NEITHER
THE ISSUANCE AND SALE OF THE SECURITIES REPRESENTED BY THIS CERTIFICATE NOR THE
SECURITIES INTO WHICH THESE SECURITIES ARE EXERCISABLE HAVE BEEN REGISTERED
UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES
LAWS. THE SECURITIES MAY NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED
OR ASSIGNED (I) IN THE ABSENCE OF (A) AN EFFECTIVE REGISTRATION STATEMENT FOR
THE SECURITIES UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR (B) AN OPINION
OF COUNSEL REASONABLY SATISFACTORY TO THE COMPANY, THAT REGISTRATION IS NOT
REQUIRED UNDER SAID ACT OR (II) UNLESS SOLD PURSUANT TO RULE 144 OR RULE 144A
UNDER SAID ACT.
Right to
Purchase ______ shares of Common Stock
of Advaxis, Inc. (subject to adjustment as provided herein)
COMMON
STOCK PURCHASE WARRANT
No. ______________
Issue
Date: ________ ___, _______
ADVAXIS,
INC., a corporation organized under the laws of the State of Delaware (the
“Company”),
hereby certifies that, for value received, _______ or its assigns (the
“Holder”),
is entitled, subject to the terms set forth below, to purchase from the Company
at any time after the Issue Date until 5:00 p.m., E.S.T on the fourth
anniversary of the Issue Date (the “Expiration
Date”), up to __________ fully paid and
non-assessable shares of Common Stock at a per share purchase price of $0.17.
The aforedescribed purchase price per share, as adjusted from time to time
as herein provided, is referred to herein as the “Exercise
Price.” The number and character of such shares of Common
Stock and the Exercise Price are subject to adjustment as provided
herein. The Company may reduce the Exercise Price for some or all of
the Warrants, temporarily or permanently. Capitalized terms used and
not otherwise defined herein shall have the meanings set forth in that certain
Note Purchase Agreement (the “Purchase
Agreement”), dated as of the Issue Date, entered into by the Company and
the Holder. This Warrant is one of a series of Warrant issued
purchased to the terms of the Purchase Agreement.
As used
herein the following terms, unless the context otherwise requires, have the
following respective meanings:
(a) The
term “Company”
shall include Advaxis, Inc. and any corporation, which shall succeed or assume
the obligations of Advaxis, Inc. hereunder.
(b) The
term “Common
Stock” means (a) the Company’s Common Stock, $0.001 par value per share,
as authorized on the date of the Purchase Agreement and (b) any other securities
into which or for which any of the securities described in (a) may be converted
or exchanged pursuant to a plan of recapitalization, reorganization, merger,
sale of assets or otherwise.
(c) The
term “Common Stock
Deemed Outstanding” means, at any given time, the number of shares of
Common Stock actually outstanding at such time, plus the number of shares of
Common Stock issuable upon the exercise of all options or securities convertible
into Common Stock.
(d) The
term “Exempt
Issuances” means the issuance of (a) shares of Common Stock or options to
employees, officers or directors of the Company pursuant to any stock or option
plan duly adopted for such purpose by a majority of the non-employee members of
the Board of Directors or a majority of the members of a committee of
non-employee directors established for such purpose, (b) securities upon the
exercise or exchange of or conversion of any securities issued under the
Purchase Agreement and/or other securities exercisable or exchangeable for or
convertible into shares of Common Stock issued and outstanding on the date
hereof, provided that such securities have not been amended since the date
hereof to increase the number of such securities or to decrease the exercise,
exchange or conversion price of such securities, (c) securities
pursuant to acquisitions or strategic transactions approved by a majority of the
disinterested directors of the Company, provided that any such issuance shall
only be to a person which is, itself or through its subsidiaries, an operating
company in a business synergistic with the business of the Company and in which
the Company receives benefits in addition to the investment of funds, but shall
not include a transaction in which the Company is issuing securities primarily
for the purpose of raising capital or to an entity whose primary business is
investing in securities and (d) shares of Common Stock with an aggregate value
of no more than $150,000 issued to vendors of the Company.
(e) The
term “Other
Securities” refers to any shares of capital stock other than Common Stock
and other securities of the Company or any other person, corporate or otherwise,
which the Holder of the Warrant at any time shall be entitled to receive, or
shall have received, on the exercise of the Warrant, in lieu of or in addition
to Common Stock, or which at any time shall be issuable or shall have been
issued in exchange for or in replacement of Common Stock or Other Securities
pursuant to Section 4 or otherwise.
(f) The
term “Warrant
Shares” shall mean the Common Stock issuable upon exercise of this
Warrant.
1. Exercise of
Warrant.
1.1. Number of Shares Issuable
upon Exercise. From
and after the Issue Date through and including the Expiration Date, the Holder
hereof shall be entitled to receive, upon exercise of this Warrant in whole in
accordance with the terms of subsection 1.2 or upon exercise of this
Warrant in part in accordance with subsection 1.3 shares of Common Stock of
the Company, subject to adjustment pursuant to Section 4.
1.2. Full
Exercise. This
Warrant may be exercised in whole by the Holder hereof by delivery of an
original or facsimile copy of the form of subscription attached as Exhibit A hereto
(the “Subscription
Form”) duly executed by such Holder and delivery of payment, in cash,
wire transfer or by certified or official bank check payable to the order of the
Company, in the amount obtained by multiplying the number of shares of Common
Stock for which this Warrant is then exercisable by the Exercise Price then in
effect. The original Warrant is not required to be surrendered to the
Company until it has been fully exercised.
1.3. Partial
Exercise. This
Warrant may be exercised in part (but not for a fractional share) by delivery of
a Subscription Form in the manner and at the place provided in
subsection 1.2 except that the amount payable by the Holder on such partial
exercise shall be the amount obtained by multiplying (a) the number of
whole shares of Common Stock designated by the Holder in the Subscription Form
by (b) the Exercise Price then in effect. On any such partial
exercise, provided the Holder has surrendered the original Warrant, the Company,
at its expense, will forthwith issue and deliver to or upon the order of the
Holder hereof a new Warrant of like tenor, in the name of the Holder hereof or
as such Holder (upon payment by such Holder of any applicable transfer taxes)
may request, the whole number of shares of Common Stock for which such Warrant
may still be exercised for the balance of.
1.4. Fair Market
Value. Fair
Market Value of a share of Common Stock as of a particular date (the “Determination
Date”) shall mean:
(a) If the
Company’s Common Stock is listed on a national securities exchange, then the
average of the closing or last sale prices, respectively, reported for the five
trading days immediately preceding but not including the Determination
Date;
(b) If the
Company’s Common Stock is not listed on a national securities exchange but is
quoted in the over-the-counter market or the “pink-sheets,” then the average of
the closing bid prices reported for the five trading days immediately preceding
but not including the Determination Date;
(c) Except as
provided in clause (d) below and Section 3.1, if the Company’s Common Stock
is not publicly traded, then as the Holder and the Company agree, or in the
absence of such an agreement, by arbitration in accordance with the rules then
standing of the American Arbitration Association, before a single arbitrator to
be chosen from a panel of persons qualified by education and training to pass on
the matter to be decided; or
(d) If the
Determination Date is the date of a liquidation, dissolution or winding up, or
any event deemed to be a liquidation, dissolution or winding up pursuant to the
Company’s certificate of incorporation (as amended and/or restated from time to
time, the “Charter”),
then all amounts to be payable per share to holders of the Common Stock pursuant
to the Charter in the event of such liquidation, dissolution or winding up, plus
all other amounts to be payable per share in respect of the Common Stock in
liquidation under the Charter, assuming for the purposes of this clause
(d) that all of the shares of Common Stock then issuable upon exercise of
all of the Warrants are outstanding at the Determination Date.
