Document:

Exhibit 4.2

 

AMENDED AND RESTATED INVESTORS’ RIGHTS AGREEMENT

 

This AMENDED AND RESTATED INVESTORS’ RIGHTS AGREEMENT (the “Agreement”) is made as of June 26, 2019, by and among Lemonade, Inc., a Delaware corporation (the “Company”), and the investors listed on Schedule A hereto, each of which is herein referred to as an “Investor” and collectively as the “Investors”, each of the stockholders listed on Schedule B hereto, each of whom is herein referred to as a “Key Holder” and collectively as the “Key Holders”).

 

RECITALS

 

WHEREAS, certain of the Investors (the “Existing Investors”) hold shares of the Company’s Series Seed Preferred Stock, par value $0.00001 per share (the “Series Seed Preferred Stock”), Series A Preferred Stock, par value $0.00001 per share (the “Series A Preferred Stock”), Series B Preferred Stock, par value $0.00001 per shares (the “Series B Preferred Stock”), Series C Preferred Stock, par value $0.00001 per shares (the “Series C Preferred Stock”) and/or shares of Common Stock issued upon conversion thereof and possess registration rights, information rights, rights of first offer and other rights pursuant to an Amended and Restated Investors’ Rights Agreement dated as of March 12, 2018 by and among the Company, certain holders of Common Stock, par value $0.00001 per share (the “Common Stock”), and such Existing Investors (the “Prior Agreement”);

 

WHEREAS, the Prior Agreement may be amended, and any provision therein waived, with the consent of the Company and the holders of at least 60% of the outstanding Registrable Securities (as such term is defined in the Prior Agreement);

 

WHEREAS, the Existing Investors as holders of at least 60% of the outstanding Registrable Securities (as such term is defined in the Prior Agreement) of the Company desire to terminate the Prior Agreement and to accept the rights created pursuant hereto in lieu of the rights granted to them under the Prior Agreement; and

 

WHEREAS, certain Investors are parties to the Series D Preferred Stock Purchase Agreement dated April 8, 2019 by and among the Company and certain of the Investors (the “Series D Agreement”), which provides that as a condition to the closing of the sale of the Series D Preferred Stock, par value $0.00001 per share (the “Series D Preferred Stock” and collectively with the Series Seed Preferred Stock, the Series A Preferred Stock, the Series B Preferred Stock and the Series C Preferred Stock, the “Preferred Stock”), this Agreement must be executed and delivered by such Investors and Existing Investors holding 60% of the outstanding Registrable Securities (as such term is defined in the Prior Agreement) of the Company.

 

NOW, THEREFORE, in consideration of the mutual promises and covenants set forth herein, the Existing Investors hereby agree that the Prior Agreement shall be superseded and replaced in its entirety by this Agreement, and the parties hereto further agree as follows:

 

1.                                      Registration Rights.

 

The Company covenants and agrees as follows:

 

 

1.1 Definitions.

 

For purposes of this Agreement:

 

(a)                                 The term “Act” means the Securities Act of 1933, as amended.

 

(b)                                 The term “Affiliate” means, with respect to any Person, any other Person who or which, directly or indirectly, controls, is controlled by, or is under common control with such specified Person, including, without limitation, any general partner, officer, director or manager of such Person and any venture capital fund now or hereafter existing that is controlled by one or more general partners or managing members of, or is under common investment management with, such Person. For the avoidance of doubt, SoftBank Vision Fund L.P., a limited partnership formed under the laws of Jersey, SoftBank Group Corp. and all persons or entities controlling, controlled by or under common control with either SoftBank Vision Fund L.P. or SoftBank Group Corp. are Affiliates of each other. It is also clarified that GV 2016, L.P., GV 2019, L.P., Alphabet, Inc. and its subsidiaries are Affiliates of each other.

 

(c)                                  The term “Form S-3” means such form under the Act as in effect on the date hereof or any registration form under the Act subsequently adopted by the SEC that permits inclusion or incorporation of substantial information by reference to other documents filed by the Company with the SEC.

 

(d)                                 The term “Free Writing Prospectus” means a free-writing prospectus, as defined in Rule 405.

 

(e)                                  The term “Holder” means any Person owning or having the right to acquire Registrable Securities or any assignee thereof in accordance with Section 1.11 hereof.

 

(f)                                   The term “Initial Offering” means the Company’s first firm commitment underwritten public offering of its Common Stock under the Act.

 

(g)                                  The term “1934 Act” means the Securities Exchange Act of 1934, as amended.

 

(h)                                 The term “Person” shall mean any individual, corporation, partnership, trust, limited liability company, association or other entity.

 

(i)                                     The terms “register,” “registered,” and “registration” refer to a registration effected by preparing and filing a registration statement or similar document in compliance with the Act, and the declaration or ordering of effectiveness of such registration statement or document.

 

(j)                                    The term “Registrable Securities” means (i) the Common Stock issued to Investors or issuable upon conversion of the Preferred Stock, (ii) any Common Stock of the Company issued as (or issuable upon the conversion or exercise of any warrant, right or other security that is issued as) a dividend or other distribution with respect to, or in exchange for, or in replacement of, the shares referenced in (i) above, (iii) the Common Stock held by a Major Holder who is not a Key Holder, and (iv) the Common Stock held by the Key Holders; provided, however,

 

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that such Key Holders Registrable Securities shall not be deemed Registrable Securities and the Key Holders shall not be deemed Holders for the purposes of Sections 1.2, 1.4, 1.12, 2.1, 2.2, 2.4 and 3.7, excluding in all cases, however, any Registrable Securities sold by a Person in a transaction in which his rights under this Section 1 are not assigned. In addition, the number of shares of Registrable Securities outstanding shall equal the aggregate of the number of shares of Common Stock outstanding that are, and the number of shares of Common Stock issuable pursuant to then exercisable or convertible securities that are, Registrable Securities.

 

(k)                                 The term “Restated Certificate” shall mean the Company’s Amended and Restated Certificate of Incorporation, as amended and/or restated from time to time.

 

(l)                                     The term “Rule 144” shall mean Rule 144 under the Act.

 

(m)                             The term “Rule 144(b)(1)(i)” shall mean subsection (b)(1)(i) of Rule 144 under the Act as it applies to Persons who have held shares for more than one (1) year.

 

(n)                                 The term “Rule 405” shall mean Rule 405 under the Act.

 

(o)                                 The term “SEC” shall mean the Securities and Exchange Commission.

 

1.2                               Request for Registration

 

(a)                                 Subject to the conditions of this Section 1.2, if the Company shall receive at any time after the earlier of (i) five (5) years after the date of this Agreement or (ii) six (6) months after the effective date of the Initial Offering, a written request from the Holders of a majority of the Registrable Securities then outstanding (for purposes of this Section 1.2, the “Initiating Holders”) that the Company file a registration statement under the Act covering the registration of Registrable Securities with an anticipated aggregate offering price of at least $15,000,000, then the Company shall, within twenty (20) days of the receipt thereof, give written notice of such request to all Holders (including the Key Holders), and subject to the limitations of this Section 1.2, use all commercially reasonable efforts to effect, as soon as practicable, the registration under the Act of all Registrable Securities that the Holders request to be registered in a written request received by the Company within twenty (20) days of the mailing of the Company’s notice pursuant to this Section 1.2(a).

 

(b)                                 If the Initiating Holders intend to distribute the Registrable Securities covered by their request by means of an underwriting, they shall so advise the Company as a part of their request made pursuant to this Section 1.2, and the Company shall include such information in the written notice referred to in Section 1.2(a). In such event the right of any Holder to include its Registrable Securities in such registration shall be conditioned upon such Holder’s participation in such underwriting and the inclusion of such Holder’s Registrable Securities in the underwriting (unless otherwise mutually agreed by a majority in interest of the Initiating Holders and such Holder) to the extent provided herein. All Holders proposing to distribute their securities through such underwriting shall enter into an underwriting agreement in customary form with the underwriter or underwriters selected for such underwriting by the Company (which underwriter or underwriters shall be reasonably acceptable to those Initiating Holders holding a majority of the Registrable Securities held by all Initiating Holders). Notwithstanding any other provision of this

 

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Section 1.2, if the underwriter advises the Company that marketing factors require a limitation on the number of securities underwritten (including Registrable Securities), then the Company shall so advise all Holders of Registrable Securities that would otherwise be underwritten pursuant hereto, and the number of shares that may be included in the underwriting shall be allocated to the Holders of such Registrable Securities pro rata based on the number of Registrable Securities held by all such Holders (including the Initiating Holders). In no event shall any Registrable Securities be excluded from such underwriting unless all other securities, including Registrable Securities held by Key Holders, are first excluded. Any Registrable Securities excluded or withdrawn from such underwriting shall be withdrawn from the registration.

 

(c)                                  Notwithstanding the foregoing, the Company shall not be required to effect a registration pursuant to this Section 1.2:

 

(i)                                     in any particular jurisdiction in which the Company would be required to execute a general consent to service of process in effecting such registration, unless the Company is already subject to service in such jurisdiction and except as may be required under the Act; or

 

(ii)                                  after the Company has effected two (2) registrations pursuant to this Section 1.2, and such registrations have been declared or ordered effective; or

 

(iii)                               during the period starting with the date sixty (60) days prior to the Company’s good faith estimate of the date of the filing of and ending on a date one hundred eighty (180) days following the effective date of a Company-initiated registration subject to Section 1.3 below, provided that the Company is actively employing in good faith all commercially reasonable efforts to cause such registration statement to become effective; or

 

(iv)                              if the Initiating Holders propose to dispose of Registrable Securities that may be registered on Form S-3 pursuant to Section 1.4 hereof; or

 

(v)                                 if the Company shall furnish to Holders requesting a registration statement pursuant to this Section 1.2 a certificate signed by the Company’s Chief Executive Officer or Chairman of the Board of Directors stating that in the good faith judgment of the Board of Directors of the Company, it would be seriously detrimental to the Company and its stockholders for such registration statement to be effected at such time, in which event the Company shall have the right to defer such filing for a period of not more than ninety (90) days after receipt of the request of the Initiating Holders, provided that such right shall be exercised by the Company not more than once in any twelve (12) month period and provided further that the Company shall not register any securities for the account of itself or any other stockholder during such ninety (90) day period (other than a registration relating solely to the sale of securities of participants in a Company stock plan, a registration relating to a corporate reorganization or transaction under Rule 145 of the Act, a registration on any form that does not include substantially the same information as would be required to be included in a registration statement covering the sale of the Registrable Securities, or a registration in which the only Common Stock being registered is Common Stock issuable upon conversion of debt securities that are also being registered).

 

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1.3                               Company Registration.

 

(a)                                 If (but without any obligation to do so) the Company proposes to register (including for this purpose a registration effected by the Company for stockholders other than the Holders) any of its stock or other securities under the Act in connection with the public offering of such securities (other than (i) a registration relating to a demand pursuant to Section 1.2 or (ii) a registration relating solely to the sale of securities of participants in a Company stock plan, a registration relating to a corporate reorganization or transaction under Rule 145 of the Act, a registration on any form that does not include substantially the same information as would be required to be included in a registration statement covering the sale of the Registrable Securities, or a registration in which the only Common Stock being registered is Common Stock issuable upon conversion of debt securities that are also being registered), the Company shall, at such time, promptly give each Holder written notice of such registration. Upon the written request of each Holder given within twenty (20) days after mailing of such notice by the Company in accordance with Section 3.5, the Company shall, subject to the provisions of Section 1.3(c), use all commercially reasonable efforts to cause to be registered under the Act all of the Registrable Securities that each such Holder requests to be registered.

 

(b)                                 Right to Terminate Registration. The Company shall have the right to terminate or withdraw any registration initiated by it under this Section 1.3 prior to the effectiveness of such registration whether or not any Holder has elected to include securities in such registration. The expenses of such withdrawn registration shall be borne by the Company in accordance with Section 1.7 hereof.

 

(c)                                  Underwriting Requirements. In connection with any offering involving an underwriting of shares of the Company’s capital stock, the Company shall not be required under this Section 1.3 to include any of the Holders’ securities in such underwriting unless they accept the terms of the underwriting as agreed upon between the Company and the underwriters selected by the Company (or by other Persons entitled to select the underwriters) and enter into an underwriting agreement in customary form with such underwriters, and then only in such quantity as the underwriters determine in their sole discretion will not jeopardize the success of the offering by the Company. If the total amount of securities, including Registrable Securities, requested by stockholders to be included in such offering exceeds the amount of securities sold other than by the Company that the underwriters determine in their sole discretion is compatible with the success of the offering, then the Company shall be required to include in the offering only that number of such securities, including Registrable Securities, that the underwriters determine in their sole discretion will not jeopardize the success of the offering. In no event shall any Registrable Securities be excluded from such offering unless all other stockholders’ securities, including the Registrable Securities held by the Key Holders, have been first excluded. In the event that the underwriters determine that less than all of the Registrable Securities requested to be registered can be included in such offering, then the Registrable Securities that are included in such offering shall be apportioned pro rata among the selling Holders based on the number of Registrable Securities held by all selling Holders or in such other proportions as shall mutually be agreed to by all such selling Holders. Notwithstanding the foregoing, in no event shall the amount of securities of the selling Holders included in the offering be reduced below thirty-three percent (33%) of the total amount of securities included in such offering, unless such offering is the Initial Offering, in which case the selling Holders may be excluded if the underwriters make the

 

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determination described above and no other stockholder’s securities are included in such offering. For purposes of the preceding sentence concerning apportionment, for any selling stockholder that is a Holder of Registrable Securities and that is a venture capital fund, partnership or corporation, the affiliated venture capital funds, partners, members, retired partners and stockholders of such Holder, or the estates and family members of any such partners, members, and retired partners and any trusts for the benefit of any of the foregoing Persons shall be deemed to be a single “selling Holder,” and any pro rata reduction with respect to such “selling Holder” shall be based upon the aggregate amount of Registrable Securities owned by all such related entities and individuals.

 

1.4                               Form S-3 Registration.

 

In case the Company shall receive from the Holders of at least twenty percent (20%) of the Registrable Securities (for purposes of this Section 1.4, the “S-3 Initiating Holders”) a written request or requests that the Company effect a registration on Form S-3 and any related qualification or compliance with respect to all or a part of the Registrable Securities owned by such Holder or Holders, the Company shall:

 

(a)                                 promptly give written notice of the proposed registration, and any related qualification or compliance, to all other Holders including the Key Holders; and

 

(b)                                 use all commercially reasonable efforts to effect, as soon as practicable, such registration and all such qualifications and compliances as may be so requested and as would permit or facilitate the sale and distribution of all or such portion of such Holders’ Registrable Securities as are specified in such request, together with all or such portion of the Registrable Securities of any other Holders and/or Key Holders joining in such request as are specified in a written request given within fifteen (15) days after receipt of such written notice from the Company, provided, however, that the Company shall not be obligated to effect any such registration, qualification or compliance, pursuant to this Section 1.4:

 

(i)                                     if Form S-3 is not available for such offering by the Holders;

 

(ii)                                  if the Holders, together with the holders of any other securities of the Company entitled to inclusion in such registration, propose to sell Registrable Securities and such other securities (if any) at an aggregate price to the public (net of any underwriters’ discounts or commissions) of less than $10,000,000;

 

(iii)                               if the Company shall furnish to all Holders requesting a registration statement pursuant to this Section 1.4 a certificate signed by the Company’s Chief Executive Officer or Chairman of the Board of Directors stating that in the good faith judgment of the Board of Directors of the Company, it would be seriously detrimental to the Company and its stockholders for such registration statement to be effected at such time, in which event the Company shall have the right to defer such filing for a period of not more than ninety (90) days after receipt of the request of the S-3 Initiating Holders, provided that such right shall be exercised by the Company not more than once in any twelve (12) month period and provided further that the Company shall not register any securities for the account of itself or any other stockholder during such ninety (90) day period (other than a registration relating solely to the sale of securities of participants in a Company stock plan, a registration relating to a corporate reorganization or

 

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transaction under Rule 145 of the Act, a registration on any form that does not include substantially the same information as would be required to be included in a registration statement covering the sale of the Registrable Securities, or a registration in which the only Common Stock being registered is Common Stock issuable upon conversion of debt securities that are also being registered);

 

(iv)                              if the Company has, within the twelve (12) month period preceding the date of such request, already effected two (2) registrations on Form S-3 pursuant to this Section 1.4; or

 

(v)                                 in any particular jurisdiction in which the Company would be required to qualify to do business or to execute a general consent to service of process in effecting such registration, qualification or compliance.

