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UNITED STATES

SECURITIES & EXCHANGE COMMISSION

Washington, D.C. 20549

 

SCHEDULE 13D

 

Under the Securities Exchange Act of 1934
(Amendment No. 26)*

 

Monster Beverage Corporation

(Name of Issuer)

 

Common Stock

(Title of Class of Securities)

 

61174X109

(CUSIP Number)

 

Rodney C. Sacks
1 Monster Way
Corona, California 92879
(951) 739-6200

 

(Name, Address and Telephone Number of Person
Authorized to Receive Notices and Communications)

 

December 14, 2017

(Date of Event which Requires Filing of this Statement)

 

If the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of §§ 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following box o.

 

Note: Schedules filed in paper format shall include a signed original and five copies of the schedule, including all exhibits. See § 240.13d-7 for other parties to whom copies are to be sent.

 

*The remainder of this cover page shall be filled out for a reporting person’s initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter disclosures provided in a prior cover page.

 

The information required in the remainder of this cover page shall not be deemed to be “filed” for purpose of Section 18 of the Securities Exchange Act of 1934 (“Act”) or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see the Notes).

 


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Brandon Limited Partnership No. 1

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
WC (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Cayman Islands

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
5,645,568

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
5,645,568

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
5,645,568

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
1.0%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

2


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Brandon Limited Partnership No. 2

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
WC (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Cayman Islands

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
29,386,944

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
29,386,944

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
29,386,944

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
5.2%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

3


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Rodney Cyril Sacks

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
United States of America

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
5,949,876

 

(8)

Shared Voting Power
41,977,380

 

(9)

Sole Dispositive Power
5,949,876

 

(10)

Shared Dispositive Power
41,977,380

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
47,927,256

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
8.4%

 

 

(14)

Type of Reporting Person (See Instructions)
IN

 

4


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Hilton Hiller Schlosberg

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
United Kingdom

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
4,999,918

 

(8)

Shared Voting Power
41,977,380

 

(9)

Sole Dispositive Power
4,999,918

 

(10)

Shared Dispositive Power
41,977,380

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
46,977,298

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
8.3%

 

 

(14)

Type of Reporting Person (See Instructions)
IN

 

5


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Hilrod Holdings IV, L.P.

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Delaware

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
104,772

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
104,772

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
104,772

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.0%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

6


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Hilrod Holdings V, L.P.

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Delaware

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
214,284

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
214,284

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
214,284

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.0%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

7


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Hilrod Holdings VI, L.P.

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Delaware

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
323,700

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
323,700

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
323,700

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.1%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

8


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Hilrod Holdings VII, L.P.

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Delaware

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
120,216

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
120,216

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
120,216

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.0%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

9


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Hilrod Holdings VIII, L.P.

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Delaware

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
568,584

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
568,584

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
568,584

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.1%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

10


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Hilrod Holdings IX, L.P.

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Delaware

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
453,444

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
453,444

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
453,444

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.1%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

11


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Hilrod Holdings X, L.P.

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Delaware

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
249,918

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
249,918

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
249,918

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.0%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

12


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Hilrod Holdings XI, L.P.

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Delaware

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
505,242

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
505,242

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
505,242

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.1%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

13


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Hilrod Holdings XII, L.P.

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Delaware

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
327,186

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
327,186

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
327,186

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.1%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

14


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Hilrod Holdings XIII, L.P.

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Delaware

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
1,440,954

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
1,440,954

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
1,440,954

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.3%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

15


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Hilrod Holdings XIV, L.P.

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Delaware

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
186,790

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
186,790

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
186,790

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.0%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

16


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Hilrod Holdings XV, L.P.

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Delaware

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
4,176

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
4,176

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
4,176

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.0%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

17


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Hilrod Holdings XVI, L.P.

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Delaware

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
0

 

(8)

Shared Voting Power
2,445,602

 

(9)

Sole Dispositive Power
0

 

(10)

Shared Dispositive Power
2,445,602

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
2,445,602

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.4%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

18


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Rodney C. Sacks 2008 Grantor Retained Annuity Trust #2

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
California

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
90,204

 

(8)

Shared Voting Power
0

 

(9)

Sole Dispositive Power
90,204

 

(10)

Shared Dispositive Power
0

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
90,204

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.0%

 

 

(14)

Type of Reporting Person (See Instructions)
OO

 

19


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

Rodney C. Sacks 2009 Grantor Retained Annuity Trust #2

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
California

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
231,363

 

(8)

Shared Voting Power
0

 

(9)

Sole Dispositive Power
231,363

 

(10)

Shared Dispositive Power
0

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
231,363

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.0%

 

 

(14)

Type of Reporting Person (See Instructions)
OO

 

20


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

RCS Direct 2010 Grantor Retained Annuity Trust

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
California

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
105,486

 

(8)

Shared Voting Power
0

 

(9)

Sole Dispositive Power
105,486

 

(10)

Shared Dispositive Power
0

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
105,486

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.0%

 

 

(14)

Type of Reporting Person (See Instructions)
OO

 

21


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

RCS Direct 2010 Grantor Retained Annuity Trust #2

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
California

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
4,836

 

(8)

Shared Voting Power
0

 

(9)

Sole Dispositive Power
4,836

 

(10)

Shared Dispositive Power
0

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
4,836

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.0%

 

 

(14)

Type of Reporting Person (See Instructions)
OO

 

22


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

RCS 2010 Grantor Retained Annuity Trust #3

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
California

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
1,639,842

 

(8)

Shared Voting Power
0

 

(9)

Sole Dispositive Power
1,639,842

 

(10)

Shared Dispositive Power
0

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
1,639,842

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

0.3%

 

 

(14)

Type of Reporting Person (See Instructions)
OO

 

23


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

RCS Direct 2011 Grantor Retained Annuity Trust

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
Delaware

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
80,598

 

(8)

Shared Voting Power
0

 

(9)

Sole Dispositive Power
80,598

 

(10)

Shared Dispositive Power
0

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
80,598

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.0%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

24


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

HHS 2010 Grantor Retained Annuity Trust #3

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
California

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
3,091,215

 

(8)

Shared Voting Power
0

 

(9)

Sole Dispositive Power
3,091,215

 

(10)

Shared Dispositive Power
0

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
3,091,215

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.5%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

25


 

