Exhibit 10.13


 


THIS
WARRANT AND THE SHARES ISSUABLE HEREUNDER HAVE NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (“THE ACT”), NOR UNDER ANY STATE SECURITIES
LAWS AND SUCH SECURITIES MAY NOT BE SOLD, PLEDGED, ASSIGNED, HYPOTHECATED
OR OTHERWISE TRANSFERRED WITHOUT AN EFFECTIVE REGISTRATION THEREOF.  UNTIL (1) A REGISTRATION STATEMENT WITH
RESPECT THERETO IS EFFECTIVE UNDER THE ACT AND ANY APPLICABLE STATE SECURITIES
LAWS, (2) THE COMPANY RECEIVES AN OPINION OF COUNSEL ACCEPTABLE TO THE COMPANY
THAT SUCH SECURITIES MAY BE PLEDGED, SOLD, ASSIGNED, HYPOTHECATED, OR
TRANSFERRED (COLLECTIVELY A “TRANSFER”) WITHOUT AN EFFECTIVE REGISTRATION
STATEMENT UNDER THE ACT AND APPLICABLE STATE SECURITIES LAWS OR (3) TRANSFERRED
PURSUANT TO RULE 144 IN ACCORDANCE WITH SECTION 5.3 OF THIS WARRANT.


 


WARRANT TO PURCHASE STOCK


 


	
  Corporation:

  	
  TANGOE,
  INC., a Delaware corporation

  
	
  Number
  of Shares:

  	
  15,000

  
	
  Class of
  Stock:

  	
  Series C
  Convertible Preferred (“Series C Stock”)

  
	
  Initial
  Exercise Price:

  	
  $0.3923
  per share

  
	
  Issue
  Date:

  	
  March 30,
  2004

  
	
  Expiration
  Date:

  	
  March 30,
  2011 (Subject to Section 5.1)

  



 


THIS
WARRANT CERTIFIES THAT, in consideration of $1.00 and for other good and
valuable consideration, the receipt of which is hereby acknowledged, COMERICA
BANK or its assignee (“Holder”) is entitled to purchase the number of fully
paid and nonassessable shares of the class of securities (the “Shares”) of the
corporation (the “Company”) at the initial exercise price per Share (the “Warrant
Price”) all as set forth above and as adjusted pursuant to Article 2 of
this warrant, subject to the provisions and upon the terms and conditions set
forth in this warrant.


 


ARTICLE
1.  EXERCISE.


 


1.1           Method of Exercise.  Holder may exercise this warrant by
delivering this warrant and a duly executed Notice of Exercise in substantially
the form attached as Appendix 1 to the principal office of the Company.  Unless Holder is exercising the conversion
right set forth in Section 1.2, Holder shall also deliver to the Company a
check for the aggregate Warrant Price for the Shares being purchased.


 


1.2           Conversion Right.  In lieu of exercising this warrant as
specified in Section 1.1, Holder may from time to time convert this
warrant, in whole or in part, into a number of Shares determined by dividing (a) the
aggregate fair market value of the Shares or other securities otherwise
issuable upon exercise of this warrant minus the aggregate Warrant Price of
such Shares by (b) the fair market value of one Share.  The fair market value of the Shares shall be
determined pursuant to Section 1.3.


 


1.3           Fair Market Value.  If the Shares are traded regularly in a
public market, the fair market value of the Shares shall be the closing price
of the Shares (or the closing price of the 


 

















 


Company’s
stock into which the Shares are convertible) reported for the business day
immediately before Holder delivers its Notice of Exercise to the Company.  If the Shares are not regularly traded in a
public market, the Board of Directors of the Company shall determine fair
market value in its reasonable good faith judgment.


 


1.4           Delivery of Certificate and
New Warrant.  Promptly
after Holder exercises or converts this warrant, the Company shall deliver to
Holder certificates for the Shares acquired and, if this warrant has not been
fully exercised or converted and has not expired, a new warrant representing
the Shares not so acquired.


 


1.5           Replacement of Warrants.  On receipt of evidence reasonably
satisfactory to the Company of the loss, theft, destruction or mutilation of this
warrant and, in the case of loss, theft or destruction, on delivery of an
indemnity agreement and affidavit reasonably satisfactory in form and amount to
the Company or, in the case of mutilation, on surrender and cancellation of
this warrant, the Company at its expense shall execute and deliver, in lieu of
this warrant, a new warrant of like tenor.


