SEC Contract Filing

Filing Date: 2023-06-06

Document Content:
<DOCUMENT>
<TYPE>EX-10.1
<SEQUENCE>2
<FILENAME>tm2317854d2_ex10-1.htm
<DESCRIPTION>EXHIBIT 10.1
<TEXT>
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<P STYLE="text-align: right; margin: 0"><B>Exhibit 10.1</B></P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif"><B>Lafayette
Square Loan Servicing, LLC</B></FONT></P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif"><B></B></FONT>PO Box 25250</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">PMB 13941</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center">Miami, Florida 33102-5250</P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: right">June 1, 2023</P>

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

<TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%">
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 <TD COLSPAN="2" STYLE="font: 10pt Times New Roman, Times, Serif">Lafayette Square USA, Inc.</TD></TR>
 <TR STYLE="vertical-align: bottom">
 <TD COLSPAN="2" STYLE="font: 10pt Times New Roman, Times, Serif">PO Box 25250</TD></TR>
 <TR STYLE="vertical-align: bottom">
 <TD COLSPAN="2" STYLE="font: 10pt Times New Roman, Times, Serif">PMB 13941</TD></TR>
 <TR STYLE="vertical-align: bottom">
 <TD COLSPAN="2" STYLE="font: 10pt Times New Roman, Times, Serif">Miami, Florida 33102-5250</TD></TR>
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 <TD COLSPAN="2" STYLE="font: 10pt Times New Roman, Times, Serif">Attention: Susan Golden</TD></TR>
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 <TD STYLE="font: 10pt Times New Roman, Times, Serif; width: 5%">Email:</TD>
 <TD STYLE="font: 10pt Times New Roman, Times, Serif; width: 95%">legal@lafayettesquare.com</TD></TR>
 <TR STYLE="vertical-align: bottom">
 <TD STYLE="font: 10pt Times New Roman, Times, Serif">&nbsp;</TD>
 <TD STYLE="font: 10pt Times New Roman, Times, Serif">lsloanops@lafayettesquare.com</TD></TR>
 </TABLE>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0 0pt 2.5in; text-indent: -2.5in">&nbsp;</P>

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<TD STYLE="width: 1in"></TD><TD STYLE="width: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif">Re:</FONT></TD><TD><B>Early Opt-in Election</B></TD></TR></TABLE>

<P STYLE="margin-top: 0pt; margin-bottom: 0pt; font: 10pt Times New Roman, Times, Serif">&nbsp;</P>

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">Ladies and Gentlemen:</P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif">Reference
hereby is made to that certain </FONT>Term Loan and Security Agreement, dated as of December 3, 2021 (as amended, restated, supplemented
or otherwise modified from time to time, the &ldquo;<U>Loan Agreement</U>&rdquo;), by and between <FONT STYLE="text-transform: uppercase">DIRECT
DIGITAL HOLDINGS, LLC</FONT>, a Texas limited liability company (&ldquo;<U>Borrower</U>&rdquo;), <FONT STYLE="text-transform: uppercase">DIRECT
DIGITAL HOLDINGS, INC.</FONT>, a Delaware corporation (&ldquo;<U>DDH Holdings</U>&rdquo;), <FONT STYLE="text-transform: uppercase">COLOSSUS
MEDIA, LLC, </FONT>a Delaware limited liability company (&ldquo;<U>Colossus</U>&rdquo;), <FONT STYLE="text-transform: uppercase">HUDDLED
MASSES, LLC</FONT>, a Delaware liability company (&ldquo;<U>HM</U>&rdquo;), ORANGE142, LLC, a Delaware limited liability company (&ldquo;<U>Orange</U>&rdquo;
and together with DDH Holdings, Colossus, HM, and Orange, the &ldquo;<U>Guarantors</U>&rdquo; and each individually a &ldquo;<U>Guarantor</U>&rdquo;
and together with Borrower, collectively the, &ldquo;<U>Loan Parties</U>&rdquo;, and each a &ldquo;<U>Loan Party</U>&rdquo;), the financial
institutions which are now or which hereafter become a party thereto (collectively, the &ldquo;<U>Lenders</U>&rdquo; and each individually,
a &ldquo;<U>Lender</U>&rdquo;) and <FONT STYLE="text-transform: uppercase">Lafayette Square Loan Servicing, LLC</FONT> (&ldquo;<U>Lafayette
Square</U>&rdquo;), as agent for Lenders (Lafayette Square, in such capacity, &ldquo;<U>Agent</U>&rdquo;). Capitalized terms used herein
but not specifically defined herein shall have the meanings ascribed to them in the Loan Agreement.</P>

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

<P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif">Pursuant
to Section 3.8 of the Loan Agreement, Agent and the Loan Parties have jointly elected to trigger a fallback from USD LIBOR to Term SOFR.
</FONT>So long as Agent has not received, by 5:00 p.m. (New York City time) on the fifth (5th) Business Day after notice thereof, written
notice of objection to such Early Opt-in Election from Lenders comprising the Required Lenders, effective May 31, 2023 (the &ldquo;<U>Replacement
Date</U>&rdquo;), Term SOFR will replace the LIBOR for all purposes under the Loan Agreement and the Other Documents in respect of such
Benchmark setting without any amendment to, or further action or consent of any other party to, the Loan Agreement or any Other Document.
On the Replacement Date, the Benchmark Replacement shall mean t