REGISTRATION RIGHTS AGREEMENTAsset Purchase Agreement |
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Capital Partners 2000, LP | CSA ACQUISITION CORP | Cypress Associates II LLC | Cypress Merchant B II CV | CYPRESS MERCHANT BANKING PARTNERS | Goldman Sachs Direct Investment Fund 2000, LP | Goldman Sachs Management | GS Advisors 2000, LLC | GS Capital Partners 2000 Employee Fund, LP | GS Capital Partners 2000 GmbH & Co | GS Employee Funds 2000 GP, LLC | Offshore, LP | Street Partners II LP. RealDealDocs™ contains millions of easily searchable legal documents and clauses from top law firms. Search for free - click here. |
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EX-10.8 Registration Rights Agreement EXHIBIT 10.8 REGISTRATION RIGHTS AGREEMENT BY AND AMONG CSA ACQUISITION CORP. AND THE STOCKHOLDERS NAMED HEREIN DATED AS OF DECEMBER 23, 2004 REGISTRATION RIGHTS AGREEMENT REGISTRATION RIGHTS AGREEMENT, dated as of December 23, 2004 (the "Agreement"), by and among CSA Acquisition Corp., a Delaware corporation (the "Company") and Cypress Merchant Banking Partners II L.P., a Delaware limited partnership ("Cypress Onshore"), Cypress Merchant B II C.V., a limited partnership formed under the laws of The Netherlands ("Cypress Offshore"), 55th Street Partners II L.P., a Delaware limited partnership ("55th Street"), Cypress Side-By-Side LLC, a Delaware limited liability company ("Side-by-Side" and, together with Cypress Onshore, Cypress Offshore and 55th Street, "Cypress"), GS Capital Partners 2000, L.P. ("Goldman Onshore"), GS Capital Partners 2000 Offshore, L.P. ("Goldman Offshore"), GS Capital Partners 2000 GmbH & Co. Beteiligungs KG ("Goldman KG"), GS Capital Partners 2000 Employee Fund, L.P. ("Goldman Employee") and Goldman Sachs Direct Investment Fund 2000, L.P. ("Goldman Direct" and, together with Goldman Onshore, Goldman Offshore, Goldman KG and Goldman Employee, "Goldman"; Goldman and Cypress are referred to herein as the "Sponsor Stockholders"), the Management Stockholders (as defined in the Stockholders Agreement) and the Director Stockholders (as defined in the Stockholders Agreement) (the Sponsor Stockholders, Management Stockholders and Director Stockholders, collectively, the "Stockholders"). RECITALS WHEREAS, the Company has entered into that certain Stock Purchase Agreement, dated as of September 16, 2004 and amended as of December 3, 2004 (the "Purchase Agreement"), by and among Cooper Tire & Rubber Company, a Delaware corporation ("Cooper"), Cooper Tyre & Rubber Company UK Limited, a company organized under the laws of England and Wales ("Cooper UK", and, together with Cooper, the "Sellers") and the Company, pursuant to which the Company will purchase equity interests held by the Sellers in the Sold Companies (as defined in the Purchase Agreement); WHEREAS, the Company and each Stockholder have entered into a Subscription Agreement and a Stockholders Agreement pursuant to which the Company will issue and sell, and the Stockholders will purchase, shares of Common Stock (as defined below); WHEREAS, the Company desires to provide to the Stockholders and to each other Holder (as defined below) rights to registration under the Securities Act (as defined below) of Registrable Securities (as defined below), on the terms and subject to the conditions set forth herein. NOW, THEREFORE, in consideration of the foregoing recitals and of the mutual promises hereinafter set forth, the parties hereto agree as follows: ARTICLE I DEFINITIONS Section 1.1. Defined Terms. As used in this Agreement, the following capitalized terms shall have the following respective meanings: "Common Stock" means the common stock, par value $0.01 per share, of the Company and any securities issued in respect thereof, or in substitution therefor, in connection with any stock split, dividend or combination, or any reclassification, recapitalization, merger, consolidation, exchange or other similar reorganization. "Demand Party" means one or more Sponsor Holders; provided that to be a Demand Party such Holder or Holders must either individually or in the aggregate own at least five percent (5%) of the total number of Registrable Securities. "Exchange Act" means the Securities Exchange Act of 1934, as amended, or any similar federal statute then in effect, and a reference to a particular section thereof shall be deemed to include a reference to the comparable section, if any, of any such similar federal statute. "Holder" means each of the Stockholders and any Permitted Transferee of such Stockholder who or which holds Registrable Securities (including Sponsor Holders), provided, in the case of a Permitted Transferee, that such Permitted Transferee agrees in writing to be bound by the provisions of this Agreement. "IPO" means the initial public offering of Common Stock pursuant to an effective registration statement under the Securities Act. "IPO Date" means the first date of the issuance of Common Stock in an IPO. "Permitted Transferee" as to any Stockholder, has the meaning given to such term in the Stockholders Agreement. "Person" means any individual, corporation, limited liability company, limited or general partnership, joint venture, association, joint-stock company, trust, unincorporated organization, government or any agency or political subdivisions thereof or any group comprised of two or more of the foregoing. "Qualified Sale Date" means the date upon which Cypress and Goldman have sold to the public pursuant to one or more effective registration statements under the Securities Act (or