Document:

Exhibit 10.10

 

INNOVAGE
HOLDING CORP. 

Restricted Stock Unit Notice

(2021 omnibus INCENTIVE PLAN)

 

InnovAge Holding Corp. (the “Company”),
pursuant to its 2021 Omnibus Incentive Plan (the “Plan”), hereby grants to Participant an Award of Restricted
Stock Units for the number of shares of Stock set forth below (the “Award”). The Award is subject to
all of the terms and conditions as set forth in this Restricted Stock Unit Notice (this “Grant Notice”)
and in the RSU Agreement (attached hereto as Attachment I) and the Plan, both of which are incorporated herein in their entirety.
Capitalized terms not otherwise defined herein but defined in the Plan or the RSU Agreement will have the same meaning as in the
Plan or the RSU Agreement. If there is any conflict between the terms in this Grant Notice
and the Plan, the terms of the Plan will control.

 

	Name of Participant:	 
	Date of Grant:	 
	Vesting Commencement Date:	 
	[Performance Period:]	 
	Number of Shares of Stock Subject to the Award:	                                                                         

 

	Vesting Schedule:	[Time or performance vesting criteria to be inserted].
	 	 
	Issuance Schedule:	Subject to any adjustment as provided in Section 10(a) of the Plan, one share of Stock will be issued for each Restricted Stock
Unit that vests, with the time of issuance set forth in Section ‎6 of the RSU Agreement.

 

Additional Terms/Acknowledgements:
Participant acknowledges receipt of, and understands and agrees to, this Grant Notice, the
RSU Agreement and the Plan. Participant acknowledges and agrees that this Grant Notice and the RSU Agreement may not be modified,
amended or revised except as provided in the Plan. Participant further acknowledges that, as of the Date of Grant, this Grant Notice,
the RSU Agreement and the Plan set forth the entire agreement and understanding between Participant and the Company regarding the
acquisition of Stock pursuant to the Award specified above and supersede all prior oral and written agreements, promises and/or
representations on that subject, with the exception of (i) Awards previously granted and delivered to the Participant, and
(ii)  any compensation recovery policy that is adopted by the Company or is otherwise required by applicable law. By accepting
this Award, Participant consents to receive such documents by electronic delivery and to participate in the Plan through an on-line
or electronic system established and maintained by the Company or another third party designated by the Company.

 

     

     

    

 

	Innovage
Holding Corp.	 	Participant:
	 	 	 
	By:	 	 
	 	 	 
	Signature	 	Signature
	 	 	 
	Title:	 	Date:	             
	 	 	 
	 	 	 
	Date:	 	 
	 	 	 

 

 

Attachments:
RSU Agreement

 

    - 2 -

     

    

  

Attachment
I

INNOVAGE HOLDING CORP.

2021 omnibus INCENTIVE PLAN

 

RSU
Agreement

 

Pursuant to the Restricted
Stock Unit Grant Notice (the “Grant Notice”) and this RSU Agreement (this “Agreement”),
InnovAge Holding Corp. (the “Company”) has granted you an Award of Restricted Stock Units under its 2021
Omnibus Incentive Plan (the “Plan”), with respect to the number of shares of Stock indicated in the Grant
Notice. Capitalized terms not explicitly defined in this Agreement or in the Grant Notice but defined in the Plan will have the
same meaning as in the Plan.

 

If
there is any conflict between the terms in this Agreement and the Plan, the terms of the Plan will control. The details
of your Award of Restricted Stock Units (this or your “Award”), in addition to those set forth in the
Grant Notice and the Plan, are as follows:

 

1.                  
Grant of the Award. This Award represents the right to be issued
on a future date one (1) share of Stock for each Restricted Stock Unit that vests on the applicable vesting date(s) (subject to
any adjustment under Section ‎3 below) as indicated in the Grant Notice. As of the Date of Grant, the Company will
credit to a bookkeeping account maintained by or on behalf of the Company for your benefit (the “Account”)
the number of shares of Stock subject to the Award. This Award was granted in consideration of your services to the Company.

 

2.                  
Vesting. Subject to the limitations contained herein, your Award
will vest as provided in your Grant Notice. Vesting will cease upon your Termination. Upon your Termination, the Restricted Stock
Units credited to the Account that were not vested on the date of such Termination will be forfeited at no cost to the Company,
and you will have no further right, title or interest in or to such underlying shares of Stock.