 

(c)                                  If the S-3 Initiating Holders intend to distribute the Registrable Securities covered by their request by means of an underwriting, they shall so advise the Company as a part of their request made pursuant to this Section 1.4 and the Company shall include such information in the written notice referred to in Section 1.4(a). The provisions of Section 1.2(b) shall be applicable to such request (with the substitution of Section 1.4 for references to Section 1.2).

 

(d)                                 Subject to the foregoing, the Company shall file a registration statement covering the Registrable Securities and other securities so requested to be registered as soon as practicable after receipt of the request or requests of the S-3 Initiating Holders. Registrations effected pursuant to this Section 1.4 shall not be counted as requests for registration effected pursuant to Section 1.2.

 

1.5                               Obligations of the Company.

 

Whenever required under this Section 1 to effect the registration of any Registrable Securities, the Company shall, as expeditiously as reasonably possible:

 

(a)                                 prepare and file with the SEC a registration statement with respect to such Registrable Securities and use all commercially reasonable efforts to cause such registration statement to become effective, and, upon the request of the Holders of a majority of the Registrable Securities registered thereunder, keep such registration statement effective for a period of up to one hundred twenty (120) days or, if earlier, until the distribution contemplated in the Registration Statement has been completed;

 

(b)                                 prepare and file with the SEC such amendments and supplements to such registration statement and the prospectus used in connection with such registration statement as may be necessary to comply with the provisions of the Act with respect to the disposition of all securities covered by such registration statement;

 

(c)                                  furnish to the Holders such number of copies of a prospectus, including a preliminary prospectus and any Free Writing Prospectus, in conformity with the requirements of the Act, and such other documents as they may reasonably request in order to facilitate the disposition of Registrable Securities owned by them;

 

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(d)                                 use all commercially reasonable efforts to register and qualify the securities covered by such registration statement under such other securities or Blue Sky laws of such jurisdictions as shall be reasonably requested by the Holders, provided that the Company shall not be required in connection therewith or as a condition thereto to qualify to do business or to file a general consent to service of process in any such states or jurisdictions;

 

(e)                                  in the event of any underwritten public offering, enter into and perform its obligations under an underwriting agreement, in usual and customary form, with the managing underwriter of such offering;

 

(f)                                   notify each Holder of Registrable Securities covered by such registration statement at any time when a prospectus or Free Writing Prospectus (to the extent prepared by or on behalf of the Company) relating thereto is required to be delivered under the Act of the happening of any event as a result of which the prospectus included in such registration statement, as then in effect, includes an untrue statement of a material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein not misleading in the light of the circumstances then existing, and, at the request of any such Holder, the Company will, as soon as reasonably practicable, file and furnish to all such Holders a supplement or amendment to such prospectus or Free Writing Prospectus (to the extent prepared by or on behalf of the Company) so that, as thereafter delivered to the purchasers of such Registrable Securities, such prospectus will not contain an untrue statement of a material fact or omit to state any fact necessary to make the statements therein not misleading in light of the circumstances under which they were made;

 

(g)                                  cause all such Registrable Securities registered pursuant to this Section 1 to be listed on a national exchange or trading system and on each securities exchange and trading system on which similar securities issued by the Company are then listed; and

 

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

 

Notwithstanding the provisions of this Section 1, the Company shall be entitled to postpone or suspend, for a reasonable period of time, the filing, effectiveness or use of, or trading under, any registration statement if the Company shall determine that any such filing or the sale of any securities pursuant to such registration statement would in the good faith judgment of the Board of Directors of the Company:

 

(i)                                     materially impede, delay or interfere with any material pending or proposed financing, acquisition, corporate reorganization or other similar transaction involving the Company for which the Board of Directors of the Company has authorized negotiations;

 

(ii)                                  materially adversely impair the consummation of any pending or proposed material offering or sale of any class of securities by the Company; or

 

(iii)                               require disclosure of material nonpublic information that, if disclosed at such time, would be materially harmful to the interests of the Company and its

 

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stockholders; provided, however, that during any such period all executive officers and directors of the Company are also prohibited from selling securities of the Company (or any security of any of the Company’s subsidiaries or Affiliates).

 

In the event of the suspension of effectiveness of any registration statement pursuant to this Section 1.5, the applicable time period during which such registration statement is to remain effective shall be extended by that number of days equal to the number of days the effectiveness of such registration statement was suspended.

 

1.6                               Information from Holder.

 

It shall be a condition precedent to the obligations of the Company to take any action pursuant to this Section 1 with respect to the Registrable Securities of any selling Holder that such Holder shall furnish to the Company such information regarding itself, the Registrable Securities held by it, and the intended method of disposition of such securities as shall be reasonably required to effect the registration of such Holder’s Registrable Securities.

 

1.7                               Expenses of Registration.

 

All expenses other than underwriting discounts and commissions incurred in connection with registrations, filings or qualifications pursuant to Sections 1.2, 1.3 and 1.4, including, without limitation, all registration, filing and qualification fees, printers’ and accounting fees, fees and disbursements of counsel for the Company and the reasonable fees and disbursements of one counsel for the selling Holders (not to exceed $50,000) shall be borne by the Company. Notwithstanding the foregoing, the Company shall not be required to pay for any expenses of any registration proceeding begun pursuant to Section 1.2 or Section 1.4 if the registration request is subsequently withdrawn at the request of the Holders of a majority of the Registrable Securities to be registered (in which case all participating Holders shall bear such expenses pro rata based upon the number of Registrable Securities that were to be included in the withdrawn registration), unless, in the case of a registration requested under Section 1.2, the Holders of a majority of the Registrable Securities agree to forfeit their right to one demand registration pursuant to Section 1.2 and provided, however, that if at the time of such withdrawal, the Holders have learned of a material adverse change in the condition, business or prospects of the Company from that known to the Holders at the time of their request and have withdrawn the request with reasonable promptness following disclosure by the Company of such material adverse change, then the Holders shall not be required to pay any of such expenses and shall retain their rights pursuant to Sections 1.2 and 1.4.

 

1.8                               Delay of Registration.

 

No Holder shall have any right to obtain or seek an injunction restraining or otherwise delaying any such registration as the result of any controversy that might arise with respect to the interpretation or implementation of this Section 1.

 

1.9                               Indemnification.

 

In the event any Registrable Securities are included in a registration statement under this Section 1:

 

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(a)                                 To the extent permitted by law, the Company will indemnify and hold harmless each Holder, the partners, members, officers, directors and stockholders of each Holder, legal counsel and accountants for each Holder, any underwriter (as defined in the Act) for such Holder and each Person, if any, who controls such Holder or underwriter within the meaning of the Act or the 1934 Act, against any losses, claims, damages or liabilities (joint or several) to which they may become subject under the Act, the 1934 Act, any state securities laws or any rule or regulation promulgated under the Act, the 1934 Act or any state securities laws, insofar as such losses, claims, damages, or liabilities (or actions or proceedings, whether commenced or threatened, in respect thereof) arise out of or are based upon any of the following statements, omissions or violations (collectively a “Violation”): (i) any untrue statement or alleged untrue statement of a material fact contained in such registration statement, including any preliminary prospectus, final prospectus, or Free Writing Prospectus contained therein or any amendments or supplements thereto, any issuer information (as defined in Rule 433 of the Act) filed or required to be filed pursuant to Rule 433(d) under the Act or any other document incident to such registration prepared by or on behalf of the Company or used or referred to by the Company, (ii) the omission or alleged omission to state in such registration statement a material fact required to be stated therein, or necessary to make the statements therein not misleading or (iii) any violation or alleged violation by the Company of the Act, the 1934 Act, any state securities laws or any rule or regulation promulgated under the Act, the 1934 Act or any state securities laws, and the Company will reimburse each such Holder, underwriter, controlling Person or other aforementioned Person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability, proceeding or action as such expenses are incurred; provided, however, that the indemnity agreement contained in this subsection l.9(a) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability, proceeding or action if such settlement is effected without the consent of the Company (which consent shall not be unreasonably withheld), nor shall the Company be liable in any such case for any such loss, claim, damage, liability, proceeding or action to the extent that it arises out of or is based upon a Violation that occurs in reliance upon and in conformity with written information furnished expressly for use in connection with such registration by any such Holder, underwriter, controlling Person or other aforementioned Person.

 

(b)                                 To the extent permitted by law, each selling Holder, severally and not jointly, will indemnify and hold harmless the Company, each of its directors, each of its officers who has signed the registration statement, each Person, if any, who controls the Company within the meaning of the Act, legal counsel and accountants for the Company, any underwriter, any other Holder selling securities in such registration statement and any controlling Person of any such underwriter or other Holder, against any losses, claims, damages or liabilities (joint or several) to which any of the foregoing Persons may become subject, under the Act, the 1934 Act, any state securities laws or any rule or regulation promulgated under the Act, the 1934 Act or any state securities laws, insofar as such losses, claims, damages or liabilities (or actions or proceedings, whether commenced or threatened, in respect thereto) arise out of or are based upon any Violation, in each case to the extent (and only to the extent) that such Violation occurs in reliance upon and in conformity with written information furnished by such Holder expressly for use in connection with such registration; and each such Holder will reimburse any Person intended to be indemnified pursuant to this subsection l.9(b) for any legal or other expenses reasonably incurred by such Person in connection with investigating or defending any such loss, claim, damage, liability or action as such expenses are incurred; provided, however, that the indemnity agreement contained

 

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in this subsection 1.9(b) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or action if such settlement is effected without the consent of the Holder (which consent shall not be unreasonably withheld), and provided that in no event shall any indemnity under this subsection 1.9(b) exceed the net proceeds from the offering received by such Holder.

 

(c)                                  Promptly after receipt by an indemnified party under this Section 1.9 of notice of the commencement of any action or proceeding (including any governmental action or proceeding) for which a party may be entitled to indemnification, such indemnified party will, if a claim in respect thereof is to be made against any indemnifying party under this Section 1.9, deliver to the indemnifying party a written notice of the commencement thereof and the indemnifying party shall have the right to participate in and, to the extent the indemnifying party so desires, jointly with any other indemnifying party similarly noticed, 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 retain one (1) separate counsel, with the fees and expenses to be paid by the indemnifying party, if 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 proceeding. The failure to deliver written notice to the indemnifying party within a reasonable time of the commencement of any such action or proceeding, if prejudicial to its ability to defend such action or proceeding, shall relieve such indemnifying party of liability to the indemnified party under this Section 1.9 to the extent of such prejudice, but the omission to so deliver written notice to the indemnifying party will not relieve it of any liability that it may have to any indemnified party otherwise than under this Section 1.9.

 

(d)                                 If the indemnification provided for in this Section 1.9 is held by a court of competent jurisdiction to be unavailable to an indemnified party with respect to any loss, liability, claim, damage or expense referred to herein, then the indemnifying party, in lieu of indemnifying such indemnified party hereunder, shall contribute to the amount paid or payable by such indemnified party as a result of such loss, liability, claim, damage or expense in such proportion as is appropriate to reflect the relative fault of the indemnifying party on the one hand and the indemnified party on the other hand in connection with the statements or omissions that resulted in such loss, liability, claim, damage or expense, as well as any other relevant equitable considerations; provided, however, that (i) no contribution by any Holder, when combined with any amounts paid by such Holder pursuant to Section 1.9(b), shall exceed the net proceeds from the offering received by such Holder and (ii) no Person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the Act) will be entitled to contribution from any Person who was not guilty of such fraudulent misrepresentation; and provided further that in no event shall a Holder’s liability pursuant to this Section 1.9(d), when combined with the amounts paid or payable by such Holder pursuant to Section 1.9(b), exceed the proceeds from the offering received by such Holder (net of any expenses paid by such Holder). The relative fault of the indemnifying party and the indemnified party shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission or alleged omission to state 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.

 

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(e)                                  Notwithstanding the foregoing, to the extent that the provisions on indemnification and contribution contained in the underwriting agreement entered into in connection with the underwritten public offering are in conflict with the foregoing provisions, the provisions in the underwriting agreement shall control.

 

(f)                                   The obligations of the Company and Holders under this Section 1.9 shall survive the completion of any offering of Registrable Securities in a registration statement under this Section 1 and otherwise.

 

1.10                        Reports Under the 1934 Act.

 

With a view to making available to the Holders the benefits of Rule 144 and any other rule or regulation of the SEC that may at any time permit a Holder to sell securities of the Company to the public without registration or pursuant to a registration on Form S-3, the Company agrees to:

 

(a)                                 make and keep public information available, as those terms are understood and defined in Rule 144, at all times after the effective date of the Initial Offering;

 

(b)                                 file with the SEC in a timely manner all reports and other documents required of the Company under the Act and the 1934 Act; and

 

(c)                                  furnish to any Holder, so long as the Holder owns any Registrable Securities, forthwith upon request (i) a written statement by the Company that it has complied with the reporting requirements of Rule 144 (at any time after ninety (90) days after the effective date of the first registration statement filed by the Company), the Act and the 1934 Act (at any time after it 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 it so qualifies), (ii) a copy of the most recent annual or quarterly report of the Company and such other reports and documents so filed by the Company and (iii) such other information as may be reasonably requested to avail any Holder of any rule or regulation of the SEC that permits the selling of any such securities without registration or pursuant to such form.

 

1.11                        Assignment of Registration Rights.

 

The rights to cause the Company to register Registrable Securities pursuant to this Section 1 may be assigned (but only with all related obligations) by a Holder to a transferee or assignee of such securities that (a) is an Affiliate, subsidiary, parent, partner, limited partner, retired partner, member or stockholder of a Holder, (b) is a Holder’s family member or trust for the benefit of an individual Holder, or (c) after such assignment or transfer, holds at least 100,000 shares of Registrable Securities (appropriately adjusted for any stock split, dividend, combination or other recapitalization), provided: (i) the Company is, within a reasonable time after such transfer, furnished with written notice of the name and address of such transferee or assignee and the securities with respect to which such registration rights are being assigned; (ii) such transferee or assignee agrees in writing to be bound by and subject to the terms and conditions of this Agreement, including, without limitation, the provisions of Section 1.13 below; and (iii) such assignment shall be effective only if immediately following such transfer the further disposition of such securities by the transferee or assignee is restricted under the Act.

 

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1.12                        Limitations on Subsequent Registration Rights.

 

From and after the date of this Agreement, the Company shall not, without the prior written consent of the Holders holding 60% of the Registrable Securities then held by all Holders, enter into any agreement with any holder or prospective holder of any securities of the Company that would allow such holder or prospective holder (a) to include any of such securities in any registration filed under Section 1.2, Section 1.3 or Section 1.4 hereof, unless under the terms of such agreement, such holder or prospective holder may include such securities in any such registration only to the extent that the inclusion of such securities will not reduce the amount of the Registrable Securities of the Holders that are included or (b) to demand registration of their securities.

 

1.13                        “Market Stand-Off” Agreement.

 

(a)                                 Each Holder hereby agrees that it will not, without the prior written consent of the managing underwriter, during the period commencing on the date of the final prospectus relating to the Company’s Initial Offering and ending on the date specified by the Company and the managing underwriter (such period not to exceed one hundred eighty (l80) days) (i) lend, offer, pledge, sell, contract to sell, sell any option or contract to purchase, purchase any option or contract to sell, grant any option, right or warrant to purchase, or otherwise transfer or dispose of, directly or indirectly, any shares of Common Stock or any securities convertible into or exercisable or exchangeable for Common Stock held immediately prior to the effectiveness of the Registration Statement for such offering, or (ii) enter into any swap or other arrangement that transfers to another, in whole or in part, any of the economic consequences of ownership of the Common Stock, whether any such transaction described in clause (i) or (ii) above is to be settled by delivery of Common Stock or other securities, in cash or otherwise. The foregoing provisions of this Section 1.13 shall apply only to the Company’s initial offering of equity securities and shall not apply to the sale of any shares to an underwriter pursuant to an underwriting agreement, and shall only be applicable to the Holders if all officers, directors and greater than one percent (1%) stockholders of the Company enter into similar agreements. The underwriters in connection with the Company’s Initial Offering are intended third-party beneficiaries of this Section 1.13 and shall have the right, power and authority to enforce the provisions hereof as though they were a party hereto. Each Holder further agrees to execute such agreements as may be reasonably requested by the underwriters in the Company’s Initial Offering that are consistent with this Section 1.13 or that are necessary to give further effect thereto. Any discretionary waiver or termination of the restrictions of any or all of such agreements by the Company or the underwriters shall apply to all Holders subject to such agreements pro rata based on the number of shares subject to such agreements.

