Employee Stock Option Plan



 EXHIBIT 4.1 
  
 UTEK CORPORATION 
  
 AMENDED AND RESTATED EMPLOYEE STOCK OPTION PLAN 
  
 1. Purpose of Plan 
  
 The purpose of this Plan is to enable UTEK CORPORATION (the “Company”) to compete successfully in attracting, motivating and retaining Employees
with outstanding abilities by making it possible for them to purchase Shares on terms that will give them a direct and continuing interest in the future success of the businesses of the Company and encourage them to remain in the employ of the
Company. Each Option is intended to be an Incentive Stock Option, except to the extent that (a) any such Option would exceed the limitations set forth in Section 3.(c) hereof and (b) for Options specifically designated at the time of
grant as not being Incentive Stock Options. 
  
 2. Definitions 

 
 For purposes of the Plan, except where the context clearly indicates
otherwise, the following terms shall have the meanings set forth below: 
  
 (a) “Board” means the Board of Directors of the Company. 
  
 (b) “Code” means the United States Internal Revenue Code of 1986, as amended. 
  
 (c) “Committee” means the Committee described in Section 9 hereof. 
  
 (d) Intentionally omitted. 
  
 (e) “Employee” means a person who is regularly employed on a
salary basis by the Company including an officer of the Company who is also an employee. 
  
 (f) “Fair Market Value” means, with respect to a Share, if the Shares are then listed and traded on a registered national or regional securities exchange, or quoted on The National Association of
Securities Dealers’ Automated Quotation System (including The Nasdaq Small cap Market), the closing sales price on such exchange or quotation system on the date of grant of an Option, or, if Fair Market Value is used herein in connection with
any event other than the grant of an Option, then such closing price on the date of such event. If the Shares are not traded on a registered securities exchange or quoted in such a quotation system and no other market value for the Shares exists,
the Committee shall determine the Fair Market Value of a Share in accordance with the requirements of Section 409A of the Code to avoid taxation under Section 409A(a)(1) of the Code, or the corresponding provisions of any subsequently
enacted statute; provided, however, that such determined Fair Market Value shall be no less than the net asset value of a Share on the date of the grant of an Option. 







 (g) “Incentive Stock Option” means an option granted under this Plan and which is an
incentive stock option within the meaning of section 422 of the Code, or the corresponding provision of any subsequently enacted tax statute. 
  
 (h) “Option” means an option granted under this Plan, whether or not such option is an Incentive Stock Option. 
  
 (i) “Optionee” means any person who has been granted an Option
which Option has not expired or been fully exercised or surrendered. 
  
 (j) “Plan” means the Company’s Amended and Restated Employee Stock Option Plan. 
  
 (k) “Rule 16b-3” means Rule 16b-3 promulgated pursuant to Section 16(b) of the Securities Exchange Act of 1934, as
amended, or any successor rule. 
  
 (l) “Share”
means one share of voting common stock, par value $.01 per share, of the Company, and such other stock or securities that may be substituted therefore pursuant to Section 6 hereof. 
  
 3. Limits on Options 
  
 (a) The total number of Shares with respect to which Options may be granted under the Plan shall not exceed in the
aggregate 1,385,000 Shares (which includes all Shares with respect to which Options have been granted or surrendered for payment in cash or other consideration pursuant to this Plan or predecessor forms of this Plan), subject to adjustment as
provided in Section 6 hereof. If any Option expires, terminates or is terminated for any reason prior to its exercise in full, the Shares that were subject to the unexercised portion of such Option shall be available for future grants under the
Plan. 
  
 (b) No Incentive Stock Option shall be granted to
any Employee who at the time such option is granted, owns capital stock of the Company possessing more than 10% of the total combined voting power or value of all classes of capital stock of the Company, determined in accordance with the provisions
of Section 422(b)(6) and 424(d) of the Code, unless the option price at the time such Incentive Stock Option is granted is at least 110 percent (110%) of the Fair Market Value of the Shares subject to the Incentive Stock Option and
such Incentive Stock Option is not exercisable by its terms after the expiration of five (5) years from the date of grant. 
  
 (c) An Incentive Stock Option shall be granted hereunder only to the extent that the aggregate Fair Market Value (determined at the time the
Incentive Stock Option is granted) of the Shares with respect to which such Incentive Stock Option and any other “incentive stock option” (within the meaning of Section 422 of the Code) are exercisable for the first time by any
Optionee during any calendar year (under the Plan and all other plans of the Optionee’s employer corporation and its parent and subsidiary corporations within the meaning of 







 Section 422(d) of the Code) does not exceed $100,000. This limitation shall be applied by taking Incentive Stock
Options and any such other “incentive stock options” into account in the order in which such Incentive Stock Options and any such other “incentive stock options” were granted. 
  