CUSIP No.   61174X109

13D/A

 

 

 

(1)

Names of Reporting Persons

 

HHS 2014 Grantor Retained Annuity Trust #2

 

 

(2)

Check the Appropriate Box if a Member of a Group (See Instructions)

 

 

(a)

 o

 

 

(b)

 o

 

 

(3)

SEC Use Only

 

 

(4)

Source of Funds (See Instructions)
PF (See Item 3)

 

 

(5)

Check if Disclosure of Legal Proceedings Is Required Pursuant to Items 2(d) or 2(e)    o

 

 

(6)

Citizenship or Place of Organization
California

 

Number of
Shares
Beneficially
Owned by
Each
Reporting
Person With

(7)

Sole Voting Power
28,722

 

(8)

Shared Voting Power
0

 

(9)

Sole Dispositive Power
28,722

 

(10)

Shared Dispositive Power
0

 

 

(11)

Aggregate Amount Beneficially Owned by Each Reporting Person
28,722

 

 

(12)

Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See Instructions)   o

 

 

(13)

Percent of Class Represented by Amount in Row (11)
0.0%

 

 

(14)

Type of Reporting Person (See Instructions)
PN

 

26


 

CUSIP No.   61174X109

13D/A

 

 

Introduction

 

This Amendment No. 26 (“Amendment No. 26”) amends the statement on Schedule 13D dated November 21, 1990 (the “Original Statement”), as amended by Amendment No. 1 dated March 29, 1991 (“Amendment No. 1”), Amendment No. 2 dated June 11, 1993 (“Amendment No. 2”), Amendment No. 3 dated August 29, 1994 (“Amendment No. 3”), Amendment No. 4 dated November 22, 2004 (“Amendment No. 4”), Amendment No. 5 dated December 1, 2004 (“Amendment No. 5”), Amendment No. 6 dated December 29, 2005 (“Amendment No. 6”), Amendment No. 7 dated January 13, 2006 (“Amendment No. 7”), Amendment No. 8 dated February 2, 2006 (“Amendment No. 8”), Amendment No. 9 dated February 23, 2010 (“Amendment No. 9”), Amendment No. 10 dated November 23, 2010 (“Amendment No. 10”), Amendment No. 11 dated December 16, 2011 (“Amendment No. 11”), Amendment No. 12 dated April 24, 2012 (“Amendment No. 12”), Amendment No. 13 dated May 21, 2012 (“Amendment No. 13”), Amendment No. 14 dated December 17, 2012 (“Amendment No. 14”), Amendment No. 15 dated March 18, 2013 (“Amendment No. 15”), Amendment No. 16 dated July 29, 2013 (“Amendment No. 16”), Amendment No. 17 dated September 16, 2013 (“Amendment No. 17”), Amendment No. 18 dated December 17, 2013 (“Amendment No. 18”), Amendment No. 19 dated August 18, 2014 (“Amendment No. 19”), Amendment No. 20 dated September 16, 2014 (“Amendment No. 20”), Amendment No. 21 dated December 16, 2014 (“Amendment No. 21”), Amendment No. 22 dated March 17, 2015 (“Amendment No. 22”), Amendment No. 23 dated June 16, 2015 (“Amendment No. 23”), Amendment No. 24 dated May 10, 2016 (“Amendment No. 24”) and Amendment 25 dated June 15, 2016 (“Amendment No. 25”) (the Original Statement, Amendment No. 1, Amendment No. 2, Amendment No. 3, Amendment No. 4, Amendment No. 5, Amendment No. 6, Amendment No. 7, Amendment No. 8, Amendment No. 9, Amendment No. 10, Amendment No. 11, Amendment No. 12, Amendment No. 13, Amendment No. 14, Amendment No. 15, Amendment No. 16, Amendment No. 17, Amendment No. 18, Amendment No. 19, Amendment No. 20, Amendment No. 21, Amendment No. 22, Amendment No. 23, Amendment No. 24, Amendment No. 25 and Amendment No. 26 are sometimes referred to herein collectively as this “statement on Schedule 13D”), relating to the common stock, par value $0.005 per share (“Common Stock”), of Monster Beverage Corporation, a corporation organized under the laws of the state of Delaware (the “Company”).  This Amendment No. 26 reflects transactions and developments through December 14, 2017, relating to such persons’ respective holdings of the Company.  The Reporting Persons may be deemed to constitute a “group” and, accordingly, jointly file this Amendment No. 26.  A joint filing agreement by the Reporting Persons is filed as an exhibit hereto.

 

Any capitalized terms used in this Amendment No. 26 and not otherwise defined herein shall have the meanings ascribed to such terms in the Original Statement, as amended by Amendment No. 1, Amendment No. 2, Amendment No. 3, Amendment No. 4, Amendment No. 5, Amendment No. 6, Amendment No. 7, Amendment No. 8, Amendment No. 9, Amendment No. 10, Amendment No. 11, Amendment No. 12, Amendment No. 13, Amendment No. 14, Amendment No. 15, Amendment No. 16, Amendment No. 17, Amendment No. 18, Amendment No. 19, Amendment No. 20, Amendment No. 21, Amendment No. 22, Amendment No. 23, Amendment No. 24, and Amendment No. 25.

 

This Amendment No. 26 is being filed to reflect the entry into a plan intended to comply with Rule 10b5-1 promulgated under the Act.

 

Item 2.   Identity and Background

 

Item 2(a) is hereby amended by deleting Item 2(a) in its entirety and inserting in lieu thereof the following:

 

(a) The reporting persons are Brandon Limited Partnership No. 1, a limited partnership organized under the laws of the Cayman Islands (“Brandon No. 1”), Brandon Limited Partnership No. 2, a limited partnership organized under the laws of the Cayman Islands (“Brandon No. 2”), Rodney Cyril Sacks, a natural person in his individual capacity (“Mr. Sacks”), Hilton Hiller Schlosberg, a natural person in his individual capacity (“Mr. Schlosberg”), HRS Holdings, L.P., a limited partnership organized under the laws of the state of Delaware (“HRS Holdings”), Hilrod Holdings, L.P., a limited partnership organized under the laws of the state of Delaware (“Hilrod”), Hilrod Holdings IV, L.P., a limited partnership organized under the laws of the state of Delaware (“Hilrod IV”), Hilrod Holdings V, L.P., a limited partnership organized under the laws of the state of Delaware (“Hilrod V”), Hilrod Holdings VI, L.P., a limited partnership organized under the laws of the state of Delaware (“Hilrod VI”), Hilrod Holdings VII, L.P., a limited partnership organized under the laws of the state of Delaware (“Hilrod VII”), Hilrod Holdings VIII, L.P., a limited partnership organized under the laws of the state of Delaware (“Hilrod VIII”), Hilrod Holdings IX, L.P., a limited partnership organized under the laws of the state of Delaware (“Hilrod IX”), Hilrod Holdings X, L.P., a limited partnership organized under the laws of the state of Delaware (“Hilrod X”), Hilrod Holdings XI, L.P., a limited partnership organized under the laws of the state of Delaware (“Hilrod

