Document:

EXHIBIT 4.4

 

AMENDED AND RESTATED STOCKHOLDERS’ AGREEMENT dated as of March 29, 2007, among NEXSAN CORPORATION, a Delaware corporation (the “Corporation”),
the Series C Investors (as defined herein), the Series A Investors
(as defined herein), the Evertrust Stockholder and those Prior Stockholders (as
defined herein) that shall have executed and delivered a counterpart of this
Agreement or the Original Agreement (as defined herein).

 

PREAMBLE

 

It is deemed to be in the
best interest of the Corporation, the Series C Investors (as defined
herein), the Series A Investors (as defined herein), the Evertrust
Stockholder (as defined herein) and the Prior Stockholders (as defined herein)
to amend and restate the Stockholders Agreement dated as of October 27,
2003 among the Corporation, the Series A Investors and the Prior
Stockholders, as amended on March 24, 2005 (the “Original Agreement”)
in connection with the issuance of the Corporation’s Series C Preferred
Shares (as defined herein) to the Series C Investors.

 

WHEREAS, the Corporation has entered into a Series C
Preferred Stock Purchase Agreement (as defined herein) pursuant to which the Series C
Investors have acquired Series C Preferred Shares;

 

WHEREAS, as a condition to Closing (as such term
is defined in the Series C Preferred Stock Purchase Agreement), the
parties hereto need to enter into and execute this amended and restated
Stockholders’ Agreement;

 

WHEREAS, Section 5.7 of the Original
Agreement provides that it may be amended pursuant to a writing signed by (i) the
Corporation, (ii) the holders of at least a majority of the then
outstanding Series A Preferred Stock (as defined herein), and (iii) the
holders of at least a majority of the Common Stock held by the Prior
Stockholders (the “Requisite Stockholders”).

 

ACCORDINGLY, in consideration of the mutual covenants
and agreements contained in this Agreement, the sufficiency of which is hereby
acknowledged, the parties agree as follows:

 

ARTICLE
1

DEFINITIONS; RULES OF CONSTRUCTION

 

The following terms have the following meanings:

 

“Affiliate” has the meaning ascribed to it in Rule 12(b)(2) promulgated
under the Exchange Act.

 

“Beechtree” means Beechtree Capital, LLC.

 

 

“Board” means the Board of Directors of the
Corporation.

 

“Business Day” means a day when banks are not
required or permitted to close in the State of New York or in the Province of
Québec, Canada.

 

“Common Stock” means the Common Stock, $.001
par value per share, of the Corporation.

 

“Equity Securities” means all shares of capital
stock of the Corporation, all securities convertible into or exchangeable for
shares of capital stock of the Corporation, and all options, warrants, and
other rights to purchase or otherwise acquire from the Corporation shares of
such capital stock.

 

“Evertrust” means AESign Evertrust Inc.

 

“Evertrust Stockholder” means each Person that
acquired shares of Common Stock or securities convertible into or exchangeable
for Common Stock in connection with the acquisition of Evertrust by the
Corporation and listed on Schedule C.

 

“Evertrust Stockholder Share” means the shares
of the Corporation’s Series B Preferred Stock, $.001 par value per share.

 

“Exchange Act” means the Securities Exchange
Act of 1934, as amended.

 

“First Gen” means First Gen-E Servicios de
Consultoria SA.

 

“Fonds” means Fonds de solidarite des
travailleurs du Quebec (F.T.Q.).

 

“Fonds Director” has the meaning referred to in
Section 2.1(b)(v).

 

“Future Stockholder” has the meaning set forth
in Section 3.1.

 

“GAAP” means generally accepted accounting principles
in the United States of America.

 

“Governmental Authority” means any federal,
state, provincial, municipal, foreign or other government, governmental
department, commission, board, bureau, agency or instrumentality, or any court
or tribunal.

 

“Group” means:

 

(i)                                     in the case of any Stockholder who is an
individual, (i) such
Stockholder, (ii) the spouse and lineal descendants of such Stockholder,
and (iii) all trusts, partnerships or similar entities principally owned
by and/or for the benefit of any of the foregoing;

 

(ii)                                  in the case of any Stockholder that is a
partnership, (i) such
Stockholder, (ii) its limited and general partners, (iii) any Person
to which such Stockholder shall Transfer all or substantially all of its
assets, and (iv) all affiliates of such Stockholder; and

 

2

 

(iii)                               in the case of any Stockholder that is a corporation
or a limited liability company, (i) such Stockholder, (ii) its
stockholders, (iii) any Person to which such Stockholder shall Transfer
all or substantially all of its assets, and (iv) all affiliates of such
Stockholder.

 

“Legal Requirement” means, as to any person or
entity, all provisions of laws, statutes, ordinances, rules, regulations,
permits; certificates or orders of any Governmental Authority applicable to
such person or entity or any of its properties or assets, and all judgments,
injunctions, citations, orders and decrees of all courts and arbitrators in
proceedings or actions in which the person or entity in question is a party or
by which any of its assets or properties is bound.

 

“Liquidation” has the meaning ascribed to such
term in the Restated Certificate of Incorporation.

 

“Minimum Required Stockholders” has the meaning
set forth in Section 5.7.

 

“New Securities” means all Equity Securities
other than securities listed in sub-clauses (a) through (g) of the
definition of Excluded Stock as such term is defined in the Restated
Certificate of Incorporation, and Equity Securities which holders of (i) at
least two-thirds (2/3) of the then outstanding Series A Preferred Shares
and Series C Preferred Shares, voting together as a single class and (ii) a
majority of shares held by the Schedule 3.6 Stockholders, voting as a
separate class, agree in writing will not constitute New Securities.

 

“Nexsan Canada” means Nexsan Technologies
Canada Inc.

 

“Permits” means all franchises, permits,
licenses and similar authority necessary for the conduct of the business of the
Company and its Subsidiaries as currently conducted, the lack of which could
have a material adverse effect on the business, operations, properties, assets
or condition (financial or otherwise) of the Corporation and its Subsidiaries.

 

“Permitted Transferee” means (i) in the
case of a Stockholder who is an individual, such Stockholder’s ancestors,
descendants or spouse, or any custodian or trustee for the account of such
Stockholder (or for the account of such Stockholder’s ancestors, descendants or
spouse), (ii) in the case of a Stockholder which is a partnership or a
limited liability company, any constituent partner or member or former partner
or member thereof or any affiliates of such Stockholder, (iii) in the case
of a Stockholder which is a corporation, any parent corporation or wholly-owned
subsidiary corporation of such corporation or any affiliates of such
Stockholder, in each case (a) who or which is not a competitor of the
Corporation as determined by the Board in good faith, including the affirmative
vote or consent of at least two (2) of the three (3) Series A
Directors, and (b) who or which agrees in writing to be bound by and
comply with the terms of this Agreement as if such transferee were originally a
Stockholder hereunder (which agreement shall be in form and substance
reasonably satisfactory to the Corporation), and (iv) in the case of
Fonds, in addition to (iii), any regional solidarity fund, specialized fund or
other investment fund forming part of the Fonds’ network.

