Exhibit 10.2

 

***Text Omitted and Filed Separately

with the Securities and Exchange Commission.

Confidential Treatment Requested

Under 17 C.F.R. Sections 200.80(b)(4)

and 240.24b-2.

 

THIRD AMENDMENT
TO THE
COLLABORATIVE RESEARCH AND LICENSE AGREEMENT

 

THIS THIRD AMENDMENT TO THE COLLABORATIVE RESEARCH AND LICENSE AGREEMENT (the
“Third Amendment”) is made by and between SENOMYX, INC. (“Senomyx”), a Delaware
corporation, having a principal place of business at 11099 North Torrey Pines
Road, La Jolla, California 92037, and NESTEC, Ltd. (“Nestlé”), a Swiss company,
having a principal place of business at Avenue Nestlé 55, CH-1800 Vevey,
Switzerland.

 

WHEREAS, Senomyx and Nestlé entered into that certain Collaborative Research and
License Agreement dated as of April 18, 2002, as amended by that certain First
Amendment dated October 23, 2003 and that Second Amendment dated April 17, 2005,
(collectively, the “Agreement”); and

 

WHEREAS, the parties wish to amend the Agreement in the manner set forth in this
Third Amendment (capitalized terms used but not otherwise defined in this Third
Amendment shall have the meanings given such terms in the Agreement).

 

NOW, THEREFORE, in consideration of the foregoing premises and of the covenants,
representations and agreements set forth below, the parties hereby agree to
amend the Agreement as follows:

 

1.             The following definitions of Appendix A of the Agreement are
hereby added or amended and restated herein. All other definitions in the
Agreement will remain unchanged.

 

“Africa” means the following countries, which list will at all times be subject
to U.S. trade embargoes:

 

Algeria
Benin
Burundi
Botswana
Burkina Faso
Cameroon
Cape Verde
Central African Republic
Chad
Comoros
Congo-Brazzaville
Congo-Kinshasa
Cote d’Ivoire
Djibouti
Egypt
Equatorial Guinea

Eritrea
Ethiopia
Gabon
Gambia
Ghana
Guinea
Guinea-Bissau
Kenya
Lesotho
Madagascar
Malawi
Mali
Mauritania
Mauritius
Morocco
Mozambique

Namibia
Niger
Nigeria
Rwanda
Sao Tome and Principe
Senegal
Seychelles
Somalia
South Africa
Swaziland
Tanzania
Togo
Tunisia
Uganda
Zambia

 

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“Asia” means the following Asian countries, which list will at all times be
subject to U.S. trade embargoes: 

 

Bangladesh
Bhutan
Cambodia
China, P.R. of
East Timor
Hong Kong
India
Indonesia

Japan
Korea, Republic of
Lao People’s Democr. Rep.
Macau
Malaysia
Maldives
Mongolia
Nepal

Pakistan
Philippines
Singapore
Sri Lanka
Taiwan
Thailand
Vietnam

 

“[***] Category” means [***]; provided, however, that the [***] Category does
not include [***].

 

“Europe” means the following countries:  Austria, Belgium, Cypress, Czech
Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Ireland,
Italy, Latvia, Lithuania, Luxembourg, Malta, Poland, Portugal, Russian
Federation, Slovakia, Slovenia, Spain, Sweden, Switzerland, The Netherlands,
Turkey, Ukraine and the United Kingdom, which list will at all times be subject
to U.S. trade embargoes.

 

“Latin America” means the following countries: Argentina, Brazil, Chile,
Columbia, Costa Rica, Ecuador, El Salvador, Guatemala, Honduras, Mexico,
Nicaragua, Panama, Peru, Uruguay, and Venezuela, which list will at all times be
subject to U.S. trade embargoes.

 

“Middle East” means the following countries:  Bahrain, Dubai, Israel, Jordan,
Oman, Qatar, Saudi Arabia, United Arab Emirates and Yemen, which list will at
all times be subject to U.S. trade embargoes.

 

“Oceania” means the following countries: Australia, New Zealand, Papua New
Guinea, New Caledonia, Tahiti, Fiji, Vanuatu and the Cook Islands, which list
will at all times be subject to U.S. trade embargoes.