 

3.                  
Number of Shares. The number of shares of Stock subject to your
Award may be adjusted from time to time for capitalization adjustments, as provided in the Plan. Any additional Restricted Stock
Units, shares, cash or other property that becomes subject to the Award pursuant to this Section ‎3, if any, shall
be subject, in a manner determined by the Committee, to the same forfeiture restrictions, restrictions on transferability and time
and manner of delivery as applicable to the other Restricted Stock Units covered by your Award. Notwithstanding the provisions
of this Section ‎3, no fractional shares or rights for fractional shares of Stock shall be created pursuant to this
Section ‎3. Any fraction of a share will be rounded down to the nearest whole share.

 

4.                   Securities
Law Compliance. You may not be issued any shares of Stock under your Award unless the shares of Stock underlying
the Restricted Stock Units are then registered under the Securities Act or, if not registered, the Company has determined
that such issuance of the shares would be exempt from the registration requirements of the Securities Act. The issuance of
shares of Stock must also comply with all other applicable laws and regulations governing the Award and the Company’s
policies, and you shall not receive such Stock if the Company determines that such receipt would not be in material
compliance with such laws, regulations or Company policies, if applicable.

 

     

     

    

 

5.                  
Transfer Restrictions. Prior to the time that shares of Stock have
been delivered to you, you may not transfer, pledge, sell or otherwise dispose of this Award or the shares issuable in respect
of your Award, except that, upon receiving written permission from the Committee or its duly authorized designee, you may, by delivering
written notice to the Company, in a form approved by the Company, designate a third party who, on your death, will thereafter be
entitled to receive the shares issuable in respect of your Award, and in the absence of such a designation, your executor or administrator
of your estate will be entitled to receive any Stock or other consideration that vested but was not issued before your death. For
example, you may not use shares that may be issued in respect of your Restricted Stock Units as security for a loan. The restrictions
on transfer set forth herein will lapse upon delivery to you of shares in respect of your vested Restricted Stock Units.

 

6.                  
Date of Issuance.

 

a.                  
The issuance of shares in respect of the Restricted Stock Units is intended to comply with Treasury Regulation Section
1.409A-1(b)(4) and will be construed and administered in such a manner. The Company shall issue to you one (1) share of Stock for
each Restricted Stock Unit that vests, if any, as soon as practicable following the applicable vesting date(s) (subject to any
adjustment under Section ‎3
above) and in any event within thirty (30) days following the vesting date.

 

b.                  
The form of delivery (e.g., a stock certificate or electronic entry evidencing such shares) shall be determined
by the Company.

 

7.                  
Dividends. You shall receive no benefit or adjustment to your Award
with respect to any cash dividend, stock dividend or other distribution that does not result from the adjustment provided in Section
10(a) of the Plan.

 

8.                  
Restrictive Legends. The shares of Stock issued under your Award
shall be endorsed with appropriate legends, if applicable, as determined by the Company.

 

9.                  
Award Not a Service Contract. This Agreement is not an employment
or service contract, and nothing in this Agreement will be deemed to create in any way whatsoever any obligation on your part to
continue in the employ or service of the Company or an Affiliate, or of the Company or an Affiliate to continue your employment
or service.

 

     

     

    

 

10.               
Withholding Obligations.

 

