THRY 8-K
Thryv Holdings, Inc. (THRY)
8-K
2023-06-23
For: 2023-06-22
View Original
Added on
April 07, 2026
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported): June 22, 2023
(Exact name of registrant as specified in its charter)
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(State or other jurisdiction of incorporation or organization)
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(Commission file number)
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(I.R.S. Employer Identification No.)
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(Address of Principal Executive Offices, including Zip Code)
(972 ) 453-7000
(Registrant's telephone number, including area code)
Not applicable
(Former name, former address and former fiscal year, if changed since last report)
Check the appropriate box below if Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant
under any of the following provisions:
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
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Soliciting material pursuant to Rule 14a - 12 under the Exchange Act (17 CFR 240.14a-12)
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17CFR 240.14d-2(b))
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
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Securities registered pursuant to Section 12(b) of the Act:
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Title of each class
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Trading Symbol(s)
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Name of each exchange on which registered
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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933
(§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company indicate by check mark if the registrant has elected not to use the extended transition period for
complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
| Item 1.01 |
Entry into a Material Definitive Agreement.
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On June 22, 2023, Thryv Holdings, Inc. (the “Company”) entered into a Settlement Agreement (the “Agreement”) with Yosemite Sellers
Representative LLC (“Representative”) regarding the settlement of certain tax indemnity obligations under that certain Acquisition Agreement, dated as of June 30, 2017, by and among the Company, Cerberus YP Digital Blocker LLC, Cerberus YP Blocker
LLC, YP Holdings LLC, Print Media Holdings LLC, YP Intermediate Holdings Corp., Cerberus YP Investor LLC, the other sellers party thereto and the Representative (the “Acquisition Agreement”).
Pursuant to the Acquisition Agreement, the Company purchased certain equity securities set forth therein and the Sellers (as defined
in the Acquisition Agreement, the “Sellers”) agreed to pay and indemnify the Company for certain pre-closing tax liabilities of the acquired companies.
Pursuant to the Agreement, the Company and the Representative agreed (i) that the Sellers would pay and indemnify the Company for
$15,760,190 of indemnified taxes (the “Indemnity Amount”) pursuant to Section 10.08(a) of the Acquisition Agreement and (ii) that the Indemnity Amount would be deemed satisfied by the transfer of 613,954 outstanding shares of the Company’s common
stock from the Sellers back to the Company, which will be cancelled and reduce the number of outstanding shares of the Company’s common stock. Furthermore, the Sellers would be entitled to retain 1,190,761 currently outstanding shares of the
Company’s common stock that previously secured the Seller’s tax indemnity obligations under the Acquisition Agreement. The Company consummated the transactions under the Agreement on June 22, 2023.
The foregoing description of the Agreement is qualified in its entirety by reference to the text of the Agreement attached hereto as
Exhibit 10.1.
| Item 9.01 |
Financial Statements and Exhibits.
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(d)
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Exhibits
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Settlement Agreement, dated as of June 22, 2023, by and between Thryv Holdings, Inc. and Yosemite Sellers Representative LLC.
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104
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Cover Page Interactive Data File (embedded within the Inline XBRL document).
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2
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
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Date: June 23, 2023
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THRYV HOLDINGS, INC.
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By:
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/s/ Paul D. Rouse
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Name:
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Paul D. Rouse
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Title:
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Chief Financial Officer, Executive Vice President and Treasurer
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3
Exhibit 10.1
SETTLEMENT AGREEMENT
This SETTLEMENT AGREEMENT, dated as of June 22, 2023 (as
amended, supplemented or otherwise modified from time to time, this “Agreement”), is entered into by and between Thryv Holdings, Inc., formerly
known as Dex Media Holdings, Inc., a Delaware corporation (the “Purchaser”), and Yosemite Sellers Representative LLC, a Delaware limited liability
company (the “Sellers’ Representative”), solely in its capacity as the Sellers’ Representative under the Acquisition Agreement (as defined below).