 

In order to enforce the foregoing covenant, the Company may impose stop-transfer instructions with respect to the Registrable Securities of each Holder (and the shares or securities of every other Person subject to the foregoing restriction) until the end of such period. Notwithstanding the foregoing, if (i) during the last seventeen (17) days of the one hundred and eighty (180)-day restricted period, the Company issues an earnings release or material news or a material event relating to the Company occurs; or (ii) prior to the expiration of the one hundred and eighty (180)-day restricted period, the Company announces that it will release earnings results during the sixteen (16)-day period beginning on the last day of the one hundred eighty (180)-day

 

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period, the restrictions imposed by this Section 1.13 shall continue to apply until the expiration of the eighteen (18)-day period beginning on the issuance of the earnings release or the occurrence of the material news or material event.

 

(b)                                 Each Holder agrees that a legend reading substantially as follows shall be placed on all certificates representing all Registrable Securities of each Holder (and the shares or securities of every other Person subject to the restriction contained in this Section 1.13):

 

THE SECURITIES REPRESENTED HEREBY HAVE BEEN ACQUIRED FOR INVESTMENT AND HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933. SUCH SHARES MAY NOT BE SOLD, PLEDGED, OR TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR A VALID EXEMPTION FROM THE REGISTRATION AND PROSPECTUS DELIVERY REQUIREMENTS OF SAID ACT.

 

THE SECURITIES REPRESENTED HEREBY MAY BE TRANSFERRED ONLY IN ACCORDANCE WITH THE TERMS OF AN AGREEMENT BETWEEN THE COMPANY AND THE STOCKHOLDER, A COPY OF WHICH IS ON FILE WITH THE SECRETARY OF THE COMPANY.

 

1.14                        Termination of Registration Rights.

 

No Holder shall be entitled to exercise any right provided for in this Section 1 (a) after four (4) years following the consummation of the Initial Offering, (b) as to any Holder, such earlier time after the Initial Offering at which such Holder (i) can sell all shares held by it in compliance with Rule 144(b)(1)(i) or (ii) holds one percent (1%) or less of the Company’s outstanding Common Stock and all Registrable Securities held by such Holder (together with any Affiliate of the Holder with whom such Holder must aggregate its sales under Rule 144) can be sold in any three (3) month period without registration in compliance with Rule 144 or (c) after the consummation of a Liquidation Event, as that term is defined in the Restated Certificate.

 

2.                                      Covenants of the Company.

 

2.1                               Delivery of Financial Statements.

 

The Company shall deliver to each stockholder that holds at least 380,000 shares of Common Stock of the Company, on an as-converted basis (as adjusted for any stock splits, stock dividends, combinations, subdivisions, recapitalizations or the like) (a “Major Holder”), provided that the Board of Directors has not reasonably determined that such Major Holder is a competitor of the Company (for the sake of clarity, (i) a Major Holder that is a venture capital fund or similar investment fund or entity shall not be deemed to be a competitor of the Company due to an investment in a portfolio company that is a competitor to the Company; (ii) each of GV 2016, L.P., and GV 2019, L.P. or any of their affiliated funds shall not be deemed to be a competitor solely as a result of any affiliation between such funds and Alphabet, Inc. (including any Affiliate of Alphabet, Inc.); (iii) Allianz Strategic Investments s.a.r.l. or any of its Affiliates shall not be deemed to be a competitor, (iv) Harel Insurance Company Ltd. or any of its Affiliates shall not be deemed to be a competitor and (v) SoftBank Group Capital Limited or any of its Affiliates shall not be deemed to be a competitor):

 

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(a)                                 as soon as practicable, but in any event within one hundred twenty (120) days after the end of each fiscal year of the Company, an income statement for such fiscal year, a balance sheet of the Company and statement of stockholders’ equity as of the end of such year, and a statement of cash flows for such year, setting forth in each case in comparative form the figures for the previous fiscal year, all in reasonable detail, United States dollar-denominated, prepared in accordance with United States generally accepted accounting principles (“GAAP”), audited by one of the “big four” accounting firms (the “CPA”) or any other accounting firm which may be deemed acceptable by the Investors, and accompanied by an opinion of such firm which opinion shall state that such balance sheet and statements of income and cash flow have been prepared in accordance with GAAP applied on a basis consistent with that of the preceding fiscal year, and present fairly and accurately the financial position of the Company as of their date, and that the audit by such accountants in connection with such financial statements has been made in accordance with generally accepted auditing standards, unless waived by the Company’s board of directors, including a majority of the Preferred Directors (as defined in the Restated Certificate) (the “Preferred Director Approval”);

 

(b)                                 as soon as practicable, but in any event within forty-five (45) days after the end of each of the first three (3) quarters of each fiscal year of the Company, an unaudited income statement, statement of cash flows for such fiscal quarter and an unaudited balance sheet as of the end of such fiscal quarter, setting forth in each case in comparative form the figures for the corresponding period of the previous fiscal year, all in reasonable detail, United States dollar-denominated and certified, by the chief financial officer (or if none, by the chief executive officer) of the Company, that such financial statements were prepared in accordance with GAAP applied on a basis consistent with that of preceding periods and, except as otherwise stated therein, fairly present the financial position of the Company as of their date subject to (x) there being no footnotes contained therein and (y) changes resulting from year-end audit adjustments, and all reviewed by the CPA, unless such CPA review is waived, in whole or in part, by the Company’s board of directors, including a Preferred Director Approval (as defined in the Restated Certificate);

 

(c)                                  upon request of the Major Holders holding at least one-third of all Preferred Stock then held by the Major Holders, internal monthly unaudited financial statements, compared against plan or monthly reports in a form agreed by the board of directors of the Company, with a Preferred Director Approval, within thirty (30) days following the end of each month, which reports shall include a business update and overview and an unaudited consolidated balance sheet and unaudited consolidated statements of (i) income and (ii) cash flows;

 

(d)                                 as soon as practicable, but in any event at least thirty (30) days prior to the end of each fiscal year, a budget and business plan for the next fiscal year, prepared on a monthly basis, including balance sheets, income statements and statements of cash flows for such months and, as soon as prepared, any other budgets or revised budgets prepared by the Company; and

 

(e)                                  upon request of a Major Holder, a detailed capitalization table of the Company, including a list of the Company’s outstanding convertible debt securities or other similar exercisable or exchangeable instruments (if any) and the terms thereof.

 

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In addition, the Company shall deliver to each Major Holder such other information relating to the financial condition, business or corporate affairs of the Company as such Major Holder may from time to time request, including a detailed capitalization table of the Company’s stockholders, optionholders, warrantholders, convertible noteholders and holders of any other equity or convertible-into-equity securities, provided, however, that the Company shall not be obligated under this Section 2.1 to provide information that (i) it deems in good faith to be a trade secret or similar confidential information or (ii) the disclosure of which would adversely affect the attorney-client privilege between the Company and its counsel.

 

If, for any period, the Company has any subsidiary whose accounts are consolidated with those of the Company, then in respect of such period the financial statements delivered pursuant to the foregoing sections shall be the consolidated and consolidating financial statements of the Company and all such consolidated subsidiaries. Notwithstanding anything else in this Section 2.1 to the contrary, the Company may cease providing the information set forth in this Section 2.1 during the period starting with the date thirty (30) days before the Company’s good-faith estimate of the date of filing of a registration statement if it reasonably concludes it must do so to comply with the SEC rules applicable to such registration statement and related offering; provided that the Company’s covenants under this Section 2.1 shall be reinstated at such time as the Company is no longer actively employing its commercially reasonable efforts to cause such registration statement to become effective.

 

2.2                               Inspection.

 

The Company shall permit each Major Holder, at such Major Holder’s expense, to visit and inspect the Company’s properties, to examine its books of account and records and to discuss the Company’s affairs, finances and accounts with its officers, all at such reasonable times as may be requested by the Major Holder; provided, however, that the Company shall not be obligated pursuant to this Section 2.2 to provide access to any information that it deems in good faith to be a trade secret or similar confidential information, or the disclosure of which would adversely affect the attorney-client privilege between the Company and its counsel.

 

2.3                               Termination of Information and Inspection Covenants.

 

The covenants set forth in Sections 2.1 and 2.2 shall terminate and be of no further force or effect upon the earlier to occur of (a) the consummation of the sale of securities pursuant to a registration statement filed by the Company under the Act in connection with the firm commitment underwritten offering of its securities to the general public, (b) when the Company first becomes subject to the periodic reporting requirements of Sections 12(g) or 15(d) of the 1934 Act, whichever event shall first occur or (c) the consummation of a Liquidation Event, as that term is defined in the Restated Certificate.

 

2.4                               Right of First Offer.

 

Subject to the terms and conditions specified in this Section 2.4, the Company hereby grants to each Major Holder, provided that the Board of Directors has not reasonably determined that such Major Holder is a competitor of the Company (for the sake of clarity, (i) a Major Holder that is a venture capital fund or similar investment fund or entity shall not be deemed

 

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to be a competitor of the Company due to an investment in a portfolio company that is a competitor to the Company; (ii) each of GV 2016, L.P. and GV 2019, L.P. or any of their affiliated funds shall not be deemed to be a competitor solely as a result of any affiliation between such funds and Alphabet, Inc. (including any Affiliate of Alphabet, Inc.); (iii) Allianz Strategic Investments s.a.r.l. or any of its Affiliates shall not be deemed to be a competitor, (iv) Harel Insurance Company Ltd. or any of its Affiliates shall not be deemed to be a competitor, (v) XL Innovate Partners, L.P. or any of its Affiliates shall not be deemed to be a competitor and (vi) SoftBank Group Capital Limited or any of its Affiliates shall not be deemed to be a competitor), a right of first offer with respect to future sales by the Company of its Shares (as hereinafter defined). For purposes of this Section 2.4, the term “Major Holder” includes any general partners and Affiliates of a Major Holder. A Major Holder shall be entitled to apportion the right of first offer hereby granted among itself and its partners and Affiliates in such proportions as it deems appropriate.

 

Each time the Company proposes to offer any shares of, or securities convertible into or exchangeable or exercisable for any shares of, its capital stock (“Shares”), the Company shall first make an offering of such Shares to each Major Holder in accordance with the following provisions:

 

(a)                                 The Company shall deliver a notice in accordance with Section 3.5 (“Notice”) to the Major Holder stating (i) its bona fide intention to offer such Shares, (ii) the number of such Shares to be offered and (iii) the price and terms upon which it proposes to offer such Shares.

 

(b)                                 By written notification received by the Company within fifteen (15) calendar days after the giving of Notice, each Major Holder may elect to purchase, at the price and on the terms specified in the Notice, up to that portion of such Shares that equals the proportion that the number of shares of Common Stock that are Registrable Securities issued and held by such Major Holder (assuming full conversion and exercise of all convertible and exercisable securities then outstanding) bears to the total number of shares of Common Stock of the Company then outstanding (assuming full conversion and exercise of all convertible and exercisable securities then outstanding). The Company shall promptly, in writing, inform each Major Holder that elects to purchase all the shares available to it (a “Fully-Exercising Holder”) of any other Major Holder’s failure to do likewise. During the ten (10) day period commencing after such information is given, each Fully-Exercising Holder may elect to purchase that portion of the Shares for which Major Holders were entitled to subscribe, but which were not subscribed for by the Major Holders, that is equal to the proportion that the number of shares of Registrable Securities issued and held by such Fully-Exercising Holder bears to the total number of shares of Common Stock issued and held, or issuable upon conversion of the Preferred Stock then held, by all Fully-Exercising Holders who wish to purchase some of the unsubscribed shares.

 

(c)                                  If all Shares that Major Holders are entitled to obtain pursuant to subsection 2.4(b) are not elected to be obtained as provided in subsection 2.4(b) hereof, the Company may, during the ninety (90) day period following the expiration of the period provided in subsection 2.4(b) hereof, offer the remaining unsubscribed portion of such Shares to any Person or Persons at a price not less than that, and upon terms no more favorable to the offeree than those, specified in the Notice. If the Company does not enter into an agreement for the sale of the Shares within such period, or if such agreement is not consummated within sixty (60) days of the

 

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execution thereof, the right provided hereunder shall be deemed to be revived and such Shares shall not be offered unless first reoffered to the Major Holders in accordance herewith.

 

(d)                                 The right of first offer in this Section 2.4 shall not be applicable to (i) Exempted Securities (as defined in Section 4(d)(ii) of Article IV(B) of the Restated Certificate), and (ii) the issuance of securities pursuant to an underwritten public offering of shares of Common Stock registered under the Act. In addition to the foregoing, the right of first offer in this Section 2.4 shall not be applicable with respect to any Major Holder in any subsequent offering of Shares if (i) at the time of such offering, the Major Holder is not an “accredited investor,” as that term is then defined in Rule 501(a) of the Act and (ii) such offering of Shares is otherwise being offered only to accredited investors.

 

(e)                                  The rights provided in this Section 2.4 may not be assigned or transferred by any Major Holder; provided, however, that a Major Holder that is (i) XL Innovate Fund, L.P., or (ii) a venture capital fund or similar investment fund or entity may assign or transfer such rights to its Affiliates.

 

(f)                                   The covenants set forth in this Section 2.4 shall terminate and be of no further force or effect upon the consummation of (i) a Qualified Public Offering (as defined in Section 4(b) of Article IV(B) of the Restated Certificate) or (ii) a Liquidation Event, as that term is defined in the Restated Certificate.

 

2.5                               Proprietary Information and Inventions Agreements.

 

The Company shall require all employees and consultants with access to confidential information to execute and deliver a Proprietary Information and Inventions Agreement in substantially the form approved by the Company’s Board of Directors or a consulting agreement containing substantially similar proprietary rights assignment and confidentiality provisions.

 

2.6                               Employee Agreements.

 

Unless approved by the Board of Directors of the Company (including the Preferred Director Approval), all future employees of or consultants to the Company who shall purchase, or receive options to purchase, shares of Common Stock following the date hereof shall be required to execute stock purchase or option agreements providing for (a) vesting of shares over a four (4) year period with the first twenty five percent (25%) of such shares vesting following twelve (12) months of continued employment or services, and the remaining shares vesting in equal monthly installments over the following thirty six (36) months thereafter and (b) a one hundred and eighty (180)-day lockup period (plus an additional period of up to eighteen (18) days) in connection with the Company’s initial public offering. The Company shall retain a right of first refusal on transfers until the Company’s initial public offering and the right to repurchase unvested shares at cost. The Company shall not provide for the acceleration of vesting, or agree to provide acceleration of vesting, with respect to any shares of Common Stock, or options to purchase shares of Common Stock, unless such acceleration of vesting is approved by the Board of Directors (including the Preferred Director Approval). Unless approved by the Board of Directors of the Company (including the Preferred Director Approval), Company shall not enter into any agreement with any

 

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employee or potential employee of the Company regarding employment other than “at will” or any obligation on the part of the Company to pay severance other than as is required by applicable law.

 

2.7                               Board Matters.

 

(A)                               The Company hereby covenants and agrees with each of the Investors that it shall not, without approval of the Board of Directors, including a Preferred Director Approval:

 

(a)                                 approve the annual budget and operating plan of the Company or approve any material deviation therefrom;

 

(b)                                 create or register a pledge or other security interest over any material asset of the Company or any of its subsidiaries;

 

(c)                                  hire, terminate, or change the compensation of any executive officers or any member of the senior management team of the Company or any subsidiary, including approving any option grants or stock awards to executive officers of the Company or any subsidiary;

 

(d)                                 make, or permit the Company or any subsidiary to make, any loan or advance to any person, including, without limitation, any employee or director of the Company or any subsidiary, except advances and similar expenditures in the ordinary course of business or under the terms of an employee stock or option plan approved by the Board of Directors; or

 

(e)                                  permit the payment of the exercise price of any option to purchase shares of Common Stock or otherwise permit the payment of the purchase price of any shares of Common Stock by way of issuance of a promissory note (an “Equity Purchase Note”), modify any term or condition of any Equity Purchase Note, or forgive or cancel any indebtedness outstanding under any Equity Purchase Note.