 


1.6           Repurchase on Sale, Merger,
or Consolidation of the Company.


 


1.6.1        “Acquisition.”  For the purpose of this warrant, “Acquisition”
means any sale, license, or other disposition of all or substantially all of
the assets (including intellectual property) of the Company, or any
reorganization, consolidation, or merger of the Company where the holders of
the Company’s securities before the transaction beneficially own less than 50%
of the outstanding voting securities of the surviving entity after the
transaction.


 


1.6.2        Assumption of Warrant.  If upon the closing of any Acquisition the
successor entity assumes the obligations of this warrant, then this warrant
shall be exercisable for the same securities, cash, and property as would be
payable for the Shares issuable upon exercise of the unexercised portion of
this warrant as if such Shares were outstanding on the record date for the
Acquisition and subsequent closing.  The
Warrant Price shall be adjusted accordingly. 
The Company shall use reasonable efforts to cause the surviving
corporation to assume the obligations of this warrant.


 


1.6.3        Nonassumption.  If upon the closing of any Acquisition the
successor entity does not assume the obligations of this warrant and Holder has
not otherwise exercised this warrant in full, then Holder shall have the option
either to (a) deem this warrant to have been automatically converted
pursuant to Section 1.2 and thereafter Holder shall participate in the
Acquisition on the same terms as other holders of the same class of securities
of the Company; or (b) require the Company to purchase this warrant for
cash upon the closing of the Acquisition for an amount per Share equal to two (2) times
the Warrant Price.


 


ARTICLE
2.  ADJUSTMENTS TO THE SHARES.


 


2.1           Stock Dividends, Splits, Etc.  If the Company at any time shall pay a
dividend payable in, or make any other distribution of the Company’s stock to
the holders of outstanding shares of the Company’s Series C Preferred
Stock (or common stock only if the Series C Preferred Stock has been
converted into common stock while this warrant is outstanding), then, 


 

















 


upon
exercise of this warrant, Holder shall be entitled to receive, in addition to
the number of shares of Series C Preferred Stock (or common stock only if
the Series C Preferred Stock has been converted into common stock while
this warrant is outstanding) receivable thereupon, and without payment of any
additional consideration therefor, the amount of the Company’s capital stock
which would have been issuable to Holder if Holder had exercised this warrant
immediately prior to the date on which holders of Series C Preferred Stock
(or common stock only if the Preferred Stock has been converted into common
stock while this warrant is outstanding) received such dividend or distribution
of the Company’s capital stock.


 


2.2           Reclassification, Exchange
or Substitution.  Upon any
reclassification, exchange, substitution, or other event that results in a
change of the number and/or class of the securities issuable upon exercise or
conversion of this warrant, Holder shall be entitled to receive, upon exercise
or conversion of this warrant, the number and kind of securities and property
that Holder would have received for the Shares if this warrant had been
exercised immediately before such reclassification, exchange, substitution, or
other event.  Such an event shall include
any automatic conversion of the outstanding or issuable securities of the
Company of the same class or series as the Shares to common stock pursuant to
the terms of the Company’s Certificate of Incorporation upon the closing of a
registered public offering of the Company’s common stock.  The Company or its successor shall promptly
issue to Holder a new warrant for such new securities or other property.  The new warrant shall provide for adjustments
which shall be as nearly equivalent as may be practicable to the adjustments provided
for in this Article 2 including, without limitation, adjustments to the
Warrant Price and to the number of securities or property issuable upon
exercise of the new warrant.  The
provisions of this Section 2.2 shall similarly apply to successive
reclassifications, exchanges, substitutions, or other events.


 


2.3           Adjustments for
Combinations, Etc.  If the
outstanding Shares are combined or consolidated, by reclassification or
otherwise, into a lesser number of shares, the Warrant Price shall be
proportionately increased.  If the
outstanding Shares are subdivided, combined or consolidated, by
reclassification or otherwise, into a greater number of shares, the Warrant
Price shall be proportionately decreased.


 


2.4           Adjustments for Diluting
Issuances.  The Series C
Preferred Stock issued upon the exercise of this warrant shall be entitled to
the antidilution rights afforded to the Series C Preferred Stock set forth
in the Company’s Amended and Restated Certificate of Incorporation, as amended,
as if such Series C Preferred Stock were issued as of the date of this
warrant.


