SECURITIES PURCHASE
AGREEMENT
SECURITIES PURCHASE AGREEMENT
(this "Agreement"), dated as of July
9, 2009, by and among Senesco Technologies, Inc., a Delaware
corporation (the "Company"), and the investor listed on the
signature page attached hereto (the "Purchaser").
WITNESSETH
:
WHEREAS , the Company desires to sell, transfer and
assign to the Purchaser, and the Purchaser desires to purchase from
the Company 1,111,111 shares (the "Shares") of the Company's common
stock, $0.01 par value per share (the "Common Stock"), and certain
warrants, (“Warrant A” and “Warrant B”) to
purchase, in the aggregate, up to 3,055,555 shares of Common Stock
(collectively Warrant A and Warrant B shall be referred to herein
as the "Warrants") for an aggregate purchase price of $1,000,000
(the Warrants, together with the Shares, shall be referred to
herein as the "Securities");
NOW, THEREFORE , in consideration of the promises and the
mutual covenants contained herein, the parties hereto, intending to
be legally bound, hereby agree as follows:
SECTION I
PURCHASE AND SALE OF THE
SECURITIES
A.
Purchase and Sale . Subject to the terms and
conditions of this Agreement and on the basis of the
representations, warranties, covenants and agreements herein
contained, the Company hereby agrees to sell, transfer, assign and
convey the respective number of Securities to the Purchaser as set
forth on the signature pages attached hereto, and the Purchaser
agrees to purchase, acquire and accept their respective number of
Securities from the Company as set forth on the signature pages
attached hereto.
B.
Purchase Price . The Securities are hereby
offered at a price of (i) $0.90 per share of Common Stock, (ii)
$0.01 for each share underlying Warrant A to purchase shares of
Common Stock as more fully described below and (iii) $0.60 for each
share underlying Warrant B to purchase shares of Common Stock as
more fully described below. The aggregate purchase price
for the Securities to be paid by the Purchaser to the Company is
$1,000,000 (the "Aggregate Purchase Price"). The
Aggregate Purchase Price shall be paid by the Purchaser to the
Company either via certified bank check or irrevocable wire
transfer and shall be paid by the Purchaser in the amounts set
forth on the signature pages attached hereto and pursuant to the
closings set forth in Section IV below.
C.
Warrant A . Warrant A shall be in the form of
Exhibit A attached hereto shall have a seven year term and
shall be exercisable immediately at an exercise price of $0.01 per
share. Subject to stockholder approval as further
described below, the Purchaser shall be entitled to purchase, in
the aggregate, 1,000,000 shares of Common Stock underlying Warrant
A.
D.
Warrant B . Warrant B shall be in the form of
Exhibit B attached hereto shall have a seven-year term and
shall be exercisable six months from the date of issuance at an
exercise price of $0.60 per share. Subject to
stockholder approval as further described below, the Purchaser
shall be entitled to purchase in the aggregate 2,055,555 shares of
Common Stock underlying Warrant B.
SECTION II
REPRESENTATIONS, WARRANTIES,
COVENANTS
AND AGREEMENTS OF THE
COMPANY
Except as set forth on the disclosure schedules
or disclosed in, and reasonably apparent from, any report,
schedule, form or other document filed with, or furnished to, the
SEC and publicly available prior to the date of this Agreement, the
Company represents and warrants to, and covenants and agrees with,
the Purchaser, as of the date hereof, that:
A.
Organization; Good Standing . The Company is a
corporation duly organized, validly existing and in good standing
under the laws of the State of Delaware and has full corporate
power and authority to own its properties and to conduct the
business in which it is now engaged.
B.