 

27


 

XI”), Hilrod Holdings XII, L.P., a limited partnership organized under the laws of the state of Delaware (“Hilrod XII”), Hilrod Holdings XIII, L.P., a limited partnership organized under the laws of the state of Delaware (“Hilrod XIII”), Hilrod Holdings XIV, L.P., a limited partnership organized under the laws of the state of Delaware (“Hilrod XIV”), Hilrod Holdings XV, L.P., a limited partnership organized under the laws of the state of Delaware (“Hilrod XV”), Hilrod Holdings XVI, L.P., a limited partnership organized under the laws of the state of Delaware (“Hilrod XVI”), the Rodney C. Sacks 2008 Grantor Retained Annuity Trust #2, a grantor retained annuity trust organized under the laws of California (“RCS 2008”), the Rodney C. Sacks 2009 Grantor Retained Annuity Trust #2, a grantor retained annuity trust organized under the laws of California (“RCS 2009”), the RCS Direct 2010 Grantor Retained Annuity Trust, a grantor retained annuity trust organized under the laws of California (“RCS Direct”), the RCS Direct 2010 Grantor Retained Annuity Trust #2, a grantor retained annuity trust organized under the laws of California (“RCS Direct #2”), the Rodney C. Sacks 2010 Grantor Retained Annuity Trust #3, a grantor retained annuity trust organized under the laws of California (“RCS 2010”), the RCS Direct 2011 Grantor Retained Annuity Trust, a grantor retained annuity trust organized under the laws of California (“RCS Direct 2011”), the HHS 2010 Grantor Retained Annuity Trust #3, a grantor retained annuity trust organized under the laws of California (“HHS 2010”) and HHS 2014 Grantor Retained Annuity Trust #2, a grantor retained annuity trust organized under the laws of California (“HHS 2014”).

 

The general partners of each of Brandon No. 1, Brandon No. 2, HRS Holdings, Hilrod, Hilrod IV, Hilrod V, Hilrod VI, Hilrod VII, Hilrod VIII, Hilrod IX, Hilrod X, Hilrod XI, Hilrod XII, Hilrod XIII, Hilrod XIV, Hilrod XV, and Hilrod XVI are Mr. Sacks and Mr. Schlosberg.

 

Mr. Sacks is the sole trustee of HHS 2010 and HHS 2014. Mr. Schlosberg is the sole trustee of RCS 2008, RCS 2009, RCS Direct, RCS Direct #2, RCS 2010 and RCS Direct 2011.

 

Item 2(b) is hereby amended and supplemented by adding the following:

 

The principal business address for Hilrod XVI is 1 Monster Way, Corona, California 92879.

 

Item 2(c) is hereby amended and supplemented by adding the following:

 

The principal business of Hilrod XVI is to invest in, acquire, hold, sell, dispose of and otherwise deal in shares of the Common Stock and other securities of the Company.

 

Item 2(d) is hereby amended by deleting Item 2(d) in its entirety and inserting in lieu thereof the following:

 

During the last five years, no Reporting Person has been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors).

 

Item 2(e) is hereby amended by deleting Item 2(e) in its entirety and inserting in lieu thereof the following:

 

During the last five years, no Reporting Person was a party to a civil proceeding of a judicial or administrative body of competent jurisdiction as a result of which any Reporting Person was or is subject to a judgment, decree or final order enjoining future violations of, or prohibiting or mandating activities subject to, federal or state securities laws or finding any violation with respect to such laws.

 

 

Item 4.  Purpose of Transaction

 

Item 4 is hereby amended and supplemented by adding the following:

 

On December 14, 2017, Hilrod XVI, Mr. Sacks and Mr. Schlosberg entered into a trading plan, effective as of December 21, 2017 (the “Trading Plan”), with J.P. Morgan Securities LLC (“Broker”) pursuant to which Broker is authorized and directed to sell on behalf of Hilrod XVI, Mr. Sacks and Mr. Schlosberg up to 309,878 shares of Common Stock through February 23, 2018, subject to satisfaction of certain conditions, including, among others, trading price.  A copy of the Trading Plan is being filed as an exhibit hereto and the foregoing description of the Trading Plan is qualified in its entirety by reference to the Trading Plan.

 

28


 

None of the Reporting Persons has any present plans or proposals which relate to or would result in any of the matters set forth in subparagraphs (a)-(j) of Item 4 of Schedule 13D except as otherwise discussed in this Item 4. The Reporting Persons may, from time to time, and reserve the right to, change their plans or intentions and to take any and all actions that they deem appropriate to maximize the value of their investment, including, among other things, from time to time, disposing of any securities of the Company owned by them or formulating other plans or proposals regarding the Company or its securities to the extent deemed advisable by the Reporting Persons in light of market conditions, subsequent developments affecting the Company, the general business and future prospects of the Company, tax considerations and other factors.