 


2.5           Further Adjustment for
Combined Effect. 
Notwithstanding anything to the contrary contained herein, in no event
shall the aggregate adjustments to the Warrant Price and the number of Shares
or other securities or property issuable upon exercise or conversion of this
warrant pursuant to Sections 2.1, 2.2, 2.3 and 2.4 of this Article 2 (the “Adjustment
Provisions”) in respect of any event which results in an adjustment pursuant to
any of such Adjustment Provisions, cause the Warrant Price or the number of
Shares or other securities or property issuable upon exercise or conversion of
this warrant to be different than the amounts that would have resulted from the
exercise or conversion of this warrant in full immediately prior to such event.


 

















 


2.6           No Impairment.  The Company shall not, by amendment of its
Certificate of Incorporation or through a reorganization, transfer of assets,
consolidation, merger, dissolution, issue, or sale of securities or any other
voluntary action, avoid or seek to avoid the observance or performance of any
of the terms to be observed or performed under this warrant by the Company, but
shall at all times in good faith assist in carrying out all the provisions of
this Article 2 and in taking all such action as may be necessary or
appropriate to protect Holder’s rights under this Article against
impairment.


 


2.7           Certificate as to
Adjustments.  Upon each
adjustment of the Warrant Price, the Company at its expense shall promptly
compute such adjustment, and furnish Holder with a certificate of its Chief
Financial Officer setting forth such adjustment and the facts upon which such
adjustment is based.  The Company shall,
upon written request, furnish Holder a certificate setting forth the Warrant
Price in effect upon the date thereof and the series of adjustments leading to
such Warrant Price.


 


2.8           Fractional Shares.  No fractional Shares shall be issuable upon
exercise or conversion of the Warrant and the Number of Shares to be issued
shall be rounded down to the nearest whole Share.  If a fractional share interest arises upon
any exercise or conversion of the Warrant, the Company shall eliminate such
fractional share interest by paying Holder amount computed by multiplying the
fractional interest by the fair market value of a full Share.


 


ARTICLE
3.  REPRESENTATIONS AND COVENANTS OF
THE COMPANY.


 


3.1           Representations and
Warranties.  The Company
hereby represents and warrants to the Holder as follows:


 


(a)           All Shares which may be
issued upon the exercise of the purchase right represented by this warrant, and
all securities, if any, issuable upon conversion of the Shares, shall, upon
issuance, be duly authorized, validly issued, fully paid and nonasseasable, and
free of any liens and encumbrances except for restrictions on transfer provided
for herein or under applicable federal and state securities laws.


 


(b)           The Company’s capitalization
table attached to this warrant is true and complete as of the Issue Date.


 


3.2           Notice of Certain Events.  If the Company proposes at any time (a) to
declare any dividend or distribution upon its common stock, whether in cash,
property, stock, or other securities and whether or not a regular cash
dividend; (b) to offer for subscription pro rata to the holders of any
class or series of its stock any additional shares of stock of any class or
series or other rights; (c) to effect any reclassification or
recapitalization of common stock; or (d) to merge or consolidate with or
into any other corporation, or sell, lease, license, or convey all or
substantially all of its assets, or to liquidate, dissolve or wind up, then, in
connection with each such event, the Company shall give Holder (1) at
least 20 days prior written notice of the date on which a record will be taken
for such dividend, distribution, or subscription rights (and specifying the
date on which the holders of common stock will be entitled thereto) or for
determining rights to vote, if any, in respect of the matters referred to in (a) and
(b) above; and (2) in the case of the matters referred to in (c) and
(d) above at least 20 days prior written notice 


 

















 


of
the date when the same will take place (and specifying the date on which the
holders of common stock will be entitled to exchange their common stock for
securities or other property deliverable upon the occurrence of such event).


 


3.3           Information Rights.  So long as the Holder holds this warrant
and/or any of the Shares, the Company shall deliver to the Holder (a) promptly
after mailing, copies of all communiques to the shareholders of the Company, (b) within
ninety (90) days after the end of each fiscal year of the Company, the annual
audited financial statements of the Company certified by independent
public accountants of recognized standing and (c) within forty-five (45)
days after the end of each of the first three quarters of each fiscal year, the
Company’s quarterly, unaudited financial statements.


 


3.4           Registration Under
Securities Act of 1933, as amended.  The Company agrees that the Shares or, if the
Shares are convertible into common stock of the Company, such common stock,
shall be subject to the registration rights set forth on Exhibit A.


