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EX-4.4 7 y80435exv4w4.htm EX-4.4 exv4w4
Exhibit 4.4
SECOND AMENDMENT TO THE FIFTH AMENDED AND RESTATED
STOCKHOLDER RIGHTS AGREEMENT
     This SECOND AMENDMENT TO THE FIFTH AMENDED AND RESTATED STOCKHOLDER RIGHTS AGREEMENT, dated as of October 8, 2009 (this “Second Amendment”), by and 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.
WITNESSETH:
     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 the Company and the Investors, Key Holders and Other Holders as defined therein;
     WHEREAS, the Stockholder Rights Agreement was amended pursuant to that certain First Amendment to the Stockholder Rights Agreement dated September 18, 2009 (the “First Amendment”);
     WHEREAS, the Company wishes to obtain a secured loan from Compass Horizon Funding Company LLC (the “Lender”) pursuant to a Venture Loan and Security Agreement by and among the Company, Revolution Health Group LLC, CarePages, Inc. and the Lender dated as of October 8, 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 shares of Series F Preferred Stock of the Company (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 Second 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 Warrants); (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 (“Square 1”) or Compass Horizon Funding Company LLC (“Compass”) issued or issuable upon conversion of the Series F Preferred Stock issued pursuant to the exercise of the Warrants (as defined herein), provided, however, that such shares of Common Stock shall not be deemed Registrable Securities and neither Square 1 nor Compass shall be deemed Holders 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 deleted in its entirety and is hereby replaced with the following:
The term “Warrants” means the warrants to purchase a certain number of shares of Series F Preferred Stock issued to (a) Square 1 pursuant to the Loan and Security Agreement, by and between the Company, Square 1, Revolution Health Group LLC and CarePages, Inc., dated as of September 18, 2009 and (b) Compass pursuant to the Venture Loan and Security Agreement by and among the Company, Compass, Revolution Health Group LLC and CarePages, Inc., dated as of October 8, 2009.
     3. Upon its execution of a counterpart signature page to the Stockholder Rights Agreement, the Lender shall become a party to the Stockholder Rights Agreement.

2


 

     4. This Second 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 Second 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 Second 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]

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     IN WITNESS WHEREOF, the parties hereto have executed this Second 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:
Name:
  /s/ John Richardson
 
John Richardson
   
 
  Title:   Vice President and Secretary    

 


 

             
    INVESTORS:    
 
           
    SCALE VENTURE PARTNERS II, LP    
 
           
    By: Scale Venture Management II, LLC,
its General Partner
 
 
           
 
  By:
Name:
  /s/ Sharon Wienbar
 
Sharon Wienbar
   
 
  Title:   Managing Director    

 


 

         
  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:      
    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:      
    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:      
    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:      
    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:   /s/ William Bo S. Peabody
 
By: Robert D. Kraus under POA dated 1/17/09
   

 


 

         
  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/ Bill Elmore    
  Name:   Bill Elmore  
  Title:   Manager  
 
  FOUNDATION CAPITAL V PRINCIPALS FUND, LLC
 
 
  By:   Foundation Capital Management Co. V, LLC
 
 
  By:   /s/ Bill Elmore    
  Name:   Bill Elmore  
  Title:   Manager  

 


 

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    

    /s/ Douglas W. McCormick    
         
    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