Company: WHWK
Filing Date: 2025-01-21
Form Type: PREM14A
Source: 0001193125-25-009599
Chunk: 164

Company: Whitehawk Therapeutics, Inc.
Filing Date: 2025-01-21
Form: PREM14A
Chunk 164
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 the PIPE Financing (but had not been involved in pricing negotiations, which were being led by independent third-party lead investors). Following discussion, the
PIPE Pricing Committee directed Aadi’s management team and Jefferies to continue to attempt to negotiate a higher price with the independent third party lead investors for the PIPE Financing that was as close as possible to the estimated
dissolution value.

On December 13, 2024, the PIPE Pricing Committee held a virtual meeting with Aadi’s management and representatives of
Jefferies and Wilson Sonsini. At the meeting, representatives of Jefferies provided an update on investor demand and the current syndicate for the PIPE Financing and also summarized the number of investors contacted (54) and the rationale and
strategy for targeting such investors, the number of investors wall-crossed (48), and the number of management meetings held with investors (31). Representatives of Jefferies also discussed recent price discovery discussions for the PIPE Financing,
noting there had been significant resistance to pricing the PIPE Financing at a substantial premium to the then-current market price ($2.41 as of close of trading on December 12, 2024), notwithstanding potential value attributable to the
proposed sale of the FYARRO business, from the unaffiliated third party investors leading such discussions with Jefferies. The PIPE Pricing Committee and representatives of Jefferies further discussed the foregoing matters and also, among other
things, the reported difficulty of pricing the PIPE Financing close to the estimated dissolution value due to the preclinical stage of the ADC Programs; the desire of unaffiliated third party investors to sign and announce the definitive agreement
for the sale of the FYARRO business, the License Agreement and the PIPE Financing simultaneously; the likely difficulty of holding the investor syndicate together for any period of time following the announcement of the definitive agreement for the
sale of the FYARRO business if the License Agreement and the PIPE Financing were not contemporaneously signed; the potential that the announcement of the definitive agreement for the sale of the FYARRO business might not significantly increase
Aadi’s stock price; the potential of moving forward with the License Agreement in the absence of the PIPE Financing and related risks, particularly the lack of external validation from PIPE Financing investors of the investment thesis for the
ADC Programs; and the potential that any financing occurring after the completion of the sale of the FYARRO business and the execution of the License Agreement would likely be at a substantial discount to the then-current market price of the stock
anyway