EHEALTH, INC. (NASDAQ:EHTH) Files An 8-K Entry into a Material Definitive Agreement
Item 2.03. Entry into a Material Definitive Agreement.
On March 20, 2019, eHealth, Inc., (the “Company”) via its wholly-owned subsidiary, eHealthInsurance Services, Inc. entered into an Amendment No. 3 to Lease (the “Lease Amendment”) with SLC Lake Pointe SPE LLC (“Landlord”) to amend the Office Lease dated May 7, 2012, as amended (the “Lease”) relating to the Company’s office space in Utah. The Lease Amendment provides for the expansion of the premises by approximately 12,898 rentable square feet (the “2019 Expansion Space”) and the extension of the term of the Lease. Upon inclusion of the 2019 Expansion Space, the Company will lease approximately 41,813 rentable square feet of office space (the “Premises”) from Landlord. The term of the Lease for the 2019 Expansion Space is expected to commence on May 1, 2019 (the “2019 Expansion Space Commencement Date”) and run conterminous with the term of the Lease for the existing space. The Lease Amendment extends the term of the Lease with respect to the entire Premises to the last day of the month that is eighty-four (84) months after the 2019 Expansion Space Commencement Date, or an estimated lease expiration date of April 30, 2026. The total base rent beginning on the 2019 Expansion Space Commencement Date through the term of the Lease is expected to be $7,169,218. In addition to a monthly base rent, the Company will continue pay to the Landlord as additional rent its proportionate share of certain operating expenses, insurance costs and taxes for each calendar year during the term of the Lease. Notwithstanding the foregoing, the Company has the right to terminate the Lease on the last day of the month that is sixty (60) months after the 2019 Expansion Space Commencement Date, provided the Company provides written notice to Landlord no later than the last day of the month that is forty-eight (48) months after the 2019 Expansion Space Commencement Date. In addition, the Company has an option to extend the Lease for one additional period of five (5) years at the end of the term of the Lease. As an inducement to enter into the Lease Amendment, the Landlord also agreed to provide the Company with an improvement allowance in the amount of up to $257,960 to pay for the cost of improvements to the 2019 Expansion Space and to abate the base rent for the 2019 Expansion Space for four months.
The foregoing description of the terms of the Lease Amendment does not purport to be complete and is qualified in its entirety by reference to the full text of the Lease Amendment, a copy of which is attached hereto as Exhibit 10.1.
Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.
The discussion contained in “Item 2.03 Entry into a Material Definitive Agreement” of this Current Report on Form 8-K is incorporated into this Item 2.03 by reference.
Item 2.03. Financial Statements and Exhibits.
(d) Exhibits.
eHealth, Inc. Exhibit
EX-10.1 2 amendmentno3toslcleasema….
To view the full exhibit click here
About EHEALTH, INC. (NASDAQ:EHTH)
eHealth, Inc. provides a private online source of health insurance for individuals, families and small businesses. The Company is the parent company of eHealthInsurance, a private health insurance exchange where individuals, families and small businesses can compare health insurance products from various insurers side-by-side, and purchase and enroll in coverage online through its Websites (www.eHealth.com, www.eHealthInsurance.com, www.eHealthMedicare.com, www.Medicare.com and www.PlanPrescriber.com) or telephonically through its customer care centers. The Company also offers various online and pharmacy-based tools to help seniors navigate Medicare health insurance options, choose the right plan, and enroll in plans online or telephonically. It markets the availability of individual and family, small business and ancillary health insurance plans of various insurance carriers through its e-commerce platforms (www.eHealth.com and www.eHealthInsurance.com).