Company: TIPT
Filing Date: 2025-10-17
Form Type: PREM14A
Source: 0001140361-25-038514
Chunk: 91

Company: TIPTREE INC.
Filing Date: 2025-10-17
Form: PREM14A
Chunk 91
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egra as a condition to further engagement with Fortegra.

Also on April 27, 2025, Fortegra received a letter from Purchaser outlining Purchaser’s due diligence progress to date and areas for further diligence, requesting an extension of the final bid submission deadline, noting that Purchaser intended to fund the acquisition with cash-on-hand but was open to exploring financing options, and stating that Purchaser would target signing definitive transaction documentation by the end of June 2025 and closing the transaction by the end of 2025. Included with the letter was a preliminary issues list prepared by Latham in response to the draft Merger Agreement that had been shared as part of the March 14 Process Letter (the “April 27 Issues List”), which noted, among other things, Purchaser’s position that (i) Purchaser would not be required to accept a burdensome condition in order to obtain regulatory approvals, (ii) the transaction would provide for acceleration and payout at closing of all Fortegra equity awards, (iii) use of a locked-box mechanism in the transaction instead of a post-closing purchase price adjustment based on consolidated book value, and (iv) Purchaser would require a termination fee of 4% of the equity value of Fortegra in the event of exercise of the Tiptree Board’s fiduciary out, and a termination fee of 1% in the event the Merger Agreement is terminated as a result of the failure to obtain the Tiptree stockholder approval. In addition, Purchaser proposed additional terms, including, among others, the addition of a post-closing indemnity from the Fortegra equityholders.

On April 28, 2025, the Fortegra Board held a regularly scheduled meeting at which members of Tiptree management provided an update on negotiations with Purchaser, including that Purchaser was not prepared to re-confirm its prior valuation of Fortegra at the current time and that representatives of Barclays and BofA Securities had informed representatives of Goldman Sachs that, as a condition to Fortegra considering further steps with Purchaser, Purchaser would first be required to provide an indication as to Purchaser’s valuation of Fortegra. Members of Tiptree management also updated the Fortegra Board on the decision to reach back out to Company C and its financial advisor with respect to a potential transaction.

On April 29, 2025, the Tiptree Board held a regularly scheduled meeting attended by members of Tiptree management and a representative of Ropes & Gray. At the meeting, members