1.5. Company
Acknowledgment. The
Company will, at the time of the exercise of the Warrant, upon the request of
the Holder hereof, acknowledge in writing its continuing obligation to afford to
such Holder any rights to which such Holder shall continue to be entitled after
such exercise in accordance with the provisions of this Warrant. If the Holder
shall fail to make any such request, such failure shall not affect the
continuing obligation of the Company to afford to such Holder any such
rights.
1.6. Trustee for Warrant
Holders. In
the event that a bank or trust company shall have been appointed as trustee for
the Holder of the Warrants pursuant to Subsection 3.2, such bank or trust
company shall have all the powers and duties of a warrant agent (as hereinafter
described) and shall accept, in its own name for the account of the Company or
such successor person as may be entitled thereto, all amounts otherwise payable
to the Company or such successor, as the case may be, on exercise of this
Warrant pursuant to this Section 1.
1.7. Delivery of Stock
Certificates, etc. on Exercise. The
Company agrees that the shares of Common Stock purchased upon exercise of this
Warrant shall be deemed to be issued to the Holder hereof as the record owner of
such shares as of the close of business on the date on which delivery of a
Subscription Form shall have occurred and payment made for such shares as
aforesaid. As soon as practicable after the exercise of this Warrant
in whole or in part, the Company at its expense (including the payment by it of
any applicable issue taxes) will cause to be issued in the name of and delivered
to the Holder hereof, or as such Holder (upon payment by such Holder of any
applicable transfer taxes) may direct in compliance with applicable securities
laws, a certificate or certificates for the number of duly and validly issued,
fully paid and non-assessable shares of Common Stock (or Other Securities) to
which such Holder shall be entitled on such exercise, plus, in lieu of any
fractional share to which such Holder would otherwise be entitled, cash equal to
such fraction multiplied by the then Fair Market Value of one full share of
Common Stock, together with any other stock or other securities and property
(including cash, where applicable) to which such Holder is entitled upon such
exercise pursuant to Section 1 or otherwise.
2. Exercise.
(a) Payment
upon exercise may be made at the option of the Holder either (i) in cash, wire
transfer or by certified or official bank check payable to the order of the
Company equal to the applicable aggregate Exercise Price, (ii) by delivery of
Common Stock issuable upon exercise of the Warrants in accordance with
Section (b) below or (iii) by a combination of any of the
foregoing methods, for the number of shares of Common Stock specified in such
form (as such exercise number shall be adjusted to reflect any adjustment in the
total number of shares of Common Stock issuable to the Holder per the terms of
this Warrant) and the Holder shall thereupon be entitled to receive the number
of duly authorized, validly issued, fully-paid and non-assessable shares of
Common Stock (or Other Securities) determined as provided herein.
(b) The
Holder may employ the exercise at the $ .17 per share basis feature at any
time.
For
purposes of Rule 144 promulgated under the Securities Act of 1933, as amended,
it is intended, understood and acknowledged that the Warrant Shares issued in
said for cash exercise transaction shall be deemed to have been acquired by the
Holder, and the holding period for the Warrant Shares shall be deemed to have
commenced, on the date this Warrant was originally issued pursuant to the
Purchase Agreement.
3. Adjustment for
Reorganization, Consolidation, Merger, etc.
3.1. Fundamental
Transaction. If,
at any time while this Warrant is outstanding,
(A) the
Company effects any merger or consolidation of the Company with or into another
entity, (B) the Company effects any sale of all or substantially all of its
assets in one or a series of related transactions, (C) any tender offer or
exchange offer (whether by the Company or another entity) is completed pursuant
to which holders of Common Stock are permitted to tender or exchange their
shares for other securities, cash or property, or (D) the Company effects any
reclassification of the Common Stock or any compulsory share exchange pursuant
to which the Common Stock is effectively converted into or exchanged for other
securities, cash or property (each, a “Fundamental
Transaction”), then, upon any subsequent exercise of this Warrant, the
Holder shall have the right to receive, for each Warrant Share that would have
been issuable upon such exercise immediately prior to the occurrence of such
Fundamental Transaction, the number of shares of Common Stock of the successor
or acquiring corporation or of the Company, if it is the surviving corporation,
and any additional consideration (the “Alternate
Consideration”) receivable upon or as a result of such merger,
consolidation or disposition of assets by a Holder of the number of shares of
Common Stock for which this Warrant is exercisable immediately prior to such
event. For purposes of any such exercise, the determination of the
Exercise Price shall be appropriately adjusted to apply to such Alternate
Consideration based on the amount of Alternate Consideration issuable in respect
of one share of Common Stock in such Fundamental Transaction, and the Company
shall apportion the Exercise Price among the Alternate Consideration in a
reasonable manner reflecting the relative value of any different components of
the Alternate Consideration. If holders of Common Stock are given any choice as
to the securities, cash or property to be received in a Fundamental Transaction,
then the Holder shall be given the same choice as to the Alternate Consideration
it receives upon any exercise of this Warrant following such Fundamental
Transaction. To the extent necessary to effectuate the foregoing provisions, any
successor to the Company or surviving entity in such Fundamental Transaction
shall issue to the Holder a new warrant consistent with the foregoing provisions
and evidencing the Holder’s right to exercise such warrant into Alternate
Consideration. The terms of any agreement pursuant to which a
Fundamental Transaction is effected shall include terms requiring any such
successor or surviving entity to comply with the provisions of this Section 3.1
and insuring that this Warrant (or any such replacement security) will be
similarly adjusted upon any subsequent transaction analogous to a Fundamental
Transaction. Notwithstanding anything to the contrary in this
Warrant, in the event of a Fundamental Transaction that is (1) an all cash
transaction, (2) a “Rule 13e-3 transaction” as defined in Rule 13e-3 under the
Securities Exchange Act of 1934 (as amended, the “Exchange
Act”) or (3) a Fundamental Transaction involving a person or entity not
traded on a national securities exchange, the Company or any successor entity
shall pay at the Holder’s option, exercisable at any time concurrently with or
within 30 days after the consummation of the Fundamental Transaction, an amount
of cash equal to the value of this Warrant as determined in accordance with the
Black Scholes Option Pricing Model obtained from the “OV” function on Bloomberg
L.P. using (i) a price per share of Common Stock equal to the volume weighted
average price of the Common Stock for the trading day immediately preceding the
date of consummation of the applicable Fundamental Transaction, (ii) a risk-free
interest rate corresponding to the U.S. Treasury rate for a period equal to the
remaining term of this Warrant as of the date of consummation of the applicable
Fundamental Transaction and (iii) an expected volatility equal to the 100 day
volatility obtained from the “HVT” function on Bloomberg L.P. determined as of
the trading day immediately following the public announcement of the applicable
Fundamental Transaction.
3.2. Dissolution. In
the event of any dissolution of the Company following the transfer of all or
substantially all of its properties or assets, the Company, prior to such
dissolution, shall at its expense deliver or cause to be delivered the stock and
other securities and property (including cash, where applicable) receivable by
the Holder of the Warrants after the effective date of such dissolution pursuant
to this Section 3 to a bank or trust company (a “Trustee”)
having its principal office in New York, NY, as trustee for the Holder of
the Warrants. Such property shall be delivered only upon payment of
the Warrant exercise price.
