Document:

Exhibit
        10.3

    [FORM
      OF REPLACEMENT WARRANT]

    

    December
      13, 2004

    

     

    THE
      SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES
      ACT
      OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE AND MAY NOT BE SOLD,
      TRANSFERRED OR OTHERWISE DISPOSED OF EXCEPT PURSUANT TO AN EFFECTIVE
      REGISTRATION STATEMENT UNDER SUCH ACT AND APPLICABLE STATE SECURITIES LAWS
      OR
      PURSUANT TO AN APPLICABLE EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF SUCH
      ACT AND SUCH LAWS.

    

    

    

    
      	 	
               

            	
              Warrant
                to Purchase 

              Shares
                (subject to adjustment)

              of
                Common Stock

            

    

    

    NEOPROBE
      CORPORATION

    

    COMMON
      STOCK PURCHASE WARRANT

    

    Void
      after December 13, 2009

    

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    Neoprobe
      Corporation (the “Company” ), a Delaware corporation, hereby certifies that for
      value received, [_________________]
      (“___________”), a _______________________________, or its successors or assigns
      (the “Holder”), is entitled to purchase, subject to the terms and conditions
      hereinafter set forth, an aggregate of [__________]
      fully
      paid and nonassessable shares of Common Stock (as hereinafter defined) of the
      Company, at an exercise price of $0.46 per share, subject to adjustment as
      provided herein (the “Purchase Price”), at any time or from time to time
      beginning on the date hereof and prior to 5:00 P.M., New York City time, on
      December 13, 2009 (the “Expiration Date”). 

     

    This
      Warrant is issued pursuant to the Securities Purchase Agreement, dated as of
      the
      date hereof, as amended by Amendment (the “Amendment”)
      dated
      as of November 30, 2006 (as so amended by the Amendment, the “Purchase
      Agreement”),
      among
      Neoprobe Corporation, Biomedical Value Fund, L.P., Biomedical Offshore Value
      Fund, Ltd. and David C. Bupp, and is subject to the terms thereof. Capitalized
      terms used herein and not otherwise defined shall have the respective meanings
      assigned to such terms in the Purchase Agreement. The Holder is entitled to
      the
      rights and subject to the obligations contained in the Purchase Agreement
      relating to this Warrant and the shares of Common Stock issuable upon exercise
      of this Warrant.

     

    1.  Definitions.
      For the
      purposes of this Warrant, the following terms shall have the meanings
      indicated:

     

    “Business
      Day”
shall
      mean any day other than a Saturday, Sunday or other day on which commercial
      banks in the City of New York are authorized or required by law or executive
      order to close.

     

    “Closing
      Price”
shall
      mean, with respect to each share of Common Stock for any day, (a) the last
      reported sale price regular way or, in case no such sale takes place on such
      day, the average of the closing bid and asked prices regular way, in either
      case
      as reported on the principal national securities exchange on which the Common
      Stock is listed or admitted for trading or (b) if the Common Stock is not listed
      or admitted for trading on any national securities exchange, the last reported
      sale price or, in case no such sale takes place on such day, the average of
      the
      highest reported bid and the lowest reported asked quotation for the Common
      Stock, in either case as reported on the Nasdaq or a similar service if Nasdaq
      is no longer reporting such information.

     

    “Co-Investor
      Warrants”
shall
      mean all warrants, other than the Warrant, to purchase Common Stock issued
      pursuant to the Purchase Agreement and any subsequent warrants issued pursuant
      to the terms of such warrants.

     

    “Common
      Stock”
means
      the common stock, par value $.001 per share, of the Company, and any class
      of
      stock resulting from successive changes or reclassification of such Common
      Stock.

     

    “Company”
has
      the
      meaning ascribed to such term in the first paragraph of this
      Warrant.

     

    “Current
      Market Price”
shall
      be determined in accordance with Subsection 3(d).

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

     

    “Exercise
      Date”
has
      the
      meaning ascribed to such term in Subsection 2(d).

     

    “Expiration
      Date”
has
      the
      meaning ascribed to such term in the first paragraph of this
      Warrant.

     

    “Holder”
has
      the
      meaning ascribed to such term in the first paragraph and Section 9 of this
      Warrant.

     

    “Issuable
      Warrant Shares”
means
      the shares of Common Stock issuable at any time upon exercise of the
      Warrant.

     

    “Issued
      Warrant Shares”
means
      any shares of Common Stock issued upon exercise of the Warrant.

     

    “Nasdaq”
shall
      mean the Automated Quotation System of the National Association of Securities
      Dealers, Inc.

     

    “Person”
shall
      mean any individual, firm, corporation, limited liability company, partnership,
      trust, incorporated or unincorporated association, joint venture, joint stock
      company, government (or an agency or political subdivision thereof) or other
      entity of any kind, and shall include any successor (by merger or otherwise)
      of
      such entity.

     

    “Purchase
      Agreement”
has
      the
      meaning ascribed to such term in the second paragraph of this
      Warrant.

     

    “Purchase
      Price”
has
      the
      meaning ascribed to such term in the first paragraph of this
      Warrant.

