Company: WHWK
Filing Date: 2025-01-31
Form Type: DEFM14A
Source: 0001193125-25-018470
Chunk: 81

Company: Whitehawk Therapeutics, Inc.
Filing Date: 2025-01-31
Form: DEFM14A
Chunk 81
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 revised non-binding indication of interest (the “Bidder B October 22 Proposal”) to acquire the FYARRO business in an all-cash transaction structured as an asset purchase, with up-front consideration at closing of $80 million. Such consideration would be financed through Bidder B’s
existing balance sheet cash, debt from its existing lenders, and new equity from its private equity sponsor. At this time, representatives of Bidder B summarized open due diligence items and also requested Aadi’s consent under Bidder B’s
confidentiality agreement to share confidential information with Bidder B’s lender base (which Aadi provided). Concurrently with the delivery of the Bidder B October 22 Proposal, representatives of Bidder B shared with representatives of
Leerink Partners a revised draft of the Bidder B APA which proposed a number of changes, including with respect to: adding certain closing conditions requiring amendments and negotiations of third party agreements; adding certain covenants relating
to Bidder B’s proposed debt and equity financing arrangements, including a reverse termination fee equal to 5.5% of the base purchase price in the event that the transaction does not close due to a financing failure; and specifying a
termination fee equal to 5.5% of the base purchase price that Aadi would be liable to pay in customary circumstances, including in the event that Aadi’s board of directors were to change its recommendation or accept a superior proposal from a
third party; and adding provisions implying Bidder B would be seeking third party debt financing in order to be able to consummate the transaction.

On
that same day, Bidder E submitted a revised non-binding indication of interest to acquire the FYARRO assets for cash consideration at closing of $65 million, on a cash-free, debt-free basis (the
“Bidder E October 22 Proposal”).

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On October 24, 2024, representatives of Leerink Partners and Bidder B met via videoconference to
discuss Bidder B’s proposed revisions to the Bidder B APA.

On October 25, 2024, Aadi’s board of directors held a virtual meeting, with
representatives of Aadi’s management team, Leerink Partners and Wilson Sonsini in attendance, to discuss the strategic process. At the meeting, representatives of Leerink Partners summarized the terms of the then-pending indications of
interest, including the Kaken October 17 Proposal, the Bidder B October 22 Proposal, and the Bidder E