Document:

Exhibit 10.4

 

INVESTOR RIGHTS AGREEMENT

 

GFL ENVIRONMENTAL INC.,

 

MAGNY COURS INVESTMENT PTE LTD.

 

and

 

GFL BORROWER II (CAYMAN) LP

 

Dated as of March 5, 2020

 

 

TABLE OF CONTENTS

 

	
ARTICLE 1
   INTERPRETATION
    
	
 
    	
 
    	
 
    
	
Section 1.1
    	
Definitions
    	
1
    
	
Section 1.2
    	
Headings and Table of   Contents
    	
4
    
	
Section 1.3
    	
Gender and Number
    	
5
    
	
Section 1.4
    	
Rules of   Construction
    	
5
    
	
Section 1.5
    	
Interpretation
    	
5
    
	
 
    	
 
    	
 
    
	
ARTICLE 2
   NOMINATION RIGHTS
    
	
 
    	
 
    	
 
    
	
Section 2.1
    	
Board of Directors
    	
5
    
	
Section 2.2
    	
Board Nomination Rights
    	
5
    
	
Section 2.3
    	
Board Committees
    	
6
    
	
Section 2.4
    	
Board Nomination   Procedure
    	
6
    
	
Section 2.5
    	
Reserved
    	
7
    
	
Section 2.6
    	
Resignation,   Death, Incapacity or Disqualification of Director
    	
7
    
	
Section 2.7
    	
Director Compensation
    	
8
    
	
Section 2.8
    	
Chair of the Board
    	
8
    
	
Section 2.9
    	
Lead Director
    	
8
    
	
Section 2.10
    	
Permitted Disclosure
    	
8
    
	
 
    	
 
    	
 
    
	
ARTICLE 3
   INFORMATION RIGHTS
    
	
 
    	
 
    	
 
    
	
Section 3.1
    	
Information Rights
    	
8
    
	
Section 3.2
    	
Certain Reports
    	
9
    
	
Section 3.3
    	
Confidentiality
    	
9
    
	
 
    	
 
    	
 
    
	
ARTICLE 4
   INVESTOR REPRESENTATIVE
    
	
 
    	
 
    	
 
    
	
Section 4.1
    	
Investor Representative
    	
9
    
	
 
    	
 
    	
 
    
	
ARTICLE 5
   REPRESENTATIONS AND WARRANTIES
    
	
 
    	
 
    	
 
    
	
Section 5.1
    	
Representations and   Warranties by the Parties to this Agreement
    	
10
    
	
 
    	
 
    	
 
    
	
ARTICLE 6
   MATTERS RELATING TO PRE-EMPTIVE RIGHTS
    
	
 
    	
 
    	
 
    
	
Section 6.1
    	
Pre-Emptive Right
    	
10
    
	
 
    	
 
    	
 
    
	
ARTICLE 7
   GENERAL PROVISIONS
    
	
 
    	
 
    	
 
    
	
Section 7.1
    	
All Shares Subject to   this Agreement
    	
12
    
	
Section 7.2
    	
Reserved
    	
12
    
	
Section 7.3
    	
Affiliated Transferees   Agreement to be Bound
    	
12
    
	
Section 7.4
    	
Articles
    	
12
    
	
Section 7.5
    	
Term
    	
12
    
	
Section 7.6
    	
Injunctive Relief
    	
12
    
	
Section 7.7
    	
Notices
    	
13
    
	
Section 7.8
    	
Time of Essence
    	
14
    

 

i

 

	
Section 7.9
    	
Time Periods
    	
14
    
	
Section 7.10
    	
Further Assurances
    	
14
    
	
Section 7.11
    	
Independent Legal   Advice
    	
14
    
	
Section 7.12
    	
Assignment
    	
14
    
	
Section 7.13
    	
Waiver, Amendment
    	
14
    
	
Section 7.14
    	
Entire Agreement
    	
14
    
	
Section 7.15
    	
Successors and Assigns
    	
15
    
	
Section 7.16
    	
Severability
    	
15
    
	
Section 7.17
    	
Governing Law; Consent   to Jurisdiction; WAIVER OF JURY TRIAL
    	
15
    
	
Section 7.18
    	
Counterparts
    	
16
    
	
Section 7.19
    	
No Recourse
    	
16
    
	
Section 7.20
    	
Corporate Opportunity
    	
16
    
	
Section 7.21
    	
Margin Loan Matters
    	
17
    

 

ii

 

INVESTOR RIGHTS AGREEMENT

 

THIS AGREEMENT is made as of the 5th day of March, 2020.

 

B E T W E E N:

 

Magny Cours Investment Pte Ltd., a Singapore private limited company, GFL Borrower II (Cayman) LP, a Cayman Islands exempted limited partnership

 

— and —

 

GFL Environmental Inc., a corporation amalgamated under the laws of Ontario (the “Corporation”).

 

WHEREAS, on the date hereof, the Corporation will consummate an underwritten initial public offering of its Subordinate Voting Shares and tangible equity units (the “Initial Public Offering”); and

 

WHEREAS, the Parties wish to enter into this Agreement to provide for the matters set out herein, including provisions with respect to the nomination of individuals to be elected as directors of the Corporation, governance matters and other shareholder rights.

 

NOW, THEREFORE, in consideration of the mutual covenants and agreements contained in this Agreement and other good and valuable consideration (the receipt and sufficiency of which are hereby acknowledged by each of the Parties), the Parties agree as follows:

 

ARTICLE 1
 INTERPRETATION

 

Section 1.1                                   Definitions

 

In this Agreement,

 

(1)                                 “Affiliate” means, with respect to any specified Person, any other Person which, directly or indirectly, through one or more intermediaries controls, or is controlled by, or is under common control with, such specified Person (for the purposes of this definition, “control” (including, with correlative meanings, the terms “controlling,” “controlled by” and “under common control with”), as used with respect to any Person, shall mean the possession, directly or indirectly, of the power to direct or cause the direction of the management or policies of such Person, whether through the ownership of voting securities, by agreement or otherwise); provided that, for purposes of this Agreement, the Corporation and its Subsidiaries shall not be considered Affiliates of the Investor and its other Affiliates and the Investor and its Affiliates shall not be considered Affiliates of the Corporation and its Subsidiaries. In this Agreement, any Person will be deemed to be Affiliated with any other Person if they are Affiliates of each other;

 

(2)                                 “Affiliated Person” has the meaning attributed to such term in Section 7.19;

 

(3)                                 “Affiliated Transferee” means any entity that is directly or indirectly wholly owned by GIC (Ventures) Pte Ltd. (excluding any Portfolio Company);

 

(4)                                 “Agreement” means this Investor Rights Agreement as may be supplemented or amended from time to time, and the expressions “hereof”, “herein”, “hereto”, “hereunder”, “hereby” and similar expressions refer to this Investor Rights Agreement, and unless otherwise indicated,

 

1

 

references to Articles and Sections are to the specified Articles and Sections, as applicable, of this Agreement;

 

(5)                                 “Articles” means the articles of the Corporation, as may be amended, replaced or superseded from time to time;

 

(6)                                 “Available Nominees” means the number of Directors based on the size of the Board at such time;

 

(7)                                 “beneficial ownership” means, with respect to any securities, direct or indirect ownership of, or control or direction over, those securities (whether through contract, arrangement, understanding or otherwise); and “beneficially own” and “beneficially owned” shall have a correlative meaning;

 

(8)                                 “Board” means the board of directors of the Corporation;

 

(9)                                 “Bought Deal” means a sale of securities of the Corporation to an underwriter for reoffering to the public as described in the definition of “bought deal agreement” in Section 7.1 of National Instrument 44-101 — Short Form Prospectus Distributions, as the same may be amended from time to time, and any successor legislation thereto, except where otherwise expressly provided;

 

(10)                          “Business Day” means any day of the year, other than a Saturday, Sunday or any day on which commercial banks are closed for business in Toronto, Ontario, Canada; New York, New York, United States; or London, England;

 

(11)                          “Chair” has the meaning attributed to such term in Section 2.8;

 

(12)                          “Claim” has the meaning attributed to such term in Section 7.19;

 

(13)                          “Committee” has the meaning attributed to such term in Section 2.3(1);

 

(14)                          “Conditions” has the meaning attributed to such term in Section 2.4(4);

 

(15)                          “Confidential Information” means any information concerning the Corporation or its Subsidiaries furnished prior to or after the date of this Agreement by or on behalf of the Corporation or its Representatives to the Investor or its Representatives; provided that Confidential Information does not include information: (a) that is or has become publicly available other than as a result of a disclosure by the Investor or its Representatives in violation of this Agreement; (b) that was already known to the Investor or its Representatives or was in the possession of the Investor or its Representatives prior to its being furnished by or on behalf of the Corporation or its Representatives; (c) that is received by the Investor or its Representatives from a source other than the Corporation or its Representatives (provided that the source of such information was not actually known by the Investor or its Representative to be bound by a confidentiality agreement with, or other contractual obligation of confidentiality to, the Corporation with respect to such information); (d) that was independently developed or acquired by the Investor or its Representatives or on its or their behalf without use of or reference to any Confidential Information; and provided further that the Investor and its Representatives shall be permitted to disclose any Confidential Information to the extent that it is required, in the good faith determination of the Investor or the Representative, to disclose such information by applicable law, rule, regulation or other legal process, including by the rules of any securities exchange or by any self-regulatory body (provided that the Investor or the Representative takes reasonable steps (to the extent legally permissible) to minimize the extent of any such required disclosure; provided further that no such steps to minimize disclosure shall be required where disclosure is made (i) in response to a request by a regulatory or self-regulatory authority or (ii) in connection with a routine audit or examination by a bank examiner

 

2

 

or auditor and such audit or examination does not specifically reference the Corporation or this Agreement);

 

(16)                          “control” or “controlled” shall have the meaning set forth in the definition of “Affiliate” hereunder;

 

(17)                          “Convertible Securities” has the meaning attributed to such term in Section 6.1(1);

 

(18)                          “Corporate Opportunity” has the meaning attributed to such term in Section 7.20;

 

(19)                          “Corporation” has the meaning attributed to such term in the preamble of this Agreement;

 

(20)                          “Director” has the meaning attributed to such term in Section 2.1;

 

(21)                          “Directors Election Meeting” means any annual meeting or special meeting of Shareholders at which, or any solicitation of Shareholders to approve a shareholder resolution in connection with which, Directors are to be elected to the Board;

 

(22)                          “Distributed Securities” has the meaning attributed to such term in Section 6.1(1);

 

(23)                          “Distribution” has the meaning attributed to such term in Section 6.1(1);

 

(24)                          “Independent Director” means an independent Director, as determined by the NGC Committee in accordance with the rules promulgated by the NYSE, the TSX and applicable law;

 

(25)                          “Initial Public Offering” has the meaning attributed to such term in the recitals of this Agreement;

 

(26)                          “Investor” means Magny Cours Investment Pte Ltd. and its Affiliated Transferees;

 

(27)                          “Investor Affiliated Persons” has the meaning attributed to such term in Section 7.20;

 

(28)                          “Investor Representative” has the meaning attributed to such term in Section 4.1;

 

(29)                          “Margin Loan Documentation” means the margin loan agreement by and among Bank of Montreal, as Administrative Agent and Calculation Agent, the Investor and the lenders party thereto dated March 5, 2020 and the agreements and documents ancillary thereto;

 

(30)                          “Multiple Voting Shares” means the multiple voting shares in the capital of the Corporation;

 

(31)                          “NGC Committee” means the Nomination, Governance and Compensation Committee of the Board and any replacement or successor committee of the Board that is responsible for, among other things, compensation, nomination and governance matters (including the selection of Nominees, subject to this Agreement and the Other Investor Agreements) or the Board if there is no such committee;

 

(32)                          “Nomination Letter” has the meaning attributed to such term in Section 2.4(2);

 

(33)                          “Nominee” or “Nominees” means the nominee and nominees that are proposed for election as Directors by the Corporation and included in a management information circular of the Corporation relating to the election of Directors at a Directors Election Meeting or any other individual that the Investor is entitled to replace as a Director or has otherwise nominated as a Director in accordance with the terms of this Agreement;

 

3

 

(34)                          “NYSE” means The New York Stock Exchange;

 

(35)                          “Other Investors” means collectively, BCEC—GFL Holdings (Guernsey) L.P., OTPP Environmental Services Trust, Patrick Dovigi, Sejosa Holdings Inc. and Josaud Holdings Inc. and, in each case, their Affiliated Transferees;

 

(36)                          “Other Investor Agreements” means collectively, investor rights agreements between the Corporation and each of the Other Investors, dated the date hereof;

 

(37)                          “Party” or “Parties” means one or more of the parties to this Agreement;

 

(38)                          “Person” means any individual, partnership, corporation, company, association, trust, joint venture or limited liability company;

 

(39)                          “Portfolio Company” means any portfolio company (as such term is commonly used in the private equity industry) of GIC (Ventures) Pte Ltd., any investment fund, managed account, side-by-side vehicle, co-investment vehicle or similar investment vehicle managed, advised or controlled by GIC (Ventures) Pte Ltd. or its Affiliates;

 

(40)                          “Preemptive Voting Shares” has the meaning attributed to such term in Section 6.1(1);

 

(41)                          “Representative” has the meaning attributed to such term in Section 3.3;

 

(42)                          “Rights to Subscribe” has the meaning attributed to such term in Section 6.1(1);

 

(43)                          “Shareholder” means any Person that is a registered holder or beneficial owner of Shares and, where the context permits, upon the death of a Shareholder who is an individual, means such Shareholder’s personal legal representatives;

 

(44)                          “Shares” means, collectively, the Multiple Voting Shares and the Subordinate Voting Shares;

 

(45)                          “Subordinate Voting Shares” means the subordinate voting shares in the capital of the Corporation;

 

(46)                          “Subscription Securities” has the meaning attributed to such term in Section 6.1(3);

 

(47)                          “Subsidiaries” means, with respect to any entity (the “parent”), any corporation, limited liability company, company, firm, association, limited partnership or trust of which such parent, at the time in respect of which such term is used, (a) beneficially owns, directly or indirectly, more than 50% of the equity, membership interest or beneficial interest, on a consolidated basis, or (b) is the general partner or beneficially owns, directly or indirectly, shares of the equity, membership interest or beneficial interest having the power to elect more than 50% of the directors, trustees, managers or other officials having powers analogous to that of directors of a corporation; and

 

(48)                          “TSX” means the Toronto Stock Exchange.

 

Section 1.2                                   Headings and Table of Contents

 

The inclusion of headings and a table of contents in this Agreement are for convenience of reference only and shall not affect the construction or interpretation hereof.

 

4

 

Section 1.3                                   Gender and Number

 

In this Agreement, unless the context otherwise requires, words importing the singular include the plural and vice versa, words importing gender include all genders or the neuter, and words importing the neuter include all genders.

 

Section 1.4                                   Rules of Construction

 

The Parties to this Agreement waive the application of any law or rule of construction providing that ambiguities in any agreement or other document shall be construed against the Party drafting such agreement or other document.  The word “including” or any variation thereof shall mean (unless the context of its usage otherwise requires) “including, without limitation” and shall not be construed to limit any general statement that such word follows to the specific or similar items or matters immediately following such word.  For purposes of this Agreement, all determinations of the amount of issued and outstanding Shares shall be based on information set forth in the most recent annual or interim management’s discussion and analysis or annual report or quarterly report, and any current report subsequent thereto, filed by the Corporation on SEDAR or with the U.S. Securities and Exchange Commission on EDGAR, respectively, and shall be calculated on a non-diluted basis, excluding any Shares held in Treasury or owned by a Subsidiary of the Corporation and any Shares that are or may be issuable upon the conversion, exercise or exchange of any options or other convertible, exercisable or exchangeable securities.

 

Section 1.5                                   Interpretation

 

Any rights to be exercised hereunder by the Investor are to be exercised solely by the Investor Representative.

 

ARTICLE 2
 NOMINATION RIGHTS

 

Section 2.1                                   Board of Directors

 

Prior to and upon the consummation of the Initial Public Offering, the Corporation shall have a Board consisting of 8 directors (each a “Director” and together, the “Directors”). The initial Directors of the Corporation upon the consummation of the Initial Public Offering shall be Patrick Dovigi, Dino Chiesa, Shahir Guindi, Arun Nayar, Paolo Notarnicola, Ven Poole, Raymond Svider and Blake Sumler.

 

Section 2.2                                   Board Nomination Rights

 

(1)                                 The Investor shall be entitled to designate 10% of the Available Nominees (rounding up to the nearest whole number (e.g., 1 of 8)) for so long as the Investor beneficially owns, directly or indirectly, at least 5% of the issued and outstanding Shares.

 

(2)                                 Any Nomination right set forth in Section 2.2 not held or exercised by the Investor or any Other Investor shall rest with the NGC Committee.

 

(3)                                 In the event that the Investor beneficially owns, directly or indirectly, less than 5% of the issued and outstanding Shares for a continuous 180 day period, the Investor shall notify the Corporation promptly thereof and (a) upon the written request of the Corporation, use reasonable good faith efforts to cause its Nominee(s) to forthwith resign and (b) if no such request is made, the Nominee(s) shall continue until his, her or their term expires at the next Directors Election Meeting or, if earlier, they otherwise resign or cease to be qualified to act as a Director.

 

5

 

(4)                                 In the event that the Investor has designated fewer Nominees than the total number of Nominees that the Investor shall be entitled to designate pursuant to Section 2.2, then the Investor shall have the right, at any time, to designate such additional Nominee(s) to which it is entitled, in which case, the Corporation and the Directors shall take all necessary corporate action, to the fullest extent permitted by applicable law, to promptly (a) enable the Investor to designate and effect the election or appointment of such additional individuals and (b) appoint such individual nominated by the Investor to fill any available vacancies, or to the extent not so permitted, nominate such individual for election as a Director at the next Directors Election Meeting in accordance with Section 2.4.

 

(5)                                 The Investor shall have the right to representation on the board of directors or other similar governing body of any Subsidiary of the Corporation in proportion to its representation on the Board; provided that the Investor shall have such right to representation only if and to the extent that Patrick Dovigi is serving on any such board of directors or other similar governing body.

 

Section 2.3                                   Board Committees

 

(1)                                 Prior to the consummation of the Initial Public Offering, the following standing committees of the Board (each, a “Committee”) shall be established to advise and report to the Board on the matters as are, and to otherwise exercise such power and authority as is, delegated to such Committees by the Board.  Upon the consummation of the Initial Public Offering such committees shall be comprised of the below noted Directors:

 

	
Committee
    	
 
    	
Members
    
	
Audit Committee
    	
 
    	
Arun Nayar (Chair)
    
	
 
    	
 
    	
Dino Chiesa
    
	
 
    	
 
    	
Shahir Guindi
    
	
 
    	
 
    	
 
    
	
NGC Committee
    	
 
    	
Paolo Notarnicola (Chair)
    
	
 
    	
 
    	
Dino Chiesa
    
	
 
    	
 
    	
Arun Nayar
    

 

(2)                                 All members of the Committees shall be selected by the Board and shall have such qualifications as may be required by applicable law and the rules of any securities exchange on which the Corporation’s shares are listed for trading to serve on such committees.