 

(B)                               The Company hereby covenants and agrees with each of the Investors that it shall not, without approval of the Board of Directors, which approval shall include the approval of the Series C Director (as defined in the Restated Certificate):

 

(a)                                 make any material change to the principal business of the Company or any of its subsidiaries;

 

(b)                                 effect any redemption, purchase or other form of acquisition of (or paying into or setting aside for a sinking fund for such purpose) any shares of capital stock (other than at the lower of cost or fair market value from service providers upon termination of service pursuant to contractual rights of repurchase); or

 

(c)                                  pay or declare any dividend or other distributions on shares of capital stock of the Company.

 

(C)                               The Company hereby covenants and agrees with each of the Investors that it shall not, without approval of the Board of Directors, which approval must include a Preferred

 

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Director Approval) issue, cause or permit the issuance of any share or other securities of any subsidiary of the Company (other than to the Company or to a wholly owned subsidiary of the Company).

 

(D)                               The Company shall reimburse the Company’s directors for all reasonable out-of-pocket travel expenses incurred (consistent with the Company’s travel policy) in connection with attending meetings of the Board of Directors.

 

(E)                                It is hereby agreed that the Company’s Board of Directors shall meet at least on a quarterly basis.

 

2.8                               Indemnification Matters.

 

The Company hereby acknowledges that one (1) or more of the directors nominated to serve on the Board of Directors by the Investors (each a “Fund Director”) may have certain rights to indemnification, advancement of expenses and/or insurance provided by one or more of the Investors and certain of their Affiliates (collectively, the “Fund Indemnitors”). The Company hereby agrees (a) that it is the indemnitor of first resort (i.e., its obligations to any such Fund Director are primary and any obligation of the Fund Indemnitors to advance expenses or to provide indemnification for the same expenses or liabilities incurred by such Fund Director are secondary), (b) that it shall be required to advance the full amount of expenses incurred by such Fund Director and shall be liable for the full amount of all expenses, judgments, penalties, fines and amounts paid in settlement by or on behalf of any such Fund Director to the extent legally permitted and as required by the Restated Certificate or Bylaws of the Company (or any agreement between the Company and such Fund Director), without regard to any rights such Fund Director may have against the Fund Indemnitors, and, (c) that it irrevocably waives, relinquishes and releases the Fund Indemnitors from any and all claims against the Fund Indemnitors for contribution, subrogation or any other recovery of any kind in respect thereof. The Company further agrees that no advancement or payment by the Fund Indemnitors on behalf of any such Fund Director with respect to any claim for which such Fund Director has sought indemnification from the Company shall affect the foregoing and the Fund Indemnitors shall have a right of contribution and/or be subrogated to the extent of such advancement or payment to all of the rights of recovery of such Fund Director against the Company.

 

2.9                               Confidentiality.

 

Each Investor and Major Holder agrees, severally and not jointly, to use the same degree of care as such Investor uses to protect its own confidential information for any information obtained pursuant to Section 2.1 or Section 2.2 hereof and such Investor or Major Holder acknowledges that it will not, unless otherwise required by law or the rules of any national securities exchange, association or marketplace, disclose such information without the prior written consent of the Company except such information that (a) was in the public domain prior to the time it was furnished to such Investor, (b) is or becomes (through no willful improper action or inaction by such Investor) generally available to the public, (c) was in its possession or known by such Investor without restriction prior to receipt from the Company, (d) was rightfully disclosed to such Investor by a third party without restriction or (e) was independently developed without any use of the Company’s confidential information. Notwithstanding the foregoing, each Investor or Major

 

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Holder that is a limited partnership or limited liability company may disclose such proprietary or confidential information to any former partners or members who retained an economic interest in such Investor, current or prospective partner of the partnership or any subsequent partnership under common investment management, limited partner, general partner, member or management company of such Investor (or any employee or representative of any of the foregoing) (each of the foregoing Persons, a “Permitted Disclosee”), if such Permitted Disclosee agrees to be bound by the provisions of this Section 2.9 or is bound pursuant to substantially similar confidentiality obligations, or legal counsel and accountants of such Investor or Major Holder. Furthermore, nothing contained herein shall prevent any Investor or any Permitted Disclosee from (i) entering into any business, entering into any agreement with a third party, or investing in or engaging in investment discussions with any other company (whether or not competitive with the Company), provided that such Investor, Major Holder or Permitted Disclosee does not, except as permitted in accordance with this Section 2.9, disclose or otherwise make use of any proprietary or confidential information of the Company in connection with such activities, or (ii) making any disclosures required by law, rule, regulation or court or other governmental order.

 

2.10                        Foreign Corrupt Practices Act

 

The Company represents that it shall not and shall not permit any of its subsidiaries or Affiliates or any of its or their respective directors, officers, managers, employees, independent contractors, representatives or agents to promise, authorize or make any payment to, or otherwise contribute any item of value to, directly or indirectly, to any third party, including any non-U.S. official, in each case, in violation of the U.S. Foreign Corrupt Practices Act (the “FCPA”), the U.K. Bribery Act, or any other applicable anti-bribery or anti-corruption law. The Company further represents that it shall and shall cause each of its subsidiaries and Affiliates to cease all of its or their respective activities, as well as remediate any actions taken by the Company, its subsidiaries or Affiliates, or any of their respective directors, officers, managers, employees, independent contractors, representatives or agents in violation of the FCPA, the U.K. Bribery Act, or any other applicable anti-bribery or anti-corruption law. The Company further represents that it shall and shall cause each of its subsidiaries and Affiliates to maintain systems of internal controls (including, but not limited to, accounting systems, purchasing systems and billing systems) to ensure compliance with the FCPA, the U.K. Bribery Act, or any other applicable anti-bribery or anti-corruption law.

 

2.11                        Use of Name.

 

The Company shall not and shall cause its subsidiaries not to use the name of an Investor (or the name of any Affiliate of an Investor) in any press release, published notice or other publication relating to such Investor’s investment in the Company without the prior written consent of such Investor. For the avoidance of doubt, the Company may advise its tax, legal or other professional advisors, other investors and prospective investors of the fact of such Investor’s investment in the Company, provided that such persons are obligated to keep such information confidential, and may make any other disclosure regarding such Investor’s investment in the Company required by law or legal process.

 

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2.12                        Termination of Certain Covenants

 

The covenants set forth in Sections 2.5, 2.6, and 2.7 shall terminate and be of no further force or effect upon the consummation of (a) the Initial Offering or (b) a Liquidation Event, as that term is defined in the Restated Certificate.

 

2.13                        Right to Conduct Activities.

 

The Company hereby agrees and acknowledges that certain of the Investors and their Affiliates are professional investment funds or make investments similar in nature to that contemplated by the Series D Agreement (“Fund Investors”), and as such invest in numerous portfolio companies, some of which may be deemed competitive with the Company’s business (as currently conducted or as currently proposed to be conducted). The Company hereby agrees that, to the extent permitted under applicable law, no such Fund Investor shall be liable to the Company for any claim arising out of, or based upon, (i) the investment by such Fund Investor in any entity competitive with the Company, or (ii) actions taken by any partner, officer or other representative of such Fund Investor to assist any such competitive company, whether or not such action was taken as a member of the board of directors of such competitive company or otherwise, and whether or not such action has a detrimental effect on the Company; provided, however, that the foregoing shall not relieve (x) any Fund Investors from liability associated with the breach of Section 2.9, or (y) any director or officer of the Company from any liability associated with his or her fiduciary duties to the Company. For the avoidance of doubt, the Company agrees that SoftBank Group Capital Limited, GV 2016, L.P., GV 2019, L.P., Allianz Strategic Investments s.a.r.l., XL Innovate Partners, L.P. and Harel Insurance Company Ltd. are Fund Investors.

 

2.14                        Real Property Holding Corporation.

 

If at any time the Company determines that it is a “United States real property holding corporation” as defined in Section 897(c)(2) of the Internal Revenue Code of 1986, as amended (a “USRPHC”), it shall promptly inform each Major Holder in writing of such determination. In addition, upon a Major Holder’s request, the Company shall promptly determine whether or not it is a USRPHC and shall promptly inform such Major Holder in writing of such determination.

 

3.                                      Miscellaneous.

 

3.1                               Successors and Assigns.

 

Except as otherwise provided herein, the terms and conditions of this Agreement shall inure to the benefit of and be binding upon the respective successors and assigns of the parties (including transferees of any shares of Registrable Securities). Nothing in this Agreement, express or implied, is intended to confer upon any party other than the parties hereto or their respective successors and assigns any rights, remedies, obligations or liabilities under or by reason of this Agreement, except as expressly provided in this Agreement.

 

3.2                               Governing Law.

 

This Agreement shall be governed by and construed under the laws of the State of New York as applied to agreements among New York residents entered into and to be performed entirely within New York.

 

22

 

3.3                               Counterparts; Facsimile.

 

This Agreement may be executed and delivered by facsimile or electronic signature and in two (2) or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one (1) and the same instrument.

 

3.4                               Titles and Subtitles.

 

The titles and subtitles used in this Agreement are used for convenience only and are not to be considered in construing or interpreting this Agreement.

 

3.5                               Notices.

 

All notices and other communications given or made pursuant hereto shall be in writing and shall be deemed effectively given upon the earlier to occur of actual receipt or: (a) upon personal delivery to the party to be notified, (b) when sent by confirmed electronic mail or facsimile if sent during normal business hours of the recipient; if not, then on the next business day, (c) five (5) days after having been sent by registered or certified mail, return receipt requested, postage prepaid, or (d) one (1) day after deposit with a nationally recognized overnight courier, specifying next day delivery, with written verification of receipt. All communications shall be sent to the respective parties at the addresses set forth on the signature pages attached hereto (or at such other addresses as shall be specified by notice given in accordance with this Section 3.5).

 

3.6                               Expenses.

 

If any action at law or in equity is necessary to enforce or interpret the terms of this Agreement, the prevailing party shall be entitled to reasonable attorneys’ fees, costs and necessary disbursements in addition to any other relief to which such party may be entitled.

 

3.7                               Entire Agreement; Amendments and Waivers.

 

Upon the effectiveness of this Agreement, the Prior Agreement shall be deemed amended and restated and superseded and replaced in its entirety by this Agreement, and shall be of no further force or effect. This Agreement (including the Exhibits hereto, if any) constitutes the full and entire understanding and agreement among the parties with regard to the subjects hereof and thereof. Any term of this Agreement (other than Section 2.1, Section 2.2, Section 2.3, Section 2.4 and Section 2.7(B)) may be amended and the observance of any term of this Agreement may be waived (either generally or in a particular instance and either retroactively or prospectively) only with the written consent of the Company and the Investors holding at least sixty percent (60%) of the Registrable Securities held by the Investors; provided, that if such amendment or waiver disproportionately and materially adversely affects any Major Holder or holder of Preferred Stock, then the consent of such holder shall also be required. The provisions of Section 2.1, Section 2.2, Section 2.3 and Section 2.4 may be amended or waived (either generally or in a particular instance and either retroactively or prospectively) only with the written consent of the Company and the Major Investors holding at least sixty percent (60%) of the Registrable Securities that are held by all of the Major Investors (excluding the Key Holders); provided, however, that the definition of “Major Holder” in Section 2.1 may be amended only with the consent of the Company, the Major Investors holding at least sixty percent (60%) of the Registrable Securities that are held by all of

 

23

 

the Major Investors and the Key Holders and provided, further if such amendment to the definition of “Major Holder” or “Major Investor” results in any Major Holder or Major Investor no longer being considered a “Major Holder” or a “Major Investor,” then the consent of such Major Holder or Major Investor shall also be required; provided, however, that in the event that the right of first offer set forth in Section 2.4 is waived with respect to the issuance of any Shares and any Major Holder participates in such financing, then all other Major Holders shall have the right to purchase their pro rata portion of the new issuance of equity securities sold in such financing (based on the level of participation of the Major Holder purchasing the largest portion of such Major Holder’s pro rata share) unless waived or consented to by such Major Holder. If any such amendment or waiver disproportionately and materially adversely affects any Major Holder or holder or series of Preferred Stock, then the consent of such Major Holder or such holder or the holders of a majority of such series of Preferred Stock shall also be required. For the purposes of this Section 3.7, the term “Major Investor” shall mean any Investor who holds at least 380,000 shares of Common Stock of the Company, on an as-converted basis (as adjusted for any stock splits, stock dividends, combinations, subdivisions, recapitalizations or the like). The provisions of Section 2.7(B) may be amended or waived (either generally or in a particular instance and either retroactively or prospectively) only with the written consent of the Company and holders of a majority of the Common Stock issued or issuable upon conversion of Series C Preferred Stock. Any amendment or waiver effected in accordance with this paragraph shall be binding upon each holder of any Registrable Securities, each future holder of all such Registrable Securities and the Company. Further, in the event that any amendment or waiver under this Section 3.7 adversely affects the obligations or rights of the Key Holders in a different manner than the other Holders, such amendment or waiver shall also require the written consent of the Key Holders holding at least a majority of the Registrable Securities held by the Key Holders.

 

3.8                               Severability.

 

Whenever possible, each provision of this Agreement shall be interpreted in such manner as to be effective and valid under applicable law, but if any provision of this Agreement shall be held to be prohibited by or invalid under applicable law, such provision shall be ineffective only to the extent of such prohibition or invalidity, without invalidating the remainder of such provision or the remaining provisions of this Agreement.

 

3.9                               Aggregation of Stock.

 

All shares of Registrable Securities held or acquired by affiliated entities (including affiliated venture capital funds or venture capital funds under common investment management) or Persons shall be aggregated together for the purpose of determining the availability of any rights under this Agreement.

 

3.10                        Amendment and Restatement of Prior Agreement. The Prior Agreement is hereby amended in its entirety and restated as provided herein. All provisions of, rights granted and covenants made in the Prior Agreement are hereby waived, released and superseded in their entirety and shall have no further force or effect, including, without limitation, all rights pursuant to Section 2.4 of the Prior Agreement to notice of or the right to participate in the offer and sale of shares of Series D Preferred Stock pursuant to the Series D Agreement.

 

24

 

3.11                        Additional Investors. Notwithstanding anything to the contrary contained herein, if following the date hereof the Company issues additional shares of Series D Preferred Stock pursuant to the Series D Agreement, any purchaser of such Series D Preferred Stock shall become a party to this Agreement by executing and delivering an additional counterpart signature page to this Agreement, and thereafter shall be deemed an “Investor” for all purposes hereunder. No action or consent by the Investors shall be required for such joinder to this Agreement by such additional Investor, so long as such additional Investor has agreed in writing to be bound by all of the obligations as an “Investor” hereunder.

 

[Remainder of page intentionally left blank]

 

25

 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.

 

	
 
    	
COMPANY
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Daniel Schreiber
    
	
 
    	
Name:
    	
Daniel Schreiber
    
	
 
    	
Title:
    	
Chief Executive Officer
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
ALEPH,   L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
Aleph Equity Partners,   L.P.
    
	
 
    	
 
    	
Its general partner
    
	
 
    	
By:
    	
Aleph EP, Ltd.
    
	
 
    	
 
    	
Its general partner
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Michael Eisenberg
    
	
 
    	
 
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
ALEPH-ALEPH,   L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
Aleph Equity Partners,   L.P.
    
	
 
    	
 
    	
Its general partner
    
	
 
    	
By:
    	
Aleph EP, Ltd.
    
	
 
    	
 
    	
Its general partner 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Michael Eisenberg
    
	
 
    	
 
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
SEQUOIA   CAPITAL ISRAEL VENTURE V HOLDINGS L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
SC Israel Venture V   Management, L.P.
    
	
 
    	
 
    	
Its general partner
    
	
 
    	
By:
    	
SC Israel Venture V   (TTGP), Ltd.
    
	
 
    	
 
    	
Its general partner 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Haim Sadger
    
	
 
    	
 
    	
Managing Director 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
XL   INNOVATE FUND, L.P.
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ G. Thompson Hutton
    
	
 
    	
Name:
    	
G. Thompson Hutton
    
	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
GENERAL   CATALYST GROUP VIII, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
General Catalyst   Partners VIII, L.P.
    
