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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<!-- Field: Rule-Page --><DIV ALIGN="LEFT" STYLE="margin-top: 1pt; margin-bottom: 1pt"><DIV STYLE="font-size: 1pt; border-top: Black 2.25pt solid; width: 100%">&nbsp;</DIV></DIV><!-- Field: /Rule-Page -->

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<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">UNITED STATES<BR>
SECURITIES AND EXCHANGE COMMISSION</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">Washington,
D.C. 20549</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">&nbsp;</P>

<P STYLE="font: bold 18pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">FORM 8-K</P>

<P STYLE="font: bold 18pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">&nbsp;</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">CURRENT
REPORT</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">&nbsp;</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">Pursuant to Section 13 or 15(d) of<BR>
the Securities Exchange Act of 1934</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">Date of Report (Date of earliest event reported):<BR>
<B>October 5, 2012</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

<P STYLE="font: bold 18pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">blackhawk
capital group bdc, inc.</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">(Exact name of registrant as specified
in its charter)</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">&nbsp;</P>

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        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>Delaware</B></P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>(State or Other Jurisdiction of Incorporation)</B></P></TD>
    <TD STYLE="width: 5%; padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt; font-weight: bold">&nbsp;</TD>
    <TD STYLE="width: 30%; padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt; font-weight: bold; text-align: center">814-00678<BR> (Commission File Number)</TD>
    <TD STYLE="width: 5%; padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt; font-weight: bold">&nbsp;</TD>
    <TD STYLE="width: 30%; padding-right: 5.4pt; padding-left: 5.4pt">
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 18.8pt; text-align: center"><B>20-1031329</B></P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 18.8pt; text-align: center"><B>(IRS Employer Identification
        No.)</B></P></TD></TR>
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    <TD STYLE="width: 67%; padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt; font-weight: bold; text-align: center"><B>880 Third Avenue, 12<SUP>th</SUP> Floor<BR>
New York, New York<BR>
(Address of principal executive offices)</B></TD>
    <TD STYLE="width: 33%; padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt; font-weight: bold; text-align: center">10022<BR> (Zip Code)</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt; font-weight: bold; text-align: center">&nbsp;</TD>
    <TD STYLE="padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt; font-weight: bold; text-align: center">&nbsp;</TD></TR>
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        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">Registrant&rsquo;s <FONT STYLE="font-size: 10pt">telephone</FONT>
        number, including area code:</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><B>(917) 338-7710</B></P></TD></TR>
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

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    <TD STYLE="width: 100%; border-bottom: windowtext 1pt solid; padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt; text-align: center">Not Applicable</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt; text-align: center">(Former name <FONT STYLE="font-size: 10pt">or</FONT> former <FONT STYLE="font-size: 10pt">address</FONT>, if changed since last report)</TD></TR>
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Check the appropriate box below if the Form 8-K filing is intended
to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

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    <TD STYLE="width: 5%; padding: 0; font-size: 10pt"><FONT STYLE="font-family: Wingdings">&#168;</FONT></TD>
    <TD STYLE="width: 95%; padding: 0; font-size: 10pt">Written communications pursuant to Rule
    425 under the Securities Act (17 CFR 230.425)</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 0; font-size: 10pt"><FONT STYLE="font-family: Wingdings">&#168;</FONT></TD>
    <TD STYLE="padding: 0; font-size: 10pt">Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 0; font-size: 10pt"><FONT STYLE="font-family: Wingdings">&#168;</FONT></TD>
    <TD STYLE="padding: 0; font-size: 10pt">Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding: 0; font-size: 10pt"><FONT STYLE="font-family: Wingdings">&#168;</FONT></TD>
    <TD STYLE="padding: 0; font-size: 10pt">Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))</TD></TR>
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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><B>&nbsp;</B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0"><B>Section 1&#9;<I>Registrant's Business and Operations</I></B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0in"><B>Item 1.01 &#9;<I>Entry
into a Material Definitive Agreement</I></B></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><U>Transaction
Agreement</U>. Blackhawk Capital Group BDC, Inc., a Delaware corporation and business development company under
the Investment Company Act of 1940 (&ldquo;Blackhawk&rdquo;) and its affiliate, The Concorde Group, Inc., a Delaware
corporation (&ldquo;Concorde&rdquo;) entered into a Transaction Agreement dated October 5, 2012 with Rosmir Capital
Corp (&quot;Rosmir&quot; or &quot;Lender&quot;) of Toronto, Canada, (the &ldquo;Transaction Agreement&rdquo;) pursuant to
which Lender will make available, on a date, no later than thirty (30) days from the date thereof, to be mutually agreed by
the parties thereto (the &ldquo;Execution Date&rdquo;) (a) a 2-year loan to Blackhawk in the amount of US$1.0 million (the
&ldquo;Blackhawk Loan&rdquo;) evidenced by a convertible note from Blackhawk to the Lender (the &ldquo;Blackhawk
Note&rdquo;), the proceeds of which will be used to pay outstanding Blackhawk invoices and registration expenses and to pay
for other working capital needs in connection with operating Blackhawk's business (see uses of Loan proceeds below), and (b)
a 2-year loan to Concorde in an amount not less than US$1.0 million (the &ldquo;Concorde Loan&rdquo;) evidenced by a senior
secured convertible note from Concorde to the Lender (the &ldquo;Concorde Note&rdquo;). The Blackhawk Note is convertible
into shares of Blackhawk common stock, US$0.00001 per share (&quot;Blackhawk Common Stock&quot;) at the initial conversion
price of US$.40 per share, subject to adjustment. The Concorde Note is convertible into shares of Concorde common stock,
US$0.00001 per share (&ldquo;Concorde Common Stock&rdquo;) at the initial conversion price of US$.50, subject to adjustment.
