Exhibit 4.2
REGISTRATION
AGREEMENT
THIS REGISTRATION AGREEMENT (this
“ Agreement ”) is made as of February 4,
2009, by and among Accuride Corporation, a Delaware corporation
(the “ Company ”), Sun Accuride Debt
Investments, LLC, a Delaware limited liability company (“
Sun ”), and each Person who becomes a party to this
Agreement after the date hereof by executing a joinder agreement
hereto (collectively, the “ Other Investors
”). Otherwise undefined capitalized terms used herein
are defined in Section 8 hereof.
WHEREAS, pursuant to the Last Out
Debt Agreement, dated as of February 4, 2009, by and between
the Company and Sun (the “ Last Out Debt Agreement
”), the Company will issue a warrant (the “
Warrant ”) to Sun exercisable into shares of Common
Stock representing 25% of the fully diluted Common Stock
outstanding on the date of exercise (the “ Warrant
Shares ”); and
WHEREAS, in order to induce Sun to
enter into the Last Out Debt Agreement, the Company has agreed to
provide certain registration rights to Sun on the terms and subject
to the conditions set forth herein.
NOW, THEREFORE, in consideration of
the mutual covenants contained herein and other good and valuable
consideration, the receipt and sufficiency of which are hereby
acknowledged, the parties to this Agreement hereby agree as
follows:
1.
Demand Registrations .
(a)
Requests for Registration . At any time, the holders
of at least a majority of the Sun Registrable Securities may
request registration under the Securities Act of all or any portion
of such Sun Registrable Securities on Form S-1 or any similar
long-form registration statement (“
Long-Form Registration ”) or, if available, on
Form S-3 or any similar short-form registration statement
(“ Short-Form Registrations ”). All
registrations requested pursuant to this Section 1(a)
are referred to herein as “ Demand Registrations
.” Each registration statement filed pursuant to a
Demand Registration shall state that, in accordance with
Rule 416 under the Securities Act, it also covers such
indeterminate number of additional Common Stock as may become
issuable upon exercise of the Warrant to prevent dilution resulting
from stock splits, stock dividends or similar transactions.
Each request for a Demand Registration shall specify the
approximate number of Registrable Securities requested to be
registered. The Company shall give prompt written notice
(either before or after the filing of the registration statement)
of such requested registration to all other holders of Registrable
Securities and, subject to Section 1(d) below,
will include in such registration, in addition to the Sun
Registrable Securities that are requested to be registered pursuant
hereto, all Other Registrable Securities with respect to which the
Company has received written requests for inclusion therein within
10 days after the sending by the Company of the Company’s
notice.
(b)
Long-Form Registration . The holders of a
majority of the Sun Registrable Securities shall be entitled to
request one Long-Form Registration. The
Long-Form Registration shall be underwritten registrations if
so requested by the holders of a majority of the Sun Registrable
Securities included in such registration. A registration
shall not count as the permitted Long-Form Registration until
it has become effective.
(c)
Short-Form Registrations . In addition to the
Long-Form Registration provided pursuant to
Section 1(b) , the holders of a majority of the Sun
Registrable Securities shall be entitled to request an unlimited
number of Short-Form Registrations. Demand Registrations
shall be Short-Form Registrations whenever the Company is
permitted to use any applicable short form and if the managing
underwriters (if any) agree to the use of a
Short-Form Registration Statement. The Company shall use
commercially reasonable efforts to make
Short-Form Registrations on Form S-3 available for the
sale of Registrable Securities. Short-Form Registrations
may be underwritten registrations, resale registrations or
“shelf registrations” pursuant to Rule 415 under
the Securities Act (“ Shelf Registrations ”) or
otherwise, in each case at the sole discretion of the requesting
holders.
(d)
Priority on Demand Registrations . The Company will not
include in any Demand Registration any securities which are not
Registrable Securities without the prior written consent of the
holders of a majority of the Registrable Securities included in
such registration, which consent will not be unreasonably
withheld. If a Demand Registration is an underwritten
offering and the managing underwriters advise the Company that, in
their opinion, the number of Registrable Securities and, if
permitted hereunder, other securities requested to be included in
such offering, exceeds the number of Registrable Securities and
other securities, if any, which can be sold therein without
adversely affecting the marketability, proposed offering price,
timing, distribution method or probability of success of such
offering, the Company will include in such registration
(i) first, the Sun
Registrable Securities requested to be included in such
registration which in the opinion of such underwriters can be sold
without adverse effect, pro rata among the holders thereof on the
basis of the number of Registrable Securities owned by each such
holder, (ii) second, the Other Registrable Securities
requested to be included in such Demand Registration, pro rata
among the holders thereof on the basis of the number of Registrable
Securities owned by each such holder and (iii) third, the
other securities requested to be included in such Demand
Registration which in the opinion of such underwriters can be sold
without adverse effect, pro rata among the holders thereof on the
basis of the number of such other securities owned by each such
holder.