 

“Pet Food Category” means all forms of cat and dog foods.

 

“Regulatory Approval Date” means the date that a regulatory approval is given
that will allow the Products to be sold for commercial sale and human
consumption in a country.

 

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“Relevant Category” means the [***] Category, or the Dehydrated and Culinary
Food Category, or the Wet Soup Category, or the Frozen Food Category, or the Pet
Food Category for [***] Products and the Frozen Food Category, or the Dehydrated
and Culinary Food Category for [***] Products.

 

“[***] Field” means the [***] Category, the Dehydrated and Culinary Food
Category, the Frozen Food Category, the Wet Soup Category and the Pet Food
Category and specifically excludes the [***] Category, the [***] Category, and
the New Category, except as provided for under Section 3.2. The [***] Field does
not include [***].

 

2.             The two first sentences of Section 3.2 of the Agreement are
hereby amended and restated in their entirety as follows:

 

“3.2         Product Development. Upon the Regulatory Approval Date in each
country, Nestlé will use its reasonable endeavors to implement and complete a
concept and products acceptance test within a period of [***] to ascertain the
commercial potential of Products in such country (e.g. product concept
development, consumer testing etc). Upon completion of this process for each
country (“Decision Date”), Nestlé will decide in which of the Relevant
Categories it wishes to commercialize Products and will notify the Steering
Committee in writing of same.”

 

The remainder of Section 3.2 shall remain unchanged.

 

3.             Section 7.1(B)(a) of the Agreement is hereby amended and restated
in its entirety as follows:

 

“(B)         Second Three Years of the Collaborative Period.

 

a.     [***] per month for the second three years of the Collaborative Period
for the [***] Program until achievement of the following interim goal: 
identification of at least one Compound that [***] (“Interim Goal”).”

 

The remainder of Section 7.1 shall remain unchanged.

 

4.             A new Section 7.4 (H) is hereby added as follows:

 

“(H)   For the [***] Field if Nestle does not commercialize a [***] Product (or
has not taken substantial steps to commercialize a [***] Product) in a country
in a Relevant Category within [***] of the Decision

 

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Date then[***].

 

Each occurrence of the term “Products” in Sections 7.4(C), 7.4(D), 7.4(F) and
7.4(G) is hereby replaced with the term “[***] Products.”

 

5.             Section 7.5 is hereby amended and restated in its entirety as
follows:

 

“7.5         If at any time during the Royalty Term any other Third Party
discovers and is able to commercialize a compound or material which enhances the
[***] taste of products with application to products in the [***] Field and/or
any Third Party rights come into existence over a [***] Compound, Nestlé has
[***]. Any unsolved disputes regarding [***] will be settled in accordance with
Section 17.4 or as otherwise mutually agreed upon in writing.”

 

6.             Sections 8.1(B) and 8.1(C) are hereby amended and restated in
their entirety as follows:

 

“(B)         (i) an exclusive, nontransferable (except as permitted under
Section 17.12), worldwide license under the Senomyx Technology to use [***]
Compound(s) solely for non-commercial development of [***] Products in the [***]
Field; and Senomyx hereby grants to Nestlé (ii) an exclusive, nontransferable
(except as permitted under Section 17.12), license under the Senomyx Technology
to use [***] Compound(s) solely for non-commercial development of [***] Products
in the Dehydrated and Culinary Food Category, Frozen Food Category and the Wet
Soup Category in Europe; (iii) a co-exclusive, with one collaborator of Senomyx,
nontransferable (except as permitted under Section 17.12), license under the
Senomyx Technology to use [***] Compound(s) solely for non-commercial
development of [***] Products in the [***] Category in Asia; (iv) an exclusive,
nontransferable (except as permitted under Section 17.12), license under the
Senomyx Technology to use [***] Compound(s) solely for non-commercial
development of [***] Products in the Dehydrated and Culinary Food Category, and
the Frozen Food Category in Latin America; (v) an exclusive, nontransferable
(except as permitted under Section 17.12), license under the Senomyx Technology
to use [***] Compound(s) solely for non-commercial development of [***] Products
in the Frozen Food Category in Israel and Oceania; (vi) a co-exclusive, with one
collaborator of Senomyx, nontransferable (except as permitted under
Section 17.12), worldwide license under the Senomyx Technology to use [***]
Compound(s) solely for non-commercial development of [***] Products in the Pet
Food Category; and (vii) an exclusive, nontransferable (except as permitted
under Section 17.12), license under the Senomyx Technology to use [***]
Compound(s) solely for

 

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non-commercial development of [***] Products in the Dehydrated and Culinary Food
Category in Africa and the Middle East.