     

    “Warrant”
shall
      mean this Warrant and any subsequent Warrant issued pursuant to the terms of
      this Warrant.

     

    “Warrant
      Register”
has
      the
      meaning ascribed to such term in Subsection 9(c).

    

    2.  Exercise
      of Warrant.

     

    (a)  Exercise.
      This
      Warrant may be exercised, in whole or in part, at any time or from time to
      time
      during the period beginning on the date hereof and ending on the Expiration
      Date, by surrendering to the Company at its principal office this Warrant,
      with
      the form of Election to Purchase Shares (the “Election to Purchase Shares”)
      attached hereto as Exhibit A duly executed by the Holder and accompanied by
      payment of the Purchase Price for the number of shares of Common Stock specified
      in such form.

     

    (b)  Delivery
      of Shares; Payment of Purchase Price.
      As soon
      as practicable after surrender of this Warrant and receipt of payment, the
      Company shall promptly issue and deliver to the Holder a certificate or
      certificates for the number of shares of Common Stock set forth in the Election
      to Purchase Shares, in such name or names as may be designated by such Holder,
      along with a check for the amount of cash to be paid in lieu of issuance of
      fractional shares, if any. Payment of the Purchase Price may be made as follows
      (or by any combination of the following): (i) in United States currency by
      cash
      or delivery of a certified check, bank draft or postal or express money order
      payable to the order of the Company, (ii) by assigning to the Company all or
      any
      part of the unpaid principal amount of the Note held by the Holder in a
      principal amount equal to the Purchase Price, (iii) by surrender of a number
      of
      shares of Common Stock -held by the Holder equal to the quotient obtained by
      dividing (A) the aggregate Purchase Price payable with respect to the portion
      of
      this Warrant then being exercised by (B) the Current Market Price per share
      of
      Common Stock on the Exercise Date, or (iv) by cancellation of any portion of
      this Warrant with respect to the number of shares of Common Stock equal to
      the
      quotient obtained by dividing (A) the aggregate Purchase Price payable with
      respect to the portion of this Warrant then being exercised by (B) the
      difference between (1) Current Market Price per share of Common Stock on the
      Exercise Date, and (2) the Purchase Price per share of Common Stock.

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

     

    (c)  Partial
      Exercise.
      If this
      Warrant is exercised for less than all of the shares of Common Stock purchasable
      under this Warrant, the Company shall cancel this Warrant upon surrender hereof
      and shall execute and deliver to the Holder a new Warrant of like tenor for
      the
      balance of the shares of Common Stock purchasable hereunder.

     

    (d)  When
      Exercise Effective.
      The
      exercise of this Warrant shall be deemed to have been effective immediately
      prior to the close of business on the Business Day on which this Warrant is
      surrendered to and the Purchase Price is received by the Company as provided
      in
      this Section 2 (the “Exercise Date”) and the Person in whose name any
      certificate for shares of Common Stock shall be issuable upon such exercise,
      as
      provided in Subsection 2(b), shall be deemed to be the record holder of such
      shares of Common Stock for all purposes on the Exercise Date.

     

    (e)  Issued
      Warrant Shares Fully Paid, Nonassessable.
      The
      Company shall take all actions necessary to ensure that following exercise
      of
      this Warrant in accordance with the provisions of this Section 2, the Issued
      Warrant Shares issued hereunder shall, without further action by the Holder,
      be
      fully paid and nonassessable.

     

    (f)  Continued
      Validity.
      A
      Holder of shares of Common Stock issued upon the exercise of this Warrant,
      in
      whole or in part, shall continue to be entitled to all of the rights and subject
      to all of the obligations set forth in Section 9.

     

    3.  Adjustment
      of Purchase Price and Number of Shares. The
      Purchase Price and the number of shares of Common Stock issuable upon exercise
      of this Warrant shall be adjusted from time to time in the following manner
      upon
      the occurrence of the following events:

     

    (a)  Dividend,
      Subdivision, Combination or Reclassification of Common Stock.
      If the
      Company shall, at any time or from time to time, (i) declare a dividend on
      the
      Common Stock payable in shares of its capital stock (including Common Stock),
      (ii) subdivide the outstanding Common Stock into a larger number of shares
      of
      Common Stock, (iii) combine the outstanding Common Stock into a smaller number
      of shares of its Common Stock, or (iv) issue any shares of its capital stock
      in
      a reclassification of the Common Stock (including any such reclassification
      in
      connection with a consolidation or merger in which the Company is the continuing
      corporation), then
      in each
      such case, the Purchase Price in effect at the time of the record date for
      such
      dividend or of the effective date of such subdivision, combination or
      reclassification, and the number and kind of shares of capital stock issuable
      on
      such date shall be proportionately adjusted so that the Holder of any Warrant
      exercised after such date shall be entitled to receive, upon payment of the
      same
      aggregate amount as would have been payable before such date, the aggregate
      number and kind of shares of capital stock which, if such Warrant had been
      exercised immediately prior to such date, such Holder would have owned upon
      such
      exercise and been entitled to receive by virtue of such dividend, subdivision,
      combination or reclassification. Any such adjustment shall become effective
      immediately after the record date of such dividend or the effective date of
      such
      subdivision, combination or reclassification. Such adjustment shall be made
      successively whenever any event listed above shall occur. If a dividend is
      declared and such dividend is not paid, the Purchase Price shall again be
      adjusted to be the Purchase Price, in effect immediately prior to such record
      date (giving effect to all adjustments that otherwise would be required to
      be
      made pursuant to this Section 3 from and after such record date).