As security for the Concorde Loan, Concorde will pledge not less than 2,000,000 shares of Blackhawk Common Stock to Lender
pursuant to a pledge agreement between Concorde and Lender. In addition, Concorde will sell 2,000,000 shares of Blackhawk
Common Stock to Lender for US$20,000.00, which sale shall be consummated as a transaction exempt from the registration
requirements under Section 4(1) of the Securities Act of 1933, as amended (the &ldquo;Securities Act&rdquo;). Pursuant to the
Agreement, Blackhawk, with its accountant and legal counsel, and the financial support of Lender, will prepare and file
Blackhawk's delinquent Form 10-Ks and Form 10-Qs under the Securities Exchange Act of 1934, as amended (the &quot;Exchange
Act&quot;), pay delinquent bills to Blackhawk's professionals and raise capital to run Blackhawk's business.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">The Transaction Agreement
specifically provides that proceeds of the Blackhawk Loan will be used for the following purposes (subject to the parties changing
the use and/or amount of proceeds):</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<TR STYLE="vertical-align: top">
    <TD STYLE="width: 25%; padding-left: 0.5in; text-indent: 0in; font-size: 10pt; text-align: justify">$200,000</TD>
    <TD STYLE="width: 75%; padding-right: 5.4pt; padding-left: 5.4pt; text-indent: 0in; font-size: 10pt; text-align: justify">Accountants - payment of outstanding invoices; preparation of overdue Form 10-Q and Form 10-K filings through September 30, 2012; other miscellaneous activities on an as-needed basis; preparation of overdue tax filings.</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding-left: 0.5in; text-indent: 0in; font-size: 10pt; text-align: justify">$225,000</TD>
    <TD STYLE="padding-right: 5.4pt; padding-left: 5.4pt; text-indent: 0in; font-size: 10pt; text-align: justify">Blackhawk's Attorneys - payment of overdue invoices; legal fees in connection with the Transaction.</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding-left: 0.5in; text-indent: 0in; font-size: 10pt; text-align: justify">$200,000</TD>
    <TD STYLE="padding-right: 5.4pt; padding-left: 5.4pt; text-indent: 0in; font-size: 10pt; text-align: justify">Payment of past due bookkeeping expenses</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding-left: 0.5in; text-indent: 0in; font-size: 10pt; text-align: justify">$100,000</TD>
    <TD STYLE="padding-right: 5.4pt; padding-left: 5.4pt; text-indent: 0in; font-size: 10pt; text-align: justify">Payment of past due compensation to Dr. Craig A. Zabala under terms of his employment contract with Blackhawk.</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding-left: 0.5in; text-indent: 0in; font-size: 10pt; text-align: justify">$275,000</TD>
    <TD STYLE="padding-right: 5.4pt; padding-left: 5.4pt; text-indent: 0in; font-size: 10pt; text-align: justify">Working capital.</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding-left: 0.5in; text-indent: 0in; font-size: 10pt; text-decoration: underline; text-underline-style: double; text-align: justify">$1,000,000</TD>
    <TD STYLE="padding-right: 5.4pt; padding-left: 5.4pt">
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0in"><FONT STYLE="text-underline-style: double"><U>Total
Loan</U></FONT></P></TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">The Transaction Agreement
also provides that Blackhawk shall enter into the following agreements:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 1in">(a)&#9;Concorde
Investment Managers LLC, a registered investment advisor in the State of New York (&quot;CIM&quot;) which is currently 100%
owned by Concorde, by a date which is no more than sixty (60) days after the Execution Date of the Transaction Agreement (the
&ldquo;Closing Date&rdquo;), an investment advisory agreement between CIM and Blackhawk (the &ldquo;Investment Advisory
Agreement&quot;) pursuant to which CIM will assume the role of Blackhawk&rsquo;s fund manager and investment adviser. CIM
will be paid by Blackhawk, for assets under management by CIM, management fee(s) then prevailing for assets under management
and purchased by Blackhawk, less documented reasonable and customary expenses of Blackhawk, and performance fee(s) then
prevailing for assets under management and purchased by Blackhawk.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 1in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 1in">(b)&#9;On or prior to
the Closing Date Lender will purchase a 50% membership interest in CIM for $100.00 pursuant to a membership interest purchase agreement
between Concorde and the Lender (the &quot;CIM Membership Interest Purchase Agreement&quot;) pursuant to which CIM will become
a fund manager for any assets that Lender sources for Blackhawk. Pursuant to the CIM Membership Interest Purchase Agreement,<FONT STYLE="color: black">
Lender shall have the right to introduce assets for Blackhawk to purchase and own, </FONT>specifically investments qualifying as
assets under Sections 55(a)(1) through 55(a)(6) of the Investment Company Act (&quot;Qualifying Assets&quot;). Prior to receiving
any fees pursuant to the CIM Membership Interest Purchase Agreement, Lender must be in strict compliance with any and all necessary
United States Federal, State and Self-Regulatory Organizations regulations and securities laws, as well as any necessary Canadian
federal and provincial regulations and securities laws relating to its status and activities as a 50% owner of a registered investment
advisor in the State of New York.<FONT STYLE="color: navy">&nbsp;</FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">The transactions contemplated
under the Transaction Agreement are subject to the following conditions among others:</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><U>Lender Due Diligence</U>.
