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EX-4.3 6 y80435exv4w3.htm EX-4.3 exv4w3
Exhibit 4.3
FIRST AMENDMENT TO THE FIFTH AMENDED AND RESTATED
STOCKHOLDER RIGHTS AGREEMENT
     This FIRST AMENDMENT TO THE FIFTH AMENDED AND RESTATED STOCKHOLDER RIGHTS AGREEMENT, dated as of September 18, 2009 (this “First Amendment”), among WATERFRONT MEDIA INC., a Delaware corporation (the “Company”), and the INVESTORS, KEY HOLDERS and OTHER HOLDERS, as defined in the Stockholder Rights Agreement referred to below. Capitalized terms not defined herein shall have the meanings set forth in the Stockholder Rights Agreement.
W I T N E S S E T H:
     WHEREAS, the parties have previously entered into that certain Fifth Amended and Restated Stockholder Rights Agreement (the “Stockholder Rights Agreement”) dated October 15, 2008, among WATERFRONT MEDIA INC., a Delaware corporation (the “Company”) and the INVESTORS, KEY HOLDERS and OTHER HOLDERS as defined therein;
     WHEREAS, the Company wishes to obtain secured loans from Square 1 Bank (the “Lender”) pursuant to a Loan and Security Agreement by and between the Company and the Lender dated as of September 18, 2009 (the “Loan Agreement”);
     WHEREAS, in connection with the Loan Agreement, the Company will grant to the Lender a warrant to purchase a certain number of Series F Preferred Stock (the “Warrant”);
     WHEREAS, the Warrant provides for the holder of the Warrant to be granted certain rights to register the shares of the Company’s Common Stock issued upon conversion of the Series F Preferred Stock, issued pursuant to the exercise of the Warrant; and
     WHEREAS, the parties hereto, constituting the holders of that number of shares of Preferred Stock of the Company exceeding the Requisite Threshold (as defined in the Stockholder Rights Agreement), desire to amend the Stockholder Rights Agreement as provided in this First Amendment.
     NOW THEREFORE, in consideration of the foregoing premises and the representations, warranties, covenants and agreements herein contained, the parties hereto, intending to be legally bound, agree as follows:

 


 

     1. Section 1.20 of the Stockholder Rights Agreement is hereby deleted in its entirety and is hereby replaced with the following:
The term “Registrable Securities” means (i) any Common Stock issued upon conversion of any Preferred Stock of the Company or issuable upon conversion of any Preferred Stock of the Company that is currently held or acquired after the date hereof, by the Investors or Other Holders (excluding the Warrant); (ii) any shares of Common Stock held by the Key Holders or BEV, provided, however, that such shares of Common Stock shall not be deemed Registrable Securities and the Key Holders or BEV shall not be deemed Holders for the purposes of Sections 2.1, 2.3, 2.4(a), 2.7, 2.11 and Section 6.6; (iii) any shares of Common Stock held by the Other Holders, provided, however, that such shares of Common Stock shall not be deemed Registrable Securities for the purposes of Sections 2.1, 2.3, 2.4(a), 2.7, 2.11 and Section 6.6; (iv) any shares of Common Stock held by Square 1 Bank issued or issuable upon conversion of the Series F Preferred Stock issued pursuant to the exercise of the Warrant (as defined herein), provided, however, that such shares of Common Stock shall not be deemed Registrable Securities and Square 1 Bank shall not be deemed a Holder for purposes of Sections 2.1, 2.4(a), 2.7, 2.11 and Section 6.6; and (v) any Common Stock issued as (or issuable upon the conversion or exercise of any warrant, right, or other security that is issued as) a dividend or other distribution with respect to, or in exchange for or in replacement of, the shares referenced in clauses (i), (ii) and (iii) above; excluding in all cases, however, any Registrable Securities sold by a Person in a transaction in which the rights under Section 2 hereof are not assigned or any shares for which registration rights have terminated pursuant to Section 2.15 of this Agreement.
     2. Section 1.40 is hereby added to the Stockholder Rights Agreement and shall be as follows:
The term “Warrant” means the warrant to purchase a certain number of Series F Preferred Stock issued to Square 1 Bank pursuant to the Loan and Security Agreement, by and between the Company, Square 1 Bank, Revolution Health Group LLC and CarePages, Inc., dated as of September 18, 2009.
     3. Upon its execution of a counterpart signature page to the Stockholder Rights Agreement, Square 1 Bank shall become a party to the Stockholder Rights Agreement.
     4. This First Amendment shall be governed by, and construed in accordance with, the law of the State of New York without reference to choice of law principles, including all matters of construction, validity and performance.
     5. This First Amendment constitutes an amendment to the Stockholder Rights Agreement pursuant to Section 6.6 of the Stockholder Rights Agreement. Except as expressly amended by this First Amendment, each and every provision of the Stockholder Rights Agreement remains in full force and effect in accordance with the

 


 

terms and provisions thereof and, by reference, the terms and provisions of the Stockholder Rights Agreement are incorporated herein and made hereof.
[Remainder of Page Intentionally Left Blank]

 


 

     IN WITNESS WHEREOF, the parties hereto have executed this First Amendment to the Fifth Amended and Restated Stockholder Rights Agreement as of the date first above written.
         
