Fwd: Term Sheet Outline - Presentation to Harvest, contemplated next steps

SUBJECT:

PRI: NORMAL

FROM:

D

darcher@rosemontcapital.com

DATE:

2015-10-30 00:17:38

MSG_ID:

<736D7E34-3556-4ED5-B3D3-B970191668D2@rosemontcapital.com>

RECIPIENTS:

TO:

H

Hunter Biden <hbiden@rosemontseneca.com>

CONTENT: TEXT: YES | HTML: YES

PROCESSED

Devon D. Archer
(+1) 646 436 3745

Begin forwarded message:

From: "Callahan, Neil" <ncallahan@burnhamfinancial.com<mailto:ncallahan@burnhamfinancial.com>>
Date: October 29, 2015 at 8:07:29 PM EDT
To: "cwolff@wolfflawfirm.com<mailto:cwolff@wolfflawfirm.com>" <cwolff@wolfflawfirm.com<mailto:cwolff@wolfflawfirm.com>>
Cc: "Andrew Godfrey (andrew.godfrey@gmail.com<mailto:andrew.godfrey@gmail.com>)" <andrew.godfrey@gmail.com<mailto:andrew.godfrey@gmail.com>>, "Godfrey, Andrew" <agodfrey@burnhamfinancial.com<mailto:agodfrey@burnhamfinancial.com>>, "darcher@rosemontcapital.com<mailto:darcher@rosemontcapital.com>" <darcher@rosemontcapital.com<mailto:darcher@rosemontcapital.com>>, "Zellmer, Stefan" <SZellmer@burnhamfinancial.com<mailto:SZellmer@burnhamfinancial.com>>, "smomtazi@rosemontcapital.com<mailto:smomtazi@rosemontcapital.com>" <smomtazi@rosemontcapital.com<mailto:smomtazi@rosemontcapital.com>>
Subject: Term Sheet Outline - Presentation to Harvest, contemplated next steps

Hey Cliff,

Attached is the PDF version of the presentation to Harvest.

Page 9 lays out the general terms. The main idea:

1. Convertible Note of $5m, 8% accrued cumulative coupon, payable in 3 years.
2. BAM and Harvest to work to specific conversion terms in the next 90 days into preferred equity. Contemplated rights of 1X liquidation preference and a Board Seat, share price. Upon agreed terms, conversion to follow agreed upon schedule.
3. BAM can pay off the face value of the note and any accrued interest at anytime.
4. BAM will call all $5m of the note upon closing.
5. In the case of default, the note is secured by all assets of BAM.
6. Note closing date no later than December 1, 2015.

Idea would be to have a follow up conference call with Harvest on Monday/Tuesday including Devon and Hunter and to present the Term Sheet for the Note and a 90 Schedule for setting conversion terms and putting together a partnership business plan.

Guys - please chime in with thoughts.

Safe travels.

Best,

Neil

--------------------
Neil Callahan
212-603-7561 (o)
917-945-9516 (m

METADATA:

THREAD:

TOPIC: Term Sheet Outline - Presentation to Harvest, contemplated next steps

INDEX: AQHREqb3ylffbc+YdECWevAs6QxJ4J6DK3YB

REFERENCES:

REPLY_TO:

<FA68F19B5C95B943A277BEC161FC946B261DEA57@BSIEXCH02.mail.bsibam.com>

REFS:

<FA68F19B5C95B943A277BEC161FC946B261DEA57@BSIEXCH02.mail.bsibam.com>

EMAIL DETAILS