(e)
Restrictions on Demand Registrations . The Company
will not be obligated to effect any Demand Registration within six
months after the effective date of a previous
Long-Form Registration or Short-Form Registration, as the
case may be, in which the offering was completed and there was no
reduction in the number of Registrable Securities requested to be
included. The Company may postpone, for up to 90 days (from
the date of the request), the filing or the effectiveness of a
registration statement for a Demand Registration if the Company is
in possession of material non-public information concerning it or
its business and affairs and the Company’s board of directors
determines in good faith that (i) disclosure of such
information is legally required in connection with such
registration and (ii) public disclosure of such information in
a registration statement would have a materially detrimental effect
on the Company; provided , that in such event, the holders
of the Sun Registrable Securities requesting such Demand
Registration shall be entitled to withdraw such request and, if
such request is withdrawn, such Demand Registration shall not count
as one of the permitted Demand Registrations hereunder. The
Company may delay a Demand Registration hereunder only once in any
12-month period.
(f)
Selection of Underwriters . The holders of a majority
of the Registrable Securities initially requesting registration
hereunder will have the right to select the investment
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banker(s) and
manager(s) to administer the offering under such Demand
Registration, subject to the Company’s approval, which will
not be unreasonably withheld.
(g)
Other Registration Rights . The Company will not grant
to any Persons the right to request that the Company register any
equity securities of the Company, or any securities convertible
into or exchangeable or exercisable for any such securities, except
as provided in this Agreement, except pursuant to registrations on
Form S-4 or Form S-8 (or any successor or similar forms),
or as otherwise consistent with the terms hereof (“
Other Registration Rights ”). All such Other
Registration Rights will be subordinate in priority to the rights
of the Sun Registrable Securities and the Other Registrable
Securities as set forth herein.
2.
Piggyback Registrations .
(a)
Right to Piggyback . Whenever the Company proposes to
register any of its equity securities under the Securities Act
(other than pursuant to a Demand Registration or a registration on
Form S-4 or S-8 or any successor or similar forms) and the
registration form to be used may be used for the registration of
Registrable Securities (a “ Piggyback Registration
”), whether or not for sale for its own account, the Company
will give prompt written notice (either before or after the filing
of the registration statement) to all holders of Registrable
Securities of its intention to effect such a registration and,
subject to Sections 2(b) and 2(c) below,
will include in such registration all Registrable Securities with
respect to which the Company has received written requests for
inclusion therein within 7 days after the sending by the Company of
the Company’s notice.
(b)
Priority on Primary Registrations . If a Piggyback
Registration is an underwritten primary registration on behalf of
the Company, and the managing underwriters advise the Company and
the holders of Registrable Securities that have requested inclusion
in such offering that, in their opinion, the number of securities
requested to be included in such registration exceeds the number
which can be sold in such offering without adversely affecting the
marketability, proposed offering price, timing, distribution method
or probability of success of such offering, then the Company will
include in such registration (i) first, the securities that
the Company proposes to sell, (ii) second, the Sun Registrable
Securities and Other Registrable Securities requested to be
included in such registration, which in the opinion of such
underwriters can be sold without adverse effect, pro rata among the
holders thereof on the basis of the number of Registrable
Securities owned by each such holder, and (iii) third, the
other securities requested to be included in such registration
which in the opinion of such underwriters can be sold without
adverse effect, pro rata among the holders thereof on the basis of
the number of such other securities owned by each such
holder.
(c)
Priority on Secondary Registrations . If a Piggyback
Registration is an underwritten secondary registration on behalf of
holders of the Company’s securities (it being understood that
Demand Registrations on behalf of holders of Registrable Securities
are addressed in Section 1 above rather than in this
Section 2(c)) , and the managing underwriters advise
the Company and the holders of Registrable Securities that have
requested inclusion in such offering that, in their opinion, the
number of securities requested to be included in such registration
exceeds the number which can be sold in such offering without
adversely affecting the marketability, proposed offering price,
timing, distribution method or probability of success of such
offering, the Company will include in such registration
(i) first, the securities requested
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to be included therein by
the holders requesting such registration, (ii) second, the Sun
Registrable Securities and Other Registrable Securities requested
to be included in such registration, which in the opinion of such
underwriters can be sold without adverse effect, pro rata among the
holders thereof on the basis of the number of Registrable
Securities owned by each such holder, and (iii) third, the
other securities requested to be included in such registration
which in the opinion of such underwriters can be sold without
adverse effect, pro rata among the holders thereof on the basis of
the number of such other securities owned by each such
holder.
