Exhibit 10.1

 

ACUSPHERE, INC.

 

AMENDMENT NO. 3 TO INVESTORS’ RIGHTS AGREEMENT

 

This Amendment No. 3 (the “Amendment No. 3”) to that certain Tenth Amended and
Restated Investors’ Rights Agreement dated April 11, 2003, as amended by
Amendment No. 1 dated August 20, 2003 and Amendment No. 2 dated July 29, 2004
(as amended and in effect from time to time, the “Investors’ Rights Agreement”),
is effective as of October 26, 2004 (the “Effective Date”), by and among
Acusphere, Inc., a Delaware corporation (the “Company”), and the undersigned
holders of Registrable Securities (as defined in the Investors’ Rights
Agreement).

 

WHEREAS, the Company has granted certain registration rights to holders of the
Company’s Registrable Securities as set forth in the Investors’ Rights
Agreement;

 

WHEREAS, pursuant to Section 4.7 of the Investors’ Rights Agreement, the prior
written consent of holders of at least fifty-five percent (55%) of the
outstanding Registrable Securities is required to amend the Investors’ Rights
Agreement;

 

WHEREAS, the Company and the undersigned holders, which holders hold at least
fifty-five percent (55%) of the outstanding Registrable Securities as of the
date hereof, wish to amend the Investors’ Rights Agreement in the manner set
forth below;

 

NOW, THEREFORE, in consideration of the mutual promises, covenants and
conditions hereinafter set forth and for other good and valuable consideration
the receipt and sufficiency of which is hereby acknowledged, the Company and the
undersigned holders hereby agree as follows:

 

1.             Amendment of Investors’ Rights Agreement.  The Stockholders
hereby amend the Investors’ Rights Agreement as follows:

 

(a)           Section 2.1 of the Investors’ Rights Agreement shall be amended so
as to add a new defined term “Institutional Financing” which definition shall
read in its entirety as follows:

 

“(p)         The term “Institutional Financing” means the issuance and sale by
the Company of equity securities, including securities convertible into or
exercisable for the Company’s equity securities, on an underwritten or “best
efforts” basis, in a private placement or pursuant to a registration statement
under the Act, to (i) new and/or existing venture capital, institutional and/or
accredited investors, (ii) new and/or existing venture capital, institutional
and/or accredited lenders and/or equipment lessors, or (iii) to corporate and/or
strategic partners and/or collaborators in connection with a bona fide strategic
relationship with the Company.”

 

(b)           Section 2.13 of the Investors’ Rights Agreement shall be amended
so as to read in its entirety as set forth below:

 

“2.13       Limitations on Subsequent Registration Rights.  From and after the
date of this Agreement, except in connection with an Institutional Financing
Acusphere shall not, without the prior written consent of the Holders of a
majority of the Registrable Securities then outstanding, enter into any
agreement with any holder or prospective holder of any securities of Acusphere
which would allow such holder or prospective

 

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holder (a) to include such securities in any registration filed under Section
2.2 or described in Section 2.3 hereof, unless under the terms of such
agreement, such holder or prospective holder may include such securities in any
such registration only to the extent that the inclusion of such securities will
not reduce the amount of the Registrable Securities of the Holders which are to
be included or (b) to make a demand registration which could result in such
registration statement being declared effective prior to the earlier of either
of the dates set forth in subsection 2.2(a) or within one hundred twenty (120)
days of the effective date of any registration effected pursuant to Section 2.2
or 2.4.”

 

(c)           Section 2.15 of the Investors’ Rights Agreement shall be amended
so as to read in its entirety as set forth below:

 

“2.15       Termination of Registration Rights.  No Holder shall be entitled to
exercise any right provided for in this Section 2 if there is then an active
public trading market for the Common Stock and such Holder may sell all of such
Holder’s Registrable Securities under Rule 144 promulgated under the Act in a
three-month period.  No holder shall be entitled to exercise any right provided
for in this Section 2 and this Agreement shall automatically terminate in all
respects effective December 31, 2005; provided that with respect to any
registration statement effective as of December 31, 2005 under which the Company
has registered for re-sale any of the Registrable Securities, the Company will
keep such registration statement effective until the earlier of (a) October 7,
2008 [i.e., the 5-year anniversary of the Company’s initial public offering] or
(b) until all Registrable Securities registered under such registration
statement have been sold, subject to customary black-out periods, provided there
are no more than two such black-out periods per twelve-month period and neither
black-out period exceeds more than 45 days, unless in the good faith judgment of
the Board of Directors the sale of securities under such registration statement
would be reasonably likely to cause a violation of the Act or the 1934 Act.”

