Document:

Exhibit

Exhibit 10.38

EXECUTION VERSION
AMENDMENT NO. 1 TO CREDIT AGREEMENT
THIS AMENDMENT NO. 1 TO CREDIT AGREEMENT, dated as of December 3, 2019 (this “Agreement”), is made by and among MARRIOTT VACATIONS WORLDWIDE CORPORATION, a Delaware corporation (“MVWC”), MARRIOTT OWNERSHIP RESORTS, INC., a Delaware corporation (the “MVW Borrower” or the “Borrower Representative”), INTERVAL ACQUISITION CORP., a Delaware corporation (the “ILG Borrower” and together with the MVW Borrower, the “Borrowers” and each individually, a “Borrower”), each Lender and other Person executing this Agreement or consenting to this Agreement in writing by executing Refinancing Term Loan Commitments as a Refinancing Lender (as defined below), and JPMORGAN CHASE BANK, N.A., as administrative agent and collateral agent (in such capacities, the “Administrative Agent”).  Capitalized terms not otherwise defined herein shall have the meanings set forth in the Credit Agreement referred to below.
PRELIMINARY STATEMENTS
The Borrowers, MVWC, the Lenders, and the Administrative Agent have heretofore entered into that certain Credit Agreement, dated as of August 31, 2018 (as amended, supplemented or otherwise modified prior to the date hereof, the “Existing Credit Agreement”, and as the same may be further amended, supplemented, amended and restated or otherwise modified from time to time, the “Credit Agreement”).
The Borrowers have requested that the Lenders holding Initial Term Loans (collectively, the “Existing Term Lenders”), among other things, modify the interest rates applicable to the Initial Term Loans outstanding under the Credit Agreement, which modifications shall be effected by the exchange of Initial Term Loans for Refinancing Term Loans otherwise having, except as otherwise provided in this Agreement, the same terms as the Initial Term Loans, on the terms and conditions set forth herein.
Each Existing Term Lender executing and delivering a commitment (a “Refinancing Term Loan Commitment”) in substantially the form attached as Exhibit A hereto (or such other form as the Administrative Agent may approve) and electing the cashless settlement option therein (each such Lender in such capacity, a “Converting Lender” and, together with each other Person executing and delivering a Refinancing Term Loan Commitment, the “Refinancing Lenders”) shall be deemed to have exchanged the aggregate outstanding amount of its Initial Term Loans (or such lesser amount as the Lead Arrangers may allocate in connection with the syndication of the Refinancing Term Loans) under the Credit Agreement for an equal aggregate principal amount of 2019 Refinancing Term Loans (as defined below) under the Credit Agreement.
The Borrowers have requested that the Lenders consent to certain other modifications to the Existing Credit Agreement as provided for herein.
In consideration of the premises and agreements, provisions and covenants herein contained, the parties hereto hereby covenant and agree as follows:
Section 1. Amendments to Existing Credit Agreement. The Existing Credit Agreement is, as of the Amendment No. 1 Effective Date and subject to the satisfaction of the applicable conditions precedent set forth in Section 3 of this Agreement, hereby amended as follows:

(a)Section 1.01 of the Existing Credit Agreement shall be amended by adding the following new definitions thereto in proper alphabetical order: 
“Amendment No. 1” means that certain Amendment No. 1 to Credit Agreement, dated as of December 3, 2019, among the Borrowers, MVWC, the Administrative Agent and certain Lenders party thereto.
“Amendment No. 1 Effective Date” means the “Amendment No. 1 Effective Date” under and as defined in Amendment No. 1.
(b)Section 2.14(b) of the Existing Credit Agreement shall be amended by replacing each reference to “Initial Term Loans” therein with “2019 Refinancing Term Loans”.
(c)The 2019 Refinancing Term Loans shall be deemed incorporated into the Credit Agreement mutatis mutandis as a new Class of Term Loans on the terms and  conditions set forth in Section 2 of this Agreement.
(d)By execution and delivery by a Lender of a Refinancing Term Loan Commitment, such Lender (i) consents to the modifications to the Existing Credit Agreement and the other Loan Documents effected by this Agreement, including, as applicable, the exchange of such Lender’s Initial Term Loans for 2019 Refinancing Term Loans as contemplated hereby and (ii) waives (A) the Borrower’s obligation to indemnify the Existing Term Lenders against any funding loss or expense that may be payable to such Existing Term Lenders pursuant to Section 3.04 of the Existing Credit Agreement solely in connection with any prepayment (or deemed prepayment) of Initial Term Loans contemplated hereby and (B) the provisions of the Existing Credit Agreement requiring advance notice of any prepayment of the Initial Term Loans and/or any borrowing of Refinancing Term Loans or establishment of Incremental Facilities contemplated hereunder.
Section 2. Refinancing Term Loans.
(a)The Refinancing Term Loans effected hereby shall constitute a new Class of Term Loans under the Credit Agreement, which Class of Term Loans shall be titled “2019 Refinancing Term Loans” thereunder, and shall have the following terms and conditions:
(i)The Applicable Rate for the 2019 Refinancing Term Loans shall be (A) for Eurocurrency Rate Loans that are 2019 Refinancing Term Loans, 1.75% per annum and (B) for Base Rate Loans that are 2019 Refinancing Term Loans, 0.75% per annum. For the avoidance of doubt, the Eurocurrency Rate in respect of 2019 Refinancing Term Loans shall at no time be less than 0.00% per annum.
(ii)The Maturity Date in respect of the 2019 Refinancing Term Loans shall be the seventh anniversary of the Closing Date.

2

(iii)2019 Refinancing Term Loans borrowed, converted or exchanged under this Section 2 and repaid or prepaid may not be reborrowed. 2019 Refinancing Term Loans may be made and/or converted, as applicable, as Base Rate Loans or Eurocurrency Rate Loans, on the terms and conditions applicable to Term Loans under the Credit Agreement.
(iv)The Borrowers shall repay to the Administrative Agent for the ratable account of the Appropriate Lenders (A) on the last Business Day of each March, June, September and December, commencing with the first full fiscal quarter after the Amendment No. 1 Effective Date, an aggregate amount equal to 0.25% of the initial aggregate principal amount of all 2019 Refinancing Term Loans made on the Amendment No. 1 Effective Date and (B) on the Maturity Date for the 2019 Refinancing Term Loans, the aggregate principal amount of all 2019 Refinancing Term Loans outstanding on such date; provided that payments required by clause (A) above shall be reduced as a result of the application of prepayments in accordance with Section 2.05 of the Credit Agreement.
(v)In the event that, on or prior to the date that is six (6) months after the Amendment No. 1 Effective Date, the Borrowers (x) make any prepayment of 2019 Refinancing Term Loans in connection with any Repricing Event or (y) effect any amendment of the Credit Agreement resulting in a Repricing Event, the Borrowers shall pay or cause to be paid to the Administrative Agent, for the ratable account of each of the applicable Refinancing Lenders, (A) in the case of clause (x), a prepayment premium of 1.00% of the amount of the 2019 Refinancing Term Loans being prepaid and (B) in the case of clause (y), an amount equal to 1.00% of the aggregate amount of the applicable 2019 Refinancing Term Loans outstanding immediately prior to such amendment. 
(vi)Except as otherwise expressly set forth herein, the 2019 Refinancing Term Loans shall have identical terms as the Initial Term Loans and shall otherwise be subject to the provisions, including any provisions restricting the rights, or regarding the obligations, of the Loan Parties or any provisions regarding the rights of the Term Lenders, of the Credit Agreement and the other Loan Documents applicable to Initial Term Loans.
(vii)Each reference to a “Refinancing Term Loan” and “Term Loan” in the Credit Agreement or the other Loan Documents shall be deemed to include the 2019 Refinancing Term Loans and all other related terms will have correlative meanings mutatis mutandis. 
(b)On the Amendment No. 1 Effective Date, upon the satisfaction of the applicable conditions precedent set forth in Section 3 of this Agreement:
(i)With respect to each Converting Lender, the outstanding amount of Initial Term Loans of such Converting Lender (or such lesser amount as the Lead Arrangers may allocate in connection with the syndication of the 2019 Refinancing 