(d)
Selection of Underwriters . If any Piggyback
Registration is an underwritten offering, the selection of the
investment banker(s) and manager(s) for the offering
shall be made by the Company in its sole discretion.
(e)
Withdrawal by Company . If, at any time after giving
notice of its intention to register any of its securities as set
forth in Section 2(a) and before the effective
date of such registration statement filed in connection with such
registration, the Company shall determine, for any reason, not to
register such securities, the Company shall give written notice of
such determination to each holder of Registrable Securities and
shall promptly return any materials provided by the holders of
Registrable Securities to the Company in connection with such
registration.
3.
Holdback Agreements .
(a)
Each holder of Registrable Securities agrees not to effect any
public sale or distribution (including sales pursuant to
Rule 144) of equity securities of the Company, or any
securities, options, or rights convertible into or exchangeable or
exercisable for such securities, including, without limitation, any
short sale, loan or hedge, during the Applicable Period (as defined
in this paragraph) (except as part of such underwritten
registration), unless the underwriters managing the registered
public offering otherwise agree. If requested by the Company
or managing underwriters, each holder of Registrable Securities
agrees to execute customary lock-up agreements consistent with the
foregoing obligations with the managing underwriter(s) of an
underwritten offering with a duration not to exceed the Applicable
Period in such form as agreed to by the holders of a majority of
the Registrable Securities participating in such underwritten
offering. The “Applicable Period” shall begin
seven days before the Closing, and continue for 180 days following
the effective date of the registration statement for the initial
public offering of the Company’s equity securities and shall
begin seven days before the Closing, and continue for 90 days
following the effective date of the registration statement for any
other underwritten public offering of the Company’s equity
securities (including Demand and Piggyback Registrations) or in
each case such longer period agreed to by the holders of a majority
of the Sun Registrable Securities participating in such
offering.
(b)
The Company agrees (i) not to effect any public sale or
distribution of its equity securities, or any securities
convertible into or exchangeable or exercisable for such
securities, during the Applicable Period (except as part of such
underwritten registration or pursuant to registrations on
Form S-4 or S-8 or any successor form), unless the
underwriters managing the registered public offering otherwise
agree, and (ii) to use commercially reasonable efforts to
cause each beneficial holder of 5% or more of its Common Stock
outstanding, or any securities convertible into or exchangeable or
exercisable for 5% or more of its Common Stock outstanding,
purchased or otherwise acquired from the Company at any time after
the date of this
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Agreement (other than in a
registered public offering) to agree not to effect any public sale
or distribution (including sales pursuant to Rule 144) of any
such securities during any such period (except as part of such
underwritten registration, if otherwise permitted), unless the
underwriters managing the registered public offering otherwise
agree.
4.
Registration Procedures . Whenever the holders of
Registrable Securities have requested that any Registrable
Securities be registered pursuant to this Agreement, the Company
will use commercially reasonable efforts to effect the registration
and the sale of such Registrable Securities in accordance with the
intended method of disposition thereof and, pursuant thereto, the
Company will as expeditiously as possible:
(a)
prepare and (in the case of underwritten registrations, within a
commercially reasonable period of time after receiving a request
for registration, and in the case of Shelf Registrations, within 30
days after receiving a request for registration) file with the
Securities and Exchange Commission a registration statement with
respect to such Registrable Securities and thereafter use
commercially reasonable efforts to cause such registration
statement to become effective ( provided , that, before
filing a registration statement or prospectus or any amendments or
supplements thereto, the Company will furnish a reasonable period
of time prior to filing to the counsel selected by the holders of a
majority of the Registrable Securities covered by such registration
statement copies of all such documents proposed to be filed, which
documents will be furnished within a reasonable period of time
prior to filing and will be subject to review of such
counsel);
(b)
notify each holder of Registrable Securities of the effectiveness
of each registration statement filed hereunder and prepare and file
with the Securities and Exchange Commission such amendments and
supplements or take such other action to such registration
statement and the prospectus used in connection therewith as may be
necessary to keep such registration statement effective for such
period as will terminate, at the earlier of six months in the case
of underwritten registrations, 36 months in the case of Shelf
Registrations or, in any event, when all of the securities covered
by such registration statement during such period have been
disposed of in accordance with the intended methods of disposition
by the seller or sellers thereof set forth in such registration
statement (but, in any event, not before the expiration of any
longer period required under the Securities Act, or, if such
registration statement relates to an underwritten offering, such
longer period as in the opinion of counsel for the underwriters a
prospectus is required by law to be delivered in connection with
sales of Registrable Securities by an underwriter or dealer), and
to comply with the provisions of the Securities Act with respect to
the disposition of all securities covered by such registration
statement until such time as all of such securities have been
disposed of in accordance with the intended methods of disposition
by the seller or sellers thereof set forth in such registration