The Lender shall have completed its due diligence review of the financial condition, business and operations of Blackhawk to its
satisfaction.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><U>Blackhawk Stockholder
Approval</U>. The stockholders of Blackhawk shall have approved by the requisite vote under the Delaware General Corporation Law
the transactions under the Transaction Agreement and any related transaction(s), which require(s) Blackhawk stockholder approval
(e.g, the Investment Advisory Agreement).</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><U>Filing of Proxy
Materials with SEC and Distribution to Blackhawk Stockholders</U>. Blackhawk shall have filed with the SEC and distributed to its
stockholders proxy materials under Section 14 and Regulation 14A of the Exchange Act to approve the matters subject to stockholder
vote.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><U>Blackhawk Due Diligence</U>.
Blackhawk shall have completed its due diligence of the Lender to its satisfaction.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><U>Dr. Craig A. Zabala</U>.
Dr. Craig A. Zabala, current Chairman, President and Chief Executive Officer of Blackhawk, will remain Chairman and Chief Executive
Officer at Blackhawk after the Closing Date and will, upon the availability of the requisite funds, provide the staff necessary
to complete the forms and filings necessary to bring Blackhawk &ldquo;current&rdquo; with the SEC, including the 2010 and 2011
Form 10-Ks, 2011 Form 10-Qs, and the March 31, 2012, June 30, 2012 and September 30, 2012 Form 10-Qs. There can be no assurance
that Blackhawk will be able to raise the funds to make such filings and, if made, that the SEC will have no comments on such filings.
The Blackhawk Board of Directors, on behalf of Blackhawk&rsquo;s stock holders, and Dr. Zabala, will negotiate in good faith, prior
to the Closing Date, an employment agreement between him and Blackhawk in the role of Chairman and Chief Executive Officer for
a minimum extended term of at least five (5) years. In addition, Dr. Zabala will hire and employ two additional senior managers,
who will enter into two similar employment agreements with Blackhawk in the roles of President and Chief Operating Officer, respectively.
Such agreements will be negotiated and executed on or before the Closing Date. There can be no assurance that such an employment
agreement with Dr. Zabala will be consummated.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0in">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><U>Goldsmith Employment
Agreement</U>. Blackhawk will enter into a three-year employment agreement (&quot;Employment Agreement&quot;) with George H.R.
Goldsmith (&ldquo;Goldsmith&rdquo;) which will become effective only upon Blackhawk&rsquo;s closing of the sale of a minimum total
of $25 million dollars (purchase price) of Blackhawk Common Stock in either a private placement/private sales to qualified institutional
buyers and accredited investors or in a registered public offering. If and when employed, Goldsmith will be the Director of Marketing
of Blackhawk and will receive a base salary of $200,000 and may receive a bonus as well. He will also be entitled to participate
in any benefits plans sponsored by Blackhawk. In addition to standard employment termination provisions in favor of Goldsmith and
Blackhawk, Goldsmith may be terminated by Blackhawk for <I>the failure by Goldsmith, Rosmir and Rosmir&rsquo;s duly authorized representatives
(which shall include other employees of Blackhawk who were introduced to Blackhawk by Goldsmith or Rosmir, as well as other affiliates
of Rosmir), by the Introduction Deadline (as defined in the CIM Membership Interest Purchase Agreement discussed herein), <FONT STYLE="color: black">to
introduce Qualifying Assets, reasonably acceptable to Blackhawk&rsquo;s Board, for Blackhawk to purchase and own, and for CIM to
manage, </FONT>in the amount of not less than US$150 million. </I>The Employment Agreement contains standard restrictive covenants
regarding matters such as: confidential information; non-competition (one-year); non-solicitation; non-disparagement; assignment
of rights in inventions; return of documents; and blue pencil provision. (The current draft Employment Agreement, <I>which at this
time is not definitive and may change subject to negotiation and mutual agreement by the parties thereto</I>, is fully incorporated
herein by reference, as if fully set forth herein.)</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">The Transaction Agreement
provides for rescission and termination by Blackhawk and Rosmir under certain conditions and circumstances, as well as for indemnification
of certain parties, including the parties thereto, under certain conditions and circumstances.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">The Transaction Agreement
is fully incorporated herein by reference, as if fully set forth herein.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><U>Exclusivity Arrangement</U>.