 

Section 2.4                                   Board Nomination Procedure

 

(1)                                 The Corporation shall notify the Investor Representative (on behalf of the Investor) of its intention to hold a Directors Election Meeting at least 75 days prior to the date of such meeting and shall provide the Investor with such documentation requesting such information regarding such Nominee(s) as required for purposes of completing the Corporation’s management information circular.

 

(2)                                 At least 45 days and no more than 75 days before each Directors Election Meeting, the Investor Representative (on behalf of the Investor), will deliver to the Corporation (c/o the NGC Committee) in writing the name of its Nominee(s) together with the information regarding such Nominee(s)) that the Corporation is required by applicable law to include in a management information circular of the Corporation to be sent to Shareholders in respect of such Directors Election Meeting and such other information, including a biography of such Nominee(s), that is consistent with the information the Corporation intends to publish about management Nominees as Directors of the Corporation in such management information circular as reasonably requested by the Corporation (the “Nomination Letter”).

 

6

 

(3)                                 If the Investor Representative (on behalf of its Investor) fails to deliver the Nomination Letter to the Corporation at least 45 days before the Directors Election Meeting, the Investor shall be deemed to have designated the same Nominee that serves as a Director of the Corporation at such time, subject to such individual satisfying the Conditions for re-appointment to the Board.

 

(4)                                 Notwithstanding anything to the contrary in this Agreement, each Nominee of the Investor shall, at all times while serving on the Board, meet the qualification requirements to serve as a Director under applicable law and the rules of any stock exchange on which the Subordinate Voting Shares are then listed (the “Conditions”).  No Nominee may be a Person who has been convicted of a felony or a Person who is not acceptable to any stock exchange on which the Subordinate Voting Shares are then listed or any securities regulatory authority having jurisdiction over the Corporation.

 

(5)                                 The Nominee(s) of the Investor shall be nominated by or at the direction of the Board or an authorized officer of the Corporation, including pursuant to a notice of meeting, to stand for election to the Board at the Directors Election Meeting.  The Corporation agrees, to the fullest extent permitted by applicable law, to include the individual(s) designated pursuant to Section 2.2 in the slate of Nominees that are proposed for election as Directors by the Corporation, to include such Nominees in a management information circular of the Corporation relating to the election of Directors at a Directors Election Meeting and to support the Nominee(s) for election in a manner no less rigorous and favourable in which the Corporation supports its other Nominees, to recommend such individual to be elected as a Director as provided herein and agrees to use its best efforts to cause the election of each such Nominee(s) to the Board, including nominating each such individual to be elected as a Director as provided herein, recommending such individual’s election and soliciting proxies or consents from Shareholders in favour of the election thereof.

 

(6)                                 The Investor shall, in respect of all Shares that it beneficially owns, directly or indirectly, not vote against or withhold its vote or consent in respect of, or cause to be voted against or cause to be withheld against, any Nominee nominated by any Other Investor under each Other Investor Agreement for election as Directors at each applicable Directors Election Meeting.

 

Section 2.5                                   Reserved

 

Section 2.6                                   Resignation, Death, Incapacity or Disqualification of Director

 

(1)                                 At any time prior to the first Directors Election Meeting, in the event of the resignation, death or incapacity of Ven Poole, or any replacement appointed as a Director pursuant to this Section 2.6(1), or in the event that such Director ceases to satisfy any of the Conditions, the Investor shall be entitled to designate an individual satisfying each of the Conditions to replace such Director to serve on the Board by delivery of a written notice to the Corporation within forty-five (45) days after the Director resigns, dies or becomes incapacitated, or ceases to satisfy any of the Conditions, as applicable, and to the extent permitted by applicable law and the Articles, by-laws, constating documents or other organizational documents, the Board shall promptly appoint such individual as a Director, or to the extent not so permitted, nominate such individual for election as a Director at the next Directors Election Meeting in accordance with Section 2.4.

 

(2)                                 Following the first Directors Election Meeting, in the event of the resignation, death or incapacity of a Nominee that is serving on the Board, or any replacement appointed as a Director pursuant to this Section 2.6(2), or in the event that such Nominee ceases to satisfy any of the Conditions, the Investor shall be entitled to designate an individual satisfying each of the Conditions to replace such Nominee to serve on the Board by delivery of a written notice to the Corporation within forty-five (45) days after the Nominee resigns, dies or becomes incapacitated, or ceases to satisfy any of the Conditions, as applicable, and to the extent permitted by applicable law and the Articles, by-laws, constating documents or other organizational documents, the Board shall promptly appoint such individual as a Director, or to the extent not so permitted, nominate

 

7

 

such individual for election as a Director at the next Directors Election Meeting in accordance with Section 2.4.

 

Section 2.7                                   Director Compensation

 

No Nominee who is an officer or employee of the Corporation or a partner, principal, member of, or employee of the Investor or any of its Affiliates will be entitled to any compensation for his or her service as a Director or on any Committee; provided that the Corporation will pay for, or reimburse the Investor’s Nominee for, out-of-pocket expenses incurred in connection with such Nominee’s service as a Director or as a member of, or observer to, any standing committee of the Board.

 

Section 2.8                                   Chair of the Board

 

The Board shall have a chair (the “Chair”). For so long as Patrick Dovigi is a Director, Mr. Dovigi shall be the Chair. Notwithstanding the foregoing, Mr. Dovigi shall be entitled to resign as the Chair at any time. Upon Mr. Dovigi ceasing to be a Director, or in the event that Mr. Dovigi does not wish to be the Chair, then the Chair shall be appointed by the Board.

 

Section 2.9                                   Lead Director

 

So long as the Chair is not an Independent Director, the Board shall have a lead director (the “Lead Director”). The Lead Director shall be an Independent Director and shall be appointed and replaced from time to time by a majority of the Independent Directors of the Board. The initial Lead Director shall be Dino Chiesa.

 

Section 2.10                            Permitted Disclosure

 

Any Director shall be permitted to disclose to GIC (Ventures) Pte Ltd. and its Affiliates information about the Corporation and its Affiliates that he or she receives as a result of being a Director, subject to his or her fiduciary duties under applicable law; provided that, the recipient of such disclosure is directed to keep confidential and not disclose any Confidential Information, in each case, in accordance with the terms of this Agreement and acknowledges that applicable securities laws may prohibit a person who has material, non-public information regarding the Corporation or its securities from trading such securities.

 

ARTICLE 3
 INFORMATION RIGHTS

 

Section 3.1                                   Information Rights

 

For so long as the Investor is entitled to nominate for election as Directors the Nominees pursuant to Section 2.2, the Investor (represented by no more than four Representatives, except as management of the Corporation may permit additional Representatives at its sole discretion) shall be entitled to reasonable access to the books, records, material contracts, properties, employees and management of the Corporation and its Subsidiaries during normal business hours, upon reasonable notice and without causing undue disruption or requiring management to prepare any documentation or analysis, to the extent that such preparation would be unduly burdensome, in addition to its ordinary course duties, in connection with a legitimate business purpose of the Investor, including the monitoring of its investment in the Corporation (and not in connection with any litigation or other proceeding against the Corporation or its Subsidiaries or another Shareholder; provided that, for the avoidance of doubt, this parenthetical shall not impact any right to obtain discovery in any litigation or other proceeding or other rights to obtain such information under applicable law).

 

8

 

Section 3.2                                   Certain Reports

 

For so long as the Investor is entitled to nominate for election as Directors the Nominees pursuant to Section 2.2, the Investor shall be entitled to receive from the Corporation (1) as soon as practicable after the end of each month, monthly reports (including financial statements and management financial accounts) with respect to the business, operations and financial performance of the Corporation and (2) upon the Investor’s request, comparisons of the financial results of the Corporation and its Subsidiaries against the annual budget.

 

Section 3.3                                   Confidentiality

 

The Investor agrees that it shall, and shall direct its Representatives to, keep confidential and not disclose any Confidential Information; provided that the Investor and its Representatives may disclose Confidential Information to the Other Investors and to (1) the Investor’s and its Affiliates’ attorneys, accountants, consultants, insurers, financing sources and other advisors in connection with the Investor’s investment in the Corporation or in the ordinary course of business, (2) any Person, including a prospective purchaser of Shares, which has agreed to maintain the confidentiality of such Confidential Information (the Persons referenced in the foregoing clauses (1) and (2), collectively, the “Representatives”) or (3) any Person with respect to which the Corporation has provided its prior written consent to the Investor’s disclosure of Confidential Information.  The Investor acknowledges that applicable securities laws may prohibit a person who has material, non-public information regarding the Corporation or its securities from trading such securities.

 

ARTICLE 4
 INVESTOR REPRESENTATIVE

 

Section 4.1                                   Investor Representative

 

(1)                                 The Investor appoints Alex Moskowitz as its representative (together with any other representative appointed in accordance with the provisions of this Agreement, the “Investor Representative”) in its name and on its behalf:

 

(a)                                 with respect to all matters relating to this Agreement, including exercising any rights of the Investor under this Agreement, executing and delivering any amendment, restatement, supplement or modification to or of this Agreement and any waiver of any claim or right arising out of this Agreement; and

 

(b)                                 in general, to do all other things and to perform all other acts, including executing and delivering all agreements, certificates, receipts, instructions, and other instruments, contemplated by, or deemed advisable in connection with, this Agreement.

 

(2)                                 The Investor grants Alex Moskowitz a power of attorney constituting Alex Moskowitz with full power of substitution, as its true and lawful attorney to act on behalf of the Investor with full power and authority in its name, place and stead, and to execute, under seal or otherwise, swear to, acknowledge, deliver, make or file or record when, as and where required, any instrument, deed, resolution, agreement or document in connection with carrying out the activities of the Corporation.

 

(3)                                 The Corporation will be entitled to rely upon any document or other instrument delivered by the Investor Representative as being authorized or directed to be delivered by the Investors, and the Corporation not be liable to the Investor for any action taken or omitted to be taken by the Corporation based on such reliance.

 

9

 

(4)                                 The Investor shall be entitled to replace the Investor Representative from time to time by delivering a written notice to the Corporation signed by the Investor that is then a Party to this Agreement.

 

ARTICLE 5
 REPRESENTATIONS AND WARRANTIES

 

Section 5.1                                   Representations and Warranties by the Parties to this Agreement

 

Each Party represents and warrants that:

 

(1)                                 If not an individual, it is duly formed and organized and validly existing under the laws of its jurisdiction of formation and that it has the organizational power and capacity to own its assets and to enter into and perform its obligations under this Agreement;

 

(2)                                 this Agreement has been duly authorized by such Party, and duly executed and delivered by it and, assuming the due authorization, and due execution and delivery, by the other Party hereto, constitutes a legal, valid and binding obligation enforceable against such Party in accordance with its terms, subject to the usual exceptions as to bankruptcy and the availability of equitable remedies; and

 

(3)                                 the execution, delivery and performance of this Agreement does not and will not contravene the provisions of its articles, by-laws, constating documents or other organizational documents or the documents by which it was created or established or the provisions of any indenture, agreement or other instrument to which he or she or it is a party or by which he or she or it may be bound.

 

ARTICLE 6
 MATTERS RELATING TO PRE-EMPTIVE RIGHTS

 

Section 6.1                                   Pre-Emptive Right

 

(1)                                 For so long as the Investor beneficially owns, directly or indirectly, at least 7.5% of the issued and outstanding Shares, in the event  of any distribution or issuance, including by way of a share dividend, of voting shares (the “Preemptive Voting Shares”) of the Corporation (a “Distribution”) or of securities convertible, exercisable or exchangeable into Preemptive Voting Shares or giving the right to acquire shares that would constitute Preemptive Voting Shares (the “Convertible Securities” and, together with the Preemptive Voting Shares, the “Distributed Securities”), other than an Exempt Distribution (as defined below), the Corporation shall issue to the Investor rights to subscribe for that number of Subordinate Voting Shares or, as the case may be, for securities convertible, exercisable or exchangeable into or giving the right to acquire, on the same terms and conditions, including as to subscription or exercise price, as applicable, mutatis mutandis, as applicable to the Convertible Securities, that number of Subordinate Voting Shares, in each case, which would permit the Investor to subscribe for and acquire such number of Subordinate Voting Shares (or Convertible Securities, as applicable) that, assuming the conversion, exercise or exchange thereof, if applicable, would result in the Investor beneficially owning, directly or indirectly, the same aggregate percentage of Shares (relative to all Shareholders) as it beneficially owned, directly or indirectly, immediately prior to such Distribution (the “Rights to Subscribe”).

 

(2)                                 The rights of the Investor under Section 6.1(1) will not apply, and the Corporation will not issue any Rights to Subscribe, in the following circumstances (each, an “Exempt Distribution”): (i) in connection with the automatic conversion of Multiple Voting Shares outstanding on the date of the Initial Public Offering or issued thereafter in compliance with Section 6.1(1), in each case, pursuant to the Articles; (ii) in respect of the exercise of Convertible Securities issued to

 

10

 

directors or employees of the Corporation under the Corporation’s ordinary course security-based compensation arrangements; (iii) in connection with a subdivision of then-outstanding Subordinate Voting Shares into a greater number of Subordinate Voting Shares, on a proportionate basis to all Shareholders, provided that an equivalent change is made to the Multiple Voting Shares; (iv) upon the exercise by a holder of a conversion, exchange or other similar privilege pursuant to the terms of a security in respect of which the Investor did not exercise, failed to exercise, or waived its rights under Section 6.1(1) or which was issued in a transaction that would otherwise constitute an Exempt Distribution under this Section 6.1(2); (v) pursuant to a shareholders’ rights plan of the Corporation, if any; (vi) to any wholly owned Subsidiary of the Corporation; (vii) in connection with the issuance of Subordinate Voting Shares upon the exercise by the underwriters in connection with the Initial Public Offering of the Corporation of their over-allotment or “greenshoe” option to purchase additional Subordinate Voting Shares; and (viii) in connection with the settlement of the prepaid stock purchase contracts forming part of the tangible equity units issued as part of the Initial Public Offering, including any tangible equity units issued as part of the underwriters’ over-allotment or “greenshoe” option; and (ix) shares issued in connection with any direct or indirect acquisitions or business combination transactions involving the Corporation or its Subsidiaries as consideration to the former shareholders or sellers of the acquired business or to the management of the acquired business, in each case of the foregoing clauses (ii), (iii), (v), (vi), (vii), (viii) or (ix), which have been approved by the Board.

 

(3)                                 The Rights to Subscribe shall be issued concurrently with the completion of the Distribution of the applicable Distributed Securities. To the extent that any such Rights to Subscribe are exercised, in whole or in part, the securities underlying such Rights to Subscribe (the “Subscription Securities”) shall be issued and must be paid for substantially concurrently with the completion of the Distribution and payment to the Corporation of the issue price for the Distributed Securities, at the lowest price permitted by the applicable securities and stock exchange regulations and subject (as to such price) to the prior consent of the exchanges but at a price not lower than (i) if the Distributed Securities are Subordinate Voting Shares, the price at which Subordinate Voting Shares are then being distributed or issued in the Distribution (excluding, for greater certainty, underwriting commissions and discounts and other transaction expenses paid by the Corporation), (ii) if the Distributed Securities are Convertible Securities, the price at which the applicable Convertible Securities are then being distributed or issued; and (iii) if the Distributed Securities are Voting Shares other than Subordinate Voting Shares, the higher of (a) the weighted average price of the transactions on the Subordinate Voting Shares on the TSX (or such other primary stock exchange on which they are listed, as the case may be) for the 20 trading days preceding the Distribution of such Voting Shares or of (b) the weighted average price of transactions on the Subordinate Voting Shares on the TSX (or such other primary stock exchange on which they are listed, as the case may be), the trading day before the Distribution of such Voting Shares.

 

(4)                                 At least fifteen (15) Business Days prior to the closing of any proposed Distribution, the Corporation shall deliver to the Investor Representative a notice in writing offering the Investor the opportunity to subscribe for the applicable Subscription Securities pursuant to the rights to subscribe. The offer will contain a description of the terms and conditions relating to the Distributed Securities and the Subscription Securities and will, to the extent known, state the price at which the Distributed Securities and the Subscription Securities will be distributed and the date on which the issuance of Distributed Securities is to be completed and will state that the Investor, if it wishes to exercise its rights to subscribe and subscribe for Subscription Securities, may do so only by giving written notice of the exercise of the subscription right granted hereby to the Corporation within ten (10) Business Days after the date of delivery of the notice regarding the offer, provided that if the Corporation receives a Bought Deal relating to such Distribution, the Investor shall have not less than 24 hours from the time the Corporation advises it of such Bought Deal to provide the written notice to the Corporation specified in this Section 6.1(4). The Investor will be entitled to participate in the issuance of the Distributed Securities in accordance with Section 6.1(1).

 

11

 

(5)                                 If the Corporation proposes to grant an option or other right for the purchase of or subscription for Distributed Securities (other than options or other convertible, exercisable or exchangeable securities issued to directors, employees or consultants of the Corporation under compensatory plans of the Corporation which are approved by the Board), such option or other right will also be made available to the Investor as nearly as may be possible in accordance with the foregoing.

 

(6)                                 The right to receive Rights to Subscribe and the legal or beneficial ownership of the Rights to Subscribe, may be assigned in whole or in part among the Affiliated Transferees, provided that written notice of any such assignment shall be sent promptly to the Corporation.

 

ARTICLE 7
 GENERAL PROVISIONS

 

Section 7.1                                   All Shares Subject to this Agreement

 

The Investor agrees that it shall be bound by the terms of this Agreement with respect to all Shares held by him, her or it from time to time.

 

Section 7.2                                   Reserved

 

Section 7.3                                   Affiliated Transferees Agreement to be Bound

 

Each Affiliated Transferee who becomes a Shareholder must concurrently with becoming a Shareholder execute and deliver to the Corporation a counterpart copy of this Agreement or a written agreement substantially in form attached as Exhibit A hereto, agreeing to be bound by this Agreement.

 

Section 7.4                                   Articles

 

In the event of any conflict or inconsistency between the terms of this Agreement and the Articles, by-laws, constating documents or other organizational documents, as may be amended from time to time, the terms of this Agreement shall prevail.

 

Section 7.5                                   Term

 

This Agreement shall come into force and effect immediately prior to the Initial Public Offering on the date set out on the first page of this Agreement and, except as provided below, shall continue in force until the earlier of:

 

(1)                                 the date on which the Investor ceases to have any right to designate any Nominee under this Agreement pursuant to the terms of Section 2.2;

 

(2)                                 the date on which this Agreement is terminated by the mutual consent of the Parties; or

 

(3)                                 the dissolution or liquidation of the Corporation.

 

Notwithstanding the foregoing, the provisions of Article 7 shall continue in force in accordance with their terms after the termination of this Agreement.