3.3. Continuation of
Terms. Upon
any reorganization, consolidation, merger or transfer (and any dissolution
following any transfer) referred to in this Section 3, this Warrant shall
continue in full force and effect and the terms hereof shall be applicable to
the Other Securities and property receivable on the exercise of this Warrant
after the consummation of such reorganization, consolidation or merger or the
effective date of dissolution following any such transfer, as the case may be,
and shall be binding upon the issuer of any Other Securities, including, in the
case of any such transfer, the person acquiring all or substantially all of the
properties or assets of the Company, whether or not such person shall have
expressly assumed the terms of this Warrant as provided in
Section 4. In the event this Warrant does not continue in full
force and effect after the consummation of the transaction described in this
Section 3, then only in such event will the Company’s securities and
property (including cash, where applicable) receivable by the Holder of the
Warrants be delivered to the Trustee as contemplated by
Section 3.2.
4. Reservation of Stock,
etc. Issuable on
Exercise of Warrant; Financial Statements. The Company will at
all times reserve and keep available, solely for issuance and delivery on the
exercise of the Warrants, sufficient shares of Common Stock (or Other
Securities) from time to time issuable on the exercise of the
Warrant. This Warrant entitles the Holder hereof to receive copies of
all financial and other information distributed or required to be distributed to
the holders of the Company’s Common Stock.
5. Assignment; Exchange of
Warrant. Subject
to compliance with applicable securities laws, this Warrant, and the rights
evidenced hereby, may be transferred by any registered Holder hereof (a “Transferor”). On
the surrender for exchange of this Warrant, with the Transferor’s endorsement in
the form of Exhibit B
attached hereto (the “Transferor
Endorsement Form”) and together with an opinion of counsel reasonably
satisfactory to the Company that the transfer of this Warrant will be in
compliance with applicable securities laws, the Company will issue and deliver
to or on the order of the Transferor thereof a new Warrant or Warrants of like
tenor, in the name of the Transferor and/or the transferee(s) specified in such
Transferor Endorsement Form (each a “Transferee”),
calling in the aggregate on the face or faces thereof for the number of shares
of Common Stock called for on the face or faces of the Warrant so surrendered by
the Transferor.
6. Replacement of
Warrant. On
receipt of evidence reasonably satisfactory to the Company of the loss, theft,
destruction or mutilation of this Warrant and, in the case of any such loss,
theft or destruction of this Warrant, on delivery of an indemnity agreement or
security reasonably satisfactory in form and amount to the Company or, in the
case of any such mutilation, on surrender and cancellation of this Warrant, the
Company at its expense, twice only, will execute and deliver, in lieu thereof, a
new Warrant of like tenor.
7. Limitations on
Exercise. Notwithstanding
anything to the contrary contained in this Warrant, this Warrant shall not be
exercisable by the Holder hereof to the extent (but only to the extent) that the
Holder or any of its affiliates would beneficially own in excess of 9.99% (the
“Maximum
Percentage”) of the Common Stock. To the extent the above
limitation applies, the determination of whether this Warrant shall be
exercisable (vis-à-vis other convertible, exercisable or exchangeable securities
owned by the Holder) and of which such securities shall be exercisable (as among
all such securities owned by the Holder) shall, subject to such Maximum
Percentage limitation, be determined on the basis of the first submission to the
Company for conversion, exercise or exchange (as the case may be). No prior
inability to exercise this Warrant pursuant to this paragraph shall have any
effect on the applicability of the provisions of this paragraph with respect to
any subsequent determination of exercisability. For the purposes of this
paragraph, beneficial ownership and all determinations and calculations
(including, without limitation, with respect to calculations of percentage
ownership) shall be determined in accordance with Section 13(d) of the Exchange
Act and the rules and regulations promulgated thereunder. The provisions of this
paragraph shall be implemented in a manner otherwise than in strict conformity
with the terms of this paragraph to correct this paragraph (or any portion
hereof) which may be defective or inconsistent with the intended Maximum
Percentage beneficial ownership limitation herein contained or to make changes
or supplements necessary or desirable to properly give effect to such Maximum
Percentage limitation. The limitations contained in this paragraph shall apply
to a successor Holder of this Warrant. The holders of Common Stock shall be
third party beneficiaries of this paragraph and the Company may not waive this
paragraph without the consent of holders of a majority of its Common Stock. For
any reason at any time, upon the written or oral request of the Holder, the
Company shall within two (2) business days confirm orally and in writing to the
Holder the number of shares of Common Stock then outstanding, including by
virtue of any prior conversion or exercise of convertible or exercisable
securities into Common Stock, including, without limitation, pursuant to this
Warrant or securities issued pursuant to the Securities Purchase
Agreement. By written notice to the Company, any Holder may increase
or decrease the Maximum Percentage to any other percentage not in excess of
9.99% specified in such notice; provided that (i) any such increase will not be
effective until the 61st day after such notice is delivered to the Company, and
(ii) any such increase or decrease will apply only to the Holder sending such
notice and not to any other holder of Warrants.
8. Warrant
Agent. The
Company may, by written notice to the Holder of the Warrant, appoint an agent (a
“Warrant
Agent”) for the purpose of issuing Common Stock or Other Securities on
the exercise of this Warrant pursuant to Section 1, exchanging this Warrant
pursuant to Section 7, and replacing this Warrant pursuant to
Section 8, or any of the foregoing, and thereafter any such issuance,
exchange or replacement, as the case may be, shall be made at such office by
such Warrant Agent.
9. Transfer on the Company’s
Books. Until
this Warrant is transferred on the books of the Company, the Company may treat
the registered Holder hereof as the absolute owner hereof for all purposes,
notwithstanding any notice to the contrary.
10. Notices. All
notices, demands, requests, consents, approvals, and other communications
required or permitted hereunder shall be in writing and, unless otherwise
specified herein, shall be (i) personally served, (ii) deposited in the mail,
registered or certified, return receipt requested, postage prepaid, (iii)
delivered by reputable air courier service with charges prepaid, or (iv)
transmitted by hand delivery, telegram, or facsimile, addressed as set forth
below or to such other address as such party shall have specified most recently
by written notice. Any notice or other communication required or
permitted to be given hereunder shall be deemed effective (a) upon hand delivery
or delivery by facsimile, with accurate confirmation generated by the
transmitting facsimile machine, at the address or number designated below (if
delivered on a business day during normal business hours where such notice is to
be received), or the first business day following such delivery (if delivered
other than on a business day during normal business hours where such notice is
to be received) or (b) on the second business day following the date of mailing
by express courier service, fully prepaid, addressed to such address, or upon
actual receipt of such mailing, whichever shall first occur. The
addresses for such communications shall be as set forth in the Purchase
Agreement or such other address as a party designates to the other party in
writing.
