Company: SSUP
Filing Date: 2025-07-30
Form Type: PREM14A
Source: 0001140361-25-027895
Chunk: 59

Company: SUPERIOR INDUSTRIES INTERNATIONAL INC
Filing Date: 2025-07-30
Form: PREM14A
Chunk 59
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 Company received five indications of interest, all bidders withdrew from the process following the disclosure of the Customer Losses. Additionally, the Transaction Committee and the Board considered that the “fiduciary out” provisions in the Merger Agreement would allow any interested third party to offer a superior proposal prior to the stockholders’ special meeting.

| • | Potential Strategic Alternatives. The Transaction Committee and the Board considered (1) potential alternatives to the Transactions, including the possibility of continuing to operate the Company as an independent entity, filing for bankruptcy protection under chapter 11 of the Bankruptcy Code, raising equity capital or obtaining additional financing and the availability and risks of such alternatives, (2) potential benefits to stockholders of the Company of these alternatives and the timing and likelihood of effecting such alternatives, including the impact to stakeholder recoveries in the absence of the Transactions, (3) the liquidity challenges facing the Company and the fact that the Term Loan Lenders were the most likely source of additional capital, (4) the likelihood that there would be no value for the holders of Common Shares and little to no value for holders of Preferred Shares in the event of a filing under chapter 11 of the Bankruptcy Code, as well as the potential impairment of relationships with other customers in a bankruptcy and potential harm to the Company’s commercial relationships resulting from bankruptcy and (5) the Transaction Committee’s and the Board’s assessment that, besides a filing under chapter 11 of the Bankruptcy Code, none of the alternatives considered by the Transaction Committee and the Board were reasonably likely to be capable of being consummated prior to the Company’s liquidity need creating the need to file under chapter 11 of the Bankruptcy Code than the Transactions. |

| • | Negotiation Process. The Transaction Committee and the Board considered the fact that the terms of the Merger Agreement were the result of arm’s-length negotiations conducted by the Company with the assistance of its financial advisor and outside legal counsel. |

| • | Capital Structure. The Transaction Committee and the Board considered the fact that, as a result of implementing the Transactions through an out-of-court structure, the Company’s funded debt (including the Series A Preferred Shares) is expected to be reduced by nearly 90%, which will provide the Company with the financial stability to execute on its strategic plan and growth strategies. |

| • | Terms of the Merger Agreement and Flexibility for a Superior Proposal. The Transaction Committee and the Board considered the terms and conditions of the Merger Agreement, including: |

| • | the Company