a.                   On
or before the time you receive a distribution of the shares of Stock underlying your Award, and at any other time as
reasonably requested by the Company in accordance with applicable tax laws, you hereby authorize any required withholding
from the shares of Stock issuable to you and/or otherwise agree to make adequate provision in cash for any sums required to
satisfy the federal, state, local and foreign tax withholding obligations of the Company or any Affiliate that arise in
connection with your Award (the “Withholding Taxes”). Additionally, the Company or any Affiliate
may, in its sole discretion, satisfy all or any portion of the Withholding Taxes obligation relating to your Award by any of
the following means or by a combination of such means: (i) withholding from any compensation otherwise payable to you by
the Company; (ii) causing you to tender a cash payment; (iii) permitting or requiring you to enter into a
 “same day sale” commitment, whereby Withholding Taxes may be satisfied with a portion of the shares of Stock to
be delivered in connection with your Restricted Stock Units by delivery of an irrevocable direction to a securities broker
(on a form prescribed by the Committee) to sell a portion of the shares of Stock and to deliver all or part of the sale
proceeds to the Company and/or its Affiliates in payment of the amount necessary to satisfy the Withholding Taxes obligation;
(iv) withholding shares of Stock from the shares of Stock issued or otherwise issuable to you in connection with the Award
with an aggregate Fair Market Value (measured as of the date shares of Stock are issued to pursuant to Section ‎6)
equal to the amount of such Withholding Taxes; provided, that to the extent necessary to qualify for an exemption from
application of Section 16(b) of the Exchange Act, if applicable, such share withholding procedure will be subject to the
express prior approval of the Committee; or (v) such other arrangements as are satisfactory to the Committee.

 

b.                  
Unless the tax withholding obligations of the Company and/or any Affiliate are satisfied, the Company shall have no
obligation to deliver to you any shares of Stock.

 

c.                   
In the event the Company’s obligation to withhold arises prior to the delivery to you of shares of Stock or it
is determined after the delivery of shares of Stock to you that the amount of the Company’s withholding obligations was greater
than the amount withheld by the Company, you agree to indemnify and hold the Company harmless from any failure by the Company to
withhold the proper amount.

 

11.               
Tax Consequences. You hereby agree that the Company does not have
a duty to design or administer the Plan or its other compensation programs in a manner that minimizes your tax liabilities. You
will not make any claim against the Company, or any of its officers, directors, employees or Affiliates, related to tax liabilities
arising from your Award or your other compensation.

 

12.               
Notices. Any notices provided for in your Award or the Plan will
be given in writing (including electronically) and will be deemed effectively given upon receipt or, in the case of notices delivered
by mail by the Company to you, five (5) days after deposit in the United States mail, postage prepaid, addressed to you at the
last address you provided to the Company. The Company may, in its sole discretion, decide to deliver any documents related to participation
in the Plan and this Award by electronic means or to request your consent to participate in the Plan by electronic means. By accepting
this Award, you consent to receive such documents by electronic delivery and to participate in the Plan through an on-line or electronic
system established and maintained by the Company or another third party designated by the Company.

 

13.               
Unsecured Obligation. Your Award is unfunded, and as a holder of
a vested Award, you shall be considered a general, unsecured creditor of the Company with respect to the Company’s obligation,
if any, to issue shares or other property pursuant to this Agreement.

 

     

     

    

 

14.                Governing
Plan Document. Your Award is subject to all the provisions of the Plan, the provisions of which are hereby made a
part of your Award, and is further subject to all interpretations, amendments, rules and regulations which may from time to
time be promulgated and adopted pursuant to the Plan. If there is any conflict between the provisions of your Award and those
of the Plan, the provisions of the Plan will control. This Agreement shall be
governed by and construed in accordance with the laws of the State of delaware. Any dispute, controversy or claim between YOU
and the Company arising out of or related to this Agreement shall be resolved by arbitration in accordance with THE
PROVISIONS RELATING TO ARBITRATION SET FORTH IN THe PLAN.

 

15.               
Clawback/Recoupment Policy.
 Your Award (and any compensation paid or shares issued under your Award) is subject to recoupment in accordance with
The Dodd-Frank Wall Street Reform and Consumer Protection Act and any implementing regulations thereunder, any other clawback policy
adopted by the Company and any compensation recovery policy otherwise required by applicable law.

 

16.               
Other Documents. You hereby acknowledge receipt of and the right
to receive a document providing the information required by Rule 428(b)(1) promulgated under the Securities Act, which includes
the Plan prospectus.

 

17.               
Effect on Other Employee Benefit Plans. The value of this Award
will not be included as compensation, earnings, salaries or other similar terms used when calculating your benefits under any employee
benefit plan sponsored by the Company or any Affiliate, except as such plan otherwise expressly provides. The Company expressly
reserves its rights to amend, modify or terminate any of the Company’s or any Affiliate’s employee benefit plans.

