Filing of Certain Prospectuses and Communications in Connection With Business Combination Transactions (425)
April 18 2018 - 2:40PM
Edgar (US Regulatory)
Filed by MuleSoft, Inc.
Pursuant to Rule 425
under the
Securities Act of 1933 and
deemed filed pursuant to Rule
14d-9
under the Securities Exchange Act of 1934
Subject Company: MuleSoft, Inc.
(Commission File
No. 001-38031)
The following communications are being filed in connection with the acquisition of MuleSoft, Inc. by salesforce.com, inc.
Hello Muley,
We are sure by
now that you have heard the news about salesforces acquisition of MuleSoft! As you may imagine, this news has a pretty big impact on MuleSoft stock option holders such as yourself. Please review this message and the attached notice carefully
as they explain how the acquisition impacts your outstanding options.
Upon closing of the acquisition, each of your then outstanding
options (options you
have not
exercised or that
have not
already terminated) will be cancelled in exchange for the following:
1) $36 in cash, plus
2) the
cash equivalent of 0.0711 of a share of salesforce stock (CRM) (the value of such share of CRM stock will be calculated in accordance with the terms of the merger agreement)
3) less the exercise price of the option
This payment, less applicable tax withholding, will be made within 5 business days of the acquisition close.
For example, lets say you have 1,000 outstanding options with an exercise price of $7.00 and the average trading price of CRM is $125
when the acquisition closes:
|
|
|
|
|
|
|
|
|
|
|
|
|
Outstanding Options
|
|
Exercise Price
|
|
Exercise Cost
|
|
$36 Cash
|
|
0.0711 * $125
|
|
Gross Payout
|
|
Net Payout*
|
1,000
|
|
$7.00
|
|
$7,000
|
|
$36,000
|
|
$8,887.50
|
|
$44,887.50
|
|
$37,887.50
|
*
|
This amount will be reported as income on your 2018 tax filing
|
In this example, you would
receive $44,887.50 less your option exercise cost of $7,000 for a payment of $37,887.50 before applicable taxes are withheld.
Please
note
that this amount will be reported as income on your 2018 tax statements. If tax withholding is required in your country, MuleSoft will withhold accordingly and report that amount through payroll. Any additional income tax owed is
your responsibility. Please consult a tax professional on how this will impact your personal situation.
You may continue to exercise your
options, subject to the
MuleSoft Insider Trading Policy
, until
Friday, April 20th
. After that, all exercise activity will be frozen until the acquisition closes. If you exercise between now and then, you will have the same rights as
all other current shareholders with regards to the merger consideration. This consideration consists of 1) $36 in cash
and
2) 0.0711 shares of CRM stock for each share of MULE.
If you have any additional questions, please review salesforces
Schedule TO
and
S-4
filings
and MuleSofts Schedule
14D-9
filing as well as the attached notice for further details regarding the treatment of your options. If you have any questions do not hesitate to contact us at
MuleSoft@stock.com
.
