Document:

‘

Exhibit 10.4

 

EXECUTION VERSION

 

THIRD INCREMENTAL FACILITY AMENDMENT

 

THIRD INCREMENTAL FACILITY
AMENDMENT, dated as of January 25, 2021 (this “Amendment”), by and among LATHAM POOL PRODUCTS, INC., a Delaware
corporation (the “Borrower”), LATHAM INTERNATIONAL MANUFACTURING CORP., a Delaware corporation (“Holdings”),
the Subsidiary Guarantors party hereto, the Third Amendment Incremental Term Loan Lenders (as defined below), each lender party
hereto as a consenting lender (collectively, the “Consenting Lenders”) and NOMURA CORPORATE FUNDING AMERICAS,
LLC, as administrative agent (acting through one or more sub-agents or designees, in such capacity, the “Administrative
Agent”).

 

W I T N E S S E T H

 

WHEREAS, pursuant to
that certain Credit and Guaranty Agreement, dated as of December 18, 2018 (as amended by that certain First Incremental Facility
Amendment, dated as of May 29, 2019 and that certain Second Incremental Facility Amendment, dated as of October 14, 2020, the “Credit
Agreement” and, as amended by Section 2 of this Amendment, the “Interim Amended Credit Agreement”
and as otherwise amended by this Amendment and as further amended, restated, amended and restated, supplemented or otherwise modified
from time to time, the “Amended Credit Agreement”), by and among the Borrower, Holdings, each other subsidiary
of Holdings from time to time party thereto, each lender from time to time party thereto (the “Lenders”), the
Administrative Agent and the other parties thereto, the Lenders have agreed to make, and have made, certain loans and other extensions
of credit to the Borrower;

 

WHEREAS, pursuant to
and in accordance with Section 11.01 of the Credit Agreement, the Borrower has requested certain amendments to the Credit Agreement
to permit the Borrower to obtain the Third Amendment Incremental Term Loans (as defined below) and to use the proceeds of thereof
to make one or more loans or advances to Holdings or any direct or indirect holders of Holdings’ Equity Interests on or following
the Third Amendment Effective Date, in an aggregate principal amount not to exceed $ 175,000,000 (each, a “Special Payment”)
and the Consenting Lenders, which constitute the Required Lenders, have agreed to such amendments in accordance with the terms
and conditions set forth herein;

 

WHEREAS, pursuant to
and in accordance with Section 2.16 of the Interim Amended Credit Agreement, the Borrower may request the establishment of an Incremental
Facility by entering into one or more Incremental Joinders with the additional Lenders party thereto, and may, without the consent
of any other Lenders, effect such amendments to any Loan Documents as may be necessary or appropriate, as reasonably determined
by the Administrative Agent and the Borrower, to effect the provisions of Section 2.16 of the Interim Amended Credit Agreement;

 

WHEREAS, the Borrower
has requested Incremental Term Loans in an aggregate principal amount of $175,000,000 (the “Third Amendment Incremental
Term Loans”), which shall be made a part of the existing tranche of Initial Term Loans, and the proceeds of which shall
be used (i) to pay fees and expenses incurred in connection with the Third Amendment Incremental Term Loans and this Amendment,
(ii) to fund the Special Payment and (iii) for working capital and other general corporate purposes;

 

WHEREAS, the financial
institutions party hereto that have executed and delivered a signature page to this Amendment in the form attached hereto as Exhibit
I (the “Lender Addendum”) agree, on the terms and conditions set forth herein and in the Amended Credit
Agreement, to provide the Third Amendment Incremental Term Loans
on the Third Amendment Effective Date (as defined below) (the “Third Amendment Incremental Term Loan Lenders”);
and

 

     

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WHEREAS, Holdings, the
Borrower, the Administrative Agent, the Consenting Lenders, constituting the Required Lenders, and the Third Amendment Incremental
Term Loan Lenders have agreed, upon the terms and subject to the conditions set forth herein, to give effect to the Third Amendment
Incremental Term Loans and consent to amend the Credit Agreement as set forth herein.

 

NOW, THEREFORE, in consideration
of the premises and mutual covenants contained herein, the parties hereto agree as follows:

 

SECTION 1.         Defined
Terms. Capitalized terms used but not defined herein shall have the meanings assigned to such terms in the Credit Agreement.

 

SECTION 2.         Amendment
to Credit Agreement. Subject to the satisfaction or waiver of the conditions set forth in Section 4 hereof, the Borrower,
Holdings, the Administrative Agent and the Consenting Lenders, which constitute the Required Lenders, hereby agree that, on the
Third Amendment Effective Date, the Credit Agreement is hereby amended as set forth in this Section 2.

 

(a)          Section 1.01 of the Credit Agreement is hereby amended by:

 

(i)                 
inserting the following definitions in appropriate alphabetical order:

 

“Special Payment”
means the making of loans or advances to Holdings or any direct or indirect holders of Holdings’ Equity Interests in an aggregate
principal amount not to exceed $175,000,000.

 

“Third Amendment Effective
Date” has the meaning provided in the Third Amendment.

 

“Third Amendment”
means the Third Incremental Facility Amendment, dated as of January 25, 2021, by and among Holdings, the Borrower, the lenders
party thereto and the Administrative Agent.

 

(ii)                 amending
the definition of “Incremental Cap” by replacing clause (b) of such definition with the following:

 

“(b) $175,000,000 available
for the Incremental Term Loans to be incurred on the Third Amendment Effective Date, plus”

 

(iii)               
amending the definition of “Incremental Cap” by replacing clause (c) of such definition with the following:

 

“(c) $30,000,000 available
for Incremental Revolving Credit Commitments from and after the Third Amendment Effective Date, plus”

 

(iv)              
deleting the definition of “Junior Indebtedness” in its entirety and inserting the following in lieu thereof:

 

     

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“Junior Indebtedness”
means any Indebtedness that is unsecured or contractually junior to the Liens on the Collateral securing the Obligations and/or
contractually subordinated in right of payment to the Obligations.”

 

(v)                deleting
the definition of “Specified Event of Default” in its entirety and inserting the following in lieu thereof:

 

“Specified Event of
Default” means an Event of Default resulting from Section 8.01(a) and Section 8.01(f).”

 

(b)          Section 7.02 of the Credit Agreement is hereby amended by replacing clause (c)

with the following:

 

“(c) so long as no Default
shall occur and be continuing or would result therefrom, the Borrower may make one or more Special Payments within 15 Business
Days following the Third Amendment Effective Date;”

 

(c)           Section 7.03 of the Credit Agreement is
hereby amended by deleting clause (ff) in its entirety and inserting the following in lieu thereof:

 

“(ff)      [reserved];”

 

(d)           Section 7.06 of the Credit Agreement is
hereby amended by replacing clause (l) with the following:

 

“(l) distributions or other Restricted Payments
of the notes or receivables arising from Investments made pursuant to Section 7.02(c);”

 

(e)           Section 10.08 of the Credit Agreement
is hereby amended by deleting such section in its entirety and inserting the following in lieu thereof:

 

“Release of
Subsidiary Guarantors. A Subsidiary Guarantor shall automatically be released from this Article 10 and its
obligations hereunder upon consummation of any transaction or designation permitted by this Agreement as a result of which
such Subsidiary Guarantor (i) ceases to be a Restricted Subsidiary, (ii) ceases to be a Subsidiary or (iii) becomes an
Excluded Subsidiary, in each case, as a result of a transaction or designation permitted hereunder; provided that no
such release shall occur if such Subsidiary Guarantor is a guarantor in respect of any Junior Indebtedness with a principal
amount in excess of the Threshold Amount; provided, further, the release of a Subsidiary Guarantor as a result
of such Subsidiary Guarantor being a non-wholly-owned Subsidiary shall only be permitted if such Subsidiary Guarantor became
a non-wholly owned Subsidiary as a result of the sale of a minority interest in such Subsidiary Guarantor to an unaffiliated
third party in a bona fide sale for fair market value. The Administrative Agent will, at the Borrower’s expense,
promptly execute and deliver to such Subsidiary Guarantor such documents as the Borrower shall reasonably request to evidence
the release of such Subsidiary Guarantor from its Guaranty hereunder pursuant to this Section 10.08; provided
that the Borrower shall have delivered to the Administrative Agent a written request therefor and a certificate of the
Borrower to the effect that the release of such Guarantor is in compliance with the Loan Documents. The Administrative Agent
shall be authorized to rely on any such certificate without independent investigation.”

 

     

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SECTION 3.         Third
Amendment Incremental Term Loans. Subject to the satisfaction or waiver of the conditions set forth in Section 4 hereof
and effective immediately after the effectiveness of Section 2 hereof, on the Third Amendment Effective Date:

 

(a)          Each Third Amendment
Incremental Term Loan Lender, by its execution of a Lender Addendum, agrees to make the Third Amendment Incremental Term Loans
to the Borrower on the Third Amendment Effective Date in an aggregate principal amount set forth under the heading “Third
Amendment Incremental Term Loan Commitment” opposite such Third Amendment Incremental Term Loan Lender’s name in the
Lender Addendum of such Third Amendment Incremental Term Loan Lender (such commitment, the “Third Amendment Incremental
Term Loan Commitment”).