	
 
    	
 
    	
its General Partner
    
	
 
    	
By:
    	
General Catalyst GP VIII,   LLC
    
	
 
    	
 
    	
its General Partner
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Chris McCain
    
	
 
    	
Name:
    	
Chris McCain
    
	
 
    	
Title:
    	
Chief Legal Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
GENERAL   CATALYST GROUP VIII SUPPLEMENTAL, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
General Catalyst   Partners VIII, L.P.
    
	
 
    	
 
    	
its General Partner
    
	
 
    	
By:
    	
General Catalyst GP   VIII, LLC
    
	
 
    	
 
    	
its General Partner
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Chris McCain
    
	
 
    	
Name:
    	
Chris McCain
    
	
 
    	
Title:
    	
Chief Legal officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
THRIVE   CAPITAL PARTNERS V, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
THRIVE PARTNERS V GP,   LLC,
    
	
 
    	
 
    	
its general partner
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Joshua Kushner
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
CLAREMOUNT   V ASSOCIATES, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
THRIVE PARTNERS V GP,   LLC,
    
	
 
    	
 
    	
its general partner
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Joshua Kushner
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address: 
    
	
 
    	
[  ]
    
	
 
    	
 
    
	
 
    	
Email: 
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
GV   2016, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
GV 2016 GP, L.P., its   General Partner
    
	
 
    	
By: 
    	
GV 2016 GP, L.L.C, its   General Partner
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Daphne M. Chang
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Daphne M. Chang
    
	
 
    	
Title:
    	
Authorized Signatory
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
GV2019,   L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
GV 2019 GP, L.P., its   General Partner
    
	
 
    	
By:
    	
GV 2019 GP, L.L.C., its   General Partner
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Daphne M. Chang
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Daphne M. Chang
    
	
 
    	
Title:
    	
Authorized Signatory
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
TUSK   VENTURE PARTNERS I, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
TUSK   VENTURES, LLC
    
	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
TUSK   VENTURES L SPV, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
TUSK   VENTURES LEMONADE SPV II, LLC
    
	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
ALLIANZ   STRATEGIC INVESTMENTS S.A.R.L
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Lars Junkermann 
    	
/s/ Alain Schaedgen
    
	
 
    	
Name:
    	
Lars Junkermann 
    	
Alain Schaedgen
    
	
 
    	
Titles
    	
Manager 
    	
Manager
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
SOUND   VENTURES II, LLC
    
	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
ALEXA   VON TOBEL
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
ANNOX   CAPITAL, LLC
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
ELEVATOR   VENTURES HOLDINGS LTD.
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
MSR   GLOBAL LIMITED
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
LEMONADE   2019-I, LLC
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Yan Piskunov
    
	
 
    	
 
    
	
 
    	
Name: Yan Piskunov
    
	
 
    	
 
    
	
 
    	
Title: Manager of   Lemonade 34, LLC – the First Manager of Lemonade 2019-I, LLC
    
	
 
    	
 
    
	
 
    	
 
    	
 
    	

    
	
 
    	
By:
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
Name: 
    
	
 
    	
 
    
	
 
    	
Title: Director of   Dream Ventures Ltd. – the Director of Gem Limited – the Second Managers of   Lemonade 2019-I, LLC
    
	
 
    	
 
    
	
 
    	
Notice   Address: 
    
	
 
    	
[  ]
    
	
 
    	
 
    
	
 
    	
LEMONADE   2019-II, LLC
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Yan Piskunov
    
	
 
    	
 
    
	
 
    	
Name: Yan Piskunov
    
	
 
    	
 
    
	
 
    	
Title: Manager of   Lemonade 35, LLC – the Manager of Lemonade 2019-II, LLC
    
	
 
    	
 
    
	
 
    	
Notice   Address:  
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
ORIT   WININGER
    
	
 
    	
 
    
	
 
    	
/s/ Orit Wininger
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
SHLOMO   SCHINDELHEIM
    
	
 
    	
 
    
	
 
    	
/s/ Shlomo Schindelheim
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
SOFTBANK   GROUP CAPITAL LIMITED
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Robert Townsend
    
	
 
    	
Name:
    	
Robert Townsend
    
	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
 
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
PUCCINI   INVESTMENTS HOLDINGS LIMITED
    
	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    	
 
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
HAREL   INSURANCE COMPANY LTD. (PARTICIPATING FUNDS)
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment   Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
HAREL   INSURANCE COMPANY LTD. (NOSTRO)
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment   Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
TZAVA   HAKEVA SAVING FUNDS — PROVIDENT FUNDS MANAGEMENT COMPANY LTD. (ON BEHALF OF   TZVA HAKEVA SAVINGS FUND)
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment   Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
LEATID   PENSION FUNDS MANAGEMENT COMPANY LTD. (ON BEHALF OF ATIDIT PENSION FUND)
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment   Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
HAREL   PENSION AND PROVIDENT LTD. (ON BEHALF OF HAREL PENSION)
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment   Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
HAREL   PENSION AND PROVIDENT LTD. (ON BEHALF OF HAREL PROVIDENT FUND)
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment   Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
HAREL   PENSION AND PROVIDENT LTD. (ON BEHALF OF HAREL GENERAL PLAN)
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment   Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
HAREL   PENSION AND PROVIDENT LTD. (ON BEHALF HAREL STUDY FUND)
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment   Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
HAREL   PENSION AND PROVIDENT LTD. (ON BEHALF OF HAREL PROVIDENT INVESTMENT)
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment   Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
HAREL   PENSION AND PROVTOENT LTD. (ON BEHALF OF HAREL PROVIDENT INVESTMENT OR   CHILDREN)
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment   Officer
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
OURCROWD   (INVESTMENT IN LEMON), L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
its general partner   OurCrowd Israel General Partner, L.P. on behalf of its General Partner,   OurCrowd International General Partner, LP., on behalf of its general partner   OurCrowd General Partner Limited
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Josh Wolff   (May 1, 2019)
    	
 
    	
/s/ Cali Chill   (May 1, 2019)
    
	
 
    	
Name:
    	
Josh Wolff
    	
 
    	
Cali Chill
    
	
 
    	
Title:
    	
SVP 
    	
 
    	
SVP, General   Counsel & Corporate Secretary
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
OURCROWD   INTERNATIONAL INVESTMENT III, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
its general partner   OurCrowd Israel General Partner, L.P. on behalf of its General Partner,   OurCrowd International General Partner, LP., on behalf of its general partner   OurCrowd General Partner Limited
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Josh Wolff   (May 1, 2019)
    	
 
    	
/s/ Cali Chill   (May 1, 2019)
    
	
 
    	
Name:
    	
Josh Wolff
    	
 
    	
Cali Chill
    
	
 
    	
Title:
    	
SVP 
    	
 
    	
SVP, General   Counsel & Corporate Secretary
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
OURCROWD   50 L.P.
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
its general partner   OurCrowd Israel General Partner, L.P. on behalf of its General Partner,   OurCrowd International General Partner, LP., on behalf of its general partner   OurCrowd General Partner Limited
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Josh Wolff   (May 1, 2019)
    	
 
    	
/s/ Cali Chill   (May 1, 2019)
    
	
 
    	
Name:
    	
Josh Wolff
    	
 
    	
Cali Chill
    
	
 
    	
Title:
    	
SVP 
    	
 
    	
SVP, General   Counsel & Corporate Secretary
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.

 

	
 
    	
KEY   HOLDERS:
    
	
 
    	
 
    
	
 
    	
DANIEL   SHREIBER
    
	
 
    	
 
    
	
 
    	
/s/ Daniel Shreiber
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
SHAI   WININGER
    
	
 
    	
 
    
	
 
    	
/s/ Shai Winimger
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R INVESTORS’ RIGHTS AGREEMENT FOR LEMONADE, INC.

 

 

SCHEDULE A

 

SCHEDULE OF INVESTORS

 

Aleph, L.P.

Aleph-Aleph, L.P.

Sequoia Capital Israel Venture V Holdings, L.P.

XL Innovate Fund, L.P.

General Catalyst Group VIII, L.P.

General Catalyst Group VIII Supplemental, L.P.

Thrive Capital Partners V, L.P.

Claremount V Associates, L.P.

GV 2016, L.P.

GV 2019, L.P.

Tusk Venture Partners I LP

Tusk Ventures L SPV LP

Tusk Ventures LLC

Tusk Ventures Lemonade SPV II LLC

Sound Ventures II, LLC

Alexa von Tobel

Annox Capital, LLC (Delaware LLC)

Elevator Ventures Holdings Ltd.

MSR Global Limited

Orit Wininger

Shlomo Schindelheim

Allianz Strategic Investments s.a.r.l.

SoftBank Group Capital Limited

Puccini Holdings Investments Limited

OurCrowd (Investment in Lemon), L.P.

OurCrowd International Investment III, L.P.

OurCrowd 50, L.P.

Harel Insurance Company Ltd.

Harel Pension and Provident Ltd.

Tzava Hakeva Saving Funds — Provident Funds Management Company Ltd.

Leatid Pension Funds Management Company Ltd.

Lemonade 2019-I, LLC

Lemonade 2019-II, LLC

 

 

SCHEDULE B

 

SCHEDULE OF KEY HOLDERS

 

Daniel Schreiber

Shai WiningerExhibit 4.3

 

AMENDED AND RESTATED VOTING AGREEMENT

 

This AMENDED AND RESTATED VOTING AGREEMENT (the “Agreement”) is made and entered into as of June 26, 2019, by and among Lemonade, Inc., a Delaware corporation (the “Company”), the holders of the Company’s Series Seed Preferred Stock, par value $0.00001 per share (the “Series Seed Stock”), the holders of the Company’s Series A Preferred Stock, par value $0.00001 per share (the “Series A Stock”), the holders of the Company’s Series B Preferred Stock, par value $0.00001 per share (the “Series B Stock”), the holders of the Company’s Series C Preferred Stock, par value $0.00001 per share (the “Series C Stock”), the holders of the Company’s Series D Preferred Stock, par value $0.00001 per share (together, the “Series D Stock” and collectively with the Series Seed Stock, the Series A Preferred Stock, the Series B Stock and the Series C Stock, the “Preferred Stock”) listed on the Schedule of Investors attached as Schedule A hereto (together with any subsequent investors, or transferees, who become parties hereto as “Investors” pursuant to Sections 12.8 or 12.9 below, the “Investors”), the holders of the Company’s Common Stock (the “Common Stock”) listed on the Schedule of Key Holders attached as Schedule B hereto (together with any subsequent stockholders or option, warrant or other rights holders, or any transferees, who become parties hereto as “Key Holders” pursuant to Sections 12.8 or 12.9 below, the “Key Holders”), and the holders of Common Stock listed on the Schedule of Common Holders attached as Schedule C hereto (together with any subsequent stockholders or option, warrant or other rights holders, or any transferees, who become parties hereto as “Common Holders” pursuant to Sections 12.8 or 12.9 below, the “Common Holders”). The Investors, the Key Holders and the Common Holders are individually referred to herein as a “Stockholder” (and, together with the Company, a “Party”) and are collectively referred to herein as the “Stockholders” (and, together with the Company, the “Parties”). The Company’s Board of Directors is referred to herein as the “Board.”

 

RECITALS

 

WHEREAS, the Company’s Amended and Restated Certificate of Incorporation (as the same may be amended and/or restated from time to time, the “Certificate of Incorporation”) provides that holders of shares of Common Stock, voting as a separate class, shall elect two (2) members of the Board (the “Common Directors”), the holders of shares of the Series Seed Stock, voting as a separate class, shall elect two (2) members of the Board (the “Series Seed Directors”), the holders of shares of the Series A Stock, voting as a separate class, shall elect one (1) member of the Board (the “Series A Director”), the holders of shares of the Series B Stock, voting as a separate class, shall elect one (1) member of the Board (the “Series B Director”) and the holders of shares of the Series C Stock, voting as a separate class, shall elect one (1) member of the Board (the “Series C Director”);

 

WHEREAS, certain of the Investors (the “Existing Investors”), the Common Holders and the Key Holders are parties to the Amended and Restated Voting Agreement dated July 11, 2018 by and among the Company and the parties thereto (the “Prior Agreement”);

 

WHEREAS, SoftBank Group Capital Limited has delegated all its power and control over all shares of capital stock of the Company it owns to a Joint Investment Committee (as defined in the Series D Preferred Stock Purchase Agreement, dated as of April 8, 2019, by and among the Company and certain purchasers of shares of Series D Stock); and

 

 

WHEREAS, the parties to the Prior Agreement representing the required parties pursuant to Section 12.5 of the Prior Agreement desire to amend and restate the Prior Agreement.

 

AGREEMENT

 

NOW, THEREFORE, in consideration of the mutual promises and covenants set forth herein, and certain other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties agree as follows:

 

1.                                      Agreement to Vote.

 

Each Investor, as a holder of Preferred Stock, hereby agrees, to hold all of the shares of Preferred Stock registered in its name and any other securities of the Company subsequently acquired by such Investor in the future (and any securities of the Company issued with respect to, upon conversion of, or in exchange or substitution for such shares or other securities) (hereinafter collectively referred to as the “Investor Shares”) subject to, and to vote the Investor Shares at a regular or special meeting of stockholders (or by written consent) in accordance with, the provisions of this Agreement; provided, however, that all voting rights and obligations in respect of shares of capital stock of the Company owned by SoftBank Group Capital Limited shall be exercised or performed by the Joint Investment Committee. Each Key Holder as a holder of Common Stock, hereby agrees on behalf of itself and any transferee or assignee of any such shares of Common Stock, to hold all of such shares registered in its name and any other securities of the Company subsequently acquired by such Key Holder in the future (and any securities of the Company issued with respect to, upon conversion of, or in exchange or substitution for such shares or other securities) (hereinafter collectively referred to as the “Key Holder Shares”) subject to, and to vote the Key Holder Shares at a regular or special meeting of stockholders (or by written consent) in accordance with, the provisions of this Agreement. Each Common Holder as a holder of Common Stock, hereby agrees on behalf of itself and any transferee or assignee of any such shares of Common Stock, to hold all of such shares registered in its name and any other securities of the Company subsequently acquired by such Common Holder in the future (and any securities of the Company issued with respect to, upon conversion of, or in exchange or substitution for such shares or other securities) (hereinafter collectively referred to as the “Common Holder Shares”) subject to, and to vote the Common Holder Shares at a regular or special meeting of stockholders (or by written consent) in accordance with, the provisions of this Agreement. The Investor Shares, the Key Holder Shares and the Common Holder Shares are hereinafter collectively referred to as the “Shares”.

 

2.                                      Voting Provisions Relating to the Board.

 

2.1                               Board Size.

 

Each Stockholder shall vote, or cause to be voted, at a regular or special meeting of stockholders (or by written consent) all Shares owned by such Stockholder (or as to which such Stockholder has voting power) to ensure that the size of the Board shall be set and remain at nine (9) directors; provided, however, that such Board size may be subsequently increased or decreased pursuant to an amendment of this Agreement in accordance with Section 12.5 hereof and in accordance with the Company’s Amended and Restated Certificate of Incorporation.

 

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2.2                               Election of Directors.

 

(a)                                 In any election of directors of the Company to elect the Common Directors, Stockholders holding shares of Common Stock shall each vote at any regular or special meeting of stockholders (or by written consent) all shares of Common Stock then owned by them (or as to which they then have voting power) to elect two (2) directors who shall be nominated by the holders of a majority of the then outstanding shares of Common Stock held by the Key Holders who are at such time providing services to the Company or any of its subsidiaries as officers, consultants or employees.

 

(b)                                 In any election of directors of the Company to elect the Series Seed Directors, Stockholders holding shares of Series Seed Stock shall each vote at any regular or special meeting of stockholders (or by written consent) all shares of Series Seed Stock then owned by them (or as to which they then have voting power) to elect one (1) director nominated by Aleph, L.P and one (1) director nominated by Sequoia Capital Israel Venture V Holdings, L.P.

 

(c)                                  In any election of directors of the Company to elect the Series A Director, Stockholders holding shares of Series A Stock shall each vote at any regular or special meeting of stockholders (or by written consent) all shares of Series A Stock then owned by them (or as to which they then have voting power) to elect one (1) director nominated by XL Innovate Fund, L.P. or its affiliates.