Blackhawk, Concorde and Rosmir entered into an Exclusivity Arrangement dated October 5, 2012 (the &ldquo;Exclusivity Arrangement&rdquo;)
pursuant to which Lender agreed to make its reasonable best efforts to arrange a 2-year senior secured convertible note financing
in an amount of not less than US$1.0 million (i.e., the Concorde Loan) for Concorde, as well as arrange a related, similar US$1.0
million 2-year convertible note financing (i.e., the Blackhawk Loan, and together with the Concorde Loan, the &quot;Loans&quot;).
The details of the Loans and the various other arrangements relating to the Loans are substantively as set out in the documents
attached to the Exclusivity Arrangement, though such documents remain subject to completion on terms and conditions mutually agreeable
to Rosmir, Concorde and Blackhawk (the &quot;Definitive Documents&quot;).</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">Blackhawk agreed in
the Exclusivity Arrangement with Rosmir that from October 5, 2012 until the earliest of: (a) the mutual agreement by the parties
thereto not to pursue completion and execution of the Definitive Documents, (b) the Closing Date, and (c) December 4, 2012 (such
period being referred to as the &quot;Exclusivity Period&quot;), Concorde and Blackhawk would not, and would cause their respective
affiliates and/or subsidiaries (collectively, the &quot;Affiliates&quot;) and any other persons acting on their behalf, not to,
directly or indirectly, solicit, negotiate or provide information with respect to, facilitate or accept any binding or non-binding
offers for, or enter into any agreement with respect to, any financing or investment in lieu of the Loans, with terms and conditions
materially and substantively similar to the terms and conditions described in Section 1.4(b) of the Transaction Agreement (&quot;Alternative
Financing&quot;), and would suspend any existing activities or discussions with any party regarding Alternative Financing. Concorde
or Blackhawk also agreed to promptly advise Lender of any unsolicited inquiry or proposal relating to an Alternative Financing
which may be received by Concorde or Blackhawk or their Affiliates subsequent to October 4, 2012.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">Notwithstanding the
foregoing, under the Exclusivity Arrangement, Concorde and Blackhawk are able to entertain and consider inquiries or proposals
with respect to any financing/investment, and, in connection therewith, engage in discussions and negotiations with, and provide
information to, third parties in connection with such financing/investment, so long as the terms and conditions of such financing/investment
are not materially and substantively similar to the terms and conditions described in Section 1.4(b) of the Transaction Agreement
(&ldquo;Other Financing&rdquo;). Moreover, Blackhawk, in addition to the Blackhawk Loan, may seek and is currently seeking, Other
Financing in an amount not exceeding US$1.5 million for the payment of additional past due payables and working capital needs,
but agreed not to do so, and not to close any such fund-raising, under the terms and conditions reflected in Section 1.4(b) of
the Transaction Agreement.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">In the Exclusivity
Arrangement, Concorde, Blackhawk and their Affiliates (the &quot;Indemnifying Persons&quot;) agreed to indemnify Lender and its
officers, directors, employees, advisers and agents (each an &quot;Indemnified Person&quot;) and hold each of them harmless from
and against all losses, costs, expenses (including, without limitation, all professional fees) and damages (collectively, &quot;Losses&quot;)
to which an Indemnified Person may become subject in connection with any material breach of any representation, warranty, covenant
or other obligation under the Exclusivity Arrangement by the Indemnifying Persons; <U>provided</U>, <U>however</U>, that (a) the
Indemnifying Persons are not liable to any Indemnified Person to the extent that any such Losses result from the fraud, gross negligence
or willful misconduct of Rosmir or any other Indemnified Person under the Exclusivity Agreement and/or under the Definitive Documents,
(b) the Indemnifying Persons are not liable to any Indemnified Person in any case to the extent that any such Losses result after
the expiration of the Exclusivity Period if during such Exclusivity Period Rosmir has not issued a Financing Commitment with terms
and conditions substantially similar to the terms and conditions contained in the Definitive Documents to Concorde and/or Blackhawk,