 

18.               
Voting Rights. You will not have voting or any other rights as
a stockholder of the Company with respect to the shares of Stock to be issued pursuant to this Award until such shares are issued
to you. Upon such issuance, you will obtain full voting and other rights as a stockholder of the Company. Nothing contained in
this Award, and no action taken pursuant to its provisions, will create or be construed to create a trust of any kind or a fiduciary
relationship between you and the Company or any other person.

 

19.               
Severability. If all or any part of this Agreement or the Plan
is declared by any court or governmental authority to be unlawful or invalid, such unlawfulness or invalidity will not invalidate
any portion of this Agreement or the Plan not declared to be unlawful or invalid. Any Section of this Agreement (or part of such
a Section) so declared to be unlawful or invalid shall, if possible, be construed in a manner which will give effect to the terms
of such Section or part of a Section to the fullest extent possible while remaining lawful and valid.

 

20.               
Data Privacy. You explicitly and unambiguously consent to the collection,
use and transfer, in electronic or other form, of personal data as described in Section 20(g) of the Plan (such Section 20(g)
of the Plan is incorporated herein by reference and made a part hereof) by and among, as applicable, the Company, its Affiliates,
third-party administrator(s) and other possible recipients for the exclusive purpose of implementing, administering and managing
the Plan and Awards and your participation in the Plan. You acknowledge, understand and agree that Data may be transferred to third
parties, which will assist the Company with the implementation, administration and management of the Plan.

 

     

     

    

 

21.               
 Miscellaneous.

 

a.                  
The rights and obligations of the Company under your Award will be transferable to any one or more persons or entities,
and all covenants and agreements hereunder will inure to the benefit of, and be enforceable by, the Company’s successors
and assigns.

 

b.                  
You agree upon request to execute any further documents or instruments necessary or desirable in the sole determination
of the Company to carry out the purposes or intent of your Award.

 

c.                   
You acknowledge and agree that you have reviewed your Award in its entirety, have had an opportunity to obtain the advice
of counsel prior to executing and accepting your Award and fully understand all provisions of your Award.

 

d.                  
This Agreement will be subject to all applicable laws, rules and regulations, and to such approvals by any governmental
agencies or national securities exchanges as may be required.

 

e.                   
All obligations of the Company under the Plan and this Agreement will be binding on any successor to the Company, whether
the existence of such successor is the result of a direct or indirect purchase, merger, consolidation or other acquisition of all
or substantially all of the business and/or assets of the Company.

 

*        *        *

 

This RSU Agreement
will be deemed to be signed by you upon the signing by you of the Restricted Stock Unit Grant Notice to which it is attached.Document

