EXHIBIT 4.4
AMENDMENT TO
NOTE PURCHASE AGREEMENT
AND REGISTRATION RIGHTS AGREEMENT
This is the First Amendment (the "Amendment") to that certain Note
Purchase Agreement entered into on May 6, 2002 (the "Note Purchase Agreement"),
and that certain Registration Rights Agreement entered into on May 6, 2002 (the
"Registration Rights Agreement"), by and among SERVICEWARE TECHNOLOGIES, INC., a
Delaware corporation (the "Company"), X.X. XXXXXXXXX, TOWBIN PRIVATE EQUITY
PARTNERS II, L.P. and certain other purchasers identified on Schedule 1 to the
Note Purchase Agreement and Registration Rights Agreement.
WHEREAS, the Note Purchase Agreement provides for the purchase from the
Company of up to $3,000,000 in principal amount of the Company's 10% Senior
Unsecured Convertible Notes (the "Notes"), with $1,425,000 of the Notes
purchased in the first tranche which closed on May 6, 2002, and the remaining
$1,575,000 of the Notes to be purchased in the second tranche which shall close
simultaneously with the execution of this Amendment (the "Second Tranche"); and
WHEREAS, as an inducement to Purchasers to enter into the Note Purchase
Agreement, the Company and the Purchasers entered into the Registration Rights
Agreement; and
WHEREAS, the Purchasers and the Company wish to change the amount of
Notes to be purchased in the Second Tranche and to increase to $1,825,000 the
aggregate amount of Notes to be purchased in the Second Tranche; and
WHEREAS, each of XXXXXX X. XXXXXXXXX ("Xxxxxx"), XXXX X. XXXXXXXXX
("Xxxxxxxxx"), XXXX X. X. XXXXXXXX ("Xxxxxxxx"), XXXXX X. XXXXX ("Xxxxx"), XXXXX
X. XXXXXXX ("Xxxxxxx") and BIRCHMERE VENTURES II LP ("Birchmere") wish to become
parties to the Note Purchase Agreement and Registration Rights Agreement and to
purchase in the Second Tranche the amount of Notes set forth on Schedule I
attached hereto (Thomas, Rosenthal, Sherrerd, Celli, Satloff and Birchmere are
hereinafter referred to individually as an "Additional Purchaser" or
collectively as the "Additional Purchasers"); and
WHEREAS, certain Purchasers under the Note Purchase Agreement no longer
wish to purchase Notes in the Second Tranche, and the Company wishes to release
such Purchasers from their obligations to purchase Notes in the Second Tranche;
and
NOW, THEREFORE, in consideration of the mutual covenants and agreements
contained herein and other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties hereto, intending to
be legally bound hereby, do hereby agree as follows:
1. Capitalized terms used herein shall have the same meanings set forth
in the Note Purchase Agreement and the Registration Rights Agreement, as
applicable.
2. NOTE PURCHASE AGREEMENT.
A. The definition of "Purchaser" is hereby amended to include each
of the Additional Purchasers as a Purchaser for all purposes of the Note
Purchase Agreement.
B. Each Additional Purchaser hereby acknowledges that it has
received a copy of the Note Purchase Agreement and does hereby make each of the
representations and warranties set forth in Article IV of the Note Purchase
Agreement.
C. Each Additional Purchaser hereby agrees to be bound by the terms
of the Note Purchase Agreement, as hereby amended.
D. To reflect the modifications to the Note Purchase Agreement as
contemplated by this Amendment, Schedule 1 to the Note Purchase Agreement is
hereby amended to read as indicated on Schedule 1 attached to this Amendment.
E. All references to the Notes under the Note Purchase Agreement
shall be deemed to refer to an aggregate of up to $3,250,000 in principal amount
of the Company's 10% Senior Unsecured Convertible Notes and the Second Tranche
shall be deemed to refer to $1,825,000 in principal amount of Notes being
purchased simultaneously herewith.
F. The parties hereto hereby agree to release each of X. X.
Xxxxxxxxx, Towbin Capital Partners I, L.P. and Xxxxxxxx and Xxxxxxxx X.
Xxxxxxxxx Foundation, Inc. from its obligation under the Note Purchase Agreement
to purchase Notes in the Second Tranche.
G. Except as expressly modified herein, the Note Purchase Agreement
shall remain in full force and effect.
3. REGISTRATION RIGHTS AGREEMENT.
A. The Registration Rights Agreement is hereby amended to include
each Additional Purchaser in the definition of "Holder" and to grant to each
Additional Purchaser the same rights granted to each of the Holders under the
Registration Rights Agreement.
B. Each Additional Purchaser hereby agrees to be bound by the terms
of the Registration Rights Agreement, as hereby amended, including but not
limited to the indemnification provisions of Section 2.8.
C. To reflect the modifications to the Registration Rights
Agreement as contemplated by this Amendment, Schedule 1 to the Registration
Rights Agreement is hereby amended to read as indicated on Schedule 1 attached
hereto.
D. Section 2.1 of the Registration Rights Agreement is hereby
amended to extend from 30 days to 46 days the number of days after the Original
Issue Date by which the Company must file a Registration Statement on Form S-3
with the Commission and to extend from 120 days to 136 days the number of days
after the Original Issue Date by which such Registration Statement must be
declared effective by the Commission.
E. Except as expressly modified herein, the Registration Rights
Agreement shall remain in full force and effect.
2
4. This Amendment may be executed in separate counterparts each of
which shall be an original and all of which taken together shall constitute one
and the same agreement.
IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be
duly executed by their respective officers as of the 19th day of June, 2002.
SERVICEWARE TECHNOLOGIES, INC.
