|
Exhibit
10.10
VIA PHARMACEUTICALS,
INC.
2004 STOCK
PLAN
STOCK OPTION
AGREEMENT
Unless otherwise defined
herein, the terms defined in the 2004 Stock Plan shall have the
same defined meanings in this Stock Option Agreement.
I. NOTICE OF STOCK OPTION
GRANT
Name:
Address:
The undersigned Optionee has
been granted an Option to purchase Common Stock of the Company,
subject to the terms and conditions of the Plan and this Option
Agreement, as follows:
|
|
|
|
|
| Date of
Grant |
|
|
|
|
| Vesting Commencement Date |
|
|
|
|
| Exercise
Price per Share |
|
$
|
|
|
| Total Number of Shares Granted |
|
|
|
|
| Total
Exercise Price |
|
$
|
|
|
| Type of
Option: |
|
Incentive Stock
Option |
|
|
|
|
Nonstatutory Stock
Option |
|
|
| Term/Expiration Date: |
|
|
Vesting Schedule
:
This Option shall be
exercisable immediately, in whole or in part, conditioned upon
Optionee entering into a Restricted Stock Purchase Agreement with
respect to any unvested Shares . The Shares subject to this Option
shall vest and /or be released from the Company’s Repurchase
Option, as set forth in the Restricted Stock Purchase Agreement
attached hereto as Exhibit C-1 according to the following
schedule:
[Twenty-five percent
(25%) of the Shares subject to the Option (rounded down to the
next whole number) shall vest on the one (1) year anniversary
of the Vesting Commencement Date, and 1/48 of the Shares subject to
the Option (rounded down to the next whole number) shall vest each
month thereafter on the same day of the month as the Vesting
Commencement Date, subject to Optionee continuing to be a Service
Provider through each such date.]
Termination Period
:
This Option shall be
exercisable for [three (3) months] after Optionee
ceases to be a Service Provider. Upon Optionee’s death or
Disability, this Option may be exercised for [one
(1) year] after Optionee ceases to be a Service Provider.
In no event may Optionee exercise this Option after the
Term/Expiration Date as provided above.
II. AGREEMENT
1. Grant of Option .
The Plan Administrator of the Company hereby grants to the Optionee
named in the Notice of Grant (the “Optionee”), an
option (the “Option”) to purchase the number of Shares
set forth in the Notice of Grant, at the exercise price per Share
set forth in the Notice of Grant (the “Exercise
Price”), and subject to the terms and conditions of the Plan,
which is incorporated herein by reference. Subject to
Section 15(c) of the Plan, in the event of a conflict between
the terms and conditions of the Plan and this Option Agreement, the
terms and conditions of the Plan shall prevail.
If designated in the Notice
of Grant as an Incentive Stock Option (“ISO”), this
Option is intended to qualify as an Incentive Stock Option as
defined in Section 422 of the Code. Nevertheless, to the
extent that it exceeds the $100,000 rule of Code
Section 422(d), this Option shall be treated as a Nonstatutory
Stock Option (“NSO”).
2. Exercise of Option
.
(a) Right to Exercise
.
(i) This Option shall be
exercisable during its term in accordance with the Vesting Schedule
set out in the Notice of Grant and with the applicable provisions
of the Plan and this Option Agreement. Alternatively at the
election of the Optionee, this Option may be exercised in whole or
in part at any time as to Shares which have not yet vested. For
purposes of this Option Agreement, Shares subject to this Option
shall vest based on Optionee’s continued status as a Service
Provider. Vested Shares shall not be subject to the Company’s
Repurchase Option (as set forth in the Restricted Stock Purchase
Agreement).
(ii) As a condition to
exercising this Option for unvested Shares, the Optionee shall
execute the Restricted Stock Purchase Agreement.
(iii) This Option may not be
exercised for a fraction of a Share.
(iv) In no event may this
Option be exercised after the date of expiration of the term of
this Option as set forth in the Notice of Grant.
(b) Method of Exercise
. This Option shall be exercisable by delivery of an exercise
notice in the form attached as Exhibit A (the
“Exercise Notice”) which shall state the election to
exercise the Option, the number of Shares with respect to which the
Option is being exercised (“Exercised Shares”), and
such other representations and agreements as may be required by the
Company. The Exercise Notice shall be accompanied by payment of the
aggregate Exercise Price as to all Exercised Shares. If the Option
is being exercise with respect to unvested Shares, the Optionee
must also deliver an executed copy of the Restricted Stock
Purchase
-2-
Agreement. This Option shall be deemed
to be exercised upon receipt by the Company of such fully executed
Exercise Notice accompanied by the aggregate Exercise Price, and if
applicable the Restricted Stock Purchase Agreement.