 

3

 

“Person” is construed broadly and includes an
individual, a partnership, a corporation, an association, a joint stock
company, a limited liability company, a trust, a joint venture, an
unincorporated organization and any other entity and a governmental entity,
regulatory authority or any department, agency or political subdivision
thereof.

 

“Prior Stockholders” means the Evertrust
Stockholder and the Persons listed on Schedule A hereto, each of whom holds
shares of Common Stock or options, warrants or other similar rights convertible
into or exercisable or exchangeable for shares of Common Stock, and any
transferee thereof; provided, however, that no Person shall be deemed a Prior
Stockholder hereunder unless such Person shall have executed and delivered a
counterpart of the Original Agreement or this Agreement.

 

“Prior Stockholders’ Shares” means all shares
of Common Stock of the Corporation held at any time during the term of this
Agreement by the Prior Stockholders.

 

“Proceedings” means any action, suit, claim,
proceeding or investigation at law or in equity or by or before any
Governmental Authority or other agency.

 

“Pro Rata Amount” means, with respect to any
Stockholder or any subgroup of Stockholders, the quotient obtained by dividing (i) the
number of shares of Common Stock held by a Stockholder by (ii) the
aggregate number of outstanding shares of Common Stock held by all such
Stockholders or subgroup of Stockholders, assuming in each case the conversion,
exercise or exchange of all securities by their terms convertible into or
exercisable or exchangeable for shares of Common Stock at their then applicable
conversion ratio.

 

“Qualified Public Offering” means the first
underwritten public offering for the account of the Corporation pursuant to a
registration statement filed on Form S-1 (or its successor form) under the
Securities Act of 1933, as amended, which results in aggregate proceeds
(inclusive of underwriting discounts and commissions) of not less than fifty
million dollars ($50,000,000) at a per share price greater than four (4) times
the Series C Purchase Price (as defined in the Restated Certificate of
Incorporation).

 

“Restated Certificate of Incorporation” means
the Corporation’s Second Amended and Restated Certificate of Incorporation.

 

“RRE” means RRE Ventures III, L.P., a Delaware
limited partnership, RRE Ventures Fund III, L.P., a Cayman Islands limited
partnership and RRE Ventures III-A, L.P., a Delaware limited partnership,
collectively.

 

“Schedule 3.6 Stockholders” has the meaning set
forth in Section 3.6.

 

“Series A Directors” means collectively
the VantagePoint Directors and the RRE Director.

 

“Series A Investors” means the Persons
listed on Schedule B hereto and any other holder of shares of the Series A
Convertible Preferred Stock (including shares of Common Stock issued upon the
conversion thereof).

 

4

 

“Series A Preferred Shares” means all
shares of Series A Preferred Stock held at any time during the term of
this Agreement by the Series A Investors.

 

“Series A Preferred Stock” means the
Corporation’s Series A Convertible Preferred Stock, $0.001 par value.

 

“Series A Preferred Stock Purchase Agreement”
means the Series A Preferred Stock Purchase Agreement dated as of October 27,
2003 among the Corporation and the investors listed therein, as amended by the Series A
Modification Agreement dated March 29, 2007 among the Corporation and the Series A
Investors named therein.

 

“Series C Investors” means the Persons
listed on Schedule D hereto and any other holder of Series C
Convertible Preferred Shares (including shares of Common Stock issued upon
conversion thereof).

 

“Series C Preferred Shares” means all
shares of Series C Preferred Stock held at any time during the term of
this Agreement by the Series C Investors.

 

“Series C Preferred Stock” means the
Corporation’s Series C Convertible Preferred Stock, $0.00001 par value.

 

“Series C Preferred Stock Purchase Agreement”
means the Subscription Agreement, dated as of the date hereof, by and among the
Corporation and the investors listed therein.

 

“Shares” means all Series C Preferred
Shares, Evertrust Stockholder Share and Series A Preferred Shares and all
Prior Stockholders’ Shares.

 

“Stockholders” means the Series C
Investors, the Evertrust Stockholder, the Series A Investors, the Prior
Stockholders and any Future Stockholders who hold or then hold one percent (1%)
or more of the Equity Securities.

 

“Subsidiary” means each subsidiary of the
Corporation as set forth in Schedule E. 
“Termination Date” means the date of consummation of a Qualified Public
Offering.

 

“Termination Date” means the date of
consummation of a Qualified Public Offering.

 

“Third Party” means, with respect to any
Stockholder, any Person that is not (i) the Corporation or (ii) a
member of the Group of such Stockholder.

 

“Transfer” means to sell, transfer, assign,
pledge, hypothecate or otherwise dispose of, either voluntarily or
involuntarily and with or without consideration, including transfer by
operation of law.

 

“VantagePoint” means VantagePoint Venture
Partners IV (Q), L.P., VantagePoint Venture Partners IV, L.P., VantagePoint
Venture Partners IV Principals Fund, L.P., each a Delaware limited partnership,
collectively.

 

5

 

ARTICLE 2

BOARD REPRESENTATION

 

2.1                               Board Representation.

 

(a)                                  The Corporation and the Stockholders
shall take such corporate actions as may be reasonably required to ensure that (i) the
number of directors constituting the Board is at all times eight (8), and (ii) the
presence of five (5) directors is required to constitute a quorum of the
Board.

 

(b)                                 Subject to the terms of this Agreement:

 

(i)                                     So long as VantagePoint (or its
Affiliates) hold at least twenty percent (20%) of the Series A Preferred
Shares originally issued to it (appropriately adjusted to reflect stock splits,
stock dividends, reorganizations, capitalization changes and like events),
VantagePoint shall have the right to designate two (2) members of the
Board (the “VantagePoint Directors”) (who shall initially be David Fries
and Geoff Mott).  In the event that
VantagePoint or its Affiliates hold less than twenty percent (20%) of the Series A
Preferred Shares originally issued to it, the directors that would otherwise be
designated by VantagePoint pursuant to this Section (b)(i) shall be
designated by the holders of Series C Preferred Shares, Series A
Preferred Shares and the shares of Common Stock then outstanding voting
together as a single class on an as-if converted basis.

 

(ii)                                  So long as RRE (or its Affiliates) hold
at least twenty percent (20%) of the Series A Preferred Shares originally
issued to it (appropriately adjusted to reflect stock splits, stock dividends,
reorganizations, capitalization changes and like events), RRE shall have the
right to designate one (1) member of the Board (the “RRE Director”)
(who shall initially be Richard McGinn). 
In the event that RRE or its Affiliates hold less than twenty percent
(20%) of the Series A Preferred Shares originally issued to it, the
director that would otherwise be designated by RRE pursuant to this Section (b)(ii) shall
be designated by the holders of Series C Preferred Shares, Series A
Preferred Shares and shares of Common Stock then outstanding voting together as
a single class on an as-if converted basis.