 

(b)          From and after the
Third Amendment Effective Date, Holdings, the Borrower, the Administrative Agent and the Third Amendment Incremental Term Loan
Lenders agree that, for all purposes of the Amended Credit Agreement and the other Loan Documents, (i) each Third Amendment Incremental
Term Loan Lender shall be deemed to be a Term Lender and a Lender under the Amended Credit Agreement, and each Third Amendment
Incremental Term Loan Lender shall be a party to the Amended Credit Agreement and shall have the rights and obligations of a Lender
under the Amended Credit Agreement and (ii) the Third Amendment Incremental Term Loans, when funded, shall be made a part of the
existing tranche of Initial Term Loans and shall be deemed to be an Initial Term Loan, a Term Loan and a Loan for all purposes
under the Amended Credit Agreement and the other Loan Documents, including, but not limited to, the fact that the Third Amendment
Incremental Term Loans shall bear interest as provided in the Amended Credit Agreement in respect of Initial Term Loans. All Third
Amendment Incremental Term Loans incurred pursuant to this Amendment will be allocated ratably to each outstanding borrowing of
Initial Term Loans that are Eurocurrency Rate Loans under the Credit Agreement for purposes of determining the initial interest
rate thereon and Interest Period therefor.

 

(c)          Section 1.01 of the Interim Amended Credit Agreement is hereby amended by:

 

(i)                  amending and restating the definition of “Initial Term Loans” as follows:

 

“Initial Term
Loans” means (i) prior to the First Amendment Effective Date, the Term Loans made by the Initial Term Lender
pursuant to its Initial Term Commitment (the “Closing Date Initial Term Loans”), (ii) on and after the
First Amendment Effective Date, (x) the Closing Date Initial Term Loans and (y) the First Amendment Incremental Term Loans,
(iii) on and after the Second Amendment Effective Date, (x) the Closing Date Initial Term Loans, (y) the First Amendment
Incremental Term Loans and (z) the Second Amendment Incremental Term Loans and (iv) on and after the Third Amendment
Effective Date, (w) the Closing Date Initial Term Loans, (x) the First Amendment Incremental Term Loans, (y) the Second
Amendment Incremental Term Loans and (z) the Third Amendment Incremental Term Loans.

 

(ii)                
inserting the following definitions in appropriate alphabetical order:

 

     

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“Third Amendment Incremental
Term Loan Commitment” means, as to the Third Amendment Incremental Term Loan Lenders, their obligation to make Third
Amendment Incremental Term Loans on the Third Amendment Effective Date in an aggregate principal amount of $175,000,000.

 

“Third Amendment Incremental
Term Loan Lenders” has the meaning provided in the Third Amendment.

 

“Third Amendment Incremental
Term Loans” has the meaning provided in the Third Amendment.

 

(d)         Section 2.01(a) of the Interim Amended
Credit Agreement is hereby amended and restated in its entirety as follows:

 

“Section
2.01(a) The Initial Borrowings. (a) The Initial Term Borrowings. (i) Subject to the terms and express
conditions set forth herein, each Initial Term Lender made, on the Closing Date, a single loan in Dollars in an aggregate
principal amount equal to its Initial Term Commitment, (ii) subject to the terms and express conditions set forth herein and
in the First Incremental Facility Amendment, each First Amendment Incremental Term Loan Lender with a First Amendment
Incremental Term Loan Commitment as of the First Amendment Effective Date made a First Amendment Incremental Term Loan to the
Borrower on the First Amendment Effective Date in Dollars in an aggregate principal amount equal to such First Amendment
Incremental Term Loan Lender’s First Amendment Incremental Term Loan Commitment, (iii) subject to the terms and express
conditions set forth herein and in the Second Incremental Facility Amendment, the Second Amendment Incremental Term Loan
Lender made the Second Amendment Incremental Term Loans to the Borrower on the Second Amendment Effective Date in Dollars in
an aggregate principal amount equal to the Second Amendment Incremental Term Loan Commitment and (iv) subject to the terms
and express conditions set forth herein and in the Third Amendment, the Third Amendment Incremental Term Loan Lenders made
the Third Amendment Incremental Term Loans to the Borrower on the Third Amendment Effective Date in Dollars in an aggregate
principal amount equal to the Third Amendment Incremental Term Loan Commitment. The aggregate principal amount of the First
Amendment Incremental Term Loans made on the First Amendment Effective Date was $23,000,000. The aggregate principal amount
of the Second Amendment Incremental Term Loans made on the Second Amendment Effective Date was $20,000,000. The aggregate
principal amount of the Third Amendment Incremental Term Loans made on the Third Amendment Effective Date was $175,000,000.
For the avoidance of doubt, on and after the First Amendment Effective Date the terms of the First Amendment Incremental Term
Loans to be made hereunder shall, except to the extent of any upfront fees or original issue discount, which shall be as set
forth herein, be the same as the terms of the Initial Term Loans immediately prior to the First Amendment Effective Date, and
the First Amendment Incremental Term Loans made on the First Amendment Effective Date and the Initial Term Loans immediately
prior to the First Amendment Effective Date shall collectively be the Initial Term Loans hereunder. For the avoidance of
doubt, on and after the Second Amendment Effective Date the terms of the Second Amendment Incremental Term Loans shall,
except to the extent of any original issue discount or upfront fees which shall not be applicable to the Second Amendment
Incremental Term Loans, be the same as the terms of the Initial Term Loans immediately prior to the Second Amendment
Effective Date, and the Second Amendment Incremental Term Loans made on the Second Amendment Effective Date and the Initial
Term Loans immediately prior to the Second Amendment Effective Date shall collectively be the Initial Term Loans hereunder.
For the avoidance of doubt, on and after the Third Amendment Effective Date the terms of the Third Amendment Incremental Term
Loans shall, except to the extent of any original issue discount or upfront fees which shall not be applicable to the Third
Amendment Incremental Term Loans, be the same as the terms of the Initial Term Loans immediately prior to the Third Amendment
Effective Date, and the Third Amendment Incremental Term Loans made on the Third Amendment Effective Date and the Initial
Term Loans immediately prior to the Third Amendment Effective Date shall collectively be the Initial Term Loans hereunder.
Amounts borrowed under this Section 2.01(a) and repaid or prepaid may not be reborrowed. Initial Term Loans may be Base Rate
Loans or Eurocurrency Rate Loans, as further provided herein.

 

     

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(e)          Clause (ii) of Section 2.02(a) of the
Interim Amended Credit Agreement is hereby amended and restated in its entirety as follow:

 

(ii) 12:00 p.m. three Business
Days prior to the requested date of any Borrowing of Eurocurrency Rate Term Loans, continuation of Eurocurrency Rate Term Loans
or any conversion of Base Rate Term Loans to Eurocurrency Rate Term Loans denominated in Dollars (provided that, if such
Borrowing is an initial Credit Extension to be made on the Closing Date, notice must be received by the Administrative Agent not
later than, in the case of Initial Term Loans, 1:00 p.m. one Business Day prior to the Closing Date; provided, further,
that, with respect to the Borrowing of Second Amendment Incremental Term Loans made on the Second Amendment Effective Date, notice
must be received on the Second Amendment Effective Date; provided, further, that, with respect to the Borrowing of
Third Amendment Incremental Term Loans made on the Third Amendment Effective Date, notice must be received on the Third Amendment
Effective Date),

 

(f)           Clause (b) of Section 2.08 of the Interim
Amended Credit Agreement is hereby amended and restated in its entirety as follows:

 

(b) Initial
Term Loans. The Borrower shall repay to the Administrative Agent for the ratable account of the Initial Term Lenders: (A) on
or prior to the last Business Day of each March, June, September and December that occurs prior to the Initial Term Loan Maturity
Date, an aggregate amount equal to $5,761,660.47 and (B) on the Initial Term Loan Maturity Date, an aggregate amount equal to the
aggregate principal amount of all Initial Term Loans outstanding on such date.

 

SECTION 4.         Conditions
to Effectiveness. The effectiveness of the Third Amendment Incremental Term Loan Commitment, the funding of the Third Amendment
Incremental Term Loans and the effectiveness of the amendments to the Credit Agreement set forth herein are each subject to the
satisfaction (or waiver by (x) the Consenting Lenders in the case of Section 2 hereof and (y) the Third Amendment Incremental
Term Loan Lenders in the case of Section 3 hereof) of each of the following conditions (the date on which such conditions
shall have been so satisfied or waived, the “Third Amendment Effective Date”):

 

(a)          the Administrative
Agent shall have executed a counterpart of this Amendment and received (i) a counterpart to this Amendment executed and delivered
by the Borrower and Holdings, (ii) a counterpart to this Amendment from existing Lenders sufficient to constitute Required Lenders
(without giving effect to the Third Amendment Incremental Term Loans) and (ii) the executed Lender Addendum by the Third Amendment
Incremental Term Loan Lenders;

 

     

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(b)          on and as of the
Third Amendment Effective Date, the representations and warranties of each Loan Party set forth in the Loan Documents shall be
true and correct in all material respects (except that any representation and warranty that is qualified as to “materiality”
or “Material Adverse Effect” shall be true and correct in all respects as so qualified), in each case, on and as of
the Third Amendment Effective Date and after giving effect to the Third Amendment Incremental Term Loans and the amendments made
pursuant to this Amendment on the Third Amendment Effective Date (except in the case of any representation and warranty which specifically
refers to an earlier date, such representation and warranty shall have been true and correct in all material respects as of such
earlier date);

 

(c)          the Borrower shall
have paid all expenses required to be paid by the Borrower to the Administrative Agent and the Third Amendment Incremental Term
Loan Lenders on or before the Third Amendment Effective Date, including the reasonable and documented out-of-pocket expenses of
Milbank LLP, counsel to the Administrative Agent (which fees may be offset against the proceeds of the Third Amendment Incremental
Term Loans funded on the Third Amendment Effective Date), in each case, to the extent invoiced at least two (2) Business Days prior
to the Third Amendment Effective Date (except as otherwise reasonably agreed by the Borrower);

