On November 1, 2013, Synthesis Energy Systems, Inc. (the "Company") entered into a management consulting agreement (the "Agreement") with Market Development Consulting Group, Inc. d/b/a MDC Group ("MDC"). The Agreement has a term of three years, ending on November 1, 2016, but is terminable by either party on 30 days notice in connection with an annual review of the services provided by MDC under the Agreement.
Under terms of the Agreement, MDC will, among other things, (a) be responsible for the Company's communications strategy to current and potential stockholders;
(b) serve as advisor to Company management and primary point of contact for media and stockholder relations; (c) oversee the Company relationship with The NASDAQ Stock Market; and (d) provide management and guidance for Company market and investor awareness initiatives.
MDC receives a monthly fee of $25,000 plus expense reimbursement. MDC also received a warrant to acquire 750,000 shares of common stock upon signing and will receive additional warrants to acquire 1% of the then fully diluted common stock on each annual anniversary prior to termination of the Agreement. MDC is prohibited from exercising the initial warrant until the first anniversary of the date of the Agreement, other than in connection with a change of control of the Company. Subject to specified limitations in the Agreement, MDC also has certain piggyback registration rights with respect to the shares of common stock underlying the warrants.
The foregoing description is qualified in its entirety by reference to the full text of the Agreement and the warrant, which are filed with this Current Report on Form 8-K as Exhibit 10.1 and Exhibit 4.1, respectively.
During the Term, The purchase rights represented by this Warrant are exercisable by the Holder, in whole or in part, at any time or from time to time after November 1, 2014,
Market Development Consulting Group, Inc. (the “ Holder ”) is entitled, upon the terms and subject to the conditions set forth below, to purchase from Synthesis Energy Systems, Inc., a Delaware corporation (the “ Compan y”), 750,000 shares (“ Warrant Shares ”) of the common stock, $0.01 par value per share, of the Company (“ Common Stock ”), upon surrender of this Warrant, at the principal office of the Company referred to below, with the Notice of Exercise attached hereto duly executed, and simultaneous payment therefore in lawful money of the United States at the exercise price of $0.70 per share (the “ Exercise Price ”). This Warrant is being issued as of November 1, 2013 (the “ Warrant Issue Date ”).
I've been doing some DD on this company and have bought a small position. This company can't even do a decent PR deal. They could of hired two full time employees and that would be that! Also, on the last conference call they said they would not be collecting any dividends this calendar year from Yima. I am starting to realize that these folks are not too swift at creating favorable deals for shareholders.
However, the management team seems very well connected, especially on the GE side. Other positives is that management are putting some deals together…….hopefully, those deals are favorable for the shareholders. However, it has taken them a longer than normal period of time to produce.
Conflicting pieces of information. Not too sure I will take a big plunge on this. Lucky for those who bought under a buck on this stock.
Wow, does this suggest they got someone to take their money? Hitting on all cylinders once again. Remember the last marketing deal? I think they got rid of a million or so to that guy.
They're now paying a 5 person firm $25K a month to communicate with current and future stockholders.Have you looked at their website? Based on that I doubt they can communicate with themselves. I've seen kids with lawn cutting services with more expansive, comprehensive, and professional sites.
Gotta be someone's unemployed son-in-law