pursuant to Rule 144 (or any successor provision) under the Securities Act) at least 25% of the outstanding shares of Common Stock (the number of shares representing such percentage to be adjusted following the date hereof to reflect any stock dividend or stock split or other distribution, recapitalization, reclassification or similar event following the date hereof) held by the Sponsor Stockholders in the aggregate on the date hereof. "Registrable Securities" means any Common Stock held at any time by the Stockholders (including shares of Common Stock issued upon exercise of options or issued to Management Stockholders and Director Stockholders pursuant to the Original Subscription Agreements (as defined in the Stockholders Agreement) following the date hereof), and any Common Stock which may be issued or distributed in respect thereof by way of stock dividend or stock split or other distribution, recapitalization, reclassification or similar event following the date hereof. Any particular Registrable Securities that are 3 issued shall cease to be Registrable Securities when (i) a registration statement with respect to the sale by the Holder of such securities shall have become effective under the Securities Act and such securities shall have been disposed of in accordance with such registration statement, (ii) such securities shall have been transferred to the public pursuant to Rule 144 (or any successor provision) under the Securities Act, or (iii) such securities shall have ceased to be outstanding. "Registration Expenses" means any and all expenses incident to performance of or compliance with this Agreement, including, without limitation, (i) all SEC and stock exchange or National Association of Securities Dealers, Inc. (the "NASD") registration and filing fees (including, if applicable, the fees and expenses of any "qualified independent underwriter," as such term is defined in NASD conduct rule 2720, and of its counsel), (ii) all fees and expenses of complying with securities or blue sky laws (including fees and disbursements of counsel for the underwriters in connection with blue sky qualifications of the Registrable Securities), (iii) all printing, messenger and delivery expenses, (iv) all fees and expenses incurred in connection with the listing of the Registrable Securities on any securities exchange pursuant to clause (viii) of Section 4.1(a) and all rating agency fees, (v) the fees and disbursements of counsel for the Company and of its independent public accountants, including the expenses of any special audits and/or "cold comfort" letters required by or incident to such performance and compliance, (vi) the reasonable fees and disbursements of counsel selected pursuant to Section 7.1 hereof by the Holders of the Registrable Securities being registered to represent such Holders in connection with each such registration, (vii) any fees and disbursements of underwriters customarily paid by the issuers or sellers of securities, including liability insurance if the Company so desires or if the underwriters so require, and the reasonable fees and expenses of any special experts retained in connection with the requested registration, but excluding underwriting discounts and commissions and transfer taxes, if any, and (viii) other reasonable out-of-pocket expenses of Holders (provided that such expenses shall not include expenses of counsel other than those provided for in clause (vi) above). "Securities Act" means the Securities Act of 1933, as amended, or any similar federal statute then in effect, and a reference to a particular section thereof shall be deemed to include a reference to the comparable section, if any, of any such similar federal statute. "SEC" means the Securities and Exchange Commission or any other federal agency at the time administering the Securities Act or the Exchange Act. "Sponsor Holder" means each of the Sponsor Stockholders and any other Permitted Transferee of such Sponsor Stockholder) who or which holds Registrable Securities and is a direct or indirect transferee of a Sponsor Stockholder, provided such Permitted Transferee agrees in writing to be bound by the provisions of this Agreement. "Stockholders Agreement" means the Stockholders Agreement, dated as of the date hereof, by and among the Company, Cypress, Goldman, the Management 4 Stockholders and the Director Stockholders, as it may be amended, supplemented or restated from time to time. ARTICLE II INCIDENTAL REGISTRATIONS Section 2.1. Right to Include Registrable Securities. (a) If the Company at any time after the IPO Date (or in the case of a Management Stockholder, the Qualified Sale Date) proposes to register its Common Stock under the Securities Act (other than a registration filed by the Company in connection with the IPO or a registration statement on Form S-4 or S-8, or any successor or other forms promulgated for similar purposes), whether or not for sale for its own account, in a manner which would permit registration of Registrable Securities for sale to the public under the Securities Act, it will, at each such time, give prompt written notice to all eligible Holders of Registrable Securities of its intention to do so and of such Holders' rights under this Article II. Upon the written request of any such Holder made within fifteen (15) days after the receipt of any such notice (which request shall specify the Registrable Securities intended to be disposed of by such Holder), the Company will use its reasonable best efforts to effect the registration under the Securities Act