 

 

Item 5.   Interest in Securities of the Issuer

 

Item 5 is hereby amended by deleting Item 5 in its entirety and inserting in lieu thereof the following:

 

(a)-(b)  See rows (7) through (10) of the cover pages to this Amendment No. 26 for the number of shares of Common Stock as to which each Reporting Person has sole or shared power to vote or direct the vote and sole or shared power to dispose or to direct the disposition.  See rows (11) and (13) of the cover pages to this Amendment No. 26 for the aggregate number and percentage of shares of Common Stock beneficially owned by each of the Reporting Persons.  Percentages calculated in this Amendment No. 26 with respect to Brandon No. 1, Brandon No. 2, Hilrod IV, Hilrod V, Hilrod VI, Hilrod VII, Hilrod VIII, Hilrod IX, Hilrod X, Hilrod XI, Hilrod XII, Hilrod XIII, Hilrod XIV, Hilrod XV, Hilrod XVI, RCS 2008, RCS 2009, RCS Direct, RCS Direct #2, RCS 2010, RCS Direct 2011, HHS 2010 and HHS 2014 are based upon 566,282,277 shares of Common Stock outstanding as of December 12, 2017 (the “Aggregate Outstanding Shares”).  Percentages calculated in this Amendment No. 26 with respect to each of Mr. Sacks and Mr. Schlosberg are based upon 568,105,677 shares of Common Stock, which is the sum of the Aggregate Outstanding Shares plus the 1,823,400 shares of Common Stock that could be acquired within 60 days of December 14, 2017 by each of Mr. Sacks and Mr. Schlosberg upon the exercise of options to purchase Common Stock held by him.

 

As of December 14, 2017, the aggregate number and percentage of shares of Common Stock beneficially owned by the Reporting Persons is 52,927,174 shares, or 9.3% of the outstanding Common Stock.  Percentages calculated in this Amendment No. 26 with respect to the Reporting Persons as a group are based upon 569,929,077 shares of Common Stock, which is the sum of the Aggregate Outstanding Shares plus the 3,646,800 aggregate shares of Common Stock that could be acquired within 60 days of December 14, 2017 by the Reporting Persons upon the exercise of options to purchase Common Stock.

 

Each of the Reporting Persons disclaims beneficial ownership of the Common Stock held by the other Reporting Persons, except for (a) with respect to Mr. Sacks: (i) 1,006,539 shares of Common Stock beneficially held by him; (ii) 1,823,400 shares presently exercisable or exercisable within 60 days under the stock option agreements; (iii) 1,048 shares beneficially held by Hilrod IV because Mr. Sacks is one of Hilrod IV’s general partners; (iv) 2,143 shares beneficially held by Hilrod V because Mr. Sacks is one of Hilrod V’s general partners; (v) 3,237 shares beneficially held by Hilrod VI because Mr. Sacks is one of Hilrod VI’s general partners; (vi) 1,202 shares beneficially held by Hilrod VII because Mr. Sacks is one of Hilrod VII’s general partners; (vii) 5,686 shares beneficially held by Hilrod VIII because Mr. Sacks is one of Hilrod VIII’s general partners; (viii) 4,534 shares beneficially held by Hilrod IX because Mr. Sacks is one of Hilrod IX’s general partners; (ix) 2,499 shares beneficially held by Hilrod X because Mr. Sacks is one of Hilrod X’s general partners; (x) 5,052 shares beneficially held by Hilrod XI because Mr. Sacks is one of Hilrod XI’s general partners; (xi) 3,272 shares beneficially held by Hilrod XII because Mr. Sacks is one of Hilrod XII’s general partners; (xii) 14,410 shares beneficially held by Hilrod XIII because Mr. Sacks is one of Hilrod XIII’s general partners; (xiii) 1,868 shares beneficially held by Hilrod XIV because Mr. Sacks is one of Hilrod XIV’s general partners, (xiv) 42 shares beneficially held by Hilrod XV because Mr. Sacks is one of Hilrod XV’s general partners; and (xv) 24,456 shares beneficially held by Hilrod XVI because Mr. Sacks is one of Hilrod XVI’s general partners; and (b) with respect to Mr. Schlosberg: (i) 1,024,189 shares of Common Stock beneficially held by him; (ii) 1,823,400 shares presently exercisable or exercisable within 60 days under the stock option agreements; (iii) 1,048 shares beneficially held by Hilrod IV because Mr. Schlosberg is one of Hilrod IV’s general partners; (iv) 2,143  shares beneficially held by Hilrod V because Mr. Schlosberg is one of Hilrod V’s general partners; (v)  3,237 shares beneficially held by Hilrod VI because Mr. Schlosberg is one of Hilrod VI’s general partners; (vi) 1,202 shares beneficially held by Hilrod VII because Mr. Schlosberg is one of Hilrod VII’s general partners; (vii) 5,686 shares beneficially held by Hilrod VIII because Mr. Schlosberg is one of Hilrod VIII’s general partners; (viii) 4,534 shares beneficially held by Hilrod IX because Mr. Schlosberg is one of Hilrod IX’s general partners; (ix) 2,499  shares beneficially held by Hilrod X because Mr. Schlosberg is one of Hilrod X’s general partners; (x) 5,052 shares beneficially held by Hilrod XI because Mr. Schlosberg is one of Hilrod XI’s general partners; (xi) 3,272 shares beneficially held by Hilrod XII because Mr. Schlosberg is one of Hilrod XII’s general partners; (xii) 14,410 shares beneficially held by Hilrod XIII because Mr. Schlosberg is one of Hilrod XIII’s general partners; (xiii) 1,868 shares beneficially held by Hilrod XIV because Mr. Schlosberg is one of Hilrod XIV’s general partners; (xiv) 42 shares beneficially held by Hilrod XV because Mr. Schlosberg is one of Hilrod XV’s general partners; and (xv) 24,456 shares beneficially held by Hilrod XVI because Mr. Schlosberg is one of Hilrod XVI’s general partners.

 

29


 

(c)                                  All transactions effected by the Reporting Persons in the Company’s securities during the past sixty days are set forth in Schedule A hereto.

 

(d)                                 No other person is known to have the right to receive, or the power to direct the receipt of dividends from, or the proceeds from the sale of, such securities.

 

(e)                                  Not applicable.

 

Item 6.  Contracts, Arrangements, Understandings or Relationships with Respect to Securities of the Issuer

 

Item 6 is hereby amended and supplemented by adding the following:

 

See Item 4 above for a description of the Trading Plan, which is incorporated herein by reference.

 

Item 7.   Material to be Filed as Exhibits.

 

1.  Joint Filing Agreement, dated December 18, 2017

2. Trading Plan among Hilrod XVI, Mr. Sacks, Mr. Schlosberg and Broker, dated December 14, 2017.

 

30


 

CUSIP No.   61174X109

13D/A

 

 

SIGNATURES

 

After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct.