 

Section 7.6                                   Injunctive Relief

 

Each Party acknowledges that a breach or threatened breach by a Party of any provision of this Agreement will result in the other Party suffering irreparable harm which cannot be calculated or fully or adequately compensated by recovery of damages alone. Accordingly, each Party agrees that the other Party shall be entitled to interim and permanent injunctive relief, specific performance and

 

12

 

other equitable remedies, in addition to any other relief to which the Corporation or the Investor may become entitled.

 

Section 7.7                                   Notices

 

Any notice or other communication required or permitted to be given hereunder shall be in writing and shall be given by prepaid mail, by electronic mail or by delivery as hereafter provided. Any such notice or other communication, if mailed by prepaid mail at any time other than during a general discontinuance of postal service due to strike, lockout or otherwise, shall be deemed to have been received on the fourth Business Day after the post-marked date thereof, or if sent by electronic mail, shall be deemed to have been received when sent unless the sender receives a “bounceback” or similar indication that the email was not delivered to the recipient, or if delivered by hand shall be deemed to have been received at the time it is delivered to the applicable address noted below either to the individual designated below or to an individual at such address having apparent authority to accept deliveries on behalf of the addressee. Notice of change of address shall also be governed by this Section 7.7. In the event of a general discontinuance of postal service due to strike, lock-out or otherwise, notices or other communications shall be delivered by hand or sent by electronic mail and shall be deemed to have been received in accordance with this Section 7.7. Notices and other communications shall be addressed as follows:

 

(a)                                 if to the Investor Representative or the Investor:

 

168 Robinson Road

#37-01 Capital Tower

Singapore 068912

Singapore

 

with a copy (which shall not constitute notice) to:

 

Ropes & Gray LLP

1211 Avenue of the Americas

New York, New York 10036-8704

Attention:                                         Anthony J. Norris

Email:                                                            anthony.norris@ropesgray.com

 

(b)                                 if to the Corporation:

 

100 New Park Place Suite 500

Vaughan, Ontario L4J 0H9

Attention: Mindy Gilbert

Email: mgilbert@gflenv.com

 

with a copy (which shall not constitute notice) to:

 

Stikeman Elliott LLP

 

5300 Commerce Court West

Toronto, ON M5L 1B9

Attention:                                         Jeffrey M. Singer

Email:                                                            jsinger@stikeman.com

 

The failure to send or deliver a copy of a notice or other communication to the referred to counsel, as the case may be, shall not invalidate any notice given under this Section 7.7.

 

13

 

Section 7.8                                   Time of Essence

 

Time is of the essence in the performance of this Agreement.

 

Section 7.9                                   Time Periods

 

Unless otherwise specified, time periods within or following which any payment is to be made or act is to be done shall be calculated by excluding the day on which the period commences and including the day on which the period ends and by extending the period to the Business Day immediately following if the last day of the period is not a Business Day.

 

Section 7.10                            Further Assurances

 

Each Party shall use reasonable efforts to take all such steps, execute all such documents and do all such acts and things as may be reasonably within its power to implement to their full extent the provisions of this Agreement and to cause the Corporation to act in the manner contemplated by this Agreement.

 

Section 7.11                            Independent Legal Advice

 

The Parties acknowledge that they have entered into this Agreement willingly with full knowledge of the obligations imposed by the terms of this Agreement. Further, the Parties acknowledge that they have been afforded the opportunity to obtain independent legal advice and confirm by the execution of this Agreement that they have either done so or waived their right to do so, and agree that this Agreement constitutes a binding legal obligation and that they are estopped from raising any claim on the basis that they have not obtained such advice.

 

Section 7.12                            Assignment

 

Except as may be expressly provided in this Agreement, none of the Parties may assign its rights or obligations under this Agreement without the prior written consent of the other Party; provided that, subject to Section 7.3, the Investor may assign its rights and obligations under this Agreement to an Affiliated Transferee in connection with the transfer of any Shares to such Affiliate Transferee. Nothing in this Agreement shall prohibit any assignment by operation of law (including by way of amalgamation, merger or other business combination). The Corporation will not agree to an assignment by any Other Investor of its rights or obligations under any Other Investor Rights Agreement without the prior written consents of the Investor.

 

Section 7.13                            Waiver, Amendment

 

No waiver of any of the provisions of this Agreement will constitute a waiver of any other provision (whether or not similar). No waiver will be binding unless executed in writing by the Party to be bound by the waiver. A Party’s failure or delay in exercising any right under this Agreement will not operate as a waiver of that right. A single or partial exercise of any right will not preclude a Party from any other or further exercise of that right or the exercise of any other right. This Agreement may only be amended, supplemented or otherwise modified by written agreement signed by the Parties. The Corporation will not agree to any waiver, amendment, supplement or other modification of any Other Investor Rights Agreement without the prior written consents of the Investor.

 

Section 7.14                            Entire Agreement

 

This Agreement constitutes the entire agreement between the Parties with respect to the matters contemplated by this Agreement and supersedes all prior agreements, understandings, negotiations and discussions, whether oral or written, of the Parties related to such matters.  There are no representations, warranties, covenants, conditions or other agreements, express or implied,

 

14

 

collateral, statutory or otherwise, between the Parties in connection with the subject matter of this Agreement, except as specifically set forth in this Agreement.  The Parties have not relied and are not relying on any other information, discussion or understanding in entering into this Agreement.

 

Section 7.15                            Successors and Assigns

 

This Agreement becomes effective only when executed by the Parties. After that time, it is binding on and enures to the benefit of the Parties and their respective heirs, administrators, executors, legal representatives, successors and permitted assigns.

 

Section 7.16                            Severability

 

It is the desire and intent of the Parties that the provisions of this Agreement be enforced to the fullest extent permissible under the laws and public policies applied in each jurisdiction in which enforcement is sought.  Accordingly, the invalidity or unenforceability of any particular provision of this Agreement shall not affect the other provisions hereof, and this Agreement shall be construed in all respects as if the invalid or unenforceable provision were omitted.  Notwithstanding the foregoing, if such provision could be more narrowly drawn so as not to be invalid or unenforceable in such jurisdiction, it shall, as to such jurisdiction, be so more narrowly drawn, without invalidating the remaining provisions of this Agreement or affecting the validity or enforceability of such provision in any other jurisdiction.

 

Section 7.17                            Governing Law; Consent to Jurisdiction; WAIVER OF JURY TRIAL

 

This Agreement is governed by and will be interpreted and construed in accordance with the laws of the Province of Ontario and the federal laws of Canada applicable therein.  Any action arising out of or under this Agreement, any other document, instrument or agreement contemplated herein or delivered pursuant hereto, or the transactions contemplated hereby or any of such other documents, instruments or agreements, shall be brought only in a federal or provincial court having jurisdiction and venue in Ontario, Canada, and each of the parties hereby irrevocably submits to the exclusive jurisdiction of such courts and agrees that venue in Ontario is proper.  To the extent permitted by applicable law, final judgment against a Party (a certified copy of which shall be conclusive evidence of the fact and of the amount of any indebtedness of such Party hereunder) in any such legal action or proceeding shall be conclusive and may be enforced in other jurisdictions by suit on an unsatisfied judgment or similar proceeding.  Each of the Parties hereby irrevocably waives and agrees not to assert, by way of motion, as a defense, or otherwise, in any legal action or proceeding, any defense or any Claim that it is not personally subject to the jurisdiction of the above-named Ontario courts for any reason, including claims that such Party may be immune from the above-described legal process (whether through service or notice, attachment prior to judgment, attachment in aid of execution, or otherwise), or that such proceeding is brought in an inconvenient or otherwise improper forum or that this Agreement or any of the other aforementioned documents, instruments or agreements, or the subject matter hereof or thereof, may not be enforced in or by such courts, or that the same are governed by the laws of a jurisdiction other than Ontario.  TO THE EXTENT NOT PROHIBITED BY APPLICABLE LAW WHICH CANNOT BE WAIVED, EACH PARTY HERETO HEREBY WAIVES AND COVENANTS THAT IT SHALL NOT ASSERT (WHETHER AS PLAINTIFF, DEFENDANT OR OTHERWISE) ANY RIGHT TO TRIAL BY JURY IN ANY FORUM IN RESPECT OF ANY ISSUE OR ACTION, CLAIM, CAUSE OF ACTION OR SUIT (IN CONTRACT, TORT OR OTHERWISE), INQUIRY, PROCEEDING OR INVESTIGATION ARISING OUT OF OR BASED UPON THIS AGREEMENT OR THE SUBJECT MATTER HEREOF OR IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE TRANSACTIONS CONTEMPLATED HEREBY, IN EACH CASE WHETHER NOW EXISTING OR HEREAFTER ARISING.  EACH PARTY HERETO ACKNOWLEDGES THAT IT HAS BEEN INFORMED BY THE OTHER PARTIES HERETO THAT THIS SECTION 7.17 CONSTITUTES A MATERIAL INDUCEMENT UPON WHICH THEY ARE RELYING AND SHALL RELY IN ENTERING INTO THIS AGREEMENT.  ANY PARTY HERETO MAY FILE AN ORIGINAL COUNTERPART OR A COPY OF THIS SECTION 7.17 WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF EACH SUCH PARTY TO THE WAIVER OF ITS RIGHT TO TRIAL BY JURY.

 

15

 

Section 7.18                            Counterparts

 

This Agreement may be executed in any number of counterparts and/or by electronic means, each of which shall be deemed an original but all of which together shall constitute one and the same instrument, and all signatures need not appear on any one counterpart.

 

Section 7.19                            No Recourse

 

Notwithstanding anything to the contrary set forth in this Agreement, the Corporation and the Investor each acknowledges, covenants and agrees, on behalf of itself and any Person claiming by, through or on behalf of it, that all claims, obligations, liabilities, causes of action, actions or proceedings (in each case, whether in contract or in tort, at law or in equity, or pursuant to statute or otherwise) that may be based upon, in respect of, arise under, out or by reason of, be connected with, or relate in any manner to this Agreement, or the negotiation, execution, performance, or breach (whether willful, intentional, unintentional or otherwise) of this Agreement, including any representation or warranty made or alleged to be made in, in connection with, or an as inducement to, this Agreement (each of such above-described legal, equitable or other theories or sources of liability, a “Claim”) may be made or asserted only against (and are expressly limited to) the Corporation and the Investor expressly identified in the preamble to and signature page(s) of this Agreement and/or any Person that delivers a counterpart copy of this Agreement or a written agreement substantially in form attached as Exhibit A hereto from time to time, agreeing to be bound by this Agreement.  No Person who is not the Corporation or the Investor (or party joined to this Agreement) (including (1) any past, present or future direct or indirect director, officer, employee, incorporator, member, partner, manager, management company, equityholder, Affiliate, agent, attorney, or Representative of, and any past, present or future financial advisor or lender to (all above-described Persons in this subclause (1), collectively “Affiliated Persons”) the Corporation or such Investor, as applicable, and (2) any Affiliated Persons of such Affiliated Persons) shall have any liability or obligation whatsoever in respect of, based upon or arising out of any Claims.

 

Section 7.20                            Corporate Opportunity

 

The Corporation expressly acknowledges and agrees, to the fullest extent permitted by applicable law, that (1) the Investor and (a) its Affiliates, (b) the managers, directors, officers and employees of the Investor and its Affiliates (not including the Corporation and its Subsidiaries), (c) any Portfolio Company of the Investor and its Affiliates and (d) the Investor’s and its Affiliates’ respective limited partners, non-managing members or other similar direct or indirect investors or beneficiaries (the Persons described in the foregoing clauses (a) through (d), collectively, the “Investor Affiliated Persons”) have the right to, directly or indirectly, engage in and possess interests in other business ventures of every type and description, including those engaged in the same or similar business activities or lines of business as the Corporation or any of its Subsidiaries or deemed to be competing with the Corporation or any of its Subsidiaries, on its own account, or in partnership with, or as an employee, officer, director or shareholder of any other Person, with no obligation to communicate, present or offer to the Corporation or any of its Subsidiaries or any equityholders or directors or managers of the Corporation or any of its Subsidiaries (or their respective Affiliates) the right to participate therein; (2) the Investor and/or the Investor Affiliated Persons may invest in, provide services to or otherwise do business with any client, customer or vendor of the Corporation or any of its Subsidiaries or any Person that directly or indirectly competes with the Corporation or any of its Subsidiaries (including, in each of the foregoing clauses (1) and (2), any such matters or transactions that may constitute a Corporate Opportunity (as defined below)); and (3) neither the Investor nor any Investor Affiliated Persons shall be deemed to have breached any duty (fiduciary, contractual or otherwise), if any, to the Corporation or any of its Subsidiaries or any Other Investor or other equityholder, director, officer, employee or manager of the Corporation or any of its Subsidiaries (or their respective Affiliates), as the case may be, by engaging in any such activities or entering into any such transactions.  The Corporation and its Subsidiaries shall have no interest or expectation in, nor right to be informed of, any potential transaction or matter which may be an investment or business opportunity or prospective economic or competitive advantage in which the Corporation or any of its

 

16

 

Subsidiaries could have an interest or expectancy (each, a “Corporate Opportunity”), and in the event that the Investor or any Investor Affiliated Person acquires knowledge of a potential transaction or matter which may be a Corporate Opportunity, such Person shall have no duty (fiduciary, contractual or otherwise) to communicate, offer or present such Corporate Opportunity to the Corporation or any of its Subsidiaries or any Other Investor or other equityholder, director, officer, employee or manager of the Corporation or any of its Subsidiaries (or their respective Affiliates), as the case may be.  None of the Investor nor any Investor Affiliated Persons shall be liable to the Corporation or any of its Subsidiaries or any Other Investor or other equityholder, director, officer, employee or manager of the Corporation or any of its Subsidiaries (or their respective Affiliates), as the case may be, for breach of any duty (fiduciary, contractual or otherwise) by reason of the fact that such Person, directly or indirectly, pursues or acquires any such Corporate Opportunity for itself, directs such Corporate Opportunity to another Person or does not communicate, offer or present such Corporate Opportunity to the Corporation or any of its Subsidiaries or any Other Investor or other equityholder, director, officer, employee or manager of the Corporation or any of its Subsidiaries (or their respective Affiliates), as the case may be.  This Section 7.20 shall be construed to disclaim and renounce to the fullest extent permitted by law any right of the Corporation or any Subsidiary or any equityholders of the Corporation or any of its Subsidiaries or any Other Investor or other equityholder, director, officer, employee or manager of the Corporation or any of its Subsidiaries (or their respective Affiliates) with respect to the matters set forth herein.  This Section 7.20 shall be construed to effect such disclaimer and renunciation to the full extent permitted by law.

 

Section 7.21                            Margin Loan Matters

 

(1)                                 The Corporation acknowledges and agrees that, with respect to any Shares pledged by the Investor to any applicable lender under the Margin Loan Documentation (each, an “Applicable Lender”) and registered on the books and records of the Corporation’s transfer agent in the name of such Applicable Lender as provided under the Margin Loan Documentation (any such shares, “Pledged Shares”), except to the extent of any transfer of any such Pledged Shares pursuant to an exercise by an Applicable Lender of its remedies under the Margin Loan Documentation following an event of default thereunder, the Investor (a) is, as of the date hereof, and shall continue to be, bound by, subject to the terms and conditions of and entitled to (in lieu of the relevant Applicable Lender) exercise all rights and remedies under, this Agreement in respect of such Pledged Shares, including being considered as a “Shareholder” and the “Investor” hereunder, in each case, as if the Investor was the registered holder of such Pledged Shares and (b) shall be deemed to beneficially own, directly or indirectly, such Pledged Shares for all purposes hereunder.

 

(2)                                 For all purposes under this Agreement, for so long as GFL Borrower II (Cayman) LP (the “GIC Margin Loan Borrower”) directly holds any Shares which constitute Pledged Shares hereunder, (a) the GIC Margin Loan Borrower shall be deemed to be the “Investor,” an “Affiliate” of the Investor and/or an “Affiliated Transferee” of the Investor hereunder (but, for the avoidance of doubt, neither BC Partners Advisors L.P. nor any of its Affiliates (other than the GIC Margin Loan Borrower) shall be deemed to be the “Investor,” an “Affiliate” of the Investor or an “Affiliated Transferee” of the Investor hereunder) and (b) the Investor shall be deemed to beneficially own, directly or indirectly, the Pledged Shares which are directly held by GIC Margin Loan Borrower.

 

[Remainder of page intentionally left blank]

 

17

 

IN WITNESS WHEREOF, the parties have executed and delivered this Agreement on the date specified above.

 

	
 
    	
GFL   ENVIRONMENTAL INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Luke Pelosi
    
	
 
    	
Name:
    	
Luke Pelosi
    
	
 
    	
Title:
    	
Executive Vice President and Chief Financial Officer
    

 

 

	
 
    	
MAGNY   COURS INVESTMENT PTE LTD.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Alex Moskowitz
    
	
 
    	
Name:
    	
Alex Moskowitz
    
	
 
    	
Title:
    	
Authorized Signatory
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
GFL   BORROWER II (CAYMAN) LP, acting by its general partner GFL BORROWER II GP (CAYMAN), LTD
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Matthew Elston
    
	
 
    	
Name:
    	
Matthew Elston
    
	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Mariana Enevoldsen
    
	
 
    	
Name:
    	
Mariana Enevoldsen
    
	
 
    	
Title:
    	
DirectorExhibit 10.5

 

THIRD AMENDED AND RESTATED REGISTRATION RIGHTS AGREEMENT

 

GFL ENVIRONMENTAL INC.

 

Dated as of March 5, 2020

 

 

TABLE OF CONTENTS

 

	
 
    	
 
    	
Page
    
	
1.
    	
Definitions
    	
1
    
	
2.
    	
Registration Rights
    	
6
    
	
 
    	
2.2
    	
Shelf Registrations and   Take Downs
    	
8
    
	
 
    	
2.3
    	
Underwritten Offerings
    	
10
    
	
 
    	
2.4
    	
Corporation   Registration and Piggyback Rights
    	
11
    
	
 
    	
2.5
    	
Obligations of the   Corporation
    	
12
    
	
 
    	
2.6
    	
Furnish Information
    	
17
    
	
 
    	
2.8
    	
Indemnification
    	
17
    
	
 
    	
2.9
    	
Reports Under Exchange   Act
    	
17
    
	
 
    	
2.10
    	
Lock-Up Agreement
    	
19
    
	
 
    	
2.11
    	
Termination of Demand   Rights
    	
20
    
	
 
    	
3.
    	