of all Registrable Securities which the Company has been so requested to register by the Holders thereof, to the extent requisite to permit the disposition of the Registrable Securities so to be registered; provided that (a) if, at any time after giving written notice of its intention to register any securities and prior to the effective date of the registration statement filed in connection with such registration, the Company shall determine for any reason not to proceed with the proposed registration of the securities to be sold by it, the Company may, at its election, give written notice of such determination to each Holder of Registrable Securities and, thereupon, shall be relieved of its obligation to register any Registrable Securities in connection with such registration (but not from its obligation to pay the Registration Expenses in connection therewith), and (b) if such registration involves an underwritten offering, all Holders of Registrable Securities requesting to be included in the Company's registration must sell their Registrable Securities to the underwriters selected by the Company on the same terms and conditions as apply to the Company, with such differences, including any with respect to indemnification and liability insurance, as may be customary or appropriate in combined primary and secondary offerings. If a registration requested pursuant to this Section 2.1 involves an underwritten public offering, any Holder of Registrable Securities requesting to be included in such registration may elect, in writing prior to the effective date of the registration statement filed in connection with such registration, not to register such securities in connection with such registration. (b) For the avoidance of doubt, no Management Stockholder or Director Stockholder (or Permitted Transferee thereof) will have the right to require the Company to effect the registration under the Securities Act of Registrable Securities of such Management Stockholder or Director Stockholder (or Permitted Transferee thereof) pursuant to this Section 2.1 prior to the Qualified Sale Date. Section 2.2. Expenses. The Company will pay all Registration Expenses in connection with each registration of Registrable Securities pursuant to this Article II. 5 Section 2.3. Priority in Incidental Registrations. If a registration pursuant to this Article II involves an underwritten offering and the managing underwriter advises the Company in writing that, in its opinion, the number of securities requested to be included in such registration exceeds the number which can be sold in such offering, so as to be likely to have an adverse effect on the price, timing or distribution of the securities offered in such offering as contemplated by the Company (other than the Registrable Securities), then the Company will include in such registration (i) first, 100% of the securities the Company proposes to sell, (ii) second, to the extent of the number of Registrable Securities requested to be included in such registration pursuant to Article III which, in the opinion of such managing underwriter, can be sold without having the adverse effect referred to above, the number of Registrable Securities which the Holders have requested to be included in such registration, such amount to be allocated pro rata among all requesting Holders pursuant to Article III on the basis of the relative number of shares of Registrable Securities then held by each such Holder (provided that any shares thereby allocated to any such Holder that exceed such Holder's request will be reallocated among the remaining requesting Holders in like manner) and (iii) third, to the extent of the number of Registrable Securities requested to be included in such registration pursuant to this Article II which, in the opinion of such managing underwriter, can be sold without having the adverse effect referred to above, the number of Registrable Securities which the Holders have requested to be included in such registration, such amount to be allocated pro rata among all requesting Holders on the basis of the relative number of shares of Registrable Securities then held by each such Holder (provided that any shares thereby allocated to any such Holder that exceed such Holder's request will be reallocated among the remaining requesting Holders in like manner). The priority of registration of any shares being registered by the Company pursuant to the exercise of (a) "demand registration rights" granted following the date of this Agreement to holders of shares of Common Stock other than the Sponsor Stockholders or the Management Stockholders and Director Stockholders relative to other shares being registered pursuant to this Article II shall be on the basis provided in clause (ii) above and (b) "piggyback registration rights" granted following the date of this Agreement to holders of shares of Common Stock other than the Sponsor Stockholders or the Management Stockholders and Director Stockholders relative to other shares being registered pursuant to this Article II shall be pro rata with such shares on the basis provided in clause (iii) above. ARTICLE III REGISTRATION ON REQUEST Section 3.1. Request by the Demand Party. (a) At any time, after the IPO Date, upon the written request of the Demand Party requesting that the Company effect the registration under the Securities Act of all or part of such Demand Party's Registrable Securities and specifying the amount and intended method of disposition thereof, the Company will promptly give written notice of such