 

(d)           A new Section 2.16 of the Investors’ Rights Agreement shall be
added, which section shall read in its entirety as set forth below:

 

“2.16       Institutional Financings.  Notwithstanding anything to the contrary
contained in this Agreement, the Company is hereby expressly permitted, without
the consent of the holders of Registrable Securities, to effect Institutional
Financings from time to time and in connection with such Institutional
Financings file and take all other actions reasonably necessary or advisable in
order to effect the registration under the Act of the securities issued or
issuable in connection with such transactions by filing and effecting
registration statements with the SEC (any such registration statements being
referred to herein as “Financing Registration Statements”).  Notwithstanding
anything to the contrary contained in this Agreement, the Holders shall not be
entitled:

 

(i)            to cause the Company to effect a registration statement under the
Act pursuant to Section 2.2 (Demand Registration) or Section 2.4 (Form S-3
Registration) during the period commencing on the date of the first public
announcement of the Institutional Financing and terminating on the day next
following the date any Financing Registration Statement effected in connection
with such Institutional Financing is first declared effective by the SEC; or

 

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(ii)           to cause the Company to include their shares of Registrable
Securities in any Financing Registration Statement effected in connection with a
Institutional Financing pursuant to Section 2.3 (Piggy-Back Registration) (and
the Company shall not be obligated to provide notice of any such Financing
Registration Statement as might otherwise required by that section).

 

(e)           A new Section 2.17 of the Investors’ Rights Agreement shall be
added, which section shall read in its entirety as set forth below:

 

“2.17       Re-Sale Registration Statements. From time to time until December
31, 2005, the Company may (and at least once prior to December 31, 2005 the
Company shall) voluntarily propose to register for re-sale all of the
Registrable Securities held by each Holder of Registrable Securities then
entitled to exercise rights hereunder.  Holders electing to include their shares
in any such registration statement shall no longer be entitled to exercise
further rights hereunder (e.g., demand and piggy-back registration rights) with
respect to such Holder’s shares of Registrable Securities; provided that the
Company keeps any such registration statement effective until the earlier of (a)
October 7, 2008 [i.e., the 5-year anniversary of the Company’s initial public
offering] or (b) the date on which all Registrable Securities registered under
such registration statement have been sold, subject to customary black-out
periods, provided there are no more than two such black-out periods per
twelve-month period and neither black-out period exceeds more than 45 days,
unless in the good faith judgment of the Board of Directors the sale of
securities under such registration statement would be reasonably likely to cause
a violation of the Act or the 1934 Act.”

 

2.             Effectiveness.  Except as amended hereby, the Investors’ Rights
Agreement shall remain in full force and effect.

 

3.             Counterparts.  This Amendment No. 3 may be executed by the
parties hereto in separate counterparts, each of which once so executed and
delivered (including by facsimile) shall be considered an original, but all such
counterparts shall together constitute one and the same instrument.

 

4.             Governing Law.  This Amendment No. 3 shall be governed by and
construed under the laws of the Commonwealth of Massachusetts as applied to
agreements among Massachusetts residents entered into and to be performed
entirely within Massachusetts.

 

5.             Definitions. All capitalized terms used but not specifically
defined herein shall have the same meanings given such terms in the Investors’
Rights Agreement unless the context clearly indicates or dictates a contrary
meaning.

 

6.             Successors and Assigns.  This Amendment No. 3 shall bind and
inure to the benefit of the respective heirs, personal representatives,
executors, administrators, successors and assigns of the parties hereto.

 

7.             Notices.  All notices, requests, demands and other communications
provided for in this Amendment No. 3 shall be delivered in compliance with
Section 4.5 of the Investors’ Rights Agreement.

 

8.             Titles and Subtitles. The titles and subtitles used in this
Amendment No. 3 are used for convenience only and are not to be considered in
construing or interpreting this Amendment No. 3.

 

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9.             Severability.  If one or more provisions of this Amendment No. 3
are held to be unenforceable under applicable law, such provision shall be
excluded from this Amendment No. 3 and the balance of the Amendment No. 3 shall
be interpreted as if such provision were so excluded and shall be enforceable in
accordance with its terms.

 

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IN WITNESS WHEREOF, the parties have executed this Amendment No. 3 as of the day
first above written.