and (c) the Indemnifying Persons are not liable to any Indemnified Person in any case if during such Exclusivity Period the Indemnifying
Persons have fully completed their obligations under the Exclusivity Agreement and under the Definitive Documents; and provided
further that under no circumstances whatsoever are aggregate Losses to exceed the aggregate amount of the Loans.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">If Rosmir issues a
Financing Commitment with terms and conditions substantially similar to the terms and conditions contained in the Definitive Documents
to Concorde and/or Blackhawk during the Exclusivity Period, and if Concorde and/or Blackhawk complete an Alternative Financing
during the Exclusivity Period or within 10 months thereafter, Concorde and/or Blackhawk have agreed to immediately pay Rosmir a
break-up fee in an amount equal to US$126,600, as compensation for, and as a genuine estimate of, the losses and damages incurred
by Rosmir as a result thereof.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">Section 1.4(b) of the
Transaction Agreement, which is referred to several times in the Exclusivity Arrangement, relates to Lender purchasing a 50% interest
in CIM for $100.00 pursuant to the CIM Membership Interest Purchase Agreement and pursuant to which CIM will become a fund manager
for any assets that the Lender sources for Blackhawk. Pursuant to the CIM Membership Interest Purchase Agreement, Lender shall
have the right to introduce assets for Blackhawk to purchase and own, specifically Qualifying Assets. Lender will be paid by Blackhawk
for any assets that Lender sources either directly or through third parties (&quot;Purchaser Sourced Assets&quot;) management fee(s)
then prevailing for assets under management and purchased by Blackhawk, less documented reasonable and customary expenses of Blackhawk,
and performance fee(s) then prevailing for assets under management and purchased by Blackhawk, as detailed in the Investment Advisory
Agreement, it being understood by all parties that CIM will pay Lender only fifty percent (50.0%) of any prevailing management
fees, after the deduction of documented reasonable and customary expenses of Blackhawk, and only fifty percent (50.0%) of any prevailing
performance fees which fees are received by CIM from Blackhawk resulting from the purchase of assets by Blackhawk which are not
Purchaser Sourced Assets, as detailed in the CIM Membership Interest Purchase Agreement.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">The Exclusivity Arrangement
and the CIM Membership Interest Purchase Agreement are fully incorporated herein by reference, as if fully set forth herein.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"></P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify"><FONT STYLE="font-weight: normal">&nbsp;</FONT></P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">SIGNATURES</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">Pursuant to the requirements of the Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">&nbsp;&nbsp;</P>

<TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
<TR STYLE="vertical-align: top">
    <TD ROWSPAN="3" STYLE="padding-right: 5.4pt; padding-bottom: 6pt; padding-left: 5.4pt; font-size: 10pt">Date: &nbsp;October 8, 2012</TD>
    <TD COLSPAN="2" STYLE="padding-right: 5.4pt; padding-left: 5.4pt">
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">BLACKHAWK CAPITAL GROUP BDC, INC.</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>
        <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P></TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding-top: 6pt; padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt">By:</TD>
    <TD STYLE="border-bottom: windowtext 1pt solid; padding-top: 6pt; padding-right: 5.4pt; padding-left: 5.4pt; font-size: 10pt">/s/ Craig A. Zabala</TD></TR>
<TR STYLE="vertical-align: top">
    <TD STYLE="padding-right: 5.4pt; padding-bottom: 6pt; padding-left: 5.4pt; font-size: 10pt">&nbsp;</TD>
    <TD STYLE="padding-right: 5.4pt; padding-bottom: 6pt; padding-left: 5.4pt; font-size: 10pt">Craig A. Zabala<BR> Chief Executive Officer</TD></TR>
</TABLE>
<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>



<P STYLE="margin: 0"></P>

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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM 8-K
CURRENT
REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported):
October 5, 2012
blackhawk
capital group bdc, inc.
(Exact name of registrant as specified
in its charter)
Delaware
(State or Other Jurisdiction of Incorporation)
814-00678
(Commission File Number)
20-1031329
(IRS Employer Identification
        No.)