 

December 18, 2017

 

 

 

BRANDON LIMITED PARTNERSHIP NO. 1

 

 

 

 

 

 

By:

/s/ Rodney C. Sacks

 

 

 

Name:

Rodney C. Sacks

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

 

 

BRANDON LIMITED PARTNERSHIP NO. 2

 

 

 

 

 

 

By:

/s/ Rodney C. Sacks

 

 

 

Name:

Rodney C. Sacks

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings IV, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings V, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings VI, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings VII, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

Hilrod Holdings VIII, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

31


 

 

 

Hilrod Holdings IX, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings X, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings XI, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings XII, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings XIII, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings XIV, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings XV, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

Hilrod Holdings XVI, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

32


 

 

 

The Rodney C. Sacks 2008 Grantor Retained Annuity Trust #2

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

Trustee

 

 

 

 

 

 

 

 

The Rodney C. Sacks 2009 Grantor Retained Annuity Trust #2

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

Trustee

 

 

 

 

 

 

 

 

 

 

The RCS Direct 2010 Grantor Retained Annuity Trust

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

Trustee

 

 

 

 

 

 

 

 

The RCS Direct 2010 Grantor Retained Annuity Trust #2

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

Trustee

 

 

 

 

 

 

 

 

 

 

The Rodney C. Sacks 2010 Grantor Retained Annuity Trust #3

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

Trustee

 

 

 

 

 

 

The RCS Direct 2011 Grantor Retained Annuity Trust

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

Trustee

 

 

 

 

 

The Hilton H. Schlosberg 2010 Grantor Retained Annuity Trust #3

 

 

 

 

 

 

By:

/s/ Rodney C. Sacks

 

 

 

Name:

Rodney C. Sacks

 

 

 

Title:

Trustee

 

33


 

 

 

The Hilton H. Schlosberg 2014 Grantor Retained Annuity Trust #2

 

 

 

 

 

 

By:

/s/ Rodney C. Sacks

 

 

 

Name:

Rodney C. Sacks

 

 

 

Title:

Trustee

 

 

 

 

 

 

 

/s/ Rodney C. Sacks

 

 

RODNEY C. SACKS

 

 

 

 

 

 

 

 

 /s/ Hilton H. Schlosberg

 

 

HILTON H. SCHLOSBERG

 

34


 

EXHIBIT INDEX

 

1.                                      Joint Filing Agreement, dated December 18, 2017

 

2.                                      Trading Plan between Hilrod Holdings XVI, L.P., Rodney C. Sacks, Hilton H. Schlosberg and J.P. Morgan Securities LLC, dated December 14, 2017

 

35


 

SCHEDULE A

 

The following are the transactions in the Company’s securities within the past sixty days:

 

 

Date of Transaction

No. of Securities
Acquired/(Disposed Of)

Average Price Per
Security

Range of Prices Per
Security

Hilrod Holdings XVI, L.P.

12/12/2017

376,236 (1)

$5.29

N/A

Hilrod Holdings XVI, L.P.

12/12/2017

(179,824)(2)

$62.91

N/A

Mr. Sacks

12/12/2017

56,733 (1)

$5.29

N/A

Mr. Schlosberg

12/12/2017

56,733 (1)

$5.29

N/A

 

(1) Represents an exercise of employee stock options.

(2) Represents shares of Common Stock withheld to cover taxes due upon the exercise of stock options.

 

36

Exhibit 1

 

 

JOINT FILING AGREEMENT

PURSUANT TO RULE 13d-1(k)

 

 

The undersigned acknowledge and agree that the foregoing statement on Schedule 13D is filed on behalf of each of the undersigned and that all subsequent amendments to this statement on Schedule 13D may be filed on behalf of each of the undersigned without the necessity of filing additional joint filing agreements. The undersigned acknowledge that each shall be responsible for the timely filing of such amendments, and for the completeness and accuracy of the information concerning him or it contained herein or therein, but shall not be responsible for the completeness and accuracy of the information concerning the others, except to the extent that he or it knows or has reason to believe that such information is inaccurate.

 

 

Dated as of December 18, 2017

 

 

 

BRANDON LIMITED PARTNERSHIP NO. 1

 

 

 

 

 

 

By:

/s/ Rodney C. Sacks

 

 

 

Name:

Rodney C. Sacks

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

 

 

BRANDON LIMITED PARTNERSHIP NO. 2

 

 

 

 

 

 

By:

/s/ Rodney C. Sacks

 

 

 

Name:

Rodney C. Sacks

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings IV, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings V, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings VI, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

37


 

 

 

Hilrod Holdings VII, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

Hilrod Holdings VIII, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings IX, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings X, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings XI, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings XII, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings XIII, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

 

 

 

Hilrod Holdings XIV, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

38


 

 

 

Hilrod Holdings XV, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

Hilrod Holdings XVI, L.P.

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

General Partner

 

 

 

 

 

The Rodney C. Sacks 2008 Grantor Retained Annuity Trust #2

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

Trustee

 

 

 

 

 

 

 

 

The Rodney C. Sacks 2009 Grantor Retained Annuity Trust #2

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

Trustee

 

 

 

 

 

 

 

 

 

 

The RCS Direct 2010 Grantor Retained Annuity Trust

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

Trustee

 

 

 

 

 

 

 

 

The RCS Direct 2010 Grantor Retained Annuity Trust #2

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

Trustee

 

 

 

 

 

 

 

 

 

 

The Rodney C. Sacks 2010 Grantor Retained Annuity Trust #3

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

Trustee

 

 

 

 

 

 

The RCS Direct 2011 Grantor Retained Annuity Trust

 

 

 

 

 

 

By:

/s/ Hilton H. Schlosberg

 

 

 

Name:

Hilton H. Schlosberg

 

 

 

Title:

Trustee

 

 

 

 

 

The Hilton H. Schlosberg 2010 Grantor Retained Annuity Trust #3

 

 

 

 

 

 

By:

/s/ Rodney C. Sacks

 

 

 

Name:

Rodney C. Sacks

 

 

 

Title:

Trustee

 

39


 

 

 

 

 

 

 

The Hilton H. Schlosberg 2014 Grantor Retained Annuity Trust #2

 

 

 

 

 

 

By:

/s/ Rodney C. Sacks

 

 

 

Name:

Rodney C. Sacks

 

 

 

Title:

Trustee

 

 

 

 

 

 

 

/s/ Rodney C. Sacks

 

 

RODNEY C. SACKS

 

 

 

 

 

/s/ Hilton H. Schlosberg

 

 

HILTON H. SCHLOSBERG

 

40

Exhibit 2

 

Sales Plan

 

Sales Plan, adopted December 14, 2017 (the “Sales Plan”), between
Hilrod Holdings XVI, L.P., Rodney Sacks and Hilton Schlosberg (collectively referred to herein as, “Seller”) and J.P. Morgan Securities LLC (“JPMS”).  The purpose of this Sales Plan is to achieve the investment objectives of broader diversification of investments, while reducing the risk of over concentration in a particular investment.