 

 

ACUSPHERE, INC.

 

500 Arsenal Street

 

Watertown, MA 02472

 

 

 

 

 

By:

        /s/Sherri C. Oberg

 

 

 

Sherri C. Oberg

 

 

President and Chief Executive Officer

 

 

Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

Customs House Partners

 

 

Name (please print)

 

 

 

 

 

By:

/s/Eileen McCarthy

 

 

 

 

 

 

Print Name:

     Eileen McCarthy

 

 

 

 

Title:

    Under Power of Attorney

 

 

 

 

Address:

c/o Alta Communications

 

 

200 Clarendon Street, Floor 51

 

 

Boston, MA 02116

 

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

8,949 (plus 422 shares of common stock issuable

 

 

upon exercise of a warrant)

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

Alta V Limited Partnership

 

 

Name (please print)

 

 

 

By: Alta Management Partners, L.P.

 

 

 

By:

/s/Eileen McCarthy

 

 

 

 

 

 

Print Name:

     Eileen McCarthy

 

 

 

 

Title:

    General Partner

 

 

 

 

Address:

c/o Alta Communications

 

 

200 Clarendon Street, Floor 51

 

 

Boston, MA  02116

 

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

430,265  (plus 40,195 shares of common stock

 

 

issuable upon exercise of a warrant)

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

Alta V Management Partners, L.P.

 

 

Name (please print)

 

 

 

 

 

By:

/s/Eileen McCarthy

 

 

 

 

 

 

Print Name:

     Eileen McCarthy

 

 

 

 

Title:

    General Partner

 

 

 

 

Address:

c/o Alta Communications

 

 

200 Clarendon Street, Floor 51

 

 

Boston, MA  02116

 

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

77,807

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

Polaris Venture Partners Founders Fund, L.P.

 

 

Name (please print)

 

 

 

By: Polaris Venture Management Co, LLC

 

Its General Partner

 

 

 

By:

   /s/Kevin Littlejohn

 

 

 

 

 

 

Print Name:

Kevin Littlejohn

 

 

 

 

Title:

Authorized Signatory for

 

 

Polaris Venture Partners Founders Fund, L.P.

 

 

 

 

Address:

1000 Winter Street, Suite 3350

 

 

Waltham, MA 02451

 

 

 

 

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

37,368  (plus 2,085 shares of common stock issuable

 

 

upon exercise of a warrant)

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

Polaris Venture Partners, L.P.

 

 

Name (please print)

 

 

 

By: Polaris Venture Management Co, LLC

 

Its General Partner

 

 

 

By:

   /s/Kevin Littlejohn

 

 

 

 

 

 

Print Name:

Kevin Littlejohn

 

 

 

 

Title:

Authorized Signatory for

 

 

Polaris Venture Partners, L.P.

 

 

 

 

Address:

1000 Winter Street, Suite 3350

 

 

Waltham, MA 02451

 

 

 

 

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

623,364  (plus 34,850 shares of common stock issuable

 

 

upon exercise of a warrant)

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

BANK OF AMERICA VENTURES

 

 

Name (please print)

 

 

 

By:

     /s/Kate D. Mitchell

 

 

 

 

Print Name:

Kate D. Mitchell

 

 

 

 

Title:

 

Managing Director

 

 

 

 

 

 

Address:

950 Tower Lane, Suite 700

 

 

Foster City, CA 94404

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

1,314,164 (plus 61,811 shares of common stock issuable

 

 

upon exercise of a warrant)

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

BA VENTURE PARTNERS II, INC.

 

 

Name (please print)

 

 

 

By:

/s/Kate D. Mitchell

 

 

 

 

Name:

Kate D. Mitchell

 

 

 

 

Title:

 

Chairman of the Board

 

 

 

 

 

 

Address:

950 Tower Lane, Suite 700

 

 

Foster City, CA 94404

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

146,016  (plus 6,867 shares of common stock issuable

 

 

upon exercise of a warrant)

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

HBM BioVentures (Cayman) Ltd.

 

 

Name (please print)

 

 

 

By:

        /s/John Arnold

 

 

 

 

Print Name:

John Arnold

 

 

 

 

Title:

   Chairman & Managing Director

 

 

 

 

 

 

Address:

PO Box 30852 SMB

 

 

Euoalyptus Bldg., Crewe Road

 

 

Grand Cayman, Cayman Islands

 

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

607,206  (plus 33,9432 shares of common stock issuable

 

 

upon exercise of a warrant)

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

BANCBOSTON VENTURES INC.