By: /S/
------------------------------------------
Name: Xxxxxxx Xxxxxxx
-----------------------------------------
Title: Chief Financial Officer
----------------------------------------
X.X. XXXXXXXXX, TOWBIN PRIVATE
EQUITY PARTNERS II, L.P.
By: /S/
------------------------------------------
Name:
-----------------------------------------
Title:
----------------------------------------
X.X. XXXXXXXXX, TOWBIN PRIVATE
EQUITY PARTNERS II-Q, L.P.
By: /S/
------------------------------------------
Name:
-----------------------------------------
Title:
----------------------------------------
X.X. XXXXXXXXX, TOWBIN CAPITAL
PARTNERS I, L.P.
By: /S/
------------------------------------------
Name:
-----------------------------------------
Title:
----------------------------------------
XXXXXXXX AND XXXXXXXX X.
XXXXXXXXX FOUNDATION, INC.
By: /S/
------------------------------------------
Name:
-----------------------------------------
Title:
----------------------------------------
3
/s/
----------------------------------------------
XXXXXXX XXXXXX
NATIONAL CITY BANK OF PENNSYLVANIA,
TRUSTEE UNDER THE AGREEMENT DATED JUNE 29,
1981, XXXXXXXX XXXXXXXXX, P.C. RETIREMENT PLAN
SHARE OF XXXXXXX X. XXXXXX
By: /S/
------------------------------------------
Name:
-----------------------------------------
Title:
----------------------------------------
ADDITIONAL PURCHASERS
---------------------
BIRCHMERE VENTURES II LP
By:
-------------------------------------------
Xxxx X. Xxxxxxxx, Partner and CFO
/s/
-----------------------------------------------
XXXXXX X. XXXXXXXXX
/S/
-----------------------------------------------
XXXX X. XXXXXXXXX
/s/
-----------------------------------------------
XXXX X. X. XXXXXXXX
/S/
-----------------------------------------------
XXXXX X. XXXXX
/S/
-----------------------------------------------
XXXXX X. XXXXXXX
4
SCHEDULE 1
INVESTORS AND ADDRESSES FOR NOTICES
----------------------------------------------------------------------------- -----------------------------------------
PURCHASER PRINCIPAL AMOUNT OF
NOTES PURCHASED
----------------------------------------------------------------------------- --------------------- -------------------
First Tranche Second Tranche
----------------------------------------------------------------------------- --------------------- -------------------
X.X. Xxxxxxxxx, Towbin Private Equity Partners II, L.P. (1) $ 132,146 $ 117,510
----------------------------------------------------------------------------- --------------------- -------------------
X.X. Xxxxxxxxx, Towbin Private Equity Partners II-Q, L.P. (1) 867,854 927,490
----------------------------------------------------------------------------- --------------------- -------------------
X.X. Xxxxxxxxx, Towbin Capital Partners I, L.P. (1) 265,000 -0-
----------------------------------------------------------------------------- --------------------- -------------------
Xxxxxxxx and Xxxxxxxx X. Xxxxxxxxx Foundation, Inc. (1) 125,000 -0-
----------------------------------------------------------------------------- --------------------- -------------------
Xxxxxxx X. Xxxxxx (2) 25,000 -0-
----------------------------------------------------------------------------- --------------------- -------------------
National City Bank of Pennsylvania, Trustee under the Agreement dated June 10,000 -0-
29, 1981, Xxxxxxxx Xxxxxxxxx, P.C. Retirement Plan Share of Xxxxxxx X.
Xxxxxx (3)
----------------------------------------------------------------------------- --------------------- -------------------
Birchmere Ventures II LP (4) -0- 250,000
----------------------------------------------------------------------------- --------------------- -------------------
Xxxxxx X. Xxxxxxxxx (5) -0- 200,000
----------------------------------------------------------------------------- --------------------- -------------------
Xxxx X. Xxxxxxxxx (5) -0- 50,000
----------------------------------------------------------------------------- --------------------- -------------------
Xxxx X. X. Xxxxxxxx (5) -0- 180,000
----------------------------------------------------------------------------- --------------------- -------------------
Xxxxx X. Xxxxx (5) -0- 50,000
----------------------------------------------------------------------------- --------------------- -------------------
Xxxxx X. Xxxxxxx (5) -0- 50,000
----------------------------------------------------------------------------- --------------------- -------------------
TOTAL $ 1,425,000 $ 1,825,000
----------------------------------------------------------------------------- --------------------- -------------------
(1) Address is 000 Xxxxxxx Xxxxxx, 00xx Xxxxx, Xxx Xxxx, Xxx Xxxx,
00000
(2) Address is 000 Xxxxxxx Xxxx, Xxxxxxxxx, Xxxxxxxxxxxx 00000
(3) Address is c/o National City Bank of Pennsylvania, Attn: Xxxxxxx X.
Xxxxxxxx, 00 Xxxxxxx Xxxxxx, 00xx Xxxxx, Xxxxxxxxxx, Xxxxxxxxxxxx
00000, with a copy to Xx. Xxxxxx at c/o Buchanan Xxxxxxxxx
Professional Corporation, One Oxford Centre, 000 Xxxxx Xxxxxx, 00xx
Xxxxx, Xxxxxxxxxx, Xxxxxxxxxxxx 00000-0000
(4) Address is Xxx Xxxxx Xxxxx Xxxxxx, Xxxxx 000, 00 Xxxxxxx Xxxxxx,
Xxxxxxxxxx, XX 00000.
(5) Address is c/o X. X. Xxxxxxxxx, Towbin, 000 Xxxxxxx Xxxxxx, 00xx
Xxxxx, Xxx Xxxx, Xxx Xxxx, 00000
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