 

(d)                                 In any election of directors of the Company to elect the Series B Director, Stockholders holding shares of Series B Stock shall each vote at any regular or special meeting of stockholders (or by written consent) all shares of Series B Stock then owned by them (or as to which they then have voting power) to elect one (1) director nominated by General Catalyst Group VIII, L.P. and General Catalyst Group VIII Supplemental, L.P. (together “General Catalyst Partners”) or their affiliates.

 

(e)                                  In any election of directors of the Company to elect the Series C Director, Stockholders holding shares of Series C Stock shall each vote at any regular or special meeting of stockholders (or by written consent) all shares of Series C Stock then owned by them (or as to which they then have voting power) to elect one (1) director nominated by SoftBank Group Capital Limited or its affiliates.

 

(f)                                   In addition, all Stockholders shall each vote at any regular or special meeting of stockholders (or by written consent) all shares then owned by them (or as to which they then have voting power) to elect up to two (2) directors nominated by the holders of a majority of the outstanding and issued shares of capital stock of the Company.

 

(g)                                  In the absence of any nomination from the persons with the right to nominate a director as specified above, the director or directors previously nominated by such persons and then serving shall be reelected if still eligible to serve as provided herein.

 

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2.3                               Removal; Vacancies.

 

Any director of the Company may be removed from the Board in the manner allowed by law and the Certificate of Incorporation and Bylaws, but with respect to any director nominated pursuant to subsections 2.2(a), 2.2(b), 2.2(c), 2.2(d), 2.2(e) or 2.2(f) above, only upon the vote or written consent of the Stockholders (or other persons) entitled to nominate such director. Any vacancy created by the resignation, removal or death of a director elected pursuant to Section 2.2 above shall be filled pursuant to the provisions of Section 2.2.

 

3.                                      Vote to Increase Authorized Common Stock.

 

Each Stockholder agrees to vote or cause to be voted all Shares owned by such Stockholder, or over which such Stockholder has voting control, from time to time and at all times, in whatever manner as shall be necessary to increase the number of authorized shares of Common Stock from time to time to ensure that there will be sufficient shares of Common Stock available for conversion of all of the shares of Preferred Stock outstanding at any given time.

 

4.                                      Drag Along Right.

 

4.1                               Actions to be Taken. In the event that the holders of 75% of the Preferred Stock and the Common Stock of the Company (voting together as a single class and on an as-converted basis) (which 75% must include (i) the holders of a majority of the outstanding Series C Stock or shares of Common Stock issued upon conversion of the Series C Stock if, as a result of the Sale of the Company (as defined below), the holders of the Series C Stock would receive from the proceeds of such Sale of the Company an amount less than the Original Issue Price (as defined in the Certificate of Incorporation) of the Series C Stock in respect of each share of Series C Stock held by them and (ii) the holders of a majority of the outstanding Series D Stock or shares of Common Stock issued upon conversion of the Series D Stock if, as a result of the Sale of the Company (as defined below), the holders of the Series D Stock would receive from the proceeds of such Sale of the Company an amount less than the Original Issue Price (as defined in the Certificate of Incorporation) of the Series D Stock in respect of each share of Series D Stock held by them) (collectively, the “Requisite Parties”) approve a transaction or series of related transactions that qualifies as a “Liquidation Event” as defined in the Certificate of Incorporation, including, without limitation, the closing of the transfer (whether by merger, consolidation or otherwise), in one transaction or a series of related transactions, to a person or group of affiliated persons (other than an underwriter of the Company’s securities), of the Company’s securities if, after such closing, such person or group of affiliated persons would hold 50% or more of the outstanding voting stock of the Company (or the surviving or acquiring entity) (a “Stock Sale”), (any such transaction or series of related transactions are referred to herein as a “Sale of the Company”), then each Stockholder hereby agrees with respect to all Shares which it own(s) or over which it otherwise exercises voting or dispositive authority (with all such voting rights or dispositive authority in respect of shares of capital stock of the Company owned by SoftBank Group Capital Limited to be exercised by the Joint Investment Committee):

 

(a)                                 in the event such transaction is to be brought to a vote at a stockholder meeting, after receiving proper notice of any meeting of stockholders of the Company, to vote on the approval of a Sale of the Company, to be present, in person or by proxy, as a holder

 

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of shares of voting securities, at all such meetings and be counted for the purposes of determining the presence of a quorum at such meetings;

 

(b)                                 to vote (in person, by proxy or by action by written consent, as applicable) all Shares in favor of such Sale of the Company and in opposition to any and all other proposals that could reasonably be expected to delay or impair the ability of the Company to consummate such Sale of the Company;

 

(c)                                  to refrain from exercising any dissenters’ rights or rights of appraisal under applicable law at any time with respect to such Sale of the Company;

 

(d)                                 to execute and deliver all related documentation and take such other action in support of the Sale of the Company as shall reasonably be requested by the Company;

 

(e)                                  if the Sale of the Company is structured as a sale of stock of the Company, each Stockholder shall agree to sell his, her or its Shares on the terms and conditions approved by the Requisite Parties;

 

(f)                                   not to deposit, and to cause their affiliates not to deposit, except as provided in this Agreement, any Shares owned by such Stockholder or affiliate in a voting trust or subject any such Shares to any arrangement or agreement with respect to the voting of such Shares, unless specifically requested to do so by the acquirer in connection with the Sale of the Company; and

 

(g)                                  if the consideration to be paid in exchange for the Shares pursuant to this Section 4 includes any securities and due receipt thereof by any Stockholder would require under applicable law (i) the registration or qualification of such securities or of any person as a broker or dealer or agent with respect to such securities or (ii) the provision to any Stockholder of any information other than such information as a prudent issuer would generally furnish in an offering made solely to “accredited investors” as defined in Regulation D promulgated under the Securities Act of 1933, as amended (the “Act”), the Company may cause to be paid to any such Stockholder in lieu thereof, against surrender of the Shares which would have otherwise been sold by such Stockholder, an amount in cash equal to the fair value (as determined in good faith by the Company) of the securities which such Stockholder would otherwise receive as of the date of the issuance of such securities in exchange for the Shares.

 

4.2                               Exceptions. Notwithstanding the foregoing, a Stockholder will not be required to comply with Section 4.1 above in connection with any proposed Sale of the Company (the “Proposed Sale”) unless:

 

(a)                                 any representations and warranties to be made by such Stockholder in connection with the Proposed Sale are limited to representations and warranties related to authority, ownership and the ability to convey title to such Stockholder’s Shares, including, without limitation, representations and warranties that (i) the Stockholder holds all right, title and interest in and to the Shares such Stockholder purports to hold, free and clear of all liens and encumbrances, (ii) the obligations of the Stockholder in connection with the transaction have been duly authorized, if applicable, (iii) the documents to be entered into by the Stockholder have

 

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been duly executed by the Stockholder and delivered to the acquiror and are enforceable against the Stockholder in accordance with their respective terms and (iv) neither the execution and delivery of documents to be entered into in connection with the transaction, nor the performance of the Stockholder’s obligations thereunder, will cause a breach or violation of the terms of any agreement, law or judgment, order or decree of any court or governmental agency by which such Stockholder is subject or bound;

 

(b)                                 the Stockholder shall not be liable for the inaccuracy of any representation or warranty made by any other person in connection with the Proposed Sale, other than the Company (except to the extent that funds may be paid out of an escrow established to cover breach of representations, warranties and covenants of the Company as well as breach by any stockholder of any identical representations, warranties and covenants provided by all stockholders);

 

(c)                                  no Stockholder other than an employee or consultant of the Company shall be required to agree to any covenant not to compete or covenant not to solicit customers, employees or suppliers of any party to the Proposed Sale.

 

(d)                                 the liability for indemnification, if any, of such Stockholder in the Proposed Sale and for the inaccuracy of any representations and warranties made by the Company in connection with such Proposed Sale, is several and not joint with any other person (except to the extent that funds may be paid out of an escrow established to cover breach of representations, warranties and covenants of the Company as well as breach by any stockholder of any identical representations, warranties and covenants provided by all stockholders), and, subject to any provisions of the Company’s Amended and Restated Certificate of Incorporation regarding the allocation of an escrow, is pro rata in proportion to the amount of consideration paid to such Stockholder in connection with such Proposed Sale (in accordance with the provisions of the Certificate of Incorporation);

 

(e)                                  liability shall be limited to such Stockholder’s applicable share (determined based on the respective proceeds payable to each Stockholder in connection with such Proposed Sale in accordance with the provisions of the Certificate of Incorporation) of a negotiated aggregate indemnification amount that applies equally to all Stockholders but that in no event exceeds the amount of consideration otherwise payable to such Stockholder in connection with such Proposed Sale, except with respect to claims related to fraud by such Stockholder, the liability for which need not be limited as to such Stockholder;

 

(f)                                   upon the consummation of the Proposed Sale, (i) each holder of each class or series of the Company’s stock will receive the same form of consideration for their shares of such class or series as is received by other holders in respect of their shares of such same class or series of stock, (ii) each holder of Series D Preferred Stock will receive the same amount of consideration per share of Series D Preferred Stock as is received by other holders in respect of their shares of Series D Preferred Stock, each holder of Series C Preferred Stock will receive the same amount of consideration per share of Series C Preferred Stock as is received by other holders in respect of their shares of Series C Preferred Stock, each holder of Series B Preferred Stock will receive the same amount of consideration per share of Series B Preferred Stock as is received by other holders in respect of their shares of Series B Preferred Stock, each holder of Series A

 

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Preferred Stock will receive the same amount of consideration per share of Series A Preferred Stock as is received by other holders in respect of their shares of Series A Preferred Stock and each holder of Series Seed Preferred Stock will receive the same amount of consideration per share of Series Seed Preferred Stock as is received by other holders in respect of their shares of Series Seed Preferred Stock, (iii) each holder of Common Stock will receive the same amount of consideration per share of Common Stock as is received by other holders in respect of their shares of Common Stock, and (iv) the payment with respect to each Share is an amount at least equal to the amount payable in accordance with the Certificate of Incorporation, if such Proposed Sale were deemed a Liquidation Event therein, and is allocated among the Stockholders in accordance with the Certificate of Incorporation; and

 

(g)                                  subject to subsection 4.2(f) above, requiring the same form of consideration to be available to the holders of any single class or series of capital stock, if any holders of a series or class of capital stock of the Company are given an option as to the form and amount of consideration to be received as a result of the Proposed Sale, all holders of such series or class of capital stock will be given the same option; provided, however, that nothing in this subsection 4.2(g) shall entitle any holder to receive any form of consideration that such holder would be ineligible to receive as a result of such holder’s failure to satisfy any condition, requirement or limitation that is generally applicable to the Company’s stockholders.

 

4.3                               Restrictions on Sales of Control of the Company. No Stockholder shall be a party to any Stock Sale unless all the holders of Preferred Stock are allowed to participate in such transaction and the consideration received pursuant to such transaction is allocated among the parties thereto in the manner specified in the Company’s Certificate of Incorporation in effect immediately prior to the Stock Sale (as if such transaction were deemed a Liquidation Event), unless the holders of at least sixty percent (60%) of the Preferred Stock elect otherwise by written notice given to the Company at least ten (10) days prior to the effective date of any such transaction or series of related transactions.

 

5.                                      Legend on Share Certificates.

 

Each certificate representing any Shares shall be endorsed by the Company with a legend reading substantially as follows:

 

“THE SHARES EVIDENCED HEREBY ARE SUBJECT TO AN AMENDED AND RESTATED VOTING AGREEMENT, AS MAY BE AMENDED FROM TIME TO TIME, (A COPY OF WHICH MAY BE OBTAINED UPON WRITTEN REQUEST FROM THE COMPANY), AND BY ACCEPTING ANY INTEREST IN SUCH SHARES THE PERSON ACCEPTING SUCH INTEREST SHALL BE DEEMED TO AGREE TO AND SHALL BECOME BOUND BY ALL THE PROVISIONS OF THAT VOTING AGREEMENT, INCLUDING CERTAIN RESTRICTIONS ON TRANSFER AND OWNERSHIP SET FORTH THEREIN.”

 

6.                                      Covenant of the Company.

 

The Company will not, by any voluntary action, avoid or seek to avoid the observance or performance of any of the terms to be performed hereunder by the Company.

 

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7.                                      No Liability for Election of Recommended Directors.

 

Neither any Party to this Agreement, nor any officer, director, stockholder, partner, employee or agent of any such Party, makes any representation or warranty as to the fitness or competence of the nominee of any Party hereunder to serve on the Board by virtue of such Party’s execution of this Agreement or by the act of such Party in voting for such nominee pursuant to this Agreement.

 

8.                                      Grant of Proxy.

 

Each Stockholder hereby grants to a stockholder designated by the Board a proxy coupled with an interest in all Shares owned by such Stockholder, which proxy shall be irrevocable until this Agreement terminates pursuant to its terms or this Section 8 is amended to remove such grant of proxy in accordance with Section 12.5 hereof, to vote all such Shares in the manner provided in Sections 2, 3 and 4 hereof upon the failure of such Stockholder to vote its Shares in accordance with the terms of this Agreement. Each Stockholder hereby revokes any and all previous proxies or powers of attorney with respect to such Stockholder’s Shares that are inconsistent with the terms of this Agreement and shall not hereafter, until this Agreement terminates pursuant to its terms or this Section 8 is amended to remove this provision in accordance with Section 12.5 hereof, grant, or purport to grant, any other proxy or power of attorney with respect to such Shares, deposit any of such Shares into a voting trust or enter into any agreement (other than this Agreement), arrangement or understanding with any person, directly or indirectly, to vote, grant any proxy or power of attorney or give instructions with respect to the voting of any of such Shares, in each case, with respect to any of the matters set forth in this Agreement. This Agreement is not a voting trust governed by Section 218 of the Delaware General Corporation Law and should not be interpreted as such.

 

9.                                      Specific Enforcement.

 

It is agreed and understood that monetary damages would not adequately compensate an injured Party for the breach of this Agreement by any other Party, that this Agreement shall be specifically enforceable, and that any breach or threatened breach of this Agreement shall be the proper subject of a temporary or permanent injunction or restraining order. Further, each Party hereto waives any claim or defense that there is an adequate remedy at law for such breach or threatened breach.

 

10.                               Execution by the Company.

 

The Company, by its execution in the space provided below, agrees that it will cause the certificates evidencing the Shares issued after the date hereof to bear the legend required by Section 5 hereof, and it shall supply, free of charge, a copy of this Agreement to any holder of a certificate evidencing shares of capital stock of the Company upon written request from such holder to the Company at its principal office. The Parties hereto do hereby agree that the failure to cause the certificates evidencing the Shares to bear the legend required by Section 5 hereof and/or failure of the Company to supply, free of charge, a copy of this Agreement, as provided under this Section 10, shall not affect the validity or enforcement of this Agreement.

 

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11.                               Bad Actor Disqualification Representation.

 

For purposes of this Agreement: “Company Covered Person” means, with respect to the Company as an “issuer” for purposes of Rule 506 promulgated under the Act, any person listed in the first paragraph of Rule 506(d)(1) under the Act; “Disqualified Designee” means any director designee to whom any Disqualification Event is applicable, except for a Disqualification Event as to which Rule 506(d)(2)(ii) or (iii) or (d)(3) of the Act is applicable; “Disqualification Event” means a “bad actor” disqualifying event described in Rule 506(d)(1)(i)-(viii) promulgated under the Act; “Rule 506(d) Related Party” means, with respect to any person, any other person that is a beneficial owner of such first person’s securities for purposes of Rule 506(d) under the Act.

 

Each Investor that is a Company Covered Person represents and warrants to the Company that it is not subject to any Disqualification Event, except, if applicable, for a Disqualification Event as to which Rule 506(d)(2)(ii) or (iii) or (d)(3) of the Act is applicable. Each Party with the right to designate or participate in the designation of a director pursuant to this Agreement represents that such Party has exercised reasonable care to determine whether any Disqualification Event is applicable to such Party, any director designee designated by such Party pursuant to this Agreement or any of such Party’s Rule 506(d) Related Parties, except, if applicable, for a Disqualification Event as to which Rule 506(d)(2)(ii) or (iii) or (d)(3) of the Act is applicable. Each Party with the right to designate or participate in the designation of a director pursuant to this Agreement represents that no Disqualification Event is applicable to such Party, to such Party’s knowledge any Board member designated by such Party pursuant to this Agreement or, to such Party’s knowledge any of such Party’s Rule 506(d) Related Parties, except, if applicable, for a Disqualification Event as to which Rule 506(d)(2)(ii) or (iii) or (d)(3) of the Act is applicable. The Company has exercised reasonable care to determine whether any Company Covered Person is subject to any of the “bad actor” Disqualification Events described in Rule 506(d)(1)(i) through (viii), as modified by Rules 506(d)(2) and (d)(3), under the Act. To the Company’s knowledge, no Company Covered Person is subject to a Disqualification Event except for a Disqualification Event as to which Rule 506(d)(2)(ii—iv) or (d)(3) of the Act is applicable. The Company has complied, to the extent required, with any disclosure obligations under Rule 506(e) under the Act.