Miscellaneous
    	
21
    
	
 
    	
3.1
    	
Successors and Assigns
    	
21
    
	
 
    	
3.2
    	
Rights of Third Parties
    	
21
    
	
 
    	
3.3
    	
Governing Law; Consent   to Jurisdiction; WAIVER OF JURY TRIAL
    	
22
    
	
 
    	
3.4
    	
Counterparts/Electronic   Signatures
    	
23
    
	
 
    	
3.5
    	
Headings
    	
23
    
	
 
    	
3.6
    	
Notices
    	
23
    
	
 
    	
3.7
    	
Amendments
    	
25
    
	
 
    	
3.8
    	
Severability
    	
25
    
	
 
    	
3.9
    	
Aggregation of   Securities
    	
25
    
	
 
    	
3.10
    	
Entire Agreement
    	
25
    
	
 
    	
3.11
    	
Delays or Omissions
    	
25
    
	
 
    	
3.12
    	
No Conflicting or   Preferential Rights
    	
25
    
	
 
    	
3.13
    	
Specific Performance
    	
26
    
	
 
    	
3.14
    	
Actions and Approvals   by the Groups
    	
26
    
					

 

i

 

THIRD AMENDED AND RESTATED REGISTRATION RIGHTS AGREEMENT

 

This THIRD AMENDED AND RESTATED REGISTRATION RIGHTS AGREEMENT (this “Agreement”), is made as of March 5, 2020, by and among GFL Environmental Inc., a corporation amalgamated under the laws of Ontario (together with its successors, the “Corporation”), and each of the Persons set forth on the signature pages hereto and identified as a “Holder” hereto, each of which, together with each other person who holds Registrable Securities who may from time to time become bound hereby in accordance with the terms hereof, is referred to in this Agreement as a “Holder”.

 

RECITALS

 

WHEREAS, GFL Environmental Holdings Inc. and certain of the Holders previously entered into a Registration Rights Agreement, dated as of May 31, 2018, as amended and restated by a First Amended and Restated Registration Rights Agreement, dated as of October 17, 2018 and as amended and restated by a Second Amended and Restated Registration Rights Agreement, dated as of November 14, 2018 (the “Second A&R Registration Rights Agreement”);

 

WHEREAS, GFL Environmental Inc. and GFL Environmental Holdings Inc. amalgamated, forming the Corporation (the “Amalgamation”);

 

WHEREAS, the Corporation consummated an initial public offering of the Corporation’s subordinate voting shares and tangible equity units (the “Initial Public Offering”) substantially concurrently with the Amalgamation; and

 

WHEREAS, effective on the date hereof, the Holders wish to amend and restate the Second A&R Registration Rights Agreement in its entirety as set forth herein in order to provide, inter alia, each Holder with the registration rights specified in this Agreement with respect to the Registrable Securities (as defined herein) held by each Holder and the distribution of such Registrable Securities under applicable securities laws subsequent to the Initial Public Offering in such manner as each Holder may designate on the terms and conditions of this Agreement.

 

NOW, THEREFORE, for and in consideration of the mutual agreements contained herein and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto, intending to be legally bound hereby, agree as follows:

 

1.                                      Definitions.  For purposes of this Agreement, the following terms shall have the following meanings:

 

“Affiliate” means, with respect to any specified Person, any other Person which, directly or indirectly, through one or more intermediaries controls, or is controlled by, or is under common control with, such specified Person (for the purposes of this definition, “control” (including, with correlative meanings, the terms “controlling,” “controlled by” and “under common control with”), as used with respect to any Person, means the possession, directly or indirectly, of the power to direct or cause the direction of the management or policies of such Person, whether through the ownership of voting securities, by agreement or otherwise); provided that, for purposes of this Agreement, the Corporation and its subsidiaries shall not be considered Affiliates of any Holder and its other Affiliates and any Holder and its Affiliates shall not be considered Affiliates of the Corporation and its subsidiaries. In this Agreement, any Person will be deemed to be Affiliated with any other Person if they are Affiliates of each other.

 

“Affiliated Transferee” means (a) with respect to the BC Group, any Affiliate of any member of the BC Group or any successor entity to any member of the BC Group or its Affiliates (excluding any portfolio company (as such term is commonly used in the private equity industry) of any investment fund, managed account, side-by-side vehicle, co-investment vehicle or similar investment vehicle managed, advised or controlled by BC Partners Advisors L.P. or its Affiliates), (b) with respect to the OTPP Group, any Affiliated fund or Affiliated investment vehicle of, or other entity Affiliated with, the Ontario Teachers’

 

 

Pension Plan Board and, in each case, with respect to which Ontario Teachers’ Pension Plan Board retains sole economic and governance rights with respect to its direct or indirect investment in the Corporation (excluding any portfolio company of Ontario Teachers’ Pension Plan Board or of any investment fund, managed account, side-by-side vehicle, co-investment vehicle or similar investment vehicle managed, advised or controlled by Ontario Teachers’ Pension Plan Board or its Affiliates), (c) with respect to the GIC Group, any entity that is directly or indirectly wholly owned by GIC (Ventures) Pte Ltd. (excluding any portfolio company of GIC (Ventures) Pte Ltd., any investment fund, managed account, side-by-side vehicle, co-investment vehicle or similar investment vehicle managed, advised or controlled by GIC (Ventures) Pte Ltd. or its Affiliates), (d) with respect to the Founder, any Permitted Holders (as defined in the articles of the Corporation), and (e) with respect to any other Holder, the spouse or legal equivalent, the parents and/or the lineal descendants thereof (the “Holder Related Persons”) or any trust, partnership, corporation, limited liability company or other estate or planning or investment vehicle in which no other Person has any legal, economic, beneficial or other interest other than such Holder and/or the Holder Related Persons, as applicable, and with respect to which, in the case of clause (e), a transfer to such Person does not result in any change in the effective control of such Holder’s Registrable Securities.

 

“Agreement” has the meaning ascribed thereto in the preamble.

 

“Applicable Lender” means any applicable lender in whose name any Multiple Voting Shares or Subordinate Voting Shares may be registered on the books and records of the Corporation’s transfer agent as provided under the Margin Loan Documentation.

 

“BC Group” means, collectively, BCEC—GFL Holdings (Guernsey) L.P. and its Affiliated Transferees.

 

“Business Day” means any day of the year, other than a Saturday, Sunday or any day on which commercial banks are closed for business in Toronto, Ontario, Canada; New York, New York, United States; or London, England.

 

“Canadian Long-Form Prospectus” means a prospectus prepared in accordance with the requirements of Canadian securities laws for an initial public offering of securities in Canada, or for any other offering of securities that is not eligible to use a Canadian Short-Form Prospectus, pursuant to National Instrument 41-101 General Prospectus Requirements of the Canadian Securities Administrators, or any successor to that instrument.

 

“Canadian Prospectus” means a Canadian Long-Form Prospectus or a Canadian Short-Form Prospectus.

 

“Canadian Shelf Prospectus” means a Canadian Short-Form Prospectus used to qualify a distribution of securities in Canada on a delayed or continuous basis, pursuant to National Instrument 44-102 Shelf Distributions of the Canadian Securities Administrators, or any successor to that instrument.

 

“Canadian Short-Form Prospectus” means a prospectus prepared in accordance with the requirements of Canadian securities laws pursuant to rules and procedures that permit the incorporation by reference of previously filed Canadian continuous disclosure documents, pursuant to National Instrument 44-101 Short Form Prospectus Distributions of the Canadian Securities Administrators, or any successor to that instrument.

 

“Claim” means each of the following legal, equitable or other theories or sources of liability: claims, obligations, liabilities, causes of action, actions or proceedings (in each case, whether in contract or in tort, at law or in equity, or pursuant to statute or otherwise) that may be based upon, in respect of, arise under, out or by reason of, be connected with, or relate in any manner to this Agreement, or the negotiation, execution, performance, or breach (whether willful, intentional, unintentional or otherwise) of this Agreement, including any representation or warranty made or alleged to be made in, in connection with, or an as inducement to, this Agreement.

 

2

 

“Corporation” has the meaning ascribed thereto in the preamble.

 

“Damages” means any loss, damage, claim, liability (joint or several) (or any action or proceeding in respect thereof, whether commenced or threatened), costs (including costs of preparation and attorneys’ fees) and expenses (including expenses of investigation) to which a party hereto may become subject under the Securities Act, the Exchange Act or any other U.S. federal or state securities law, the securities laws of any province or territory of Canada, and any other applicable laws, insofar as such loss, damage, claim, liability (or any such action or proceeding in respect thereof), cost or expense arises out of or is based upon: (a) any untrue statement or alleged untrue statement of a material fact contained in any Registration Statement of the Corporation, including any preliminary Prospectus, form of Prospectus or final Prospectus contained therein or any amendments or supplements thereto; (b) an omission or alleged omission to state therein a material fact required to be stated therein, or necessary to make the statements therein not misleading or not misleading in light of the circumstances in which they were made; (c) any violation or alleged violation by the indemnifying party (or any of its agents, representatives or Affiliates) of the Securities Act, the Exchange Act or any other U.S. federal or state securities law, or any rule or regulation promulgated under the Securities Act, the Exchange Act or any other U.S. federal or state securities law, the securities laws of any province or territory of Canada, or any other applicable laws; or (d) any “misrepresentation” (as defined under applicable Canadian securities laws) contained in a Canadian Prospectus.

 

“Demand Notice” means a written notice to the Corporation from a Holder (with the right to make such notice in accordance with Section 2.1(d) or 2.2(e)) to register Registered Securities pursuant to Section 2.1(a) or 2.2(b).

 

“Exchange Act” means the U.S. Securities Exchange Act of 1934, as amended, or any successor act, and the rules and regulations thereunder.

 

“Excluded Registration” means (a) a registration relating to the sale of securities to employees of the Corporation or a subsidiary pursuant to a stock option, share purchase, or similar plan; (b) a registration on Form S-4 or Form S-8, or any similar or successor registration form under the Securities Act subsequently adopted by the SEC, or a Canadian Prospectus the purpose of which is solely to qualify a distribution of securities in connection with an acquisition or business combination transaction, or for distribution to employees, directors, officers or consultants of the Corporation or its affiliates; or (c) a registration in which the only Subordinate Voting Shares being registered are Subordinate Voting Shares issuable upon conversion of debt securities that are also being registered.

 

“Form F-10” means Form F-10 under the Securities Act as in effect on the date hereof or any successor registration form under the Securities Act subsequently adopted by the SEC used to register securities pursuant to the Canada / U.S. Multijurisdictional Disclosure System.

 

“Form S-1” means Form S-1 under the Securities Act as in effect on the date hereof (or, if applicable, Form F-1 or other similar form) or any successor registration form under the Securities Act subsequently adopted by the SEC.

 

“Form S-1 Registration Statement” means a registration statement on Form S-1 (or, if applicable, a registration statement on Form F-1).

 

“Form S-3” means Form S-3 under the Securities Act as in effect on the date hereof (or, if applicable, Form F-3 or other similar form, or Form F-10) or any registration form under the Securities Act subsequently adopted by the SEC that permits incorporation of substantial information by reference to other documents filed by the Corporation with the SEC.

 

“Form S-3 Registration Statement” means a registration statement on Form S-3 (or, if applicable, a registration statement on Form F-3).

 

3

 

“Founder” means Patrick Dovigi.

 

“Founder Group” means the Founder, Sejosa Holdings Inc. and Josaud Holdings Inc. and their Affiliated Transferees.

 

“GIC Group” means Magny Cours Investment Pte Ltd. and its Affiliated Transferees.

 

“Governmental Authority” means any governmental, regulatory or administrative authority or body, department, agency, commission, board, panel, tribunal or court or other lawmaking or enforcing entity having jurisdiction on behalf of any nation, or province, territory or state or other subdivision thereof or any municipality, district or other subdivision thereof.

 

“Holder” has the meaning ascribed thereto in the preamble.

 

“Initial Public Offering” has the meaning ascribed thereto in the recitals.

 

“Initiating Holder” means a Holder who makes a Demand Notice pursuant to Section 2 or 2.2(b) or who delivers a Take-Down Notice for an underwritten Shelf Offering pursuant to Section 2.2(d).

 

“Investors’ Rights Agreements” means the investor rights agreements that certain Holders entered into with the Corporation in connection with the Initial Public Offering.

 

“IPO Lock-up Agreement” means, in respect of each Holder, the lock-up agreement entered into by such Holder in connection with the Initial Public Offering.

 

“Margin Loan Documentation” means those certain margin loan agreements, each by and among Bank of Montreal, as Administrative Agent and Calculation Agent, a Holder and the lenders party thereto dated March 4, 2020 and agreements and documents ancillary thereto.

 

“Marketed Offering” means a registration or offering that includes a customary “road show” or other substantial marketing effort by the Corporation.

 

“Multiple Voting Shares” means Multiple Voting Shares in the share capital of the Corporation, as they may be amended or changed from time to time.

 

“OTPP Group” means OTPP Environmental Services Trust and its Affiliated Transferees.

 

“Person” means any individual, partnership, corporation, association, limited liability company, trust, joint venture, unincorporated organization or other legal entity, or any government, governmental department or agency or political subdivision thereof.

 

“Piggyback Notice” has the meaning ascribed thereto in Section 2.4.

 

“Poole Family Group” shall mean the Poole Private Capital, LLC.

 

“Prospectus” means the prospectus included in any Registration Statement (including a prospectus that discloses information previously omitted from a prospectus filed as part of an effective Registration Statement in reliance upon Rule 430A promulgated under the Securities Act), as amended or supplemented by any prospectus supplement, and all other amendments and supplements to the Prospectus, including post-effective amendments, and all material incorporated by reference or deemed to be incorporated by reference in such prospectus.

 

“registration” means a registration of securities under the Securities Act, or a qualification of securities for distribution to the public pursuant to a Canadian Prospectus, or both, as the context may require.

 

4

 

“Registrable Securities” means any Subordinate Voting Shares currently held or hereafter acquired by the Holders, including any Subordinate Voting Shares issuable or issued upon conversion of Multiple Voting Shares held by any Holder, and any other securities issued or issuable with respect to any such shares by way of share split, share dividend, recapitalization, merger, amalgamation, exchange, consolidation, reorganization, plan of arrangement or similar event or otherwise, but excluding any such Subordinate Voting Shares or any such other securities which are subject to vesting conditions, restrictions or limitations with respect to the exchange, conversion or exercise thereof or the entitlement to the economic benefits thereof are otherwise restricted by the terms thereof.  As to any particular Registrable Securities, (a) if issued in the United States, or in a transaction pursuant to which they are otherwise “restricted securities” within the meaning of Rule 144 under the Securities Act, such securities shall cease to be Registrable Securities when (i) they are sold to the public either pursuant to an effective Registration Statement under the Securities Act or Rule 144 under the Securities Act (or any similar provision then in force under the Securities Act), (ii) they are distributed to the public pursuant to Rule 144 under the Securities Act (or any similar provision then in force under the Securities Act), (iii) they shall have ceased to be outstanding, or (iv) they have been sold in a private transaction in which the transferor’s rights under this Agreement are not assigned to the transferee of the securities; and (b) if issued in Canada, or in a transaction pursuant to which they are otherwise subject to any applicable Canadian resale restrictions, such securities shall cease to be Registrable Securities when (i) they are sold to the public pursuant to a Canadian Prospectus; (ii) they are sold pursuant to the prospectus exemption afforded by Section 2.8 of National Instrument 45-102 Resale of Securities of the Canadian Securities Administrators (“NI 45-102”); (iii) they are sold pursuant to the prospectus exemption afforded by Section 2.5 or Section 2.6 of NI 45-102; (iv) they shall have ceased to be outstanding, or (v) they have been sold in a private transaction in which the transferor’s rights under this Agreement are not assigned to the transferee of the securities.

 

“Registration Statement” means any registration statement of the Corporation under the Securities Act which covers any of the Registrable Securities pursuant to the provisions of this Agreement, including the Prospectus, amendments and supplements to such registration statement, including post-effective amendments, all exhibits and all material incorporated by reference or deemed to be incorporated by reference in such registration statement.

 

“SEC” means the U.S. Securities and Exchange Commission.

 

“Securities” has the meaning ascribed thereto in Section 2.10.

 

“Securities Act” means the U.S. Securities Act of 1933, as amended from time to time, and the rules and regulations promulgated thereunder.

 

“Selling Expenses” means all underwriting discounts or selling commissions payable by the Holders attributable to the sale of Registrable Securities, and fees and disbursements of counsel for any Holder, except for the fees and disbursements of the Selling Holder Counsel borne and paid by the Corporation as provided in Section 2.7.

 

“Selling Holder Counsel” has the meaning ascribed thereto in Section 2.7.

 

“Selling Holder Representations” has the meaning ascribed thereto in Section 2.3(a).

 

“Shareholder Group” means, as applicable, the BC Group, the Founder Group, the GIC Group, the OTPP Group and the Poole Family Group.

 

“Shelf Offering” has the meaning ascribed thereto in Section 2.2(b).

 

“Shelf Registration Statement” has the meaning ascribed thereto in Section 2.2.

 

“Subordinate Voting Shares” means Subordinate Voting Shares in the capital of the Corporation, as they may be amended or changed from time to time.

 

5

 

“Take-Down Notice” has the meaning ascribed thereto in Section 2.2(b).

 

2.                                      Registration Rights.  The Corporation covenants and agrees as follows:

 

2.1                               Non-Shelf Demand Registration.

 

(a)                                 If at any time after 180 days after the effective date of the registration statement for the Initial Public Offering or the date of the issuance of a receipt for a Canadian Long-Form Prospectus for the Initial Public Offering, as applicable, the Corporation receives a Demand Notice from an Initiating Holder with the right to deliver a Demand Notice in accordance with Section 2.1(d) that (i) the Corporation file (A) a Form S-1 Registration Statement, if the Corporation has previously registered securities under the Securities Act, (B) a Canadian Long-Form Prospectus in any or all of the provinces and territories of Canada, if the Corporation has already become a reporting issuer in any jurisdiction of Canada, or (C) both a Form S-1 Registration Statement and a Canadian Long-Form Prospectus in any or all of the provinces and territories of Canada, if the Corporation has both previously registered securities under the Securities Act and also has already become a reporting issuer in any jurisdiction of Canada, or (ii) at any time when the Corporation is eligible to do so, that the Corporation file (A) a Form S-3 Registration Statement, (B) a Canadian Short-Form Prospectus in any or all of the provinces and territories of Canada or (C) both a Form S-3 Registration Statement and a Canadian Short-Form Prospectus in any or all of the provinces and territories of Canada (provided that any request for the Corporation to file a “shelf” registration statement, including as an automatic shelf registration, shall be subject to Section 2.2(c)), then the Corporation shall (x) promptly (and no later than within five days) after the date such request is given, give written notice thereof to all Holders other than the Initiating Holder and (y) as soon as practicable, and in any event within 90 days after the date the Demand Notice is delivered (in the case of request for a Form S-1 Registration Statement or a Canadian Long-Form Prospectus) and within 30 days after the date the Demand Notice is delivered (in the case of request for a Form S-3 Registration Statement or Canadian Short-Form Prospectus) file the applicable Registration Statement (and thereafter use its reasonable best efforts to cause such Registration Statement to be declared effective by the SEC as soon as practicable thereafter, if applicable), and alternatively or additionally file the applicable Canadian Prospectus (and thereafter use its reasonable best efforts to obtain a final receipt for such Canadian Prospectus to be issued by the applicable Canadian securities regulatory authorities as soon as practicable thereafter) covering all Registrable Securities that the Initiating Holder requested to be registered and any additional Registrable Securities requested to be included in such registration by any other Holders, as specified by notice given by each such Holder to the Corporation within 10 days after notice of such Demand Notice was given to the other Holders, and in each case, subject to the limitations of Section 2.3; provided that an Initiating Holder may, subject to any restrictions in the applicable IPO Lock-up Agreement, make a Demand Notice requiring a Form S-1 Registration Statement to be filed at any time prior to 180 days after the effective date of the registration statement for the Initial Public Offering or requiring a Canadian Long-Form Prospectus to be filed at any time prior to 180 days after the date of the issuance of a receipt for a Canadian Long-Form Prospectus for the Initial Public Offering, or, if applicable, both; provided, however, that, notwithstanding the foregoing proviso, no Initiating Holder may make a Demand Notice requiring either a Form S-1 Registration Statement or Canadian Prospectus to be filed during such 180 day period if it would be required to contain material information that had not previously been publicly disclosed by the Corporation pursuant to its periodic reporting obligations under the Exchange Act or its continuous disclosure obligations under Canadian securities laws or otherwise.  The Corporation shall not be obligated to file an S-1 Registration Statement if the Corporation is eligible to use Form S-3 and the Corporation elects to file a Form S-3 Registration Statement for such Registrable Securities instead. The Corporation shall not be obligated to file a Canadian Long-Form Prospectus if the Corporation is eligible to file a Canadian Short-Form Prospectus and the Corporation elects to file a Canadian Short-Form Prospectus for such Registrable Securities instead.  If the Initiating Holder intends to distribute the Registrable Securities covered by its Demand Notice by means of an underwritten offering, such Initiating Holder shall so advise the Corporation in the Demand Notice.  If the underwriting is a Marketed

 

6

 

Offering, the underwriter(s) will be selected by the Initiating Holder and shall be subject to the approval of the Corporation, such approval not to be unreasonably withheld or delayed. If the underwriting is not a Marketed Offering, the underwriters will be selected by the Initiating Holder.