  COMPANY:

WATERFRONT MEDIA INC.
 
 
  By:   /s/ Alan Shapiro    
    Name:   Alan Shapiro   
    Title:   Senior Vice President and General Counsel   
 
  INVESTORS:

WF HOLDING COMPANY, LLC
 
 
  By:   /s/ John Richardson    
    Name:   John Richardson   
    Title:   Vice President and Secretary   
 

 


 

             
    SCALE VENTURE PARTNERS II, LP    
 
           
    By: Scale Venture Management II, LLC,
its General Partner
   
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:        

 


 

             
    INVESTORS:    
 
           
    NEOCARTA VENTURES, L.P.    
 
           
 
  By:   NeoCarta Associates, LLC,    
 
      its General Partner    
 
           
 
  By:   /s/ D. Jarrett Collins
 
Name: D. Jarrett Collins
   
 
      Title:   Managing Director    
 
           
    NEOCARTA SCOUT FUND, L.L.C.    
 
           
 
  By:   NeoCarta Associates, LLC,    
 
      its Manager    
 
           
 
  By:   /s/ D. Jarrett Collins
 
   
 
      Name: D. Jarrett Collins    
 
      Title:   Managing Director    

 


 

             
    INVESTORS:    
 
           
    RHO MANAGEMENT TRUST I    
 
           
 
  By:   RHO CAPITAL PARTNERS, INC.    
 
      INVESTMENT ADVISOR    
 
           
 
  By:   /s/ Jeffrey I. Martin
 
Name: Jeffrey I. Martin
   
 
      Title:   Attorney-In-Fact    
 
           
    RHO VENTURES VI, L.P.    
 
           
 
  By:   RMV VI, L.L.C., its General Partner    
 
  By:   Rho Capital Partners LLC, its Managing Member    
 
           
 
  By:   /s/ Jeffrey I. Martin
 
Name: Jeffrey I. Martin
   
 
      Title:   Attorney-In-Fact    

 


 

             
    INVESTORS:    
 
           
    SVM STAR VENTURES
MANAGEMENTGESELLSCHAFT mbH NR.3
   
 
           
 
  By:   /s/ Meir Barel
 
Name: Dr. Meir Barel
   
 
      Title:   Managing Director    
 
           
    SVM STAR VENTURES
  MANAGEMENTGESELLSCHAFT mbH NR.3
  & CO. BETEILIGUNGS KG NR.2
   
 
           
 
  By:   SVM STAR VENTURES    
 
      MANAGEMENTGESELLSCHAFT mbH NR.3 –
MANAGING PARTNER
   
 
           
 
  By:   /s/ Meir Barel
 
Name: Dr. Meir Barel
   
 
      Title:   Managing Director    
 
           
    SVE STAR VENTURES ENTERPRISES NO. VII, A
  GERMAN CIVIL LAW PARTNERSHIP (WITH
  LIMITATION OF LIABILITY)
   
 
           
 
  By:   SVM STAR VENTURES    
 
      MANAGEMENTGESELLSCHAFT mbH NR.3 –
MANAGING PARTNER
   
 
           
 
  By:   /s/ Meir Barel
 
Name: Dr. Meir Barel
   
 
      Title:   Managing Director    
 
           
    SVE STAR VENTURES ENTERPRISES GMBH & CO. NO. VIIa, KG    
 
           
 
  By:   SVM STAR VENTURES    
 
      MANAGEMENTGESELLSCHAFT mbH NR.3 –
MANAGING LIMITED PARTNER
   
 
           
 
  By:   /s/ Meir Barel
 
Name: Dr. Meir Barel
   
 
      Title:   Managing Director    

 


 

         
  INVESTORS:

TIME WARNER INC.
 
 
  By:      
    Name:      
    Title:      
 

 


 

             
    INVESTORS:    
 
           
    THE BERKSHIRES CAPITAL INVESTORS L.P.    
 
           
 
  By:   The Berkshires Management Company, LLC
its General Partner
   
 
           
 
  By:        
 
     
 
Name:
   
 
      Title:    
 
           
    THE BERKSHIRES CAPITAL INVESTORS
    FUND II L.P.
   
 
           
 
  By:   The Berkshires Management Company, LLC
its General Partner
   
 
           
 
  By:        
 
     
 
Name:
   
 
      Title:    

 


 

             
    INVESTORS:    
 
           
    PEABODY FAMILY VENTURES
By: William Bo S. Peabody, as General Partner
   
 
           
 
  By:        
 
     
 
Name:
   
 
      Title:    

 


 

             
    INVESTORS:    
 
           
    VILLAGE VENTURES PARTNERS FUND, L.P.    
 