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

     

    (b)  Certain
      Distributions.
      If the
      Company shall, at any time or from time to time, fix a record date for the
      distribution to all holders of Common Stock (including any such distribution
      made in connection with a consolidation or merger in which the Company is the
      continuing corporation) of evidences of indebtedness, assets or other property
      (other than regularly scheduled cash dividends or cash distributions payable
      out
      of consolidated earnings or earned surplus or dividends payable in capital
      stock
      for which adjustment is made under Subsection 3(a)) or subscription rights,
      options or warrants, then
      the
      Purchase Price shall be reduced to the price determined by multiplying the
      Purchase Price in effect immediately prior to such record date by a fraction
      (which shall in no event be less than zero), the numerator of which shall be
      the
      Current Market Price per share of Common Stock on such record date (or, if
      an
      ex-dividend date has been established for such record date, on the next day
      preceding such ex-dividend date), less the fair market value (as determined
      in
      good faith by the Board of Directors of the Company) of the portion of the
      assets, evidences of indebtedness, other property, subscription rights or
      warrants so to be distributed applicable to one share of Common Stock and the
      denominator of which shall be such Current Market Price per share of Common
      Stock. Any such adjustment shall become effective immediately after the record
      date for such distribution. Such adjustments shall be made successively whenever
      such a record date is fixed. In the event that such distribution is not so
      made,
      the Purchase Price shall be adjusted to the Purchase Price in effect immediately
      prior to such record date (giving effect to all adjustments that otherwise
      would
      be required to be made pursuant to this Section 3 from and after such record
      date).

     

    (c)  Issuance
      of Common Stock Below Purchase Price.

     

    (i)  If
      the
      Company shall, at any time and from time to time, after the date hereof,
      directly or indirectly, sell or issue shares of Common Stock (regardless of
      whether originally issued or from the Company’s treasury), or rights, options,
      warrants or convertible or exchangeable securities containing the right to
      subscribe for or purchase shares of Common Stock) at a price per share of Common
      Stock (determined, in the case of rights, options, warrants or convertible
      or
      exchangeable securities (collectively, “Securities”), by dividing (x) the total
      consideration received or receivable by the Company in consideration of the
      sale
      or issuance of such Securities, plus the total consideration payable to the
      Company upon exercise or conversion or exchange thereof, by (y) the total number
      of shares of Common Stock covered by such Securities) which is lower than the
      Purchase Price in effect immediately prior to such sale or issuance,
then,
      subject
      to clause 3(d)(ii), the Purchase Price shall be reduced to a price determined
      by
      multiplying the Purchase Price in effect immediately prior thereto by a
      fraction, the numerator of which shall be the sum of the number of shares of
      Common Stock outstanding immediately prior to such sale or issuance plus the
      number of shares of Common Stock which the aggregate consideration received
      (in
      the case of Securities, determined as provided below) for such sale or issuance
      would purchase at the Purchase Price in effect immediately prior to such sale
      or
      issuance and the denominator of which shall be the total number of shares of
      Common Stock outstanding immediately after such sale or issuance. Such
      adjustment shall be made successively whenever such sale or issuance is made.
      For the purposes of such adjustments, the shares of Common Stock which the
      holder of any such Securities shall be entitled to subscribe for or purchase
      shall be deemed to be issued and outstanding as of the date of such sale or
      issuance of such Securities and the consideration “received” by the Company
      therefor shall be deemed to be the consideration actually received or receivable
      by the Company (plus any underwriting discounts or commissions in connection
      therewith) for such Securities, plus the consideration stated in such Securities
      to be payable to the Company for the shares of Common Stock covered thereby.
      If
      the Company shall sell or issue shares of Common Stock for a consideration
      consisting, in whole or in part, of property other than cash or its equivalent,
      then in determining the “price per share of Common Stock” and the
“consideration” received or receivable by or payable to the Company for purposes
      of the first sentence and the immediately preceding sentence of this Subsection
      3(c)(i), the fair value of such property shall be determined in good faith
      by
      the Board of Directors of the Company. Except as provided below, the
      determination of whether any adjustment is required under this Subsection
      3(c)(i) by reason of the sale or issuance of Securities and the amount of such
      adjustment, if any, shall be made only at the time of such issuance or sale
      and
      not at the subsequent time of issuance of shares of Common Stock upon the
      exercise, conversion or exchange of such Securities. 