11. Law Governing This
Warrant. This
Warrant shall be governed by and construed in accordance with the laws of the
State of New York without regard to principles of conflicts of
laws. Any action brought by either party against the other concerning
the transactions contemplated by this Warrant shall be brought only in the state
courts of New York or in the federal courts located in the state and county of
New York. The parties to this Warrant hereby irrevocably waive any
objection to jurisdiction and venue of any action instituted hereunder and shall
not assert any defense based on lack of jurisdiction or venue or based upon
forum
non-conveniens. The Company and Holder waive trial by
jury. In the event that any provision of this Warrant or any other
agreement delivered in connection herewith is invalid or unenforceable under any
applicable statute or rule of law, then such provision shall be deemed
inoperative to the extent that it may conflict therewith and shall be deemed
modified to conform to such statute or rule of law. Any such
provision, which may prove invalid or unenforceable under any law, shall not
affect the validity or enforceability of any other provision of any
agreement. Each party hereby irrevocably waives personal service of
process and consents to process being served in any suit, action or proceeding
in connection with this Warrant by mailing a copy thereof via registered or
certified mail or overnight delivery (with evidence of delivery) to such party
at the address in effect for notices to it under this Warrant and agrees that
such service shall constitute good and sufficient service of process and notice
thereof. Nothing contained herein shall be deemed to limit in any way
any right to serve process in any other manner permitted by law.
[SIGNATURES
ON THE FOLLOWING PAGE]
IN
WITNESS WHEREOF, the Company has executed this Warrant as of the date first
written above.
ADVAXIS,
INC.
______________________________
Thomas A.
Moore
Chairman/CEO
Exhibit A
FORM OF
SUBSCRIPTION
(to be
signed only on exercise of Warrant)
TO: ADVAXIS,
INC.
The
undersigned, pursuant to the provisions set forth in the attached Warrant
(No.____), hereby irrevocably elects to purchase (check applicable
box):
___
|
________
shares of the Common Stock covered by such Warrant;
or
|
___
|
the
maximum number of shares of Common Stock covered by such Warrant pursuant
to the cashless exercise procedure set forth in
Section 2.
|
The
undersigned herewith makes payment of the full purchase price for such shares at
the price per share provided for in such Warrant, which is
$______. Such payment takes the form of (check applicable box or
boxes):
___
|
$__________
in lawful money of the United States;
and/or
|
___
|
the
cancellation of such portion of the attached Warrant as is exercisable for
a total of _______ shares of Common
Stock
|
___
|
the
cancellation of such number of shares of Common Stock as is necessary to
exercise this Warrant with respect to the maximum number of shares of
Common Stock purchasable pursuant to the exercise procedure set forth
herein.
|
The
undersigned requests that the certificates for such shares be issued in the name
of, and delivered to ___________________ whose
address is ______________________________
Notwithstanding
anything to the contrary contained herein, this Exercise Notice shall constitute
a representation by the Holder of the Warrant submitting this Exercise Notice
that, after giving effect to the exercise provided for in this Exercise Notice,
such Holder (together with its affiliates) will not have beneficial ownership
(together with the beneficial ownership of such person's affiliates) of a number
of shares Common Stock which exceeds the Maximum Percentage (as defined in the
Warrant) of the total outstanding shares Common Stock of the Company as
determined pursuant to the provisions of Section 7 of the Warrant.
The
undersigned represents and warrants that all offers and sales by the undersigned
of the securities issuable upon exercise of the within Warrant shall be made
pursuant to registration of the Common Stock under the Securities Act of 1933,
as amended (the “Securities
Act”), or pursuant to an exemption from registration under the Securities
Act.
Dated:
_______________________
|
__________________________________________
|
Exhibit B
FORM OF
TRANSFEROR ENDORSEMENT
(To be
signed only on transfer of Warrant)
For value
received, the undersigned hereby sells, assigns, and transfers unto the
person(s) named below under the heading “Transferees” the right represented by
the within Warrant to purchase the percentage and number of shares of Common
Stock of ADVAXIS, INC. to which the within Warrant relates specified under the
headings “Percentage Transferred” and “Number Transferred,” respectively,
opposite the name(s) of such person(s) and appoints each such person Attorney to
transfer its respective right on the books of ADVAXIS, INC. with full power of
substitution in the premises.
Transferees
|
Percentage Transferred
|
Number Transferred
|
|
|
|
|
|
|
|
|
|
Dated: ______________,
___________
Signed
in the presence of:
___________________________________
(Name)
ACCEPTED
AND AGREED:
[TRANSFEREE]
__________________________________
(Name)
|
_____________________________________
(Signature
must conform to name of Holder
as
specified on the face of the warrant)
_____________________________________
_____________________________________
(address)
_____________________________________
_____________________________________
(address)
|
NOTE PURCHASE
AGREEMENT
- [SERIES B][SERIES C],
TRANCHE 1 -
THIS NOTE PURCHASE AGREEMENT
(the “Agreement”)
is made as of the ____ day of November 2010 by and between Advaxis, Inc., a
Delaware corporation (the “Company”),
and _________ hereto (the “Investor”).
WHEREAS, the Investor is
willing to lend the Company the amounts set forth on Schedule A hereto
pursuant to the terms of this Agreement and a promissory note (a “Note”)
convertible into shares of the Company’s common stock, $0.001 par value (the
“Common
Stock”), in accordance with the terms of the Note.
WHEREAS, the Investor wishes
to purchase and the Company wishes to sell, upon the terms and condition stated
in the Agreement, (i) a Note in the aggregate principal amount as is set forth
opposite the Investors name on Schedule
A hereto (the “Note”) and
(ii) a warrant to acquire up to that aggregate number shares of Common Stock as
is set forth opposite the Investor’s name on Schedule
A hereto, in (the “Common
Stock”), all as more particularly described in the form of Note attached
hereto as Exhibit
A and for warrants, in substantially the form attached hereto as Exhibit B (the “Warrants”)
(as exercised, collectively, (the “Warrant
Shares”); and
WHEREAS, the parties have
agreed that the obligation to repay the Note shall be an unsecured obligation of
the Company.
NOW, THEREFORE, for good and
valuable consideration, the receipt and sufficiency of which are hereby
acknowledged, and in consideration of the premises and the mutual agreements,
representations and warranties, provisions and covenants contained herein, the
parties hereto, intending to be legally bound hereby, agree as
follows:
1. Purchase and Sale of Note
and Warrants. On
the Closing Date (as hereinafter defined), subject to the terms and conditions
of this Agreement, the Investor hereby agrees to purchase and the Company shall
sell and issue (i) a Note in the principal amount set forth opposite the
Investor’s name on Schedule A hereto and
(ii) a Warrant to acquire that number of shares of Warrant Shares as is set
forth opposite the Investor’s name on Schedule A hereto
(the “Warrant
Shares”).
2. Purchase
Price. The
purchase price for the Investor of the Note and the Warrants to be purchased by
each the Investor at the Closing shall be the amount set forth opposite the
Investor’s name on Schedule A hereto
(the “Purchase
Price”). The Note will be issued with an original issue discount of [
]%. The Investor shall pay $[ ] for each $1.00 of principal amount of
Note and the related Warrants to be purchased at the Closing. The
Investor and the Company agree that the Note and the Warrants constitute an
“investment unit” for purposes of Section 1273(c) (2) of the Internal Revenue
Code of 1986, as amended (the “Code”). At
the Closing the Investor shall fund the Purchase Price by wire transfer of
immediately available funds (to an account designated by the
Company).
3. The
Closing(s). Subject
to the conditions set forth below, the purchase and sale of the Note and the
Warrants shall take place at the offices of Greenberg Traurig, LLP, The MetLife
Building, 200 Park Avenue, New York, New York 10166, on the date hereof or at
such other time and place as the Company and the Investor mutually agree (the
“Closing”
and the “Closing
Date”). At the Closing, the Company shall deliver to the
Investor: (i) the Investor’s original Note in the principal amount
set forth opposite the Investor’s name on Schedule A; and (ii)
a warrant certificate representing the Warrants issuable to the Investor in the
amount set forth opposite the Investor’s name on Schedule
A. At the Closing, the Investor shall deliver to the Company
an executed IRS Form W-9.