Authority . Except as set forth on Schedule IIB,
the Company has the full corporate power, authority and legal right
to execute and deliver this Agreement and to perform all of its
obligations and covenants hereunder, and no consent or approval of
any other person or governmental authority is required
therefore. The execution and delivery of this Agreement
by the Company, the performance by the Company of its obligations
and covenants hereunder and the consummation by the Company of the
transactions contemplated hereby have been duly authorized by all
necessary corporate action. This Agreement constitutes a
valid and legally binding obligation of the Company, enforceable
against the Company in accordance with its terms, except as the
enforceability thereof may be limited by bankruptcy, insolvency or
other similar laws affecting the enforceability of creditors'
rights in general or by general principles of equity.
C.
No Legal Bar; Conflicts . Neither the execution
and delivery of this Agreement, nor the consummation of the
transactions contemplated hereby, violates any provision of the
Certificate of Incorporation, as amended, or By-Laws of the Company
or any law, statute, ordinance, regulation, order, judgment or
decree of any court or governmental agency, or conflicts with or
results in any breach of any of the terms of or constitutes a
default under or results in the termination of or the creation of
any lien pursuant to the terms of any contract or agreement to
which the Company is a party or by which the Company or any of its
assets is bound.
D.
Non-Assessable Shares . The Securities being
issued hereunder have been duly authorized and, the Shares, when
issued to the Purchaser for the consideration herein provided, and
the shares of Common Stock issued upon the proper exercise of the
Warrants, will be validly issued, fully paid and
non-assessable.
E.
SEC Documents; Financial Statements . During the
two years prior to the date hereof, the Company has timely filed
all reports, schedules, forms, statements and other documents
required to be filed by it with the Securities and Exchange
Commission (the “SEC”) pursuant to the reporting
requirements of the Securities Exchange Act of 1934 (the
“1934 Act”) (all of the foregoing filed prior to the
date hereof or prior to the Closing Date, and all exhibits included
therein and financial statements and schedules thereto and
documents incorporated by reference therein being hereinafter
referred to as the "SEC Documents"). The Company has
made available to the Purchaser or their respective representatives
true, correct and complete copies of the SEC Documents not
available on the EDGAR system. As of their respective
dates, the SEC Documents complied in all material respects with the
requirements of the 1934 Act and the rules and regulations of the
SEC promulgated thereunder applicable to the SEC Documents, and
none of the SEC Documents, at the time they were filed with the
SEC, contained any untrue statement of a material fact or omitted
to state a material fact required to be stated therein or necessary
in order to make the statements therein, in the light of the
circumstances under which they were made, not
misleading. As of their respective dates, the financial
statements of the Company included in the SEC Documents complied as
to form in all material respects with applicable accounting
requirements and the published rules and regulations of the SEC
with respect thereto. Such financial statements have
been prepared in accordance with generally accepted accounting
principles, consistently applied, during the periods involved
(except (i) as may be otherwise indicated in such financial
statements or the notes thereto, or (ii) in the case of unaudited
interim statements, to the extent they may exclude footnotes or may
be condensed or summary statements) and fairly present in all
material respects the financial position of the Company as of the
dates thereof and the results of its operations and cash flows for
the periods then ended (subject, in the case of unaudited
statements, to normal year-end audit adjustments). No
other information provided by or on behalf of the Company to the
Purchaser which is not included in the SEC Documents, including,
without limitation, information provided to any Purchaser by the
Company in anticipation of this transaction, contains any untrue
statement of a material fact or omits to state any material fact
necessary in order to make the statements therein, in the light of
the circumstance under which they are or were made, not
misleading.
F.
Absence of Certain Changes . Except in the
ordinary course of business, since July 8, 2009, there has been no
material adverse change and no material adverse development in the
business, properties, operations, condition (financial or
otherwise), results of operations or prospects of the Company or
its subsidiaries. Since July 8, 2009, the Company has
not (i) declared or paid any dividends, (ii) sold any assets,
individually or in the aggregate, in excess of $500,000 outside of
the ordinary course of business or (iii) had capital expenditures,
individually or in the aggregate, in excess of
$500,000. The Company has not taken any steps to seek
protection pursuant to any bankruptcy law nor does the Company have
any knowledge or reason to believe that its creditors intend to
initiate involuntary bankruptcy proceedings or any actual knowledge
of any fact which would reasonably lead a creditor to do
so.