statement;
(c)
furnish to each seller of Registrable Securities such number of
copies of such registration statement, each amendment and
supplement thereto, the prospectus included in such registration
statement (including each preliminary prospectus), and such other
documents as such seller may reasonably request in order to
facilitate the disposition of the Registrable Securities owned by
such seller;
(d)
use commercially reasonable efforts to register or qualify such
Registrable Securities under such other securities or blue sky laws
of such jurisdictions as any seller
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reasonably requests and do
any and all other acts and things which may be reasonably necessary
or advisable to enable such seller to consummate the disposition in
such jurisdictions of the Registrable Securities owned by such
seller ( provided , that the Company will not be required to
(i) qualify generally to do business in any jurisdiction where
it would not otherwise be required to qualify but for this
subsection, (ii) subject itself to taxation in any such
jurisdiction, or (iii) consent to general service of process
in any such jurisdiction);
(e)
notify each seller of such Registrable Securities, at any time when
a prospectus relating thereto is required to be delivered under the
Securities Act, upon discovery that, or upon the discovery of the
happening of any event as a result of which, the prospectus
included in such registration statement contains an untrue
statement of a material fact or omits any fact necessary to make
the statements therein not misleading in the light of the
circumstances under which they were made, and, at the request of
any such seller, the Company will prepare and furnish to such
seller a reasonable number of copies of a supplement or amendment
to such prospectus so that, as thereafter delivered to the
purchasers of such Registrable Securities, such prospectus will not
contain an untrue statement of a material fact or omit to state any
fact necessary to make the statements therein not misleading in the
light of the circumstances under which they were made; provided,
however , that at any time, upon written notice to the
participating holders of Registrable Securities and for a period
not to exceed 60 days thereafter (the “ Suspension
Period ”), the Company may suspend the use or
effectiveness of any registration statement (and the holders of
Registrable Securities hereby agree not to offer or sell any
Registrable Securities pursuant to such registration statement
during the Suspension Period) if the Company reasonably believes
that there is or may be in existence material nonpublic information
or events involving the Company, the failure of which to be
disclosed in the prospectus included in the registration statement
could constitute a material misstatement or omission. In the
event that the Company shall exercise its right to delay or suspend
the use or effectiveness of a registration hereunder, the
applicable time period during which the registration statement is
to remain effective shall be extended by a period of time equal to
the duration of the Suspension Period. The Company may extend
the Suspension Period for an additional consecutive 60 days with
the consent of the holders of a majority of the Registrable
Securities registered under the applicable registration
statement. If so directed by the Company, all holders of
Registrable Securities registering shares under such registration
statement shall (i) not offer to sell any Registrable
Securities pursuant to the registration statement during the period
in which the delay or suspension is in effect after receiving
notice of such delay or suspension and (ii) use commercially
reasonable efforts to deliver to the Company (at the
Company’s expense) all copies, other than permanent file
copies then in such holders’ possession, of the prospectus
relating to such Registrable Securities current at the time of
receipt of such notice;
(f) use
commercially reasonable efforts to cause all such Registrable
Securities to be listed on each securities exchange on which
similar securities issued by the Company are then listed and, if
not so listed, to be listed on a securities exchange;
(g)
use commercially reasonable efforts to provide a transfer agent and
registrar for all such Registrable Securities not later than the
effective date of such registration statement;
(h)
enter into such customary agreements (including underwriting
agreements in customary form) and take all such other actions as
the holders of a majority of the Registrable
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Securities being sold or the
underwriters, if any, reasonably request in order to expedite or
facilitate the disposition of such Registrable
Securities;
(i) make
available for inspection by any seller of Registrable Securities,
any underwriter participating in any disposition pursuant to such
registration statement, and any attorney, accountant, or other
agent retained by any such seller or underwriter, all financial and
other records, pertinent corporate and business documents and
properties of the Company as shall be necessary to enable them to
exercise their due diligence responsibility, and cause the
Company’s officers, directors, employees, agents,
representatives, and independent accountants to supply all such
information reasonably requested by any such seller, underwriter,
attorney, accountant, or agent in connection with such registration
statement; provided, however that any such information furnished by
the Company that is non-public shall be used in connection with
such registration only, and shall be kept confidential by any of
the foregoing recipients;
(j) take
all reasonable actions to ensure that any Free-Writing Prospectus
utilized in connection with any Demand Registration or
Piggyback Registration hereunder complies in all material respects
with the Securities Act, is filed in accordance with the Securities
Act to the extent required thereby, is retained in accordance with
the Securities Act to the extent required thereby and, when taken
together with the related prospectus, shall not contain any untrue
statement of a material fact or omit to state a material fact
necessary to make the statements therein, in light of the
circumsta
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