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

     

    (ii)  No
      adjustment shall be made to the Purchase Price pursuant to clause 3(c)(i) in
      connection with the (A) issuance of shares in any of the transactions described
      in Subsections 3(a) and (b) hereof; (B) issuance of shares upon exercise of
      this
      Warrant or the Co-Investor Warrants; (C) issuance of shares upon conversion
      of
      the 8% Series A Convertible Notes (the “Convertible Notes”); (D) issuance of
      shares of Common Stock upon the exercise of Management Options (as defined
      in
      the Purchase Agreement) or the grant of Management Options provided that the
      aggregate number of shares of Common Stock issued and issuable pursuant to
      all
      Management Options does not exceed 5,242,106; (E) issuance of shares of Common
      Stock or rights, options, warrants or convertible or exchangeable securities
      containing the right to subscribe for or purchase shares of Common Stock as
      part
      of a unit in connection with an arm’s length institutional debt financing; (F)
      issuance of shares of Common Stock upon the exercise or conversion or rights,
      options, warrants or convertible or exchangeable securities containing the
      right
      to subscribe for or purchase shares of Common Stock outstanding on the December
      13, 2004; (G) issuance of shares of Common Stock or rights, options, warrants
      or
      convertible or exchangeable securities containing the right to subscribe for
      or
      purchase shares of Common Stock in connection with licenses,
      assignments or other transfers of Intellectual Property of the Company or
      Subsidiaries, or rights therein, in connection with cooperative research and
      development agreements, strategic alliances, or agreements providing for the
      manufacturing, distribution or sale of products or services of the Company
      or
      Subsidiaries; and (H) contributions of Common Stock to the Company’s 401(k)
      Plan.
      

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

     

    (iii)  In
      the
      event of any change in the number of shares of Common Stock deliverable or
      any
      change in the consideration payable to the Company upon exercise, conversion
      or
      exchange of any Securities (including, without limitation, by operation of
      the
      anti-dilution provisions of such Securities other than those anti-dilution
      provisions contained within the Securities that are substantially similar to
      the
      provisions of Section 3(a) hereof), any adjustment to the Purchase Price which
      was made upon the issuance of such Securities, and any subsequent adjustments
      based thereon, shall be recomputed to reflect such change, except as provided
      below, no further adjustment shall be made for the actual issuance of Common
      Stock or any payment of such consideration upon the exercise, conversion or
      exchange of any such Securities. 
      The
      Company shall make all necessary adjustments (including successive adjustments
      if required) to the Purchase Price in accordance with Section 3. Upon the
      expiration or termination of the right to exercise, convert or exchange any
      Securities, any adjustment to the Purchase Price which was made upon the
      issuance of such Securities, and any subsequent adjustments based thereon,
      shall
      be recomputed to reflect the issuance of only the number of shares of Common
      Stock actually issued upon the exercise, conversion or exchange of such
      Securities and the actual consideration received therefor (as determined in
      this
      Section 3).

     

    (d)  Determination
      of Current Market Price.
      For the
      purpose of any computation under Subsection (b) of this Section 3 or any other
      provision of this Warrant except as otherwise specifically provided, the Current
      Market Price per share of Common Stock on any date shall be deemed to be the
      average of the daily Closing Prices per share of Common Stock for the 10
      consecutive trading days commencing 15 trading days before such date. If on
      any
      such date the shares of Common Stock are not listed or admitted for trading
      on
      any national securities exchange or quoted by Nasdaq or a similar service,
      then
      the Company, on the one hand, and [Great
      Point Partners, LLC]
      [David
      C.
      Bupp],
      on the
      other hand, shall each promptly appoint as an appraiser an individual who shall
      be a member of a nationally recognized investment banking firm. Each appraiser
      shall be instructed to, within 30 days of appointment, determine the Current
      Market Price per share of Common Stock which shall be deemed to be equal to
      the
      fair market value per share of Common Stock as of such date. If the two
      appraisers are unable to agree on the Current Market Price per share of Common
      Stock within such 30 day period, then the two appraisers, within 10 days after
      the end of such 30 day period shall jointly select a third appraiser. The third
      appraiser shall, within 30 days of its appointment, determine, in good faith,
      the Current Market Price per share of Common Stock and such determination shall
      be controlling. If any party fails to appoint an appraiser or if one of the
      two
      initial appraisers fails after appointment to submit its appraisal within the
      required period, the appraisal submitted by the remaining appraiser shall be
      controlling. The cost of the foregoing appraisals shall be shared one-half
      by
      the Company and one-half by [Great
      Point Partners, LLC]
      [David
      C.
      Bupp],
      provided, however, in the event a third appraiser is utilized and one of the
      two
      initial appraisals (but not the other initial appraisal) is greater than or
      less
      than the appraisal by such third appraiser by 10% or more, then the cost of
      all
      of the foregoing appraisals shall be borne by the party who appointed the
      appraiser who made such initial appraisal.

     

    (e)  De
      Minimis Adjustments.
      No
      adjustment shall be made under this Section 3 if the amount of such adjustment
      would result in a change in the number of shares issuable under this Warrant
      of
      less than one percent (1%), but in such case any adjustment that would otherwise
      be required to be made shall be carried forward and shall be made at the time
      of
      and together with the next subsequent adjustment, which together with any
      adjustment so carried forward, would result in a change of at least one percent
      (1%). Notwithstanding the provisions of the first sentence of this Subsection
      3(e), any adjustment postponed pursuant to this Subsection 3(e) shall be made
      no
      later than the earlier of (i) three years from the date of the transaction
      that
      would, but for the provisions of the first sentence of this Section 3(e), have
      required such adjustment, (ii) an Exercise Date or (iii) the Expiration
      Date.