3

Term Loans) shall be deemed to be exchanged for an equal outstanding amount of 2019 Refinancing Term Loans under the Credit Agreement.
(ii)The exchange of outstanding Initial Term Loans for 2019 Refinancing Term Loans by Converting Lenders shall be effected by book entry in such manner, and with such supporting documentation, as may be reasonably determined by the Administrative Agent.
(iii)Each Refinancing Lender other than a Converting Lender (except to the extent that a Converting Lender is purchasing 2019 Refinancing Term Loans in excess of its Initial Term Loans), and/or one or more Persons acting in the capacity as “fronting bank” on the behalf of such Refinancing Lenders, if any (each, a “Fronting Bank”), shall severally advance to the Borrower 2019 Refinancing Term Loans in U.S. Dollars on the Amendment No. 1 Effective Date in accordance with such Refinancing Lender’s Refinancing Term Loan Commitment or such lesser amount as the Lead Arrangers may allocate in connection with the syndication of the 2019 Refinancing Term Loans.  In addition, one or more Persons acting in the capacity as an “additional bank”, if any (each, an “Additional Bank”), shall severally advance to the Borrower 2019 Refinancing Term Loans in U.S. Dollars on the Amendment No. 1 Effective Date in an amount equal to the amount of the Initial Term Loans held by Existing Term Lenders that do not execute and deliver a Refinancing Term Loan Commitment.  In each case, such funding of 2019 Refinancing Term Loans shall be deemed, automatically and without further act by any Person, to constitute a simultaneous (i) Borrowing by the Borrower of Refinancing Term Loans under the Credit Agreement and (ii) prepayment of Initial Term Loans of Existing Term Lenders that (x) do not execute and deliver a Refinancing Term Loan Commitment or (y) execute and deliver a Refinancing Term Loan Commitment and elect the consent only option therein.
(iv)To the extent that one or more Persons makes any Refinancing Term Loans to the Borrower in the capacity of a Fronting Bank, promptly following the Amendment No. 1 Effective Date (but not later than 30 days following the Amendment No. 1 Effective Date), each Refinancing Lender (other than a Converting Lender (except to the extent a Converting Lender is purchasing 2019 Refinancing Term Loans in excess of its Initial Term Loans)) shall purchase 2019 Refinancing Term Loans from such Fronting Bank as directed by the Lead Arrangers in accordance with such Refinancing Lender’s commitment in respect of 2019 Refinancing Term Loans and as allocated by the Lead Arrangers.
Section 3. Conditions to Effectiveness. This Agreement shall become effective on the first date (the “Amendment No. 1 Effective Date”) when, and only when, each of the applicable conditions set forth below have been satisfied (or waived) in accordance with the terms herein:
(a)this Agreement shall have been executed and delivered by the Borrowers, MVWC, the Administrative Agent, and Refinancing Lenders representing (x) 100% of the Refinancing Term Loan Commitments and (y) the Required Lenders;

