Company: WHWK
Filing Date: 2025-01-31
Form Type: DEFM14A
Source: 0001193125-25-018470
Chunk: 84

Company: Whitehawk Therapeutics, Inc.
Filing Date: 2025-01-31
Form: DEFM14A
Chunk 84
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’s

management team and Leerink Partners at Aadi’s California facilities.

On November 20, 2024, at the direction of Aadi, representatives of Leerink Partners shared a revised draft of the Bidder B APA with representatives of
Bidder B. Among other things, the revised draft proposed a termination fee of 2.75% that Aadi would be liable to pay in specified circumstances, an aggregate equity commitment equal to the full transaction consideration, and the removal of the
concurrent closing of the debt financing as a prerequisite to Aadi’s right of specific performance. The draft also substantially revised Bidder B’s proposed closing conditions requiring amendments and negotiations of third party agreements
to ensure a high certainty of closing.

On November 28, 2024, representatives of Nomura delivered to representatives of Leerink Partners (i) a
revised non-binding indication of interest, approved by Kaken Parent’s board of directors, pursuant to which Kaken (or an affiliate) would acquire the FYARRO business by purchasing Aadi Sub for cash
consideration at closing of $85 million (payable from Kaken Parent’s balance sheet), on a debt-free and cash-free basis (the “Kaken November 28 Proposal”), and (ii) a revised draft of the Divestiture Agreement. Among
other things, the revised draft of the Divestiture Agreement proposed a termination fee that Aadi would be liable to pay in specified circumstances equal to approximately $6 million; post-closing indemnification for breaches of Aadi’s
representations and warranties; an indemnity escrow fund equal to 15% of the $85 million base purchase price; a price adjustment escrow fund in an amount not specified; a closing condition that certain
pre-closing restructuring transactions between Aadi and Aadi Sub (collectively, the “Pre-Closing Restructuring”) be completed prior to closing; and a closing
condition that certain employees will have agreed to remain with Aadi Sub as of and after the closing (collectively, the “Retained Employees”). The revised draft of the Divestiture Agreement also contemplated that certain stockholders, in
addition to Aadi’s directors and officers, would sign Support Agreements with respect to the transaction.

Later that same day, representatives of
Nomura and Leerink Partners met via videoconference and discussed the Kaken November 28 Proposal and the revised draft of the Divestiture Agreement, certain process and timing points, and Kaken Parent’s open due