Exhibit 4.2

FIRST BUSINESS FINANCIAL SERVICES, INC.
Description of Securities Registered Pursuant to 
Section 12 of the Securities Exchange Act of 1934
General
As of December 31, 2020, First Business Financial Services, Inc. (“First Business,” “we,” “our,” “us”) has one class of securities registered under Section 12 of the Securities Exchange Act of 1934, as amended: common stock, $0.01 par value.  The following is a summary of the material terms and rights of our common stock and the provisions of our Amended and Restated Articles of Incorporation (the “Articles”) and our Amended and Restated Bylaws (the “Bylaws”), each of which is incorporated by reference as an exhibit to our Annual Report on Form 10-K for the year ended December 31, 2020, of which this exhibit is a part. The summary is not complete and you should refer to the applicable provisions of our Articles and Bylaws. As of December 31, 2020, we had 9,234,460 shares of common stock issued and 8,566,960 shares of common stock outstanding. Additionally, we have reserved 148,757 shares of our common stock for future issuance under our equity incentive plan.
Our Articles also authorize us to issue up to 2,500,000 shares of preferred stock, $0.01 par value.  As of December 31, 2020, we have not issued any shares of preferred stock. 
Listing
Our common stock is listed for trading on the NASDAQ Global Select Market under the symbol “FBIZ.”
Voting Rights
Each outstanding share of our common stock is entitled to one vote on all matters submitted to a vote of shareholders. There is no cumulative voting in the election of directors, which means that a plurality of the shares voted shall elect all of the directors then standing for election at a meeting of shareholders at which a quorum is present. Our board of directors is divided into three classes of directors, each serving a staggered three-year term. At each annual meeting, the successors to the class of directors whose terms expire at that meeting are elected for a term of office to expire at the third succeeding annual meeting after their election and until their successors have been duly elected and qualified.
Liquidation Rights
Upon our liquidation, dissolution or winding up, the holders of our common stock are entitled to receive, pro rata, our assets which are legally available for distribution, after payment of all debts and other liabilities and subject to the prior rights of any holders of preferred stock then outstanding.
Dividends Payable on Shares of Common Stock
In general, the holders of outstanding shares of our common stock are entitled to receive dividends out of assets legally available therefor at such times and in such amounts as our board of directors may from time to time determine. The ability of our board of directors to declare and pay dividends on our common stock may be affected by both general corporate law considerations and policies of the Board of Governors of the Federal Reserve System, which we refer to herein as the Federal 
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Reserve, applicable to bank holding companies. As a Wisconsin corporation, we are subject to the limitations of Wisconsin law, which allows us to pay a dividend unless, after such dividend, we would not be able to pay our debts as they become due in the usual course of business or our total assets would be less than the sum of our total liabilities plus any amount that would be needed if we were to be dissolved at the time of the dividend payment to satisfy the preferential rights upon dissolution of shareholders whose preferential rights are superior to those receiving the dividend. As a bank holding company, our ability to declare and pay dividends is also subject to the guidelines of the Federal Reserve regarding capital adequacy and dividends. The Federal Reserve guidelines generally require us to review the effects of the cash payment of dividends on our common stock and other Tier 1 capital instruments in light of our earnings, capital adequacy and financial condition. As a general matter, the Federal Reserve indicates that the board of directors of a bank holding company should eliminate, defer or significantly reduce the dividends if: (i) the company’s net income available to shareholders for the past four quarters, net of dividends previously paid during that period, is not sufficient to fully fund the dividends; (ii) the prospective rate of earnings retention is inconsistent with the company’s capital needs and overall current and prospective financial condition; or (iii) the company will not meet, or is in danger of not meeting, its minimum regulatory capital adequacy ratios. The Federal Reserve also possesses enforcement powers over bank holding companies and their nonbank subsidiaries to prevent or remedy actions that represent unsafe or unsound practices or violations of applicable statutes and regulations. Among these powers is the ability to proscribe the payment of dividends by banks and bank holding companies.
Most of our revenues available for the payment of dividends derive from amounts paid to us by First Business Bank (the “Bank”). There are various statutory limitations that limit the ability of the Bank to pay dividends to us. The Bank is a Wisconsin state-chartered bank and is subject to the laws and regulations of the Wisconsin Department of Financial Institutions and to the regulations of the Federal Deposit Insurance Corporation, which we refer to herein as the FDIC. If a bank’s primary banking regulator determines that the bank is engaged or is about to engage in an unsafe or unsound banking practice, the regulator may require, after notice and hearing, that the bank cease and desist from such practice. Depending on the financial condition of the bank, an unsafe or unsound practice could include the payment of dividends. In particular, the federal banking agencies have indicated that paying dividends that deplete a bank’s capital base to an inadequate level would be an unsafe and unsound banking practice.
