SECURITY DEVICES INTERNATIONAL INC. (OTCMKTS:SDEV) Files An 8-K Entry into a Material Definitive AgreementItem 1.01.Entry into a Material Definitive Agreement.
On April 13, 2018, Security Devices International Inc. (the “Registrant”) entered into a Purchase and Sale Agreement (the “Agreement”) with André Buys, a resident of South Africa (“Mr. Buys”), to which the Company purchased from Mr. Buys a portfolio of registered patents, provisional patents, and other intellectual property relating to air and/or gas fired long guns or pistols, including pump action launchers and munitions used with such pistols and long guns, including self-stabilizing shaped or “finned” rounds (the “Portfolio”). As consideration for Portfolio, the Company (i) paid Mr. Buys $100,000, (ii) agreed to pay Mr. Buys either $500,000 in cash or $750,000 worth of Company stock within two years (the “Second Payment”), (iii) agreed to issue 1,500,000 options or warrants for shares of the Company’s common stock to Mr. Buys, and (iv) agreed to pay Mr. Buys certain royalty payments for sales of products by the Company using technology covered by the Portfolio. In the event that the Company fails to make the Second Payment, the Portfolio would revert to Mr. Buys, but the Company would retain certain exclusive and non-exclusive license rights with respect to the Portfolio.
The Agreement is filed herewith as Exhibit 10.1. The description of the Agreement contained herein is qualified by reference thereto.
In addition, the Company has hired Mr. Buys as its Chief Technology Officer.
Item 8.01.Other Events.
On April 16, 2018, the Registrant issued a Press Release, attached hereto as Exhibit99.1, regarding the Agreement.
Item 9.01.Financial Statements and Exhibits.
The following exhibits are filed as part of this Current Report on Form 8-K:
to the requirements of the Securities Exchange Act of 1934, the Registrant has caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
Security Devices International Inc. ExhibitEX-10.1 2 a51789037ex10_1.htm EXHIBIT 10.1 Exhibit 10.1 PURCHASE AND SALE AGREEMENT This Purchase and Sale Agreement (“Agreement”),…To view the full exhibit click