880 Third Avenue, 12
th
Floor
New York, New York
(Address of principal executive offices)
10022
(Zip Code)
Registrant's
telephone
number, including area code:
(917) 338-7710
Not Applicable
(Former name
or
former
address
, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended
to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
¨
Written communications pursuant to Rule
    425 under the Securities Act (17 CFR 230.425)
¨
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
¨
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
¨
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Section 1
Registrant's Business and Operations
Item 1.01
Entry
into a Material Definitive Agreement
Transaction
Agreement
. Blackhawk Capital Group BDC, Inc., a Delaware corporation and business development company under
the Investment Company Act of 1940 ("Blackhawk") and its affiliate, The Concorde Group, Inc., a Delaware
corporation ("Concorde") entered into a Transaction Agreement dated October 5, 2012 with Rosmir Capital
Corp ("Rosmir" or "Lender") of Toronto, Canada, (the "Transaction Agreement") pursuant to
which Lender will make available, on a date, no later than thirty (30) days from the date thereof, to be mutually agreed by
the parties thereto (the "Execution Date") (a) a 2-year loan to Blackhawk in the amount of US$1.0 million (the
"Blackhawk Loan") evidenced by a convertible note from Blackhawk to the Lender (the "Blackhawk
Note"), the proceeds of which will be used to pay outstanding Blackhawk invoices and registration expenses and to pay
for other working capital needs in connection with operating Blackhawk's business (see uses of Loan proceeds below), and (b)
a 2-year loan to Concorde in an amount not less than US$1.0 million (the "Concorde Loan") evidenced by a senior
secured convertible note from Concorde to the Lender (the "Concorde Note"). The Blackhawk Note is convertible
into shares of Blackhawk common stock, US$0.00001 per share ("Blackhawk Common Stock") at the initial conversion
price of US$.40 per share, subject to adjustment. The Concorde Note is convertible into shares of Concorde common stock,
US$0.00001 per share ("Concorde Common Stock") at the initial conversion price of US$.50, subject to adjustment.
As security for the Concorde Loan, Concorde will pledge not less than 2,000,000 shares of Blackhawk Common Stock to Lender
pursuant to a pledge agreement between Concorde and Lender. In addition, Concorde will sell 2,000,000 shares of Blackhawk
Common Stock to Lender for US$20,000.00, which sale shall be consummated as a transaction exempt from the registration
requirements under Section 4(1) of the Securities Act of 1933, as amended (the "Securities Act"). Pursuant to the
Agreement, Blackhawk, with its accountant and legal counsel, and the financial support of Lender, will prepare and file
Blackhawk's delinquent Form 10-Ks and Form 10-Qs under the Securities Exchange Act of 1934, as amended (the "Exchange
Act"), pay delinquent bills to Blackhawk's professionals and raise capital to run Blackhawk's business.
The Transaction Agreement
specifically provides that proceeds of the Blackhawk Loan will be used for the following purposes (subject to the parties changing
the use and/or amount of proceeds):
$200,000
Accountants - payment of outstanding invoices; preparation of overdue Form 10-Q and Form 10-K filings through September 30, 2012; other miscellaneous activities on an as-needed basis; preparation of overdue tax filings.
$225,000
Blackhawk's Attorneys - payment of overdue invoices; legal fees in connection with the Transaction.
$200,000
Payment of past due bookkeeping expenses
$100,000
Payment of past due compensation to Dr. Craig A. Zabala under terms of his employment contract with Blackhawk.
$275,000
Working capital.
$1,000,000
Total
Loan
The Transaction Agreement
also provides that Blackhawk shall enter into the following agreements:
(a)	Concorde
Investment Managers LLC, a registered investment advisor in the State of New York ("CIM") which is currently 100%
owned by Concorde, by a date which is no more than sixty (60) days after the Execution Date of the Transaction Agreement (the
"Closing Date"), an investment advisory agreement between CIM and Blackhawk (the "Investment Advisory
Agreement") pursuant to which CIM will assume the role of Blackhawk's fund manager and investment adviser. CIM
will be paid by Blackhawk, for assets under management by CIM, management fee(s) then prevailing for assets under management
and purchased by Blackhawk, less documented reasonable and customary expenses of Blackhawk, and performance fee(s) then
prevailing for assets under management and purchased by Blackhawk.
(b)	On or prior to
the Closing Date Lender will purchase a 50% membership interest in CIM for $100.00 pursuant to a membership interest purchase agreement
between Concorde and the Lender (the "CIM Membership Interest Purchase Agreement") pursuant to which CIM will become
a fund manager for any assets that Lender sources for Blackhawk. Pursuant to the CIM Membership Interest Purchase Agreement,
Lender shall have the right to introduce assets for Blackhawk to purchase and own,
specifically investments qualifying as
assets under Sections 55(a)(1) through 55(a)(6) of the Investment Company Act ("Qualifying Assets"). Prior to receiving
any fees pursuant to the CIM Membership Interest Purchase Agreement, Lender must be in strict compliance with any and all necessary
United States Federal, State and Self-Regulatory Organizations regulations and securities laws, as well as any necessary Canadian
federal and provincial regulations and securities laws relating to its status and activities as a 50% owner of a registered investment
advisor in the State of New York.
The transactions contemplated
under the Transaction Agreement are subject to the following conditions among others:
Lender Due Diligence
.
The Lender shall have completed its due diligence review of the financial condition, business and operations of Blackhawk to its
satisfaction.
Blackhawk Stockholder
Approval
. The stockholders of Blackhawk shall have approved by the requisite vote under the Delaware General Corporation Law
the transactions under the Transaction Agreement and any related transaction(s), which require(s) Blackhawk stockholder approval
(e.g, the Investment Advisory Agreement).