Under Wisconsin banking law, the Bank generally may not pay dividends in excess of its undivided profits, and if dividends declared and paid in either of the two immediately preceding years exceeded net income for either of those two years respectively, the Bank may not declare or pay any dividend in the current year that exceeds year-to-date net income. Further, the payment of dividends by any financial institution is also affected by the requirement to maintain adequate capital pursuant to applicable capital adequacy guidelines and regulations, and a financial institution generally is prohibited from paying any dividends if, following payment thereof, the institution would be undercapitalized. Even notwithstanding the availability of funds for dividends, the FDIC may prohibit the payment of any dividends by an insured bank, such as the Bank, if the FDIC determines such payment would constitute an unsafe or unsound practice.
Additionally, as of December 31, 2020, we had outstanding approximately $10.0 million of junior subordinated notes issued to an unconsolidated statutory trust in connection with the issuance by the trust of preferred securities. The terms of the junior subordinated notes and the related trust preferred securities provide that we may defer interest on such instruments for up to 20 consecutive quarters. As of December 31, 2020, we were current on the interest payable pursuant to the junior subordinated notes and the related trust preferred securities. However, if we elect in the future to defer interest on such instruments, our 
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ability to pay dividends on our common stock also will be subject to the prior payment of all accrued but unpaid interest on the junior subordinated notes and the related trust preferred securities.
Furthermore, as of December 31, 2020, we had outstanding approximately $23.7 million of subordinated notes. As of December 31, 2020, we were current on the interest payable pursuant to such subordinated notes. However, if we default on our obligation to pay interest on such instruments in the future, our ability to pay dividends on our common stock also will be subject to the prior payment of all accrued but unpaid interest on such subordinated notes.
Anti-Takeover Provisions
General. 
Our Articles and Bylaws may have the effect of discouraging, delaying or preventing a change in control or an unsolicited acquisition proposal that a shareholder might consider favorable, including a proposal that might result in the payment of a premium over the market price for the shares held by shareholders. These provisions are summarized in the following paragraphs.
Authorized Shares of Capital Stock. 
Authorized but unissued shares of our common stock and preferred stock under our Articles could (within the limits imposed by applicable law and the rules of The NASDAQ Stock Market LLC) be issued in one or more transactions that could make a change of control of us more difficult, and therefore more unlikely. The additional authorized shares could be used to discourage persons from attempting to gain control of us by diluting the voting power of shares then outstanding or increasing the voting power of persons who would support the board of directors in a potential takeover situation, including by preventing or delaying a proposed business combination that is opposed by the board of directors although perceived to be desirable by some shareholders.
Limitations on Right to Call Special Meetings; Stockholder Proposal Notice Requirements; Unanimous Consent without Meeting. 
Under our Bylaws, a special meeting of our shareholders may be called only by: (i) the Chairperson of the board of directors; (ii) the President; (iii) resolution adopted by a majority of the board of directors; or (iv) the holders of at least 10% of all the votes entitled to be cast on any issue proposed to be considered at the proposed special meeting who sign, date and deliver to First Business one or more written demands for the meeting describing one or more purposes for which it is to be held. Additionally, our Bylaws require that shareholder proposals meet certain advanced notice and minimum informational requirements. Further, under our Bylaws, shareholders may only take action without a meeting if such action receives the unanimous written consent of all shareholders entitled to vote thereon. These provisions could have the effect of delaying until the next annual shareholders meeting shareholder actions which are favored by the holders of a majority of our outstanding voting securities.
Classified Board of Directors; Noncumulative Voting for Directors. 
Our Bylaws provide that our board of directors is classified into three classes of directors, with the members of one class to be elected each year, which prevents a majority of our directors from being removed at a single annual meeting. Our shareholders are also not permitted to cumulate votes for directors, which may make it more difficult for a noncompany nominee to be elected to our board of directors.
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Director Removal; Filling of Board Vacancies. 
Our Bylaws specify that directors may be removed during their three-year terms only for one of the following reasons: (i) a willful failure to deal fairly with us or our shareholders in connection with a matter in which the director has a material conflict of interest; (ii) a violation of criminal law, unless the director had reasonable cause to believe that his or her conduct was lawful or no reasonable cause to believe that his or her conduct was unlawful; (iii) a transaction from which the director derived an improper personal profit; or (iv) willful misconduct. Further, our Bylaws provide that any vacancy occurring in the board of directors may be filled by a vote of a majority of the remaining directors, unless such vacancy was created by shareholder action. A person elected to fill a vacancy on the board of directors will serve for the unexpired term of the director whose seat became vacant. These provisions make it more difficult for shareholders to remove directors and/or fill vacancies.
State Anti-Takeover Laws. 