 

(d)          the Administrative
Agent shall have received a certificate dated the Third Amendment Effective Date and executed by a Responsible Officer of each
of the Loan Parties, certifying that attached thereto is a true and complete copy of resolutions or written consents of its board
of directors or other relevant governing body or Person, as the case may be, authorizing the execution, delivery and performance
of this Amendment and any other Loan Document to which it is a party to be entered into as of the Third Amendment Effective Date,
and that such resolutions or written consents have not been modified, rescinded or amended and are in full force and effect without
amendment, modification or rescission;

 

(e)          the Administrative
Agent shall have received a certificate from the chief financial officer, chief accounting officer or other Responsible Officer
of the Borrower attesting to the Solvency of the Borrower and its Restricted Subsidiaries on a consolidated basis after giving
effect to this Amendment on the Third Amendment Effective Date, substantially in the form of Exhibit L to the Credit Agreement;

 

(f)           no Default or Event
of Default shall have occurred and be continuing on the Third Amendment Effective Date after giving effect to this Amendment and
the Third Amendment Incremental Term Loans on the Third Amendment Effective Date;

 

(g)          the Administrative
Agent shall have received an officer’s certificate from a Responsible Officer of Holdings and dated the Third Amendment Effective
Date, certifying that (i) each condition set forth in Sections 4(b) and 4(f) hereof have been satisfied on and as of the Third
Amendment Effective Date and (ii) the Third Amendment Incremental Term Loans comply with the provisions of Section 2.16 of the
Credit Agreement after giving effect to the amendments set forth in Section 2 hereof;

 

(h)          the Administrative
Agent shall have received the legal opinion of Skadden, Arps, Slate, Meagher & Flom LLP, acting as New York counsel for the
Borrower and each other Loan Party, addressed to the Administrative Agent and the Third Amendment Incremental Term Loan Lenders
and reasonably satisfactory to the Administrative Agent; and

 

(i)           the Administrative
Agent shall have received a Loan Notice relating to the Borrowing of the Third Amendment Incremental Term Loans on the Third Amendment
Effective Date. Each Party to this Amendment hereby agrees
that the amendments set forth in Section 2 hereof shall be effective immediately prior to the effectiveness of the amendments set
forth in Section 3 hereof and the making of the Third Amendment Incremental Term Loans.

 

     

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SECTION 5.         Reaffirmation
of the Loan Parties. Each Loan Party hereby consents to the amendments to the Credit Agreement effected hereby and confirms
and agrees that, notwithstanding the effectiveness of this Amendment, each Loan Document to which such Loan Party is a party is,
and the obligations of such Loan Party contained in the Credit Agreement, this Amendment or in any other Loan Document to which
it is a party are, and shall continue to be, in full force and effect and are hereby ratified and confirmed in all respects, in
each case, as amended by this Amendment. For greater certainty and without limiting the foregoing, each Loan Party hereby confirms
that the existing security interests granted by such Loan Party in favor of the Secured Parties pursuant to the Loan Documents
in the Collateral described therein shall continue to secure the obligations of the Loan Parties, including the Third Amendment
Incremental Term Loans, under the Amended Credit Agreement and the other Loan Documents as and to the extent provided in the Loan
Documents.

 

SECTION 6.          Continuing Effect; No Novation.

 

(a) Except as expressly
provided herein, all of the terms and provisions of the Credit Agreement and the other Loan Documents are and shall remain in full
force and effect. The amendments provided for herein are limited to the specific subsections of the Credit Agreement specified
herein and shall not constitute a consent, waiver or amendment of, or an indication of the Administrative Agent’s or the
Lenders’ willingness to consent to any action requiring consent under any other provisions of the Credit Agreement or any
other Loan Document or the same subsection for any other date or time period. Upon the effectiveness of the amendments set forth
herein, on and after the Third Amendment Effective Date, each reference in the Credit Agreement to “this Agreement”,
“the Agreement”, “hereunder”, “hereof” or words of like import referring to the Credit Agreement,
and each reference in the other Loan Documents to “Credit Agreement”, “thereunder”, “thereof”
or words of like import referring to the Credit Agreement, shall mean and be a reference to the Amended Credit Agreement. This
Amendment shall not constitute a novation of the Credit Agreement or any of the Loan Documents.

 

(b) The Borrower and
the other parties hereto acknowledge and agree that this Amendment shall constitute a Loan Document and an Incremental Joinder.

 

SECTION 7.         Deemed
Notice. It is understood and agreed that on and after the Third Amendment Effective Date, execution and delivery of this Amendment
shall be deemed to satisfy the requirements of Section 2.16 with respect to notice in respect of this Incremental Facility.

 

SECTION 8.         Amendments;
Execution in Counterparts. This Amendment, or any of the terms hereof, may not be amended, supplemented or modified, nor may
any provision hereof be waived, except pursuant to a writing signed by Holdings, the Borrower, the Administrative Agent, the Required
Lenders and the Third Amendment Incremental Term Loan Lenders. This Amendment may be executed in counterparts (and by different
parties hereto on different counterparts), each of which shall constitute an original, but all of which when taken together shall
constitute a single contract. Any signature to this Amendment and the other documents delivered in connection herewith may be
delivered by facsimile, electronic mail (including pdf) or any electronic signature complying with the U.S. federal ESIGN Act
of 2000 or the New York Electronic Signature and Records Act or other transmission method and any counterpart so delivered shall
be deemed to have been duly and validly delivered and be valid and effective for all purposes to the fullest extent permitted
by applicable law.

 

     

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SECTION 9.          GOVERNING
LAW. (a) THIS AMENDMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK.

 

(b) ANY LEGAL ACTION
OR PROCEEDING WITH RESPECT TO THIS AMENDMENT OR ANY OTHER LOAN DOCUMENT SHALL BE BROUGHT IN THE COURTS OF THE STATE OF NEW YORK
IN THE CITY OF NEW YORK SITTING IN THE BOROUGH OF MANHATTAN OR OF THE UNITED STATES FOR THE SOUTHERN DISTRICT OF SUCH STATE, AND
BY EXECUTION AND DELIVERY OF THIS AMENDMENT, EACH LOAN PARTY, THE ADMINISTRATIVE AGENT AND EACH LENDER CONSENTS, FOR ITSELF AND
IN RESPECT OF ITS PROPERTY, TO THE EXCLUSIVE JURISDICTION OF THOSE COURTS. EACH LOAN PARTY, THE ADMINISTRATIVE AGENT AND EACH LENDER
IRREVOCABLY WAIVES ANY OBJECTION, INCLUDING ANY OBJECTION TO THE LAYING OF VENUE OR BASED ON THE GROUNDS OF FORUM NON CONVENIENS,
WHICH IT MAY NOW OR HEREAFTER HAVE TO THE BRINGING OF ANY ACTION OR PROCEEDING IN SUCH JURISDICTION IN RESPECT OF ANY LOAN DOCUMENT
OR OTHER DOCUMENT RELATED THERETO (EXCEPT THAT, (X) IN THE CASE OF ANY MORTGAGE OR OTHER SECURITY DOCUMENT, PROCEEDINGS MAY ALSO
BE BROUGHT BY THE ADMINISTRATIVE AGENT IN THE STATE OR OTHER JURISDICTION IN WHICH THE RESPECTIVE MORTGAGED PROPERTY OR COLLATERAL
IS LOCATED OR ANY OTHER RELEVANT JURISDICTION AND (Y) IN THE CASE OF ANY BANKRUPTCY, INSOLVENCY OR SIMILAR PROCEEDINGS WITH RESPECT
TO THE ADMINISTRATIVE AGENT, ANY L/C ISSUER OR ANY OTHER LENDER, ACTIONS OR PROCEEDINGS RELATED TO THIS AMENDMENT AND THE OTHER
LOAN DOCUMENTS MAY BE BROUGHT IN SUCH COURT HOLDING SUCH BANKRUPTCY, INSOLVENCY OR SIMILAR PROCEEDINGS

 

SECTION
10.        WAIVER OF RIGHT TO TRIAL BY JURY. EACH PARTY TO THIS AMENDMENT
HEREBY EXPRESSLY WAIVES ANY RIGHT TO TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION OR CAUSE OF ACTION ARISING UNDER ANY LOAN
DOCUMENT OR IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES HERETO OR ANY OF THEM WITH
RESPECT TO ANY LOAN DOCUMENT, OR THE TRANSACTIONS RELATED THERETO, IN EACH CASE, WHETHER NOW EXISTING OR HEREAFTER ARISING,
AND WHETHER FOUNDED IN CONTRACT OR TORT OR OTHERWISE; AND EACH PARTY HEREBY AGREES AND CONSENTS THAT ANY SUCH CLAIM, DEMAND,
ACTION OR CAUSE OF ACTION SHALL BE DECIDED BY COURT TRIAL WITHOUT A JURY, AND THAT ANY PARTY TO THIS AMENDMENT MAY FILE AN
ORIGINAL COUNTERPART OR A COPY OF THIS SECTION 10 WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF THE SIGNATORIES
HERETO TO THE WAIVER OF THEIR RIGHT TO TRIAL BY JURY.

 

[Remainder of page intentionally left blank]

 

     

     

    

 

IN
WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed and delivered by their respective proper and
duly authorized officers as of the day and year first above written.