4

(b)the Administrative Agent shall have received at least three (3) Business Days prior to the Amendment No. 1 Effective Date (or such later date as the Administrative Agent reasonably agrees) all documentation and other information about the Loan Parties as has been reasonably requested in writing at least ten (10) Business Days prior to the Amendment No. 1 Effective Date by the Administrative Agent that they reasonably determine is required by regulatory authorities under applicable “know your customer” and anti-money laundering rules and regulations, including the USA PATRIOT Act;
(c)the Administrative Agent shall have received a (i) a certificate of the Borrowers dated as of the Amendment No. 1 Effective Date, which shall (A) certify the resolutions of the board of directors, members or other body authorizing the execution, delivery and performance by MVWC and each Borrower of this Agreement, (B) identify by name and title and bear the signatures of the officers of MVWC and each Borrower authorized to sign this Agreement (or certify that the signatures of such officers previously delivered to the Administrative Agent remain true and correct) and (C) contain appropriate attachments, including the Organization Documents of MVWC and each Borrower certified, if applicable, by the relevant authority of the jurisdiction of organization of such Person (or certify that the Organization Documents of such Person previously delivered to the Administrative Agent remain true and correct) and (ii) a good standing certificate (if relevant) as of a recent date for MVWC and each Borrower from its jurisdiction of organization;
(d)the Administrative Agent shall have received a Committed Loan Notice as required pursuant to Section 2.02 of the Existing Credit Agreement;
(e)(i) the representations and warranties of each Loan Party set forth in the Credit Agreement and in each other Loan Document shall be true and correct in all material respects (except that any representation and warranty that is qualified as to “materiality” or “Material Adverse Effect” shall be true and correct in all respects as so qualified) on and as of the Amendment No. 1 Effective Date with the same effect as though made on and as of such date except to the extent such representations and warranties expressly relate to an earlier date, in which case they shall be true and correct in all material respects as of such earlier date; provided that (A) references to the “Closing Date” and the “Transactions” in Section 5.15 of the Existing Credit Agreement shall be deemed to mean the “Amendment No. 1 Effective Date” and the transactions contemplated by this Agreement, respectively and (B) the representation and warranty in Section 5.13 of the Credit Agreement shall apply to the written information furnished by or on behalf of a Loan Party to any Agent, Lead Arranger or Lender in connection with the transactions contemplated by this Agreement, and (ii) no Default shall exist or would result from the effectiveness of this Agreement and the consummation of the transactions contemplated by this Agreement;
(f)(i) the Administrative Agent shall have received, on behalf of the applicable Persons, all reasonable fees and other amounts due and payable to the Lead Arrangers and the Refinancing Lenders on or prior to the Amendment No. 1 Effective Date, including, to the extent invoiced at least three (3) Business Days prior to the Amendment No. 1 Effective Date, reimbursement or payment of all reasonable and documented or invoiced out-of- pocket costs and expenses required to be reimbursed or paid by the Borrowers in 

5

connection with this Agreement and (ii) prior to or substantially concurrently with effectiveness of this Agreement, the Borrowers shall have paid to the Administrative Agent in full all accrued and unpaid interest, fees and other amounts then due and payable in respect of the Initial Term Loans outstanding immediately prior to the Amendment No. 1 Effective Date; 
(g)the Administrative Agent shall have received a written legal opinion from Kirkland & Ellis LLP, counsel to MVWC and the Borrowers, in form and substance reasonably satisfactory to the Administrative Agent; and 
(h)the Administrative Agent shall have received a certificate dated as of the Amendment No. 1 Effective Date and executed by a Responsible Officer of the Borrower Representative as to the matters set forth in Section 3(e) above.
Section 4. Acknowledgment and Confirmation. MVWC and each of the Borrowers hereby confirm and agree, on behalf of each of the Loan Parties, with respect to each Loan Document to which such Loan Parties are party to, that (i) all of their obligations, liabilities and indebtedness under such Loan Document shall remain in full force and effect on a continuous basis regardless of the effectiveness of this Agreement and (ii) all of the Liens and security interests created and arising under such Loan Document remain in full force and effect on a continuous basis, and the perfected status and priority of each such Lien and security interest continues in full force and effect on a continuous basis, unimpaired, uninterrupted and undischarged, regardless of the effectiveness of this Agreement, as collateral security for its obligations, liabilities and indebtedness under the Credit Agreement and related guarantees.
Section 5. Expenses. Each of the Loan Parties hereby reconfirms its respective obligations pursuant to Section 10.04 of the Credit Agreement to pay all reasonable and documented or invoiced out-of-pocket costs and expenses incurred by the Administrative Agent and the Lead Arrangers in connection with this Agreement.
Section 6. Amendment, Modification and Waiver. This Agreement may not be amended, modified or waived except in accordance with Section 10.01 of the Credit Agreement.
Section 7. Entire Agreement. This Agreement, the Credit Agreement, as amended hereby, and the other Loan Documents constitute the entire agreement among the parties hereto with        respect to the subject matter hereof and thereof and supersede all other prior agreements and understandings, both written and verbal, among the parties hereto with respect to the subject matter hereof and thereof. Except as expressly set forth herein, this Agreement shall not by implication    or otherwise limit, impair, constitute a waiver of, or otherwise affect the rights and remedies of    any party under, the Existing Credit Agreement, nor alter, modify, amend or in any way affect any of the terms, conditions, obligations, covenants or agreements contained in the Existing Credit Agreement, all of which are ratified and affirmed in all respects and shall continue in full force    and effect. It is understood and agreed that each reference in each Loan Document to the Credit Agreement, whether direct or indirect, shall hereafter be deemed to be a reference to the Existing Credit Agreement as amended hereby and that this Agreement is a Loan Document and an Incremental Facility. This Agreement shall not constitute a novation of any amount owing under the Existing Credit Agreement and all amounts owing in respect of principal, interest, fees and 