G.
No Undisclosed Events, Liabilities, Developments or
Circumstances . Except as set forth on Schedule IIG,
no event, liability, development or circumstance has occurred or
exists, or is contemplated to occur, with respect to the Company or
its subsidiaries or their respective business, properties,
prospects, operations or financial condition, that would be
required to be disclosed by the Company under applicable securities
laws on a registration statement on Form S-1 filed with the SEC
relating to an issuance and sale by the Company of its Common Stock
and which has not been publicly announced.
H.
Foreign Corrupt Practices . Neither the Company,
nor any of its subsidiaries, nor any director, officer, agent,
employee or other person acting on behalf of the Company or any of
its subsidiaries has, in the course of its actions for, or on
behalf of, the Company (i) used any corporate funds for any
unlawful contribution, gift, entertainment or other unlawful
expenses relating to political activity; (ii) made any direct or
indirect unlawful payment to any foreign or domestic government
official or employee from corporate funds; (iii) violated or is in
violation of any provision of the U.S. Foreign Corrupt Practices
Act of 1977, as amended; or (iv) made any unlawful bribe, rebate,
payoff, influence payment, kickback or other unlawful payment to
any foreign or domestic government official or employee.
I.
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 SEC thereunder
that are effective as of the date hereof, except where such
noncompliance would not have, individually or in the aggregate, a
material adverse effect.
J.
Intellectual Property Rights . The Company and
its subsidiaries own or possess adequate rights or licenses to use
all trademarks, trade names, service marks, service mark
registrations, service names, patents, patent rights, copyrights,
inventions, licenses, approvals, governmental authorizations, trade
secrets and other intellectual property rights ("Intellectual
Property Rights") necessary to conduct their respective businesses
as now conducted. None of the Company's Intellectual
Property Rights have expired or terminated, or are expected to
expire or terminate within three years from the date of this
Agreement, except for rights which are not necessary to conduct its
business as now conducted. The Company does not have any
knowledge of any infringement by the Company or its subsidiaries of
Intellectual Property Rights of others. There is no
claim, action or proceeding being made or brought, or to the
knowledge of the Company, being threatened, against the Company or
any of its subsidiaries regarding its Intellectual Property
Rights. The Company is unaware of any facts or
circumstances which might give rise to any of the foregoing
infringements or claims, actions or proceedings. The
Company and its subsidiaries have taken reasonable security
measures to protect the secrecy, confidentiality and value of all
of their Intellectual Property Rights.
SECTION III
REPRESENTATIONS, WARRANTIES,
COVENANTS
AND AGREEMENTS OF THE
PURCHASER
The Purchaser represents and warrants to, and
covenants and agrees with, the Company, as of the date hereof,
that:
A.
Organization (if applicable) . The Purchaser is,
and as of the Closing will be, duly organized, validly existing and
in good standing under the laws of its jurisdiction of
organization.
B.
Authorization . The Purchaser has, and as of the
Closing will have, all requisite power and authority to execute,
deliver and perform this Agreement and to consummate the
transactions contemplated hereby. The execution,
delivery and performance of this Agreement, and the consummation of
the transactions contemplated hereby, have been duly and validly
authorized by all necessary action on the part of the
Purchaser. This Agreement has been duly executed and
delivered by the Purchaser and constitutes its legal, valid and
binding obligation, enforceable against the Purchaser in accordance
with its terms, except as the enforceability thereof may be limited
by bankruptcy, insolvency or other similar laws affecting the
enforceability of creditors' rights in general or by general
principles of equity.
C.
No Legal Bar; Conflicts . Neither the execution
and delivery of this Agreement, nor the consummation by the
Purchaser of the transact
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