 

	 	LATHAM POOL PRODUCTS, INC., as
    the Borrower;
	 	 
	 	By:	
	 	Name: Scott M. Rajeski
	 	Title: Chief Executive Officer, President
    and Secretary
	 	 
	 	LATHAM INTERNATIONAL MANUFACTURING
    CORP., as Holdings;
	 	 
	 	By:	
	 	Name: Scott M. Rajeski
	 	Title: Chief Executive Officer, President
    and Secretary
	 	 
	 	POOL COVER SPECIALISTS, LLC,
	 	 
	 	LPP US, LLC,
	 	 
	 	GL INTERNATIONAL, LLC, each
    as a Subsidiary Guarantor
	 	 
	 	By:	
	 	Name: Scott M. Rajeski
	 	Title: President

 

Signature Page
to Third Incremental Facility Amendment

 

     

     

    

 

	 	NOMURA CORPORATE FUNDING
    AMERICAS, LLC, as Administrative Agent
	 	
	 	 
	 	By:	

                                                                                 

	 	Name: G. Andrew Keith
	 	Title: Executive Director

 

Signature Page
to Third Incremental Facility Amendment

 

     

     

    

 

EXHIBIT I

 

LENDER ADDENDUM TO THE THIRD INCREMENTAL FACILITY AMENDMENT,
DATED AS

OF JANUARY 25, 2021

 

THIRD AMENDMENT INCREMENTAL TERM LOAN LENDERS

 

This Lender
Addendum (this “Lender Addendum”) is referred to in, and is a signature page to, the Third Incremental Facility
Amendment, dated as of the date hereof (the “Amendment”), by and among LATHAM POOL PRODUCTS, INC., a Delaware
corporation (the “Borrower”), LATHAM INTERNATIONAL MANUFACTURING CORP., a Delaware corporation (“Holdings”),
the subsidiary guarantors party thereto, the Third Amendment Incremental Term Loan Lenders, the other lenders party thereto and
NOMURA CORPORATE FUNDING AMERICAS, LLC, as administrative agent (acting through one or more sub-agents or designees, in such capacity,
the “Administrative Agent”), which amends that certain Credit and Guaranty Agreement, dated as of December 18,
2018 (as amended by that certain First Incremental Facility Amendment, dated as of May 29, 2019, that certain Second Incremental
Facility Amendment, dated as of October 14, 2020, and the Amendment, and as further amended, restated, amended and restated, supplemented
or otherwise modified from time to time, the “Credit Agreement”), by and among the Borrower, Holdings, each
other subsidiary of Holdings from time to time party thereto, each lender from time to time party thereto, the Administrative Agent
and the other parties thereto. Capitalized terms used but not defined in this Lender Addendum have the meanings assigned to such
terms in the Amendment.

 

By executing
this Lender Addendum as a Third Amendment Incremental Term Loan Lender, each undersigned institution agrees, on the terms and conditions
set forth in the Amendment and in the Credit Agreement, to make a Third Amendment Incremental Term Loan to the Borrower on the
Third Amendment Effective Date in an aggregate principal amount equal to the amount set forth under the heading “Third Amendment
Incremental Term Loan Commitment” opposite its name below.

 

	Third Amendment Incremental Term Loan Lenders	 	Third Amendment Incremental Term Loan Commitment	 
	Silver Rock Opportunities Fund I LP	 	$	13,602,000	 
	SRF Plan Assets Opportunistic Credit Fund LP	 	$	5,945,000	 
	FMAP SOC Limited	 	$	5,453,000	 
	Emerald Direct Lending 2 Limited Partners	 	$	15,000,000	 
	Blackstone Holdings Finance Co. L.L.C.	 	$	15,000,000	 
	BGSL Jackson Hole Funding LLC	 	$	10,000,000	 
	BGSL Big Sky Funding LLC	 	$	20,000,000	 
	Blackstone Private Credit Fund	 	$	25,000,000	 
	BCRED Castle Peak Funding LLC	 	$	40,000,000	 
	Goldman Sachs Bank USA	 	$	25,000,000	 
	Total	 	$	175,000,000	 

 

     

     

    

 

	 	SRF PLAN ASSETS OPPORTUNISTIC
    CREDIT
	 	FUND LP, as an Incremental
    Lender
	 	 
	 	By: Silver Rock Financial LP,
    its investment manager
	 	 
	 	By:	

                                                                                 

	 	 	Name: Patrick Hunnius
	 	 	Title: General Counsel & CCO
	 	 
	 	FMAP SOC LIMITED, as
    an Incremental Lender
	 	 
	 	By: Silver Rock Financial LP,
    its investment manager
	 	 
	 	By:	

                                                                                 

	 	 	Name: Patrick Hunnius
	 	 	Title: General Counsel & CCO
	 	 
	 	SILVER ROCK OPPORTUNITIES
    FUND I LP, as an Incremental Lender
	 	
	 	 
	 	By:	

                                                                                 

	 	 	Name: Patrick Hunnius
	 	 	Title: General Counsel & CCO

 

Signature Page to Third Incremental Facility Amendment

 

     

     

    

 

	BLACKSTONE HOLDINGS FINANCE
    CO. L.L.C.	 
	By: Blackstone Holdings I,
    L.P., as Sole Member	 
	By: Blackstone Holdings I/II
    GP, Inc., as General Partner	 
	 	 
	By:		 
	Name: Eric Liaw	 
	Title: Authorized Signatory	 

 

Signature Page to Third Incremental Facility Amendment

 

     

     

    

 

	EMERALD DIRECT LENDING
    2	 
	LIMITED PARTNERS	 
	By: Blackstone Alternative
    Credit Advisors,	 
	as investment manager	 
	 	 
	By:	

                                                                                 
	 
	Name: Marisa Beeney	 
	Title: Authorized Signatory	 
	 	 
	BGSL BIG SKY FUNDING LLC	 
	BGSL JACKSON HOLE FUNDING
    LLC	 
	By: Blackstone Secured Lending	 
	Fund, as sole member	 
	 	 
	By:	

                                                                                 
	 
	Name: Marisa Beeney	 
	Title: Authorized Signatory	 
	 	 
	BLACKSTONE PRIVATE CREDIT
    FUND	 
	 	 
	By:	

                                                                                 
	 
	Name: Marisa Beeney	 
	Title: Authorized Signatory	 
	 	 
	BCRED CASTLE PEAK FUNDING
    LLC	 
	By: Blackstone Private Credit
    Fund, as sole member	 
	 	 
	By:	

                                                                                 
	 
	Name: Marisa Beeney	 
	Title: Authorized Signatory	 

 

Signature Page to Third Incremental Facility Amendment

 

     

     

    

 

	GOLDMAN SACHS BANK USA,	 
	 	 
	By:	

                                                                                 
	 
	Name:	 
	Title:	 

 

 

Signature Page to Third Incremental Facility AmendmentExhibit 10.5

 

STOCKHOLDERS AGREEMENT

 

DATED AS OF [                 ],
2021

 

AMONG

 

LATHAM GROUP, INC.

 

AND

THE OTHER PARTIES HERETO

 

     

     

    

 

TABLE OF CONTENTS

 

	ARTICLE I INTRODUCTORY MATTERS	1
	1.1	Defined Terms	1
	1.2	Construction	3
	ARTICLE II CORPORATE GOVERNANCE MATTERS	3
	2.1	Election of Directors	3
	2.2	Consent Rights	4
	2.3	Permitted Disclosure	5
	ARTICLE III INFORMATION	6
	3.1	Books and Records; Access	6
	3.2	Confidentiality	6
	ARTICLE IV GENERAL PROVISIONS	10
	4.1	Termination	10
	4.2	Notices	10
	4.3	Amendment; Waiver	11
	4.4	Further Assurances	11
	4.5	Assignment	12
	4.6	Indemnification	12
	4.7	Third Parties	14
	4.8	Reimbursement of Expenses	14
	4.9	Governing Law	15
	4.10	Jurisdiction; Waiver of Jury Trial	15
	4.11	Specific Performance	15
	4.12	Entire Agreement	16
	4.13	Severability	16
	4.14	Table of Contents, Headings and Captions	16
	4.15	Counterparts	16
	4.16	Effectiveness	16
	4.17	No Recourse	16

 

    i

     

    

 

STOCKHOLDERS AGREEMENT

 

This Stockholders Agreement
is entered into as of [           ] [      ], 2021 by and among Latham Group, Inc., a Delaware corporation (the “Company”),
and each of the Principal Stockholders (as defined below).

 

BACKGROUND:

 

WHEREAS, the Company is currently
contemplating an underwritten initial public offering (“IPO”) of shares of its Common Stock (as defined below); and

 

WHEREAS, in connection with,
and effective upon, the date of completion of the IPO (the “Closing Date”), the Company and the Principal Stockholders
wish to set forth certain understandings between such parties, including with respect to certain governance matters.

 

NOW, THEREFORE, the parties
agree as follows:

 

ARTICLE I

INTRODUCTORY MATTERS

 

1.1           
Defined Terms. In addition to the terms defined elsewhere herein, the following terms have the following meanings when used
herein:

 

“Affiliate”
has the meaning set forth in Rule 12b-2 promulgated under the Exchange Act, as in effect on the date hereof.

 

“Agreement”
means this Stockholders Agreement, as the same may be amended, supplemented, restated or otherwise modified from time to time in accordance
with the terms hereof.

 

“beneficially own”
has the meaning set forth in Rule 13d-3 promulgated under the Exchange Act.

 

“Board” means
the board of directors of the Company.