6

other amounts pursuant to the Existing Credit Agreement and the other Loan Documents shall, to the extent not paid or exchanged on or prior to the Amendment No. 1 Effective Date, shall continue to be owing under the Credit Agreement or such other Loan Documents until paid in accordance therewith. This Agreement is a “Loan Document” and an “Incremental Facility Amendment” in respect of Refinancing Term Loans, in each case as defined and described in the Credit Agreement, and the terms and provisions of the Credit Agreement relating to Loan Documents and Incremental Facility Amendments shall apply hereto.
Section 8. GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK. SECTIONS 10.14 AND 10.15 OF THE EXISTING CREDIT AGREEMENT ARE HEREBY INCORPORATED BY REFERENCE INTO THIS AGREEMENT MUTATIS MUTANDIS AND SHALL APPLY HERETO.
Section 9. Severability. In the event any one or more of the provisions contained in this Agreement should be held invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein and therein, to the fullest extent permitted by applicable law, shall not in any way be affected or impaired thereby (it being understood that the invalidity of a particular provision in a particular jurisdiction shall not in and of itself affect the validity of such provision in any other jurisdiction). The parties shall endeavor in good-faith negotiations to replace the invalid, illegal or unenforceable provisions with valid provisions the economic effect of which comes as close as possible to that of the invalid, illegal or unenforceable provisions 
Section 10. Counterparts.  This Agreement may be executed in counterparts (and by different parties hereto on different counterparts), each of which shall constitute an original but all of which when taken together shall constitute a single contract. Delivery of an executed signature page to this Agreement by facsimile transmission or other customary means of electronic transmission (e.g., “pdf”) shall be as effective as delivery of an originally signed counterpart of this Agreement.

[Remainder of Page Intentionally Blank]

7

IN WITNESS WHEREOF, each of the undersigned has caused its duly authorized officer to execute and deliver this Agreement as of the date first written above.
	
		
	MARRIOTT VACATIONS WORLDWIDE CORPORATION

	By:
	/s/ Joseph J. Bramuchi

	Name:  Joseph J. Bramuchi

	Title: Vice President and Treasurer

	
		
	MARRIOTT OWNERSHIP RESORTS,
INC., as the MVW Borrower

	By:
	/s/ Joseph J. Bramuchi

	Name:  Joseph J. Bramuchi

	Title: Vice President and Treasurer

	
		
	INTERVAL ACQUISITION CORP., as the
ILG Borrower

	By:
	/s/ John E. Geller, Jr.

	Name:  John E. Geller, Jr.

	Title:  Executive Vice President and
Chief Financial Officer

	
		
	JPMORGAN CHASE BANK, N.A.,
as Administrative Agent

	By:
	/s/ Jeffrey C. Miller

	Name:  Jeffrey C. Miller

	Title:  Executive Director

	
		
	JPMORGAN CHASE BANK, N.A.,
as a Lender, a Fronting Bank and an Additional Bank

	By:
	/s/ Jeffrey C. Miller

	Name:  Jeffrey C. Miller

	Title:  Executive Director

[Signature Page to Amendment No. 1 to Credit Agreement]

Exhibit A

Form of Refinancing Term Loan Commitment
Reference is made to Amendment No. 1 (the “Amendment Agreement”) to that certain Credit Agreement, dated as of August 31, 2018 (as amended, supplemented or otherwise modified from time to time, the “Credit Agreement”), among Marriott Vacations Worldwide Corporation, Marriott Ownership Resorts, Inc., as the MVW Borrower, Interval Acquisition Corp., as the ILG Borrower, the Lenders party thereto, and JPMorgan Chase Bank, N.A., as Administrative Agent and Collateral Agent.  Capitalized terms not otherwise defined herein shall have the meanings set forth in the Credit Agreement. 
Lenders of Initial Term Loans
	
		
	☐ 1. Cashless 
Settlement 
Option:
	If you wish to consent to the Amendment Agreement and exchange (on a 
cashless basis) 100% (no partial amounts will be rolled) of the outstanding 
principal amount of your Initial Term Loans for 2019 Refinancing Term 
Loans in an equal principal amount (or such lesser amount as allocated by 
the Lead Arrangers), please check this box.

