This document (page 127 of a House Oversight production) is a section of a Limited Partnership Agreement or Private Placement Memorandum for KUE LLC. It details corporate governance mechanisms including 'Drag-Along Rights' forcing investors to sell under certain conditions, provisions for listing investor units on securities exchanges (requiring a $100 million holding threshold), future capital raising rights, and strict requirements for periodic financial reporting and record-keeping. The document references the 'ELP Law' and outlines the duties of the General Partner.
| Name | Role | Context |
|---|---|---|
| Principals | Shareholders/Owners |
Mentioned in relation to original KUE holdings and transaction thresholds.
|
| Investors | Shareholders |
Subject to drag-along rights and listing provisions.
|
| General Partner | Management Entity |
Responsible for listing actions, maintaining records, and delivering information to Partners.
|
| Board of Directors | Governance Body |
Approves specific transfers of shares.
|
| Name | Type | Context |
|---|---|---|
| KUE LLC |
The primary entity discussed; a limited liability company issuing units and shares.
|
|
| KUE LLC Entity |
A related entity defined for the purpose of Drag-Along Transfers.
|
|
| Independent Committee of the General Partner |
Governance body required to approve certain transfers.
|
|
| U.S. Federal Government |
Mentioned in context of income tax returns.
|
| Location | Context |
|---|---|
|
Location where the Initial Listing occurred.
|
|
|
Where KUE must maintain books and records.
|
"A 'Drag-Along Transfer' means a sale or other transfer for economic value of a majority of the Common LP Units held by KUE LLC or its affiliates"Source
"KUE LLC may require Investors to sell a pro rata portion... of their Units and Class A Shares in the Proposed Drag-Along Transfer"Source
"Beginning any time after six months after the Initial Listing, one or more holders holding an aggregate of $100 million of more of the Units... may request KUE and the General Partner to take such action as may be necessary... for their Units to be freely tradable"Source
"KUE will maintain at its principal place of business full and complete books and records"Source
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