 

(C)           (i) an exclusive, nontransferable (except as permitted under
Section 17.12), worldwide license under the Senomyx Technology to make, have
made, use, sell, offer for sale, have sold, import and export [***] Products for
the [***] Field; (ii) an exclusive, nontransferable (except as permitted under
Section 17.12), license under the Senomyx Technology to make, have made, use,
sell, offer for sale, have sold, import and export [***] Products for the
Dehydrated and Culinary Food Category, Frozen Food Category and the Wet Soup
Category in Europe; (iii) a co-exclusive, with one collaborator of Senomyx,
nontransferable (except as permitted under Section 17.12), license under the
Senomyx Technology to make, have made, use, sell, offer for sale, have sold,
import and export [***] Products for the [***] Category in Asia;  and (iv) an
exclusive, nontransferable (except as permitted under Section 17.12), license
under the Senomyx Technology to make, have made, use, sell, offer for sale, have
sold, import and export [***] Products for the Dehydrated and Culinary Food
Category and Frozen Food Category in Latin America; (v) an exclusive,
nontransferable (except as permitted under Section 17.12), license under the
Senomyx Technology to use [***] Compound(s) to make, have made, use, sell, offer
for sale, have sold, import and export [***] Products in the Frozen Food
Category in Israel and Oceania; (vi) a co-exclusive, with one collaborator of
Senomyx, nontransferable (except as permitted under Section 17.12), worldwide
license under the Senomyx Technology to use [***] Compound(s) to make, have
made, use, sell, offer for sale, have sold, import and export [***] Products in
the Pet Food Category; and (vii) an exclusive, nontransferable (except as
permitted under Section 17.12), license under the Senomyx Technology to make,
have made, use, sell, offer for sale, have sold, import and export [***]
Products in the Dehydrated and Culinary Food Category in Africa and the Middle
East.”

 

For the avoidance of doubt, except as specifically provided above any previous
grant of rights to Nestlé under 8.1(B) and (C) are hereby terminated.

 

7.             The terms and conditions of the Appendix B Research Plan for the
[***] Program will be updated at the next meeting of the Steering Committee and
will be incorporated into this Agreement by reference.

 

8.             Senomyx will issue a press release to announce the execution of
this Third Amendment and the material terms; provided, however, that the extent
of disclosure of such material terms shall be no more than is required to comply
with applicable SEC disclosure requirements and otherwise subject to the prior
written consent of Nestlé. Thereafter, Nestlé and Senomyx may each disclose to
Third Parties the information contained in such press release without the need
for further approval by the other party.

 

9.             Except as specifically amended by this Third Amendment, the terms
and conditions of the Agreement shall remain in full force and effect.

 

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10.          This Third Amendment will be governed by the laws of the State of
California, U.S.A., as such laws are applied to contracts entered into and to be
performed entirely within such State.

 

11.          This Third Amendment 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.

 

IN WITNESS WHEREOF, the parties have executed this Third Amendment effective as
of the date last signed by the parties below.

 

SENOMYX, INC.

 

NESTEC LTD.:

 

 

 

 

 

By: 

  /s/ John Poyhonen

 

By: 

  /s/ Rainer Schoenegge

 

 

 

 

 

Name:

  John Poyhonen

 

Name:

  Rainer Schoenegge

 

 

 

 

 

 

 

Title:

  Chief Financial & Business Officer

 

Title:

  Vice President

 

 

 

 

 

 

 

Date:

  March 22, 2006

 

Date:

  31.01.2006

 

 

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