On September 1, 2022, Clearwater Compliance LLC (Parent) completed the previously announced acquisition of CynergisTek, Inc. (the Company or CynergisTek), pursuant to an Agreement and Plan of Merger, dated as of May 23, 2022 (the Merger Agreement), by and among the Company, Parent and Clearwater Compliance Acquisition Company I, a Delaware corporation and a wholly owned subsidiary of Parent (the Merger Sub).   Parent is a portfolio company of funds affiliated with Altaris Capital Partners, LLC (Altaris). On September 1, 2022, pursuant to the terms of the Merger Agreement and in accordance with the Delaware General Corporation Law, as amended, Merger Sub merged with and into CynergisTek (the Merger) with CynergisTek continuing as the surviving corporation and a wholly owned subsidiary of Parent (the Surviving Corporation).

Pursuant to the Merger Agreement, at the Effective Time, Michael McMillan resigned from his positions as Chief Executive Officer of CynergisTek.  As of the Effective Time, Steve Cagle has been appointed as the Chief Executive Officer of the Surviving Corporation.