SEC Contract Filing

Filing Date: 2021-01-28

Document Content:
<DOCUMENT>
<TYPE>EX-10.3
<SEQUENCE>6
<FILENAME>tm214490d1_ex10-3.htm
<DESCRIPTION>EXHIBIT 10.3
<TEXT>
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<P STYLE="margin: 0">&nbsp;</P>

<P STYLE="text-align: right; margin: 0"><U>Exhibit 10.3</U></P>

<P STYLE="margin: 0">&nbsp;</P>

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<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">REGISTRATION
RIGHTS AGREEMENT</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">THIS REGISTRATION RIGHTS AGREEMENT (this
 &ldquo;<B><I>Agreement</I></B>&rdquo;), dated as of January 25, 2021, is made and entered into by and among DiamondHead Holdings
Corp., a Delaware corporation (the &ldquo;<B><I>Company</I></B>&rdquo;), DHP SPAC-II Sponsor LLC, a Delaware limited liability
company (the &ldquo;<B><I>Sponsor</I></B>&rdquo;), and the undersigned parties listed under Holder on the signature page hereto
(each such party, together with the Sponsor and any person or entity who hereafter becomes a party to this Agreement pursuant to
<U>Section 5.2</U> of this Agreement, a &ldquo;<B><I>Holder</I></B>&rdquo; and collectively the &ldquo;<B><I>Holders</I></B>&rdquo;).</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">RECITALS</P>

<P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-transform: uppercase; text-align: center">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"><B>WHEREAS</B>, the Company and the Sponsor
have entered into that certain Securities Subscription Agreement, dated as of October 21, 2020, pursuant to which the Sponsor purchased
an aggregate of 8,625,000 shares (the &ldquo;<B><I>Founder Shares</I></B>&rdquo;) of the Company&rsquo;s Class B common stock,
par value $0.0001 per share (the &ldquo;<B><I>Class B Common Stock</I></B>&rdquo;);</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"><B>WHEREAS</B>, the Founder Shares are convertible
into shares of the Company&rsquo;s Class A common stock, par value $0.0001 per share (the <B>&ldquo;<I>Common Stock</I></B>&rdquo;),
on the terms and conditions provided in the Company&rsquo;s certificate of incorporation;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"><B>WHEREAS</B>, on January 7, 2021 the Company,
the Sponsor and certain qualified institutional buyers or institutional accredited investors, including certain funds and accounts
managed by subsidiaries of BlackRock, Inc. and Millennium Management LLC, respectively (each an &ldquo;<B><I>Anchor Investor</I></B>&rdquo;
and collectively the &ldquo;<B><I>Anchor Investors</I></B>&rdquo;) entered into certain purchase agreements (the &ldquo;<B><I>Anchor
Investor Purchase Agreements</I></B>&rdquo;), pursuant to which the Anchor Investors agreed to purchase (i) an aggregate of 853,334
warrants (or up to 949,334 warrants if the underwriter&rsquo;s option to purchase additional units is exercised in full) in a private
placement transaction occurring simultaneously with the closing of the Company&rsquo;s initial public offering and (ii) up to 1,250,625
Founder Shares from the Sponsor upon consummation of the initial Business Combination (as defined below);</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"><B>WHEREAS</B>, on January 25, 2021, the
Company and the Sponsor entered into a Private Placement Warrants Purchase Agreement (the &ldquo;<B><I>Private Placement Warrants
Purchase Agreement</I></B>&rdquo;), pursuant to which the Sponsor agreed to purchase an aggregate of 4,479,999 warrants (or up
to 4,983,999 warrants if the underwriter&rsquo;s option to purchase additional units in connection with the Company&rsquo;s initial
public offering is exercised in full) (the &ldquo;<B><I>Private Placement Warrants</I></B>&rdquo;), in a private placement transaction
occurring simultaneously with the closing of the Company&rsquo;s initial public offering;</P>

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<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"><B>WHEREAS</B>, in order to finance the
Company&rsquo;s transaction costs in connection with its search for and consummation of an initial Business Combination, the Sponsor,
an affiliate of the Sponsor, certain of the Company&rsquo;s officers and directors or other third parties may loan to the Company
funds as the Company may require, of which up to $1,500,000 of such loans may be convertible into private placement equivalent
warrants (&ldquo;<B><I>Working Capital Warrants</I></B>&rdquo;) at a price of $1.50 per warrant at the option of the lender; and</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in"><B>WHEREAS</B>, the Company and the Holders
desire to enter into this Agreement, pursuant to which the Company shall grant the Holders certain registration rights with respect
to certain securities of the Company, as set forth in this Agreement.</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.