requested registration to all other Holders of Registrable Securities, and thereupon will, as expeditiously as possible, use its reasonable best efforts to effect the registration under the Securities Act of: (i) such Registrable Securities which the Company has been so requested to register by the Demand Party; and 6 (ii) all other Registrable Securities of the same class or series as to which the Company has been requested by a Demand Party and which the Company has been requested to register by any other Holder thereof by written request given to the Company within fifteen (15) days after the giving of such written notice by the Company (which notice shall specify the amount and intended method of disposition of such Registrable Securities), all to the extent necessary to permit the disposition (in accordance with the intended method thereof as aforesaid) of the Registrable Securities so to be registered in accordance with the timing specified in Section 4.1(a)(i). Notwithstanding the foregoing, the Company shall not be obligated to file a registration statement relating to any registration request under this Section 3.1 within a period of 180 days after the IPO Date or ninety (90) days after the effective date of any other registration statement relating to any registration request under this Section 3.1 or relating to any registration effected under Article II unless Holders of a majority of the shares of Registrable Securities held by Sponsor Holders consent thereto in writing. In the case of a Sponsor Holder requesting registration pursuant to clause (ii) above, such Sponsor Holder shall have the option to specify whether the Registrable Securities such Sponsor Holder wishes to include in such registration are to be included pursuant to this Article III or pursuant to Article II. In the absence of such a specification, the Registrable Securities requested to be included will be included on the basis set forth in Article II. (b) For the avoidance of doubt, no Management Stockholders or Director Stockholders (or Permitted Transferee thereof) will have the right to require the Company to effect the registration under the Securities Act of Registrable Securities of such Management Stockholder or Director Stockholders (or Permitted Transferee thereof) pursuant to this Section 3.1 (it being understood that such rights may be exercised pursuant to Article II and only after the Qualified Sale Date). Section 3.2. Registration Statement Form. If any registration requested pursuant to this Article III which is proposed by the Company to be effected by the filing of a registration statement on Form S-3 (or any successor or similar short-form registration statement) shall be in connection with an underwritten public offering, and if the managing underwriter shall advise the Company in writing that, in its opinion, the use of another form of registration statement is of material importance to the success of such proposed offering, then such registration shall be effected on such other form. Section 3.3. Expenses. The Company will pay all Registration Expenses in connection with registrations of each class or series of Registrable Securities pursuant to this Article III. Section 3.4. Effective Registration Statement. A registration requested pursuant to this Article III will not be deemed to have been effected unless it has become effective and remains effective for the period provided in Section 4.1(a)(ii); provided that if, within 180 days after it has become effective, the offering of Registrable Securities pursuant to such registration is interfered with by any stop order, injunction or other order or requirement of the SEC or other governmental agency or court, such registration will be deemed not to have been effected. 7 Section 3.5. Selection of Underwriters. If a requested registration pursuant to this Article III involves an underwritten offering, the Holders of a majority of the shares of Registrable Securities which are held by Holders and which the Company has been requested to register pursuant to Article III shall have the right to select the investment banker or bankers and managers to administer the offering; provided, however, that such investment banker or bankers and managers shall be reasonably satisfactory to the Company. Section 3.6. Priority in Requested Registrations. (a) If a requested registration pursuant to this Article III involves an underwritten offering and the managing underwriter advises the Company in writing that, in its opinion, the number of securities requested to be included in such registration (including securities of the Company which are not Registrable Securities or which are Registrable Securities proposed to be sold pursuant to Article II) exceeds the number which can be sold in such offering, the Company will first include in such registration only the Registrable Securities of the Holders requested to be included in such registration pursuant to this Article III. In the event that the number of Registrable Securities of the Holders requested to be included in such registration pursuant to this Article III exceeds the number which, in the opinion of such managing underwriter, can be sold, the number of such Registrable Securities to be included in such registration shall be allocated pro rata among all such requesting Holders pursuant to this Article III on the basis of the relative number of shares of Registrable Securities then held by each such Holder (provided that any shares thereby allocated to any such Holder that exceed such Holder's