 

(iii)                               So long as Beechtree (or its Affiliates)
holds at least twenty percent (20%) of the shares of Common Stock originally
issued to it (appropriately adjusted to reflect stock splits, stock dividends,
reorganizations, capitalization changes and like events), Beechtree shall have
the right to designate one (1) member of the Board (the “Beechtree
Director”).  In the event Beechtree
or its Affiliates holds less than twenty percent (20%) of the shares of Common
Stock originally issued to it, the director that would otherwise be designated
by Beechtree pursuant to this Section (b)(iii) shall be designated by
the holders of Series C Preferred Shares, Series A Preferred Shares
and holders of shares of Common Stock then outstanding voting together as a
single class on an as-if converted basis.

 

6

 

(iv)                              So long as First Gen (or its Affiliates)
holds at least (a) twenty percent (20%) of the sum of shares of Common
Stock or (b) twenty percent (20%) of Series A Preferred Shares
originally issued to it (appropriately adjusted to reflect stock splits, stock
dividends, reorganizations, capitalization changes and like events), First Gen
shall have the right to designate two (2) members of the Board (the “First
Gen Director”).  In the event First
Gen or its Affiliates holds less than (a) twenty percent (20%) of the
shares of Common Stock, or (b) twenty percent (20%) of Series A
Preferred Shares originally issued to it, the directors that would otherwise be
designated by First Gen pursuant to this Section (b)(iv) shall be
designated by the holders of Series C Preferred, Series A Preferred
Shares and the holders of shares of Common Stock then outstanding voting
together as a single class on an as-if converted basis.

 

(v)                                 Fonds shall have the right to (A) for
so long as Fonds (or its Affiliates) holds at least twenty percent (20%) of the
Series C Preferred Shares originally issued to it (appropriately adjusted
to reflect stock splits, stock dividends, reorganizations, capitalization
changes and like events), designate one (1) member of the Board (the “Fonds
Director”) and (b) for so long as Fonds holds any Series C
Preferred Shares, appoint one (l) observer to the Board who shall have the
right to receive notice of and attend the meetings of the Board and who shall
have the right to address the Board at any of its meetings.  In the event Fonds or its Affiliates holds
less than twenty percent (20%) of the Series C Preferred Shares originally
issued to it, the director that would otherwise be designated by Fonds pursuant
to this Section (b)(iv) shall be designated by the holders of Series C
Preferred Shares, Series A Preferred Shares and the holders of shares of
Common Stock then outstanding voting together as a single class on an as-if
converted basis.

 

(vi)                              One (1) member of the Board shall be
the then current Chief Executive Officer of the Corporation (the “CEO Director”).

 

(vii)                           In the event that (A) the entire
Board is comprised of an even number of directors and (B) at a meeting at
which all directors are present, there are an equal number of votes cast for
and against any proposed action by the Board (a “Deadlock”), then,
subject to applicable provisions of the Delaware General Corporation Law, the
decision of the Board on the matter giving rise to the Deadlock shall be made
as follows: (1) each of the Fonds Director, the Beechtree Director and one
of the Series A Directors (who shall be designated by the Series A
Directors as the “Deadlock Director”) shall be entitled to a second vote
on the matter and (2) approval of the matter giving rise to the Deadlock
shall require six (6) of the eleven (11) votes cast.

 

7

 

(c)                                  Each designation or any proposal to
remove from the Board any director shall be made by delivering to the
Corporation a notice signed by the party or parties entitled to such
designation or proposal.  As promptly as
practicable, but in any event within ten (10) days, after delivery of such
notice, the Secretary of Corporation shall take or cause to be taken such
corporate actions as may be reasonably required to cause the election or
removal proposed in such notice.  Such
corporate actions shall include calling a meeting or soliciting a written
consent of the Board, and calling a meeting or soliciting a written consent of
stockholders.  If such meeting or written
consent of the Board and stockholders shall not be called or obtained by the
Secretary of the Corporation within 10 days, then any director may call such
meeting or take steps to obtain such written consent at the expense of the
Corporation.

 

2.2                               Voting Agreement.

 

Each Stockholder shall vote all Shares held by such
Stockholder for the election to the Board of all individuals designated in
accordance with Section 2.1 and for the removal from the Board of all
directors proposed to be removed in accordance with Section 2.1.  Each Stockholder shall use all reasonable
efforts to cause each director originally nominated by such Stockholder to vote
for the election to the Board of all individuals designated in accordance with Section 2.1.

 

2.3                               Vacancy; Interim Director.

 

The Corporation shall notify each Stockholder of the
occurrence of any vacancy in any seat of the Board.  A vacancy in any directorship (i) designated
by VantagePoint shall be filled only by VantagePoint as provided in Section 2.1(b)(i) above,
(ii) designated by RRE shall be filled only by RRE as provided in Section 2.1(b)(ii) above,
(iii) designated by Beechtree shall be filled only by Beechtree as
provided in Section 2.1(b)(iii) above, (iv) designated by First
Gen shall be filled only by First Gen as provided in Section 2.1(b)(iv) above
and (v) designated by Fonds shall be filled only by Fonds as provided in Section 2.1(b)(v) above.  The Stockholders entitled to nominate a
successor to fill such vacancy shall do so within thirty (30) days after
delivery of such notice.

 

2.4                               Committees; Subsidiaries.

 

(a)                                  The Corporation shall ensure that the
Board has at all times (i) a compensation committee and (ii) an audit
committee.  The audit committee shall
consist of four (4) directors, which will include a designee of each of
Vantage Point, Beechtree, the Fonds and First Gen., and the compensation
committee shall consist of five (5) directors, which will include a designee of
each of VantagePoint, RRE, Beechtree, the Fonds and First Gen.  Additionally, Fonds shall have the right to
appoint one (1) observer to each of the compensation committee and audit
committee, and any other committee created by the Board, who shall have the
right to receive notice of and attend the meetings and who shall have the right
to address each such committee.

 

8

 

(b)                                 The Corporation shall take, and each
Stockholder shall use all reasonable efforts to cause each director of the
Corporation originally nominated by such Stockholder to cause the Corporation
to take, such corporate actions as may be reasonably required to ensure that
the board of directors of each Subsidiary of the Corporation (other than the
board of directors of Nexsan Canada) is comprised of two (2) directors,
one of which shall be a designee of VantagePoint (or its Affiliates), who shall
initially be David Fries, and the other shall be the Chief Executive Officer of
the Corporation.  The board of directors
of Nexsan Canada shall be comprised of not less than three (3) nor more
than five (5) directors, one of which shall be a designee of VantagePoint,
who shall initially be Geoff Mott, one of which shall be the Chief Executive
Officer of the Corporation, and, if so requested by the Fonds, one of which
shall be designated by the Fonds.

 

2.5                               Meetings; Expenses; Compensation.

 

(a)                                  The Corporation shall convene meetings of
the Board at least once every three (3) months.  Upon any failure by the Corporation to
convene any meeting required by this paragraph, any director shall be empowered
to convene such meeting.

 

(b)                                 The Corporation shall notify each of the
directors and observer on the Board of a meeting of the Board in accordance
with the provisions of the by-laws of the Corporation.  The Corporation shall reimburse each director
and observer who is not an employee of the Corporation for his or her
reasonable travel and reasonable out-of-pocket expenses incurred in connection
with the attendance at meetings of the Board or any committee thereof or the
performance of his or her other duties as a director.

