Company: WHWK
Filing Date: 2025-01-21
Form Type: PREM14A
Source: 0001193125-25-009599
Chunk: 77

Company: Whitehawk Therapeutics, Inc.
Filing Date: 2025-01-21
Form: PREM14A
Chunk 77
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indication of interest to acquire the FYARRO assets for: (i) a cash payment of $15.0 million at closing; (ii) a potential one-time commercial milestone cash payment of $5.0 million; and
(iii) certain ongoing royalty payments.

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On September 16, 2024, Aadi’s board of directors held a virtual meeting, with Aadi management and
representatives of Leerink Partners and Wilson Sonsini in attendance, to discuss the status of the strategic process, including the five non-binding indications of interest received to date and the email bid
from Bidder E. Representatives of Leerink Partners provided an overview of each non-binding indication of interest and the email bid from Bidder E, discussing, among other factors, the consideration offered by each bidder, due diligence activities
to date by each bidder, and assessments of each bidder’s financial strength, ability to sign and close expeditiously, and ability to successfully continue to commercialize FYARRO for the benefit of patients and any potential earnouts, and
answered questions from Aadi’s board of directors related to the same. Aadi’s board of directors then considered and deliberated regarding potential transaction structures and which potential transaction structure would be most beneficial
to Aadi and its stockholders: either a sale of the whole company, or a sale of the FYARRO assets or a stock sale of Aadi Sub which houses the agreements, assets, employees, intellectual property, and license agreement to commercialize FYARRO. It was
noted that Aadi had received one bid for a sale of the whole company, which was significantly less attractive and competitive when compared to the other bids which proposed alternative transaction structures. It was also noted that, despite the fact
that buyers of the FYARRO assets were likely to insist on indemnity of some kind, whether as part of an asset sale or an acquisition of Aadi Sub, the consideration being proposed by potential acquirors in such structure was nonetheless significantly
higher than the consideration being proposed in the bid to acquire the whole company. Based on this evaluation, Aadi’s board of directors instructed Leerink Partners to provide feedback to the bidders regarding their indications of interest,
with Bidder B advancing into confirmatory due diligence and Bidder A, Bidder C, Bidder D, Bidder E, and Bidder F being asked to improve their proposals in order to advance in the process. On September 17, 2024, representatives of Leerink