Purchase and Sale Agreement (2015)Full Document 

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PURCHASE AND SALE AGREEMENT

by and between

La Frontera Ventures, LLC

as Seller,

and

Luminant Holding Company LLC

as Buyer

dated as of November 25, 2015


TABLE OF CONTENTS

Page
ARTICLE I DEFINITIONS AND CONSTRUCTION 1

Section 1.1

Definitions

1

Section 1.2

Rules of Construction

1
ARTICLE II PURCHASE AND SALE AND CLOSING 2

Section 2.1

Purchase and Sale

2

Section 2.2

Purchase Price

3

Section 2.3

Closing

3

Section 2.4

Seller’s Closing Deliverables

3

Section 2.5

Buyer’s Closing Deliverables

4

Section 2.6

Aggregate Net Working Capital Adjustment Amount

5

Section 2.7

Tax Treatment; Allocation of Purchase Price

8

ARTICLE III REPRESENTATIONS AND WARRANTIES REGARDING SELLER

8

Section 3.1

Organization

8

Section 3.2

Authority

9

Section 3.3

No Conflicts; Consents and Approvals

9

Section 3.4

Interests

9

Section 3.5

Legal Proceedings

9

Section 3.6

Compliance with Laws and Orders

10

Section 3.7

Brokers

10
ARTICLE IV REPRESENTATIONS AND WARRANTIES REGARDING THE ACQUIRED COMPANIES 10

Section 4.1

Organization

10

Section 4.2

No Conflicts; Consents and Approvals

10

Section 4.3

Capitalization

11

Section 4.4

Business; Title to Assets

11

Section 4.5

Bank Accounts

11

Section 4.6

Subsidiaries

11

Section 4.7

Legal Proceedings

12

Section 4.8

Compliance with Laws and Orders

12

Section 4.9

Liabilities

12

Section 4.10

Taxes

12

Section 4.11

Regulatory Status

13

Section 4.12

Contracts

14


TABLE OF CONTENTS

(continued)

Page

Section 4.13

Real Property

15

Section 4.14

Permits

15

Section 4.15

Environmental Matters

16

Section 4.16

Intellectual Property

16

Section 4.17

Brokers

17

Section 4.18

Employees and Labor Matters

17

Section 4.19

Employee Benefits

17

Section 4.20

Financial Statements

17

Section 4.21

Absence of Certain Changes

18

Section 4.22

Related Party Transactions

18

Section 4.23

Insurance

18

ARTICLE V REPRESENTATIONS AND WARRANTIES OF BUYER

18

Section 5.1

Organization

18

Section 5.2

Authority

18

Section 5.3

No Conflicts; Consents and Approvals

18

Section 5.4

Legal Proceedings

19

Section 5.5

Compliance with Laws and Orders

19

Section 5.6

Brokers

19

Section 5.7

Acquisition as Investment

19

Section 5.8

Financial Resources

20

Section 5.9

No Conflicting Contracts

20

Section 5.10

Opportunity for Independent Investigation

20

Section 5.11

Buyer Benefit Plans

20

Section 5.12

Regulatory Status

20

Section 5.13

Ownership in ERCOT

20

ARTICLE VI COVENANTS

21

Section 6.1

Regulatory and Other Approvals

21

Section 6.2

Access of Buyer

23

Section 6.3

Certain Restrictions

24

Section 6.4

Use of Certain Names

26

Section 6.5

Support Obligations

26

Section 6.6

Excluded Items

27

Section 6.7

Employee and Employee Benefit Matters

28

ii


TABLE OF CONTENTS

(continued)

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Section 6.8

Termination of Certain Services, Excluded Contracts and Other Affiliate Transactions

28

Section 6.9

Spare Parts

29

Section 6.10

Insurance

29

Section 6.11

Casualty

29

Section 6.12

Condemnation

30

Section 6.13

Transfer Taxes

31

Section 6.14

Tax Matters

31

Section 6.15

Appointment of Primary Representatives

34

Section 6.16

Updating; Notification of Certain Matters

34

Section 6.17

Announcements

35

Section 6.18

Further Assurances

35

Section 6.19

Reserved

35

Section 6.20

Qualified Scheduling Entity

35

Section 6.21

Exclusivity

35

Section 6.22

Additional Assets Contribution