 

(c)                                  The Corporation shall reimburse the Fonds
Director or any other representative of the Fonds for his or her reasonable
travel and reasonable out-of-pocket expenses to attend one trade show per year.

 

ARTICLE
3

CERTAIN RIGHTS AND RESTRICTION WITH

RESPECT TO THE SHARES

 

3.1                               Future Stockholders.

 

The Corporation shall require each Person that
acquires Equity Securities entitling them either directly or indirectly to hold
more than one percent (1%) of the Common Stock of the Corporation (on a
fully-diluted basis) after the date hereof (a “Future Stockholder”), as
a condition to the effectiveness of such acquisition, to execute a counterpart
to this Agreement, agreeing to be treated as a Prior Stockholder, if such
Person acquires Equity Securities from a Prior Stockholder, agreeing to be
treated as a Series A Investor if such Person acquires Equity Securities
from a Series A Investor or agreeing to be treated as a Series C
Investor if such Person acquires Equity Securities from a Series C
Investor, whereupon such Person shall be bound by, and entitled to the benefits
of, the provisions of this Agreement relating to such Prior Stockholder, Series A
Investor or Series C Investor, as the case may be.

 

9

 

 

3.2                               Limitations on Transfers.

 

(a)                                  Subject to the compliance with the other
terms and conditions of this Article 3, no Transfer of any Shares by any
Stockholder shall become effective unless and until the transferee (the “Transferee”)
(unless already subject to this Agreement) executes and delivers to the
Corporation a counterpart to this Agreement, agreeing to be treated in the same
manner as the transferring stockholder (the “Transferring Stockholder”)
(i.e., as either a Series C Investor, Series A Investor or
Prior Stockholder).  Upon such Transfer
and such execution and delivery, the Transferee shall be bound by and entitled
to the benefits of this Agreement with respect to the Transferred Shares in the
same manner as the Transferring Stockholder. 
No Stockholder shall Transfer any Shares to an entity that the Board
determines in good faith to be a competitor of the Corporation without the
prior written approval of a majority of the Board, including the affirmative
vote or written consent of at least two (2) Series A Directors and
the Fonds Director.  Any Transfer of
Shares by any Stockholder not in accordance with this paragraph shall be void.

 

(b)                                 Notwithstanding anything to the contrary
herein, the Evertrust Stockholder Shares held by Thomas F. Gosnell may not be
Transferred except pursuant to that certain Exchange Agreement dated March 24,
2005, between 6360319 Canada Inc., 6360246 Canada Inc., and Thomas F. Gosnell.

 

(c)                                  No Stockholder (other than a holder of Series A
Preferred Shares and Series C Preferred Shares) shall be permitted to
Transfer any Equity Securities in connection with a Liquidation unless all of
the holders of Series C Preferred Shares and Series A Preferred
Shares receive the amounts payable in accordance with the Restated Certificate
of Incorporation in connection with a Liquidation.

 

3.3                               Right of First Offer.

 

(a)                                  Subject to Section 3.3(i), before
any Shares may be Transferred, by any Stockholder or any of their respective
transferees (provided that in each case such transferee shall have agreed in
writing to be bound by and comply with the provisions of this Agreement
affecting the Shares so transferred) (a “Selling Stockholder”), such
Shares shall be first offered as set forth in this Section 3.3.

 

(b)                                 The Selling Stockholder shall deliver a
notice (the “Stockholder Notice”) to the Corporation stating (A) such
Selling Stockholder’s bona fide intention to Transfer such Shares, (B) the
number of such Shares to be Transferred, and (C) the price for which such
Selling Stockholder proposes to Transfer such Shares.

 

(c)                                  Within fifteen (15) days after receipt of
the Stockholder Notice, the Corporation shall deliver to the Selling
Stockholder and the other Stockholders a notice (the “Corporation Notice”),
together with a copy of the Stockholder Notice, stating the number of Shares
the Corporation elects to purchase, if any.

 

10

 

(d)                                 If the Corporation has elected to
purchase less than all of the Shares set forth in the Stockholder Notice, the
Stockholders (other than the Selling Stockholder) shall have the right to
purchase the remaining available Shares (the “Remaining Shares”) at the
price set forth in the Stockholder Notice. 
Such right shall be exercisable by such Stockholders on a pro rata basis, based on the number of shares of Common
Stock then held by such Stockholders (assuming the conversion of Series A
Preferred Stock and Series C Preferred Stock, as applicable) in relation
to the number of shares of Common Stock then held by all Stockholders other
than the Selling Stockholder (assuming the conversion of Series A
Preferred Stock and Series C Preferred Stock, as applicable).  Such right shall be exercised by delivery of
a written notice to the Corporation and the Selling Stockholder within
forty-five (45) days following delivery of the Corporation Notice, stating the
number of Shares to be purchased.

 

(e)                                  In the event the Stockholders do not
exercise their purchase option within such forty-five (45) day period with
respect to all of the Remaining Shares, the Secretary of the Corporation shall,
within two (2) business days following expiration of such period, give
written notice of that fact to all the Stockholders who or which exercised
their purchase option within the forty-five (45) day period specified in Section 3.3(d) (the
“Second Stockholder Notice”).  The
Second Stockholder Notice shall specify the number of Remaining Shares not
purchased by the Stockholders (the “Final Remaining Shares”), and such
Stockholders who exercised their purchase option within the forty-five (45) day
period specified in Section 3.3(d) shall have an additional option,
for a period of ten (10) days following receipt of the Second Stockholder
Notice to purchase (on a pro rata basis) all or any part of the balance of the
Final Remaining Shares on the terms and conditions set forth in the Stockholder
Notice, which option shall be exercised by the delivery of written notice to
the Secretary of the Corporation within such ten (10) day period.

 

(f)                                    The closing of the purchase of Shares by
the Corporation and/or the Stockholders pursuant to this Section 3.3 shall
be effected at the offices of the Corporation (or such other place as may be
agreed upon in writing by the parties) (i) if the Corporation has elected
to purchase all of the Shares proposed to be sold by the Selling Stockholder,
on the fifth business day following delivery of the Corporation Notice and (ii) if
the Corporation has elected to purchase less than all of the Shares proposed to
be sold by the Selling Stockholder, on the fifth business day following
expiration of the forty-five (45) day period described in the preceding
paragraph (d) or, if applicable, the ten (10) day period described in
the preceding paragraph (e).  Delivery of
certificates duly endorsed for transfer or accompanied by a duly executed stock
power shall be made against receipt of the purchase price therefor, as
specified in the Stockholder Notice, payable by certified or cashier’s check or
wire transfer to an account designated by the Selling Stockholder.

 

11

 

(g)                                 If all of the Shares are not elected to
be purchased by the Corporation and/or the Stockholders, as provided in this Section 3.3,
the Selling Stockholder may Transfer the balance of the Shares to any person
named in the Stockholder Notice at the price specified therein or at a higher
price at any time within ninety (90) days of the date of the Corporation
Notice; provided, however, that any such sale is in accordance
with the terms and conditions hereof Any Transfer after such ninety (90) day
period or on terms more favorable to the proposed Transferee than described in
the Stockholder Notice shall be subject again to this Section 3.3.

