Company: STAA
Filing Date: 2025-09-16
Form Type: DEFM14A
Source: 0001193125-25-204396
Chunk: 70

Company: STAAR SURGICAL CO
Filing Date: 2025-09-16
Form: DEFM14A
Chunk 70
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 the Board engaged in further discussions regarding the value represented by Alcon’s proposed offer, as well as potential risks and benefits of remaining a standalone company or
pursuing alternative transactions. Among other things, the Board discussed the importance of merger agreement terms that would afford STAAR a reasonable degree of certainty that the transaction would be consummated and flexibility to enable the
Board to consider alternative proposals that could emerge and potentially be more favorable than Alcon’s proposal. Following this discussion, the Board determined that it was in the best interests of STAAR and its stockholders to continue
discussions with Alcon, and it authorized Mr. Farrell to move forward to complete due diligence and negotiate the terms of the merger agreement based on the indicative price of $28.00 per share.

Later on July 18, 2025, Mr. Farrell contacted Mr. Endicott to advise him that the Board had agreed to move forward with due
diligence, but that the Board remained focused on the terms of the merger agreement, including ensuring (i) sufficient flexibility to enable the Board to consider alternative acquisition proposals if any should emerge after the merger agreement
was executed, (ii) that no termination fee would be payable by STAAR if its stockholders did not approve the merger and (iii) appropriate covenants related to regulatory approvals. Also on July 18, 2025, Mr. Farrell countersigned
the non-binding July 12 Offer.

On July 20 and July 21, 2025, representatives of
Wachtell Lipton provided representatives of Gibson, Dunn & Crutcher LLP, Alcon’s legal counsel (“Gibson Dunn”), with an updated draft of the merger agreement and an initial draft of the confidential disclosure schedules,
and the parties continued to negotiate the terms of the transaction.

The revised draft merger agreement that Wachtell Lipton prepared
provided that (i) Alcon would be required to agree and commit to remedial actions in order to obtain any requisite regulatory approvals unless they

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would have a “material adverse effect” on STAAR and its subsidiaries or Alcon and its controlled affiliates (with materiality measured by reference to the size of STAAR), (ii) Alcon
would be required to make a payment to STAAR equal to approximately 8% of the implied equity value of the transaction (approximately $116 million) if the merger agreement was terminated in certain circumstances related to the failure to receive
certain required regulatory approvals, (iii)