 

(b)                                 Notwithstanding the obligations in Sections 2.1(a) or 2.2(b), if, within five Business Days following receipt of a Demand Notice or a Take-Down Notice, the Corporation furnishes to the Initiating Holder thereof a notice stating that, in the good faith judgment of the Corporation’s board of directors, it would materially adversely affect the Corporation for such Registration Statement to be filed, to become effective or to remain effective for so long as such Registration Statement otherwise would be required to remain effective, or for such Canadian Prospectus to be used for a distribution of securities, or for such distribution to continue for so long as it otherwise would continue, because such action would (i) materially interfere with a bona fide significant acquisition or other similar significant transaction involving the Corporation or (ii) require premature disclosure of material non-public information (which term, when used in this Agreement, shall include material facts or material changes within the meaning of Canadian securities laws and “privileged information” within the meaning of the Securities Act (Quebec)) that the Corporation has a bona fide business purpose for preserving as confidential (and such information would not otherwise be required to be publicly disclosed by the Corporation at that time in a periodic report to be filed with or furnished to the SEC under the Exchange Act, or publicly disclosed under the continuous disclosure requirements of Canadian securities laws, but for the filing of such Registration Statement or Canadian Prospectus), then the Corporation shall have the right to defer such filing, and any time periods with respect to filing or effectiveness thereof shall be tolled correspondingly, for a period of not more than 90 days after the request of the Initiating Holder is given; provided, however, that the Corporation (A) may not invoke this right, together with the right to postpone any registration or Shelf Offering pursuant to Section 2.1(c), more than once in any 12 month period, (B) shall not register or qualify any securities for its own account or that of any other shareholder during such 90 day period other than an Excluded Registration (so long as any such Excluded Registration does not result in any of the consequences set forth in clauses (i) or (ii) of this Section 2.1(b)) and (C) will otherwise continue with the preparation of the requested registration as provided herein (unless otherwise requested by the Initiating Holder). Any deferral pursuant to this Section 2.1(b) shall expire, and the requested Registration Statement or Canadian Prospectus shall forthwith be filed, if the material non-public information pursuant to the foregoing clause (ii) is disclosed or if the acquisition or transaction pursuant to the foregoing clause (i) is terminated.  An Initiating Holder whose Demand Notice pursuant to Section 2.1(a) or 2.2(c) is deferred pursuant to this Section 2.1(b) or 2.1(c) shall have the right to withdraw such Demand Notice within 30 days after receiving notice of a deferral and, if withdrawn, the Initiating Holder shall not be responsible for any expenses with respect to any registration contemplated by such withdrawn Demand Notice.

 

(c)                                  Subject to clause (A) of the proviso set forth in Section 2.1(b), the Corporation shall not be obligated to file any Registration Statement or Canadian Prospectus pursuant to Section 2.1(a) or any Prospectus for a Shelf Offering, or Canadian Shelf Prospectus, pursuant to Section 2.2(b) during the period that is 30 days before the Corporation’s good faith estimate of the date of filing of, and ending on a date that is 90 days after the effective date of, a Corporation initiated registration or Canadian Prospectus filing for an underwritten offering of Subordinate Voting Shares or Securities (other than an Excluded Registration); provided that (i) at the time of the delivery of the applicable Demand Notice or Take-Down Notice, the Corporation is actively engaged in preparations specifically for such offering, (ii) the Holders may include Registrable Securities in such offering pursuant to Section 2.4, (iii) the Corporation is actively employing in good faith commercially reasonable efforts to cause such Corporation initiated registration to become effective and (iv) the Corporation will otherwise continue with reasonable preparations related to the requested registration as provided herein (unless otherwise requested by the Initiating Holder).  Any deferral pursuant to this Section 2.1(c) shall expire, and the requested Registration Statement or Canadian Prospectus shall forthwith be filed, if the proposed registration or Canadian Prospectus filing by the Corporation under this Section 2.1(c) is abandoned or the filing of the registration statement with respect to such proposed registration, or

 

7

 

the filing of the Canadian Prospectus, for the Corporation’s account is delayed by more than 30 days from the time of receipt of the Demand Notice.  To effect the deferral pursuant to this Section 2.1(c), the Corporation must, within five Business Days following receipt of a Demand Notice or Take-Down Notice, furnish to the Initiating Holder thereof a notice stating that the Corporation is undertaking at such time an offering as described in the first sentence of this Section 2.1(c).

 

(d)                                 Limitations on Non-Shelf Demand Notices.  In addition to any rights pursuant to Sections 2.2(f) and 2.4, (x) the BC Group shall have the right to make five Demand Notices in total pursuant to this Section 2 (inclusive of any Demand Notice made pursuant to Section 2.1(a) and 2.2(c)), (y) the OTPP Group shall have the right to make three Demand Notices in total pursuant to this Section 2 (inclusive of any Demand Notice made pursuant to Section 2.1(a) and 2.2(c)) and (z) the GIC Group and the Founder Group shall each have the right to make two Demand Notices in total pursuant to this Section 2 (inclusive of any Demand Notice made pursuant to Section 2.1(a) and 2.2(c)); provided that, in each case, a Demand Notice may only be made by such Shareholder Group if the sale of the Registrable Securities requested to be registered by such Shareholder Group in such Demand Notice is reasonably expected to result in aggregate gross cash proceeds in excess of US$50,000,000 or the foreign currency equivalent thereof (without regard to any underwriting discount or commission); provided further that the Founder Group shall not have the right to deliver a Demand Notice pursuant to Section 2.1(a) for a Marketed Offering (whether underwritten or not). No other Holder shall have the right to deliver a Demand Notice pursuant to Section 2.1(a).  A Demand Notice shall not be counted as “made” for purposes of this Section 2.1(d): (i) until such time as the applicable Registration Statement has been declared effective by the SEC and remains effective for the period of time required herein or a receipt has been issued by the Canadian securities regulatory authorities for the applicable Canadian Prospectus, and such Canadian Prospectus remains available for use for the period of time required herein, (ii) if the Initiating Holder withdraws its Demand Notice and, except for withdrawn Demand Notices as specified in Section 2.1(b), elects to pay the registration expenses therefor, (iii) the transactions contemplated by the applicable underwriting agreement fail to close (other than due to any act or omission of the Initiating Holder) or (iv) in the case of an underwritten offering, if less than 50% of the Registrable Securities initially requested by the Initiating Holder to be included are not so included pursuant to Section 2.3. Notwithstanding anything to the contrary set forth in this Agreement, during the first 270 days following the effective date of the registration statement for the Initial Public Offering or the date of the issuance of a receipt for a Canadian Long-Form Prospectus for the Initial Public Offering, as applicable, the BC Group shall have the right to make the initial Demand Notice pursuant to Section 2.1(a) and no other Holder shall deliver a Demand Notice during the same 270-day period until the Corporation has first effected a Registration Statement or filed a Canadian Prospectus pursuant to a Demand Notice from the BC Group.

 

2.2                               Shelf Registrations and Take Downs.

 

(a)                                 The Corporation shall use its reasonable best efforts to qualify to be able to register securities on Form S-3 (provided that the foregoing shall not require the Corporation to become an SEC registrant if it has not already done so) and to become eligible to file a Canadian Short-Form Prospectus (provided that the foregoing shall not require the Corporation to become a reporting issuer in any province or territory of Canada if it has not already done so).  At any time following the time when the Corporation is eligible to use a Form S-3 or a Canadian Short-Form Prospectus, an Initiating Holder may use its right to make a Demand Notice under Section 2.1(a) to request that the Corporation file a Registration Statement that is a “shelf” Registration Statement, including as an automatic shelf registration, or to file a Canadian Shelf Prospectus, if eligible to use a Canadian Short-Form Prospectus, providing for the offer and sale of Registrable Securities by the Holders on a delayed or continuous basis as permitted by the Securities Act (in which case the intended method of distribution may be general in nature or contemplate multiple methods of distribution) or the procedures relating to the use of a Canadian Shelf Prospectus under applicable Canadian securities laws (a “Shelf Registration Statement”) or a post-effective amendment to a Shelf Registration Statement to register additional Registrable

 

8

 

Securities, or an amendment to a Canadian Shelf Prospectus to qualify additional Registrable Securities, and, in such case, the Corporation shall (x) promptly (and no later than within five Business Days) after the date such request is given, give written notice thereof to all Holders and (y) as soon as practicable, and in any event within 30 days after the date the Initiating Holder makes such request, file the Shelf Registration Statement (or post-effective amendment thereto) or the Canadian Shelf Prospectus (or amendment thereto) covering all Registrable Securities (including an unspecified amount of Registrable Securities) that the requesting Holder(s) requested to be registered and any additional Registrable Securities requested to be included in such registration (or post-effective amendment) by any other Holders, as specified by notice given by each such Holder to the Corporation within 15 days after notice of such request from the Initiating Holder was provided to the other Holders. From and after the initial effectiveness of the Shelf Registration Statement, the Corporation shall, automatically and without any additional request by any Holder to do so, file a new Shelf Registration Statement covering the Registrable Securities from time to time as needed to maintain the effectiveness of any Shelf Registration Statement and keep it available for resales of Registrable Securities pursuant to this Agreement.

 

(b)                                 At any time that such a Shelf Registration Statement covering Registrable Securities is effective, if a Holder delivers a notice to the Corporation (a “Take-Down Notice”) stating that they intend to sell all or part of their Registrable Securities included on the Shelf Registration Statement or a Canadian Shelf Prospectus (a “Shelf Offering”), then the Corporation shall amend or supplement the Shelf Registration Statement or Canadian Shelf Prospectus as may be necessary in order to enable such Registrable Securities to be distributed pursuant to the Shelf Offering (taking into account if applicable the inclusion of Registrable Securities by any other Holders pursuant to Section 2.2(f)); provided that any such Shelf Offering shall not be (i) a Marketed Offering except in accordance with Section 2.2(c) or (ii) an underwritten Shelf Offering (other than an Marketed Offering) except in accordance with Section 2.2(d).

 

(c)                                  Only an Initiating Holder with the right to deliver a Demand Notice in accordance with Section 2.2(e) (other than, for the avoidance of doubt, the Founder Group) may deliver a Take-Down Notice for a Marketed Offering (whether underwritten or not) and such Take-Down Notice shall count as a Demand Notice purposes of Section 2.2(e). The underwriter(s) for such Marketed Offering will be selected by the Initiating Holder and  reasonably acceptable to the Corporation, such approval not to be unreasonably withheld or delayed.

 

(d)                                 A Holder may only deliver a Take-Down Notice for an underwritten Shelf Offering (including a block trade or bought deal transaction with one or more underwriters or other third parties but excluding any Marketed Offering) if the sale of the Registrable Securities by such Holder (and its related Shareholder Group) in such Take-Down Notice is reasonably expected to result in aggregate gross cash proceeds in excess of US$50,000,000 or the foreign currency equivalent thereof (without regard to any underwriting discount or commission). For any such underwritten Shelf Offering, the underwriter(s) will be selected by the Holders of a majority of the Registrable Securities to be included in such offering.

 

(e)                                  Limitations on Shelf Demand Notices.  In addition to any rights pursuant to Sections 2.2(f) and 2.4, (x) the BC Group shall have the right to make five Demand Notices in total pursuant to this Section 2 (inclusive of any Demand Notice made pursuant to Section 2.1(a) and 2.2(c)), (y) the OTPP Group shall have the right to make three Demand Notices in total pursuant to this Section 2 (inclusive of any Demand Notice made pursuant to Section 2.1(a) and 2.2(c))and (z) the GIC Group and the Founder Group shall each have the right to make two Demand Notices in total pursuant to this Section 2 (inclusive of any Demand Notice made pursuant to Section 2.1(a) and 2.2(c)); provided that, in each case, such Demand Notice may only be made by such Shareholder Group if the sale of the Registrable Securities included in such Demand Notice is reasonably expected to result in aggregate gross cash proceeds in excess of US$50,000,000 or the foreign currency equivalent thereof (without regard to any underwriting discount or commission); provided further that the Founder Group shall not have the right to deliver a Demand Notice pursuant to Section 2.2(c) for a Marketed Offering (whether underwritten or not).

 

9

 

No other Holder shall have the right to deliver a Demand Notice pursuant to Section 2.2(c) or a Take-Down Notice pursuant to Section 2.2(d).  A Demand Notice shall not be counted as “made” for purposes of this Section 2.2(e): (i) if the Shelf Registration Statement (or Prospectus) is not effective for the period of time required for the sale of Registrable Securities covered therein or the Canadian Shelf Prospectus does not remain available for use for the period of time required for the sale of Registrable Securities covered therein, (ii) if the Initiating Holder withdraws its Demand Notice and, except for withdrawn Demand Notices as specified in Section 2.1(b), elects to pay the registration expenses therefor, (iii) the transactions contemplated by the applicable underwriting agreement fail to close (other than as a result of any act or omission of the Initiating Holder) or (iv) in the case of an underwritten Shelf Offering, if less than 50% of the Registrable Securities initially requested by the Initiating Holder to be included are not so included pursuant to Section 2.3. Notwithstanding anything to the contrary set forth in this Agreement, during the first 270 days following the effective date of the registration statement for the Initial Public Offering or the date of the issuance of a receipt for a Canadian Long-Form Prospectus for the Initial Public Offering, as applicable, the BC Group shall have the right to make the initial Take-Down Notice for any Shelf Offering that is underwritten (including any Marketed Offering), and no other Holder shall deliver any Take-Down Notice for an underwritten Shelf Offering during the same 270-day period until any such Shelf Offering initially requested by the BC Group has been completed.

 

(f)                                   Piggyback Rights. If any Holder delivers a Take-Down Notice for a Shelf Offering that is underwritten or a Marketed Offering, the Corporation (or the Initiating Holder, at its election) shall also promptly deliver the Take-Down Notice to all other Holders of Registrable Securities included on such Shelf Registration Statement and permit each such other Holder to include its Registrable Securities already included on the Shelf Registration Statement in such Shelf Offering by notifying the Initiating Holder and the Corporation within 48 hours after delivery of the Take-Down Notice to such other Holder (or such shorter period as may be required (as reasonably determined by the Initiating Holders) in connection with an overnight “block trade” or similar transaction); provided that, if the managing underwriter(s) of such Shelf Offering advise the Corporation and the Initiating Holders in writing that the aggregate amount of such securities requested to be included in any offering pursuant to such Take-Down Notice exceeds the number which can be sold in such offering, so as to be likely to have an adverse effect on the price, timing or distribution of the securities offered in such offering, then the managing underwriter(s) may limit the number of Registrable Securities which would otherwise be included in such Shelf Offering in the manner as described in Section 2.3.

 

2.3                               Underwritten Offerings.

 

(a)                                 Notwithstanding anything to the contrary set forth in Section 2.1 or 2.2, in the event there is an underwritten offering pursuant to Section 2.1 or 2.2, the right of any Holder to include such Holder’s Registrable Securities in such registration shall be conditioned upon such Holder agreeing to sell its Registrable Securities on the basis provided in any underwriting arrangements approved by the Persons entitled to select the applicable underwriters and completing and executing all questionnaires, powers of attorney, indemnities, underwriting agreements and other documents reasonably required under the terms of such underwriting arrangements; provided that no such Holder shall be required to make any representations or warranties in connection with any such registration other than representations and warranties as to (i) such Holder’s ownership of its Registrable Securities to be transferred free and clear of all liens, claims, and encumbrances created by such Holder, (ii) such Holder’s power and authority to effect such transfer, (iii) such matters pertaining to such Holder’s compliance with securities laws with respect to the Registrable Securities as may be reasonably requested, (iv) the accuracy of information provided by such Holder, (v) lack of consents or approvals required for Holder to perform its obligations, (vi) lack of association or affiliation with any member firm of FINRA and (vii) any other customary selling shareholder representations and warranties (the “Selling Holder Representations”); provided further that any obligation of such Holder to indemnify any Person pursuant to any such underwriting agreement shall be several, not joint and several, among such Holders selling Registrable Securities, and such liability shall be limited to the net amount received

 

10

 

by such Holder from the sale of its Registrable Securities pursuant to such registration (which amounts shall include the amount of cash or the fair market value of any assets, including Subordinate Voting Shares, received in exchange for the sale or exchange of such Registrable Securities or that are the subject of a distribution), and the relative liability of each such Holder shall be in proportion to such net amounts; provided further still that this Section 2.3(a) shall not require any Holder of Registrable Securities to agree to any lock up agreement, market standoff agreement or holdback agreement other than those permitted by Section 2.10.  Subject to the foregoing, all Holders proposing to distribute their Registrable Securities through such underwriting shall (together with the Corporation, as provided in Section 2.5(g)) enter into an underwriting agreement in customary form with the underwriter(s) selected for such underwriting.