 

(h)                                 The Corporation shall not be required (i) to
transfer on its books any Shares which shall have been Transferred in violation
of any of the provisions set forth in this Section 3.3 or (ii) to
treat as owner of such Shares, or to accord the right to vote or receive
dividends as such owner, any Transferee to whom such Shares shall have been so
transferred.

 

(i)                                     Notwithstanding anything contained herein
to the contrary, the provisions of this Section 3.3 shall not apply to a
Transfer of any Shares by a Stockholder to any Permitted Transferee.

 

(j)                                     The right of first offer set forth in Section 3.3
shall be binding upon any transferee of Shares acquired in a transaction which
complies with this Section 3.3. 
Prior to consummation of such transfer, each such transferee or its
legal representative shall execute and deliver documents in form and substance
reasonably satisfactory to the Corporation assuming the rights and obligations
of a Stockholder under this Agreement with respect to the transferred Shares.

 

(k)                                  The right of first offer set forth in
this Section 3.3 may be waived by the written consent of the holders of (i) at
least seventy percent (70%) of the then outstanding shares of Common Stock
(assuming the conversion of the Series C Preferred Shares and the Series A
Preferred Shares into Common Stock, if applicable) held by all Stockholders and
(ii) at least fifty percent (50%) of the then outstanding shares of Series C
Preferred Stock.

 

(l)                                     Notwithstanding anything in this Section 3.3
to the contrary, the right of first offer set forth in this Section 3.3
shall terminate on the Termination Date.

 

3.4                               Co-Sale Rights.

 

(a)                                  If any Person listed on Schedule 3.4
attached hereto (the “Schedule 3.4 Stockholder”) proposes to Transfer
any Shares to any Third Party, such Schedule 3.4 Stockholder shall,
at least forty-five (45) days before such Transfer, deliver a notice (the “Sale
Notice”) to the Corporation, the Series A Investors and the Series C
Investors specifying the identity of the Third Party and disclosing in
reasonable detail the terms and conditions of the proposed Transfer including
whether the offer to purchase such shares is irrevocable for a period of at
least forty-five (45) days.  The Schedule
3.4 Stockholder proposing to Transfer such Shares shall not consummate the
Transfer until forty-five (45) days after the Sale Notice has been given to the
Corporation, the Series A Investors and the Series C Investors,
unless the Corporation and the holders of at least a majority of then outstanding
(i) the Series C Preferred Shares, voting as a separate class and (ii) the
Series A Preferred Shares, voting as a separate class, consent in writing
to an earlier consummation of the proposed Transfer.

 

12

 

(b)                                 Within forty-five (45) days after
delivery of the Sale Notice, each Series C Investor and Series A
Investor may elect to participate in the proposed Transfer by delivering to
such Schedule 3.4 Stockholder a notice (the “Tag-Along Notice”)
specifying the number of Shares with respect to which such Series C Investor
or Series A Investor exercises its, his or her right under this Section.

 

(c)                                  Any Shares requested to be included in
any Tag-Along Notice shall be Transferred on the same terms and conditions as
the Shares being Transferred by the Schedule 3.4 Stockholder who made
the Sale Notice; provided, however, that in no event shall a Series C
Investor or a Series A Investor be required to participate in the proposed
Transfer if such Schedule 3.4 Stockholder does not so participate.

 

(d)                                 Each Series C Investor and Series A
Investor shall be entitled to Transfer up to a number of Shares equal to his,
her or its Pro Rata Amount of the aggregate number of Shares set forth in the
Sale Notice.

 

(e)                                  Anything contained herein to the contrary
notwithstanding, but subject to Section 3.2, the Schedule 3.4
Stockholders shall, in addition to complying with the provisions of this Section 3.4,
comply with the provisions of Section 3.3, prior to Transferring any
Shares to a Third Party.

 

(f)                                    Anything contained herein to the contrary
notwithstanding, if the Corporation or one or more Series C Investors or Series A
Investors purchase all or a portion of the Shares that is the subject of Section 3.3,
then the Shares so purchased by either the Corporation or such Series C
Investors or Series A Investors shall not be subject to the provisions of
this Section 3.4.

 

(g)                                 If the Third Party specified in the Sale
Notice is unwilling or unable to acquire all of the Shares that are identified
in the Tag-Along Notices that have been timely given, the Third Party may then
elect to either (i) cancel the proposed Transfer, (ii) purchase from
each Series C Investor or Series A Investor which or who has given a
timely Tag-Along Notice all of the Shares identified in such Tag-Along Notice
on the same terms and conditions as the Schedule 3.4 Stockholder is
Transferring its Shares to the Third Party or (iii) allocate to the Schedule
3.4 Stockholder and to each Series C Investor or Series A
Investor which or who has given a timely Tag-Along Notice such Pro Rata Amount
of the aggregate number of Shares that the Third Party is willing to purchase.

 

3.5                               Drag Along Rights.

 

(a)                                  If the holders of at least a 662/3%  of the then
outstanding shares of Common Stock (assuming the conversion of the Series A
Preferred Stock and the Series C Preferred Stock) (collectively, the “Initiating
Stockholders”) should propose to 

 

13

 

Transfer all or substantially all of the securities
that they own to any Third Party in a bona fide, arms-length transaction
approved by a majority of the Board, including through a stock sale or merger,
which values the Corporation at least $100,000,000 (a “Sale of the
Corporation”), the Initiating Stockholders may, at their option, require
all but not less than all of the other Stockholders (the “Other Stockholders”)
to participate in such Transfer; provided, however, that such Other
Stockholders shall only be required to sell their capital stock of a particular
class or series at the same price (on an as converted basis) and on the same
terms and conditions pursuant to which all other shares of such class or series
of capital stock are proposed to be sold in such Sale of the Corporation.  In addition, in connection with any such Sale
of the Corporation, the Other Stockholders agree to execute any documentation,
and to take any additional measures reasonably required, to effect the waiver
of all dissenters’ or appraisal rights under the Delaware General Corporation
Law.

 

(b)                                 The Initiating Stockholders shall provide
written notice of such Sale of the Corporation to the Other Stockholders (a “Sale
Notice”) and a draft of the agreement pursuant to which such shares are
proposed to be Transferred (the “Sale Agreement”), The Sale Notice shall
state (i) the Initiating Stockholders’ bona fide intention to sell, (ii) the
name and address of the prospective transferee(s), (iii) the number of
shares to be sold, (iv) the terms and conditions (including price) of the
contemplated sale, and (v) the expected closing date of the
transaction.  Each Other Stockholder
shall be required as appropriate to participate in the Sale of the Corporation
on the terms and conditions set forth in the Sale Notice and to tender at least
the same percentage of its shares that will be sold by the Initiating
Stockholders.  The price of such Sale of
the Corporation shall be the price set forth in the Sale Notice.  In furtherance of, and not in limitation of,
the foregoing, in connection with the Sale of the Corporation, each Other
Stockholder will cooperate in good faith with such Initiating Stockholders by
facilitating the Sale of the Corporation by such Other Stockholder.