 

“Change in
Control” means any transaction or series of related transactions (whether by merger, consolidation, recapitalization,
liquidation or sale or transfer of Common Stock or assets (including equity securities of the Subsidiaries) or otherwise) as a
result of which any Person or group, within the meaning of Section 13(d)(3) of the Exchange Act (other than the Principal
Stockholders and their respective Affiliates, any group of which the foregoing are members and any other members of such a group),
obtains ownership, directly or indirectly, of (i) Common Stock that represent more than 50% of the total voting power of the
outstanding capital stock of the Company or applicable successor entity or (ii) all or substantially all of the assets of the
Company and its Subsidiaries on a consolidated basis.

 

“Closing Date”
has the meaning set forth in the Background.

 

“Company”
has the meaning set forth in the Preamble.

 

“Common Stock”
means the shares of common stock, par value $0.0001 per share, of the Company, and any other capital stock of the Company into which such
stock is reclassified or reconstituted and any other common stock of the Company.

 

“Control”
(including its correlative meanings, “Controlled by” and “under common Control with”) means possession,
directly or indirectly, of the power to direct or cause the direction of management or policies (whether through ownership of securities
or partnership or other ownership interests, by contract or otherwise) of a Person.

 

“Controlled Entity”
means, without limitation, any other corporation, limited liability company, partnership, joint venture, trust, employee benefit plan
or other enterprise controlled by the Company.

 

    1 

     

    

 

“Director”
means any member of the Board.

 

“Exchange Act”
means the Securities Exchange Act of 1934, as amended, and the rules and regulations promulgated thereunder, as the same may be amended
from time to time.

 

“Governmental Authority”
means any nation or government, any state or other political subdivision thereof, and any entity exercising executive, legislative, judicial,
regulatory or administrative functions of or pertaining to government.

 

“IPO” has
the meaning set forth in the Background.

 

“Law” means
any statute, law, regulation, ordinance, rule, injunction, order, decree, governmental approval, directive, requirement, or other governmental
restriction or any similar form of decision of, or determination by, or any interpretation or administration of any of the foregoing by,
any Governmental Authority.

 

“Necessary Action”
means, with respect to a specified result, all actions necessary to cause such result, including (i) voting or providing a written consent
or proxy with respect to the shares of Common Stock or other equity securities of the Company, (ii) causing the adoption of stockholders’
resolutions and amendments to the organizational documents of the Company, (iii) executing agreements and instruments, and (iv) making,
or causing to be made, with governmental, administrative or regulatory authorities, all filings, registrations or similar actions that
are required to achieve such result.

 

“Pamplona Designee”
has the meaning set forth in Section 2.1(a).

 

“Pamplona Investor”
means Pamplona Capital Partners V, L.P., an exempted limited partnership organized under the laws of the Cayman Islands.

 

“Pamplona Investor
Entities” means the Pamplona Investor, its Affiliates and their respective successors and Permitted Assigns; provided,
that for purposes of determining any ownership threshold hereunder relevant to the Pamplona Investor Entities, such threshold shall be
determined based on the ownership of the Pamplona Investor and its Affiliates (and not, for the avoidance of doubt, any Permitted Assigns).

 

“Permitted Assigns”
means with respect to a Pamplona Investor Entity, a Transferee of shares of Common Stock that agrees to become party to, and to be bound
to the same extent as its Transferor by the terms of, this Agreement.

 

“Person”
means any individual, partnership, corporation, limited liability company, association, joint stock company, trust, joint venture, unincorporated
organization, or other form of business organization, whether or not regarded as a legal entity under applicable Law, or any Governmental
Authority or any department, agency or political subdivision thereof.

 

“Principal Stockholder
Designee” has the meaning set forth in Section 2.1(b).

 

“Principal Stockholder
Entities” means each Pamplona Investor Entity and Wynnchurch Investor Entity.

 

“Principal Stockholders”
means, collectively, the Pamplona Investor and the Wynnchurch Investors, and each, a “Principal Stockholder”.

 

“Repurchase”
has the meaning set forth in Section 2.3(f).

 

“Subsidiary”
means, with respect to any Person, any corporation, limited liability company, partnership, association or other business entity of
which: (i) if a corporation, a majority of the total voting power of shares of stock entitled (without regard to the occurrence of
any contingency) to vote in the election of directors, representatives or trustees thereof is at the time owned or Controlled,
directly or indirectly, by that Person or one or more of the other Subsidiaries of that Person or a combination thereof; or (ii) if
a limited liability company, partnership, association or other business entity, a majority of the total voting power of stock (or
equivalent ownership interest) of the limited liability company, partnership, association or other business entity is at the time
owned or Controlled, directly or indirectly, by any Person or one or more Subsidiaries of that Person or a combination thereof. For
purposes hereof, a Person or Persons shall be deemed to have a majority ownership interest in a limited liability company,
partnership, association or other business entity if such Person or Persons shall be allocated a majority of limited liability
company, partnership, association or other business entity gains or losses or shall be or Control the managing member, managing
director or other governing body or general partner of such limited liability company, partnership, association or other business
entity.

 

    2 

     

    

 

“Total Number of Directors”
means the total number of Directors comprising the Board.

 

“Transfer”
(including its correlative meanings, “Transferor”, “Transferee” and “Transferred”)
shall mean, with respect to any security, directly or indirectly, to sell, contract to sell, give, assign, hypothecate, pledge, encumber,
grant a security interest in, offer, sell any option or contract to purchase, purchase any option or contract to sell, grant any option,
right or warrant to purchase, lend or otherwise transfer or dispose of any economic, voting or other rights in or to such security. When
used as a noun, “Transfer” shall have such correlative meaning as the context may require.

 

“Wynnchurch Designee”
has the meaning set forth in Section 2.1(b).

 

“Wynnchurch Investor
Entities” means each Wynnchurch Investor and its Affiliates.

 

“Wynnchurch Investors”
means, collectively, Wynnchurch Capital Partners IV, L.P., a Cayman Islands limited partnership, and WC Partners Executive IV, L.P. a
Cayman Islands limited partnership.

 

1.2           
Construction. The language used in this Agreement will be deemed to be the language chosen by the parties to express their
mutual intent, and no rule of strict construction will be applied against any party. Unless the context otherwise requires: (a) “or”
is disjunctive but not exclusive, (b) words in the singular include the plural and in the plural include the singular, and (c) the words
 “hereof”, “herein”, and “hereunder” and words of similar import when used in this Agreement refer
to this Agreement as a whole and not to any particular provision of this Agreement, and Section references are to this Agreement unless
otherwise specified.

 

ARTICLE II

CORPORATE GOVERNANCE MATTERS

 

2.1           
Election of Directors.

 

(a)             Following
the Closing Date, the Pamplona Investor (together with any Permitted Assigns who are assigned such rights in accordance with the
terms hereof) shall have the right, but not the obligation, to nominate to the Board an aggregate number of designees equal to at
least: (i) a majority of the Total Number of Directors, so long as the Pamplona Investor Entities collectively beneficially own 50%
or more of the outstanding shares of Common Stock; (ii) 40% of the Total Number of Directors, in the event that the Pamplona
Investor Entities collectively beneficially own 40% or more, but less than 50%, of the outstanding shares of Common Stock; (iii) 30%
of the Total Number of Directors, in the event that the Pamplona Investor Entities collectively beneficially own 30% or more, but
less than 40%, of the outstanding shares of Common Stock; (iv) 20% of the Total Number of Directors, in the event that the Pamplona
Investor Entities collectively beneficially own 20% or more, but less than 30%, of the outstanding shares of Common Stock; and (v)
10% of the Total Number of Directors, in the event that the Pamplona Investor Entities collectively beneficially own 5% or more, but
less than 20%, of the outstanding shares of Common Stock. For purposes of calculating the number of Directors that the Pamplona
Investor (together with any Permitted Assigns who are assigned such rights in accordance with the terms hereof) is entitled to
designate pursuant to the immediately preceding sentence, any fractional amounts shall automatically be rounded up to the nearest
whole number (e.g., one and one quarter (11/4) Directors shall equate to two (2) Directors), and any
such calculations shall be made after taking into account any increase in the Total Number of Directors. Each such individual whom
the Pamplona Investor (together with any Permitted Assigns who are assigned such rights in accordance with the terms hereof) shall
actually nominate pursuant to this Section 2.1(a) and who is thereafter elected to the Board to serve as a Director shall be
referred to herein as a “Pamplona Designee”.

 

(b)            
Following the Closing Date, the Wynnchurch Investors shall have the right, but not the obligation, to nominate to the Board one
(1) designee in the event that the Wynnchurch Investor Entities collectively beneficially own five percent (5)% or more of the outstanding
shares of Common Stock. Each such individual whom the Wynnchurch Investors shall actually nominate pursuant to this Section 2.1(b)
and who is thereafter elected to the Board to serve as a Director shall be referred to herein as a “Wynnchurch Designee”
and, together with each Pamplona Designee, collectively, the “Principal Stockholder Designees”.

 

(c)            Except
as provided in Section 2.1(a) or Section 2.1(b), as applicable, the Pamplona Investor and the Wynnchurch Investors, as
applicable, shall have the exclusive right to, at any time, from time to time, remove their respective designees from the Board, and
the Company and the Principal Stockholders shall take all Necessary Action to cause the removal of any such designee at the request of
the designating Investor.

 

(d)            
Following the Closing Date and subject to applicable Laws and stock exchange regulations,
the Pamplona Investor shall have the right, but not the obligation, to have representatives
appointed to serve on each committee of the Board in the same proportion as the Pamplona Designees’ representation on the Board.
Following the Closing Date and subject to applicable Laws and stock exchange regulations, the Pamplona Investor shall
have the right, but not the obligation, to have a representative appointed as an observer to any committee of the Board to which the Pamplona
Investor (i) does not elect to have a representative appointed or (ii) is prohibited by
applicable Laws or stock exchange regulations from having a representative appointed, in each case for so long as the Pamplona Investor
has the right to designate at least one (1) director for nomination under this Agreement. Following the Closing Date and subject
to applicable Laws and stock exchange regulations, the Wynnchurch Investor shall have the right, but not the obligation, to have a representative
appointed as an observer to any committee of the Board for so long as the Wynnchurch Investor has the right to designate at least one
(1) director for nomination under this Agreement.