 

(b)                                 If the managing underwriter(s) advise(s) the Corporation and the Initiating Holders in writing that the aggregate amount of such securities requested to be included in any offering pursuant to this Section 2.3 exceeds the number which can be sold in such offering, so as to be likely to have an adverse effect on the price, timing or distribution of the securities offered in such offering, then the Corporation shall so advise all Holders of Registrable Securities that otherwise would be underwritten pursuant hereto, and the number of Registrable Securities that may be included in the underwriting shall be allocated among such Holders of Registrable Securities, including the Initiating Holder, in proportion (as nearly as practicable) to the number of Registrable Securities owned by each selling Holder (and its related Shareholder Group) or in such other proportion as shall mutually be agreed to by all such selling Holders; provided, however, that the number of Registrable Securities held by the Holders to be included in such underwriting shall not be reduced unless all other securities held by Persons that are not Holders are first entirely excluded from the underwriting. To facilitate the allocation of shares in accordance with the above provisions, the Corporation or the underwriters may round the number of shares allocated to any Holder to the nearest 100 shares. Notwithstanding the foregoing, unless otherwise approved by the Initiating Holder, in no event shall (i) the number of Registrable Securities included in the offering be reduced unless all other securities (other than securities to be sold by the Corporation) are first entirely excluded from the offering, or (ii) the number of Registrable Securities included in the offering be reduced below 30% of the total number of securities included in such offering.

 

(c)                                  In any underwritten offering pursuant to Sections 2.1 or 2.2, the price, underwriting discounts and other financial terms for the Registrable Securities shall be determined by the Person with the right to select the underwriters for such offering (and subject to the approval of any other Person hereunder with approval rights over such selection).

 

2.4                               Corporation Registration and Piggyback Rights.

 

(a)                                 If the Corporation proposes to register (including, for this purpose, a registration effected by the Corporation for shareholders other than the Holders) any of its Subordinate Voting Shares or other shares of the Corporation under the Securities Act in connection with the public offering of such securities (other than in an Excluded Registration), or to qualify any securities for distribution to the public pursuant to a Canadian Prospectus (other than in an Excluded Registration) the Corporation shall, at such time, at least 20 days prior to the date a registration statement is filed with the SEC, or a Canadian Prospectus is filed with Canadian securities regulatory authorities, give each Holder notice of such registration or prospectus filing (a “Piggyback Notice”), which notice shall specify, to the extent known by the Corporation at such time and permissible under applicable laws: (i) the number of Subordinate Voting Shares and any other securities to be registered or qualified; (ii) the date that the Corporation intends to file for registration or qualification of such Subordinate Voting Shares or any other securities; (iii) the name of the managing underwriter(s); (iv) the means of distribution of the securities; and (v) a good faith estimate of the maximum offer price.  Upon the request of any Holder given within 10 days after such Piggyback Notice is given by the Corporation, the Corporation shall, subject to the provisions of Section 2.3, cause to be registered or qualified all of the Registrable Securities that each such Holder has requested to be included in such registration or qualification.  The

 

11

 

Corporation shall have the right to terminate or withdraw any registration or qualification initiated by it under this Section 2.4 before the effective date of such registration or qualification, whether or not any Holder has elected to include Registrable Securities in such registration or qualification.  Each Holder shall have the right to withdraw its request for inclusion at any time before the effective date of such registration or qualification.  The expenses of such withdrawn registration or qualification shall be borne by the Corporation in accordance with Section 2.7.

 

(b)                                 The underwriter(s) in any offering pursuant to Section 2.4(a) will be selected by the Corporation.  The right of any Holder to include such Holder’s Registrable Securities in such registration or qualification shall be conditioned upon such Holder agreeing to sell its Registrable Securities on the basis provided in the underwriting arrangements approved by the Corporation and completing and executing all questionnaires, powers of attorney, indemnities, underwriting agreements and other documents reasonably required under the terms of such underwriting arrangements; provided that no such Holder shall be required to make any representations or warranties in connection with any such registration or qualification other than the Selling Holder Representations; provided further that any obligation of such Holder to indemnify any Person pursuant to any such underwriting agreement shall be several, not joint and several, among such Holders selling Registrable Securities, and such liability shall be limited to the net amount received by such Holder from the sale of its Registrable Securities pursuant to such registration or qualification (which amounts shall include the amount of cash or the fair market value of any assets, including Subordinate Voting Shares, received in exchange for the sale or exchange of such Registrable Securities or that are the subject of a distribution), and the relative liability of each such Holder shall be in proportion to such net amounts; provided further still that this Section 2.4(b) shall not require any Holder of Registrable Securities to agree to any lock up agreement, market standoff agreement or holdback agreement other than those permitted by Section 2.10.  Subject to the foregoing, all Holders proposing to distribute their securities through such underwriting shall (together with the Corporation) enter into an underwriting agreement in customary form with the underwriter(s) selected for such underwriting.

 

(c)                                  Notwithstanding any other provision of this Section 2.4, if the managing underwriter(s) advise(s) the Corporation in writing that the aggregate amount of such securities requested to be included in any offering pursuant to this Section 2.4 exceeds the number which can be sold in such offering, so as to be likely to have an adverse effect on the price, timing or distribution of the securities offered in such offering, then the Corporation shall advise all Holders of Registrable Securities that otherwise would be underwritten pursuant hereto, and the number of Registrable Securities that may be included in the underwriting shall be allocated among such Holders of Registrable Securities, including the Initiating Holder, in proportion (as nearly as practicable) to the number of Registrable Securities owned by each selling Holder (and its related Shareholder Group) or in such other proportion as shall mutually be agreed to by all such selling Holders; provided, however, that the number of Registrable Securities held by the Holders to be included in such underwriting shall not be reduced unless all other securities held by Persons that are not Holders are first entirely excluded from the underwriting. To facilitate the allocation of shares in accordance with the above provisions, the Corporation or the underwriters may round the number of shares allocated to any Holder to the nearest 100 shares.

 

2.5                               Obligations of the Corporation.  Whenever required under this Section 2 to effect the registration of any Registrable Securities, the Corporation shall, as expeditiously as reasonably possible:

 

(a)                                 in the case of a registration requiring the filing of a Form S-1 Registration Statement or a Form S-3 Registration Statement, prepare and file with the SEC a Registration Statement with respect to such Registrable Securities and use its reasonable best efforts to cause such Registration Statement to become effective as soon as practicable thereafter and keep such Registration Statement effective for a period of up to 180 days (with respect to a Registration Statement pursuant to Section 2.1) or, if earlier, until the distribution of all Registrable Securities contemplated in the Registration Statement has been completed; provided that before

 

12

 

filing a Registration Statement or any amendments or supplements thereto (including documents that would be incorporated or deemed to be incorporated therein by reference), the Corporation shall furnish or otherwise make available to the holders of the Registrable Securities covered by such Registration Statement or Prospectus, their counsel and the managing underwriters, if any, copies of all such documents proposed to be filed, which documents will be subject to the reasonable review and comment of such counsel, and such other documents reasonably requested by such counsel, including any comment letter from the SEC, and, if requested by such counsel, provide such counsel reasonable opportunity to participate in the preparation of such Registration Statement and each Prospectus included therein;

 

(b)                                 in the case of a registration requiring the filing of a Canadian Prospectus, prepare and file with the applicable Canadian securities regulatory authorities a Canadian Prospectus with respect to such Registrable Securities and use its reasonable best efforts to cause a final receipt for such Canadian Prospectus to be issued by such Canadian securities regulatory authorities as soon as practicable thereafter and keep such Canadian Prospectus available for a period of up to 180 days (with respect to a Canadian Prospectus pursuant to Section 2.1) or, if earlier, until the distribution of all Registrable Securities contemplated in the Canadian Prospectus has been completed; provided that before filing a Canadian Prospectus or any amendments or supplements thereto (including documents that would be incorporated or deemed to be incorporated therein by reference), the Corporation shall furnish or otherwise make available to the holders of the Registrable Securities covered by such Canadian Prospectus, their counsel and the managing underwriters, if any, copies of all such documents proposed to be filed, which documents will be subject to the reasonable review and comment of such counsel, and such other documents reasonably requested by such counsel, including any comment letter from the Canadian securities regulatory authorities, and, if requested by such counsel, provide such counsel reasonable opportunity to participate in the preparation of such Canadian Prospectus and such other opportunities to conduct a due diligence investigation (it being recognized that selling securityholders shall not have the benefit of any “due diligence” defence under Canadian securities laws if selling securities pursuant to a Canadian Prospectus), including reasonable access to the Corporation’s books and records, officers, accountants and other advisors;

 

(c)                                  in the case of a registration requiring the filing of a Form S-1 Registration Statement or a Form S-3 Registration Statement, prepare and file with the SEC such amendments (including post-effective amendments) and supplements to such Registration Statement, and the Prospectus and prospectus supplements used in connection with such Registration Statement, as may be necessary to comply with the Securities Act in order to enable the disposition of all securities covered by such Registration Statement; provided that the Corporation shall furnish to and afford Selling Holder Counsel a reasonable opportunity to review and comment on all documents (including any documents to be incorporated by reference therein and all exhibits thereto) proposed to be filed (in each case, at least three days prior to such filing);

 

(d)                                 in the case of a registration requiring the filing of a Canadian Prospectus, prepare and file with the Canadian securities regulatory authorities such amendments  and supplements to such Canadian Prospectus and prospectus supplements used in connection with such Canadian Prospectus, as may be necessary to comply with the applicable requirements of Canadian securities laws in order to enable the disposition of all securities qualified by such Canadian Prospectus; provided that the Corporation shall furnish to and afford Selling Holder Counsel a reasonable opportunity to review and comment on all documents (including any documents to be incorporated by reference therein and all exhibits thereto) proposed to be filed (in each case, at least three days prior to such filing);

 

(e)                                  furnish without charge to the selling Holders such numbers of copies of a Prospectus or Canadian Prospectus, including a preliminary prospectus or a supplemental prospectus, as required by the Securities Act or the requirements of Canadian securities laws, or as reasonably requested by the Holders, and such other documents as the

 

13

 

Holders may reasonably request in order to facilitate their disposition of their Registrable Securities;

 

(f)                                   use its reasonable best efforts to register and qualify (or exempt from registration or qualification) the securities covered by such Registration Statement under such other securities or blue-sky laws of such jurisdictions other than Canada as shall be reasonably requested by the selling Holders and to keep each such registration or qualification (or exemption therefrom) effective during the period such Registration Statement is required to be kept effective pursuant to this Agreement and to take any other action that may be necessary or advisable to enable such holders of Registrable Securities to consummate the disposition of such Registrable Securities in such jurisdiction; provided that the Corporation shall not be required to qualify to do business or to file a general consent to service of process in any such states or jurisdictions (other than the State of New York), unless the Corporation is already subject to service in such jurisdiction and except as may be required by the Securities Act;

 

(g)                                  in the event of any underwritten public offering, enter into and perform its obligations under an underwriting agreement, in usual and customary form as determined by the Person with the right to select the underwriters for such offering (and subject to the approval of any other Person hereunder with approval rights over such selection, such approval not to be unreasonably withheld or delayed), including a customary “lock-up” or “market stand-off” agreement in favor of the underwriter(s) of such offering, with the selling Holders and underwriter(s) of such offering, and in connection therewith, (i) make such representations and warranties with respect to the business of the Corporation and its subsidiaries, and the Registration Statement, Prospectus, Canadian Prospectus and documents, if any, incorporated or deemed to be incorporated by reference therein, in each case, in form, substance and scope as are customarily made by issuers in underwritten offerings, and confirm the same if and when requested; (ii) obtain opinions of counsel to the Corporation and updates thereof (which counsel and opinions (in form, scope and substance) shall be reasonably satisfactory to the managing underwriter(s)), addressed to the underwriter(s) covering the matters customarily covered in opinions requested in underwritten offerings in the United States and Canada, as applicable and such other matters as may be reasonably requested by the underwriter(s); (iii) obtain “cold comfort” letters and updates thereof from the independent certified public accountants of the Corporation (and, if necessary, any other independent certified public accountants of any subsidiary of the Corporation or of any business acquired by the Corporation for which financial statements and financial data are, or are required to be, included in the Registration Statement or Canadian Prospectus), addressed to each of the underwriter(s), such letters to be in customary form and covering matters of the type customarily covered in “cold comfort” letters in connection with underwritten offerings in the United States and Canada, as applicable; and (iv) such underwriting agreement shall contain indemnification provisions and procedures no less favorable to the selling Holders than those set forth in Section 2.8 (or such other provisions and procedures acceptable to the Initiating Holders), with respect to all parties to be indemnified pursuant to said Section (and each of the foregoing shall be done at each closing under such underwriting agreement, or as and to the extent required thereunder);

 

(h)                                 cause all such Registrable Securities covered by such Registration Statement or qualified by such Canadian Prospectus to be listed on each securities exchange and trading system (if any) on which similar securities issued by the Corporation are then listed;

 

(i)                                     cooperate with the selling Holders and the underwriter(s) in connection with any filings required to be made with any self-regulatory organizations;

 

(j)                                    use its reasonable best efforts to prevent the issuance of any order suspending the effectiveness of a Registration Statement, any “cease trade” order by Canadian securities regulatory authorities with respect to securities of the Corporation, or of any order preventing or suspending the use of a prospectus or suspending the qualification (or

 

14

 

exemption from qualification) of any of the Registrable Securities for sale in any jurisdiction, and, if any such order is issued, to obtain the withdrawal of any such order at the earliest possible moment;

 

(k)                                 provide and cause to be maintained a transfer agent and registrar for all Registrable Securities registered pursuant to this Agreement and provide a CUSIP number for all such Registrable Securities, in each case, not later than the effective date of such registration;

 

(l)                                     promptly make available for inspection by the selling Holders, any managing underwriter(s) participating in any disposition pursuant to such Registration Statement, and any attorney or accountant or other agent or advisor retained by any such underwriter or selected by the selling Holders, all financial and other records, pertinent corporate documents, and properties of the Corporation and its subsidiaries, and cause the Corporation’s and any of its subsidiaries’ officers, directors, employees, and independent accountants to supply all information reasonably requested by any such seller, underwriter, attorney, accountant, or agent, in each case, as necessary or advisable to verify the accuracy of the information in such Registration Statement, to conduct a reasonable investigation within the meaning of the Securities Act and to otherwise conduct appropriate due diligence in connection therewith; provided that any such Person gaining access to such information regarding the Corporation pursuant to this clause shall keep such information confidential, unless (i) such Person has received advice from its counsel that it is legally compelled or required to disclose such information to comply with applicable law, rule, regulation or legal process or Governmental Authority or self-regulatory body request; (ii) such information was or becomes generally available to the public other than as a result of a breach by such Person of this Agreement or any other agreement to which it is a party, (iii) such information was or becomes available to such Person from a source other than the Corporation or its representatives (provided that such source is not known by such Person (after reasonable inquiry) to be bound by a legal, fiduciary or contractual obligation of confidentiality with respect to such information) or (iv) such information is independently developed by such Person without the use of or reference to any such information;

 

(m)                             comply with all applicable rules and regulations of the SEC and all applicable Canadian securities laws, and make generally available to its shareholders an earnings statement satisfying the provisions of Section 11(a) of the Securities Act and Rule 158 thereunder (or any similar rule promulgated under the Securities Act) no later than the time prescribed under Regulation S-X (i) commencing at the end of any fiscal quarter in which Registrable Securities are sold to underwriters in a firm commitment or best efforts underwritten offering and (ii) if not sold to underwriter(s) in such an offering, commencing on the first day of the first fiscal quarter of the Corporation after the effectiveness of a registration statement, which statements shall cover said 12 month periods;

 

(n)                                 if requested by the managing underwriter(s) or any selling Holder to be included in such registration in connection with any sale pursuant to a Registration Statement, promptly incorporate in a Prospectus supplement or amendment, or amendment or supplement to a Canadian Prospectus, such information relating to such underwriting as the managing underwriter(s) or such selling Holder reasonably requests to be included therein; and make all required filings of such Prospectus supplement or amendment, or amendments or supplement to a Canadian Prospectus as soon as practicable after being notified of the matters incorporated therein;

 

(o)                                 in connection with any sale pursuant to a registration, cooperate with the selling Holders of Registrable Securities to be included in such registration and the managing underwriter(s), if any, to facilitate the timely preparation and delivery of certificates or evidence of book entry entitlements (in either case, not bearing any restrictive legends) representing securities to be sold under such registration, and enable such securities to be in such

 

15

 

denominations and registered in such names as the managing underwriter(s), if any, or such selling Holders may request;

 

(p)                                 upon the occurrence of any event contemplated by Section 2.5(t)(iii), as promptly as practicable prepare a supplement or amendment to the Registration Statement or Canadian Prospectus, or a supplement to the related Prospectus or Canadian Prospectus or any document incorporated or deemed to be incorporated therein by reference, or file any other required document so that, as thereafter delivered to the purchasers of the Registrable Securities being sold thereunder, such Prospectus will not contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading, and such Canadian Prospectus will contain full, true and plain disclosure of all material facts relating to the Registrable Securities, and will not contain any “misrepresentation” within the meaning of Canadian securities laws;

 

(q)                                 enter into such agreements and take such other appropriate actions as are customary and reasonably necessary to complete the disposition of such Registrable Securities;

 

(r)                                    cause the executive officers of the Corporation to provide reasonable cooperation in any offering of Registrable Securities hereunder, including participation in “road shows,” meetings and other communications with potential investors and preparation of materials for such investors and otherwise to facilitate, cooperate with and participate in each proposed offering contemplated herein and customary selling efforts related thereto;

 

(s)                                   notify in writing each selling Holder, promptly after the Corporation receives notice thereof, of the time when such Registration Statement has been declared or has become effective or a supplement to any prospectus forming a part of such Registration Statement has been filed, and of the time when a receipt has been issued for such Canadian Prospectus by the Canadian securities regulatory authorities, or an amendment or supplement to such Canadian Prospectus has been filed;

 

(t)                                    notify in writing each selling Holder promptly (i) of the issuance by the SEC of any stop order suspending the effectiveness of a Registration Statement or of any order preventing or suspending the use of any preliminary prospectus, or the issuance of any “cease trade” order by any Canadian securities regulatory authority with respect to the Registrable Securities, (ii) of the receipt by the Corporation of any notification with respect to the suspension of the qualification or exemption from qualification of a Registration Statement or any of the Registrable Securities for offer or sale in any jurisdiction, and (iii) if the Corporation becomes aware of the happening of any event that makes any statement made in such Registration Statement or related prospectus, such Canadian Prospectus or any document incorporated or deemed to be incorporated therein by reference, untrue in any material respect or that requires the making of any changes in such Registration Statement, prospectus, Canadian Prospectus or documents so that, (x) in the case of such Registration Statement, it will not contain any untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary to make the statements therein not misleading, and that (y) in the case of the prospectus, it will not contain any untrue statement of a material fact or omit to state any material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading, and that (z) in the case of the Canadian Prospectus, it will constitute full, true and plain disclosure of all material facts relating to the Registrable Securities, and will not contain any “misrepresentation” within the meaning of Canadian securities laws; and

 

(u)                                 after such Registration Statement becomes effective or after a receipt has been issued for such Canadian Prospectus, promptly notify each selling Holder of any

 

16

 

request by the SEC or by any Canadian securities regulatory authority that the Corporation amend or supplement such Registration Statement or prospectus, or such Canadian Prospectus.