4. Closing
Conditions.
4.1 Condition’s to Investor’s
Obligations. The
obligation of the Investor to purchase and fund its Note at the Closing is
subject to the fulfillment, to the Investor’s reasonable satisfaction, prior to
or at the Closing, of each of the following conditions:
(a) Representations and
Warranties. The
representations and warranties of the Company contained in this Agreement shall
be true and correct in all material respects on the date hereof and on and as of
the Closing Date as if made on and as of such date.
(b) Note, Warrant
Certificates. At
the Closing, the Company shall have tendered to the Investor the appropriate
Note and Warrants and other deliverables set forth herein.
(c) No
Actions. No
action, proceeding, investigation, regulation or legislation shall have been
instituted, threatened or proposed before any court, governmental agency or
authority or legislative body to enjoin, restrain, prohibit or obtain
substantial damages in respect of, this Agreement or the consummation of the
transactions contemplated by this Agreement.
(d) Proceedings and
Documents. All
proceedings in connection with the transactions contemplated hereby and all
documents and instruments incident to such transactions shall be satisfactory in
substance and form to the Investor, and the Investor shall have received all
such counterpart originals or certified or other copies of such documents as
they may reasonably request.
4.2 Condition’s to the Company’s
Obligations. The
obligation of the Company to sell and issue a Note at the applicable Closing is
subject to the fulfillment, to the Company’s reasonable satisfaction, prior to
or at the Closing in question, of each of the following conditions:
(a) Representations and
Warranties. The
representations and warranties of the Investor contained in this Agreement
(other than Section 6.2 and 6.3) shall be true and correct in all material
respects on the date hereof and on and as of the Closing Date as if made on and
as of such date. The representations of the Investor contained in
Sections 6.2 and 6.3 shall be true and correct in all respects on the date
hereof and on and as of the Closing Date as if made on and as of such
date.
(b) Purchase
Price. At
the Closing, the Investor shall have tendered to the Company the Purchase
Price.
(c) Deliverables. At
the Closing, the Investor shall have tendered to the Company the appropriate
deliverables set forth herein.
(d) No
Actions. No
action, proceeding, investigation, regulation or legislation shall have been
instituted, threatened or proposed before any court, governmental agency or
authority or legislative body to enjoin, restrain, prohibit, or obtain
substantial damages in respect of, this Agreement or the consummation of the
transactions contemplated by this Agreement.
(e) Proceedings and
Documents. All
proceedings in connection with the transactions contemplated hereby and all
documents and instruments incident to such transactions shall be satisfactory in
substance and form to the Company and the Company shall have received all such
counterpart originals or certified or other copies of such documents as the
Company may reasonably request.
5. Representations and
Warranties of the Company. The
Company hereby represents and warrants to Investor that:
5.1 Organization, Good Standing
and Qualification. The
Company is a corporation duly organized, validly existing and in good standing
under the laws of the State of Delaware. The Company is duly
qualified to transact business and is in good standing in each jurisdiction in
which the failure to so qualify would have a material adverse effect on its
business or properties.
5.2 Capitalization and Voting
Rights. The
authorized capital of the Company as of the date hereof consists
of:
(a) Preferred
Stock. 5,000,000
shares of Preferred Stock, par value $0.001 per share (the “Preferred
Stock”), of which ______ are presently issued and
outstanding.
(b) Common
Stock. 500,000,000
shares of common stock, par value $0.001 per share (“Common
Stock”), of which ________ shares were issued and outstanding as of
_________, 2010.
5.3 Authorization. All
corporate action on the part of the Company, its officers, directors and
stockholders necessary for the authorization, execution and delivery of this
Agreement, the Warrant and the performance of all obligations of the Company
hereunder and thereunder, and the authorization (or reservation for issuance),
sale and issuance of the Note and the Warrants, and the Common Stock into which
the Note and Warrants are convertible or exercisable (the “Underlying
Securities” and together with the Note and the Warrants, the “Securities”),
have been taken on or prior to the date hereof.
5.4 Valid Issuance of the
Underlying Securities. The
Underlying Securities when issued and delivered in accordance with the terms of
this Agreement, the Note and the Warrants, as applicable, for the consideration
expressed herein and therein, will be duly and validly issued, fully paid and
non-assessable and will be free of restrictions on transfer, other than
restrictions on transfer under this Agreement and under applicable state and
federal securities laws.
5.5 Offering. Subject
to the truth and accuracy of the Investor’s representations set forth in Section
5 of this Agreement, the offer and issuance of the Note and Warrants, together
with the Underlying Securities, as contemplated by this Agreement are exempt
from the registration requirements of the Securities Act of 1933, as amended
(the “1933
Act”) and the qualification or registration requirements of state
securities laws or other applicable blue sky laws. Neither the
Company nor any authorized agent acting on its behalf will take any action
hereafter that would cause the loss of such exemptions.
5.6 Public
Reports. The
Company is current in its filing obligations under the Securities Act of 1934,
as amended (the “1934
Act”), including without limitation as to its filings of Annual Reports
on Form 10-K (or 10-KSB, as applicable) and Quarterly Reports on Form 10-Q (or
10-QSB, as applicable) (collectively, the “Public
Reports”); provided, however, the Company’s Quarterly Report on Form 10-Q
for the period ended July 31, 2010. The Public Reports do not contain
any untrue statement of a material fact or omit to state any fact necessary to
make any statement therein not misleading. The financial statements
included within the Public Reports for the fiscal year ended October 31, 2008,
for the fiscal year ended October 31, 2009 and for each quarterly period
thereafter (the “Financial
Statements”) have been prepared in accordance with generally accepted
accounting principles (“GAAP”)
applied on a consistent basis throughout the periods indicated and with each
other, except that unaudited Financial Statements may not contain all footnote
required by generally accepted accounting principles. The Financial
Statements fairly present, in all material respects, the financial condition and
operating results of the Company as of the dates, and for the periods, indicated
therein, subject in the case of unaudited Financial Statements to normal
year-end audit adjustments.
5.7 Compliance With
Laws. The
Company has not violated any law or any governmental regulation or requirement
which violation has had or would reasonably be expected to have a material
adverse effect on its business and the Company has not received written notice
of any such violation.
5.8 Violations. The
consummation of the transactions contemplated by this Agreement and all other
documents and instruments required to be delivered in connection herewith and
therewith, including without limitation, the Note and Warrants, will not result
in or constitute any of the following: (a) a violation of any
provision of the certificate of incorporation, bylaws or other governing
documents of the Company; (b) a violation of any provisions of any applicable
law or of any writ or decree of any court or governmental instrumentality; (c) a
default or an event that, with notice or lapse of time or both, would be a
default, breach, or violation of a lease, license, promissory note, conditional
sales contract, commitment, indenture, mortgage, deed of trust, or other
agreement, instrument, or arrangement to which the Company is a party or by
which the Company or its property is bound; (d) an event that would permit any
party to terminate any agreement or to accelerate the maturity of any
indebtedness or other obligation of the Company; or (e) the creation or
imposition of any lien, pledge, option, security agreement, equity, claim,
charge, encumbrance or other restriction or limitation on the capital stock or
on any of the properties or assets of the Company.
5.9 Consents;
Waivers. No
consent, waiver, approval or authority of any nature, or other formal action, by
any person, firm or corporation, or any agency, bureau or department of any
government or any subdivision thereof, not already obtained, is required in
connection with the execution and delivery of this Agreement by the Company or
the consummation by the Company of the transactions provided for herein and
therein.