 

    3 

     

    

 

(e)            
 In the event that the Pamplona Investor or the Wynnchurch Investors have nominated less than the total number of designees the
Pamplona Investor or the Wynnchurch Investors shall be entitled to nominate pursuant to Section 2.1(a) or Section 2.1(b),
as applicable, the Pamplona Investor and the Wynnchurch Investors, as applicable, shall have the right, at any time, to nominate such
additional designees to which they are entitled, in which case the Company, the Principal Stockholders and the Directors shall take all
Necessary Action, to the fullest extent permitted by applicable Law (including with respect to fiduciary duties under Delaware law), to
(x) enable the Pamplona Investor or the Wynnchurch Investors, as applicable, to nominate and effect the election or appointment of such
additional individuals, whether by increasing the size of the Board or otherwise, and (y) designate such additional individuals nominated
by the Pamplona Investor or the Wynnchurch Investors, as applicable, to fill such newly-created vacancies or to fill any other existing
vacancies.

 

(f)             In
the event that a vacancy is created at any time by the death, retirement or resignation of any Director designated pursuant to Section
2.1(a) or Section 2.1(b), the remaining Directors, the Principal Stockholders and the Company shall, to the fullest extent
permitted by applicable Law (including with respect to fiduciary duties under Delaware law), cause the vacancy created thereby to be
filled by a new designee of the Pamplona Investor or the Wynnchurch Investors, as applicable, as soon as possible, and the Company and
the Principal Stockholders hereby agree to take, to the fullest extent permitted by applicable Law (including with respect to fiduciary
duties under Delaware law), at any time and from time to time, all Necessary Action to accomplish the same.

 

(g)            
The Company agrees, to the fullest extent permitted by applicable Law (including with respect to fiduciary duties under Delaware
law), to include the individuals designated pursuant to this Section 2.1 in the slate of nominees recommended by the Board for
election at any meeting of stockholders called for the purpose of electing Directors and to take all Necessary Action to cause the election
of each such designee 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 in favor thereof.

 

2.2           
Voting Agreement. Each Principal Stockholder agrees to, and to cause its Affiliates to, cast all votes to which such
Principal Sponsor or any of its Affiliates is entitled in respect of its Common Stock, whether at any annual or special meeting, by written
consent or otherwise, so as to cause to be elected to the Board those individuals designated in accordance with Section 2.1 and
to otherwise effect the intent of this Article II.

 

    4 

     

    

 

2.3           
Consent Rights. For so long as the Pamplona Investor Entities collectively beneficially own at least 25% of the outstanding
shares of Common Stock, the following actions by the Company or any of its Subsidiaries shall require the approval of the Pamplona Investor,
in addition to the Board’s approval (or the approval of the required governing body of any Subsidiary of the Company):

 

(a)           entering
into or effecting a Change in Control;

 

(b)           entering
into any agreement providing for the acquisition or divestiture of assets or equity security of any Person, in each case providing for
aggregate consideration in excess of $50 million;

 

(c)           entering
into any joint venture or similar business alliance having a fair market value as of the date of formation thereof (as reasonably determined
by the Board) in excess of $50 million;

 

(d)           initiating
a voluntary liquidation, dissolution, receivership, bankruptcy or other insolvency proceeding involving the Company or any Subsidiary
of the Company that is a “significant subsidiary” as defined in Rule 1-02 of Regulation S-X under the Exchange Act;

 

(e)           any
material change in the nature of the business of the Company or any Subsidiary, taken as a whole;

 

(f)           any
redemption, acquisition or other purchase of any shares of Common Stock (a “Repurchase”) other than Repurchases in
accordance with any existing compensation plan of the Company or any Subsidiary or a Repurchase from an employee in connection with such
employee’s termination of employment with the Company or any Subsidiary;

 

(g)           any
payment or declaration of any dividend or other distribution on any shares of Common Stock or entering into any recapitalization transaction
the primary purpose of which is to pay a dividend;

 

(h)           the
incurrence of indebtedness for borrowed money (including through capital leases, the issuance of debt securities or the guarantee of
indebtedness of another Person) in an aggregate principal amount in excess of $50 million, other than (x) the incurrence of trade payables
arising in the ordinary course of business of the Company and its Subsidiaries or (y) borrowings under the Company’s term loan
or revolving credit facility (or amendments, extensions, or replacements thereof);

 

(i)            terminating
the employment of the Chief Executive Officer of the Company or hiring a new Chief Executive Officer of the Company;

 

(j)            increasing
or decreasing the size of the Board; and

 

(k)           any
transaction with or involving any Affiliate of the Company or any Affiliate of any stockholder of the Company that beneficially owns
in excess of ten percent (10%) of the voting power of the Company (in each case, other than any Pamplona Investor Entity), other than
any transaction or series of related transactions in the ordinary course of business and on arms-length third-party terms and in an amount
less than $10 million.

 

2.4           
 Permitted Disclosure. Each Pamplona Designee and Wynnchurch Designee is permitted to disclose to the Pamplona Investor
Entities (other than any portfolio company of such Pamplona Investor Entity or its Affiliates) and Wynnchurch Investor Entities (other
than any portfolio company of such Wynnchurch Investor Entity or its Affiliates), respectively, information about the Company and its
Affiliates he or she receives as a result of being a Director.

 

    5 

     

    

 

ARTICLE III

INFORMATION

 

3.1            Books
and Records; Access. The Company shall, and shall cause its Subsidiaries to, keep proper books, records and accounts, in which
full and correct entries shall be made of all financial transactions and the assets and business of the Company and each of its
Subsidiaries in accordance with generally accepted accounting principles. The Company shall, and shall cause its Subsidiaries to,
permit the Principal Stockholder Entities (other than any portfolio company of such Principal Stockholder Entity or its Affiliates)
and their respective designated representatives, at reasonable times and upon reasonable prior notice to the Company, to review the
books and records of the Company or any of such Subsidiaries and to discuss the affairs, finances and condition of the Company or
any of such Subsidiaries with the officers of the Company or any such Subsidiary. In addition to other information that might be
reasonably requested by the Principal Stockholder Entities from time to time (other than any portfolio company of such Principal
Stockholder Entity or its Affiliates), the Company shall also provide (i) direct access to the Company’s auditors and officers
upon request, (ii) copies of all materials provided to the board of directors (or committee of the board of directors) at the same
time as provided to the directors (or members of a committee of the board of directors) of the Company, (iii) access to appropriate
officers and directors of the Company and its Subsidiaries at such times as may be requested by the Principal Stockholder Entities
for consultation with the Principal Stockholder Entities with respect to matters relating to the business and affairs of the Company
and its Subsidiaries, (iv) information in advance with respect to any significant corporate actions, including, without limitation,
extraordinary dividends, stock redemptions or repurchases, mergers, acquisitions or dispositions of assets, issuances of significant
amounts of debt or equity and material amendments to the organizational documents of the Company or any of its Subsidiaries, and to
provide the Principal Stockholder Entities with the right to consult with the Company and its Subsidiaries with respect to such
actions and (v) to the extent otherwise prepared by the Company, operating and capital expenditure budgets and periodic information
packages relating to the operations and cash flows of Company and its Subsidiaries. Notwithstanding the foregoing, or anything else
to the contrary contained herein, (x) the Company shall not be required to disclose any privileged information of the Company so
long as the Company has used its reasonable best efforts to provide such information to the Principal Stockholder Entities without
the loss of any such privilege and notified the Principal Stockholder Entities that such information has not been provided and (y)
all of the rights of the Pamplona Investor Entities and the Wynnchurch Investor Entities, as applicable, under this Section
3.1 shall terminate when the Pamplona Investor Entities or the Wynnchurch Investor Entities, as applicable, no longer
collectively beneficially own at least five percent (5)% of the outstanding shares of Common Stock.

 

3.2           
Confidentiality. The
Principal Stockholders agree that such Principal Stockholders will keep confidential and will not disclose, divulge, or use for any purpose
(other than to monitor their investment in the Company) any confidential information obtained from the Company pursuant to the terms of
this Agreement, unless such confidential information (a) is known or becomes known to the public in general (other than as a result
of a breach of this Section 3.2 by such Principal Stockholders or Principal Stockholder Entity), (b) is or has been independently
developed or conceived by the Principal Stockholders without use of the Company’s confidential information, or (c) is or has
been made known or disclosed to the Principal Stockholders by a third party without a breach of any obligation of confidentiality such
third party may have to the Company; provided, however, that a Principal Stockholder may disclose confidential information (i) to
its attorneys, accountants, consultants, and other professionals to the extent necessary to obtain their services in connection with monitoring
its investment in the Company, provided that prior to such disclosure such advisor has agreed to be bound to provisions which are the
same substantially similar to the provisions of this Subsection 3.2 or otherwise is obligated to keep such information confidential; (ii) to
any prospective purchaser of any securities from such Principal Stockholders, provided that prior to such disclosure such prospective
purchaser has agreed to be bound to provisions which are the same or substantially similar to the provisions of this Subsection 3.2;
(iii) to any Affiliate (other than any portfolio company of such Principal Stockholder Entity or its Affiliates),
partner, member, stockholder, or wholly owned subsidiary of such Principal Stockholders in the ordinary course of business, provided that
such Principal Stockholders informs such Person that such information is confidential and directs such Person to maintain the confidentiality
of such information; (iv) to investors or prospective investors in any investment fund managed (currently or in the future) by
any Person that directly or indirectly manages a Principal Stockholder or any affiliate thereof;
or (v) as may otherwise be required by law, provided that the Principal Stockholders, to the extent legally permitted,
promptly notify the Company of such disclosure and takes reasonable steps to minimize the extent of any such required disclosure. The
Principal Stockholders acknowledge and agree that they are aware that the U.S. securities laws prohibit any person who has material non-public
information from purchasing or selling securities of the Company, or from communicating such material non-public information to any other
person under circumstances in which it is reasonably foreseeable that such person is likely to purchase or sell such securities.