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

     

    (f)  Adjustments
      to Other Shares.
      In the
      event that at any time, as a result of an adjustment made pursuant to Subsection
      3(a), the Holder shall become entitled to receive, upon exercise of this
      Warrant, any shares of capital stock or other securities of the Company other
      than shares of Common Stock, the number of such other shares or other securities
      so receivable upon exercise of this Warrant shall be subject to adjustment
      from
      time to time in a manner and on terms as nearly equivalent as practicable to
      the
      provisions with respect to the shares of Common Stock contained in Subsections
      3(a), (b) and (c), inclusive, and the provisions of Sections 2, 5, 6 and 7
      with
      respect to the shares of Common Stock shall apply on like terms to any such
      other shares or other securities.

     

    (g)  Adjustment
      of Number of Shares Issuable Upon Exercise.
      Upon
      each adjustment of the Purchase Price as a result of the calculations made
      in
      Subsections 3(a), (b) or (c), this Warrant shall thereafter evidence the right
      to receive, at the adjusted Purchase Price, that number of shares of Common
      Stock (calculated to the nearest one-hundredth) obtained by dividing (x) the
      product of the aggregate number of shares of Common Stock covered by this
      Warrant immediately prior to such adjustment and the Purchase Price in effect
      immediately prior to such adjustment of the Purchase Price by (y) the Purchase
      Price in effect immediately after such adjustment of the -Purchase
      Price.

     

    (h)  Reorganization,
      Reclassification, Merger and Sale of Assets.
      If
      there occurs any capital reorganization or any reclassification of the Common
      Stock of the Company, the consolidation or merger of the Company with or into
      another Person (other than a merger or consolidation of the Company in which
      the
      Company is the continuing corporation and which does not result in any
      reclassification or change of outstanding shares of its Common Stock) or the
      sale or conveyance of all or substantially all of the assets of the Company
      to
      another Person, then
      the
      Holder will thereafter be entitled to receive, upon the exercise of this Warrant
      in accordance with the terms hereof, the same kind and amounts of securities
      (including shares of stock) or other assets, or both, which were issuable or
      distributable to the holders of outstanding Common Stock of the Company upon
      such reorganization, reclassification, consolidation, merger, sale or
      conveyance, in respect of that number of shares of Common Stock then deliverable
      upon the exercise of this Warrant if this Warrant had been exercised immediately
      prior to such reorganization, reclassification, consolidation, merger, sale
      or
      conveyance; and, in any such case, appropriate adjustments (as determined in
      good faith by the Board of Directors of the Company) shall be made to assure
      that the provisions hereof (including, without limitation, provisions with
      respect to changes in, and other adjustments of, the Purchase Price) shall
      thereafter be applicable, as nearly as reasonably may be practicable, in
      relation to any securities or other assets thereafter deliverable upon exercise
      of this Warrant.

     

    4.  Certificate
      as to Adjustments.
      Whenever the Purchase Price or the number of shares of Common Stock issuable,
      or
      the securities or other property deliverable, upon the exercise of this Warrant
      shall be adjusted pursuant to the provisions hereof, the Company shall promptly
      give written notice thereof to the Holder, in accordance with Section 13, in
      the
      form of a certificate signed by the Chairman of the Board, President or one
      of
      the Vice Presidents of the Company, and by the Chief Financial Officer,
      Treasurer or one of the Assistant Treasurers of the Company, stating the
      adjusted Purchase Price, the number of shares of Common Stock issuable, or
      the
      securities or other property deliverable, upon exercise of the Warrant and
      setting forth in reasonable detail the method of calculation and the facts
      requiring such adjustment and upon which such calculation is based. Each
      adjustment shall remain in effect until a subsequent adjustment is
      required.

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

     

    5.  Fractional
      Shares.
      Notwithstanding an adjustment pursuant to Section 3(h) in the number of shares
      of Common Stock covered by this Warrant or any other provision of this Warrant,
      the Company shall not be required to issue fractions of shares upon exercise
      of
      this Warrant or to distribute certificates which evidence fractional shares.
      In
      lieu of fractional shares, the Company may make payment to the Holder, at the
      time of exercise of this Warrant as herein provided, of an amount in cash equal
      to such fraction multiplied by the greater of the Current Market Price of a
      share of Common Stock on the Exercise Date and the Purchase Price.

