Exhibit 10.1
DIRECTOR NOMINATION AGREEMENT
THIS DIRECTOR NOMINATION AGREEMENT (this “Agreement”) is made and entered into as of September 24, 2021, by and among a.k.a. Brands Holding Corp., a Delaware corporation (the “Company”), New Excelerate, L.P., Summit Partners, L.P., Summit Partners GE IX AIV, Ltd., Summit Partners GE IX AIV, L.P., Summit Partners Growth Equity Fund IX- B AIV, L.P., Summit Partners GE IX, LLC, Summit Partners GE IX, L.P., Summit Partners Growth Equity Fund IX-A AIV, L.P., and Excelerate GP, Ltd, (collectively, “Summit”). This Agreement shall be effective from the date hereof (the “Effective Date”).
WHEREAS, as of the date hereof, Summit beneficially owns a majority of the outstanding shares of capital stock of the Company, representing a majority in voting power of all outstanding shares of capital stock of the Company;
WHEREAS, Summit is contemplating causing the Company to effect an initial public offering (the “IPO”);
WHEREAS, Summit currently has the authority to elect all directors of the Company;
WHEREAS, in consideration of Summit agreeing to undertake the IPO, the Company has agreed to permit Summit to designate persons for nomination for election to the board of directors of the Company (the “Board”) following the Effective Date on the terms and 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, each of the parties to this Agreement agrees as follows:
1. Board Nomination Rights.
(a) From the Effective Date, Summit shall have the right, but not the obligation, to nominate to the Board a number of designees equal to at least: (i) 100% of the Total Number of Directors (as defined below), so long as Summit Beneficially Owns shares of common stock, par value $0,001 per share (the “Common Stock”) representing at least 40% of the Original Amount, (ii) a majority of the Total Number of Directors, in the event that Summit Beneficially Owns shares of Common Stock representing at least 30% but less than 40% of the Original Amount, (iii) 30% of the Total Number of Directors, in the event that Summit Beneficially Owns shares of Common Stock representing at least 20% but less than 30% of the Original Amount, (iv) 20% of the Total Number of Directors, in the event that Summit Beneficially Owns shares of Common Stock representing at least 10% but less than 20% of the Original Amount and (v) one Director, in the event that Summit Beneficially Owns shares of Common Stock representing at least 5% of the Original Amount (such persons, the “Nominees”). For purposes of calculating the number of directors that Summit is entitled to designate pursuant to the immediately preceding sentence, any fractional amounts shall automatically be rounded up to the nearest whole number (e.g., VA Directors shall equate to 2 Directors) and any such calculations shall be made after taking into account any increase in the Total Number of Directors.