibit 10.1 and is incorporated herein by reference. The foregoing does not purport to be a complete description of the rights and obligations of the parties thereunder and such descriptions are qualified in their entirety by reference to the exhibit.
Item 7.01 Regulation FD Disclosure.
On
2
In accordance with General Instruction B.2 of Form 8-K, the information in this Item 7.01, including Exhibit 99.1 attached hereto, shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such a filing. This report will not be deemed an admission as to the materiality of any information required to be disclosed solely to satisfy the requirements of Regulation FD.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits: Exhibit No. Description 10.1 Form of Non-Fixed Price Sales and Purchase Agreement, by and betweenAult Alliance, Inc. andBitmain Technologies Limited , datedSeptember 12, 2021 . 99.1 Press Release issued byAult Global Holdings, Inc. , onSeptember 15, 2021 . 101 Pursuant to Rule 406 of Regulation S-T, the cover page is formatted in Inline XBRL (Inline eXtensible Business Reporting Language). 104 Cover Page Interactive Data File (embedded within the Inline XBRL document and included in Exhibit 101). 3
© Edgar Online, source