Purpose of Amendment.
This Amendment No. 1 (this “Amendment”) amends and supplements the Solicitation/Recommendation Statement on Schedule 14D-9 of Synacor, Inc., a Delaware corporation (the “Company”), filed with the United States Securities and Exchange Commission (the “SEC”) on March 3, 2021 (the “Schedule 14D-9”). The Schedule 14D-9 relates to the tender offer (the “Offer”) made by SY Merger Sub Corporation, a Delaware corporation (“Purchaser”) and an
indirect, wholly-owned subsidiary of CLP SY Holding, LLC, a Delaware corporation (“Parent”), to purchase all of the outstanding shares of the Company’s common stock, par value $0.01 per share (the “Shares”), at a purchase
price of $2.20 per Share, payable net to the seller in cash, without interest, subject to any withholding of taxes required by applicable law, upon the terms and subject to the conditions set forth in the Offer to Purchase, dated March 3, 2021,
and in the related Letter of Transmittal. The Offer is described in a Tender Offer Statement on Schedule TO, filed by Parent, Purchaser, SY Holding Corporation and Centre Lane Partners V, L.P. with the SEC on March 3, 2021.
Except as otherwise set forth below, the information set forth in the Schedule 14D-9 remains unchanged and is
incorporated by reference as relevant to the items in this Amendment. Capitalized terms used and not defined herein shall have the meanings assigned to such terms in the Schedule 14D-9. This Amendment is being
filed to reflect certain updates as reflected below.
Item 8. Additional Information.
Item 8 of the Schedule 14D-9 is hereby amended and supplemented by deleting the text under Item 8(f) of the
Schedule 14D-9 with the heading entitled “Legal Proceedings” in its entirety and replacing it with the following:
“On March 9 and March 10, 2021, respectively, complaints captioned Cave v. Synacor, Inc., et al., Case No. 1:21-cv-02037 (the “Cave Complaint”), and Delgado v. Synacor, Inc., et al., Case No.
1:21-cv-02054 (the “Delgado Complaint” and together with the Cave Complaint, the “Complaints”) were each filed in the United States District Court
for the Southern District of New York against the Company and each member of the Company Board. Each of the Complaints was brought on behalf of a purported stockholder of the Company.
Each of the Complaints generally alleges violations of Sections 14(e), 14(d), and 20(a) of the Exchange Act and Rule 14d-9 promulgated thereunder and asserts common law claims of breach of fiduciary duty against members of the Company Board, and, in the case of the Cave Complaint, claims of aiding and abetting a breach of
fiduciary duty against the Company. In particular, each of the Complaints generally allege that the Schedule 14D-9 contains materially misleading and incomplete information concerning: (i) the background
and process leading up to the Offer and the Merger, including, with respect to the Cave Complaint, certain conflicts of interest involving management; (ii) the Company’s financial projections; and (iii) the fairness opinion and
financial analyses performed by Canaccord Genuity. The Cave Complaint also alleges that the members of the Company Board breached their fiduciary duties of care, loyalty and good faith owed to the plaintiff in connection with the Offer and the
Merger. The Delgado Complaint also alleges that the members of the Company Board breached their fiduciary duties of candor and disclosure owed to the plaintiff with respect to the disclosures included in or omitted from the Schedule 14D-9.
The Cave Complaint seeks, among other things: (i) to enjoin the defendants from proceeding
with the Offer and the Merger; (ii) to rescind the Offer and the Merger or recover damages in the event that the Offer and Merger are consummated; (iii) to declare that the Merger Agreement was agreed to in breach of the Company
Board’s fiduciary duties and is therefore unlawful and unenforceable; (iv) to direct the members of the Company Board to exercise their fiduciary duties to commence a sale process that is reasonably designed to secure the best possible
consideration for the Company and obtain a transaction which is in the best interests of Company and the plaintiff as a purported Company stockholder; (v) to direct the Company and the Company Board to account to plaintiff for damages
sustained; and (vi) an award of costs of bringing the lawsuit, including attorneys’ and experts’ fees.
The Delgado
Complaint seeks, among other things: (i) to enjoin the defendants from proceeding with the Offer unless the Company discloses additional information discussed in the Delgado Complaint; (ii) to direct the Company and the Company Board to
account to plaintiff for damages sustained; and (iii) an award of costs of bringing the lawsuit, including attorneys’ and experts’ fees.
The Company believes that each of the Complaints is wholly without merit.
Additional legal proceedings arising out of, or relating to, the Offer or the Merger may be filed in the future.”