Filing of Proxy
Materials with SEC and Distribution to Blackhawk Stockholders
. Blackhawk shall have filed with the SEC and distributed to its
stockholders proxy materials under Section 14 and Regulation 14A of the Exchange Act to approve the matters subject to stockholder
vote.
Blackhawk Due Diligence
.
Blackhawk shall have completed its due diligence of the Lender to its satisfaction.
Dr. Craig A. Zabala
.
Dr. Craig A. Zabala, current Chairman, President and Chief Executive Officer of Blackhawk, will remain Chairman and Chief Executive
Officer at Blackhawk after the Closing Date and will, upon the availability of the requisite funds, provide the staff necessary
to complete the forms and filings necessary to bring Blackhawk "current" with the SEC, including the 2010 and 2011
Form 10-Ks, 2011 Form 10-Qs, and the March 31, 2012, June 30, 2012 and September 30, 2012 Form 10-Qs. There can be no assurance
that Blackhawk will be able to raise the funds to make such filings and, if made, that the SEC will have no comments on such filings.
The Blackhawk Board of Directors, on behalf of Blackhawk's stock holders, and Dr. Zabala, will negotiate in good faith, prior
to the Closing Date, an employment agreement between him and Blackhawk in the role of Chairman and Chief Executive Officer for
a minimum extended term of at least five (5) years. In addition, Dr. Zabala will hire and employ two additional senior managers,
who will enter into two similar employment agreements with Blackhawk in the roles of President and Chief Operating Officer, respectively.
Such agreements will be negotiated and executed on or before the Closing Date. There can be no assurance that such an employment
agreement with Dr. Zabala will be consummated.
Goldsmith Employment
Agreement
. Blackhawk will enter into a three-year employment agreement ("Employment Agreement") with George H.R.
Goldsmith ("Goldsmith") which will become effective only upon Blackhawk's closing of the sale of a minimum total
of $25 million dollars (purchase price) of Blackhawk Common Stock in either a private placement/private sales to qualified institutional
buyers and accredited investors or in a registered public offering. If and when employed, Goldsmith will be the Director of Marketing
of Blackhawk and will receive a base salary of $200,000 and may receive a bonus as well. He will also be entitled to participate
in any benefits plans sponsored by Blackhawk. In addition to standard employment termination provisions in favor of Goldsmith and
Blackhawk, Goldsmith may be terminated by Blackhawk for
the failure by Goldsmith, Rosmir and Rosmir's duly authorized representatives
(which shall include other employees of Blackhawk who were introduced to Blackhawk by Goldsmith or Rosmir, as well as other affiliates
of Rosmir), by the Introduction Deadline (as defined in the CIM Membership Interest Purchase Agreement discussed herein),
to
introduce Qualifying Assets, reasonably acceptable to Blackhawk's Board, for Blackhawk to purchase and own, and for CIM to
manage,
in the amount of not less than US$150 million.
The Employment Agreement contains standard restrictive covenants
regarding matters such as: confidential information; non-competition (one-year); non-solicitation; non-disparagement; assignment
of rights in inventions; return of documents; and blue pencil provision. (The current draft Employment Agreement,
which at this
time is not definitive and may change subject to negotiation and mutual agreement by the parties thereto
, is fully incorporated
herein by reference, as if fully set forth herein.)
The Transaction Agreement
provides for rescission and termination by Blackhawk and Rosmir under certain conditions and circumstances, as well as for indemnification
of certain parties, including the parties thereto, under certain conditions and circumstances.
The Transaction Agreement
is fully incorporated herein by reference, as if fully set forth herein.
Exclusivity Arrangement
.
Blackhawk, Concorde and Rosmir entered into an Exclusivity Arrangement dated October 5, 2012 (the "Exclusivity Arrangement")
pursuant to which Lender agreed to make its reasonable best efforts to arrange a 2-year senior secured convertible note financing
in an amount of not less than US$1.0 million (i.e., the Concorde Loan) for Concorde, as well as arrange a related, similar US$1.0
million 2-year convertible note financing (i.e., the Blackhawk Loan, and together with the Concorde Loan, the "Loans").
The details of the Loans and the various other arrangements relating to the Loans are substantively as set out in the documents
attached to the Exclusivity Arrangement, though such documents remain subject to completion on terms and conditions mutually agreeable
to Rosmir, Concorde and Blackhawk (the "Definitive Documents").
Blackhawk agreed in
the Exclusivity Arrangement with Rosmir that from October 5, 2012 until the earliest of: (a) the mutual agreement by the parties
thereto not to pursue completion and execution of the Definitive Documents, (b) the Closing Date, and (c) December 4, 2012 (such
period being referred to as the "Exclusivity Period"), Concorde and Blackhawk would not, and would cause their respective
affiliates and/or subsidiaries (collectively, the "Affiliates") and any other persons acting on their behalf, not to,
directly or indirectly, solicit, negotiate or provide information with respect to, facilitate or accept any binding or non-binding
offers for, or enter into any agreement with respect to, any financing or investment in lieu of the Loans, with terms and conditions
materially and substantively similar to the terms and conditions described in Section 1.4(b) of the Transaction Agreement ("Alternative
Financing"), and would suspend any existing activities or discussions with any party regarding Alternative Financing. Concorde
or Blackhawk also agreed to promptly advise Lender of any unsolicited inquiry or proposal relating to an Alternative Financing
which may be received by Concorde or Blackhawk or their Affiliates subsequent to October 4, 2012.
