Document:

Exhibit 10.6

 

LOCK-UP AGREEMENT

 

THIS LOCK-UP AGREEMENT
(this “Agreement”) is dated as of [·] by and between the undersigned
stockholder (the “Holder”) and Playboy Group, Inc. (formerly known as Mountain Crest Acquisition Corp), a Delaware
corporation (the “Company”).

 

Capitalized terms used,
but not otherwise defined herein, shall have the meanings ascribed to such terms in the Agreement and Plan of Merger by and among
the Company, MCAC Merger Sub Inc., a Delaware corporation, and Playboy Enterprises, Inc., a Delaware corporation (“Playboy”)
dated as of September 30, 2020 (the “Merger Agreement”).

 

 

BACKGROUND

 

WHEREAS, Pursuant
to the Merger Agreement, the Holder is required to lock-up the shares of common stock of the Company (“PGI Common Stock”)
issuable to the Holder as Closing Merger Consideration (the “Merger Shares”), during the Lock-up Period.

 

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

 

AGREEMENT

 

1.                  
Lock-Up.

 

(a)               
Subject to Section 1(b) below, during the Lock-up Period, the Holder agrees that it,
he or she will not offer, sell, contract to sell, pledge or otherwise dispose of, directly or indirectly, any of the Lock-up Shares
(as defined below), enter into a transaction that would have the same effect, or enter into any swap, hedge or other arrangement
that transfers, in whole or in part, any of the economic consequences of ownership of the Lock-up Shares, whether any of these
transactions are to be settled by delivery of any Lock-up Shares, or otherwise, publicly disclose the intention to make any offer,
sale, pledge or disposition, or to enter into any transaction, swap, hedge or other arrangement, or engage in any Short Sales (as
defined below) with respect to any securities of the Company. 

 

(b)               
Notwithstanding Section 1(a) above, if the volume weighted average price of the shares
of PGI Common Stock equals or exceeds $14.00 per share (as adjusted for stock splits, stock dividends, reorganizations, recapitalizations
and the like) for any 20 trading days within any 30 consecutive trading day period, fifty percent (50%) of the Shares shall be
released from the lock-up to the Holder. 

 

(c)               
In furtherance of the foregoing, during the Lock-up Period, the Company will (i) place
a stop order on all the Lock-up Shares, including those which may be covered by a registration statement, and (ii) notify the Company’s
transfer agent in writing of the stop order and the restrictions on the Lock-up Shares under this Agreement and direct the Company’s
transfer agent not to process any attempts by the Holder to resell or transfer any Lock-up Shares, except in compliance with this
Agreement. 

 

     

     

    

 

(d)               
For purposes hereof, “Short Sales” include, without limitation,
all “short sales” as defined in Rule 200 promulgated under Regulation SHO under the Securities Exchange Act of 1934,
as amended (the “Exchange Act”), and all types of direct and indirect stock pledges, forward sale contracts,
options, puts, calls, swaps and similar arrangements (including on a total return basis), and sales and other transactions through
non-US broker dealers or foreign regulated brokers.

 

(e)               
The term “Lock-up Period” means, subject to Section 1(b), the earlier
of (i) the date that is twelve (12) months after the Closing Date, and (ii) if, subsequent to the Closing Date, such date on which
the Company consummates a liquidation, merger, stock exchange or other similar transaction which results in all of Company’s
stockholders having the right to exchange their shares of PGI Common Stock for cash, securities or other property. 

 

2.                   Beneficial
Ownership. The Holder hereby represents and warrants that it does not beneficially own, directly or through its nominees
(as determined in accordance with Section 13(d) of the Exchange Act, and the rules and regulations promulgated thereunder),
any shares of PGI Common Stock, or any economic interest in or derivative of such shares, other than the Merger Shares. For
purposes of this Agreement, the Merger Shares beneficially owned by the Holder, together with any other shares of PGI Common
Stock, and including any securities convertible into, or exchangeable for, or representing the rights to receive PGI Common
Stock, if any, acquired during the Lock-up Period are collectively referred to as the “Lock-up Shares,” provided, however,
that such Lock-up Shares shall not include shares of PGI Common Stock acquired by such Holder in open market transactions
during the Lock-up Period.