 

(c)                                  Within fifteen (15) days following the
receipt of the Sale Notice, each of the Other Stockholders shall deliver to a
representative of the Initiating Stockholders designated in the Sale Notice
certificates representing all securities held by such Other Stockholders duly
endorsed, together with any other documents reasonably required to be executed
in connection with such Sale of the Corporation or, if such delivery is not
permitted by applicable law, an unconditional agreement to deliver such
securities pursuant to this Section 3.5 at the closing for such Sale of
the Corporation against delivery to such Other Stockholder of the consideration
therefor.  If any Other Stockholder
should fail to deliver such certificates to the Initiating Stockholders, the
Corporation shall cause its books and records to show that such securities are
bound by the provisions of this Section 3.5 and that such securities shall
be Transferred to the Third Party identified in the Sale Notice immediately
upon surrender for Transfer by the Other Stockholder thereof.

 

14

 

(d)                                 Promptly after the consummation of the
Sale of the Corporation pursuant to this Section 3.5, the Initiating
Stockholders shall give notice thereof to the Other Stockholders, shall remit
to each of the Other Stockholders who has surrendered its certificates the
total consideration for the securities of such Other Stockholder Transferred
pursuant hereto and, in any event, shall furnish such other evidence of the
completion and time of completion of such Transfer and the terms thereof as may
be reasonably requested by such Other Stockholder.  If within ninety (90) days after the
Initiating Stockholders give the Sale Notice, they have not completed the Sale
of the Corporation, the Initiating Stockholders shall, if applicable, return to
each of the Other Stockholders all certificates representing the Shares of such
Other Stockholders that such Other Stockholders delivered for Transfer pursuant
hereto, together with any documents in the possession of the Initiating
Stockholders executed by the Other Stockholders in connection with such proposed
transaction, and all the restrictions on transfer contained in this Agreement
applicable at such time with respect to the shares owned by the Other
Stockholders shall again be in effect.

 

(e)                                  Notwithstanding anything to the contrary
in Section 3.5, if a Qualified Public Offering or sale of the Corporation
(whether by way of a merger, consolidation or sale of all or substantially all
the assets of the Corporation or otherwise) has not occurred on or prior to the
fifth (5th) anniversary of the date hereof, the Initiating Stockholders may
elect to appoint or cause the Corporation to appoint, at the Corporation’s cost
and expense, an investment banker to effect the Sale of the Corporation.  If the Sale of the Corporation is structured
as a (i) merger or consolidation, then each Other Stockholder shall waive
any statutory or other dissenters’ rights, appraisal rights or similar rights
in connection with such merger or consolidation or (ii) sale of stock,
then each Other Stockholder shall agree to sell all of his, her or its Shares
and rights to acquire Shares on the terms and conditions specified in the Sale
Notice.  In connection with the Sale of
the Corporation pursuant to this Section 3.5(e), the provisions of Section 3.5(b) through
(d) shall apply to the same extent as it applies to the Sale of the
Corporation pursuant to Section 3.5(a).

 

3.6                               Preemptive Rights.

 

(a)                                  If the Corporation proposes to sell New
Securities to any Person, the Corporation shall, before such sale, deliver to
the Series C Investors, the Series A Investors and the Persons listed
on Schedule 3.6 attached hereto (collectively, the “Schedule 3.6
Stockholders”) an offer (the “Offer”) to issue to the Schedule
3.6 Stockholders New Securities upon the terms set forth in this
Section.  The Offer shall state that the
Corporation proposes to issue New Securities and specify their number and terms
(including purchase price).  The Offer
shall remain open and irrevocable for a period of thirty (30) days (the “Preemptive
Period”) from the date of its delivery.

 

(b)                                 Each Schedule 3.6 Stockholder may
accept the Offer for up to its Pro Rata Amount of New Securities by delivering
to the Corporation a notice (the “Purchase Notice”) within the
Preemptive Period.  The Purchase Notice
shall state the number (the “Preemptive Number”) of New Securities such Schedule
3.6 Stockholder desires to purchase, up to but not exceeding its Pro Rata
Amount.

 

15

 

(c)                                  The issuance of New Securities to the Schedule
3.6 Stockholders who delivered a Purchase Notice shall be made on a
business day, as designated by the Corporation, not less than five (5) and
not more than thirty (30) days after expiration of the Preemptive Period on
those terms and conditions of the Offer not inconsistent with this Section.

 

(d)                                 If the number of New Securities exceeds
the sum of all Preemptive Numbers, the Corporation may issue such excess or any
portion thereof on the terms and conditions of the Offer to any Person within
ninety (90) days after expiration of the Preemptive Period.  If such issuance is not made within such
ninety (90) day period, the restrictions provided for in this Section shall
again become effective.

 

(e)                                  The preemptive rights set forth in this Section 3.6
may be waived by the vote or the written consent of the holders of at least (i) a
majority of the then outstanding Series C Preferred Shares, (ii) a
majority of the then outstanding Series A Preferred Shares and (iii) a
majority of shares held by Schedule 3.6 Stockholders.

 

ARTICLE
4

COVENANTS

 

The Corporation shall observe and perform the
following covenants:

 

4.1                               Access to Records. 
The Corporation shall afford to the Stockholders and their authorized
employees, counsel, accountants and other representatives, upon reasonable notice
and during ordinary business hours and when convenient to both parties, (i) full
access at the Corporation’s and each Subsidiary’s offices to all of its books,
records and properties, and (ii) the opportunity at the Corporation’s and
each Subsidiaries’ offices to interview any officer of the Corporation or any
Subsidiary regarding its affairs.

 

4.2                               Budget. 
At least thirty (30) days before the beginning of each calendar year of
the Corporation, the Corporation shall deliver to (i) each Series C
Investor who has originally invested at least $1,000,000 to purchase shares of Series C
Preferred Stock and (ii) each Series A Investor who has originally
invested at least $1,000,000 to purchase shares of Series A Preferred
Stock under the Series A Preferred Stock Purchase Agreement and (iii) each
holder of Common Stock who makes a request therefor in writing (in the case of (ii) and
(iii) above, appropriately adjusted to reflect stock splits, stock
dividends, reorganizations, capitalization changes and like events), an annual
operations and capital expenditures budget, prepared on a monthly basis,
including balance sheets, sources.  and
application of funds statements for such months and profit and loss statements
for such months (the “Annual Budget”), in form, methodology, and level
of detail reasonably satisfactory to the Series C Investors and Series A
Investors.  Each of the Annual Budgets is
referred to herein as a “Budget”. 
The Corporation shall also provide upon request of the Series C
Investors or Series A Investors management projections on an annual basis
along with the delivery of the Annual Budget.