 

 

Name (please print)

 

 

 

 

 

By:

   /s/Deirdre A. Cunnane

 

 

 

 

 

 

Print Name:

     Deirdre A. Cunnane

 

 

 

 

Title:

  Director

 

 

 

 

Address:

175 Federal Street, 10th Floor

 

 

MA5-102-10-01

 

 

Boston, MA  02110

 

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

452,414  (plus 25,290 shares of common stock issuable

 

 

upon exercise of a warrant)

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

   Audax Private Equity Fund, L.P.

 

 

Name (please print)

 

 

 

By: Audax Private Equity Business, LLC

 

its General Partner

 

 

 

By: Audax Private Equity Business, L.P.

 

its Managing Member

 

 

 

By:

     /s/Adam A. Abramson

 

 

 

 

 

 

Print Name:

    Adam A. Abramson

 

 

 

 

Title:

    Authorized Signatory

 

 

 

 

Address:

101 Huntington Avenue

 

 

Boston, MA  02199

 

 

 

 

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

506,048  (plus 27,453 shares of common stock issuable

 

 

upon exercise of a warrant)

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

   Audax Co-Invest, L.P.

 

 

Name (please print)

 

 

 

By: 101 Huntington Holdings, LLC

 

its General Partner

 

 

 

By:

     /s/Adam A. Abramson

 

 

 

 

 

 

Print Name:

      Adam A. Abramson

 

 

 

 

Title:

   Authorized Signatory

 

 

 

 

Address:

101 Huntington Avenue

 

 

Boston, MA  02199

 

 

 

 

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

21,788  (plus 1,290 shares of common stock issuable

 

 

upon exercise of a warrant)

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

   Audax Trust Co-Invest, L.P.

 

 

Name (please print)

 

 

 

By: 101 Huntington Holdings, LLC

 

its General Partner

 

 

 

By:

     /s/Adam A. Abramson

 

 

 

 

 

 

Print Name:

    Adam A. Abramson

 

 

 

 

Title:

   Authorized Signatory

 

 

 

 

Address:

101 Huntington Avenue

 

 

Boston, MA  02199

 

 

 

 

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

8,351 (plus 5 shares of common stock issuable

 

 

upon exercise of a warrant)

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

   AFF Co-Invest, L.P.

 

 

Name (please print)

 

 

 

By: 101 Huntington Holdings, LLC

 

its General Partner

 

 

 

By:

    /s/Adam A. Abramson

 

 

 

 

 

 

Print Name:

    Adam A. Abramson

 

 

 

 

Title:

  Authorized Signatory

 

 

 

 

Address:

101 Huntington Avenue

 

 

Boston, MA  02199

 

 

 

 

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

           8,685 (plus 794 shares of common stock

 

 

issuable upon exercise of a warrant)

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

   Audax Special Purpose Co-Invest, L.P.

 

 

Name (please print)

 

 

 

By: 101 Huntington Holdings, LLC

 

its General Partner

 

 

 

By:

    /s/Adam A. Abramson

 

 

 

 

 

 

Print Name:

   Adam A. Abramson

 

 

 

 

Title:

   Authorized Signatory

 

 

 

 

Address:

101 Huntington Avenue

 

 

Boston, MA  02199

 

 

 

 

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

              3,035 (plus 164 shares of common stock

 

 

issuable upon exercise of a warrant)

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

Trustees of Boston University

 

 

Name (please print)

 

 

 

 

 

By:

     /s/Martin Howard

 

 

 

 

 

 

Print Name:

     Martin Howard

 

 

 

 

Title:

   Assistant Treasurer

 

 

 

 

Address:

108 Bay State Road

 

 

Boston, MA  02225

 

 

 

 

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

192,245

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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HOLDER

 

 

 

 

 

Union Carbide Employees Pension Plan

 

 

Name (please print)

 

 

 

By:

       /s/Evan

 

 

 

 

 

 

Print Name:

Diamond Capital Management Inc., its

 

 

Agent

 

 

 

 

Title:

   Director, Alternative Investments

 

 

 

 

Address:

Midland, MI

 

 

 

 

 

 

 

 

 

 

 

 

Number of Registrable Securities

 

held as of the Effective Date:

 

 

 

445,069

 

 

 

Signature page to Amendment No. 3 to Investors’ Rights Agreement

 

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