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CUSIP No. 81948W104 | | 13D | | Page 35 of 39 |
This Amendment No. 1 (the “Amendment”) amends and supplements the Schedule 13D filed by the Reporting Persons on July 12, 2021 (the “Original Schedule 13D” and, as amended and supplemented by this Amendment, the “Schedule”), with respect to the Common Stock. Capitalized terms used in this Amendment and not otherwise defined shall have the same meanings ascribed to them in the Original Schedule 13D.
Item 2. Identity and Background.
The penultimate paragraph of Item 2(a) of the Original Schedule 13D is amended and restated in its entirety as follows:
The aggregate number of shares of Common Stock beneficially owned by the Reporting Persons is 37,028,813, which represents approximately 10.4% of the outstanding shares of the Issuer’s common stock, based on an aggregate of 357,125,351 shares of Common Stock outstanding as of August 4, 2023, as reported by the Issuer in its quarterly report on Form 10-Q for the quarter ended June 30, 2023, as filed with the Securities and Exchange Commission on August 9, 2023 (the “Q2 2023 Form 10-Q”)”.
Item 4. Purpose of the Transaction
Item 4 of the Original Schedule 13D is amended and supplemented by adding the following:
On October 3, 2023, Mr. Chadwick, a member of the Board of Directors of the Issuer (the “Board”), submitted a preliminary non-binding proposal (the “Proposal”) to the Board on behalf of Claritas Capital, related to the proposed acquisition, directly or indirectly, by the Reporting Persons and/or their affiliated investment funds of all of the shares of Common Stock not beneficially owned by the Reporting Persons for cash consideration of between US$1.35 and US$1.80 per share (the “Proposed Transaction”). Each of Mr. Chadwick and the other the Reporting Persons reserve the right to modify or withdraw the Proposal at any time for any reason, including but not limited to an inability to secure financing for the Proposal on acceptable terms or at all and the satisfactory completion of due diligence, and no binding obligation on the part of any of Mr. Chadwick, Claritas Capital, the other Reporting Persons or any of their affiliates will arise with respect to submission of the Proposal or the filing of this Statement.
The Board has not yet responded to the Proposal. Any definitive agreement entered into in connection with the Proposed Transaction would be subject to customary closing conditions, including approval by the Board, any required shareholder approvals and approval by any applicable regulatory authorities. No assurance can be given that any definitive agreement will be entered into, that the Proposed Transaction will be consummated, or that the Proposed Transaction will be consummated on the terms set forth in the Proposal. While the Proposal remains under consideration by the Board, the Reporting Persons and their affiliates expect to respond to inquiries from, and, if invited, to negotiate the terms of the Proposal with, the Board and its representatives. The Reporting Persons do not intend to update additional disclosures regarding the Proposal unless and until a definitive agreement has been reached, or unless disclosure is otherwise required under applicable U.S. securities laws.
The Proposal may result in one or more of the transactions, events or actions specified in clauses (a) through (j) of Item 4 of Schedule 13D, including, without limitation, an acquisition of additional securities of the Issuer, an extraordinary corporate transaction (such as a merger) involving the Issuer, delisting of the Common Shares of the Issuer from The Nasdaq Stock Market LLC and other material changes in the Issuer’s business or corporate structure.
Item 5. Interest in Securities of the Issuer.
The first paragraph of Items 5(a) and (b) of the Original Schedule 13D is amended and restated in its entirety as follows:
(a) and (b) The responses of the Reporting Persons to rows (7) through (13) of the cover pages of this Schedule are incorporated herein by reference. As of October 10, 2023, the aggregate number of shares of Common Stock beneficially owned by the Reporting Persons is 37,028,813, which represents approximately 10.4% of the outstanding shares of the Issuer’s common stock, based on an aggregate of 357,125,351 shares of Common Stock outstanding as of August 4, 2023, as reported in the Q2 2023 Form 10-Q. All of such shares beneficially owned by the Reporting Persons are directly held by the Claritas Entities. The other Reporting Persons may be deemed to beneficially own shares held by the Claritas Entities by virtue of their direct and indirect ownership interests in the Claritas Entities and the Managing Claritas Entities.
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