WHEREAS, the Purchaser, Cerberus YP Digital Blocker LLC, Cerberus YP Blocker LLC, YP Holdings LLC, Print Media Holdings LLC, YP Intermediate
Holdings Corp., Cerberus YP Investor LLC, the other sellers party thereto and the Sellers’ Representative are parties to that certain Acquisition Agreement, dated as of June 30, 2017 (as amended, supplemented or otherwise modified from time to
time, the “Acquisition Agreement”; capitalized terms used but not defined herein shall have the meaning ascribed to such terms in the Acquisition
Agreement);
WHEREAS, pursuant to the Acquisition Agreement, the Sellers sold and transferred to the Purchaser certain equity securities as more fully set
forth in the Acquisition Agreement;
WHEREAS, pursuant to Section 10.08 of the Acquisition Agreement, the Sellers have agreed to indemnify and hold harmless the Purchaser in
respect of certain Indemnified Taxes, with the Closing Issued Shares being the Purchaser’s sole and exclusive source of recovery;
WHEREAS, pursuant to the Acquisition Agreement, the Sellers’ Representative has full power and authority on behalf of the Sellers to, among
other matters: negotiate and enter into settlements with respect to payments contemplated by the Acquisition Agreement; negotiate disputes arising under, or relating to, the Acquisition Agreement; and take all other actions to be taken by the
Sellers in connection with the Acquisition Agreement; in each case in accordance with the terms of the Acquisition Agreement; and
NOW, THEREFORE, in consideration of the premises and the mutual agreements and covenants hereinafter set forth and set forth in the
Acquisition Agreement, and intending to be legally bound, the Purchaser and the Sellers’ Representative (on behalf of the Sellers) agree as follows:
Section 1.1 Settlement of Tax Indemnity. The Parties hereby agree
that:
(a) the
Sellers agree to pay and indemnify the Purchaser, pursuant to Section 10.08(a) of the Acquisition Agreement, for Indemnified Taxes in an aggregate amount equal to $15,760,190 (the “Indemnified Tax Amount”);
(b) the
Indemnified Tax Amount shall be deemed paid pursuant to the transfer of the Closing Issued Shares from the Sellers to the Purchaser, as contemplated hereby, as the Purchaser’s sole and exclusive source of recovery with respect to any and all
Indemnified Taxes payable hereunder, and the Sellers’ Representative hereby waives any and all options to satisfy any indemnification obligation with respect to Indemnified Taxes in cash;
(c) the
Closing Issued Share Payment shall be equal to (i) the Indemnified Tax Amount divided by (ii) the Closing Issued Share Valuation;
(d) notwithstanding
anything to the contrary in the Acquisition Agreement, the Fair Market Value of the Closing Issued Shares shall be the closing price of the Purchaser’s common stock on the Nasdaq Stock Market on June 20, 2023, which amount shall be the final
and binding Closing Issued Share Valuation for purposes hereof and the Acquisition Agreement, and the Purchaser and the Sellers’ Representative (on behalf of the Sellers) hereby waive any and all rights to object to such Fair Market Value as an
accurate valuation that may be provided in the Acquisition Agreement;
(e) as
promptly as practicable, and in any event within two (2) Business Days of the date hereof, the Sellers’ Representative and the Purchaser shall initiate the transfer, assignment and delivery to the Purchaser of 613,954 Closing Issued Shares
(using this Agreement and such other documents as are appropriate as the instruction to Computershare Trust Company, N.A. (“Computershare”) to
effect such transfer) in full satisfaction of the Closing Issued Share Payment, and shall take all such actions as may be reasonably requested to register such transfer with Computershare and to remove any restrictions on Transfers of the
remaining Closing Issued Shares not transferred to the Purchaser under the Acquisition Agreement or any other agreement; and
(f) the
Purchaser agrees the Release Date under the Acquisition Agreement will occur immediately following the transfer of shares contemplated by clause (e) above, and that thereafter the Sellers’ Representative will be free to Transfer any of the
Closing Issued Shares remaining after making the Closing Issued Share Payment.