     

    6.  Notice
      of Proposed Actions.
      In case
      the Company shall propose at any time or from time to time (a) to declare or
      pay
      any dividend payable in stock of any class to the holders of Common Stock or
      to
      make any other distribution to the holders of Common Stock (other than a
      regularly scheduled cash dividend), (b) to offer to the holders of Common Stock
      rights or warrants to subscribe for or to purchase any additional shares of
      Common Stock or shares of stock of any class or any other securities, rights,
      warrants or options, (c) to effect any reclassification of its Common Stock,
      (d)
      to effect any consolidation, merger or sale, transfer or other disposition
      of
      all or substantially all of the property, assets or business of the Company
      which would, if consummated, adjust the Purchase Price or the securities
      issuable upon exercise of the Warrants, (e) to effect the liquidation,
      dissolution or winding up of the Company, or (f) to take any other action that
      would require a vote of the Company’s stockholders, then, in each such case, the
      Company shall give to the Holder, in accordance with Section 13, a written
      notice of such proposed action, which shall specify (i) the record date for
      the
      purposes of such stock dividend, distribution of rights or warrants or vote
      of
      the stockholders of the Company, or if a record is not to be taken, the date
      as
      of which the holders of shares of Common Stock of record to be entitled to
      such
      dividend, distribution of rights or warrants, or vote is to be determined,
      or
      (ii) the date on which such reclassification, consolidation, merger, sale,
      transfer, disposition, liquidation, dissolution or winding up is expected to
      become effective, and such notice shall be so given as promptly as possible
      but
      in any event at least ten (10) Business Days prior to the applicable record,
      determination or effective date specified in such notice.

     

    7.  Diminution
      or Impairment.
      The
      Company will not, by amendment of its Certificate of Incorporation or through
      any reorganization, transfer of assets, consolidation, merger, dissolution,
      issue or sale of securities or any other action, avoid or seek to avoid the
      observance or performance of any of the terms of this Warrant, but will at
      all
      times in good faith assist in the carrying out of all such terms and in the
      taking of all such action as may be necessary or appropriate in order to protect
      the rights of the Holder of this Warrant against diminution or other impairment.
      Without limiting the generality of the foregoing, the Company (a) will not
      increase the par value of any shares of stock receivable on the exercise of
      this
      Warrant above the amount payable therefor on such exercise, (b) will at all
      times reserve and keep available the maximum number of its authorized shares
      of
      Common Stock, free from all preemptive rights therein, which will be sufficient
      to permit the full exercise of this Warrant, and (c) will take all such action
      as may be necessary or appropriate in order that all shares of Common Stock
      as
      may be issued pursuant to the exercise of this Warrant will, upon issuance,
      be
      duly and validly issued, fully paid and nonassessable, and free from all taxes,
      liens and charges with respect to the issue thereof.

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

     

    8.  Replacement
      of Warrants.
      On
      receipt by the Company of an affidavit of an authorized representative of the
      Holder stating the circumstances of the loss, theft, destruction or mutilation
      of this Warrant (and in the case of any such mutilation, on surrender and
      cancellation of such Warrant), the Company at its expense will promptly execute
      and deliver, in lieu thereof, a new Warrant of like tenor which shall be
      exercisable for a like number of shares of Common Stock. If required by the
      Company, such Holder must provide an indemnity bond or other indemnity
      sufficient in the judgment of the Company to protect the Company from any loss
      which it may suffer if a lost, stolen or destroyed Warrant is
      replaced.

     

    9.  Restrictions
      on Transfer.
      

     

    (a)  Subject
      to the provisions of this Section 9, this Warrant may be transferred or
      assigned, in whole or in part, by the Holder at any time, and from time to
      time.
      The term “Holder” as used herein shall also include any transferee of this
      Warrant whose name has been recorded by the Company in the Warrant Register
      (as
      hereinafter defined). Each transferee of the Warrant or the Common Stock
      issuable upon the exercise of the Warrant acknowledges that the Warrant or
      the
      Common Stock issuable upon the exercise of the Warrant has not been registered
      under the Securities Act and may be transferred only pursuant to an effective
      registration under the Securities Act or pursuant to an applicable exemption
      from the registration requirements of the Securities Act.

     

    (b)  With
      respect to a transfer that should occur prior to the time that the Warrant
      or
      the Common Stock issuable upon the exercise thereof is registered under the
      Securities Act, such Holder shall request an opinion of counsel (which shall
      be
      rendered by counsel reasonably acceptable to the Company) that the proposed
      transfer may be effected without registration or qualification under any Federal
      or state securities or blue sky law. Counsel shall, as promptly as practicable,
      notify the Company and the Holder of such opinion and of the terms and
      conditions, if any, to be observed in such transfer, whereupon the Holder shall
      be entitled to transfer this Warrant or such shares of Common Stock (or portion
      thereof), subject to any other provisions and limitations of this Warrant.
      In
      the event this Warrant shall be exercised as an incident to such transfer,
      such
      exercise shall relate back and for all purposes of this Warrant be deemed to
      have occurred as of the date of such notice regardless of delays incurred by
      reason of the provisions of this Section 9 which may result in the actual
      exercise on any later date.

     

    (c)  The
      Company shall maintain a register (the “Warrant Register”) in its principal
      office for the purpose of registering the Warrant and any transfer thereof,
      which register shall reflect and identify, at all times, the ownership of any
      interest in the Warrant. Upon the issuance of this Warrant, the Company shall
      record the name of the initial purchaser of this Warrant in the Warrant Register
      as the first Holder. Upon surrender for registration of transfer or exchange
      of
      this Warrant together with a properly executed Form of Assignment attached
      hereto as Exhibit B at the principal office of the Company, the Company shall,
      at its expense, execute and deliver one or more new Warrants of like tenor
      which
      shall be exercisable for a like aggregate number of shares of Common Stock,
      registered in the name of the Holder or a transferee or
      transferees.