 

Notwithstanding the
foregoing, and subject to the conditions below, the undersigned may transfer Lock-Up Shares in connection with (a) transfers or
distributions to the Holder’s direct or indirect affiliates (within the meaning of Rule 405 under the Securities Act of 1933,
as amended) or to the estates of any of the foregoing; (b) transfers by bona fide gift to a member of the Holder’s immediate
family or to a trust, the beneficiary of which is the Holder or a member of the Holder’s immediate family for estate planning
purposes; (c) by virtue of the laws of descent and distribution upon death of the Holder; (d) pursuant to a qualified domestic
relations order, (e) transfers to the Company’s officers, directors or their affiliates, (f) pledges of Lock-up Shares as
security or collateral in connection with a borrowing or the incurrence of any indebtedness by the Holder, provided, however,
that such borrowing or incurrence of indebtedness is secured by either a portfolio of assets or equity interests issued by multiple
issuers, (g) transfers pursuant to a bona fide third-party tender offer, merger, stock sale, recapitalization, consolidation or
other transaction involving a Parent Change of Control (as defined in the Merger Agreement); provided, however, that
in the event that such tender offer, merger, recapitalization, consolidation or other such transaction is not completed, the Lock-Up
Shares subject to this Agreement shall remain subject to this Agreement, (h) the establishment of a trading plan pursuant to Rule
10b5-1 promulgated under the Exchange Act; provided, however, that such plan does not provide for the transfer of
Lock-up Shares during the Lock-Up Period, (i) transfers to satisfy tax withholding obligations in connection with the exercise
of options to purchase shares of PGI Common Stock or the vesting of stock-based awards; and (j) transfers in payment on a “net
exercise” or “cashless” basis of the exercise or purchase price with respect to the exercise of options to purchase
shares of PGI Common Stock; provided, however, that, in the case of any transfer pursuant to the foregoing (i) through
(e) clauses, it shall be a condition to any such transfer that (i) the transferee/donee agrees to be bound by the terms of this
Agreement (including, without limitation, the restrictions set forth in the preceding sentence) to the same extent as if the transferee/donee
were a party hereto; and (ii) each party (donor, donee, transferor or transferee) shall not be required by law (including without
limitation the disclosure requirements of the Securities Act of 1933, as amended (the “Securities Act”), and
the Exchange Act) to make, and shall agree to not voluntarily make, any filing or public announcement of the transfer or disposition
prior to the expiration of the Lock-Up Period.

 

     

     

    

 

3.                  
Representations and Warranties. Each of the parties hereto, by their respective execution and delivery of
this Agreement, hereby represents and warrants to the other that (a) such party has the full right, capacity and authority to
enter into, deliver and perform its respective obligations under this Agreement, (b) this Agreement has been duly executed and
delivered by such party and is a binding and enforceable obligation of such party and, enforceable against such party in accordance
with the terms of this Agreement, and (c) the execution, delivery and performance of such party’s obligations under this
Agreement will not conflict with or breach the terms of any other agreement, contract, commitment or understanding to which such
party is a party or to which the assets or securities of such party are bound. The Holder has independently evaluated the merits
of its decision to enter into and deliver this Agreement, and such Holder confirms that it has not relied on the advice of Company,
Company’s legal counsel, or any other person.

 

4.                  
No Additional Fees/Payment. Other than the consideration specifically referenced herein, the parties hereto
agree that no fee, payment or additional consideration in any form has been or will be paid to the Holder in connection with this
Agreement.

 

5.                  
Notices. Any notices required or permitted to be sent hereunder shall be sent in writing, addressed as specified
below, and shall be deemed given: (a) if by hand or recognized courier service, by 4:00PM on a Business Day, addressee’s
day and time, on the date of delivery, and otherwise on the first Business Day after such delivery; (b) if by fax or email, on
the date that transmission is confirmed electronically, if by 4:00PM on a Business Day, addressee’s day and time, and otherwise
on the first Business Day after the date of such confirmation; or (c) five days after mailing by certified or registered mail,
return receipt requested. Notices shall be addressed to the respective parties as follows (excluding telephone numbers, which
are for convenience only), or to such other address as a party shall specify to the others in accordance with these notice provisions:

 

		(a)	If to Company, to:

 

Playboy Group, Inc. (f/k/a Mountain Crest Acquisition
Corp.)

10960 Wilshire Blvd., Suite 2200

Los Angeles, CA 90024

Attention: Chris Riley, General Counsel

Email: criley@playboy.com

 

     

     

    

 

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

Jones Day

1755 Embarcadero Road

Palo Alto, California 94303

Attention: W. Stuart Ogg and Micheal Reagan

E-mail: sogg@jonesday.com; mreagan@jonesday.com

 

		(b)	If to the Holder, to the address set forth on the Holder’s signature page hereto, with a
copy, which shall not constitute notice, to:

 

[•]

[•]

[•]

Attention: [•]

Phone: [•]

Email: [•]

 

or to such other address(es) as any party
may have furnished to the others in writing in accordance herewith.