 (d) No Optionee shall, in any calendar year, be granted Options to
purchase more than 100,000 Shares. Options granted to the Optionee and cancelled during the same calendar year shall be counted against such maximum number of Shares. In the event that the number of Options which may be granted is adjusted as
provided in the Plan, the above limit shall automatically be adjusted in the same ratio. 
  
 4. Granting of Options 
  
 The Committee is authorized to grant Options to selected Employees pursuant to the Plan. Subject to the provisions of the Plan, the Committee shall have exclusive authority to select the Employees to whom Options will be awarded under the
Plan, to determine the number of Shares to be included in such Options, and to determine such other terms and conditions of Options, including terms and conditions which may be necessary to qualify Incentive Stock Options as “incentive stock
options” under Section 422 of the Code. The date on which the Committee approves the grant of an Option shall be considered the date on which such Option is granted, unless the Committee provides for a specific date of grant which is
subsequent to the date of such approval. 
  
 5. Terms of Stock Options

  
 Subject to Section 3 hereof, the terms of Options
granted under this Plan shall be as follows: 
  
 (a) The
exercise price of each Share subject to an Option shall be fixed by the Committee and shall in no event be less than 100% of the Fair Market Value of the Shares subject to such Option. 
  
 (b) Options shall not be assignable or transferable by the Optionee other than by will or by the laws of descent and
distribution except that the Optionee may, with the consent of the Committee, transfer without consideration Options that do not constitute Incentive Stock Options to the Optionee’s spouse, children or grandchildren (or to one or more trusts
for the benefit of any such family members or to one or more partnerships in which any such family members are the only partners). 
  
 (c) Each Option shall expire and all rights thereunder shall end at the expiration of such period (which shall not be more than ten
(10) years) after the date on which it was granted as shall be fixed by the Committee, subject in all cases to earlier expiration as provided in subsections (d) and (e) of this Section 5. 







 (d) During the life of an Optionee, an Option shall be exercisable only by such Optionee (or
Optionee’s permitted assignee in the case of Options that do not constitute Incentive Stock Options) and only prior to the end of one (1) month after the termination of the Optionee’s employment with the Company, other than by reason
of the Optionee’s death, permanent disability or retirement with the consent of the Company as provided in subsection (e) of this Section 5, but only if and to the extent the Option was exercisable immediately prior to such
termination, and subject to the provisions of subsection (c) of this Section 5. If the Optionee’s employment is terminated for cause, or the Optionee terminates his employment with the Company, all Options granted to date by the
Company to the Optionee (including any Options that have become exercisable) shall terminate immediately on the date of termination of employment. Cause shall have the meaning set forth in any employment agreement then in effect between the Optionee
and the Company, or if the Optionee does not have any employment agreement, cause shall mean (i) if the Optionee engages in conduct which has caused, or is reasonably likely to cause, demonstrable and serious injury to the Company, or
(ii) if the Optionee is convicted of a felony, as evidenced by a binding and final judgment, order or decree of a court of competent jurisdiction, which, in the opinion of the Board, substantially impairs the Optionee’s ability to perform
his or her duties to the Company. 
  
 (e) If an Optionee:
(i) dies while employed by the Company or within the period when an Option could have otherwise been exercised by the Optionee; (ii) terminates employment with, or has his employment terminated by, the Company by reason of the
“permanent and total disability” (within the meaning of Section 22(e)(3) of the Code) of such Optionee; or (iii) terminates employment with the Company as a result of such Optionee’s retirement, provided that the Company has
consented in writing to such Optionee’s retirement, then, in each such case, such Optionee, or the duly authorized representatives of such Optionee (or Optionee’s permitted assignee in the case of Options that do not constitute Incentive
Stock Options), shall have the right, at any time within three (3) months after the death, disability or retirement of the Optionee, as the case may be, and prior to the termination of the Option pursuant to subsection (c) of this
Section 5, to exercise any Option to the extent such Option was exercisable by the Optionee immediately prior to such Optionee’s death, disability or retirement. In the discretion of the Committee, the three-month period referenced in the
immediately preceding sentence may be extended for a period of up to one year. 
  
 (f) Subject to the foregoing terms and to such additional terms regarding the exercise of an Option as the Committee may fix at the time of grant, an Option may be exercised in whole at one time or in part from
time to time. 
  
 (g) Options granted pursuant to the Plan
shall be evidenced by an agreement in writing setting forth the material terms and conditions of the grant, including, but not limited to, the number of Shares subject to options. Option agreements covering Options need not contain similar
provisions; provided, however, that all such option agreements shall comply with the terms of the Plan. 
  