	☐ 2. Consent Only:
	If you wish to consent to the Amendment Agreement and have 100% of the 
outstanding principal amount of your Initial Term Loans prepaid on the 
Amendment No. 1 Effective Date please check this box. If you wish to 
purchase by assignment 2019 Refinancing Term Loans in an equal principal 
amount (or such lesser amount as allocated by the Lead Arrangers), please 
reach out to your JPMorgan salesperson.

	
			
	[LENDER],
as a Lender

	By:
	 

	Name:
	 

	Title:
	 

LENDER SIGNATURE PAGE TO AMENDMENT NO. 1, RELATING TO THE CREDIT AGREEMENT OF MARRIOTT OWNERSHIP RESORTS, INC.Exhibit

Exhibit 4.5

DESCRIPTION OF THE REGISTRANT’S SECURITIES REGISTERED PURSUANT TO SECTION 12 OF THE SECURITIES EXCHANGE ACT OF 1934

As of December 31, 2019, Twilio Inc. (“Twilio,” the “Company,” “we,” “us,” and “our”) had one class of securities registered under Section 12 of the Securities Exchange Act of 1934, as amended: our Class A common stock, par value $0.001 per share.

DESCRIPTION OF CAPITAL STOCK
General
The following description summarizes certain important terms of the capital stock of Twilio, as they are currently in effect. Because it is only a summary, it does not contain all the information that may be important to you. For a complete description of the matters set forth in this section titled "Description of Capital Stock," you should refer to Twilio's amended and restated certificate of incorporation, amended and restated bylaws and amended and restated investors' rights agreement and to the applicable provisions of Delaware law. Twilio's authorized capital stock consists of 1,200,000,000 shares of capital stock, $0.001 par value per share, of which:
		
	•
	1,000,000,000 shares are designated as Class A common stock;

		
	•
	100,000,000 shares are designated as Class B common stock; and

		
	•
	100,000,000 shares are designated as preferred stock.

    
The Twilio board of directors (“Board”) is authorized, without stockholder approval except as required by the listing standards of the New York Stock Exchange, to issue additional shares of capital stock.
Our Class A common stock is listed on the New York Stock Exchange under the symbol “TWLO.”

Common Stock
        The outstanding shares of Twilio’s common stock are fully paid and non-assessable. 

Dividend Rights
        Subject to preferences that may apply to any shares of preferred stock outstanding at the time, the holders of Twilio Class A and Class B common stock are entitled to receive dividends out of funds legally available if the Twilio Board, in its discretion, determines to issue dividends and then only at the times and in the amounts that the Twilio Board may determine.
Voting Rights
        Holders of Twilio Class A common stock are entitled to one vote for each share of Twilio Class A common stock held on all matters submitted to a vote of stockholders and holders of Twilio Class B common stock are entitled to 10 votes for each share of Twilio Class B common stock held on all matters submitted to a vote of stockholders. Holders of shares of Twilio Class A common stock and Twilio Class B common stock vote together as a single class on all matters (including the election of directors) submitted to a vote of stockholders, unless otherwise required by law. Twilio has not provided for cumulative voting for the election of directors in its amended and restated certificate of incorporation. Its amended and restated certificate of incorporation and amended and restated bylaws provide for a classified board of directors consisting of three classes of approximately equal size, each serving staggered three-year terms.

1

Exhibit 4.5

No Preemptive or Similar Rights
Twilio Class A and Class B common stock are not entitled to preemptive rights, and are not subject to conversion, redemption or sinking fund provisions, except for the conversion provisions with respect to the Class B common stock described below.