Provisions of the Wisconsin Business Corporation Law prevent “interested shareholders” and an applicable Wisconsin corporation from entering into a “business combination” unless certain conditions are met. A business combination means: (i) any merger or share exchange with an interested shareholder; (ii) any sale, lease, exchange, mortgage, pledge, transfer or other disposition, in one transaction or a series of transactions, with an interested shareholder having (a) an aggregate market value equal to 5% or more of the aggregate market value of the assets of the corporation, (b) an aggregate market value equal to 5% or more of the aggregate market value of all outstanding shares of the corporation, or (c) representing 10% or more of the earning power or income of the corporation; (iii) the issuance of stock with a market value equal to 5% or more of the outstanding stock of the corporation to an interested shareholder; (iv) the adoption of a plan or proposal for the liquidation or dissolution which is proposed by, on behalf of, or pursuant to a written or unwritten agreement, arrangement or understanding with, an interested shareholder; and (v) certain other transactions involving an interested shareholder.
An “interested shareholder” is defined to mean a person who beneficially owns, directly or indirectly, 10% or more of the voting power of the outstanding voting stock of a Wisconsin corporation or who is an affiliate or associate of the corporation and beneficially owned 10% or more of the voting power of its then-outstanding voting stock within the last three years. Under Wisconsin law, a corporation cannot engage in a business combination with an interested shareholder for a period of three years following the date such person becomes an interested shareholder, unless the board of directors approved the business combination or the acquisition of the stock that resulted in the person becoming an interested shareholder before such acquisition. A corporation may engage in a business combination with an interested shareholder after the three-year period with respect to that shareholder expires only if one or more of the following conditions is satisfied: (i) the board of directors approved the acquisition of the stock that resulted in the person becoming an interested shareholder before such acquisition; (ii) the business combination is approved by a majority of the outstanding voting stock not beneficially owned by the interested shareholder; or (iii) the consideration to be received by shareholders meets certain fair price requirements of the statute with respect to form and amount.
Other provisions of the Wisconsin Business Corporation Law prohibit an acquiror, under certain circumstances, from voting shares of a target corporation’s stock after crossing certain threshold ownership percentages, unless the acquiror obtains the approval of the target corporation’s shareholders. Once an acquiror obtains voting securities representing in excess of 20% of the outstanding voting power of the corporation, such shareholder’s voting power shall be limited to 10% of the voting power of those shares until disinterested shareholders restore the right.
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The Wisconsin Business Corporation Law also prohibits a Wisconsin corporation from taking certain actions while it is subject to a take-over offer, which is generally defined as an offer to acquire the equity securities of the corporation which would result in the acquiror beneficially owning more than 5% of the equity securities of the corporation. While subject to a take-over offer, a Wisconsin corporation may not take either of the following actions unless approved by a majority of its shareholders: (i) acquire more than 5% of its voting shares from a shareholder who holds more than 3% of the voting shares and has held those shares for less than two years at a price above market price, unless the corporation has made the same offer to all of its shareholders; or (ii) sell assets of the corporation which amount to at least 10% of the market value of the corporation.
Finally, Wisconsin law also provides that certain mergers, share exchanges or sales, leases, exchanges or other dispositions of assets in a transaction involving a significant shareholder and a Wisconsin corporation require a supermajority vote of shareholders in addition to any approval otherwise required, unless shareholders receive a fair price for their shares that satisfies a statutory formula. A “significant shareholder” for this purpose is defined as a person or group who beneficially owns, directly or indirectly, 10% or more of the voting stock of the corporation, or is an affiliate of the corporation and beneficially owned, directly or indirectly, 10% or more of the voting stock of the corporation within the last two years. Any such business combination must be approved by 80% of the voting power of the corporation’s stock and at least two-thirds of the voting power of its stock not beneficially owned by the significant shareholder who is party to the relevant transaction or any of its affiliates or associates, in each case voting together as a single group, unless the following fair price standards have been met:
•the aggregate value of the per share consideration is at least equal to the highest of:
o    the highest price paid for any common shares of the corporation by the significant shareholder in the transaction in which it became a significant shareholder or within two years before the date of the business combination;
o    the market value of the corporation’s shares on the date of commencement of any tender offer by the significant shareholder, the date on which the person became a significant shareholder or the date of the first public announcement of the proposed business combination, whichever is highest; or
o    the highest preferential liquidation or dissolution distribution to which holders of the shares would be entitled; and
•the consideration to be received by shareholders is either cash or the form of consideration used by the significant shareholder to acquire its shares, or, if it paid for its shares with varying forms of consideration, the form of consideration shall be either cash or the form used to acquire the largest number of the significant shareholder’s shares.
Miscellaneous
Our shares of common stock are neither redeemable nor convertible, and the holders thereof have no preemptive, subscription or other rights to purchase any of our securities.
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