 

6.                  
Enumeration and Headings. The enumeration and headings contained in this Agreement are for convenience of
reference only and shall not control or affect the meaning or construction of any of the provisions of this Agreement.

 

7.                  
Counterparts. This Agreement may be executed in facsimile and in any number of counterparts, each of which
when so executed and delivered shall be deemed an original, but all of which shall together constitute one and the same agreement.

 

8.                  
Successors and Assigns. This Agreement and the terms, covenants, provisions and conditions hereof shall be
binding upon, and shall inure to the benefit of, the respective heirs, successors and assigns of the parties hereto. The Holder
hereby acknowledges and agrees that this Agreement is entered into for the benefit of and is enforceable by Company and its successors
and assigns.

 

9.                  
Severability. If any provision of this Agreement is held to be invalid or unenforceable for any reason, such
provision will be conformed to prevailing law rather than voided, if possible, in order to achieve the intent of the parties and,
in any event, the remaining provisions of this Agreement shall remain in full force and effect and shall be binding upon the parties
hereto.

 

10.              
Amendment. This Agreement may be amended or modified by written agreement executed by each of the parties
hereto.

 

     

     

    

 

11.              
Further Assurances. Each party shall do and perform, or cause to be done and performed, all such further
acts and things, and shall execute and deliver all such other agreements, certificates, instruments and documents, as any other
party may reasonably request in order to carry out the intent and accomplish the purposes of this Agreement and the consummation
of the transactions contemplated hereby.

 

12.              
No Strict Construction. The language used in this Agreement will be deemed to be the language chosen by the
parties to express their mutual intent, and no rules of strict construction will be applied against any party.

 

13.              
Dispute Resolution. Section 11.8 of the Merger Agreement is incorporated by reference herein to apply with
full force to any disputes arising under this Agreement.

 

14.              
Governing Law. Section 11.6 of the Merger Agreement is incorporated by reference herein to apply with full
force to any disputes arising under this Agreement.

 

15.              
Controlling Agreement. To the extent the terms of this Agreement (as amended, supplemented, restated or otherwise
modified from time to time) directly conflicts with a provisions in the Merger Agreement, the terms of this Agreement shall control.

 

[Signature Page Follows]

 

     

     

    

 

IN WITNESS WHEREOF, the parties hereto
have caused this Lock-up Agreement to be duly executed by their respective authorized signatories as of the date first indicated
above.

 

 

	 	PLAYBOY GROUP, INC.
	 	 
	 	By: 	
	 	 	Name: [•]
Title: [•]

 

     

     

    

 

IN WITNESS WHEREOF, the
parties hereto have caused this Lock-up Agreement to be duly executed by their respective authorized signatories as of the date
first indicated above.

 

 

	 	HOLDER
	 	 
	 	By: 	
	 	 	Name:

	 	 	 
	 	Address:	 
	 	 	[•]Exhibit 10.7

 

VOTING AGREEMENT

 

This Voting Agreement
(this “Agreement”) is made as of [________], by and among Playboy Group, Inc. (formerly known as Mountain Crest
Acquisition Corp), a Delaware corporation (the “Company”), and each of the entities set forth on the signature
page hereto (each a “Voting Party” and collectively, the “Voting Parties”). For purposes
of this Agreement, capitalized terms used and not defined herein shall have the respective meanings ascribed to them in the Merger
Agreement (as defined below).

 

RECITALS

 

WHEREAS, the
Company, MCAC Merger Sub Inc., a Delaware corporation (“Merger Sub”), and Playboy Enterprises, Inc., a Delaware
corporation (“Playboy”) have entered into that certain Agreement and Plan of Merger (as may be amended from
time to time, the “Merger Agreement”), dated as of September 30, 2020, pursuant to which, on the Effective Date,
the Company, Merger Sub and Playboy intend to effect a merger of Merger Sub with and into Playboy (the “Merger”),
upon which Merger Sub will cease to exist, Playboy will become a wholly owned subsidiary of the Company and the outstanding shares
of Playboy’s common stock will be converted into the right to receive consideration described in the Merger Agreement.

 

WHEREAS, each
of the Voting Parties, currently owns, or on closing of the transactions contemplated by the Merger Agreement, will own, shares
of the Company’s common stock, and wishes to provide for the elections of certain members of the Post-Closing Board of Directors
as described herein.