5.10 Acknowledgment Regarding
Investor’s Purchase of Securities. The
Company acknowledges and agrees that the Investor is acting solely in the
capacity of arm’s length purchaser with respect to the this Agreement, the Note,
the Warrant and the other documents entered into in connection herewith
(collectively, the “Transaction
Documents”) and the transactions contemplated hereby and thereby and that
no Investor is (i) an officer or director of the Company, (ii) an “affiliate” of
the Company (as defined in Rule 144) or (iii) to the knowledge of the Company, a
“beneficial owner” of more than 10% of the shares of Common Stock (as defined
for purposes of Rule 13d-3 of the 1934 Act). The Company further acknowledges
that no Investor is acting as a financial advisor or fiduciary of the Company
(or in any similar capacity) with respect to the Transaction Documents and the
transactions contemplated hereby and thereby, and any advice given by a Investor
or any of its representatives or agents in connection with the Transaction
Documents and the transactions contemplated hereby and thereby is merely
incidental to the Investor’s purchase of the Securities. The Company
further represents to each Investor that the Company’s decision to enter into
the Transaction Documents has been based solely on the independent evaluation by
the Company and its representatives.
5.11 Sarbanes-Oxley
Act. The
Company is in compliance with any and all applicable requirements of the
Sarbanes-Oxley Act of 2002 that are effective as of the date hereof, and any and
all applicable rules and regulations promulgated by the Securities and Exchange
Commission thereunder that are effective as of the date hereof.
5.12 Absence of
Litigation. There
is no action, suit, proceeding, inquiry or investigation before or by any court,
public board, government agency, self-regulatory organization or body pending
or, to the knowledge of the Company, threatened against or affecting the
Company, the Common Stock or any of the Company’s officers or directors in their
capacities as such.
6. Representations and
Warranties of the Investor. The
Investor hereby represents, warrants and covenants that:
6.1 Authorization. The
Investor has full power and authority to enter into this Agreement, to perform
its obligations hereunder and to consummate the transactions contemplated hereby
and has taken all action necessary to authorize the execution and delivery of
this Agreement, the performance of its obligations hereunder and the
consummation of the transactions contemplated hereby.
6.2 No Public Sale or
Distribution. The
Investor is (i) acquiring the Note and the Warrants and (ii) upon conversion of
the Note and exercise of the Warrants (as defined in the Warrants) will acquire
the Underlying Securities for its own account, not as a nominee or agent, and
not with a view towards, or for resale in connection with, the public sale or
distribution of any part thereof, except pursuant to sales registered or
exempted under the 1933 Act. The Investor is acquiring the Securities
hereunder in the ordinary course of its business. The Investor does
not presently have any contract, agreement, undertaking, arrangement or
understanding, directly or indirectly, with any individual, a limited liability
company, a partnership, a joint venture, a corporation, a trust, an
unincorporated organization and a government or any department or agency thereof
(a “Person”)
to sell, transfer, pledge, assign or otherwise distribute any of the
Securities.
6.3 Accredited Investor Status;
Investment Experience. The
Investor is an “accredited investor” as that term is defined in Rule 501(a) of
Regulation D. The Investor can bear the economic risk of its investment in the
Securities, and has such knowledge and experience in financial and business
matters that it is capable of evaluating the merits and risks of an investment
in the Securities.
6.4 Reliance on
Exemptions. The
Investor understands that the Securities are being offered and sold to it in
reliance on specific exemptions from the registration requirements of United
States federal and state securities laws and that the Company is relying in part
upon the truth and accuracy of, and the Investor’s compliance with, the
representations, warranties, agreements, acknowledgments and understandings of
the Investor set forth herein in order to determine the availability of such
exemptions and the eligibility of the Investor to acquire the
Securities.
6.5 Information. The
Investor and its advisors, if any, have been furnished with all materials
relating to the business, finances and operations of the Company and materials
relating to the offer and sale of the Securities which have been requested by
the Investor. The Investor and its advisors, if any, have been afforded the
opportunity to ask questions of the Company. Neither such inquiries nor any
other due diligence investigations conducted by the Investor or its advisors, if
any, or its representatives shall modify, amend or affect the Investor’s right
to rely on the Company’s representations and warranties contained herein. The
Investor understands that its investment in the Securities involves a high
degree of risk. The Investor has sought such accounting, legal and tax advice as
it has considered necessary to make an informed investment decision with respect
to its acquisition of the Securities. The Investor is relying solely on its own
accounting, legal and tax advisors, and not on any statements of the Company or
any of its agents or representatives, for such accounting, legal and tax advice
with respect to its acquisition of the Securities and the transactions
contemplated by this Agreement.
6.6 No Governmental
Review. The
Investor understands that no United States federal or state agency or any other
government or governmental agency has passed on or made any recommendation or
endorsement of the Securities or the fairness or suitability of the investment
in the Securities nor have such authorities passed upon or endorsed the merits
of the offering of the Securities.
6.7 Transfer or
Resale. The
Investor understands that: (i) the Securities have not been and are not being
registered under the 1933 Act or any state securities or “blue sky” laws, the
Securities constitute “restricted securities” as such term is defined in Rule
144(a)(3) under the 1933 Act, and the Securities may not be offered for sale,
sold, transferred, assigned, pledged or otherwise distributed unless (A)
subsequently registered thereunder, (B) the Investor shall have delivered to the
Company an opinion of counsel, in a form generally acceptable to the Company’s
legal counsel, to the effect that such Securities to be sold, assigned or
transferred may be sold, assigned or transferred pursuant to an exemption from
such registration, or (C) the Investor provides the Company and its legal
counsel with reasonable assurance that such Securities can be sold, assigned or
transferred pursuant to Rule 144 or Rule 144A promulgated under the 1933 Act (or
a successor rule thereto) (collectively, “Rule
144”); (ii) any sale of the Securities made in reliance on Rule 144 may
be made only in accordance with the terms of Rule 144 and further, if Rule 144
is not applicable, any resale of the Securities under circumstances in which the
seller (or the Person through whom the sale is made) may be deemed to be an
underwriter (as that term is defined in the 1933 Act) may require compliance
with some other exemption under the 1933 Act or the rules and regulations of the
SEC thereunder; and (iii) neither the Company nor any other Person is under any
obligation to register the Securities under the 1933 Act or any state securities
laws or to comply with the terms and conditions of any exemption
thereunder.
6.8 Legends. The
Investor understands that the certificates or other instruments representing the
Note and the Warrants and, the stock certificates representing the Underlying
Securities, except as set forth below, shall bear any legends as required by
applicable state securities or “blue sky” laws in addition to a restrictive
legend in substantially the following form (and a stop-transfer order may be
placed against transfer of such stock certificates):
NEITHER
THE ISSUANCE AND SALE OF THE SECURITIES REPRESENTED BY THIS CERTIFICATE NOR THE
SECURITIES INTO WHICH THESE SECURITIES ARE [CONVERTIBLE] [EXERCISABLE] HAVE BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE
SECURITIES LAWS. THE SECURITIES MAY NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED
OR ASSIGNED (I) IN THE ABSENCE OF (A) AN EFFECTIVE REGISTRATION STATEMENT FOR
THE SECURITIES UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR (B) AN OPINION
OF COUNSEL, IN A FORM GENERALLY ACCEPTABLE TO THE COMPANY’S LEGAL COUNSEL, THAT
REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR (II) UNLESS SOLD PURSUANT TO RULE
144 OR RULE 144A UNDER SAID ACT.
The
Company shall use its reasonable best efforts to cause its transfer agent to
remove the legend set forth above and to issue a certificate without such legend
to the holder of the Securities upon which it is stamped, or to issue to such
holder by electronic delivery at the applicable balance account at the
Depository Trust Company, unless otherwise required by state securities or “blue
sky” laws, at such time as (i) such Securities are registered for resale under
the 1933 Act, (ii) in connection with a sale, assignment or other transfer, such
holder provides the Company with an opinion of counsel, in a form generally
acceptable to the Company’s legal counsel, to the effect that such sale,
assignment or transfer of the Securities may be made without registration under
the 1933 Act, or (iii) such holder provides the Company and its legal counsel
with reasonable assurance in writing that the Securities can be sold, assigned
or transferred pursuant to Rule 144 or Rule 144A.