 (h) The Committee is authorized to modify, amend or waive any conditions or other restrictions with respect to Options, including conditions
regarding the exercise of Options. 







 6. Effect of Changes in Capitalization 
  
 (a) If the number of outstanding Shares is increased or decreased or changed into or exchanged for a different number
or kind of shares or other securities of the Company by reason of any recapitalization, reclassification, stock split, combination of shares, exchange of shares, stock dividend or other distribution payable in capital stock, or other increase or
decrease in such shares effected, in each case without receipt of consideration by the Company, a proportionate and appropriate adjustment shall be made by the Committee in (i) the aggregate number of Shares subject to the Plan, (ii) the
maximum number of Shares for which Options may be granted to any Employee during any calendar year, and (iii) the number and kind of shares for which Options are outstanding, so that the proportionate interest of the Optionee immediately
following such event shall, to the extent practicable, be the same as immediately prior to such event. Any such adjustment in outstanding Options shall not change the aggregate option price payable with respect to Shares subject to the unexercised
portion of the Options outstanding but shall include a corresponding proportionate adjustment in the option price per Share. 
  
 (b) Subject to Section 6.(c) hereof, if the Company shall be the surviving corporation in any reorganization, merger, share exchange or
consolidation of the Company with one or more other corporations or other entities, any Option theretofore granted shall pertain to and apply to the securities to which a holder of the number of Shares subject to such Option would have been entitled
immediately following such reorganization, merger, share exchange or consolidation, with a corresponding proportionate adjustment of the option price per Share so that the aggregate option price thereafter shall be the same as the aggregate option
price of the Shares remaining subject to the Option immediately prior to such reorganization, merger, share exchange or consolidation. 
  
 (c) In the event of: (i) the adoption of a plan of reorganization, merger, share exchange or consolidation of the Company with one or more other
corporations or other entities as a result of which the holders of the Shares as a group would receive less than fifty percent (50%) of the voting power of the capital stock or other interests of the surviving or resulting corporation or
entity; (ii) the adoption of a plan of liquidation or the approval of the dissolution of the Company; (iii) the approval by the Board of an agreement providing for the sale or transfer (other than as a security for obligations of the
Company) of substantially all of the assets of the Company; or (iv) the acquisition of more than twenty percent (20%) of the outstanding Shares by any person within the meaning of Rule 13(d)(3) under the Securities Exchange Act of
1934, as amended, if such acquisition is not preceded by a prior expression of approval by the Board, then, in each such case, any Option granted hereunder shall become immediately exercisable in full, subject to any appropriate adjustments in the
number of Shares subject to such Option and the option price, regardless of any provision contained in the Plan or any stock option agreement with respect thereto limiting the exercisability of the Option for any length of time. Notwithstanding the
foregoing, if a successor corporation or other entity as contemplated in clause (i) or (iii) of the preceding sentence agrees to assume the outstanding Options or to substitute substantially equivalent options, then the outstanding Options
issued hereunder shall not be immediately exercisable, but shall remain exercisable in accordance with the terms of the Plan and the applicable stock option agreements. 







 (d) Adjustments under this Section 6 relating to Shares or securities of the Company shall be
made by the Committee, whose determination in that respect shall be final and conclusive. Options subject to grant or previously granted under the Plan at the time of any event described in this Section 6 shall be subject to only such
adjustments as shall be necessary to maintain the proportionate interest of the options and preserve, without exceeding, the value of such options. No fractional Shares or units of other securities shall be issued pursuant to any such adjustment,
and any fractions resulting from any such adjustment shall be eliminated in each case by rounding upward to the nearest whole Share or unit. 
  
 (e) The grant of an Option pursuant to the Plan shall not affect or limit in any way the right or power of the Company to make adjustments,
reclassifications, reorganizations or changes of its capital or business structure or to merge, consolidate, dissolve or liquidate, or to sell or transfer all or any part of its business or assets. 
  
 7. Delivery and Payment for Shares; Replacement Options 
  
 (a) No Shares shall be delivered upon the exercise of an Option until
the option price for the Shares acquired has been paid in full. No Shares shall be issued or transferred under the Plan unless and until all legal requirements applicable to the issuance or transfer of such Shares have been complied with to the
satisfaction of the Committee and adequate provision has been made by the Optionee for satisfying any applicable federal, state or local income or other taxes incurred by reason of the exercise of the Option. Any Shares issued by the Company to an
Optionee upon exercise of an Option may be made only in strict compliance with and in accordance with applicable state and federal securities laws. 
  