 


ARTICLE
4.  REPRESENTATIONS AND COVENANTS OF
THE HOLDER.  By its acceptance of
this warrant, the Holder represents and warrants to and covenants with the
Company that:


 


4.1           The Holder has such
knowledge, skill and experience in business, financial and investment matters
so that the Holder is capable of evaluating the merits and risks of an
investment in this warrant and the Company’s securities issuable hereunder
(collectively, the “Securities”) and has the ability to suffer the total loss
of its investment in the Securities.  To
the extent necessary, the Holder has retained, at the Holder’s own expense, and
relied upon, appropriate professional advice regarding the investment, tax and
legal merits and consequences of holding and disposing of the Securities.  The Holder further represents that it has had
the opportunity to ask questions of and receive answers from the Company concerning
the terms and conditions of the Securities and the business of the Company, and
to obtain additional information to the Holder’s satisfaction.


 


4.2           The Holder is an “accredited
investor” as defined in Rule 501(a) under the Securities Act of 1933,
as amended.  The Holder agrees to finish
any additional information needed by Company to assure compliance with
applicable federal and state securities laws in connection with the purchase
and sale of the Securities.


 


4.3           The Holder is acquiring the
Securities solely for its own and its affiliates’ account, for investment
purposes, and not with a view to, or for resale in connection with, any
distribution thereof.  The Holder
understands that the Securities have not been registered under the Act, or any
state securities laws by reason of specific exemptions under the provisions
thereof which depend in part upon the investment intent of the Holder and of
the other representations made by the Holder in this warrant.  The Holder understands that the Company is
relying upon the representations and agreements contained in this warrant (and
any supplemental information) for the purpose of determining whether this
transaction meets the requirements for such exemptions.


 

















 


ARTICLE
5.  MISCELLANEOUS.


 


5.1           Term:  Notice of Expiration.  This warrant is exercisable in whole or in
part, at any time and from time to time on or before the Expiration Date set
forth above.  If this warrant has not
been exercised prior to the Expiration Date, this warrant shall be deemed to
have been automatically exercised on the Expiration Date by “cashless”
conversion pursuant to Section 1.2.


 


5.2           Legends.  This warrant and the Shares (and the
securities issuable, directly or indirectly, upon conversion of the Shares, if
any) shall be imprinted with a legend in substantially the following form:


 


THIS
WARRANT AND THE SHARES ISSUABLE HEREUNDER HAVE NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED (“THE ACT”), NOR UNDER ANY STATE SECURITIES
LAWS AND SUCH SECURITIES MAY NOT BE SOLD, PLEDGED, ASSIGNED, HYPOTHECATED
OR OTHERWISE TRANSFERRED WITHOUT AN EFFECTIVE REGISTRATION THEREOF.  UNTIL (1) A REGISTRATION STATEMENT WITH
RESPECT THERETO IS EFFECTIVE UNDER THE ACT AND ANY APPLICABLE STATE SECURITIES
LAWS, (2) THE COMPANY RECEIVES AN OPINION OF COUNSEL ACCEPTABLE TO THE
COMPANY THAT SUCH SECURITIES MAY BE PLEDGED, SOLD, ASSIGNED, HYPOTHECATED,
OR TRANSFERRED (COLLECTIVELY A “TRANSFER”) WITHOUT AN EFFECTIVE REGISTRATION
STATEMENT UNDER THE ACT AND APPLICABLE STATE SECURITIES LAWS OR (3) TRANSFERRED
PURSUANT TO RULE 144 IN ACCORDANCE WITH SECTION 5.3 OF THAT CERTAIN
WARRANT TO PURCHASE STOCK DATED AS OF MARCH 30, 2004.


 


5.3           Compliance with Securities
Laws on Transfer.  This
warrant and the Shares issuable upon exercise of this warrant (and the
securities issuable, directly or indirectly, upon conversion of the Shares, if
any) may not be transferred or assigned in whole or in part without compliance
with applicable federal and state securities laws by the transferor and the
transferee (including, without limitation, the delivery of investment
representation letters and legal opinions reasonably satisfactory to the
Company).  The Company shall not require
Holder to provide an opinion of counsel if the transfer is to an affiliate of
Holder or if there is no material question as to the availability of current
information as referenced in Rule 144(c), Holder represents that it has
complied with Rule 144(d) and (e) in reasonable detail, the
selling broker represents that it has complied with Rule 144(f), and the
Company is provided with a copy of Holder’s notice of proposed sale.