No Shares shall be issued
pursuant to the exercise of an Option unless such issuance and such
exercise complies with Applicable Laws. Assuming such compliance,
for income tax purposes the Shares shall be considered transferred
to the Optionee on the date on which the Option is exercised with
respect to such Shares.
3. Optionee’s
Representations . In the event the Shares have not been
registered under the Securities Act of 1933, as amended, at the
time this Option is exercised, the Optionee shall, if required by
the Company, concurrently with the exercise of all or any portion
of this Option, deliver to the Company his or her Investment
Representation Statement in the form attached hereto as
Exhibit B .
4. Lock-Up Period .
Optionee hereby agrees that Optionee shall not offer, pledge, sell,
contract to sell, sell any option or contract to purchase, purchase
any option or contract to sell, grant any option, right or warrant
to purchase, lend, or otherwise transfer or dispose of, directly or
indirectly, any Common Stock (or other securities) of the Company
or enter into any swap, hedging or other arrangement that transfers
to another, in whole or in part, any of the economic consequences
of ownership of any Common Stock (or other securities) of the
Company held by Optionee (other than those included in the
registration) for a period specified by the representative of the
underwriters of Common Stock (or other securities) of the Company
not to exceed one hundred eighty (180) days following the
effective date of any registration statement of the Company filed
under the Securities Act.
Optionee agrees to execute
and deliver such other agreements as may be reasonably requested by
the Company or the underwriter which are consistent with the
foregoing or which are necessary to give further effect thereto. In
addition, if requested by the Company or the representative of the
underwriters of Common Stock (or other securities) of the Company,
Optionee shall provide, within ten (10) days of such request,
such information as may be required by the Company or such
representative in connection with the completion of any public
offering of the Company’s securities pursuant to a
registration statement filed under the Securities Act. The
obligations described in this Section shall not apply to a
registration relating solely to employee benefit plans on Form S-1
or Form S-8 or similar forms that may be promulgated in the future,
or a registration relating solely to a Commission Rule 145
transaction on Form S-4 or similar forms that may be promulgated in
the future. The Company may impose stop-transfer instructions with
respect to the shares of Common Stock (or other securities) subject
to the foregoing restriction until the end of said one hundred
eighty (180) day period. Optionee agrees that any transferee
of the Option or shares acquired pursuant to the Option shall be
bound by this Section.
5. Method of Payment .
Payment of the aggregate Exercise Price shall be by any of the
following, or a combination thereof, at the election of the
Optionee:
(a) cash or check;
-3-
(b) consideration received by
the Company under a formal cashless exercise program adopted by the
Company in connection with the Plan; or
(c) surrender of other Shares
which, (i) in the case of Shares acquired from the Company,
either directly or indirectly, have been owned by the Optionee, and
not subject to a substantial risk of forfeiture, for more than
six (6) months on the date of surrender, and (ii) have a
Fair Market Value on the date of surrender equal to the aggregate
Exercise Price of the Exercised Shares.
6. Restrictions on
Exercise . This Option may not be exercised until such time as
the Plan has been approved by the shareholders of the Company, or
if the issuance of such Shares upon such exercise or the method of
payment of consideration for such shares would constitute a
violation of any Applicable Law.
7. Restrictions on
Shares . Optionee hereby agrees that Shares purchased upon the
exercise of the Option shall be subject to such terms and
conditions as the Committee shall determine in its sole discretion,
including, without limitation, restrictions on the transferability
of Shares, the right of the Company to repurchase Shares, and a
right of first refusal in favor of the Company with respect to
permitted transfers of Shares. Such terms and conditions may, in
the Committee’s sole discretion, be contained in the Exercise
Notice with respect to the Option or in such other agreement as the
Committee shall determine and which the Optionee hereby agrees to
enter into at the request of the Company
8. Non-Transferability of
Option . This Option may not be transferred in any manner
otherwise than by will or by the laws of descent or distribution
and may be exercised during the lifetime of Optionee only by
Optionee. The terms of the Plan and this Option Agreement shall be
binding upon the executors, administrators, heirs, successors and
assigns of the Optionee.
9. Term of Option .
This Option may be exercised only within the term set out in the
Notice of Grant, and may be exercised during such term only in
accordance with the Plan and the terms of this Option.
10. Tax Obligations
.
(a) Withholding Taxes
. Optionee agrees to make appropriate arrangements with the Company
(or the Parent or Subsidiary employing or retaining Optionee) for
the satisfaction of all Federal, state, local and foreign income
and employment tax withholding requirements applicable to the
Option exercise. Optionee acknowledges and agrees that the Company
may refuse to honor the exercise and refuse to deliver Shares if
such withholding amounts are not delivered at the time of
exercise.
