Company: CWAN
Filing Date: 2025-02-11
Form Type: S-4
Source: 0001193125-25-023759
Chunk: 20

Company: Clearwater Analytics Holdings, Inc.
Filing Date: 2025-02-11
Form: S-4
Chunk 20
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 tax purposes upon the exchange of Enfusion Common Stock for shares of Clearwater Common Stock pursuant to the Merger, except, and to the extent of, the cash Merger Consideration (and in connection with cash in lieu of fractional
shares of Clearwater Common Stock) received by such Enfusion Stockholder.

However, it is possible that the value of Clearwater Common
Stock (determined on the second to last trading day prior to, but not including, the Closing Date) will not be sufficient for the “continuity of interest” requirement to be satisfied. In that case, the Corporate Mergers would not qualify
as a “reorganization” under Section 368(a) of the Code, and it is not intended that the Second Merger is completed. Accordingly, the Merger would be completed, and the receipt of the Merger Consideration would be treated as a taxable
transaction.

In addition, the U.S. federal income tax consequences to a U.S. Holder generally will depend on whether such U.S. Holder
exchanges its shares of Enfusion Common Stock solely for Clearwater Common Stock (i.e., Per Share Stock Consideration), solely for cash Merger Consideration (i.e., Per Share Cash Consideration) or for a combination of Clearwater Common Stock and
cash Merger Consideration (i.e., Per Share Mixed Consideration).

U.S. Holders’ Merger Consideration elections are subject to
proration according to the terms of the Merger Agreement to the extent any election is oversubscribed, such that U.S. Holders that elect to receive solely Per Share Stock Consideration or Per Share Cash Consideration may receive Per Share Mixed
Consideration, for example. U.S. Holders are encouraged to consult their own tax advisors regarding the tax consequences of receiving any particular mix of Clearwater Common Stock and cash Merger Consideration, regardless of their elections, as a
result.

In certain circumstances, an Enfusion Stockholder could be treated as receiving a dividend in an amount up to the cash Merger
Consideration (including any cash in lieu of a fractional share of Clearwater Common Stock) received by such Enfusion Stockholder. As a result, a Non-U.S. Holder (as defined in the section titled “The
Transactions—Material U.S. Federal Income Tax Consequences of the Corporate Mergers”) may be subject to U.S. federal withholding tax at a rate of 30% (or such lower rate as may be specified by