request shall be reallocated among the remaining requesting Holders in like manner). (b) In the event that the number of Registrable Securities requested to be included in such registration is less than the number which, in the opinion of the managing underwriter, can be sold, the Company may include in such registration the securities the Company proposes to sell up, for its own account or for the account of others (including pursuant to Article II) to the number of securities that, in the opinion of the underwriter, can be sold. Section 3.7. Limitation on Registration on Request. Notwithstanding anything in this Article III to the contrary, the Company shall not be obligated to take any action to effect any registration pursuant to this Article III if the Company has previously effected a number of registrations upon the request of a Sponsor Stockholder pursuant to this Article III equaling or exceeding, in accordance with Section 3.4 above, (a) five (5) registrations in the aggregate, in the case of Cypress and its Permitted Transferees and (b) five (5) registrations in the aggregate, in the case of Goldman and its Permitted Transferees. For purposes of the foregoing, a Sponsor Holder requesting registration of Registrable Securities pursuant to Section 3.1(a)(ii) which chooses to include such shares pursuant to this Article III shall be treated as having made a request pursuant to this Article III. Section 3.8. Postponements in Requested Registrations. (a) If the Company shall at any time furnish to the Holders a certificate signed by its chairman of the board, chief executive officer, president or any other of its authorized officers stating that the filing of a registration statement would require the disclosure of material information the disclosure of which would, in the good faith judgment of the Board of Directors of the Company, have a material adverse effect on the business, operations or prospects of the Company, the Company may postpone the filing (but not the preparation) of a registration statement required 8 by this Article III for up to forty-five (45) days and (b) if the Board of Directors of the Company determines in its good faith judgment, that the registration and offering otherwise required by this Article III would have an adverse effect on a then contemplated public offering of the Company's Common Stock, the Company may postpone the filing (but not the preparation) of a registration statement required by this Article III, during the period starting with the thirtieth (30th) day immediately preceding the date of the anticipated filing of, and ending on a date ninety (90) days (or such shorter period as the managing underwriter may permit) following the effective date of, the registration statement relating to such other public offering; provided that the Company shall at all times in good faith use its reasonable best efforts to cause any registration statement required by this Article III to be filed as soon as possible and; provided, further, that the Company shall not be permitted to postpone registration pursuant to this Section 3.8 more than once in any 360-day period. The Company shall promptly give the Holders requesting registration thereof pursuant to this Article III written notice of any postponement made in accordance with the preceding sentence. If the Company gives the Holders such a notice, the Holders shall have the right, within fifteen (15) days after receipt thereof, to withdraw their request in which case, such request will not be counted for purposes of Section 3.7. ARTICLE IV REGISTRATION PROCEDURES Section 4.1. Procedures. (a) If and whenever the Company is required to use its reasonable best efforts to effect or cause the registration of any Registrable Securities under the Securities Act as provided in this Agreement, the Company will, as expeditiously as possible: (i) prepare and, in any event within ninety (90) days after the end of the period within which a request for registration may be given to the Company pursuant to Article II or III, file with the SEC a registration statement with respect to such Registrable Securities and use its reasonable best efforts to cause such registration statement to become effective as promptly as practicable, provided, however, that the Company may discontinue any registration of its securities which is being effected pursuant to Article II at any time prior to the effective date of the registration statement relating thereto; (ii) prepare and file with the SEC such amendments and supplements to such registration statement and the prospectus used in connection therewith as may be necessary to keep such registration statement effective for a period not in excess of 180 days and to comply with the provisions of the Securities Act, the Exchange Act and the rules and regulations of the SEC thereunder with respect to the disposition of all securities covered by such registration statement during such period in accordance with the intended methods of disposition by the seller or sellers thereof set forth in such registration statement; provided that before filing a registration statement or prospectus, or any amendments or supplements thereto, the Company will furnish to counsel selected pursuant to Article VII hereof by the Holders of the Registrable Securities covered by such registration statement to 9 represent such Holders, copies of all documents proposed to be filed, which documents will be subject to the review of such counsel; (iii) furnish to each seller of such Registrable Securit






