Company: TRUE
Filing Date: 2025-11-24
Form Type: DEFM14A
Source: 0001104659-25-115451
Chunk: 99

Company: TrueCar, Inc.
Filing Date: 2025-11-24
Form: DEFM14A
Chunk 99
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-term business and execution risk, compared to continuing to operate TrueCar as a standalone company.

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The proposed consideration is at a premium above TrueCar’s stock price:

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approximately 78% above the closing price per share of TrueCar’s Common Stock on October 13, 2025 (the last trading day prior to the public announcement of the Merger);

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approximately 26% above the 30-day volume weighted average price per share of Common Stock on October 13, 2025 (the last trading day prior to the public announcement of the Merger); and

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approximately 33% above the 90-day volume weighted average price per share of Common Stock on October 13, 2025 (the last trading day prior to the public announcement of the Merger).

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The belief of the Board of Directors, after a review of TrueCar’s current and historical financial condition, results of operations, prospects, business strategy, competitive position and macroeconomic factors, including the potential impact (which cannot be quantified) of those factors on the trading price of Common Stock, that the proposed consideration is more favorable to TrueCar Stockholders, on a risk adjusted basis, than the likely value that might have resulted from other alternatives available to TrueCar, including remaining a standalone public company, and that the Merger represents the best available alternative for maximizing value for TrueCar Stockholders, considering:

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the challenges and risks that TrueCar has faced, and would likely continue to face, if it remained a public company, including, among others, the highly competitive nature of the industry in which TrueCar operates and the ability of TrueCar to execute on its long-term strategies;

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the risks, challenges and cost of initiatives to achieve organic growth, including through new product development, or growth through acquisitions, and of sustaining consistent profitability and positive free cash flow with TrueCar’s current business model;

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the impact of macroeconomic factors on the automotive retail landscape, including the impact of tariff policies and fluctuations in the supply of new and used cars;

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ongoing changes in the automotive retail landscape, which increase the risk to TrueCar of successfully executing its business plan;

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the limited trading volume and public float of the Common Stock and the overhang effect upon the trading price of the Common Stock that results from the concentration of ownership of the Common Stock, including (i) the Caledonia stockholders’ approximately 21.1% ownership stake in TrueCar and (ii) the aggregate 31.7% ownership stake held by certain other stock