6.9 Validity; Enforcement; No
Conflicts. This
Agreement and each Transaction Document to which the Investor is a party have
been duly and validly authorized, executed and delivered on behalf of the
Investor and shall constitute the legal, valid and binding obligations of the
Investor enforceable against the Investor in accordance with their respective
terms, except as such enforceability may be limited by general principles of
equity or to applicable bankruptcy, insolvency, reorganization, moratorium,
liquidation and other similar laws relating to, or affecting generally, the
enforcement of applicable creditors’ rights and remedies. The
execution, delivery and performance by the Investor of this Agreement and each
Transaction Document to which the Investor is a party and the consummation by
the Investor of the transactions contemplated hereby and thereby will not (i)
result in a violation of the organizational documents of the Investor or (ii)
conflict with, or constitute a default (or an event which with notice or lapse
of time or both would become a default) under, or give to others any rights of
termination, amendment, acceleration or cancellation of, any agreement,
indenture or instrument to which the Investor is a party, or (iii) result in a
violation of any law, rule, regulation, order, judgment or decree (including
federal and state securities or “blue sky” laws) applicable to the Investor,
except in the case of clause (ii) above, for such conflicts, defaults or rights
which would not, individually or in the aggregate, reasonably be expected to
have a material adverse effect on the ability of the Investor to perform its
obligations hereunder.
6.10 Residency. The
Investor is a resident of that jurisdiction specified below its address on Schedule
A.
6.11 Company Has Senior
Indebtedness Outstanding and is Permitted to Issue Other
Indebtedness. The
Investor acknowledges that the Company has outstanding currently secured
indebtedness that is senior in right of payment with the indebtedness evidenced
by the Note and the Company is permitted in the future to issue and create
indebtedness and security interests of any kind, including without limitation,
indebtedness that is senior to or pari passu with the Company's obligations
under the Note. The Investor expressly acknowledges that its Note is
subordinated to the existing and future indebtedness of the
Company.
7. Use of Proceeds; Repayment
of Deferred Compensation to Moore or Moore Note. The
Investor acknowledges that the Company will use the proceeds received from the
purchase of the Note and Warrant for, among other things, (i) costs and expenses
relating to the Company’s Phase II Clinical Studies in cervical cancer and CIN,
(ii) costs and expenses relating to the sale of the Note and Warrants (iii)
costs and expenses relating to obtaining one or more follow-on financings,
including without limitation payment of commitment fees and other fees and
expenses associated therewith; (iv) general working capital purposes and (v)
repayments of amounts owed to Thomas A. Moore as noted herein. The
Investor acknowledges that the Company owes Thomas Moore approximately FIVE
HUNDRED THIRTY EIGHT, SEVEN HUNDRED NINETY-ONE THOUSAND DOLLARS ($538,791.00)
and pursuant to a promissory note and that the Company may use the proceeds from
the purchase of the Note and Warrants or other available Company funds for
payments to Thomas A. Moore for repayments of the other amounts owed to him;
evidenced in Advaxis’ Fiscal Third Quarter dated July 31, 2010.
8. Rule 144
Availability. At
all times during the period commencing on the six (6) month anniversary of the
Closing Date and ending at such time that all of the Securities can be sold
without the requirement to be in compliance with Rule 144(c) (1) and otherwise
without restriction or limitation pursuant to Rule 144, the Company shall use
its commercially reasonable efforts to ensure the availability of Rule 144 to
the Investor with regard to the Underlying Securities, including compliance with
Rule 144(c) (1).
9. Indemnification.
9.1 Indemnification by the
Company. The
Company agrees to indemnify, hold harmless, reimburse and defend the Investor,
and its officers, directors, agents, affiliates, members, managers, control
persons, and principal shareholders, against any claim, cost, expense,
liability, obligation, loss or damage (including reasonable legal fees) of any
nature, incurred by or imposed upon the Investor or any such person which
results, arises out of or is based upon (i) any material misrepresentation by
Company or breach of any representation or warranty by Company in this Agreement
or in any exhibits or schedules attached hereto, or other agreement delivered
pursuant hereto; or (ii) after any applicable notice and/or cure periods, any
breach or default in performance by the Company of any covenant or undertaking
to be performed by the Company hereunder, or any other agreement entered into by
the Company and Investor relating hereto. Notwithstanding anything
herein to the contrary, in no event shall the Company be liable to the Investor
(in the aggregate) for more than the Purchase Price paid by the
Investor.
9.2 Indemnification by the
Investor. Each
Investor, severally but not jointly, agrees to indemnify, hold harmless,
reimburse and defend the Company, each other Investor, and any of their
officers, directors, agents, affiliates, members, managers, control persons, and
principal shareholders, against any claim, cost, expense, liability, obligation,
loss or damage (including reasonable legal fees) of any nature, incurred by or
imposed upon the Investor or any such person which results, arises out of or is
based upon (i) any material misrepresentation by the Investor or breach of any
representation or warranty by the Investor in this Agreement or in any exhibits
or schedules attached hereto, or other agreement delivered pursuant hereto; or
(ii) after any applicable notice and/or cure periods, any breach or default in
performance by the Company of any covenant or undertaking to be performed by the
Investor hereunder, or any other agreement entered into by the Company and the
Investor relating hereto.
10. Miscellaneous
10.1 Successors and
Assigns. Except
as otherwise provided herein, the terms and conditions of this Agreement shall
inure to the benefit of and be binding upon the respective successors and
assigns of the parties (including transferees of the
Securities). Nothing in this Agreement, express or implied, is
intended to confer upon any party, other than the parties hereto or their
respective successors and assigns, any rights, remedies, obligations or
liabilities under or by reason of this Agreement, except as expressly provided
in this Agreement.
10.2 Governing Law; Jurisdiction;
Jury Trial. All
questions concerning the construction, validity, enforcement and interpretation
of this Agreement shall be governed by the internal laws of the State of New
York, without giving effect to any choice of law or conflict of law provision or
rule (whether of the State of New York or any other jurisdictions) that would
cause the application of the laws of any jurisdictions other than the State of
New York. Each party hereby irrevocably submits to the exclusive
jurisdiction of the state and federal courts sitting in The City of New York,
Borough of Manhattan, for the adjudication of any dispute hereunder or in
connection herewith or with any transaction contemplated hereby or discussed
herein, and hereby irrevocably waives, and agrees not to assert in any suit,
action or proceeding, any claim that it is not personally subject to the
jurisdiction of any such court, that such suit, action or proceeding is brought
in an inconvenient forum or that the venue of such suit, action or proceeding is
improper. Each party hereby irrevocably waives personal service of
process and consents to process being served in any such suit, action or
proceeding by mailing a copy thereof to such party at the address for such
notices to it under this Agreement and agrees that such service shall constitute
good and sufficient service of process and notice thereof. Nothing contained
herein shall be deemed to limit in any way any right to serve process in any
manner permitted by law. EACH
PARTY HEREBY IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE, AND AGREES NOT TO
REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR IN
CONNECTION WITH OR ARISING OUT OF THIS AGREEMENT OR ANY TRANSACTION CONTEMPLATED
HEREBY.