 

16

 

4.3                               Financial Reporting. 
The Corporation shall deliver to each Series C Investor who has
originally invested at least $1,000,000 to purchase shares of Series C
Preferred Stock and Series A Investor who has originally invested at least
$1,000,000 to purchase shares of Series A Preferred Stock under the Series A
Preferred Stock Purchase Agreement (appropriately adjusted to reflect stock
splits, stock dividends, reorganizations, capitalization changes and like
events) and to Prior Stockholders the following:

 

(a)                                  within thirty (30) business days after
the end of each month, commencing with the month ended March 31, 2007 (A) the
unaudited monthly balance sheet of the Corporation at the end of such month, (B) the
unaudited statements of income and cash flows of the Corporation for such
month, and (C) unaudited comparative statements of income of the
Corporation for the year to date and, in each case with comparisons to prior
periods in the prior year and the current Budget for such year, including any
revised projections;

 

(b)                                 within 180 days after the end of each
fiscal year of the Corporation, (A) the audited balance sheet of the
Corporation at the end of such fiscal year, together with comparisons to the
balance sheet of the Corporation at the end of the prior fiscal year and to the
current Budget, (B) the.  annual
audited consolidated statements of income and cash flows of the Corporation for
such fiscal year, and (C) an audit report of a nationally-recognized firm
of independent certified public accountants on such balance sheets and
statements as well as an auditor’s report with respect to any non-arm’s length
transactions; and

 

(c)           copies
of management letters or other written communications from the Corporation’s
external auditors.

 

All financial statements to be delivered under this Section shall
be in accordance with the books and records of the Corporation and shall have
been prepared in accordance with GAAP except that the unaudited financial
Statements may not be in accordance with GAAP because of the absence of
footnotes normally contained therein and are subject to normal year-end audit
adjustments which in the aggregate will not be material either individually or
in the aggregate.  At any time at which
the Corporation has any subsidiaries or controlled affiliates, all such
financial statements shall be the consolidated financial statements of the
Corporation and such subsidiaries and, if required by GAAP, such controlled
affiliates and non-consolidated financial statements of the Corporation.

 

4.4                               Payment of Obligations. 
The Corporation shall pay or discharge or cause to be paid or discharged
all material claims or demands, and all Taxes levied or imposed upon the
Corporation or any of its Subsidiaries or upon the income, profits or property
of the Corporation or any of its Subsidiaries; provided, however, that the
Corporation shall not be required to pay or discharge or cause to be paid or
discharged any such claim, demand, or Tax the amount, applicability or validity
of which is being contested in good faith by appropriate Proceedings and for
which adequate reserves have been made.

 

17

 

4.5                               Insurance. 
The Corporation shall, and shall cause each of its Subsidiaries to,
maintain with financially sound and reputable insurers such types of insurance
to such extent and against such hazards and liabilities, as is reasonable and
customary for similarly situated companies in the Corporation’s industry,
including without limitation, (i) to the extent available or at
commercially reasonable terms and at reasonable rates to be determined by the
Board, life insurance on the lives of each of Thomas Gosnell and Philip Black
in an amount of at least $1,000,000 per person and the owner and beneficiary of
each such insurance shall be the Corporation free and clear of all liens,
encumbrances or surety of any type (ii) insurance covering assets (iii) insurance
covering any loss of income in the event of business interruption regarding the
Corporation’s civil liability.  In
addition, the Corporation shall maintain directors’ and officers’ liability
insurance in an amount of at least $2,000,000, including a proper coverage in
case of insolvency of the Corporation, which shall be increased to at least
$10,000,000 prior to a Qualified Public Offering to the entire satisfaction of
the Fonds.  Upon receipt, the Corporation
shall send to the Fonds, any confirmation of renewal or non-renewal, as the
case may be, of any insurance policy of which the Corporation is a beneficiary.

 

4.6                               Invention Agreements and Related
Matters.  The Corporation shall use reasonable best
efforts to ensure that each future employee of the Corporation and each of its
Subsidiaries, who will have access to any of the trade secrets or any other
confidential information that is used in and material to the business, enters
into an invention assignment and confidentiality agreement substantially
similar in effect to the form currently used by the Corporation (attached
hereto as Exhibit A hereto), or in such other form as approved from time
to time by the Board of the Corporation.

 

4.7                               Notice of Certain Events. 
The Corporation shall promptly notify each Series C Investor who
has originally invested at least $1,000,000 to purchase shares of Series C
Preferred Stock and each Series A Investor who has originally invested at
least $1,000,000 to purchase shares of Series A Preferred Stock of (i) the
commencement of any Proceeding, against or affecting the Corporation or any of
its Subsidiaries, or the receipt by the Corporation or any Subsidiary of any
written notice, letter or other document advising the Corporation or such Subsidiary
of any violation of any law, regulation, policy or other requirement of any
Governmental Authority, or the occurrence of any event of default pursuant to a
contract to which the Corporation is a party, in each case which involves an
amount in excess of $100,000 or which would otherwise, if adversely determined,
reasonably be expected to materially and adversely affect the business,
operations, properties, assets or condition (financial or otherwise) of the
Corporation and its Subsidiaries, (ii) any material and adverse condition
affecting the Corporation, (iii) any default or potential default under
any indebtedness of the Corporation or any of its Subsidiaries involving an
amount in excess of $100,000, and (iv) changes in requirements for material
Permits or the permitting process related thereto.

 

4.8                               Conduct of Business. 
The Corporation shall, and shall cause each of its Subsidiaries to, (i) take
all actions required to assure that the Corporation and each of its
Subsidiaries remains duly organized, validly existing and in good standing
under the laws of the jurisdiction of its incorporation, (ii) take all
actions required to assure that the Corporation, and shall cause each of its
Subsidiaries to, maintains all requisite Permits to conduct its business, and (iii) conduct
its business in compliance with all Legal Requirements.

 

18

 

4.9                               Statutory Liabilities. 
At each meeting of the Board, the Chief Executive Officer or Financial
Officer shall provide a declaration regarding directors’ statutory liabilities
in the form attached hereto as Exhibit 4.9 as such form may be
reasonably amended from time to time by the Fonds.

 

4.10                        Other Information. 
The Corporation shall provide the Fonds with any document or information
reasonably required by the Fonds within a reasonable delay, depending on the
circumstances.

 

4.11                        Other Businesses. 
Neither the Corporation nor any of its Subsidiaries shall engage in any
business or activity, other than those currently conducted or those from time
to time included within the then current business plan of the Corporation as
approved by the Board, including at least five (5) directors.

 

4.12                        Employee Compensation. 
Except for salary increases, incentive compensation or bonuses
determined and granted or paid in accordance with salary or compensation plans
approved by the compensation committee and the Board or otherwise approved by
the Board, the Corporation shall not, and shall not permit any of its
Subsidiaries to, directly or indirectly grant any salary increase, pay any
bonuses or pay any compensation to any of its directors, officers, or
management employees,

 

4.13                        Section 1202 Compliance. 
The Corporation will use its best efforts to ensure that it will not
permit any of its officers, directors, agents or employees to directly or
indirectly take any action (or fail to take any required action) that would
cause the Common Stock Series A Preferred Stock (including the Common
Stock issuable upon conversion of such Series A Preferred Stock) and Series C
Preferred Stock (including the Common Stock issuable upon conversation of such Series C
Preferred Stock) to fail to or no longer constitute “qualified small
business stock” within the meaning of Section 1202 of the Internal
Revenue Code of 1986, as amended (the “Code”).  The Corporation shall submit to its
Stockholders and to the Internal Revenue Services any reports that may be
required under Section 1202(d)(1)(C) of the Code and any related
Treasury Regulations.  In addition, within
ten (10) days after any Stockholder has delivered to the Corporation a
written request therefor, the Corporation shall deliver to such Stockholder a
written statement informing the Stockholders whether such Stockholder’s
interest in the Corporation constitutes “qualified small business stock”
as defined in Section 1202(c) of the Code.

