Company: AFRM
Filing Date: 2025-05-12
Form Type: DEF 14A
Source: 0001820953-25-000057
Chunk: 5

Company: Affirm Holdings, Inc.
Filing Date: 2025-05-12
Form: DEF 14A
Chunk 5
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 does not anticipate making any other filings to effect the Nevada Reincorporation. Nonetheless, we may face legal challenges to the Nevada Reincorporation, including, among others, stockholder challenges under Delaware law, seeking to delay or prevent the Nevada Reincorporation.

The Nevada Reincorporation may be delayed by our Board, or the Plan of Conversion may be terminated and abandoned by action of our Board, at any time prior to the Effective Time, whether before or after the approval by our stockholders, if our Board determines for any reason that such delay or abandonment would be in the best interests of the Company and all of its stockholders, as the case may be.

#### Background of the Proposal

#### General
As part of their ongoing oversight, direction and management of the Company’s business, our Board and management have thoroughly discussed the issue of the Company’s jurisdiction of incorporation. These discussions were motivated by a number of reasons, including a desire to ensure that the Company is best positioned to remain nimble and compete effectively, the Board and management’s monitoring of the legal landscape in Delaware and elsewhere, and the costs and expenses associated with the Company’s incorporation in Delaware.

Affirm Holdings, Inc. is incorporated in Delaware. A large portion of U.S. corporations have historically chosen Delaware as their state of incorporation due to its reputation for having a well-defined, predictable and stable legal environment. Though Delaware corporate law may be less prescriptive in its statutory requirements for fiduciary duties than other states, because of the extensive experience of the Delaware courts and considerable body of judicial decisions since the early 1900s, Delaware has garnered the reputation of offering corporations and their counsel greater guidance and predictability on matters of corporate governance and transaction liability issues.

Our Board’s Evaluation of the Nevada Reincorporation

On December 16, 2024, the Nominating and Governance Committee of our Board met at a regularly scheduled meeting to discuss a number of matters, including the Company’s state of incorporation and the evolving legal landscape in Delaware. Following that discussion, it was the consensus of the committee members that a further discussion of the Company’s state of incorporation should be conducted at a full Board meeting.

At a special meeting of our Board on February 4, 2025, our Board, our Chief Legal Officer and representatives of Wilson Sonsini Goodrich & Rosati PC (“Wilson Sonsini”), counsel to the Company, met to discuss the Company’s state of incorporation. As part of this discussion, the Board discussed both remaining incorporated in