 

RECITALS

 

WHEREAS, the Seller desires to establish this Sales Plan to sell common shares (the “Stock”) of Monster Beverage Corporation (“the “Issuer”); and

 

WHEREAS, the Seller desires to sell a total of 309,878 shares of Stock (the “Total Plan Shares”), and

 

WHEREAS, the Seller desires to engage JPMS to effect sales of shares of Stock in accordance with the Sales Plan;

 

NOW, THEREFORE, the Seller and JPMS hereby agree as follows:

 

A.  IMPLEMENTATION OF THE SALES PLAN

 

1.     JPMS shall effect sales (each a “Sale”) of shares of Stock only on days on which the Nasdaq Global Select (the “Exchange”) is open and the Stock trades regular way on the Exchange, pursuant to the specific instructions specified on Schedule A.

 

2.     Seller acknowledges and agrees that JPMS will handle the above order on a best efforts basis.  In the event any limit prices of orders are away from the prevailing market prices at any time, there can be no assurance that such orders will be executed in whole or in part.  Seller agrees that all orders may be partially executed and will not be treated as an all or none order.  JPMS may effect sales of Stock which may coincide with sales of Stock by other accounts held with JPMS including, but not limited to, sales made pursuant to other sales plans with JPMS.  In such instances, JPMS will make allocations in a manner believed by JPMS to be equitable to each client.  JPMS may aggregate sales of Stock under the Sales Plan with sales of the Stock by other JPMS accounts.

 

3.     Seller agrees to deposit 309,878 shares of Stock into the JPMorgan Chase Bank, N.A. Asset Custody Account or JPMS Margin Brokerage Account (“Account”).  JPMS reserves the right to suspend or cancel this Sales Plan prior to the first Sale if the shares of Stock have not been deposited into an Account for any reason.  JPMS shall withdraw Stock from the Seller’s Account in order to effect sales of Stock under this Sales Plan.  If on any day that sales are to be made under this Sales Plan the number of shares of Stock in the Seller’s Account is less than the number of shares to be sold on such day, then JPMS shall notify Seller promptly of such deficiency, and Seller agrees to promptly deposit into the Account the number of shares of Stock necessary to eliminate such deficiency.

 


 

4.     Seller agrees not to remove or transfer shares of Stock out of the Account in any manner that would cause an alteration of, or deviation from, the terms of this Sales Plan.

 

5.     To the extent that any Stock remains in the Seller’s Account upon termination of this Sales Plan, JPMS agrees to return any such Stock for which JPMS had restrictions removed for the purpose of this Sales Plan promptly to the Issuer’s transfer agent for relegending to the extent that such Stock would then be subject to transfer restrictions in the hands of the Seller.

 

6.     JPMS will deduct its reasonable and customary commissions from the proceeds of sales of Stock under this Sales Plan, together with any other expenses incurred by JPMS in connection with such sales.

 

7.     The Total Plan Shares, the shares to be sold on a particular day, and the limit prices, shall be adjusted automatically on a proportionate basis to take into account any stock split, reverse stock split or stock dividend with respect to the Stock or any change in capitalization with respect to the Issuer that occurs during the term of this Sales Plan.

 

8.     Subject to Paragraph F.5, this Sales Plan shall become effective on December 21, 2017 (“Effective Date”), and shall terminate on the earlier of (a) the close of business on February 23, 2018; (b) the date on which the Total Plan Shares have been sold; (c) the date this Sales Plan is terminated pursuant to Section E; (d) the date on which the unit of JPMS responsible for executing sales of Stock pursuant to this Sales Plan receives notice or otherwise becomes aware of (i) the closing of a tender or exchange offer with respect to the Stock or of a merger, acquisition, reorganization, recapitalization or comparable transaction affecting the securities of the Issuer as a result of which the Stock is to be exchanged or converted into shares of another company or for other consideration; (ii) the death or mental incapacity of the Seller; or (iii) the commencement or impending commencement of any proceedings in respect of or triggered by Seller’s bankruptcy or insolvency. Notwithstanding the above, this Sales Plan shall not be considered effective, but instead shall be considered null and void, if at least one of the accounts referenced in A.3 above has not been established in the name of Seller and open for the receipt of Stock by the Effective Date. Seller understands that such an account cannot be opened until JPMS and its affiliates have performed customer due diligence and customer identification in accordance with internal policies and procedures and relevant federal laws including, but not limited to, the Bank Secrecy Act as amended by the USA PATRIOT Act and the regulations promulgated thereunder.  Seller understands that there may be significant time delays during this process and that an account may not be open for the receipt of Stock by the Effective Date.

 

2


 

9.         Seller acknowledges and agrees that he does not have authority, influence or control over any sales of Stock effected by JPMS pursuant to this Sales Plan, and will not attempt to exercise any authority, influence or control over such sales.  JPMS agrees not to seek advice from Seller with respect to the manner in which it effects sales under this Sales Plan.  JPMS shall execute the trades in such a way as to attempt to minimize the negative price impact on the market and to attempt to maximize the prices obtained for the shares sold.  JPMS may use its discretion in how to work the order to attempt to achieve the best execution above the minimum price per share, but at no time will the Seller communicate to JPMS any instructions on how to execute the order.

 

10.   Seller will be notified of all transactions pursuant to customary trade confirmations that are provided in the normal course of business.  In addition, JPMS will use reasonable best efforts to notify both the Issuer and the Seller via email of each transaction pursuant to this Sales Plan no later than one business day after the trading date of such transaction.  Such notifications shall be sent to the following distribution list:

 

(i) [________________];

 

(ii) [________________];

 

(iii) [________________];

 

or such other persons as Issuer may direct in writing from time to time.