 

    6 

     

    

 

ARTICLE IV

GENERAL PROVISIONS

 

4.1           
Termination. This Agreement shall terminate at such time as no Principal Stockholder is entitled to nominate a Director
pursuant to Section 2.1(a) or Section 2.1(b), as applicable. All of the rights and obligations (whether as a Principal
Stockholder or otherwise) of (a) the Pamplona Investor Entities, their respective Affiliates and their respective successors and Permitted
Assigns shall terminate upon the Pamplona Investor Entities ceasing to own any shares of Common Stock and (b) the Wynnchurch Investor
Entities, their respective Affiliates and their respective successors shall terminate upon the Wynnchurch Investor Entities ceasing to
own any shares of Common Stock; provided, that all of the rights of the Pamplona Investor Entities and the Wynnchurch Investor Entities,
as applicable, under Section 3.1 and Section 4.8 shall terminate upon the Pamplona Investor Entities or the Wynnchurch
Investor Entities, as applicable, ceasing to collectively beneficially own at least five percent (5%) of the outstanding shares of Common
Stock.

 

4.2           
Notices. Any notice provided for in this Agreement shall be in writing and shall be either personally delivered, mailed
first class mail (postage prepaid), sent by reputable overnight courier service (charges prepaid) or sent by electronic mail, to the Company
at the address or e-mail address set forth below and to any other recipient at the address or e-mail address indicated on the Company’s
records, or at such address or e-mail address or to the attention of such other Person as the recipient party has specified by prior written
notice to the sending party. Notices will be deemed to have been given hereunder when, the day delivered personally, five (5) days after
deposit in the U.S. mail, one (1) day after deposit with a reputable overnight courier service, or the day sent by electronic mail (receipt
confirmed).

 

The Company’s address is:

 

Latham Group, Inc.

787 Watervliet Shaker Road

Latham, New York 12110

Attention: General Counsel

Email:

 

with a copy (not constituting notice) to:

 

Paul, Weiss, Rifkind, Wharton & Garrison LLP

1285 Avenue of the Americas

New York, NY 10019

Attention: Angelo Bonvino, John C. Kennedy

Email: abonvino@paulweiss.com, jkennedy@paulweiss.com

 

Pamplona Investor’s address is:

 

c/o Pamplona Capital Management LLC

667 Madison Avenue, 22nd Floor

New York, NY 10065

Attention: Andrew Singer

Email:

 

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with a copy (not constituting notice) to:

 

Paul, Weiss, Rifkind, Wharton & Garrison LLP

1285 Avenue of the Americas

New York, NY 10019

Attention: Angelo Bonvino, John C. Kennedy

Email: abonvino@paulweiss.com, jkennedy@paulweiss.com

 

Wynnchurch Investors’ address is:

 

c/o Wynnchurch Capital, LLC

6250 N. River Road, Suite 10-100

Rosemont, IL 60018

Attention: Christopher P. O’Brien; Carl Howe

Email:

 

with a copy (not constituting notice) to:

 

Foley & Lardner LLP

500 Woodward Ave, Suite 2700

Detroit, MI 48226

Attention: Omar Lucia, Thomas B. Spillane

Email: olucia@foley.com, tspillane@foley.com

 

4.3           
Amendment; Waiver. This Agreement may be amended, supplemented or otherwise modified only by a written instrument executed
by the Company and the Pamplona Investor; provided, however, that any such amendment, supplement or modification to Section 2.1(b)
or that otherwise, by its terms, adversely and uniquely affects the Wynnchurch Investor Entities without similarly affecting the Pamplona
Investor Entities shall require the consent of the Wynnchurch Investors. Neither the failure nor delay on the part of any party hereto
to exercise any right, remedy, power or privilege under this Agreement shall operate as a waiver thereof, nor shall any single or partial
exercise of any right, remedy, power or privilege preclude any other or further exercise of the same or of any other right, remedy, power
or privilege, nor shall any waiver of any right, remedy, power or privilege with respect to any occurrence be construed as a waiver of
such right, remedy, power or privilege with respect to any other occurrence. No waiver shall be effective unless it is in writing and
is signed by the party asserted to have granted such waiver.

 

4.4           
Further Assurances. The parties hereto will sign such further documents, cause such meetings to be held and resolutions
passed, exercise their votes and do and perform and cause to be done such further acts and things necessary, proper or advisable in order
to give full effect to this Agreement and every provision hereof. To the fullest extent permitted by Law, the Company shall not directly
or indirectly take any action that is intended to, or would reasonably be expected to result in, any Principal Stockholder Entity being
deprived of the rights contemplated by this Agreement.

 

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4.5           
Assignment. This Agreement will inure to the benefit of and be binding on the parties hereto and their respective successors
and permitted assigns. This Agreement and any right hereunder may not be assigned by a Principal Stockholder without the express prior
written consent of the Company, and any attempted assignment, without such consents, will be null and void; provided, however,
that each Pamplona Investor Entity shall be entitled to assign, in whole or in part, to any of its Permitted Assigns without such prior
written consent any of its rights hereunder.

 

4.6           
Indemnification.

 

(a)            
The Company, will, and will cause its Subsidiaries to, jointly and severally, indemnify, exonerate and hold each Principal Stockholder
and its respective partners, stockholders, members, Affiliates, directors, officers, fiduciaries, managers, controlling Persons, employees
and agents and each of the partners, stockholders, members, Affiliates, directors, officers, fiduciaries, managers, controlling Persons,
employees and agents of each of the foregoing (collectively, the “Indemnitees”) free and harmless from and against
any and all liabilities, losses, damages and costs and out-of-pocket expenses in connection therewith (including reasonable attorneys’
fees and expenses) incurred by the Indemnitees or any of them before or after the date of this Agreement (collectively, the “Indemnified
Liabilities”), arising out of any action, cause of action, suit, litigation, investigation, inquiry, arbitration or claim (each,
an “Action”) arising directly or indirectly out of, or in any way relating to, (i) Indemnitees’ ownership of
the Company’s securities or such Indemnitees’ control or ability to influence the Company or any of its Subsidiaries (other
than any such Indemnified Liabilities (x) to the extent such Indemnified Liabilities arise out of any breach of this Agreement, any other
agreement by such Indemnitee or its Affiliates or other related Persons or the breach of any fiduciary or other duty or obligation of
such Indemnitee to its direct or indirect equity holders, creditors or Affiliates, (y) to the extent such control or the ability to control
the Company or any of its Subsidiaries derives from such Stockholder’s or its Affiliates’ capacity as an officer or director
of the Company or any of its Subsidiaries or (z) to the extent such indemnification would violate any applicable law) or (ii) the business,
operations, properties, assets or other rights or liabilities of the Company or any of its Subsidiaries; provided, however that if and
to the extent that the foregoing undertaking may be unavailable or unenforceable for any reason, the Company, will, and will cause its
Subsidiaries to, jointly and severally make the maximum contribution to the payment and satisfaction of each of the Indemnified Liabilities
that is permissible under applicable Law. For the purposes of this Section 4.6, none of the circumstances described in the limitations
contained in the immediately preceding sentence shall be deemed to apply absent a final non-appealable judgment of a court of competent
jurisdiction to such effect, in which case to the extent any such limitation is so determined to apply to any Indemnitee as to any previously
advanced indemnity payments made by the Company, then such payments shall be promptly repaid by such Indemnitee to the Company.

 

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(b)            
The Company, will, and will cause its Subsidiaries to, jointly and severally, reimburse any Indemnitee for all reasonable costs
and expenses (including reasonable attorneys’ fees and expenses and any other litigation-related expenses) as they are incurred
in connection with investigating, preparing, pursuing, defending or assisting in the defense of any Action for which the Indemnitee would
be entitled to indemnification under the terms of this Section 4.6, or any action or proceeding arising therefrom, whether or not
such Indemnitee is a party thereto. The Company or its Subsidiaries, in the defense of any Action for which an Indemnitee would be entitled
to indemnification under the terms of this Section 4.6, may, without the consent of such Indemnitee, consent to entry of any judgment
or enter into any settlement if and only if it (i) includes as a term thereof the giving by the claimant or plaintiff therein to such
Indemnitee of an unconditional release from all liability with respect to such Action, (ii) does not impose any limitations (equitable
or otherwise) on such Indemnitee, and (iii) does not include a statement as to or an admission of fault, culpability or a failure to act
by or on behalf of such Indemnitee, and provided that the only penalty imposed in connection with such settlement is a monetary payment
that will be paid in full by the Company or its Subsidiaries.

