This Amendment No. 3 (this
Amendment
) amends and supplements the
Solicitation/Recommendation Statement on
Schedule 14D-9
(as previously amended and as may be further amended or supplemented from time to time, the
Schedule 14D-9
) filed by Intersections Inc. (the
Company
) with the Securities and Exchange Commission (the
Commission
) on November 29, 2018,
relating to the offer by WC SACD One Merger Sub, Inc., a Delaware corporation (
Purchaser
), a wholly-owned subsidiary of WC SACD One Parent, Inc., a Delaware corporation (
Parent
, and together with the Purchaser,
collectively, the
Purchaser Group
), to purchase all of the outstanding shares of common stock, par value $0.01 per share (the
Common Stock
), of the Company, at $3.68 per Share, in cash, without interest thereon
and less any applicable withholding taxes, upon the terms and subject to the conditions set forth in the Offer to Purchase, dated November 29, 2018 (as amended and as may be further amended or supplemented from time to time, the
Offer
to Purchase
), and in the related Letter of Transmittal (which, together with any amendments or supplements thereto, collectively constitute the
Offer
). The Offer to Purchase and the Letter of Transmittal have been filed
as Exhibits (a)(1)(A) and (a)(1)(B), respectively, to the Tender Offer Statement on Schedule TO of the Purchaser Group and certain other filing persons filed with the Commission on November 29, 2018, as amended or supplemented from time to
time.
Except to the extent specifically provided in this Amendment, the information set forth in the
Schedule 14D-9
remains unchanged. Capitalized terms used, but not otherwise defined, in this Amendment shall have the meanings ascribed to them in the
Schedule 14D-9.
ITEM 4.
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THE SOLICITATION OR RECOMMENDATION.
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The eighth paragraph under ITEM 4. THE SOLICITATION OR RECOMMENDATION(b)Background of the Offer and the Merger that begins with the text
On March 1, 2018 is amended and restated in its entirety as follows:
On March 1, 2018, we engaged a corporate advisory
firm, Stonegate Capital Partners, Inc. (Stonegate), as
non-exclusive
placement agent to initiate and coordinate institutional investor meetings and road shows for the purpose of raising capital. In
addition, management contacted on its own a number of banks and other equity or mezzanine capital providers. Together with Stonegate, from March through June 2018, 185 potential lenders and investors were contacted (none of whom were affiliates with
the Purchaser Group), resulting in managements holding 37 informational conference calls and
in-person
meetings, and of these parties, 18 signed
non-disclosure
agreements with the Company. Stonegate was not paid any fees pursuant to their advisory and placement agency agreement entered into with the Company on March 1, 2018. The Company previously engaged Stonegate pursuant to an advisory services
agreement entered into on November 3, 2017, pursuant to which Stonegate agreed to provide ongoing investor relations consultation, initiate research coverage, and coordinate targeted institutional investor meetings and roadshows and similar
services. The advisory services agreement provided that the Company would pay to Stonegate an amount equal to $5,000 as an up front, initial, earned retainer for this first month of the agreement, and $5,000 for each of the subsequent two months
thereafter. Following that, the Company could elect to reduce the level of services from Stonegate in conjunction with a mutually agreed reduction in the monthly fee, which would remain at least $3,000 per month. In connection with the services
provided under the 2017 advisory services agreement, the Company paid a total of $70,000 in fees, and also reimbursed Stonegate for out of pocket expenses associated with travel for investor meetings of $5,231. Stonegate has not performed past
services for any parties to the Merger Agreement during the past two years.
The eleventh paragraph under ITEM 4. THE SOLICITATION OR
RECOMMENDATION(b)Background of the Offer and the Merger that begins with the text As a result of our initial fund-raising efforts is amended and restated in its entirety as follows:
As a result of our initial fund-raising efforts, on March 21, 2018, we entered into a
non-disclosure
agreement with an alternative investment fund (
Fund A
). The
non-disclosure
agreement with Fund A contained a standstill provision that prohibited Fund A from making certain
proposals to acquire the Company for a term of two years following termination of the
non-disclosure
agreement, and also prohibited Fund A from requesting a waiver or modification of any provision of the
standstill provision. This standstill provision expired by its terms upon the