 

2.6                               Furnish Information. In connection with any Registration Statement or Canadian Prospectus in which a seller of Registrable Securities is participating pursuant to this Section 2, each such seller shall furnish to the Corporation such written information and affidavits regarding such seller, the Registrable Securities and the intended distribution thereof as the Corporation reasonably requests for use in connection with any such Registration Statement or prospectus, or such Canadian Prospectus, and as shall be reasonably required in connection with any registration required in connection with this Section 2.

 

2.7                               Expenses of Registration. All fees and expenses (other than Selling Expenses) incurred by the Corporation in connection with registrations, filings, or qualifications pursuant to Section 2, including all registration, filing, and qualification fees and expenses; fees and expenses of compliance with state securities or blue sky laws; printers’ and accounting fees (including the costs of printing certificates (if and to the extent necessary) for the Registrable Securities in a form eligible for deposit with clearing agencies, printing prospectuses, and printing or preparing any underwriting agreement, agreement among underwriters and related syndicate or selling group agreements, pricing agreements and blue sky memoranda); fees and disbursements of counsel for the Corporation; fees and disbursements of all independent certified public accountants for the Corporation and its subsidiaries (including the expenses of any “cold comfort” letters required by or incident to such performance); all expenses and costs of any roadshow or investor meetings (including all travel, meals and lodging for all roadshow participants) and the fees, expenses and costs of any public relations, investor relations or other consultants retained in connection with any road show or investor meetings; the fees and expenses incurred in connection with the quotation or listing of the Registrable Securities on any securities exchange or automated securities quotation system; the fees and expenses associated with any offering-related liability insurance if the Corporation so obtains or if the underwriters so require; all of the Corporation’s internal expenses (including all salaries and expenses of its officers and employees performing any duties in connection with such registration or offering); the reasonable fees and disbursements of one Canadian counsel for the selling Holders selected by the Initiating Holders and one U.S. counsel for the selling Holders selected by the Initiating Holders (together, the “Selling Holder Counsel”); and all underwriters’ fees and expenses (excluding discounts, commissions, or fees attributable to the sale of the Registrable Securities), shall be borne and paid by the Corporation; provided, however, that the Corporation shall not be required to pay for any registration proceeding begun pursuant to a Demand Notice if the Initiating Holder thereof subsequently withdraws such Demand Notice (in which case the Initiating Holder shall bear such costs), unless (i) such withdrawal is notified to the Corporation by the Initiating Holder prior to the termination of any deferral or postponement period pursuant to Sections 2.1(b) or 2.1(c), (ii) the Initiating Holder agrees to forfeit its right to make one Demand Notice, (iii) such withdrawal is a result of the transactions contemplated by the applicable underwriting agreement failing to close (other than as a result of fault of the Initiating Holder), (iv) at the time of such withdrawal there has been a material adverse change in the condition, business, or prospects of the Corporation or a material adverse change in the financial markets generally or (v) a Demand Notice is not deemed to be counted as “made” pursuant to any section of this Agreement.  All Selling Expenses relating to Registrable Securities registered pursuant to this Section 2 shall be borne and paid by the Holders pro rata on the basis of the number of Registrable Securities registered on their behalf.

 

2.8                               Indemnification.  If any Registrable Securities are included in a Registration Statement or Canadian Prospectus under this Section 2:

 

(a)                                 The Corporation shall, without limitation as to time and to the fullest extent permitted by applicable law, indemnify and hold harmless each selling Holder, any Affiliate of such Holder and their respective members, managers, officers, directors, employees, agents, shareholders, equityholders or partners; legal counsel and accountants for each such Holder; any underwriter (as defined in the Securities Act or as defined under Canadian securities laws, if applicable) for each such Holder; and each Person, if any, who controls such Holder or underwriter within the meaning of the Securities Act or the Exchange Act; and the members, managers, officers, directors, employees, agents, shareholders, equityholders or partners of each

 

17

 

such controlling Person, against any Damages, and the Corporation will pay to each such Holder, underwriter, controlling Person, or other aforementioned Person any legal or other expenses reasonably incurred thereby in connection with investigating or defending any Claim or proceeding from which Damages may result, as such expenses are incurred; provided, however, that the indemnity agreement set forth in this Section 2.8 shall not apply to amounts paid in settlement of any such Claim or proceeding if such settlement is effected without the consent of the Corporation, which consent shall not be unreasonably withheld or delayed, nor shall the Corporation be liable for any Damages to the extent that they arise out of or are based upon statements or omissions made in reliance upon and in conformity with written information furnished by or on behalf of any such Holder, underwriter, controlling Person, or other aforementioned Person expressly for use in connection with such Registration Statement, Prospectus, Canadian Prospectus or amendment or supplement thereto (and not later rescinded, revoked or corrected by such Holder).

 

(b)                                 To the extent permitted by law, each selling Holder, severally and not jointly, will indemnify and hold harmless the Corporation, and each of its directors, each of its officers who has signed the registration statement or a prospectus certificate contained in a Canadian Prospectus, its employees, its agents, each Person (if any) who controls the Corporation within the meaning of the Securities Act, legal counsel and accountants for the Corporation, any underwriter (as defined in the Securities Act or under Canadian securities laws, if applicable), any other Holder selling securities in such registration statement or Canadian Prospectus, and any controlling Person of any such underwriter or other Holder, against any Damages, in each case, only to the extent that such Damages arise out of or are based upon statements or omissions made in reliance upon and in conformity with written information furnished by or on behalf of such selling Holder expressly for use in connection with such Registration Statement, Prospectus, Canadian Prospectus or amendment or supplement thereto (and not later rescinded, revoked, revised or corrected by such Holder); and each such selling Holder will pay to the Corporation and each other aforementioned Person any legal or other expenses reasonably incurred thereby in connection with investigating or defending any claim or proceeding from which Damages may result, as such expenses are incurred; provided, however, that the indemnity agreement set forth in this Section 2.8(b) shall not apply to amounts paid in settlement of any such claim or proceeding if such settlement is effected without the consent of the Holder, which consent shall not be unreasonably withheld or delayed; provided further that in no event shall the aggregate amounts payable by any Holder by way of indemnity or contribution under Sections 2.8(b) and 2.8(d) exceed the proceeds from the offering received by such Holder (net of any Selling Expenses incurred in connection therewith by such Holder).

 

(c)                                  Promptly after receipt by an indemnified party under this Section 2.8 of notice of the commencement of any Claim (including any Claim by a Governmental Authority) for which a party may be entitled to indemnification hereunder, such indemnified party will, if a Claim in respect thereof is to be made against any indemnifying party under this Section 2.8, give the indemnifying party notice of the commencement thereof; provided, however, that the delay or failure to so notify the indemnifying party shall not relieve the indemnifying party from any obligation or liability except to the extent that the indemnifying party has been materially prejudiced by such delay or failure.  The indemnifying party shall have the right to participate in such Claim and, to the extent the indemnifying party so desires, participate jointly with any other indemnifying party to which notice has been given, and to assume the defense thereof with counsel mutually satisfactory to the parties; provided, however, that an indemnified party (together with all other indemnified parties that may be represented without conflict by one counsel) shall have the right to participate in the defense thereof and for each indemnification claim hereunder to retain one separate counsel in each relevant jurisdiction, with the fees and expenses to be paid by the indemnifying party, if (i) representation of such indemnified party by the counsel retained by the indemnifying party would be inappropriate due to actual or potential differing interests between such indemnified party and any other party represented by such counsel in such Claim, (ii) the indemnifying party does not elect to assume the defense thereof as provided above, or (iii) a mutually satisfactory counsel is not agreed upon as provided above.

 

18

 

(d)                                 To provide for just and equitable contribution to joint liability under the Securities Act and under the provisions relating to liability for misrepresentations under Canadian securities laws, in any Claim in which either: (i) any party otherwise entitled to indemnification hereunder makes a claim for indemnification pursuant to this Section 2.8 but it is determined by a final non-appealable ruling of a court of competent jurisdiction that such indemnification may not be enforced in such case (or is otherwise insufficient to hold such party harmless), notwithstanding the fact that this Section 2.8 provides for indemnification in such case, or (ii) contribution under the Securities Act or applicable Canadian securities laws may be required on the part of any party hereto for which indemnification is provided under this Section 2.8, then, and, in each such case, such parties will contribute to the aggregate losses, claims, damages, liabilities, or expenses to which they may be subject (after contribution from others) (i) in such proportion as is appropriate to reflect the relative fault of each of the indemnifying party and the indemnified party in connection with the statements, omissions, or other actions that resulted in such loss, claim, damage, liability, or expense, as well as to reflect any other relevant equitable considerations or (ii) if the allocation provided by the foregoing clause (i) is not permitted by applicable law, or provides a lesser sum to the indemnified party than the amount hereinafter calculated in this clause (ii), in such proportion as is appropriate not only to reflect the relative fault of the indemnifying party and the indemnified party, respectively, but also the relative benefits received by the indemnifying party and the indemnified party from the offering of Registrable Securities (taking into account the portion of the proceeds of the offering realized by each such party) as well as any other relevant equitable considerations.  The relative fault of the indemnifying party and of the indemnified party shall be determined by reference to, among other things, whether the untrue or allegedly untrue statement of a material fact, or the omission or alleged omission of a material fact, relates to information supplied by the indemnifying party or by the indemnified party and the parties’ relative intent, knowledge, access to information, and opportunity to correct or prevent such statement or omission; provided, however, that, in any such case, (A) no Holder will be required to contribute any amount in excess of the public offering price of all such Registrable Securities offered and sold by such Holder (net of any Selling Expenses incurred in connection therewith) pursuant to such Registration Statement or Canadian Prospectus, and (B) no Person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Securities Act or within the meaning of applicable Canadian laws) will be entitled to contribution from any Person who was not guilty of such fraudulent misrepresentation; provided further that in no event shall a Holder’s liability pursuant to this Section 2.8(d), when combined with the amounts paid or payable by such Holder pursuant to Section 2.8(b), exceed the proceeds from the offering received by such Holder (net of any Selling Expenses incurred in connection therewith by such Holder).  The parties hereto agree that it would not be just and equitable if contribution pursuant to this Section 2.8(d) were determined by pro rata allocation (even if the Holders or any underwriters or all of them were treated as one entity for such purpose) or by any other method of allocation that does not take account of the equitable considerations referred to in this Section 2.8(d).  If indemnification is available under this Section 2.8, the indemnifying parties shall indemnify each indemnified party to the fullest extent provided in Sections 2.8 and 2.8(b) without regard to the relative fault of said indemnifying party or indemnified party or any other equitable consideration provided for in this Section 2.8(d) subject, in the case of the Holders, to the limits set forth in Section 2.8(b).

 

(e)                                  Unless otherwise expressly superseded by an underwriting agreement entered into in connection with an underwritten public offering, the obligations of the Corporation and Holders under this Section 2.8 shall survive the completion of any offering of Registrable Securities in a registration under Section 2, and otherwise shall survive the termination of this Agreement.

 

2.9                               Reports Under Exchange Act.  With a view to making available to the Holders the benefits of Rule 144 under the Securities Act and any other rule or regulation of the SEC that may at any time permit a Holder to sell securities of the Corporation to the public without registration or pursuant to a registration on Form S-3, the Corporation shall:

 

19

 

(a)                                 make and keep available adequate current public information, as those terms are understood and defined in Rule 144 under the Securities Act, at all times after the effective date of the registration statement filed by the Corporation for an Initial Public Offering in the United States;

 

(b)                                 reasonably cooperate with the Holders in any reasonable request by such Holders that the transfer agent for the Corporation register the Registrable Securities in the name of Cede & Co., as nominee of the Depositary Trust Company, or in the name of the applicable nominee of The Canadian Depository for Securities Limited with book entry credits in the name of the Holder or its nominee or authorized broker;

 

(c)                                  use commercially reasonable efforts to file with the SEC in a timely manner all reports and other documents required of the Corporation under the Securities Act and the Exchange Act and to file with applicable Canadian securities regulatory authorities in a timely manner all reports and other documents required of the Corporation under the continuous disclosure requirements of applicable Canadian securities laws (at any time after the Corporation has become subject to such reporting requirements);

 

(d)                                 (i) furnish to any Holder, so long as the Holder owns any Registrable Securities, forthwith upon request (A) to the extent accurate, a written statement by the Corporation that it has complied with the reporting requirements of Rule 144 under the Securities Act (at any time after 90 days after the effective date of the registration statement filed by the Corporation for an Initial Public Offering in the United States), the Securities Act, and the Exchange Act (at any time after the Corporation has become subject to such reporting requirements), or that it qualifies as a registrant whose securities may be resold pursuant to Form S-3 (at any time after the Corporation so qualifies); and (B) such other information as may be reasonably requested in availing any Holder of any rule or regulation of the SEC or applicable Canadian securities laws that permits the selling of any such securities without registration (at any time after the Corporation has become subject to the reporting requirements under the Exchange Act), without qualification pursuant to a Canadian Prospectus (at any time after the Corporation has become a reporting issuer in any province or territory of Canada) or pursuant to Form S-3 (at any time after the Corporation so qualifies to use such form); and (ii) furnish to any Holder, so long as the Holder owns any Registrable Securities, forthwith, but in any event within five days following the receipt of a lawful and contractually permitted request therefor, unlegended share certificates in connection with sales of Registrable Securities by a Holder pursuant to Rule 144 under the Securities Act, or furnish to the Corporation’s transfer agent an opinion of counsel that such unlegended share certificates may be issued.

 

2.10                        Lock-Up Agreement.  In the case of any registration pursuant to a Demand Notice, any Shelf Offering or any Corporation initiated registration pursuant to Section 2.4, in each case, which includes an underwritten offering, each Holder (whether or not such Holder elected to include Registrable Securities in such Registration Statement or Canadian Prospectus) hereby agrees that, if requested (pursuant to a written notice) by the Initiating Holder or managing underwriter(s) in such offering, it will not, without the prior written consent of such Initiating Holder and managing underwriter(s), during the period commencing on the earlier of the date of the final prospectus (or any prospectus supplement) or, if applicable, at the election of the Initiating Holder, the date any Demand Notice or Take-Down Notice is made, and ending on the earlier of the withdrawal of such Demand Notice or Take-Down Notice and the date that is 90 days after the date of the final prospectus or prospectus supplement (or, in the case of any registration pursuant to a Demand Notice or any Shelf Offering, such lesser period as determined by the Initiating Holders), or such other period as may be reasonably requested by the Corporation or any underwriter to accommodate regulatory restrictions on (1) the publication or other distribution of research reports and (2) analyst recommendations and opinions, including, but not limited to, the restrictions set forth in FINRA Rule 2711(f)(4) or NYSE Rule 472(f)(4), or any successor provisions or amendments thereto, offer to sell, sell, contract to sell, or otherwise dispose of (or enter into any transaction which is designed to, or might reasonably be expected to, result in the disposition (whether by actual disposition or effective economic disposition due to cash settlement or otherwise) by the Holder or any controlled affiliate of the

 

20

 

Holder or any person in privity with the Holder or any controlled affiliate of the Holder), directly or indirectly, including the public filing (or participation in the public filing) of a registration statement with the Securities and Exchange Commission, or a prospectus with any securities commission or securities regulatory authority in any province or territory of Canada, in respect of, or establish or increase a put equivalent position or liquidate or decrease a call equivalent position within the meaning of Section 16 of the Exchange Act, and the rules and regulations of the SEC promulgated thereunder with respect to, any shares in the capital of the Corporation or any securities convertible into, or exercisable or exchangeable for such shares (collectively, “Securities”), or publicly announce an intention to effect any such transaction (including, for certainty, engaging in any hedging or other transactions designed or intended, or which could reasonably be expected to lead to or result in, a sale or disposition of any Securities, even if any such sale or disposition transaction or transactions would be made or executed by or on behalf of someone other than the Holder), in each case, subject to certain exceptions to the foregoing restrictions which will be set out in a “lock-up” agreement that is on substantially the same terms and conditions as the applicable IPO Lock-up Agreement, except that such “lock-up” agreement shall not prohibit any lender under the Margin Loan Documentation from transferring Subordinate Voting Shares pledged to such lender in accordance with the Margin Loan Documentation upon foreclosure upon such Subordinate Voting Shares; provided that, in the case of (a) transfers of Registrable Securities as a bona fide gift or gifts for the purpose of estate planning, (b) dispositions, transfers or distributions of Registrable Securities to Affiliated Transferees or (c) dispositions, transfers or distributions of Registrable Securities by will or intestate succession upon the death of the Holder, each donee, distributee or transferee, as applicable, complies with clause (b) of Section 3.1; and provided, further, that in the case of any registration pursuant to Section 2.4, this Section 2.10 shall be applicable to the Holders only if each other Holder and all directors and executive officers of the Corporation have also entered into substantially similar agreements (and in the case of any other registration the Corporation uses its reasonable best efforts to cause the directors and executive officers of the Corporation to enter into similar agreements) and a Holder shall be released from its obligations hereunder to the extent that any other Holder is released.  The Initiating Holder (or, in the case of any registration under Section 2.4, the Corporation) shall be responsible for negotiating all “lock-up” agreements (to be reasonably acceptable to the Corporation, such approval not to be unreasonably withheld or delayed) with the underwriters in connection with such registration that are consistent in all material respects with this Section 2.10 or that are necessary to give further effect thereto and the Holders agree to execute the form so negotiated. The Corporation agrees to use its reasonable best efforts to obtain from each holder of restricted Securities or Securities subject to resale restrictions under applicable Canadian securities laws (other than the Holders and the directors and executive officers of the Corporation) its agreement not to effect any transaction prohibited by this Section 2.10 during the period set forth in this Section 2.10.  Notwithstanding the foregoing, the restrictions contained in this Section 2.10 shall not apply to any Holder unless made to apply equally to the BC Group and the holdback period applicable to the BC Group shall not be shortened unless the Corporation or the underwriters agree that such shorter period shall also apply to all Holders.

 

2.11                        Termination of Demand Rights.  The right of any Holder to make a Demand Notice shall terminate upon the first date on which the number of Subordinate Voting Shares (including any Subordinate Voting Shares issuable upon conversion of Multiple Voting Shares) owned by such Holder that qualifies as Registrable Securities represents less than 1% of the number of the then-outstanding Subordinate Voting Shares and the Multiple Voting Shares. The right of any Holder to request inclusion of Registrable Securities in any registration or Shelf Offering pursuant to Section 2 shall terminate upon the date on which such Holder ceases to beneficially own any Registrable Securities.