 

Each Party with the right to designate or participate in the designation of a director pursuant to this Agreement covenants and agrees (i) not to designate or participate in the designation of any director designee who, to such Party’s knowledge, is a Disqualified Designee, (ii) to exercise reasonable care to determine at the time of designation whether any director designee designated by such Party is a Disqualified Designee, and (iii) that in the event such Party becomes aware that any individual previously designated by any such Party is or has become a Disqualified Designee, such Party shall as promptly as practicable take such actions as are necessary to remove such Disqualified Designee from the Board and designate a replacement designee who is not a Disqualified Designee.

 

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12.                               Miscellaneous.

 

12.1                        Titles and Subtitles.

 

The titles and subtitles used in this Agreement are used for convenience only and are not to be considered in construing or interpreting this Agreement.

 

12.2                        Notices.

 

All notices and other communications given or made pursuant hereto shall be in writing and shall be deemed effectively given upon the earlier to occur of actual receipt or: (a) upon personal delivery to the Party to be notified, (b) when sent by confirmed electronic mail or facsimile if sent during normal business hours of the recipient; or if not, then on the next business day, (c) five (5) days after having been sent by registered or certified mail, return receipt requested, postage prepaid, or (d) one (1) day after deposit with a nationally recognized overnight courier, specifying next day delivery, with written verification of receipt. All communications shall be sent to the respective Parties at the addresses set forth on the signature pages attached hereto (or at such other addresses as shall be specified by notice given in accordance with this Section 12.2).

 

12.3                        Term.

 

This Agreement shall terminate and be of no further force or effect upon the earliest to occur of: (a) the consummation of the Company’s sale of its Common Stock or other securities in a firm commitment underwritten public offering pursuant to a registration statement under the Securities Act of 1933, as amended (other than a registration statement relating either to sale of securities to employees of the Company pursuant to its stock option, stock purchase or similar plan or a SEC Rule 145 transaction), or (b) the consummation of a Liquidation Event (as defined in the Certificate of Incorporation).

 

12.4                        Manner of Voting.

 

The voting of shares pursuant to this Agreement may be effected in person, by proxy, by written consent or in any other manner permitted by applicable law.

 

12.5                        Amendments and Waivers.

 

Any term hereof may be amended and the observance of any term hereof may be waived (either generally or in a particular instance and either retroactively or prospectively) only with the written consent of the Company and the holders of a majority of the then outstanding Shares, which shall include the holders of at least sixty percent (60%) of the then outstanding Investor Shares (voting together as a single class on an as-converted basis); provided, however, that (i) Section 2.2(b), Section 2.3 and this clause (i) of this Section 12.5 may not be amended, terminated or waived without the prior written consent of Aleph, L.P. and Sequoia Capital Israel Venture V Holdings, L.P. as such clauses apply to them; (ii) the provisions of Section 2.2(a) and clause (ii) of this Section 12.5 may be amended and the observance of any term thereof may be waived (either generally or in a particular instance and either retroactively or prospectively) only with the written consent of the Stockholders holding a majority of the then outstanding shares of Common Stock held by the Key Holders then providing services to the Company or any of its subsidiaries as officers, consultants or employees, (iii) Section 2.2(c), Section 2.3 and this clause (iii) of this Section 12.5 may not be amended, terminated or waived without the prior written consent of XL Innovate Fund, L.P. as such clauses apply to it, (iv) Section 2.2(d), Section 2.3 and

 

10

 

this clause (iv) of this Section 12.5 may not be amended, terminated or waived without the prior written consent of General Catalyst Partners as such clauses apply to it, and (v) Section 2.2(e), Section 2.3 and this clause (v) of this Section 12.5 may not be amended, terminated or waived without the prior written consent of SoftBank Group Capital Limited as such clauses apply to it. In addition to the foregoing, if the proposed amendment or waiver disproportionately and materially adversely affects a holder or series of Preferred Stock, then the consent of such holder or the holders of a majority of the then outstanding shares of such series of Preferred Stock shall also be required to effectuate any such amendment or waiver. Any amendment or waiver so effected shall be binding upon all the Parties hereto and all Parties’ respective successors and permitted assigns, whether or not any such Party, successor or assign entered into or approved such amendment or waiver. Notwithstanding the foregoing, any provision hereof may be waived by the waiving Party on such Party’s behalf, without the written consent of any other Party.

 

12.6                        Stock Splits, Stock Dividends, etc.

 

In the event of any issuance of shares of the Company’s voting securities hereafter to any of the Parties hereto (including, without limitation, in connection with any stock split, stock dividend, recapitalization, reorganization or the like), such shares shall become subject to this Agreement and shall be endorsed with the legend set forth in Section 5.

 

12.7                        Severability.

 

Whenever possible, each provision of this Agreement shall be interpreted in such manner as to be effective and valid under applicable law, but if any provision of this Agreement shall be held to be prohibited by or invalid under applicable law, such provision shall be ineffective only to the extent of such prohibition or invalidity, without invalidating the remainder of such provision or the remaining provisions of this Agreement.

 

12.8                        Binding Effect on Transferees, Heirs, Successors and Assigns.

 

In addition to any restriction on transfer that may be imposed by any other agreement by which any Party hereto may be bound, no Stockholder may transfer any Shares subject to this Agreement unless the transferee(s) of such Shares has executed and delivered to the Company in advance an Adoption Agreement (as defined below). This Agreement shall be binding upon the Parties, their respective transferees (including transferees of Shares), heirs, successors and assigns; provided that, for any such transfer to be deemed effective, the transferee shall have executed and delivered to the Company in advance an Adoption Agreement substantially in the form attached hereto as Exhibit A (the “Adoption Agreement”). The Company shall not record any transfer of Shares on its books or issue a new certificate representing any such Shares unless and until such transferee shall have complied with the terms of this Section 12.8. Upon the execution and delivery of an Adoption Agreement by a transferee reasonably acceptable to the Company, and for the purposes hereof, an affiliate of XL Innovate Fund, L.P. shall be deemed reasonably acceptable with respect to any transfer by XL Innovate Fund, L.P. and an affiliate of SoftBank Group Capital Limited shall be deemed reasonably acceptable with respect to any transfer by SoftBank Group Capital Limited, such transferee shall be deemed to be a Party hereto as if such transferee were the transferor and such transferee’s signature appeared on the signature pages hereto and shall be deemed to be an Investor and Stockholder, or Key Holder and Stockholder, or Common Holder and Stockholder as applicable. By its execution hereof or of any

 

11

 

Adoption Agreement, each of the Stockholders appoints the Company as its attorney-in-fact for the purpose of executing any Adoption Agreement which may be required to be delivered hereunder. Nothing in this Agreement, express or implied, is intended to confer upon any party other than the Parties hereto or their respective transferees, heirs, successors and assigns any rights, remedies, obligations or liabilities under or by reason of this Agreement, except as expressly provided in this Agreement.

 

12.9                        Additional Parties.

 

(a)                                 Notwithstanding Section 12.5, no consent shall be necessary to add additional Investors as signatories to this Agreement, provided that such Investors have executed and delivered either an Adoption Agreement pursuant to Section 12.8 agreeing to be bound by and subject to the terms of this Agreement as an Investor and Stockholder hereunder. In either event, each such person thereafter shall be deemed an Investor and Stockholder for all purposes under this Agreement.

 

(b)                                 In the event that after the date of this Agreement, the Company enters into an agreement with any person to issue shares of capital stock to such person, following which such person would hold Shares representing one percent (1%) or more of the Company’s then outstanding capital stock (treating for this purpose all shares of Common Stock issuable upon exercise or conversion of all then outstanding options, warrants or convertible securities (whether or not then exercisable or convertible) as outstanding), then (i) the Company shall cause such person, as a condition precedent to the issuance of such capital stock, to become a party to this Agreement by executing an Adoption Agreement substantially in the form attached hereto as Exhibit A, agreeing to be bound by and subject to the terms of this Agreement as a Common Holder and Stockholder hereunder and thereafter such person shall be deemed a Common Holder and Stockholder for all purposes under this Agreement and (ii) notwithstanding Section 12.5, no consent shall be necessary to add such person as a signatory to this Agreement.

 

12.10                 Governing Law.

 

This Agreement shall be governed by and construed in accordance with the General Corporation Law of the State of Delaware as to matters within the scope thereof, and as to all other matters shall be governed by and construed in accordance with the internal laws of New York, without regard to conflicts of law principles thereof.

 

12.11                 Entire Agreement.

 

Upon the effectiveness of this Agreement, the Prior Agreement shall be deemed amended and restated to read in its entirety as set forth in this Agreement. This Agreement (including the Schedules and Exhibits hereto) constitutes the full and entire understanding and agreement among the Parties with respect to the subject matter hereof and thereof, and supersedes all other agreements of the Parties relating to the subject matter hereof and thereof.

 

12

 

12.12                 Counterparts; Facsimile.

 

This Agreement may be executed and delivered by facsimile signature and in two (2) or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.

 

12.13                 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 non-breaching or non-defaulting Party nor shall it be construed to be a waiver of any such breach or default, or an acquiescence thereto, or of 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 previously or thereafter occurring. Any waiver, permit, consent or approval of any kind or character on the part of any Party of any breach or default under this Agreement, or any waiver on the part of any Party of any provision or condition of this Agreement, must be in writing and shall be effective only to the extent specifically set forth in such writing. All remedies, either under this Agreement or by law or otherwise afforded to any Party, shall be cumulative and not alternative.

 

12.14                 Further Assurances.

 

At any time or from time to time after the date hereof, the Parties agree to cooperate with each other, and at the request of any other Party, to execute and deliver any further instruments or documents and to take all such further action as the other Party may reasonably request in order to evidence or effectuate the consummation of the transactions contemplated hereby and to otherwise carry out the intent of the Parties hereunder.

 

12.15                 Aggregation.

 

All Shares held or acquired by a Stockholder and/or its affiliates 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. For the avoidance of doubt, SoftBank Vision Fund L.P., a limited partnership formed under the laws of Jersey, SoftBank Group Corp. and all persons or entities controlling, controlled by or under common control with either SoftBank Vision Fund L.P. or SoftBank Group Corp. are affiliates of each other.

 

12.16                 No Conflicting Agreements.

 

Except for this Agreement, neither any of the Stockholders nor any affiliates thereof shall deposit any shares of capital stock of the Company beneficially owned by such Stockholder or affiliate in a voting trust or subject any such shares of capital stock to any arrangement or agreement with respect to the voting of such shares of capital stock.

 

13

 

12.17                 Spousal Consent.

 

If any individual Stockholder is married on the date of this Agreement, such Stockholders’ spouse shall execute and deliver to the Company a Consent of Spouse in the form attached hereto as Exhibit B (“Consent of Spouse”), effective on the date hereof. Notwithstanding the execution and delivery thereof, such Consent of Spouse shall not be deemed to confer or convey to the spouse any rights in such Stockholder’s Shares that do not otherwise exist by operation of law or the agreement of the Parties. If any individual Stockholder should marry or remarry subsequent to the date of this Agreement, such Stockholder shall within thirty (30) days thereafter obtain his or her new spouse’s acknowledgement of and consent to the existence and binding effect of all restrictions contained in this Agreement by causing such spouse to execute and deliver a Consent of Spouse acknowledging the restrictions an obligations contained in this Agreement and agreeing and consenting to the same.

 

12.18                 Effect on Prior Agreement. Upon the effectiveness of this Agreement, the Prior Agreement shall be deemed amended and restated and superseded and replaced in its entirety by this Agreement, and shall be of no further force or effect.

 

[Remainder of page intentionally left blank]

 

14

 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.

 

	
 
    	
COMPANY:
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Daniel Schreiber
    
	
 
    	
 
    	
Daniel Schreiber, Chief Executive Officer
    
	
 
    	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
ALEPH, L.P.
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
Aleph Equity Partners, L.P.
    
	
 
    	
 
    	
Its general partner
    
	
 
    	
By:
    	
Aleph EP, Ltd.
    
	
 
    	
 
    	
Its general partner
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Michael Eisenberg
    
	
 
    	
 
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
ALEPH-ALEPH, L.P.
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
Aleph Equity Partners, L.P.
    
	
 
    	
 
    	
Its general partner
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
Aleph EP. Ltd.
    
	
 
    	
 
    	
Its general partner
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Michael Eisenberg
    
	
 
    	
 
    	
Director
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R B VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
SEQUOIA CAPITAL ISRAEL VENTURE V HOLDINGS L.P.
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
SC Israel Venture V Management, L.P.
    
	
 
    	
 
    	
Its general partner
    
	
 
    	
By:
    	
SC Israel Venture V (TTGP), Ltd.
    
	
 
    	
 
    	
Its general partner
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Haim Sadger
    
	
 
    	
 
    	
Managing Director
    
	
 
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A& R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
XL INNOVATE FUND, L.P.
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ G. Thompson Hutton
    
	
 
    	
Name: G. Thompson Hutton
    
	
 
    	
Title: Director
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
 
    	
INVESTORS:
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
GENERAL CATALYST GROUP VIII, L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
General Catalyst Partners VIII, L.P.
    
	
 
    	
 
    	
 
    	
its General Partner
    
	
 
    	
 
    	
By:
    	
General Catalyst GP VIII, LLC
    
	
 
    	
 
    	
 
    	
its General Partner
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ Chris McCain
    
	
 
    	
 
    	
Name:
    	
Chris McCain
    
	
 
    	
 
    	
Title:
    	
Chief Legal Officer
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
GENERAL CATALYST GROUP VIII SUPPLEMENTAL, L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
General Catalyst Partners VIII, L.P.
    
	
 
    	
 
    	
 
    	
its General Partner
    
	
 
    	
 
    	
By:
    	
General Catalyst GP VIII, LLC
    
	
 
    	
 
    	
 
    	
its General Partner
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ Chris McCain
    
	
 
    	
 
    	
Name:
    	
Chris McCain
    
	
 
    	
 
    	
Title:
    	
Chief Legal officer
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Notice Address:
    
	
 
    	
 
    	
[  ]
    
						

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
THRIVE CAPITAL PARTNERS V, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
THRIVE PARTNERS V GP, LLC,
    
	
 
    	
 
    	
its general partner
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Joshua Kushner
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
CLAREMOUNT V ASSOCIATES, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
THRIVE PARTNERS V GP, LLC,
    
	
 
    	
 
    	
its general partner
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Joshua Kushner
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address: [  ]
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    	
[  ]
    
					

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
GV 2016, L.P.
    
	
 
    	
By:
    	
GV 2016 GP, L.P., its General Partner
    
	
 
    	
By:
    	
GV 2016 GR L.L.C., its General Partner
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Daphne Chang
    
	
 
    	
Name: Daphne M. Chang
    
	
 
    	
Title: Authorized Signatory
    
	
 
    	
 
    	
 
    
	
 
    	
GV 2019, L.P.
    