(b) Notice of
Disqualifying Disposition of ISO Shares . If the Option granted
to Optionee herein is an ISO, and if Optionee sells or otherwise
disposes of any of the Shares acquired pursuant to the ISO on or
before the later of (1) the date two years after the Date of
Grant, or (2) the date one year after the date of exercise,
the Optionee shall immediately notify the Company in writing of
such disposition. Optionee agrees that Optionee may be subject to
income tax withholding by the Company on the compensation income
recognized by the Optionee.
-4-
11. Entire Agreement;
Governing Law . The Plan is incorporated herein by reference.
The Plan and this Option Agreement constitute the entire agreement
of the parties with respect to the subject matter hereof and
supersede in their entirety all prior undertakings and agreements
of the Company and Optionee with respect to the subject matter
hereof, and may not be modified adversely to the Optionee’s
interest except by means of a writing signed by the Company and
Optionee. This agreement is governed by the internal substantive
laws but not the choice of law rules of California.
12. No Guarantee of
Continued Service . OPTIONEE ACKNOWLEDGES AND AGREES THAT THE
VESTING OF SHARES PURSUANT TO THE VESTING SCHEDULE HEREOF IS EARNED
ONLY BY CONTINUING AS A SERVICE PROVIDER AT THE WILL OF THE COMPANY
(NOT THROUGH THE ACT OF BEING HIRED, BEING GRANTED THIS OPTION OR
ACQUIRING SHARES HEREUNDER). OPTIONEE FURTHER ACKNOWLEDGES AND
AGREES THAT THIS AGREEMENT, THE TRANSACTIONS CONTEMPLATED HEREUNDER
AND THE VESTING SCHEDULE SET FORTH HEREIN DO NOT CONSTITUTE AN
EXPRESS OR IMPLIED PROMISE OF CONTINUED ENGAGEMENT AS A SERVICE
PROVIDER FOR THE VESTING PERIOD, FOR ANY PERIOD, OR AT ALL, AND
SHALL NOT INTERFERE IN ANY WAY WITH OPTIONEE’S RIGHT OR THE
COMPANY’S RIGHT TO TERMINATE OPTIONEE’S RELATIONSHIP AS
A SERVICE PROVIDER AT ANY TIME, WITH OR WITHOUT CAUSE.
Optionee acknowledges receipt
of a copy of the Plan and represents that he or she is familiar
with the terms and provisions thereof, and hereby accepts this
Option subject to all of the terms and provisions thereof. Optionee
has reviewed the Plan and this Option in their entirety, has had an
opportunity to obtain the advice of counsel prior to executing this
Option and fully understands all provisions of the Option. Optionee
hereby agrees to accept as binding, conclusive and final all
decisions or interpretations of the Administrator upon any
questions arising under the Plan or this Option. Optionee further
agrees to notify the Company upon any change in the residence
address indicated below.
|
|
|
|
|
| OPTIONEE |
|
|
|
VIA
PHARMACEUTICALS, INC. |
|
|
|
|
|
|
|
|
|
| Signature |
|
|
|
By |
|
|
|
|
|
|
|
|
|
| Print
Name |
|
|
|
Title |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Residence
Address |
|
|
|
|
-5-
EXHIBIT
A
2004 STOCK
PLAN
EXERCISE
NOTICE
VIA Pharmaceuticals,
Inc.
Address:
Attention:
1. Exercise of Option
. Effective as of today,
,
, the undersigned (“Optionee”) hereby elects to
exercise Optionee’s option to purchase
shares of the Common Stock (the “Shares”) of VIA
Pharmaceuticals, Inc. (the “Company”) under and
pursuant to the 2004 Stock Plan (the “Plan”) and
the Stock Option Agreement dated
,
(the “Option Agreement”).
2. Delivery of Payment
. Optionee herewith delivers to the Company the full purchase price
of the Shares, as set forth in the Option Agreement, and any and
all withholding taxes due in connection with the exercise of the
Option.
3. Representations of
Optionee . Optionee, without further action on his or her part,
by purchase of the Shares agrees to be deemed a party to, a
signatory of and bound by the First Amended and Restated
Stockholders’ Agreement dated March 31, 2006 as may be
amended or restated from time to time and any successor agreement
thereto, (the “ Stockholders’ Agreement
”), and the Shares shall be subject to such rights and
restrictions as contained therein. Participant acknowledges that he
or she has received, read and understood the Plan, the Option
Agreement, the Stockholders’ Agreement, and this Exercise
Notice and is familiar with their terms and provisions and agrees
to abide by and be bound by their terms and conditions.
4. Rights as
Shareholder . Until the issuance of the Shares (as evidenced by
the appropriate entry on the books of the Company or of a duly
authorized transfer agent of the Company), no right to vote or
receive dividends or any other rights as a shareholder shall exist
with respect to the Optioned Stock, notwithstanding the exercise of
the Option. The Shares shall be issued to the Optionee as soon as
practicable after the Option is exercised in accordance with the
Option Agreement. No adjustment shall be made for a dividend or
other right for which the record date is prior to the date of
issuance except as provided in Section 13 of the
Plan.