 

3.                                      Miscellaneous

 

3.1                               Successors and Assigns.  The rights under this Agreement may be assigned (but only with all related obligations) (x) by a Holder to a transferee of Registrable Securities that is an Affiliated Transferee or any other transferee of at least 5% of the total outstanding Registrable Securities held by such Holder as of the date hereof or (y) by a Holder to a lender acquiring or disposing of Registrable Securities pursuant to an exercise of remedies in connection with a pledge of such Registrable Securities; provided, however, that in each case (a) the Corporation is, within a reasonable time after such transfer, furnished with written notice of the name and address of such transferee and the Registrable

 

21

 

Securities with respect to which such rights are being transferred, (b) such transferee agrees in a written instrument substantially in the form attached as Exhibit B hereto delivered to the Corporation to be bound by and subject to the terms and conditions of this Agreement and (c) in the case of any transfer or distribution pursuant to clause (x), such transfer is permitted by or effected in conformity with the Corporation’s then-current organizational documents and any shareholders, equityholders, investor or similar agreements.   In connection with any transfer by a Holder of Registrable Securities to an Affiliated Transferee or any other transferee of at least 5% of the total outstanding Registrable Securities held by such Holder as of the date hereof where such transfer is for less than the entire amount of its Registrable Securities, other than any transfer as contemplated in clause (y) of the immediately preceding sentence, such Holder of Registrable Securities may elect to continue to control the rights hereunder but shall be entitled to include such transferee in any elections it makes under Section 2. The terms and conditions of this Agreement inure to the benefit of and are binding upon the respective successors and permitted assignees of the parties.  In the event the Corporation merges into, consolidates with, sells substantially all of its assets to or otherwise becomes an Affiliate of a Person pursuant to a transaction or series of related transactions in which the Holders receive equity securities of such Person (or of any Affiliate of such Person) in exchange for Subordinate Voting Shares held by such Holders, all of the rights of the Holders set forth in this Agreement shall continue in full force and effect and shall apply to the Person the equity securities of which are received by such Holders pursuant to such transaction or series of related transactions, in each case, unless otherwise agreed by the holders of a majority of the Registrable Securities.  The Corporation agrees that the Corporation shall not enter into any agreement that has the effect set forth in the first clause of the preceding sentence unless such Person agrees to be bound by the foregoing provision.  Nothing in this Agreement, express or implied, is intended to confer upon any party other than the parties hereto or their respective successors and permitted assignees any rights, remedies, obligations or liabilities under or by reason of this Agreement, except as expressly provided herein.

 

3.2                               Rights of Third Parties. This Agreement is not intended to confer any right or remedy hereunder upon any Person other than (a) each of the parties hereto and their respective successors and permitted assigns and (b) the indemnified parties referred to in Section 2.8, all of whom are intended to be third party beneficiaries thereof.

 

3.3                               Governing Law; Consent to Jurisdiction; WAIVER OF JURY TRIAL. This Agreement is governed by and will be interpreted and construed in accordance with the laws of the Province of Ontario and the federal laws of Canada applicable therein.  Any action arising out of or under this Agreement, any other document, instrument or agreement contemplated herein or delivered pursuant hereto, or the transactions contemplated hereby or any of such other documents, instruments or agreements, shall be brought only in a federal or provincial court having jurisdiction and venue in Ontario, Canada, and each of the parties hereby irrevocably submits to the exclusive jurisdiction of such courts and agrees that venue in Ontario is proper.  To the extent permitted by applicable law, final judgment against a party (a certified copy of which shall be conclusive evidence of the fact and of the amount of any indebtedness of such party hereunder) in any such legal action or proceeding shall be conclusive and may be enforced in other jurisdictions by suit on an unsatisfied judgment or similar proceeding.  Each of the parties hereby irrevocably waives and agrees not to assert, by way of motion, as a defense, or otherwise, in any legal action or proceeding, any defense or any Claim that it is not personally subject to the jurisdiction of the above-named Ontario courts for any reason, including claims that such party may be immune from the above-described legal process (whether through service or notice, attachment prior to judgment, attachment in aid of execution, or otherwise), or that such proceeding is brought in an inconvenient or otherwise improper forum or that this Agreement or any of the other aforementioned documents, instruments or agreements, or the subject matter hereof or thereof, may not be enforced in or by such courts, or that the same are governed by the laws of a jurisdiction other than Ontario.  TO THE EXTENT NOT PROHIBITED BY APPLICABLE LAW WHICH CANNOT BE WAIVED, EACH PARTY HERETO HEREBY WAIVES AND COVENANTS THAT IT SHALL NOT ASSERT (WHETHER AS PLAINTIFF, DEFENDANT OR OTHERWISE) ANY RIGHT TO TRIAL BY JURY IN ANY FORUM IN RESPECT OF ANY ISSUE OR ACTION, CLAIM, CAUSE OF ACTION OR SUIT (IN CONTRACT, TORT OR OTHERWISE), INQUIRY, PROCEEDING OR INVESTIGATION ARISING OUT OF OR BASED UPON THIS AGREEMENT OR THE SUBJECT MATTER HEREOF OR IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE TRANSACTIONS CONTEMPLATED HEREBY, IN EACH CASE, WHETHER NOW

 

22

 

EXISTING OR HEREAFTER ARISING.  EACH PARTY HERETO ACKNOWLEDGES THAT IT HAS BEEN INFORMED BY THE OTHER PARTIES HERETO THAT THIS SECTION 3.3 CONSTITUTES A MATERIAL INDUCEMENT UPON WHICH THEY ARE RELYING AND SHALL RELY IN ENTERING INTO THIS AGREEMENT.  ANY PARTY HERETO MAY FILE AN ORIGINAL COUNTERPART OR A COPY OF THIS SECTION 3.3 WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF EACH SUCH PARTY TO THE WAIVER OF ITS RIGHT TO TRIAL BY JURY.

 

3.4                               Counterparts/Electronic Signatures.  This Agreement may be executed in any number of counterparts and/or by electronic means, each of which shall be deemed an original but all of which together shall constitute one and the same instrument, and all signatures need not appear on any one counterpart.

 

3.5                               Headings.  The headings and captions in this Agreement are for purposes of reference only and shall not be construed to limit or affect the substance of this Agreement.

 

3.6                               Notices.  Any notice or other communication required or permitted to be given hereunder shall be in writing and shall be given by prepaid mail, by electronic mail or by delivery as hereafter provided. Any such notice or other communication, if mailed by prepaid mail at any time other than during a general discontinuance of postal service due to strike, lockout or otherwise, shall be deemed to have been received on the fourth Business Day after the post-marked date thereof, or if sent by electronic mail, shall be deemed to have been received when sent unless the sender receives a “bounceback” or similar indication that the email was not delivered to the recipient, or if delivered by hand shall be deemed to have been received at the time it is delivered to the applicable address noted below either to the individual designated below or to an individual at such address having apparent authority to accept deliveries on behalf of the addressee. Notice of change of address shall also be governed by this Section 3.6. In the event of a general discontinuance of postal service due to strike, lock-out or otherwise, notices or other communications shall be delivered by hand or sent by electronic mail and shall be deemed to have been received in accordance with this Section 3.6.  Notices and other communications shall be addressed to the respective addresses set forth herein or, as applicable, to the principal office of the Corporation and to the attention of the general counsel or chief legal officer, in each case, of the Corporation.

 

OTPP Group

5650 Yonge Street

Toronto, Ontario

M2M 4H5

 

with a copy (which shall not constitute notice) to:

 

Weil, Gotshal & Manges LLP

767 5th Avenue

New York, New York 10153

 

Attention:                                         Michael J. Aiello

Sachin Kohli

Email:                                                            michael.aiello@weil.com

sachin.kohli@weil.com

 

GIC Group

168 Robinson Road

#37-01 Capital Tower

Singapore 068912

Singapore

 

with a copy (which shall not constitute notice) to:

 

Ropes & Gray LLP

 

23

 

1211 Avenue of the Americas

New York, New York 10036-8704

Attention:                                         Anthony J. Norris

Email:                                                            anthony.norris@ropesgray.com

 

Founder Group

Patrick Dovigi

100 New Park Place #500

Vaughan, Ontario

L4K 0H9

 

Other Holders

 

SAL Trust Holdings LLC

Steven A. Lempera

300 S. Point Drive

Unit 3801

Miami Beach, Florida 33139

 

Poole Private Capital, LLC

3301 Benson Drive, Suite 601

Raleigh, North Carolina 27609
 Attn:  Lonnie C. Poole, III, Manager

ven.poole@wasteindustries.com

 

2015 Irrevocable Trust for Scott Poole and Descendants

Lonnie C. Poole, III, Trustee

3301 Denson Drive, Suite 601

Raleigh, North Carolina 27609

 

If notice is given to the Corporation, for so long as the BC Group holds any of the issued and outstanding Subordinate Voting Shares, a copy shall also be sent to:

 

c/o BC Partners Advisors L.P.
 650 Madison Avenue
 New York, New York 10022
 Attention:                                         Paolo Notarnicola
 Email:                                                            paolo.notarnicola@bcpartners.com

 

and

 

Simpson Thacher & Bartlett LLP
 425 Lexington Avenue
 New York, New York 10017
 Attention:                                         Ryan Bekkerus

Anthony F. Vernace

Email:                                                            rbekkerus@stblaw.com

avernace@stblaw.com

 

If notice is given to the Corporation, for so long as the Founder Group holds any of the issued and outstanding Subordinate Voting Shares or Multiple Voting Shares, a copy shall also be sent to:

 

Stikeman Elliott LLP

5300 Commerce Court West

199 Bay Street

 

24

 

Toronto, Ontario M5L 1B9

Attention:                                         Jeffrey M. Singer

Email:                                                            jsinger@stikeman.com

 

The failure to send or deliver a copy of a notice or other communication to the referred to counsel, as the case may be, shall not invalidate any notice given under this Section 3.6.

 

3.7                               Amendments. This Agreement may be amended, modified, supplemented or restated, and any provisions of this Agreement may be waived, with the approval of the Corporation and the Holders holding a majority of the Registrable Securities; provided that any such amendment, modification, supplement, restatement or waiver that by its terms adversely affects (other than in any de minimis respects) the rights of a Holder shall not be effective as to such Holder without the consent of such Holder.  Except as provided in the immediately preceding sentence, any amendment, termination, or waiver effected in accordance with this Section 3.7 shall be binding on all parties hereto, regardless of whether any such party has consented thereto.  The Corporation shall send to each Holder a copy of any amendment, modification, supplement, restatement or waiver to this Agreement.

 

3.8                               Severability.  It is the desire and intent of the parties that the provisions of this Agreement be enforced to the fullest extent permissible under the laws and public policies applied in each jurisdiction in which enforcement is sought.  Accordingly, the invalidity or unenforceability of any particular provision of this Agreement shall not affect the other provisions hereof, and this Agreement shall be construed in all respects as if the invalid or unenforceable provision were omitted.  Notwithstanding the foregoing, if such provision could be more narrowly drawn so as not to be invalid or unenforceable in such jurisdiction, it shall, as to such jurisdiction, be so more narrowly drawn, without invalidating the remaining provisions of this Agreement or affecting the validity or enforceability of such provision in any other jurisdiction.

 

3.9                               Aggregation of Securities.  All shares of Registrable Securities held or acquired by Affiliated Transferees or any other member of the applicable Shareholder Group of a Holder shall be aggregated together for the purpose of determining the availability of any rights under this Agreement and such Affiliated Persons may apportion such rights as among themselves in any manner they deem appropriate.

 

3.10                        Entire Agreement.  This Agreement constitutes the entire agreement between the parties with respect to the matters contemplated by this Agreement and supersedes all prior agreements, understandings, negotiations and discussions, whether oral or written, of the parties related to such matters.  There are no representations, warranties, covenants, conditions or other agreements, express or implied, collateral, statutory or otherwise, between the Parties in connection with the subject matter of this Agreement, except as specifically set forth in this Agreement.  The parties have not relied and are not relying on any other information, discussion or understanding in entering into this Agreement.

 

3.11                        Delays or Omissions.  No delay or omission to exercise any right, power, or remedy accruing to any party under this Agreement, upon any breach or default of any other party under this Agreement, shall impair any such right, power, or remedy of such nonbreaching or nondefaulting party, nor shall it be construed to be a waiver of or acquiescence to any such breach or default, or to any similar breach or default thereafter occurring, nor shall any waiver of any single breach or default be deemed a waiver of any other breach or default theretofore or thereafter occurring.  All remedies, whether under this Agreement or by law or otherwise afforded to any party, shall be cumulative and not alternative.

 

3.12                        No Conflicting or Preferential Rights.  The Corporation shall not (a) grant any other Person (i) any demand registration rights, (ii) any registration rights that conflict with or are equal to or more favorable in any respect than the registration rights provided herein to the Initiating Holders or (iii) any piggy-back registration rights that provide for a right to include in any registration or offering any Subordinate Voting Shares or other Securities other than after all Registrable Securities being sold by the Holders, in each case, unless otherwise agreed by the Corporation and Holders holding a majority of the Registrable Securities or (b) enter into any registration rights agreement with any prospective holder of any

 

25

 

Securities which does not expressly provide that the Initiating Holders in this Agreement have priority over such new holders of Securities in any subsequent registration statement. Without limiting the foregoing, if, after the date hereof, the Corporation grants to any such Person any type of registration rights, the Corporation shall cause such Person to comply with the restrictions under Section 2.10 as if such Person was a Holder hereunder.

 

3.13                        Specific Performance.  The parties hereto recognize and agree that money damages would be insufficient to compensate the Holders of any Registrable Securities for breaches by the Corporation of the terms hereof and, consequently, that the equitable remedy of specific performance of the terms hereof will be available in the event of any such breach.

 

3.14                        Actions and Approvals by the Groups.  Whenever this Agreement requires the approval or consent of the BC Group, the OTPP Group, the GIC Group, the Founder Group or the Poole Family Group, such requirement shall be deemed to be satisfied if the approval or consent of BC Partners Advisors L.P., OTPP Environmental Services Trust, Magny Cours Investment Pte Ltd., the Founder and Ven Poole, respectively, shall have been obtained (or by such substitute Person notified by such Shareholder to the Corporations in accordance with the terms hereof).

 

3.15                        Exchange Rate.  For all purposes under this Agreement, the rate of exchange for conversion of U.S. dollars into foreign currency shall be based on the daily average exchange rate published by the Bank of Canada.

 

3.16                        Margin Loan Matters.

 

(a)                                 The Corporation acknowledges and agrees that, with respect to any Multiple Voting Shares and Subordinate Voting Shares pledged by any Holder to an Applicable Lender (any such Multiple Voting Shares and Subordinate Voting Shares, “Pledged Shares”) pursuant to the Margin Loan Documentation, except to the extent of any transfer of any such Pledged Shares pursuant to an exercise by an Applicable Lender of its remedies under the Margin Loan Documentation following an event of default thereunder, the Holder (a) is, as of the date hereof, and shall continue to be, bound by and subject to the terms and conditions hereof and entitled to (in lieu of the relevant Applicable Lender) exercise all rights and remedies under this Agreement in respect of such Pledged Shares, including, as a “Holder” hereunder, in each case, as if the Holder was the registered holder of such Pledged Shares and (b) shall be deemed to beneficially own, directly or indirectly, such Pledged Shares for all purposes hereunder. For all purposes under this Agreement, the GIC Group shall be deemed to beneficially own, directly or indirectly, the Subordinate Voting Shares that are pledged by GFL Borrower II (Cayman) LP under the Margin Loan Documentation to which it is a party.

 

(b)                                 For all purposes under this Agreement, for so long as GFL Borrower II (Cayman) LP (the “GIC Margin Loan Borrower”) directly holds any Shares which constitute Pledged Shares hereunder, (a) the GIC Margin Loan Borrower shall not be deemed to be the “Holder,” an “Affiliate” of the BC Group and/or an “Affiliated Transferee” of the BC Group hereunder and (b) the BC Group shall not be deemed to beneficially own, directly or indirectly, the Pledged Shares which are directly held by the GIC Margin Loan Borrower.

 

(c)                                  For all purposes under this Agreement, for so long the GIC Margin Loan Borrower directly holds any Shares which constitute Pledged Shares hereunder, (a) the GIC Margin Loan Borrower shall be deemed to be the “Holder,” an “Affiliate” of the GIC Group and/or an “Affiliated Transferee” of the GIC Group hereunder (but, for the avoidance of doubt, neither BC Partners Advisors L.P. nor any of its Affiliates (other than the GIC Margin Loan Borrower) shall be deemed to be the “Holder,” an “Affiliate” of the GIC Group or an “Affiliated Transferee” of the GIC Group hereunder) and (b) the GIC Group shall be deemed to beneficially own, directly or indirectly, the Pledged Shares which are directly held by GIC Margin Loan Borrower.

 

26

 

IN WITNESS WHEREOF, the parties have executed and delivered this Agreement on the date specified above.

 

 

	
 
    	
GFL   ENVIRONMENTAL INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Luke Pelosi
    
	
 
    	
Name:
    	
Luke Pelosi
    
	
 
    	
Title:
    	
Executive Vice President and Chief Financial Officer
    

 

 

	
 
    	
BCEC—GFL   HOLDINGS (GUERNSEY) L.P., acting by its general partner BCEC MANAGEMENT X LIMITED
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Matthew Elston
    
	
 
    	
Name:
    	
Matthew Elston
    
	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Mariana Enevoldsen
    
	
 
    	
Name:
    	
Mariana Enevoldsen
    
	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
OTPP   ENVIRONMENTAL SERVICES TRUST
    
	
 
    	
by 3329340 Nova Scotia Limited, in its capacity as Trustee
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Blake Sumler
    
	
 
    	
Name:
    	
Blake Sumler
    
	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
MAGNY   COURS INVESTMENT PTE LTD.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Alex Moskowitz
    
	
 
    	
Name:
    	
Alex Moskowitz
    
	
 
    	
Title:
    	
Authorized Signatory
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
SEJOSA   HOLDINGS INC.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Patrick Dovigi
    
	
 
    	
Name:
    	
Patrick Dovigi
    
	
 
    	
Title:
    	
President
    

 

 

	
 
    	
WRANGLER   CO-INVEST L.P.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Garrett Cockren
    
	
 
    	
Name:
    	
Garrett Cockren
    
	
 
    	
Title:
    	
Managing Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
MORENO   STREET DISTRICT LENDING FUND, L.P.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Garrett Cockren
    
	
 
    	
Name:
    	
Garrett Cockren
    
	
 
    	
Title:
    	
Managing Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
MEZZANINE   PARTNERS III, L.P.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Garrett Cockren
    
	
 
    	
Name:
    	
Garrett Cockren
    
	
 
    	
Title:
    	
Managing Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
MP   III OFFSHORE EQUITY INVESTMENTS L.P.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Garrett Cockren
    
	
 
    	
Name:
    	
Garrett Cockren
    
	
 
    	
Title:
    	
Managing Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
AP   MEZZANINE PARTNERS III, L.P.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Garrett Cockren
    
	
 
    	
Name:
    	
Garrett Cockren
    
	
 
    	
Title:
    	
Managing Director
    

 

 

Other Holders

 

SAL Trust Holdings LLC

 

Poole Private Capital, LLC

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00306-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00306-of-00352.parquet"}]]