 

NOW THEREFORE,
in consideration of the foregoing and of the promises and covenants contained herein, the receipt and sufficiency of which are
hereby acknowledged, the parties hereto agree as follows:

 

AGREEMENT

 

1.                  
Agreement to Vote. During the term of this Agreement, each Voting Party agrees to vote all securities
of the Company that such Voting Party owns from time to time and may vote in the election of the Company’s directors (hereinafter
referred to as the “Voting Shares”), in accordance with the provisions of this Agreement, whether at a regular
or special meeting of stockholders or by written consent.

 

2.                  
Election of Boards of Directors. If the closing condition in Section 8.3(o) of the Merger Agreement (the
 “Closing Condition”) is satisfied at the Closing, each Voting Party agrees to vote all shares of Common Stock
it beneficially owns in such manner as may be necessary to elect (and maintain in office) Suying Liu as a member of the Second
Class of the Post-Closing Board of Directors as set forth in the Amended and Restated Certificate of Incorporation of the Company,
as the same may be amended and/or restated from time to time.

 

3.                  
Termination. This Agreement shall terminate upon the first to occur of the following: (i) upon the Closing
if the Closing Condition is not satisfied at Closing and is instead waived by Playboy; (ii) the first annual meeting of stockholders
of the Company at which the Second Class of the Post-Closing Board of Directors shall be nominated and elected; or (iii) immediately
prior to any vote on or with respect to a transaction pursuant to which a person or group other than current stockholders of the
Company, or their respective Affiliates, will control greater than 50% of the Company’s voting power with respect to the
election of directors of the Company.

 

4.                  
Grant of Proxy. The parties agree that this Agreement does not constitute the granting of a proxy to any
party or any other person.

 

     

     

    

 

5.                  
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 party hereto, that this Agreement shall be specifically enforceable, and
that any 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 and
agrees that a party’s rights would be materially and adversely affected if the obligations of the other parties under this
Agreement were not carried out in accordance with the terms and conditions hereof.

 

6.                  
Amendments and Waivers. Except as otherwise provided herein, any provision of this Agreement may be amended
or the observance thereof may be waived (either generally or in a particular instance and either retroactively or prospectively)
only with the unanimous written consent of (a) the Company, and (b) each of the Voting Parties.

 

7.                  
Stock Splits, Stock Dividends, etc. In the event of any stock split, stock dividend, recapitalization,
reorganization or the like, any securities issued with respect to Voting Shares held by Voting Parties shall become Voting Shares
for purposes of this Agreement.

 

8.                  
Severability. In the event that any provision of the Agreement shall be invalid, illegal or unenforceable,
the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby.

 

9.                  
Governing Law. This Agreement and the legal relations between the parties arising hereunder shall be governed
by and interpreted in accordance with the laws of the State of New York without reference to its conflicts of laws provisions,
except that all matters relating to the fiduciary duties of the Company’s Post-Closing Board of Directors shall be subject
to the laws of Delaware.

 

10.              
Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed
an original and all of which together shall constitute one instrument.

 

11.              
Successors and Assigns. Except as otherwise expressly provided in this Agreement, the provisions hereof
shall inure to the benefit of, and be binding upon, the successors and assigns of the parties hereto.

 

12.              
Entire Agreement. This Agreement constitutes the full and entire understanding and agreement among the
parties, and supersedes any prior agreement or understanding among the parties, with regard to the subjects hereof and thereof,
and no party shall be liable or bound to any other party in any manner by any warranties, representations or covenants except as
specifically set forth herein or therein.

 

[Remainder of page intentionally left blank;
signature page follows]

 

    	 	2	 

     

    

 

This Voting Agreement
is hereby executed effective as of the date first set forth above.

 

	 	Playboy Group, Inc.
	 	a Delaware corporation
	 	 
	 	 
	 	By: 	
	 	 	Name:
Title:

 

 

	 	VOTING PARTIES:
	 	 
	 	RT-Icon Holding LLC
	 	By: RTM-Icon, LLC, its Manager
	 	 
	 	 
	 	By: 	
	 	 	Name:
Title:

 

	 	DRAWBRIDGE SPECIAL OPPORTUNITIES FUND LP,
	 	 
	 	By: Drawbridge Special Opportunities GP LLC, its general partner
	 	 
	 	 
	 	By: 	 
	 	 	Name:

Title:

 

 

 

    	 	3

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