5. Company’s Right
of First Refusal . Before any Shares held by Optionee or any
transferee (either being sometimes referred to herein as the
“Holder”) may be sold or otherwise transferred
(including transfer by gift or operation of law), the Company or
its assignee(s) shall have a right of first refusal to purchase the
Shares on the terms and conditions set forth in this Section (the
“Right of First Refusal”).
(a) Notice of Proposed
Transfer . The Holder of the Shares shall deliver to the
Company a written notice (the “Notice”) stating:
(i) the Holder’s bona fide intention to sell or
otherwise transfer such Shares; (ii) the name of each proposed
purchaser or other transferee (“Proposed Transferee”);
(iii) the number of Shares to be transferred to each Proposed
Transferee; and (iv) the bona fide cash price or other
consideration for which the Holder proposes to transfer the Shares
(the “Offered Price”), and the Holder shall offer the
Shares at the Offered Price to the Company or its
assignee(s).
(b) Exercise of Right of
First Refusal . At any time within thirty (30) days after
receipt of the Notice, the Company and/or its assignee(s) may, by
giving written notice to the Holder, elect to purchase all, but not
less than all, of the Shares proposed to be transferred to any one
or more of the Proposed Transferees, at the purchase price
determined in accordance with subsection (c) below.
(c) Purchase Price .
The purchase price (“Purchase Price”) for the Shares
purchased by the Company or its assignee(s) under this Section
shall be the Offered Price. If the Offered Price includes
consideration other than cash, the cash equivalent value of the
non-cash consideration shall be determined by the Board of
Directors of the Company in good faith.
(d) Payment . Payment
of the Purchase Price shall be made, at the option of the Company
or its assignee(s), in cash (by check), by cancellation of all or a
portion of any outstanding indebtedness of the Holder to the
Company (or, in the case of repurchase by an assignee, to the
assignee), or by any combination thereof within thirty (30)
days after receipt of the Notice or in the manner and at the times
set forth in the Notice.
(e) Holder’s Right
to Transfer . If all of the Shares proposed in the Notice to be
transferred to a given Proposed Transferee are not purchased by the
Company and/or its assignee(s) as provided in this Section, then
the Holder may sell or otherwise transfer such Shares to that
Proposed Transferee at the Offered Price or at a higher price,
provided that such sale or other transfer is consummated within 120
days after the date of the Notice, that any such sale or other
transfer is effected in accordance with any applicable securities
laws and that the Proposed Transferee agrees in writing that the
provisions of this Section shall continue to apply to the Shares in
the hands of such Proposed Transferee. If the Shares described in
the Notice are not transferred to the Proposed Transferee within
such period, a new Notice shall be given to the Company, and the
Company and/or its assignees shall again be offered the Right of
First Refusal before any Shares held by the Holder may be sold or
otherwise transferred.
(f) Exception for Certain
Family Transfers . Anything to the contrary contained in this
Section notwithstanding, the transfer of any or all of the Shares
during the Optionee’s lifetime or on the Optionee’s
death by will or intestacy to the Optionee’s immediate family
or a trust for the benefit of the Optionee’s immediate family
shall be exempt from the provisions of this Section.
“Immediate Family” as used herein shall mean spouse,
lineal descendant or antecedent, father, mother, brother or sister.
In such case, the transferee or other recipient shall receive and
hold the Shares so transferred subject to the provisions of this
Section, and there shall be no further transfer of such Shares
except in accordance with the terms of this Section.
-2-
(g) Termination of Right
of First Refusal . The Right of First Refusal shall terminate
as to any Shares upon the earlier of (i) the first sale of
Common Stock of the Company to the general public, or (ii) a
Change in Control in which the successor corporation has equity
securities that are publicly traded.
6. Tax Consultation .
Optionee understands that Optionee may suffer adverse tax
consequences as a result of Optionee’s purchase or
disposition of the Shares. Optionee represents that Optionee has
consulted with any tax consultants Optionee deems advisable in
connection with the purchase or disposition of the Shares and that
Optionee is not relying on the Company for any tax
advice.
7. Restrictive Legends and
Stop-Transfer Orders .
(a) Legends . Optionee
understands and agrees that the Company shall cause the legends set
forth below or legends substantially equivalent thereto, to be
placed upon any certificate(s) evidencing ownership of the Shares
together with any other legends that may be required by the Company
or by state or federal securities laws:
THE SECURITIES REPRESENTED
HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933
(THE “ACT”) AND MAY NOT BE OFFERED, SOLD OR OTHERWISE
TRANSFERRED, PLEDGED OR HYPOTHECATED UNLESS AN
|