Right to Receive Liquidation Distributions
If Twilio becomes subject to a liquidation, dissolution or winding-up, the assets legally available for distribution to Twilio stockholders would be distributable ratably among the holders of Twilio Class A and Class B common stock and any participating preferred stock outstanding at that time, subject to prior satisfaction of all outstanding debt and liabilities and the preferential rights of and the payment of liquidation preferences, if any, on any outstanding shares of preferred stock.
Conversion
Each outstanding share of Twilio Class B common stock is convertible at any time at the option of the holder into one share of Twilio Class A common stock. In addition, each share of Twilio Class B common stock will convert automatically into one share of Twilio Class A common stock upon any transfer, whether or not for value, except for certain permitted transfers described in Twilio's amended and restated certificate of incorporation, including transfers to family members, trusts solely for the benefit of the stockholder or their family members, and partnerships, corporations, and other entities exclusively owned by the stockholder or their family members. Once converted or transferred and converted into Twilio Class A common stock, the Twilio Class B common stock will not be reissued.
All the outstanding shares of Twilio Class A and Class B common stock will convert automatically into shares of a single class of common stock on the earlier of June 28, 2023 or the date the holders of two-thirds of Twilio Class B common stock elect to convert the Class B common stock to Class A common stock. Following such conversion, each share of common stock will have one vote per share and the rights of the holders of all outstanding common stock will be identical. Once converted into a single class of common stock, the Class A and Class B common stock may not be reissued.
Preferred Stock - Limitations on Rights of Holders of Common Stock
The Twilio Board is authorized, subject to limitations prescribed by Delaware law, to issue preferred stock in one or more series, to establish from time to time the number of shares to be included in each series and to fix the designation, powers, preferences and rights of the shares of each series and any of its qualifications, limitations or restrictions, in each case without further vote or action by Twilio stockholders. The Twilio Board can also increase or decrease the number of shares of any series of preferred stock, but not below the number of shares of that series then outstanding, without any further vote or action by Twilio stockholders. The Twilio Board may authorize the issuance of preferred stock with voting or conversion rights that could adversely affect the voting power or other rights of the holders of Twilio Class A or Class B common stock.
Listing Agent
The transfer agent and registrar for Twilio Class A common stock and Twilio Class B common stock is Computershare Trust Company, N.A.

Anti-Takeover Provisions
The provisions of Delaware law, Twilio's amended and restated certificate of incorporation and Twilio's amended and restated bylaws, which are summarized below, may have the effect of delaying, deferring or discouraging another person from acquiring control of the company. They are also designed, in part, to encourage persons seeking to acquire control of Twilio to negotiate first with the Twilio Board. Twilio believes that the benefits of increased protection of its potential ability to negotiate with an unfriendly or unsolicited acquiror outweigh the disadvantages of discouraging a proposal to acquire it because negotiation of these proposals could result in an improvement of their terms.

2

Exhibit 4.5

Delaware Law
Twilio is governed by the provisions of Section 203 of the Delaware General Corporation Law. In general, Section 203 prohibits a public Delaware corporation from engaging in a "business combination" with an "interested stockholder" for a period of three years after the date of the transaction in which the person became an interested stockholder, unless:
		
	•
	the transaction was approved by the board of directors prior to the time that the stockholder became an interested stockholder;

		
	•
	upon consummation of the transaction which resulted in the stockholder becoming an interested stockholder, the interested stockholder owned at least 85% of the voting stock of the corporation outstanding at the time the transaction commenced, excluding shares owned by directors who are also officers of the corporation and shares owned by employee stock plans in which employee participants do not have the right to determine confidentially whether shares held subject to the plan will be tendered in a tender or exchange offer; or

		
	•
	at or subsequent to the time the stockholder became an interested stockholder, the business combination was approved by the board of directors and authorized at an annual or special meeting of the stockholders, and not by written consent, by the affirmative vote of at least two-thirds of the outstanding voting stock which is not owned by the interested stockholder.

        In general, Section 203 defines a "business combination" to include mergers, asset sales and other transactions resulting in financial benefit to a stockholder and an "interested stockholder" as a person who, together with affiliates and associates, owns, or within three years did own, 15% or more of the corporation's outstanding voting stock. These provisions may have the effect of delaying, deferring or preventing changes in control of Twilio.

