Company: CWAN
Filing Date: 2025-03-06
Form Type: S-4/A
Source: 0001193125-25-048570
Chunk: 183

Company: Clearwater Analytics Holdings, Inc.
Filing Date: 2025-03-06
Form: S-4/A
Chunk 183
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of control under the TRA that would cause the payment obligations to accelerate and become due and payable. Absent the TRA Amendment, upon such change of control, Enfusion would be required pursuant to the TRA to pay the TRA Parties (1) an
early termination payment calculated as set forth in the TRA, (2) any Tax Benefit Payment (as defined in the TRA) due and payable and that remains unpaid as of the Effective Time, and (3) any Tax Benefit Payment (as defined in the TRA) in
respect of any TRA Party due for any taxable year ending prior to, with or including the date of Closing.

For more information with
respect to the TRA, please see our other filings with the SEC, including the section in our 2024 Proxy Statement captioned “Tax Receivable Agreement.” A copy of the TRA is included as Exhibit 10.3 to Enfusion’s Annual Report for the
year ended December 31, 2021, on Form 10-K filed with the SEC.

Final TRA Payments

On January 10, 2025, in connection with the execution of the Merger Agreement, Enfusion, Enfusion OpCo and the TRA Amendment Parties
entered into the TRA Amendment in accordance with the terms of the TRA, pursuant to which such parties agreed to terminate the TRA at the Effective Time on the terms set forth in the TRA Amendment. In connection with the termination, Enfusion has
agreed to pay the TRA Parties an aggregate termination payment equal to $30 million minus any payments made under the TRA to the TRA Parties between January 10, 2025, and the Effective Time. Such aggregate termination payment is expected
to be less than the aggregate payment that would have been payable under the TRA absent the TRA Amendment (based on certain facts and assumptions, the reduction was estimated to be approximately $105 million, constituting an approximate 78%
discount to the estimated aggregate payment of approximately $135 million that would have otherwise been payable to the TRA Parties under the terms of the TRA).

Termination

If the Merger Agreement is
(a) terminated in accordance with its terms prior to the Effective Time or (b) amended or modified in a manner that (i) reduces the amount of Merger Consideration, (ii) changes the form of any consideration payable under the
Merger Agreement, (iii) changes the relative amount of cash and number of shares