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

     

    10.  No
      Rights or Liability as a Stockholder.
      This
      Warrant does not entitle the Holder hereof to any voting rights or other rights
      as a stockholder of the Company. No provisions hereof, in the absence of
      affirmative action by the Holder hereof to purchase Common Stock, and no
      enumeration herein of the rights or privileges of the Holder shall give rise
      to
      any liability of such Holder as a stockholder of the Company.

     

    11.  Charges,
      Taxes and Expenses.
      Issuance of certificates for shares of Common Stock upon the exercise of this
      Warrant shall be made without charge to the Holder hereof for any issue or
      transfer tax, or other incidental expense, in respect of the issuance or
      delivery of such certificates or the securities represented thereby, all of
      which taxes and expenses shall be paid by the Company.

     

    12.  Amendment
      or Waiver.
      Any
      amendment, supplement or modification of or to any provision of this Warrant,
      any waiver of any provision of this Warrant, and any consent to any departure
      by
      any party from the terms of any provision of this Warrant, may be made only
      in
      the manner provided in Section 11.4 of the Purchase Agreement, and then such
      amendment, supplement, modification, waiver or consent shall be effective only
      in the specific instance and for the specific purpose for which
      given.

     

    13.  Notices.
      Any
      notice or other communication (or delivery) required or permitted hereunder
      shall be made in writing and shall be by registered mail, return receipt
      requested, telecopier, courier service or personal delivery to the Company
      at
      its principal office as specified in Section 11.2 of
      the
      Purchase Agreement and to the Holder at its address as it appears in the Warrant
      Register. All such notices and communications (and deliveries) shall be deemed
      to have been duly given: when delivered by hand, if personally delivered; when
      delivered by courier, if delivered by commercial overnight courier service;
      five
      Business Days after being deposited in the mail, postage prepaid, if mailed;
      and
      when receipt is acknowledged, if telecopied.

     

    14.  Company
      Call.
      

     

    (a)  The
      Company shall have the right exercisable at any time, and from time to time,
      to
      repurchase, subject to the terms and conditions hereof, from the Holder all,
      but
      not less than all, of this Warrant at the purchase price determined below,
      provided that the average Closing Prices per share of Common Stock for the
      30
      consecutive trading days ending 15 trading days before the date the Call Notice
      (as defined in the next sentence) is given, is at least $1.50 per share (subject
      to adjustment as set forth in Section 14(c) below) (the “Target Price”). Such
      right shall be exercisable by the Company by delivery of written notice (a
“Call
      Notice”) to the Holder (and to all holders of the Co-Investor Warrants),
      specifying the date on which such repurchase shall occur, which date shall
      not
      be less than thirty (30) days nor more than sixty (60) days after the date
      of
      the Call Notice. The purchase price under this Section 14 shall be determined
      by
      multiplying (a) $0.46 (subject
      to adjustment pursuant to Section 14(c) below) (the “Call Price”) by (b) the
      number of Issuable Warrant Shares at the time issuable upon the exercise of
      this
      Warrant. The Call Notice shall (i) designate the date of repurchase in
      accordance with this Section 14 (the “Repurchase Date”) and (ii) state that
      the right to exercise the Warrant shall terminate at 5:00 p.m. New York City
      time on the business day immediately preceding the Repurchase Date.

     

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

     

    (b)  Any
      right
      to exercise this Warrant shall terminate at 5:00 pm New York City time on the
      business day immediately preceding the Repurchase Date. On and after the
      Repurchase Date, the Holder shall have no further rights except to receive
      upon
      delivery of this Warrant, the amounts provided for in this Warrant.

     

    (c)  The
      Target Price and the Call Price shall be adjusted in the same manner as the
      Purchase Price pursuant to Section 3(a) above. 

     

    15.  Certain
      Remedies.
      The
      Holder shall be entitled to an injunction or injunctions to prevent breaches
      of
      the provisions of this Warrant and to enforce specifically the terms and
      provisions of this Warrant in any court of the United States or any state
      thereof having jurisdiction, this being in addition to any other remedy to
      which
      such Holder may be entitled at law or in equity.

     

    16.  Governing
      Law.
      THIS
      AGREEMENT SHALL BE GOVERNED BY, CONSTRUED IN ACCORDANCE WITH, AND ENFORCED
      UNDER, THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO AGREEMENTS OR INSTRUMENTS
      ENTERED INTO AND PERFORMED ENTIRELY WITHIN SUCH STATE EXCEPT TO THE EXTENT
      THE
      GENERAL CORPORATIONS LAW OF DELAWARE SHALL APPLY.

     

    17.  Headings.
      The
      headings in this Warrant are for convenience of reference only and shall not
      limit or otherwise affect the meaning hereof.

