Company: TIPT
Filing Date: 2025-10-17
Form Type: PREM14A
Source: 0001140361-25-038514
Chunk: 12

Company: TIPTREE INC.
Filing Date: 2025-10-17
Form: PREM14A
Chunk 12
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 on the part of the holder thereof, (i) each share of Fortegra common stock issued and outstanding immediately prior to the Effective Time (other than shares of Fortegra common stock that are held by (A) any holder of shares of Fortegra common stock who is entitled to demand and properly demands appraisal of such shares (the “Appraisal Shares”) pursuant to, and who complies in all respects with, the provisions of Section 262 of the DGCL or (B) Fortegra, any of its Subsidiaries or Merger Sub, if any, which in each case will be cancelled) will be converted into and thereafter evidence the right to receive, without interest, an amount in cash equal to (1) the Per Share Closing Merger Consideration (as defined in this proxy statement) plus (2) the applicable Pro Rata Percentage (as defined in the Merger Agreement) of the amount by which the amount that is held back from the consideration payable at closing for potential Additional Leakage (as defined in this proxy statement), or $8,000,000 (the “Leakage Reserve Holdback Amount”), exceeds the amount of Additional Leakage (if any) (the “Leakage Delayed Consideration”), which in the case of a holder of Fortegra common stock other than Tiptree and WP Falcon Aggregator, L.P. (the “WP Investor”) (such other Fortegra equityholders, the “Minority Investors,” and each a “Minority Investor”), will be reduced by such holder’s Pro Rata Percentage of an expense fund of $500,000 that is held back from the consideration payable at closing for expenses incurred by Tiptree and the WP Investor as Equityholders’ Representatives in connection with post-closing matters (such amount, the “Equityholders’ Representative Expense Amount”), and (ii) each share of preferred stock, par value $0.01 per share, of Fortegra, designated as Series A Preferred Stock under that certain Certificate of Designation of Series A Preferred Stock of Fortegra, dated June 21, 2022 (the “Certificate of Designation”) (“Fortegra preferred stock” and shares of Fortegra preferred stock together with shares of Fortegra common stock, “Fortegra shares”), issued and outstanding immediately prior to the Effective Time will be converted into and thereafter evidence the right to receive in cash the Series A Liquidation Preference (as defined in this proxy statement).

Pursuant to the terms of the Merger Agreement, in the event that the