Company: TRUE
Filing Date: 2025-11-24
Form Type: DEFM14A
Source: 0001104659-25-115451
Chunk: 88

Company: TrueCar, Inc.
Filing Date: 2025-11-24
Form: DEFM14A
Chunk 88
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 support agreement in support of a transaction involving the Company or otherwise participating in such a transaction prior to a public announcement by the Company.

On August 4, 2025, the Board met with representatives of management in attendance. During the meeting, Mr. Reigersman provided the Board with an update on the proposed transaction, including various considerations expressed by Fair and members its of financing consortium.

On August 5, 2025, representatives of Fair and Perkins met with Mr. Reigersman and representatives of Alston to discuss the terms of the draft Merger Agreement. Among other things, Fair proposed reciprocal termination fees of $10 million and an obligation for the Company to reimburse the out-of-pocket expenses of Fair if the Company Stockholders did not approve the transaction. Perkins further proposed that the Company have the ability to actively solicit alternative acquisition proposals for a period of thirty (30) days after entering into the Merger Agreement, but without any reduction in the termination fee payable by a party making an acquisition proposal during that period. The parties also discussed other provisions of the draft Merger Agreement and related documentation, including the treatment of unvested employee equity awards, alternative structures to an escrow arrangement that would provide the Company with assurance regarding the collectability of the reverse termination fee, if payable, as well as the availability of the Company’s cash balance to finance the payment of the merger consideration to the Company Stockholders at closing.

On August 11, 2025, representatives of Fair, Perkins and B. Riley met with Mr. Reigersman, Mr. Foley and Mr. Swart, as well as representatives of Morgan Stanley and Alston to discuss the status of Fair’s dialogue with Stockholder B. The parties provided updates on their various attempts to open a dialogue with Stockholder B regarding its interest in providing equity financing in connection with a potential acquisition of the Company by Fair. Representatives of Fair also provided a summary overview of potential structures to acquire control of the Company if sufficient financing was not available to pay merger consideration of $2.80 per share to all of the Company Stockholders. At the direction of the Board, representatives of Morgan Stanley noted that the Board would likely be skeptical of a transaction that failed to offer a control premium to all of the Company Stockholders, and that Fair should continue to focus its efforts on a transaction offering a control premium to all of the Company Stockholders.

Later on August 11, 2025, Mr. Reigersman spoke with a representative of Stockholder B regarding Stockholder B’s interest