 (b) Payment of the option price for the Shares purchased pursuant to the exercise of an Option and of any applicable withholding taxes shall be made,
as determined by the Committee and set forth in the option agreement pertaining to such Option: (i) in cash or by check payable to the order of the Company; (ii) through the tender to the Company of Shares, which Shares shall be valued,
for purposes of determining the extent to which the option price has been paid thereby, at their Fair Market Value on the date of exercise; or (iii) by a combination of the methods described in (a) and (b) hereof; provided, however,
that the Committee may in its discretion impose and set forth in the option agreement pertaining to an Option such limitations or prohibitions on the use of Shares to exercise Options as it deems appropriate. The Committee also may authorize payment
in accordance with a cashless exercise program under which, if so instructed by the Optionee, Shares may be issued directly to the Optionee’s broker upon receipt of the option price in cash from the broker. 
  
 (c) To the extent that the payment of the exercise price for the Shares
purchased pursuant to the exercise of an Option is made with Shares as provided in Section 7.(b) hereof, then, at the discretion of the Committee, the Optionee may be granted a replacement Option under the Plan to purchase a number of Shares
equal to the number of Shares tendered as permitted in Section 7.(b) hereof, with an exercise price per Share equal to the Fair Market Value on the date of grant of such replacement Option and with a term extending to the expiration date of the
original Option. 







 8. No Continuation of Employment and Disclaimer of Rights 
  
 No provision in the Plan or in any Option granted or option agreement
entered into pursuant to the Plan shall be construed to confer upon any individual the right to remain in the employ of the Company, or to interfere in any way with the right and authority of the Company either to increase or decrease the
compensation of any individual at any time, or to terminate any employment or other relationship between any individual and the Company. The Plan shall in no way be interpreted to require the Company to transfer any amounts to a third party trustee
or otherwise hold any amounts in trust or escrow for payment to any Optionee or beneficiary under the terms of the Plan. An Optionee shall have none of the rights of a shareholder of the Company until and to the extent all or some of the Shares
covered by an Option are fully paid and issued to such Optionee. 
  
 9.
Administration 
  
 (a) Subject to the provisions of
subsection (b) of this Section 9, the Plan shall be administered by the Committee which shall interpret the Plan and make all other determinations necessary or advisable for its administration, including such rules and regulations and
procedures as it deems appropriate. The Committee shall consist of not fewer than two members of the Board each of whom shall qualify (at the time of appointment to the Committee and during all periods of service on the Committee) in all respects as
a “non-employee director” as defined in Rule 16b-3 and as an “outside director” as defined in Section 162(m) of the Code and regulations thereunder. Subject to the provisions of subsection (b) of this
Section 9, in the event of a disagreement as to the interpretation of the Plan or any amendment hereto or any rule, regulation or procedure hereunder or as to any right or obligation arising from or related to the Plan, the decision of the
Committee shall be final and binding upon all persons in interest, including the Company, the Optionee and the Company’s shareholders. 
  
 (b) Notwithstanding any provision of the Plan to the contrary, any determination or interpretation to be made by the Committee with regard to any
question arising under the Plan or any option agreement entered into hereunder may be made by the Board (excluding any Optionee whose Options or the grant to whom is at issue) and shall be final and binding upon all persons in interest, including
the Company, the Optionee and the Company’s shareholders. 
  
 (c) No member of the Committee or the Board shall be liable for any action taken or decision made, or any failure to take any action, in good faith with respect to the Plan or any Option granted or option agreement entered into
hereunder. 







 10. No Obligation to Reserve or Retain Shares 
  
 The Board adopted a resolution initially reserving authorized but unissued Shares for the Plan. The Company will be under no
further obligation to reserve, or to retain in its treasury, any particular number of Shares in connection with its obligations hereunder. 
  
 11. Amendment of Plan 
  
 The Board, without further action by the shareholders, may amend this Plan from time to time as it deems desirable and shall make any amendments which may
be required so that (i) Options intended to be Incentive Stock Options shall at all times continue to be Incentive Stock Options for purpose of the Code and (ii) the Options issued under the Plan shall not provide for a deferral of
compensation pursuant to Section 409A of the Code; provided, however, that the Board or Committee may condition any amendment or modification on the approval of stockholders of the Company if such approval is necessary or deemed advisable with
respect to tax, securities or other applicable laws, policies or regulations. 
  
 12. Termination of Plan 
  
 This Plan shall
terminate when all Shares reserved for issuance hereunder have been issued upon the exercise of Options, or by action of the Board pursuant to this paragraph, whichever shall first occur. 
  
 13. Effective Date 
  
 The Plan shall become effective upon the latest to occur of (1) adoption by the Board and (2) approval of this Plan by the shareholders of the
Company. The Plan initially became effective on July 12, 1999 and was amended and restated on June 25, 2004 and August 12, 2005.