All the best,
The MuleSoft Stock Team
Forward-Looking Statements
This communication contains forward-looking information related to MuleSoft, Inc. (MuleSoft) and the acquisition of MuleSoft by
salesforce.com
, inc. (salesforce) that involves substantial risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed or implied by such statements. Forward-looking statements
in this release include, among other things, statements about the potential benefits of the proposed transaction, MuleSofts plans, objectives, expectations and intentions, the financial condition, results of operations and business of
MuleSoft, and the anticipated timing of closing of the proposed transaction. Risks and uncertainties include, among other things, risks related to the ability of MuleSoft to consummate the proposed transaction on a timely basis or at all, including
due to complexities resulting from the adoption of new accounting pronouncements and associated system implementations; MuleSofts ability to successfully integrate MuleSofts operations; MuleSofts ability to implement its plan,
forecasts and other expectations with respect to MuleSofts business after the completion of the transaction and realize expected synergies; the satisfaction of the conditions precedent to consummation of the proposed transaction, including
having a sufficient number of MuleSofts shares being validly tendered into the exchange offer to meet the minimum condition; MuleSofts ability to secure regulatory approvals on the terms expected in a timely manner or at all; the ability
to realize the anticipated benefits of the proposed transaction, including the possibility that the expected benefits from the proposed transaction will not be realized or will not be realized within the expected time period; disruption from the
transaction making it more difficult to maintain business and operational relationships; the negative side effects of the announcement or the consummation of the proposed transaction on the market price of MuleSofts common stock or on
MuleSofts operating results; significant transaction costs; unknown liabilities; the risk of litigation and/or regulatory actions related to the proposed transaction; the pace of change and innovation in enterprise cloud computing services;
the competitive nature of the market in which MuleSoft participates; MuleSofts service performance and security, including the resources and costs required to prevent, detect and remediate potential security breaches; the expenses associated
with new data centers and third-party infrastructure providers; additional data center capacity; MuleSofts ability to protect its intellectual property rights and develop its brand; dependency on the development and maintenance of the
infrastructure of the Internet; the ability to develop new services and product features; other business effects, including the effects of industry, market, economic, political or regulatory conditions; future exchange and interest rates; changes in
tax and other laws, regulations, rates and policies, including those related to the provision of services on the Internet, those related to accessing the Internet and those addressing data privacy and import and export controls; future business
combinations or disposals; the uncertainties inherent in research and development; competitive developments and climate change.
Further
information on these and other risk and uncertainties relating to MuleSoft can be found in its reports on Forms
10-K,
10-Q
and
8-K
and in other filings MuleSoft makes with the SEC from time to time and available at
www.sec.gov
. These documents are available under the SEC filings heading of the Investors section of
MuleSofts website at
https://investors.mulesoft.com/
.
The forward-looking statements included in this communication are made
only as of the date hereof. MuleSoft assumes no obligation and does not intend to update these forward-looking statements, except as required by law.
Additional Information and Where to Find It
In connection with the proposed acquisition,
salesforce.com
, inc. (salesforce) commenced an exchange offer for the
outstanding shares of MuleSoft, Inc. (MuleSoft) on April 2, 2018. This communication is for informational purposes only and is neither an offer to purchase nor a solicitation of an offer to sell shares of MuleSoft, nor is it a
substitute for any offer materials that salesforce and MuleSoft filed with the Securities and Exchange Commission (the SEC) upon commencement of the exchange offer. Salesforce filed exchange offer materials on Schedule TO with the SEC,
and MuleSoft filed a Solicitation/Recommendation Statement on Schedule
14D-9
with the SEC with respect to the offer. In addition, salesforce filed a registration statement on Form
S-4
related to the transaction with the SEC in connection with the proposed transaction. THE EXCHANGE OFFER MATERIALS (INCLUDING AN OFFER TO EXCHANGE, A RELATED LETTER OF TRANSMITTAL AND CERTAIN OTHER EXCHANGE OFFER
DOCUMENTS) AND THE SOLICITATION/RECOMMENDATION STATEMENT WILL CONTAIN IMPORTANT INFORMATION. MULESOFT STOCKHOLDERS ARE URGED TO READ THESE DOCUMENTS CAREFULLY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION THAT HOLDERS OF
MULESOFT SECURITIES SHOULD CONSIDER BEFORE MAKING ANY DECISION REGARDING EXCHANGING THEIR SECURITIES. The Solicitation/Recommendation Statement, the Offer to Exchange, the related Letter of Transmittal and certain other exchange offer documents are
available to all MuleSoft stockholders at no expense to them. The exchange offer materials and the Solicitation/Recommendation Statement are available for free on the SECs website at
www.sec.gov
. Copies of the documents filed with the
SEC by salesforce are available free of charge under the Financials heading of the Investor Relations section of salesforces website at
www.salesforce.com/investor
. Copies of the documents filed with the SEC by MuleSoft are available
free of charge under the SEC filings heading of the Investors section of MuleSofts website at
https://investors.mulesoft.com/
.
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