 


5.4           Transfer Procedure.  Subject to the provisions of Section 5.4,
Holder may transfer all or part of this warrant or the Shares issuable upon
exercise of this warrant (or the securities issuable, directly or indirectly,
upon conversion of the Shares, if any) by giving the Company notice of the
portion of the warrant being transferred setting forth the name, address and
taxpayer identification number of the transferee and surrendering this warrant
to the Company for reissuance to the transferee(s) (and Holder, if
applicable); provided, however, that Holder may transfer all or part of
this warrant to its affiliates, including, without limitation, Comerica
Incorporated, at any time without notice to the Company, and such affiliate
shall then be entitled to all the rights of Holder under this warrant and any
related agreements, and the Company shall cooperate fully in ensuring that any
stock issued upon exercise of this warrant is issued in the name of the
affiliate that exercises the warrant. 
The terms and conditions of this warrant shall inure to the benefit of,
and be binding upon, the Company and the holders hereof and their 


 

















 


respective
permitted successors and assigns.  Unless
the Company is filing financial information with the SBC pursuant to the
Securities Exchange Act of 1934, the Company shall have the right to refuse to
transfer any portion of this warrant to any person who directly competes with
the Company.


 


5.5           Warrant Register.  Any warrants issued upon the transfer or
exercise in part of this warrant shall be numbered and shall be registered in a
warrant register (the “Register”) as they are issued.  The Company shall be entitled to treat the
registered holder of any warrant on the Register as the Holder and owner in
fact thereof for all purposes and shall not be bound to recognize any equitable
or other claim to or interest in such warrant on the part of any other person,
and shall not be liable for any registration of transfer of warrants which are
registered or to be registered in the name of a fiduciary or the nominee of a
fiduciary unless made with the actual knowledge of the general counsel of the
Company that a fiduciary or nominee is committing a breach of trust in
requesting such registration of transfer. 
In all cases of transfer by an attorney, executor, administrator,
guardian, or other legal representative, duly authenticated evidence of his or
its authority shall be produced. 
Notwithstanding anything contained herein to the contrary, the Company
shall have no obligation to cause warrants to be transferred on its books to
any person if, in the opinion of counsel to the Company, such transfer does not
comply with this warrant or the provisions of the Act and the rules and
regulations thereunder.  Notwithstanding
any of the foregoing, nothing in this Section 5.5 shall invalidate a
transfer from Holder to an affiliate as provided for in Section 5.4 of
this warrant.


 


5.6           Stockholder Rights.  The Holder shall not, solely by virtue
hereof, be entitled to any rights of a stockholder of the Company.  The Holder shall have all rights of a
stockholder with respect to securities purchased upon exercise hereof at the
time the exercise price for such securities is delivered pursuant to Article 1
hereof.


 


5.7           Notices.  All notices and other communications from the
Company to the Holder, or vice versa, shall be deemed delivered and effective
when given personally or mailed by first-class registered or certified mail, postage
prepaid, at such address as may have been furnished to the Company or the
Holder, as the case may be, in writing by the Company or such Holder from time
to time.  All notices to the Holder shall
be addressed as follows:


 


Comerica
Bank

Attn:  Warrant Administrator

Technology and Life Sciences Division

P.O. Box 7279

San Francisco, CA 94120-7279


 


With
a copy to


 


Comerica
Bank

Attn:  Warrant Administrator

Technology and Life Sciences Division

5 Palo Alto Square, Suite 800

3000 El Camino Real

Palo Alto, CA 94306


 

















 


5.8           Amendments.  This warrant and any term hereof may be
changed, waived, discharged or terminated only by an instrument in writing
signed by the party against which enforcement of such change, waiver, discharge
or termination is sought.


 


5.9           Attorneys’ Fees.  In the event of any dispute between the
parties concerning the terms and provisions of this warrant, the party
prevailing in such dispute shall be entitled to collect from the other party
all costs incurred in such dispute, including reasonable attorneys’ fees.


 


5.10         Governing Law.  This warrant shall be governed by and
construed in accordance with the laws of the State of Delaware, without giving
effect to its principles regarding conflicts of law.


 


	
   

  	
  TANGOE,
  INC.

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  David Eldredge

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  David
  Eldredge

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  CFO

  
	
   

  	
   

  	
   

  
	
   

  	
  COMERICA
  BANK

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  [Illegible]

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  [Illegible]

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  VICE
  PRESIDENT

  



 


Authorized
signatories under Corporate Resolutions to Borrow or an authorized signer(s) under
a resolution covering warrants must sign the warrant.