Amended and Restated Certificate of Incorporation and Amended and Restated Bylaw Provisions
Twilio's amended and restated certificate of incorporation and amended and restated bylaws include a number of provisions that could deter hostile takeovers or delay or prevent changes in control of the company, as well as changes in the Twilio Board or management team, including the following:
 Board of Directors Vacancies.    Twilio's amended and restated certificate of incorporation and amended and restated bylaws authorize only the Twilio Board to fill vacant directorships, including newly created seats. In addition, the number of directors constituting the Twilio Board is permitted to be set only by a resolution adopted by a majority vote of the entire Twilio Board. These provisions prevent a stockholder from increasing the size of the Twilio Board and then gaining control of the Twilio Board by filling the resulting vacancies with its own nominees. This makes it more difficult to change the composition of the Twilio Board and will promote continuity of management.
Dual Class Common Stock.    As described above in the section titled "—Common Stock—Voting Rights," Twilio's amended and restated certificate of incorporation provides for a dual class common stock structure pursuant to which holders of its Class B common stock have the ability to control the outcome of matters requiring stockholder approval, even if they own significantly less than a majority of the shares of the outstanding Class A and Class B common stock, including the election of directors and significant corporate transactions, such as a merger or other sale of the company or its assets. Current investors, executives and employees have the ability to exercise significant influence over those matters.
Classified Board.    Twilio's amended and restated certificate of incorporation and amended and restated bylaws provide that the Twilio Board be classified into three classes of directors, each of which hold office for a three-year term. In addition, directors may only be removed from the Twilio Board for cause. The existence of a classified board could delay a potential acquiror from obtaining majority control of the Twilio Board, and the prospect of that delay might deter a potential acquiror.

3

Exhibit 4.5

Stockholder Action; Special Meeting of Stockholders.    Twilio's amended and restated certificate of incorporation provides that its stockholders may not take action by written consent, but may only take action at annual or special meetings of stockholders. As a result, a holder controlling a majority of Twilio's capital stock would not be able to amend Twilio's amended and restated bylaws or remove directors without holding a meeting of stockholders called in accordance with Twilio's amended and restated bylaws. Twilio's amended and restated bylaws further provide that special meetings of stockholders may be called only by a majority of the Twilio Board, the chairman of the Twilio Board, Twilio's Chief Executive Officer or its President, thus prohibiting a stockholder from calling a special meeting. These provisions might delay the ability of Twilio stockholders to force consideration of a proposal or for stockholders controlling a majority of Twilio's capital stock to take any action, including the removal of directors.
Advance Notice Requirements for Stockholder Proposals and Director Nominations.    Twilio's amended and restated bylaws provide advance notice procedures for stockholders seeking to bring business before its annual meeting of stockholders or to nominate candidates for election as directors at its annual meeting of stockholders. Twilio's amended and restated bylaws also specify certain requirements regarding the form and content of a stockholder's notice. These provisions might preclude Twilio stockholders from bringing matters before its annual meeting of stockholders or from making nominations for directors at its annual meeting of stockholders if the proper procedures are not followed. These provisions may also discourage or deter a potential acquiror from conducting a solicitation of proxies to elect the acquiror's own slate of directors or otherwise attempting to obtain control of Twilio.
No Cumulative Voting.    The Delaware General Corporation Law provides that stockholders are not entitled to cumulate votes in the election of directors unless a corporation's certificate of incorporation provides otherwise. Twilio's amended and restated certificate of incorporation does not provide for cumulative voting.
Directors Removed Only for Cause.    Twilio's amended and restated certificate of incorporation provides that stockholders may remove directors only for cause.
Amendment of Charter Provisions.    Any amendment of the above provisions in Twilio's amended and restated certificate of incorporation requires approval by holders of at least two-thirds of the then-outstanding capital stock.
Issuance of Undesignated Preferred Stock.    The Twilio Board has the authority, without further action by the Twilio stockholders, to issue up to 100,000,000 shares of undesignated preferred stock with rights and preferences, including voting rights, designated from time to time by the Twilio Board. The existence of authorized but unissued shares of preferred stock would enable the Twilio Board to render more difficult or to discourage an attempt to obtain control of Twilio by means of a merger, tender offer, proxy contest or other means.

4

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00305-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00305-of-00352.parquet"}]]