     

    
      	 	 	 
	 	NEOPROBE
              CORPORATION
	 
 	 
 	 
 
	 	By:  	 
	 	
              
Name:
	 	Title: 

    

     

    

    [SIGNATURE
      PAGE TO WARRANT]

    
 

    
      
        
        

      

      
        12

        
          

        

      

      
        
        

      

    

     

    
      	 	
              Exhibit
                A to Common

              Stock
                Purchase Warrant

            

    

     

    [FORM
      OF]

     

    ELECTION
      TO PURCHASE SHARES

     

    The
      undersigned hereby irrevocably elects to exercise the Warrant to purchase _____
      shares of Common Stock, par value $0.001 per share (“Common Stock”), of Neoprobe
      Corporation (the “Company”) and hereby [makes payment of $_______ therefor] [or]
      [makes payment therefor by assignment to the Company pursuant to Section
      2(b)(ii) of the Warrant of $_____________ aggregate principal amount of
      Convertible Note (as defined in the Warrant)] [or] [makes payment therefore
      by
      surrendering pursuant to Section 2(b)(iii) _____ shares of Common Stock of
      the
      Company] [or] [makes payment therefor by cancellation pursuant to Section
      2(b)(iv) of a portion of the Warrant with respect to _________ shares of Common
      Stock]. The undersigned hereby requests that certificates for such shares be
      issued and delivered as follows:

    

    
      	ISSUE
              TO:	     
	
              (NAME)

            
	 
	    

	
              (ADDRESS,
                INCLUDING ZIP CODE)

            
	 
	     

	
              (SOCIAL
                SECURITY OR OTHER IDENTIFYING
                NUMBER)

            
	 
	DELIVER
              TO:	 
	
              (NAME)

            
	 
	 
	
              (ADDRESS,
                INCLUDING ZIP
                CODE)

            

    

    

    If
      the
      number of shares of Common Stock purchased hereby is less than the number of
      shares of Common Stock covered by the Warrant, the undersigned requests that
      a
      new Warrant representing the number of shares of Common Stock not purchased
      be
      issued and delivered as follows:

    
      

      
        	ISSUE
                TO:	     
	
                (NAME
                  OF HOLDER)

              
	 
	    

	
                (ADDRESS,
                  INCLUDING ZIP CODE)

              
	 
	DELIVER
                TO:	 
	
                (NAME
                  OF HOLDER)

              
	 
	 
	
                (ADDRESS,
                  INCLUDING ZIP
                  CODE)

              

      

      

      	 	 	 
	Dated:
              ________________	[NAME
              OF
              HOLDER]
	 
 	 
 	 
 
	 	By:  	 
	 	
              
Name:
	 	Title:

      
        

      

    

    
      	
              1

            	
              Name
                of Holder must conform in all respects to name of Holder as specified
                on
                the face of the Warrant.

            

    

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    
      	 	
              Exhibit
                B to Common

              Stock
                Purchase Warrant

            

    

    

    [FORM
      OF]
      ASSIGNMENT

     

    FOR
      VALUE
      RECEIVED, the undersigned hereby sells, assigns, and transfers unto the Assignee
      named below all of the rights of the undersigned to purchase Common Stock,
      par
      value $.001 per share (“Common Stock”), of Neoprobe Corporation represented by
      the Warrant, with respect to the number of shares of Common Stock set forth
      below:

     

    
      	Name of Assignee	 	Address	 	No. of Shares
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 

    

     

    and
      does
      hereby irrevocably constitute and appoint ____________________________ Attorney
      to make such transfer on the books of Neoprobe Corporation maintained for that
      purpose, with full power of substitution in the premises.

     

    
      

      	 	 	 
	Dated:
              ________________	[NAME
              OF
              HOLDER1]
	 
 	 
 	 
 
	 	By:  	 
	 	
              
Name:
	 	Title:

      
        

      

      
        	
                1

              	
                Name
                  of Holder must conform in all respects to name of Holder as specified
                  on
                  the face of the Warrant.Exhibit
        10.4

    SCHEDULE
      IDENTIFYING OMITTED DOCUMENTS

    

    The
      only
      particulars in which the (a) Form of Neoprobe Corporation Replacement Series
      A
      Convertible Promissory Note and (b) Form of Neoprobe Corporation Replacement
      Common Stock Purchase Warrant filed with the Current Report on Form 8-K dated
      December 4, 2006, differ materially from the omitted instruments are the names
      of the holders of the warrants, the number of shares of common stock for which
      the warrants are exercisable, the names of the holders of the notes and the
      principal amounts of the notes, which information is included in the following
      tables:

    

    (a)
      Neoprobe Corporation Replacement Series A Convertible Promissory
      Notes

    

    
      	
              HOLDER

               

            	
              PRINCIPAL
                AMOUNT

            
	
               

              Biomedical
                Value Fund, L.P.

            	
               

              $4,400,000

            
	
               

              Biomedical
                Offshore Value Fund, Ltd.

            	
               

              $3,600,000

            
	
               

              David
                C. Bupp

            	
               

              $100,000

            

    

    

    (b)
      Neoprobe Corporation Replacement Common Stock Purchase Warrants

    

    
      	
              HOLDER

               

            	
              WARRANT
                SHARES

            
	
               

              Biomedical
                Value Fund, L.P.

            	
               

              5,500,000

            
	
               

              Biomedical
                Offshore Value Fund, Ltd.

            	
               

              4,500,000

            
	
               

              David
                C. Bupp

            	
               

              125,000

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00114-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00114-of-00352.parquet"}]]