10.3 Titles and
Subtitles. The
titles and subtitles used in this Agreement are used for convenience only and
are not to be considered in construing or interpreting this
Agreement.
10.4 Notices. All
notices required or permitted hereunder shall be in writing and shall be deemed
effectively given: (a) upon personal delivery to the party to be
notified, (b) when sent by confirmed telex or facsimile if sent during normal
business hours of the recipient; if not, then on the next business day, (c) five
(5) business days after having been sent by registered or certified mail, return
receipt requested, postage prepaid, or (d) one (1) day after deposit with a
nationally recognized overnight courier, specifying next day delivery, with
written verification of receipt. All communications shall be sent to
(a) in the case of the Company to Advaxis, Inc., Technology Centre of New
Jersey, 675 US Route One, South, North Brunswick, N.J. 08902, Attention: Conrad
Mir, Executive Director, with a copy (which shall not constitute notice) to
Greenberg Traurig, LLP, The MetLife Building, 200 Park Avenue, New York, NY
10166, Attention: Robert H. Cohen, Esq.; Fax#: (212) 801-6400 or (b) in the case
of the Investor, to the address as set forth on the signature page or exhibit
pages hereof or, in either case, at such other address as such party may
designate by ten (10) days advance written notice to the other parties
hereto.
10.5 Finder’s
Fees. Except
for fees payable by the Company to persons designated by the Company, each party
represents that it neither is nor will be obligated for any finders’ fee or
commission in connection with this transaction. Each Investor,
severally and not jointly, shall indemnify and hold harmless the Company from
any liability for any commission or compensation in the nature of a finders’ fee
(and the costs and expenses of defending against such liability or asserted
liability) for which Investor or any of its officers, partners, employees or
representatives is responsible. The Company shall indemnify and hold
harmless the Investor from any liability for any commission or compensation in
the nature of a finders’ fee (and the costs and expenses of defending against
such liability or asserted liability) for which the Company or any of its
officers, employees or representatives is responsible.
10.6 Amendments and
Waivers
. Any
term of this Agreement may be amended and the observance of any term of this
Agreement may be waived (either generally or in a particular instance and either
retroactively or prospectively), only with the written consent of the Company
and Investor. Any amendment or waiver effected in accordance with
this paragraph shall be binding upon Investor, each future holder of the
Securities and the Company, provided that no such amendment shall be binding on
a holder that does not consent thereto to the extent such amendment treats such
party differently than any party that does consent thereto.
10.7 Severability. If
one or more provisions of this Agreement are held to be unenforceable under
applicable law, such provision shall be excluded from this Agreement and the
balance of the Agreement shall be interpreted as if such provision were so
excluded and shall be enforceable in accordance with its terms.
10.8 Entire
Agreement. This
Agreement and the documents referred to herein constitute the entire agreement
among the parties and no party shall be liable or bound to any other party in
any manner by any warranties, representations or covenants except as
specifically set forth herein or therein.
10.9 Counterparts. This
Agreement may be executed in two or more counterparts, each of which shall be
deemed an original, but all of which together shall constitute one and the same
instrument.
10.10 Interpretation. Unless
the context of this Agreement clearly requires otherwise, (a) references to the
plural include the singular, the singular the plural, the part the whole, (b)
references to any gender include all genders, (c) “including” has the inclusive
meaning frequently identified with the phrase “but not limited to” and (d)
references to “hereunder” or “herein” relate to this Agreement.
[SIGNATURES
ON THE FOLLOWING PAGE]
IN WITNESS WHEREOF, the
parties have caused this Agreement to be duly executed and delivered as of the
date provided above.
THE
COMPANY
ADVAXIS,
INC.
_______________________________________________
Thomas A.
Moore
Chairman/
CEO
INVESTOR:
__________
________________________________________________
Address
for Notices:
________________________________________________
________________________________________________
________________________________________________
Email:
FAX: (
____ ) _____ - ________
SS#: ____________
- _______ - ______________
Schedule
A
Investor
|
|
|
|
Principal
Face Amount of Note
|
|
|
__________
|
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$_______
|
|
$_______
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|
_______
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EXHIBIT
A
Form
of Convertible Promissory Note
EXHIBIT
B
Form
of Warrant
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON
D.C. 20549
FORM
8-K
CURRENT
REPORT
PURSUANT
TO SECTION 13 OR 15(d) OF THE
SECURITIES
EXCHANGE ACT OF 1934
Date of
Report (Date of earliest event reported): November 15, 2010
ADVAXIS,
INC.
(Exact
name of registrant as specified in its charter)
Delaware
(State or
other jurisdiction of incorporation)
00028489
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02-0563870
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(Commission
File Number)
|
(IRS
Employer Identification Number)
|
Technology
Centre of New Jersey
675
Rt. 1, Suite B113
North
Brunswick, N.J. 08902
(Address
of principal executive offices)
Registrant’s
telephone number, including area code: (732) 545-1590
Not
applicable
(Former
Name or Former Address, if Changed Since Last Report)
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions:
¨ Written communications
pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
¨ Soliciting material
pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
¨ Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
¨ Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
Item
3.02 Unregistered Sales of Equity Securities.
On
November 15, 2010, Advaxis, Inc. (the “Company”) issued and
sold 61 shares of non-convertible, redeemable Series B preferred stock (“Series B Preferred
Stock”) to Optimus Life Sciences Capital Partners LLC (the “Investor”) pursuant
to the terms of a Preferred Stock Purchase Agreement between the Company and the
Investor dated July 19, 2010 (the “Purchase
Agreement”). The aggregate purchase price for the shares of
Series B Preferred Stock was $610,000. Under the terms of the
Purchase Agreement, the Investor remains obligated, from time to time until July
19, 2013, to purchase up to an additional 400 shares of Series B Preferred Stock
at a purchase price of $10,000 per share upon notice from the Company to the
Investor, and subject to the satisfaction of certain conditions, as set forth in
the Purchase Agreement.
The
Series B Preferred Stock was offered and sold in a private placement transaction
made in reliance upon exemptions from registration pursuant to Section 4(2) of
the Securities Act of 1933, as amended, and Rule 506 of Regulation D promulgated
thereunder.
Item
8.01 Other Events.
In
connection with the issuance by the Company of the Series B Preferred Stock
described above, an affiliate of the Investor exercised a warrant to purchase
5,312,903 shares of the Company’s common stock, $0.001 par value (the “Common Stock”) at an
exercise price of $0.155 per share. As permitted by the terms of such
warrant, the aggregate exercise price of $823,500 received by the Company is
payable pursuant to a four-year full recourse promissory note bearing interest
at the rate of 2% per year.
SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has
duly caused this report to be signed on its behalf by the undersigned hereunto
duly authorized.
Dated: November
16, 2010
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Advaxis,
Inc.
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By:
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/S/ Mark J. Rosenblum
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Mark
J. Rosenblum
|
|
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Chief
Financial Officer and
Secretary
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