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Exhibit
10.6
CURAGEN
CORPORATION
Restricted Stock
Agreement
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| Name of Recipient: |
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NAME |
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Number of shares of restricted
common stock awarded: |
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# |
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| Grant
Date: |
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May 25,
2007 |
CuraGen Corporation (the
“ Company ”) has selected you to receive
the restricted stock award described above, which is subject to the
provisions of the Company’s 2007 Stock Incentive Plan (the
“ Plan ”) and the terms and conditions
contained in this Restricted Stock Agreement. Please confirm your
acceptance of this restricted stock award and of the terms and
conditions of this Agreement by signing a copy of this Agreement
where indicated below.
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| CURAGEN CORPORATION |
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| By: |
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David M.
Wurzer |
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Executive
Vice President, Chief Financial Officer, and Treasurer |
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| Accepted and
Agreed: |
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| Employee
Name |
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| Date: |
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CURAGEN
CORPORATION
Restricted Stock
Agreement
The terms and conditions of
the award of shares of restricted common stock of the Company (the
“ Restricted Shares ”) made to the
Recipient, as set forth on the cover page of this Agreement, are as
follows:
1. Issuance of Restricted
Shares . The Restricted Shares are issued to the Recipient,
effective as of the Grant Date (as set forth on the cover page of
this Agreement), in consideration of employment services rendered
and to be rendered by the Recipient to the Company. The Restricted
Shares will be held in book entry by the Company’s transfer
agent in the name of the Recipient. The Recipient agrees that the
Restricted Shares shall be subject to the forfeiture provisions set
forth in Section 2(b) of this Agreement and the restrictions
on transfer set forth in Section 4 of this
Agreement.
2. Vesting
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(a) The Restricted Shares
shall vest and become free from the forfeiture provisions in
Section 2(b) hereof and become free from the transfer
restrictions in Section 4 hereof as follows, provided in each
case that the Recipient is employed with the Company as of the
applicable vesting date:
(i) on December 31,
2008, provided that the Board of Directors of the Company
certifies that the closing price of the Company’s common
stock on the Nasdaq Global Market has equaled or exceeded
$5.00 per share over a period of 20 consecutive trading days
beginning at any time on or after the Grant Date (such price to be
adjusted in the event of a stock split, reverse stock split, stock
dividend, recapitalization, combination of shares, reclassification
of shares, spin-off or other similar change in capitalization or
event); or
(ii) immediately prior to the
consummation of a merger, consolidation, statutory share exchange,
a sale or other disposition of all or substantially all of the
assets of the Company or similar form of corporate transaction
involving the Company (a “ Business Combination
”), provided that such Business Combination has the
following characteristics (a “ Qualifying Change in
Control ”):
1. Occurs on or prior to
December 31, 2008 .
2. Provides for payment of
gross proceeds to the Company’s stockholders of $5.00
or more per share (such price to be adjusted in the event of a
stock split, reverse stock split, stock dividend, recapitalization,
combination of shares, reclassification of shares, spin-off or
other similar change in capitalization or event). Proceeds to the
Company’s stockholders shall be calculated for this purpose
without regard to deductions for applicable taxes. In the event any
consideration payable in connection with the Business Combination
consists of securities of another entity, such securities shall be
valued at their fair market value as determined by (or in a manner
approved by) the Company’s Board of Directors (“
Fair Market Value ”).
3. Immediately following such
Business Combination, voting securities of the Company that were
outstanding immediately prior to such Business Combination (or, if
applicable, shares into which such Company voting securities were
converted pursuant to such Business Combination) represent less
than 50% of the total voting power of (x) the corporation
resulting from such Business Combination (the “
Surviving Corporation” ) or (y) if
applicable, the ultimate parent corporation that directly or
indirectly has the beneficial ownership of 100% of the voting
securities eligible to elect directors of the Surviving
Corporation.
(b) In the event that
(i) the Recipient ceases to be employed by the Company prior
to the date that the Restricted Shares vest under
Section 2(a)(i) or Section 2(a)(ii) hereof, for any
reason or no reason, with or without cause, or (ii) the
Restricted Shares otherwise do not vest in accordance with the
conditions set forth in Section 2(a)(i) or
Section 2(a)(ii) hereof on or before December 31,
2008 , then all of the Restricted Shares shall be forfeited
immediately and automatically to the Company for no consideration
effective as of either the date of termination of employment or
January 1, 2009 whichever is earlier, and the Recipient
shall have no further rights with respect to such Restricted
Shares. The Recipient hereby authorizes the Company to take any
actions necessary or appropriate to cancel any stock certificate(s)
representing forfeited Restricted Shares and transfer ownership of
such forfeited Restricted Shares to the Company; and if the Company
or its transfer agent requires an executed stock power or similar
confirmatory instrument in connection with such cancellation and
transfer, the Recipient shall promptly execute and deliver the same
to the Company. For purposes of this Agreement, employment with the
Company shall include employment with a parent or subsidiary of the
Company, or any successor to the Company.
3. Acknowledgment
regarding Employment Agreement . The Recipient and the Company
hereby acknowledge and agree that the Restricted Shares will vest
in accordance with the conditions set forth in
Section 2(a)(ii) above only upon a Qualifying Change in
Control, notwithstandin
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