 

11.   Seller understands that JPMS may not be able to effect a sale due to a market disruption or a legal, regulatory or contractual restriction applicable to JPMS, an insufficient number of shares of Stock being in the Account, JPMS having received written confirmation from the Issuer that the Issuer has not complied with the reporting requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934 (the “Exchange Act”) that are a condition to complying with Rule 144 or 145 under the Securities Act of 1933 (the “Securities Act”), or a pending sale under this Sales Plan causing Seller to exceed any applicable volume limitations of Rule 144 or 145 under the Securities Act.  If any sale cannot be executed as required by Paragraph A.1 due to: (a) Issuer not complying with the reporting requirements of Section 13 or 15(d) of the Exchange Act that are a condition to complying with Rule 144 or 145 under the Securities Act, JPMS will carry over any unsold shares to be sold in whole or in increments pursuant to the terms of Schedule A as and when the Issuer has provided written confirmation to JPMS that the Issuer is currently compliant with such reporting requirements; (b) the applicable volume limitations of Rule 144 or 145 under the Securities Act, then JPMS will recalculate the volume limitations on a weekly basis and carry over any unsold shares to be sold in whole or in increments pursuant to the terms of Schedule A as and when the volume limitations permit; or (c) a market disruption, a legal, regulatory or contractual restriction applicable to JPMS or any other such event, such sale shall be cancelled and shall not be effected pursuant to this Sales Plan, and, notwithstanding any language to the contrary herein, there shall be no carryover associated with such cancelled sale other than as set forth in Schedule A.

 

3


 

12.   It is the intent of the parties that this Sales Plan comply with the requirements of Rule 10b5-1(c)(1)(i)(B) under the Exchange Act and this Sales Plan shall be interpreted to comply with the requirements of Rule 10b5-1(c).

 

13.   In the event that it is necessary for JPMS to borrow or purchase shares of Stock in order to complete any sale on behalf of Seller pursuant to this Sales Plan, Seller authorizes JPMS to borrow or purchase such shares and agrees to be responsible for any expense or loss which JPMS may sustain relating to such borrowing or purchase, including any expense or loss JPMS may sustain as a result of its inability to borrow or purchase shares of Stock to complete its delivery obligation.

 

B.  RULES 144 AND 145

 

The following three paragraphs shall only apply to Sellers who are subject to Rules 144 and 145.

 

1.     JPMS agrees to conduct all sales in accordance with the manner of sale requirement of Rule 144 or 145 under the Securities Act, and in no event shall JPMS effect any such sale if such sale would exceed the then applicable volume limitation under Rule 144, assuming JPMS’s sales under this Sales Plan and those notified to JPMS pursuant to Paragraph B.3 are the only sales subject to that limitation.  JPMS will be responsible for completing and filing on behalf of the Seller the required Form 144s that Seller shall execute and provide, as requested by JPMS. Seller understands and agrees that JPMS shall make one Form 144 filing at the start of each three-month period with the initial filing made on the date on which the first order to sell Stock is placed hereunder.

 

2.     Each such Form 144 shall state that the sales thereunder are being made pursuant to a previously adopted plan intended to comply with Rule 10b5-1(c), shall include the date the Seller adopted this Sales Plan and shall indicate that the representation regarding the Seller’s knowledge of material information speaks as of the adoption date of this Sales Plan.

 

3.     Seller agrees not to take any action that would cause the sales not to comply with Rule 144 or 145, and Seller agrees not to cause any person or entity with which Seller would be required to aggregate sales of Stock pursuant to paragraph (a)(2) or (e) of Rule 144 to take any action that would cause the sales not to comply with Rules 144 or 145.  Seller will provide notice of any such transactions during the three months preceding the date hereof and may not enter into any other selling program or transaction without the prior consent of JPMS.

 

4


 

C.  REPRESENTATIONS AND AGREEMENTS OF SELLER

 

1.     Seller represents and warrants that as of the time of execution of, and entering into, this Sales Plan: (a) to the best of Seller’s knowledge there is no blackout period (as defined in 17 C.F.R. Section 245.100(b), a “Blackout Period”) in effect for Issuer, (b) the Seller is not aware of material, nonpublic information with respect to the Issuer or any securities of the Issuer (including the Stock) or of the actual or approximate beginning or ending dates of a Blackout Period for Issuer, and (c) the Seller is entering into this Sales Plan, and the transactions contemplated herein, in good faith and not as part of a plan or scheme to evade the prohibitions of any applicable laws or regulations, such as Rule 10b5-1 under the Exchange Act.

 

2.     At the time of Seller’s execution of this Sales Plan, Seller has not entered into or altered a corresponding or hedging transaction with respect to the Total Plan Shares.  Seller agrees not to enter into any such transaction while this Sales Plan remains in effect.

 

3.     Seller agrees to make all filings, if any, required under and monitor his own compliance with Sections 13(d), 13(g) and 16 of the Exchange Act.

 

4.     Except as provided in Paragraph B.1, Seller acknowledges and agrees that JPMS has no duty to determine whether Seller has violated Rules 144 or 145 under the Securities Act, Sections 13(d), 13(g) or 16 of the Exchange Act or the rules adopted by the SEC thereunder, or any other laws or regulations applicable to the Seller in connection with this Sales Plan.  Seller understands that this Sales Plan in no way alters his obligations and responsibilities under Section 16, including those prohibitions against short swing profits.

 

5.     Seller understands that the laws and regulations of U.S. states or non-United States jurisdictions (collectively, “State or Foreign Regulation”) may impose further restrictions or limitations on sales of shares of Stock by or on behalf of Seller. State or Foreign Regulation may include, without limitation, the European Union Market Abuse Regulation (Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014). Seller acknowledges and agrees that JPMS has no duty to determine whether any State or Foreign Regulation would impose restrictions or limitations on this Sales Plan. Seller understands that this Sales Plan in no way alters his obligations and responsibilities, or the obligations and responsibilities of the Issuer, under State or Foreign Regulation. For the avoidance of doubt, references in this Sales Plan to applicable laws, regulations and legal/regulatory restrictions shall be construed to include any applicable State and Foreign Regulation.

 

6.     Seller acknowledges and agrees that JPMS has not provided Seller with any tax, accounting or legal advice.  Seller understands that he should seek the advice of counsel regarding this Sales Plan and the various securities and tax law issues related thereto.

