Company: ACTG
Filing Date: 2025-03-28
Form Type: PRE 14A
Source: 0000934549-25-000010
Chunk: 45

Company: ACACIA RESEARCH CORP
Filing Date: 2025-03-28
Form: PRE 14A
Chunk 45
---
 our NOLs. The IRS could challenge the amount of our NOLs which are available to reduce our future taxable income. In addition, the complexity of the Section 382 provisions, the complexity of the constructive ownership provisions referenced above and the limited knowledge any public company has about indirect or constructive ownership of its stock make it difficult to determine whether an ownership change has occurred. Therefore, we cannot assure you that the IRS will not claim that we experienced an ownership change and attempt to reduce or eliminate the benefit of our NOLs even if the A&R Charter is adopted and the Existing Protective Provisions are extended .

Potential Impact on Value . We intend to include a legend reflecting the transfer restrictions on certificates representing newly issued or transferred shares, to disclose such restrictions to persons holding our common stock in uncertificated form and to disclose such restrictions to the public generally. Because of this, certain buyers, including persons who wish to acquire more than 4.899% of our common stock and certain institutional holders who may not be comfortable holding our common stock with restrictive legends, may choose to not purchase our common stock, which could depress the value of our common stock.

Potential Anti-Takeover Impact. Our Board approved the Charter Amendment Proposal to protect the significant potential long-term tax benefits presented by our NOLs. The Charter Amendment Proposal is not intended to prevent a takeover of the Company. However, the Charter Amendment Proposal, if adopted by our stockholders, could be deemed to have an anti-takeover effect because, among other things, the A&R Charter will restrict the ability of a person, entity or group to accumulate more than 4.899% of our common stock and the ability of persons, entities or groups now owning more than 4.899% of our common stock to acquire additional shares of our common stock without the approval of our Board. Accordingly, the overall effects of the Charter Amendment Proposal may render more difficult, or discourage, a merger, tender offer, proxy contest or assumption of control by a substantial holder of our securities.

Effect of the Existing Protective Provisions on your ability to transfer our common stock. Regardless of your existing ownership percentage of our common stock, you would be able to transfer shares of our common stock so long as the transfer does not increase the direct or indirect percentage of stock ownership of another holder of 4.899% or more of our common stock or create a new holder of 4.899% or more of our common stock.

#### Required Vote
The affirmative vote of the holders of a majority of