Crossroads Systems, Inc. (NASDAQ:CRDS) Files An 8-K Termination of a Material Definitive AgreementItem 1.02.
On July 10, 2017, Crossroads Systems, Inc. (the “Company”) received an early termination notice from Intrepidus Holdings LLC (“Intrepidus”) in connection with that certain Investment Agreement entered into as of October 27, 2015 (the “Agreement”) by and among the Company, Intrepidus and TQ Zeta LLC (“TQ Zeta” and, together with Intrepidus, the “Investors”), following receipt of notice from the Company of termination of its inter partes review (“IPR”) proceedings. On July 12, 2017, the Company received an early termination notice from TQ Zeta in connection with the Agreement.
to the Agreement, the Investors paid $10 million to the Company, to be used by the Company for the repayment of outstanding indebtedness obligations to CF DB EZ LLC (as assignee of Fortress Credit Co. LLC) in the approximate amount of $2.7 million and the payment of certain permitted expenses related to the Company’s legal, licensing and other expenses related to the Company’s ’972 patent family. As previously disclosed, the Company received two decisions from the United States Court of Appeals for the Federal Circuit in connection with its IPR proceedings affirming the decisions of the Patent Trial and Appeal Board of the United States Patent and Trademark Office that the Company’s patent claims subject to such IPRs are unpatentable. to the terms of the Agreement, the Company returned to each of Intrepidus and TQ Zeta the portion of funds allocated to such Investor of the aggregate remaining amount of $420,594.90. Following such full repayment by the Company to the Investors, the Agreement terminated.
About Crossroads Systems, Inc. (NASDAQ:CRDS)
Crossroads Systems, Inc. is a provider of data storage solutions. The Company develops technology and products that address information technology challenges, such as storing and protecting business data. Its products are delivered either as software or as software embedded in an appliance. Its products include StrongBox, which is a storage gateway solution that integrates storage tiers and technologies to simplify data management and enables data preservation; StrongBox VM, which is a software version of StrongBox that runs on VMware ESXi servers; StrongBox DataManager, which is a software enhancement to StrongBox that provides file migration from storage systems, such as NetApp, Linux and other servers; StrongBox VSeries Tape Libraries, which are paired with the StrongBox or StrongBox VM to provide customers a data storage solution; SPHiNX, which a virtual tape system that provides data protection, and FileStor HSM, which provides file management for policy-based data migration.