 

7.     Seller agrees to notify JPMS immediately in the event of trading restrictions being imposed as the result of any applicable regulatory prohibition or lock up event restricting sales by or on behalf of affiliates, such as a stock offering or tender offer.

 

5


 

8.     Seller represents and warrants that he is able to sell shares of Stock, as contemplated by this Sales Plan, in accordance with the Issuer’s insider trading policies and Seller has obtained the acknowledgement of the Issuer to enter into this Sales Plan. Seller further represents and warrants that the Stock is not subject to any liens, security interests or other impediments to transfer (except for limitations imposed by Rules 144 or 145, if applicable).

 

D.  INDEMNIFICATION AND LIMITATION ON LIABILITY

 

1.     Seller agrees to indemnify and hold harmless JPMS and its directors, officers, employees and affiliates from and against all claims, losses, damages and liabilities (including without limitation, any legal or other expenses reasonably incurred in connection with defending or investigating any such action or claim) arising out of or attributable to JPMS’s actions taken or not taken in compliance with this Sales Plan or arising out of or attributable to any breach by Seller of this Sales Plan (including Seller’s representations and warranties hereunder) or any violation by Seller of applicable laws or regulations.  This indemnification shall survive termination of this Sales Plan.  Notwithstanding the foregoing, Seller shall have no indemnification obligation to the extent any claims, losses, damages or liabilities are due to the gross negligence, recklessness or willful misconduct of JPMS or any other indemnified person.

 

2.     Notwithstanding any other provision hereof, JPMS shall not be liable to Seller for: (a) special, indirect, punitive, exemplary or consequential damages, or incidental losses or damages of any kind, even if advised of the possibility of such losses or damages or if such losses or damages could have been reasonably foreseen; or (b) any failure to perform or to cease performance or any delay in performance that results from a cause or circumstance that is beyond its reasonable control, including but not limited to failure of electronic or mechanical equipment, strikes, failure of common carrier or utility systems, severe weather, market disruptions or other causes commonly known as “acts of God”.

 

E.  SUSPENSION, TERMINATION AND AMENDMENT

 

1.     This Sales Plan may be (a) suspended or terminated by Issuer at any time upon one business day prior written notice or (b) terminated by Seller at any time upon one business day prior written notice; provided however that JPMS may in its sole discretion decide to suspend or terminate on the same business day that written notice is provided, if JPMS deems such action practicable.  Any such suspension or termination shall be made in good faith and not as a part of a plan or scheme to evade the prohibitions of Rule 10b5-1 or other applicable securities laws.  JPMS will require certain representations from Seller and acknowledgement of Issuer as a condition to such suspension or termination.

 

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2.     This Sales Plan shall be suspended, or at JPMS’s option, terminated, if JPMS receives notice, whether pursuant to Paragraph C.7 or otherwise, of (a) the occurrence of any legal, contractual or regulatory restriction applicable to Seller or its affiliates, including without limitation, any restriction related to a merger or acquisition, or (b) a stock offering requiring an affiliate lock-up, that would prohibit sales pursuant to this Sales Plan, or (c) if the Stock has been delisted from the Exchange, or becomes subject to the delisting procedure from the Exchange.

 

3.     Seller may amend or modify this Sales Plan only upon the written consent of JPMS.  Any such amendment or modification shall be made in good faith and not as a part of a plan or scheme to evade the prohibitions of Rule 10b5-1 or other applicable securities laws.  Seller agrees that he will not amend or modify this Sales Plan at any time:  (a) that a Blackout Period is in effect for Issuer or (b) that he is aware of any material non-public information about the Issuer and/or the Stock or of the actual or approximate beginning or ending dates of a Blackout Period for Issuer.  JPMS will require certain representations from Seller and acknowledgement of Issuer as a condition to such amendment or modification.

 

F.  GENERAL

 

1.     This Sales Plan shall be governed by and construed in accordance with the laws of the State of New York without reference to choice of law principles and may be modified or amended only by a writing signed by the parties hereto and acknowledged by the Issuer.

 

2.     This Sales Plan shall be subject to all terms and conditions governing the Seller’s Account, including the General Terms for Accounts and Services, the Asset Account Agreement and the JPMS Brokerage Agreement, including such provisions dealing with binding arbitration and waiving the right to litigate.  This Sales Plan, together with the terms and conditions referenced in the preceding sentence, as well as any amendments or modifications made pursuant to this Sales Plan and those terms and conditions, represent the complete agreement between the parties on these subjects.

 

3.     All notices to JPMS under this Sales Plan shall be given to JPMS by facsimile at (212) 464-1118 or by certified mail at J.P. Morgan Securities LLC., 270 Park Avenue, 5th Floor, New York, NY  10017, Attn:  Richelle Mackiewicz.

 

4.     Seller’s rights and obligations under this Sales Plan may not be assigned or delegated without the written permission of JPMS.

 

5.     This Sales Plan shall not be effective until executed by Seller and JPMS, and acknowledged by Issuer.  This Sales Plan may be signed in any number of counterparts, each of which shall be an original, with the same effect as if the signatures thereto were upon the same instrument.

 

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Signature(s):

 

 

 

 

 

 

 

 

Hilrod Holdings XVI, L.P.

 

 

 

 

 

 

 

 

By:

/s/ Hilton Schlosberg

 

December 14, 2017

 

 

 

Name: Hilton Schlosberg

 

 

 

Title: General Partner

 

 

 

 

 

 

 

/s/ Hilton Schlosberg

 

December 14, 2017

 

 

 

Hilton Schlosberg

 

 

 

 

 

 

 

 

 

 

 

/s/ Rodney Sacks

 

December 14, 2017

 

 

 

Rodney Sacks

 

 

 

 

 

 

 

 

J.P. Morgan Securities LLC

 

 

 

 

 

 

 

 

By:

/s/Richelle Mackiewicz

 

December 14, 2017

 

 

 

Name:  Richelle Mackiewicz

 

Title:    Managing Director

 

 

 

 

Acknowledged:

 

Monster Beverage Corporation

 

By:

/s/ Paul Dechary

 

December 14, 2017

 

Name: Paul Dechary

 

Title: Senior Vice President and Deputy General Counsel

 

Address: 1 Monster Way, Corona CA 92879

 

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