           
 
  By:   VILLAGE VENTURES CAPITAL    
 
      PARTNERS I, LLC, its General Partner    
 
           
 
  By.   VILLAGE VENTURES, INC., its manager    
 
           
 
  By:   /s/ Steven H. Massicotte
 
Name: Steven H. Massicotte
   
 
      Title:   Chief Operating Officer    
 
           
    VILLAGE VENTURES PARTNERS FUND A, L.P.    
 
           
 
  By:   VILLAGE VENTURES CAPITAL
PARTNERS, I, LLC, its General Partner
   
 
           
 
  By:   VILLAGE VENTURES, INC., its manager    
 
           
 
  By:   /s/ Steven H. Massicotte
 
Name: Steven H. Massicotte
   
 
      Title:   Chief Operating Officer    

 


 

             
    INVESTORS:    
 
           
    BRAND EQUITY VENTURES II, L.P.    
 
           
    By: Brand Equity Partners II, L.L.C.
Its General Partner
   
 
           
 
  By:        
 
           
    Name: Marc Singer    
    Title:   Member    

 


 

             
    INVESTORS:    
 
           
    HERCULES TECHNOLOGY GROWTH CAPITAL, INC.    
 
           
 
  By:        
 
  Name:  
 
K. Nicholas Martitsch
   
 
  Title:   Associate General Counsel    

 


 

             
    INVESTORS & KEY HOLDERS:    
 
           
    DRUGSITE TRUST    
 
           
 
  By:        
 
  Name:  
 
   
 
  Title:        

 


 

             
    INVESTORS & KEY HOLDERS:    
 
           
    FOUNDATION CAPITAL V, L.P.    
 
           
 
  By:   Foundation Capital Management Co. V, LLC    
 
           
 
  By:   /s/ Charles Moldow    
 
  Name:  
 
Charles Moldow
   
 
  Title:   General Partner    
 
           
    FOUNDATION CAPITAL V PRINCIPALS FUND, LLC    
 
           
 
  By:   Foundation Capital Management Co. V, LLC    
 
           
 
  By:   /s/ Charles Moldow    
 
  Name:  
 
Charles Moldow
   
 
  Title:   General Partner    

 


 

         
 
  INVESTORS:    
 
       
 
 
 
Daniel Burstein
   

 


 

         
 
  KEY HOLDERS:    
 
       
 
 
 
Michael Keriakos
   
 
       
 
 
 
Benjamin Wolin
   

 


 

             
    OTHER HOLDERS:    
 
           
    BRAND EQUITY VENTURES II, L.P.    
 
           
    By: Brand Equity Partners II, L.L.C.    
    Its General Partner    
 
           
 
  By:        
 
  Name:  
 
Marc Singer
   
 
  Title:   Member    
 
           
         
    Douglas W. McCormick    
 
           
         
    Peter B. Rankin, Sr.    
 
           
         
    Louis D. Schwartz    
 
           
         
    Ronald A. Sege    
 
           
         
    Ethan R. Zuckerman    
 
           
         
    Kenneth M. Morris    

 


 

         
 
 
 
Jeffrey R. Johnson
   
 
       
 
 
 
Norman R. Nelson
   
 
       
 
 
 
John H. Ferguson
   
 
       
 
 
 
John Tiebout
   
 
       
 
 
 
David and Margaret Gould Stewart
   
 
       
 
 
 
David and Angela Epstein
   
 
       
 
 
 
Zachary Julius
   
 
       
 
 
 
Robert P. Chabot
   
 
       
 
 
 
Sherwood Guernsey
   
 
       
 
 
 
Bradley C. Svrluga
   
 
       
 
 
 
John Halpern
   

 


 

             
         
    Roger H. Lee    
 
           
         
    Les Levine    
 
           
         
    Mark Tauber    
 
           
         
    Robert Verrico    
 
           
         
    Jackie Verrico    
 
           
    SOFTWARE VENTURE PARTNERS    
 
           
 
  By:        
 
     
 
Name:
   
 
      Title:    
 
           
         
    Richard H. Sabot    
 
           
         
    Raymond Montgomery    
 
           
    ALLEN & COMPANY INCORPORATED    
 
           
 
  By:        
 
     
 
Name:
   
 
      Title:    

 


 

         
 
 
 
Francis P. Birmingham
   
 
       
 
 
 
Joshua Field
   
 
       
 
 
 
Tim Sedlock
   
 
       
 
 
 
David Parks
   
 
       
 
 
 
Robert Nylen
   
 
       
 
 
 
Ken Leung
   
 
       
 
 
 
Chris O’Brien
   
 
       
 
 
 
Ignacio Fanlo