Agreement and Plan of Merger (2016)Full Document 

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AGREEMENT AND PLAN OF MERGER

by and among

WESTAR ENERGY, INC.,

GREAT PLAINS ENERGY INCORPORATED

and

MERGER SUB, as defined herein

Dated as of May 29, 2016


TABLE OF CONTENTS

Page

ARTICLE I THE MERGER

2

SECTION 1.01

Formation of Merger Sub; Accession 2

SECTION 1.02

The Merger 2

SECTION 1.03

The Effective Time 2

SECTION 1.04

The Closing 3

SECTION 1.05

Effects of the Merger 3

SECTION 1.06

Organizational Documents 3

SECTION 1.07

Surviving Corporation Directors and Officers 3

SECTION 1.08

Plan of Merger 3

ARTICLE II EFFECT ON CAPITAL STOCK; EXCHANGE OF CERTIFICATES AND BOOK-ENTRY SHARES

3

SECTION 2.01

Effect of Merger on Capital Stock 3

SECTION 2.02

Payment for Shares 5

SECTION 2.03

Equity Awards 9

SECTION 2.04

Appraisal Rights 10

ARTICLE III REPRESENTATIONS AND WARRANTIES OF THE COMPANY

11

SECTION 3.01

Organization, Standing and Power 11

SECTION 3.02

Company Subsidiaries 11

SECTION 3.03

Capital Structure 12

SECTION 3.04

Authority; Execution and Delivery; Enforceability 13

SECTION 3.05

No Conflicts; Consents 13

SECTION 3.06

Company Reports; Financial Statements 15

SECTION 3.07

Absence of Certain Changes or Events 16

SECTION 3.08

Taxes 16

SECTION 3.09

Employee Benefits 18

SECTION 3.10

Labor and Employment Matters 20

SECTION 3.11

Litigation 20

SECTION 3.12

Compliance with Applicable Laws; Permits 21

SECTION 3.13

Takeover Statutes 21

SECTION 3.14

Environmental Matters 21

SECTION 3.15

Contracts 22

SECTION 3.16

Real Property 23

SECTION 3.17

Intellectual Property 23

SECTION 3.18

Insurance 23

SECTION 3.19

Regulatory Status 24

SECTION 3.20

Brokers’ Fees and Expenses 24

SECTION 3.21

Opinion of Financial Advisor 24

SECTION 3.22

No Additional Representations 24

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ARTICLE IV REPRESENTATIONS AND WARRANTIES OF PARENT AND MERGER SUB

25

SECTION 4.01

Organization, Standing and Power 25

SECTION 4.02

Parent Subsidiaries 26

SECTION 4.03

Capital Structure 26

SECTION 4.04

Authority; Execution and Delivery; Enforceability 27

SECTION 4.05

No Conflicts; Consents 28

SECTION 4.06

Parent Reports; Financial Statements 29

SECTION 4.07

Absence of Certain Changes or Events 30

SECTION 4.08

Litigation 30

SECTION 4.09

Compliance with Applicable Laws 31

SECTION 4.10

Financing 31

SECTION 4.11

Brokers’ Fees and Expenses 32

SECTION 4.12

Merger Sub 32

SECTION 4.13

Ownership of Company Common Stock; Interested Shareholder 32

SECTION 4.14

Regulatory Status 32

SECTION 4.15

Taxes 33

SECTION 4.16

Opinion of Financial Advisor 33

SECTION 4.17

No Additional Representations 34

ARTICLE V COVENANTS RELATING TO CONDUCT OF BUSINESS

35

SECTION 5.01

Conduct of Business 35

SECTION 5.02

Proceedings 39

SECTION 5.03

No Solicitation by the Company; Company Board Recommendation 39

SECTION 5.04

No Solicitation by Parent; Parent Board Recommendation 43

SECTION 5.05

Financing 46

SECTION 5.06

Financing Cooperation 49

ARTICLE VI ADDITIONAL AGREEMENTS

51

SECTION 6.01

Preparation of the Form S-4 and the Proxy Statement/Prospectus; Shareholders Meetings 51

SECTION 6.02

Access to Information; Confidentiality 54

SECTION 6.03

Further Actions; Regulatory Approvals; Required Actions 55

SECTION 6.04

Transaction Litigation 58

SECTION 6.05

Section 16 Matters 58

SECTION 6.06

Governance Matters 58

SECTION 6.07

Public Announcements 59

SECTION 6.08

Fees, Costs and Expenses