	
 
    	
By:
    	
GV 2019 GP, L.P., its General Partner
    
	
 
    	
By:
    	
GV 2019 GP, L.L.C., its General Partner
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Daphne Chang
    
	
 
    	
Name: Daphne M. Chang
    
	
 
    	
Title: Authorized Signatory
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    
				

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
TUSK VENTURE PARTNERS I LP
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
TUSK VENTURES LLC
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
TUSK VENTURES L SPV LP
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
TUSK VENTURES LEMONADE SPV II LLC
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    	
 
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
SOUND VENTURES II, LLC
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    	
 
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
ALEXA VON TOBEL
    
	
 
    	
 
    
	
 
    	
/s/ Alexa Von Tobel
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email: [  ]
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
ANNOX CAPITAL, LLC
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    	
 
    
				

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
ELEVATOR VENTURES HOLDINGS LTD.
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
MSR GLOBAL LIMITED
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
ORIT WININGER
    
	
 
    	
 
    
	
 
    	
/s/ Orit Wininger
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
SHLOMO SCHINDELHEIM
    
	
 
    	
 
    
	
 
    	
/s/ Shlomo Schindelheim
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
ALLIANZ STRATEGIC   INVESTMENTS S.A.R.L
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Lars Junkermann
    	
/s/ Alain Schaedgen
    
	
 
    	
Name:
    	
Lars Junkermann
    	
Alain Schaedgen
    
	
 
    	
Title:
    	
Manager
    	
Manager
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
Notice Address:
    	
 
    
	
 
    	
[  ]
    	
 
    

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
SOFTBANK GROUP CAPITAL   LIMITED
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Robert Townsend
    
	
 
    	
Name:
    	
Robert Townsend
    
	
 
    	
Title:
    	
Director
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
LEMONADE 2019-I, LLC
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Yan Piskunov
    
	
 
    	
 
    
	
 
    	
Name: Yan Piskunov
    
	
 
    	
 
    
	
 
    	
Title: Manager of Lemonade 34, LLC – the   First Manager of Lemonade 2019-I, LLC
    
	
 
    	
 
    
	
 
    	
 
    	
 
    	

    
	
 
    	
By:
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
Name: 
    
	
 
    	
 
    
	
 
    	
Title: Director of Dream Ventures Ltd. –   the Director of Gem Limited – the Second Manager of Lemonade 2019-I, LLC
    
	
 
    	
 
    
	
 
    	
Notice Address: 
    
	
 
    	
[  ]
    
	
 
    	
 
    
	
 
    	
LEMONADE 2019-II, LLC
    
	
 
    	
 
    
	
 
    	
By: 
    	
/s/ Yan Piskunov
    
	
 
    	
 
    
	
 
    	
Name: Yan Piskunov
    
	
 
    	
 
    
	
 
    	
Title: Manager of Lemonade 35, LLC – the   Manager of Lemonade 2019-11, LLC
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
PUCCINI INVESTMENTS   HOLDINGS LIMITED
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
HAREL INSURANCE COMPANY   LTD. (PARTICIPATING FUNDS)
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment Officer
    
	
 
    	
 
    
	
 
    	
Arik Peretz, CPA
    
	
 
    	
Executive Deputy General Manager
    
	
 
    	
Finance and Resource Division
    
	
 
    	
Chief Financial Officer
    
	
 
    	
Harel Insurances Co. Ltd
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
HAREL INSURANCE COMPANY   LTD. (NOSTRO)
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment Officer
    
	
 
    	
 
    
	
 
    	
Arik Peretz, CPA
    
	
 
    	
Executive Deputy General Manager
    
	
 
    	
Finance and Resource Division
    
	
 
    	
Chief Financial Officer
    
	
 
    	
Harel Insurances Co. Ltd
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
TZAVA HAKEVA SAVING FUNDS–   PROVIDENT FUNDS MANAGEMENT COMPANY LTD. (ON BEHALF OF TZVA HAKEVA SAVINGS   FUND)
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment Officer
    
	
 
    	
 
    
	
 
    	
Arik Peretz, CPA
    
	
 
    	
Executive Deputy General Manager
    
	
 
    	
Finance and Resource Division
    
	
 
    	
Chief Financial Officer
    
	
 
    	
Harel Insurances Co. Ltd
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
LEATID PENSION FUNDS   MANAGEMENT COMPANY LTD. (ON BEHALF OF ATIDIT PENSION FUND)
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment Officer
    
	
 
    	
 
    
	
 
    	
Arik Peretz, CPA
    
	
 
    	
Executive Deputy General Manager
    
	
 
    	
Finance and Resource Division
    
	
 
    	
Chief Financial Officer
    
	
 
    	
Harel Insurances Co. Ltd
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
HAREL PENSION AND   PROVIDENT LTD. (ON BEHALF OF HAREL PENSION)
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment Officer
    
	
 
    	
 
    	
 
    
	
 
    	
Arik Peretz, CPA
    
	
 
    	
Executive Deputy General Manager
    
	
 
    	
Finance and Resource Division
    
	
 
    	
Chief Financial Officer
    
	
 
    	
Harel Insurances Co. Ltd.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
HAREL PENSION AND   PROVIDENT LTD. (ON BEHALF OF HAREL PROVIDENT FUND)
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment Officer
    
	
 
    	
 
    	
 
    
	
 
    	
Arik Peretz, CPA
    
	
 
    	
Executive Deputy General Manager
    
	
 
    	
Finance and Resource Division
    
	
 
    	
Chief Financial Officer
    
	
 
    	
Harel Insurances Co. Ltd.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
HAREL PENSION AND   PROVIDENT LTD. (ON BEHALF OF HAREL GENERAL PLAN)
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment Officer
    
	
 
    	
 
    	
 
    
	
 
    	
Arik Peretz, CPA
    
	
 
    	
Executive Deputy General Manager
    
	
 
    	
Finance and Resource Division
    
	
 
    	
Chief Financial Officer
    
	
 
    	
Harel Insurances Co. Ltd.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
HAREL PENSION AND   PROVIDENT LTD. (ON BEHALF OF HAREL STUDY FUND)
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
HAREL PENSION AND   PROVIDENT LTD. (ON BEHALF OF HAREL PROVITDENT INVESTMENT)
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
HAREL PENSION AND   PROVIDENT LTD. (ON BEHALF OF HAREL PROVIDENT INVESTMENT FOR CHILDREN)
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Shmuel Babecov
    
	
 
    	
Name:
    	
Shmuel Babecov
    
	
 
    	
Title:
    	
Chief Investment Officer
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
OURCROWD   (INVESTMENT IN LEMON), L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
Its general partner   OurCrowd Israel General Partner, L.P. on behalf of its General Partner,   OurCrowd International General Partner, L.P. on behalf of its general partner   OurCrowd General Partner Limited
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Josh Wolff (May   1, 2019)
    	
 
    	
/s/ Cali Chill (May   1,2019)
    
	
 
    	
Name:
    	
Josh Wolff
    	
 
    	
Cali Chill
    
	
 
    	
Title:
    	
SVP
    	
 
    	
SVP, General   Counsel & Corporate Secretary
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
OURCROWD   INTERNATIONAL INVESTMENT III, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
its general partner   OurCrowd Israel General Partner. L.P. on behalf of Partner, L.P., its General   Partner, OurCrowd International General on behalf of its general partner   OurCrowd General Partner Limited
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Josh Wolff (May   1, 2019)
    	
 
    	
/s/ Cali Chill (May   1, 2019)
    
	
 
    	
Name:
    	
Josh Wolff
    	
 
    	
Cali Chill
    
	
 
    	
Title:
    	
SVP
    	
 
    	
SVP, General   Counsel & Corporate Secretary
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
OURCROWD   50, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
its general partner   OurCrowd Israel General Partner. L.P. on behalf of its General Partner,   OurCrowd International General Partner, L.P. on behalf of its general partner   OurCrowd General Partner Limited
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Josh Wolff (May   1, 2019)
    	
 
    	
/s/ Cali Chill (May   1, 2019)
    
	
 
    	
Name:
    	
Josh Wolff
    	
 
    	
Cali Chill
    
	
 
    	
Title:
    	
SVP
    	
 
    	
SVP, General   Counsel & Corporate Secretary
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice   Address:
    
	
 
    	
[  ]
    
						

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.

 

	
 
    	
KEY HOLDERS:
    
	
 
    	
 
    
	
 
    	
DANIEL SCHREIBER
    
	
 
    	
 
    
	
 
    	
/s/ Daniel   Schreiber
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    
	
 
    	
 
    
	
 
    	
SHAI WININGER
    
	
 
    	
 
    
	
 
    	
/s/ Shai Wininger
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.

 

	
 
    	
KEY HOLDERS:
    
	
 
    	
 
    
	
 
    	
DAVID SCHREIBER
    
	
 
    	
 
    
	
 
    	
/s/ David Schreiber
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:   [  ]
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
RUTH SCHREIBER
    
	
 
    	
 
    
	
 
    	
/s/ Ruth Schreiber
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:   [  ]
    

 

 

IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first above written.

 

	
 
    	
KEY HOLDERS:
    
	
 
    	
 
    
	
 
    	
LEMONADE 18, LLC
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    	
 
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
COMMON HOLDERS:
    
	
 
    	
 
    
	
 
    	
MAYA PROSOR
    
	
 
    	
 
    
	
 
    	
/s/ Maya Prosor
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:   [  ]
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
TY SAGALOW
    
	
 
    	
 
    
	
 
    	
/s/ Ty Sagalow
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    
	
 
    	
[  ]
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
DAN ARIELY
    
	
 
    	
 
    
	
 
    	
/s/ Dan Ariely
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    	
[  ]
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
COMMON HOLDERS:
    
	
 
    	
 
    
	
 
    	
MOSHE LIEBERMAN
    
	
 
    	
 
    
	
 
    	
/s/ Moshe Lieberman
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:   [  ]
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
TIMOTHY E BIXBY
    
	
 
    	
/s/ Timothy E Bixby
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    	
 
    

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
COMMON HOLDERS:
    
	
 
    	
 
    
	
 
    	
OURCROWD INTERNATIONAL
    
	
 
    	
INVESTMENT III, L.P.
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Josh Wolff (May 1, 2019)
    	
 
    	
/s/ Cali Chill (May 1, 2019)
    
	
 
    	
Name:
    	
Josh Wolff
    	
 
    	
Cali Chill
    
	
 
    	
Title:
    	
SVP
    	
 
    	
SVP, General Counsel & Corporate   Secretary
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    
	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
ALLIANZ STRATEGIC   INVESTMENTS S.A.R.L.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
/s/ Lars Junkermann
    	
 
    	
/s/ Alain Schaedgen
    
	
 
    	
Name:
    	
Lars Junkermann
    	
 
    	
Alain Schaedgen
    
	
 
    	
Title:
    	
Manager
    	
 
    	
Manager
    
	
 
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
[  ]
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
MVH HOLDINGS III LLC
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    	
 
    
								

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above.

 

	
 
    	
COMMON HOLDERS:
    
	
 
    	
 
    
	
 
    	
JOHN PETERS
    
	
 
    	
 
    
	
 
    	
/s/ John Peters
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
ALEXANDRA PISKUN
    
	
 
    	
 
    
	
 
    	
/s/ Alexandra   Piskun
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
ANITRINIA LIMITED
    
	
 
    	
 
    	
 
    
	
 
    	
By
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
YAN PISKUNOV
    
	
 
    	
 
    
	
 
    	
/s/ Yan Piskunov
    
	
 
    	
 
    
	
 
    	
Notice Address:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Email:
    	
 
    
				

 

 

SCHEDULE A

 

SCHEDULE OF INVESTORS

 

Aleph, L.P.

Aleph-Aleph, L.P.

Sequoia Capital Israel Venture V Holdings, L.P.

XL Innovate Fund, L.P.

General Catalyst Group VIII, L.P.

General Catalyst Group VIII Supplemental, L.P.

Thrive Capital Partners V, L.P.

Claremount V Associates, L.P.

GV 2016, L.P.

GV 2019, L.P.

Tusk Venture Partners I LP

Tusk Ventures L SPV LP

Tusk Ventures LLC

Tusk Ventures Lemonade SPV II LLC

Sound Ventures II, LLC

Alexa von Tobel

Annox Capital, LLC (Delaware LLC)

Elevator Ventures Holdings Ltd.

MSR Global Limited

Orit Wininger

Shlomo Schindelheim

Allianz Strategic Investments s.a.r.l.

SoftBank Group Capital Limited

Puccini Investments Holdings Limited

OurCrowd (Investment in Lemon), L.P.

OurCrowd International Investment III, L.P.

OurCrowd 50, L.P.

Harel Insurance Company Ltd.

Harel Pension and Provident Ltd.

Tzava Hakeva Saving Funds — Provident Funds Management Company Ltd.

Leatid Pension Funds Management Company Ltd.

Lemonade 2019-I, LLC

Lemonade 2019-II, LLC

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

SCHEDULE B

 

SCHEDULE OF KEY HOLDERS

 

Daniel Schreiber

David Schreiber

Ruth Schreiber

Shai Wininger

Lemonade 18, LLC

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

SCHEDULE C

 

SCHEDULE OF COMMON HOLDERS

 

Ty Sagalow

Dan Ariely

Moshe Lieberman

Maya Prosor

MVH Holdings III LLC

John Peters

Timothy E Bixby

Allianz Strategic Investments s.a.r.l.

OurCrowd International Investment III, L.P.

Alexandra Piskun

Anitrinia Limited

Yan Piskunov

 

SIGNATURE PAGE TO A&R VOTING AGREEMENT FOR LEMONADE, INC.

 

 

EXHIBIT A

 

ADOPTION AGREEMENT

 

This Adoption Agreement (“Adoption Agreement”) is executed by the undersigned (the “Holder”) pursuant to the terms of that certain Amended and Restated Voting Agreement dated as of              , 2019 (the “Agreement”) by and among the Company and certain of its stockholders. Capitalized terms used but not defined herein shall have the respective meanings ascribed to such terms in the Agreement. By the execution of this Adoption Agreement, the Holder agrees as follows:

 

1.                                      Acknowledgment. Holder acknowledges that Holder is acquiring certain shares of the capital stock of the Company (the “Stock”) or options, warrants or other rights to acquire such Stock, for one of the following reasons (Check the appropriate box):

 

·                                          as a transferee of Shares from a party in such party’s capacity as an “Investor” bound by the Agreement, and after such transfer, Holder shall be considered an “Investor” and a “Stockholder” for all purposes of the Agreement.

 

·                                          as a transferee of Shares from a party in such party’s capacity as a “Key Holder” bound by the Agreement, and after such transfer, Holder shall be considered a “Key Holder” and a “Stockholder” for all purposes of the Agreement.

 

·                                          as a transferee of Shares from a party in such party’s capacity as a “Common Holder” bound by the Agreement, and after such transfer, Holder shall be considered a “Common Holder” and a “Stockholder” for all purposes of the Agreement.

 

·                                          as a new Investor in accordance with Section 12.9(a) of the Agreement, in which case Holder will be an “Investor” and a “Stockholder” for all purposes of the Agreement.

 

·                                          in accordance with Section 12.9(b) of the Agreement, as a new party who is not a new Investor, in which case Holder will be a “Key Holder” and a “Stockholder” for all purposes of the Agreement.

 

2.                                      Agreement. Holder (a) agrees that the Stock acquired by Holder shall be bound by and subject to the terms of the Agreement, and (b) hereby adopts the Agreement with the same force and effect as if Holder were originally a Party thereto.

 

3.                                      Notice. Any notice required or permitted by the Agreement shall be given to Holder at the address listed beside Holder’s signature below.

 

 

EXECUTED AND DATED this             day of                  , 20   .

 

	
 
    	
HOLDER:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
Address:
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
Email:
    	
 
    

 

Accepted and Agreed:

 

 

COMPANY

 

 

	
By:
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Name:
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
Title:
    	
 
    	
 
    

 

 

EXHIBIT B

 

CONSENT OF SPOUSE

 

I,            , spouse of           , acknowledge that I have read the Amended and Restated Voting Agreement, dated as of             , 2019to which this Consent of Spouse is attached as Exhibit B (the “Agreement”), and that I know the contents of the Agreement. I am aware that the Agreement contains provisions regarding the voting and transfer of shares of capital stock of Company (as defined in the Agreement) that my spouse may own, including any interest I might have therein.

 

I hereby agree that my interest, if any, in any shares of capital stock of the Company subject to the Agreement shall be irrevocably bound by the Agreement and further understand and agree that any community property interest I may have in such shares of capital stock of the Company shall be similarly bound by the Agreement.

 

I am aware that the legal, financial and related matters contained in the Agreement are complex and that I am free to seek independent professional guidance or counsel with respect to this Consent of Spouse. I have either sought such guidance or counsel or determined after reviewing the Agreement carefully that I will waive such right.

 

	
Date:
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
[Name of Stockholder’s Spouse]
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
[Signature of Stockholder’s Spouse]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00310-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00310-of-00352.parquet"}]]