 

(c)            
The Company acknowledges and agrees that the Company shall, and to the extent applicable shall cause its Subsidiaries to, be fully
and primarily responsible for the payment to the Indemnitee in respect of Indemnified Liabilities in connection with any Jointly Indemnifiable
Claims (as defined below), pursuant to and in accordance with (as applicable) the terms of (i) the Delaware General Corporation Law,
as amended, (ii) the certificate of incorporation or similar organizational documents, as amended, of the Company, (iii) the bylaws or
similar organizational documents, as amended, of the Company, (iv) any director or officer indemnification agreement, (v) this Agreement,
(vi) any other agreement between the Company or any Controlled Entity and the Indemnitee pursuant to which the Indemnitee is indemnified,
(vii) the laws of the jurisdiction of incorporation or organization of any Controlled Entity and/or (viii) the certificate of incorporation,
certificate of organization, bylaws, partnership agreement, operating agreement, certificate of formation, certificate of limited partnership
or other organizational or governing documents of any Controlled Entity (clauses (i) through (viii), collectively, the “Indemnification
Sources”), irrespective of any right of recovery the Indemnitee may have from any corporation, limited liability company, partnership,
joint venture, trust, employee benefit plan or other enterprise (other than the Company, any Controlled Entity or the insurer under and
pursuant to an insurance policy of the Company or any Controlled Entity) from whom an Indemnitee may be entitled to indemnification with
respect to which, in whole or in part, the Company or any Controlled Entity may also have an indemnification obligation (together, the
 “Indemnitee-Related Entities”). Under no circumstance shall the Company or any Controlled Entity be entitled to any
right of subrogation or contribution by the Indemnitee-Related Entities and no right of advancement or recovery the Indemnitee may have
from the Indemnitee-Related Entities shall reduce or otherwise alter the rights of the Indemnitee or the obligations of the Company or
any Controlled Entity under the Indemnification Sources. The Company shall cause each of the Controlled Entities to perform the terms
and obligations of this Section 4.6(c) as though each such Controlled Entity was a party to this Agreement. For purposes of this
Section 4.6(c), the term “Jointly Indemnifiable Claims” shall be broadly construed and shall include, without
limitation, any Indemnified Liabilities for which the Indemnitee shall be entitled to indemnification from both (1) the Company and/or
any Controlled Entity pursuant to the Indemnification Sources, on the one hand, and (2) any Indemnitee-Related Entity pursuant to any
other agreement between any Indemnitee-Related Entity and the Indemnitee pursuant to which the Indemnitee is indemnified, the laws of
the jurisdiction of incorporation or organization of any Indemnitee-Related Entity and/or the certificate of incorporation, certificate
of organization, bylaws, partnership agreement, operating agreement, certificate of formation, certificate of limited partnership or
other organizational or governing documents of any Indemnitee-Related Entity, on the other hand.

 

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(d)            
The rights of any Indemnitee to indemnification pursuant to this Section 4.6 will be in addition to any other rights any
such Person may have under any other Section of this Agreement or any other agreement or instrument to which such Indemnitee is or becomes
a party or is or otherwise becomes a beneficiary or under law or regulation or under the certificate of incorporation or bylaws of the
Company, any newly formed direct or indirect parent or any direct or indirect Subsidiary or investment holding vehicle with respect to
any of the foregoing.

 

(e)            
The Company shall obtain and maintain in effect at all times directors’ and officers’ liability insurance reasonably
satisfactory to the Principal Stockholders.

 

4.7           
Third Parties. This Agreement does not create any rights, claims or benefits inuring to any Person that is not a party hereto
or create or establish any third-party beneficiary hereto.

 

4.8           
Reimbursement of Expenses.

 

(a)            
The Company will pay directly or reimburse, or cause to be paid directly or reimbursed, the actual and reasonable out-of-pocket
costs and expenses incurred by each Principal Stockholder and its respective Affiliates in connection with the monitoring and/or overseeing
of their investment in the Company, including (i) reasonable out-of-pocket expenses incurred by directors designated by such Principal
Stockholder hereunder in connection with such directors’ board service (including travel), (ii) fees and actual and reasonable
out-of-pocket disbursements of any independent professionals and organizations, including independent accountants, outside legal counsel
or consultants retained by such Principal Stockholder or any of their Affiliates, (iii) reasonable costs of any outside services or independent
contractors such as financial printers, couriers, business publications, on-line financial services or similar services, retained or
used by such Principal Stockholder or any of their respective Affiliates and (iv) reasonable transportation, word processing expenses
or any similar expense.

 

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(b)            
All payments or reimbursement for such costs and expenses pursuant to this Section 4.8 will be made by wire transfer in
same-day funds to the bank account designated by such Principal Stockholder or its relevant Affiliate promptly upon or as soon as practicable
following request for reimbursement; provided, however, that such Principal Stockholder or Affiliate has provided the Company with such
supporting documentation reasonably requested by the Company.

 

(c)            
Notwithstanding the foregoing, or anything else to the contrary contained herein, all of the rights of the Pamplona Investor Entities
and the Wynnchurch Investor Entities, as applicable, under this Section 4.8 shall terminate when the Pamplona Investor Entities
or the Wynnchurch Investor Entities, as applicable, no longer collectively beneficially own at least five percent (5)% of the outstanding
shares of Common Stock.

 

4.9           
Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Delaware, without
regard to principles of conflicts of laws thereof.

 

4.10         Jurisdiction;
Waiver of Jury Trial. In any judicial proceeding involving any dispute, controversy or claim arising out of or relating to this Agreement,
each of the parties unconditionally accepts the jurisdiction and venue of the Delaware Court of Chancery or, if the Delaware Court of
Chancery does not have subject matter jurisdiction over this matter, the Superior Court of the State of Delaware (Complex Commercial
Division) or, if jurisdiction over the matter is vested exclusively in federal courts, the United States District Court for the District
of Delaware, and the appellate courts to which orders and judgments thereof may be appealed. In any such judicial proceeding, the parties
agree that in addition to any method for the service of process permitted or required by such courts, to the fullest extent permitted
by Law, service of process may be made by delivery provided pursuant to the directions in Section 4.2. EACH OF THE PARTIES HEREBY
WAIVES TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW TRIAL BY JURY IN ANY JUDICIAL PROCEEDING INVOLVING ANY DISPUTE, CONTROVERSY
OR CLAIM ARISING OUT OF OR RELATING TO THIS AGREEMENT.

 

4.11         
Specific Performance. Each party hereto acknowledges and agrees that in the event of any breach of this Agreement by any
of them, the other parties hereto would be irreparably harmed and could not be made whole by monetary damages. Each party accordingly
agrees to waive the defense in any action for specific performance that a remedy at law would be adequate and that the parties, in addition
to any other remedy to which they may be entitled at law or in equity, shall be entitled to specific performance of this Agreement without
the posting of bond.

 

    15 

     

    

 

4.12        
Entire Agreement. This Agreement sets forth the entire understanding of the parties hereto with respect to the subject matter
hereof. There are no agreements, representations, warranties, covenants or understandings with respect to the subject matter hereof or
thereof other than those expressly set forth herein and therein. This Agreement supersedes all other prior agreements and understandings
between the parties with respect to such subject matter.

 

4.13        Severability. If
any provision of this Agreement, or the application of such provision to any Person or circumstance or in any jurisdiction, shall be
held to be invalid or unenforceable to any extent, (a) the remainder of this Agreement shall not be affected thereby, and each other
provision hereof shall be valid and enforceable to the fullest extent permitted by Law, (b) as to such Person or circumstance or in such
jurisdiction, such provision shall be reformed to be valid and enforceable to the fullest extent permitted by Law and (c) the application
of such provision to other Persons or circumstances or in other jurisdictions shall not be affected thereby.

 

4.14        Table
of Contents, Headings and Captions. The table of contents, headings, subheadings and captions contained in this Agreement are included
for convenience of reference only and in no way define, limit or describe the scope of this Agreement or the intent of any provision
hereof.

 

4.15        
Counterparts. This Agreement and any amendment hereto may be signed in any number of separate counterparts, each of which
shall be deemed an original, but all of which taken together shall constitute one Agreement (or amendment, as applicable).

 

4.16        
Subsequent Acquisition of Shares. Any equity securities of the Company acquired subsequent to the date hereof by a Principal
Stockholder shall be subject to the terms and conditions of this Agreement.

 

4.17         Effectiveness. This
Agreement shall become effective upon the Closing Date.

 

4.18         No Recourse. This
Agreement may only be enforced against, and any claims or cause of action that may be based upon, arise out of or relate to this Agreement,
or the negotiation, execution or performance of this Agreement, may only be made against the entities that are expressly identified as
parties hereto, and no past, present or future Affiliate, director, officer, employee, incorporator, member, manager, partner, stockholder,
agent, attorney or representative of any party hereto shall have any liability for any obligations or liabilities of the parties to this
Agreement or for any claim based on, in respect of, or by reason of the transactions contemplated hereby.

 

[Remainder of Page Intentionally Left Blank]

 

    16 

     

    

 

IN WITNESS WHEREOF, the parties hereto have executed
this Stockholders Agreement on the day and year first above written.

 

	 	COMPANY
	 	 
	 	LATHAM GROUP, INC.
	 	 
	 	By:	 
	 		Name:
	 		Title:

 

[Signature Page to Stockholders Agreement]

 

     

     

    

 

	 	PRINCIPAL STOCKHOLDERS:
	 	 
	 	PAMPLONA CAPITAL PARTNERS V, L.P.
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 
	 	WYNNCHURCH CAPITAL PARTNERS IV, L.P.
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:
	 	 
	 	WC PARTNERS EXECUTIVE IV, L.P.
	 	 
	 	By:	 
	 	 	Name:
	 	 	Title:

 

[Signature Page to
Stockholders Agreement]

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