Section 1.2 Tax Refunds. The Parties hereby agree that there remain approximately $3 million of tax refunds, credits or similar offsets against Taxes of
the Acquired Entities relating to the receipt of additional research and development credits under Section 41 of the Code or under California income Tax law with respect to Pre-Closing Tax Periods (collectively, the “R&D Credits”). The Purchaser agrees to adhere to its obligations under the Acquisition Agreement, including those set forth in Section 10.08(e), with respect to
the R&D Credits.
Section 1.3 Releases.
(a) Effective
as of the completion of the Transfer contemplated by Section 1.1(e) above (the “Indemnity Release Date”), the Purchaser, on behalf of itself and each of the Purchaser Releasing Parties, releases, acquits and forever discharges each of the Seller Released Parties (including, for the avoidance of doubt, the
Sellers’ Representative) of and from any and all Liabilities or obligations under Section 10.08(a) of the Acquisition Agreement (the “Tax Indemnity
Released Matters”); provided, that the foregoing shall exclude any Losses suffered as a result of fraud or any criminal activity by any such Seller Released Party or any claim or rights to enforce the provisions of this Agreement or
the Acquisition Agreement. Effective as of the Indemnity Release Date, the Purchaser, for itself and on behalf of all of the Purchaser Releasing Parties, further agrees never to commence or participate as a party in any Action based upon the
Tax Indemnity Released Matters. Each Purchaser Releasing Party acknowledges that this release shall apply to all unknown or unanticipated results of any Action of any Seller Released Party, as well as those known and anticipated. The Purchaser
and each Purchaser Releasing Party has each consulted with independent legal counsel prior to making the release in this Section 1.3 and provides the release in this Section 1.3 voluntarily and with the intention of fully and finally extinguishing all Tax Indemnity Released Matters.
(b) Effective
as of the Indemnity Release Date, the Sellers’ Representatives, on behalf of each Seller and each of the Seller Releasing Parties, releases, acquits and forever discharges each of the Purchaser Released Parties of and from any and all of the
Tax Indemnity Released Matters; provided, that the foregoing shall exclude any Losses suffered as a result of fraud or any criminal activity by any such Purchaser Released Party or any claim or rights to enforce the provisions of this Agreement
or the Acquisition Agreement. Effective as of the Indemnity Release Date, the Sellers’ Representative, on behalf of each Seller and all of the Seller Releasing Parties, further agrees never to commence or participate as a party in any Action
based upon the Tax Indemnity Released Matters. Each Seller Releasing Party acknowledges that this release shall apply to all unknown or unanticipated results of any Action of any Purchaser Released Party, as well as those known and anticipated.
The Sellers and each Seller Releasing Party has each consulted with independent legal counsel prior to making the release in this Section 1.3 and provides the release in
this Section 1.3 voluntarily and with the intention of fully and finally extinguishing all Tax Indemnity Released Matters.
(c) The
releases contained in this Section 1.3 shall also be deemed to be covenants not to sue.
Section 1.4 Further Assurances. Each of the Parties shall, and the
Sellers’ Representative shall cause the Sellers to, execute such documents and perform such further acts as may be reasonably required to carry out the provisions hereof and the actions contemplated hereby.
Section 1.5 Miscellaneous. The provisions of Sections 11.01-11.13 of the Acquisition Agreement shall apply to this Agreement mutatis mutandis, and to the Acquisition Agreement as modified by this Agreement, taken together as a single agreement, reflecting the terms as modified hereby.
(Remainder of page intentionally left blank)
IN WITNESS WHEREOF,
the Purchaser and the Sellers’ Representative have caused this Agreement to be executed by a duly authorized officer as of the date first above written.
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PURCHASER:
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THRYV HOLDINGS, INC.
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By:
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/s/ KJ Christopher
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Name: KJ Christopher
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Title: VP Accounting & Corporate Development
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SELLERS’ REPRESENTATIVE:
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YOSEMITE SELLERS’ REPRESENTATIVE LLC
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By:
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/s/ Mike Sanford
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Name: Mike Sanford
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Title: President & Authorized Signatory
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[Signature Page to Settlement Agreement]