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LOCAL MATTERS, INC. FIRST AMENDMENT TO THIRD AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

Investors Rights Agreement

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LOCAL MATTERS INC. | Aptas, Inc

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Title: LOCAL MATTERS, INC. FIRST AMENDMENT TO THIRD AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT
Date: 3/22/2006

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Exhibit 4.9


LOCAL MATTERS, INC.
FIRST AMENDMENT
TO
THIRD AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

        This First Amendment to the Third Amended and Restated Investor Rights Agreement (the "Amendment") is entered into as of November 28, 2005, by and among (i) Local Matters, Inc., a Delaware corporation (f/k/a Aptas, Inc.) (the "Company"), (ii) the persons and entities who are parties to the Current Agreement (as defined below) that have executed this agreement below (the "Existing Investors"), and (iii) the entity listed on Exhibit A hereto (the "New Investor").

Recitals

        A.    The Company and the Existing Investors (among other parties) are parties to the Third Amended and Restated Investor Rights Agreement, dated October 14, 2005 (the "Current Agreement").

        B.    The New Investor proposes to purchase from the Company shares of the Company's Series 3 Preferred Stock, par value $.001 per share (the "Series 3 Preferred Stock") pursuant to that certain Stock Purchase Agreement, dated of even date herewith (the "New Purchase Agreement").

        C.    Section 6.7 of the Current Agreement provides that the Agreement may be amended upon the written consent of the Company and the holders of a majority of the Registrable Securities (as defined in the Current Agreement) held by the Current Investors (the "Requisite Purchasers").

        D.    The Company and the Current Investors who are signatories hereto constitute the Requisite Purchasers, and desire to amend the Agreement to include the New Investor as parties to such agreement.

        In consideration of the mutual promises hereinafter set forth, the parties hereto agree as follows:

        1.     Additional Purchaser

        Upon the purchase of shares of Series 3 Preferred Stock by the New Investor and the execution of a counterpart signature page to the Current Agreement, the Current Agreement shall be automatically amended such that the New Investor shall become a party to the Current Agreement and will be deemed to be a "Holder" and a "Series 3 Preferred Holder", the shares of the Series 3 Preferred Stock purchased by the New Investor shall be deemed "Series 3 Preferred Stock" and the shares of Common Stock issuable upon conversion of such Series 3 Preferred Stock shall be deemed to be "Registrable Securities," as each is defined in the Agreement. Upon the purchase of shares of Series 3 Preferred Stock by the New Investor and the execution of a counterpart signature page to the Current Agreement, the New Investor shall be entitled to the same rights and benefits under the Current Investors' Rights Agreement and will be bound by the terms, restrictions and obligations to the same extent and in the same manner as each other holder of Series 3 Preferred Stock.

        2.     Miscellaneous

        2.1   This Amendment may be executed in any number of counter parts, each of which shall be an original, but all of which together shall constitute one instrument.

        2.2   All other terms and conditions of the Current Agreement shall remain in full force and effect.


        In Witness Whereof, the parties hereto have executed the Amendment as of the date set forth in the first paragraph hereof.


 


 


 


 


LOCAL MATTERS, INC.


 


 


 


 


By:


 


/s/  PERRY EVANS      


 

 

 

 

Name:

 

Perry Evans

 

 

 

 

Title:

 

President and Chief Executive Officer


 


 


 


 

 


[STOCKHOLDER]


 


 


 


 

 


[SIGNATURE]


 


 


 


 

 


[NAME AND TITLE OF SIGNATORY, IF STOCKHOLDER IS A CORPORATION OR OTHER ENTITY]


SHARES HELD:


 


 


 


 


Common Stock:


 


 


 


 


 


 

Series 1 Preferred Stock:

 

 

 

 

 

 

Series 2 Preferred Stock:

 

 

 

 

 

 

Series 3 Preferred Stock:

 

 

 

 

 

 


 


 


 


 


YELO PARTNERS I LLC


 


 


 


 


By:


 


/s/  WILLIAM P DIOGUARDI      


 

 

 

 

Name:

 

William P Dioguardi

 

 

 

 

Title:

 

 


SHARES HELD:


 


 


 


 


Common Stock:


 


 


 


 


 


 

Series 1 Preferred Stock:

 

 

 

 

 

 

Series 2 Preferred Stock:

 

10,623,125

 

 

 

 

Series 3 Preferred Stock:

 

 

 

 

 

 

2



 


 


 


 


YELO PARTNERS II LLC


 


 


 


 


By:


 


/s/  WILLIAM P DIOGUARDI      


 

 

 

 

Name:

 

William P Dioguardi

 

 

 

 

Title:

 

 


SHARES HELD:


 


 


 


 


Common Stock:


 


 


 


 


 


 

Series 1 Preferred Stock:

 

 

 

 

 

 

Series 2 Preferred Stock:

 

2,726,875

 

 

 

 

Series 3 Preferred Stock:

 

 

 

 

 

 


 


 


 


 


SANDLER CO-INVESTMENT PARTNERS, L.P.


 


 


 


 


By:


 


/s/  MOIRA MITCHELL      


 

 

 

 

Name:

 

Moira Mitchell

 

 

 

 

Title:

 

President


SHARES HELD:


 


 


 


 


Common Stock:


 


 


 


 


 


 

Series 1 Preferred Stock:

 

 

 

 

 

 

Series 2 Preferred Stock:

 

250,000

 

 

 

 

Series 3 Preferred Stock:

 

 

 

 

 

 


 


 


 


 


SOFTWARE SEED CAPITAL III


 


 


 


 


By:


 


/s/  DAVID DE LEEUW      


 

 

 

 

Name:

 

David De Leeuw

 

 

 

 

Title:

 

Managing Member


SHARES HELD:


 


 


 


 


Common Stock:


 


 


 


 


 


 

Series 1 Preferred Stock:

 

 

 

 

 

 

Series 2 Preferred Stock:

 

800,000

 

 

 

 

Series 3 Preferred Stock:

 

 

 

 

 

 

 

3



 


 


 


 


SOFTWARE SEED CAPITAL II


 


 


 


 


By:


 


/s/  DAVID DE LEEUW      


 

 

 

 

Name:

 

David De Leeuw

 

 

 

 

Title:

 

Managing Member


SHARES HELD:


 


 


 


 


Common Stock:


 


 


 


 


 


 

Series 1 Preferred Stock:

 

806,837

 

 

 

 

Series 2 Preferred Stock:

 

 

 

 

 

 

Series 3 Preferred Stock:

 

 

 

 

 

 


 


 


 


 


SPENCER TRASK PRIVATE EQUITY FUND I, LP


 


 


 


 


By:


 


/s/  WILLIAM P DIOGUARDI      


 

 

 

 

Name:

 

William P Dioguardi

 

 

 

 

Title:

 

 


SHARES HELD:


 


 


 


 

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