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lockup agreement

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lockup agreement
A contractual offer of valuable assets or stock made by a takeover target to the suitor deemed most acceptable to management. A lockup agreement tends to discourage unwanted suitors, but it may penalize the target firm's stockholders because it eliminates counteroffers. Also called crown jewel lockup agreement.


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As of November 3, 2006, the signatories to the Lockup Agreement (the "Signatories") hold more than 60% of the $150,000,000 in outstanding Senior Notes.
As of October 12, 2006, the signatories to the Lockup Agreement (the "Signatories") hold an aggregate of $141,425,000 in 11% NotesCoin excess of a majority of the $250,000,000 in outstanding 11% Notes.
Chief Financial Officer Raj Nanvaan of NAEG, stated, "We are encouraged by our recent growth and acquisitions and we, as management, are proud to have the opportunity to demonstrate our commitment and confidence in the Company's continuing growth by entering into a voluntary share lockup agreement.
 
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