Company: CIO
Filing Date: 2025-09-08
Form Type: DEFM14A
Source: 0001193125-25-198418
Chunk: 46

Company: City Office REIT, Inc.
Filing Date: 2025-09-08
Form: DEFM14A
Chunk 46
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2024, representatives of Bidder A, the Company and JLL Securities held a due diligence call, where Bidder A engaged in a variety of due
diligence topics with management, and discussed Bidder A’s proposal, along with outstanding questions regarding Bidder A’s proposal and its financing plans.

On September 24, 2024, representatives from Morning Calm, Elliott and the Company met in New York to review the Company’s portfolio and a potential
transaction between the parties with the goal of seeking an increased offer from Morning Calm. On September 26, 2024, Morning Calm expressed that it was unable to increase its offer and formally declined to make a written offer to the Company
at such time until further diligence was conducted.

On September 30, 2024, the Board held a meeting, which the Company’s senior management and
representatives of the Financial Advisors attended. The Board discussed business strategy, refinancing alternatives, and capital raising options in an effort to ensure the Company had sufficient liquidity to service its credit facility through its
maturity in late 2025. Representatives of the Financial Advisors then discussed with the Board an update of the process to identify a Strategic Alternative. The Board and the representatives of the Financial Advisors discussed the valuation delta
between Bidder A’s offer and the other offers provided to date, as well as the increased due diligence performed by Bidder A. In an effort to maximize stockholder value, the Board instructed management to enter into an exclusivity agreement
with Bidder A and seek to increase the price to $8.50.

On October 1, 2024, Mr. Farrar and the chief executive officer of Bidder A discussed the offer and
the chief executive officer of Bidder A agreed to increase the offer price to $8.50 per share conditional on being granted a period of exclusivity.

On
October 7, 2024, the Company and Bidder A entered into an exclusivity agreement, which contemplated a 30-day exclusivity period based upon an $8.50 per share acquisition price. The exclusivity agreement
also contemplated a mutual extension option for an additional 45 days if Bidder A was able to provide evidence of committed financing for the transaction. At this point, all other parties evaluating Strategic Alternatives were removed from the VDR
and discussions with such parties were terminated.

On October 30, 2024, the Board held a meeting to discuss the status of Bidder A’s due
dilig