Notwithstanding the
foregoing, under the Exclusivity Arrangement, Concorde and Blackhawk are able to entertain and consider inquiries or proposals
with respect to any financing/investment, and, in connection therewith, engage in discussions and negotiations with, and provide
information to, third parties in connection with such financing/investment, so long as the terms and conditions of such financing/investment
are not materially and substantively similar to the terms and conditions described in Section 1.4(b) of the Transaction Agreement
("Other Financing"). Moreover, Blackhawk, in addition to the Blackhawk Loan, may seek and is currently seeking, Other
Financing in an amount not exceeding US$1.5 million for the payment of additional past due payables and working capital needs,
but agreed not to do so, and not to close any such fund-raising, under the terms and conditions reflected in Section 1.4(b) of
the Transaction Agreement.
In the Exclusivity
Arrangement, Concorde, Blackhawk and their Affiliates (the "Indemnifying Persons") agreed to indemnify Lender and its
officers, directors, employees, advisers and agents (each an "Indemnified Person") and hold each of them harmless from
and against all losses, costs, expenses (including, without limitation, all professional fees) and damages (collectively, "Losses")
to which an Indemnified Person may become subject in connection with any material breach of any representation, warranty, covenant
or other obligation under the Exclusivity Arrangement by the Indemnifying Persons;
provided
,
however
, that (a) the
Indemnifying Persons are not liable to any Indemnified Person to the extent that any such Losses result from the fraud, gross negligence
or willful misconduct of Rosmir or any other Indemnified Person under the Exclusivity Agreement and/or under the Definitive Documents,
(b) the Indemnifying Persons are not liable to any Indemnified Person in any case to the extent that any such Losses result after
the expiration of the Exclusivity Period if during such Exclusivity Period Rosmir has not issued a Financing Commitment with terms
and conditions substantially similar to the terms and conditions contained in the Definitive Documents to Concorde and/or Blackhawk,
and (c) the Indemnifying Persons are not liable to any Indemnified Person in any case if during such Exclusivity Period the Indemnifying
Persons have fully completed their obligations under the Exclusivity Agreement and under the Definitive Documents; and provided
further that under no circumstances whatsoever are aggregate Losses to exceed the aggregate amount of the Loans.
If Rosmir issues a
Financing Commitment with terms and conditions substantially similar to the terms and conditions contained in the Definitive Documents
to Concorde and/or Blackhawk during the Exclusivity Period, and if Concorde and/or Blackhawk complete an Alternative Financing
during the Exclusivity Period or within 10 months thereafter, Concorde and/or Blackhawk have agreed to immediately pay Rosmir a
break-up fee in an amount equal to US$126,600, as compensation for, and as a genuine estimate of, the losses and damages incurred
by Rosmir as a result thereof.
Section 1.4(b) of the
Transaction Agreement, which is referred to several times in the Exclusivity Arrangement, relates to Lender purchasing a 50% interest
in CIM for $100.00 pursuant to the CIM Membership Interest Purchase Agreement and pursuant to which CIM will become a fund manager
for any assets that the Lender sources for Blackhawk. Pursuant to the CIM Membership Interest Purchase Agreement, Lender shall
have the right to introduce assets for Blackhawk to purchase and own, specifically Qualifying Assets. Lender will be paid by Blackhawk
for any assets that Lender sources either directly or through third parties ("Purchaser Sourced Assets") management fee(s)
then prevailing for assets under management and purchased by Blackhawk, less documented reasonable and customary expenses of Blackhawk,
and performance fee(s) then prevailing for assets under management and purchased by Blackhawk, as detailed in the Investment Advisory
Agreement, it being understood by all parties that CIM will pay Lender only fifty percent (50.0%) of any prevailing management
fees, after the deduction of documented reasonable and customary expenses of Blackhawk, and only fifty percent (50.0%) of any prevailing
performance fees which fees are received by CIM from Blackhawk resulting from the purchase of assets by Blackhawk which are not
Purchaser Sourced Assets, as detailed in the CIM Membership Interest Purchase Agreement.
The Exclusivity Arrangement
and the CIM Membership Interest Purchase Agreement are fully incorporated herein by reference, as if fully set forth herein.
SIGNATURES
Pursuant to the requirements of the Securities
Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Date:  October 8, 2012
BLACKHAWK CAPITAL GROUP BDC, INC.
By:
/s/ Craig A. Zabala
Craig A. Zabala
Chief Executive Officer