 

4.14                        Stock Vesting and Repurchase
Rights.  Unless otherwise determined by the Board, the
Corporation shall ensure that (a) all stocks and stock equivalents issued
to employees, directors, officers and consultants will be subject to vesting
over a period of 48 months with 25% to vest on the first anniversary of the
date of grant and the remaining 75% to vest monthly over the next three year
period.  To the extent permitted by law,
the Corporation (or its assigns) shall have the right, upon termination of
employment (with or without cause, however defined) of a stockholder, to
repurchase at cost any unvested shares held by such stockholder.

 

19

 

4.15                        Furnishing of Information. 
As long as any Stockholder owns Shares, the Corporation covenants that,
after such time as it becomes subject to the reporting requirements of the
Exchange Act, it shall timely file (or obtain extensions in respect thereof and
file within the applicable grace period) all reports required to be filed by
the Corporation after the date hereof pursuant to Section 13(a) or 15(d) of
the Exchange Act.  If at any time prior
to the date on which a Stockholder may resell all of its Shares without volume
restrictions pursuant to Rule 144(k) promulgated under the Securities
Act (as determined by counsel to the Corporation pursuant to a written opinion
letter to such effect, addressed and acceptable to the Corporation’s transfer
agent for the benefit of and enforceable by the Stockholder) and the
Corporation is not required to file reports pursuant to Section 13(a) or
15(d) of the Exchange Act, it will prepare and furnish to the Stockholders
and make publicly available in accordance with Rule 144(c) promulgated
under the Securities Act annual and quarterly financial statements, together
with a discussion and analysis of such financial statements in form and
substance substantially similar to those that would otherwise be required to be
included in reports required by Section 13(a) or 15(d) of the
Exchange Act in the time period that such filings would have been required to
have been made under the Exchange Act. 
The Corporation further covenants that it will take such further action
as a Stockholder may reasonably request, all to the extent required from time
to time to enable such person to sell Common Stock without registration under
the Securities Act within the limitation of the exemptions provided by Rule 144
promulgated under the Securities Act and this Agreement.  Upon the request of any such person, the
Corporation shall deliver to such person a written certification of a duly
authorized officer as to whether it has complied with such requirements.  In connection with any future access or
diligence of the Corporation by a Stockholder, the Corporation agrees that it
will not furnish to the Stockholder any non-public information unless it first
discloses in writing that such information is of such character and the
Stockholder thereafter agrees to receive such information.

 

4.16                        Blue Sky Laws. 
In accordance with the Registration Rights Agreement, the Corporation
shall qualify the Shares under the securities or Blue Sky laws of such
jurisdictions as any Stockholder may request and shall continue such
qualification at all times until the Stockholder notifies the Corporation in
writing that it no longer owns Shares; provided, however, that the Corporation
shall not be required in connection therewith to qualify as a foreign
corporation where it is not now so qualified or to take any action that would
subject the Corporation to general service of process in any such jurisdiction
where it is not then so subject.

 

ARTICLE
5

MISCELLANEOUS

 

5.1                               Termination of this Agreement.

 

This Agreement and all obligations hereunder shall
automatically terminate and be of no further force or effect as of the
Termination Date, except for the provisions of and obligations under Sections
4.15 and 4.16, which shall survive the termination of this Agreement.

 

20

 

5.2                               Termination of Certain Provisions
of Stock Purchase Agreement and the Subscription Agreements.

 

The parties to this Agreement hereby confirm and agree
that:

 

(a)                                  (i) Sections 5.02 through 5.05,
5.11, 5.13 through 5.15 of each of the Stock Purchase Agreement dated January 4,
2001 and the Regulation S Stock Purchase Agreement dated January 4, 2001
and each agreement entered into between the Corporation and the investors named
therein, (ii) Sections 5.3 and 5.4 and Article VI of the Subscription
Agreement dated August 23, 2001 entered into between the Corporation and
the investors named therein (the “2001 Subscription Agreement”), and (iii) Section 5.3
and Article VI of the Subscription Agreement dated March 11, 2002
entered into between the Corporation and the investors named therein (the “2002
Subscription Agreement”), have been terminated and are of no further force
or effect (said sections being replaced by Article IV hereof).

 

(b)                                 Section 5.2 of each of the 2001
Subscription Agreement and the 2002 Subscription Agreement have been amended to
provide, among other things, that each such section was terminated without any
action on the part of any party thereto immediately following the Initial
Closing (as defined in the Series A Preferred Stock Agreement) and are of
no further force or effect.

 

(c)                                  Section 5.02 of the Series A
Preferred Stock Agreement shall be amended to provide that such section shall
be terminated without any action on the part of any party thereto immediately
following the Closing and shall be of no further force and effect.

 

5.3                               Legend on Stock Certificates.

 

Each certificate representing shares of capital stock
that are subject to this Agreement shall bear a legend substantially in the following
form:

 

“THE SALE, TRANSFER, ASSIGNMENT, PLEDGE, OR
ENCUMBRANCE OF THE SECURITIES REPRESENTED BY THIS CERTIFICATE AND THE RIGHTS OF
THE HOLDER OF SUCH SECURITIES ARE SUBJECT TO A STOCKHOLDERS’ AGREEMENT DATED MARCH 29,
2007, AMONG NEXSAN CORPORATION AND CERTAIN HOLDERS OF ITS OUTSTANDING CAPITAL
STOCK.  COPIES OF SUCH AGREEMENT MAY BE
OBTAINED AT NO COST BY WRITTEN REQUEST MADE BY THE HOLDER OF RECORD OF THIS
CERTIFICATE TO THE SECRETARY OF NEXSAN CORPORATION”

 

5.4                               Severability

 

It is the desire and intent of the parties that the
provisions of this Agreement be enforced to the fullest extent permissible
under the law and public policies applied in each jurisdiction in which
enforcement is sought.  Accordingly, in
the event that any provision of this Agreement would be held in any
jurisdiction to be invalid, prohibited or unenforceable for any reason, such 

 

21

 

provision, as to such
jurisdiction, shall be ineffective, without invalidating the remaining provisions
of this Agreement or affecting the validity or enforceability of such provision
in any other jurisdiction. 
Notwithstanding the foregoing, if such provision could be more narrowly
drawn so as not to be invalid, prohibited or enforceable in such jurisdiction,
it shall, as to such jurisdiction, be so narrowly drawn, without invalidating
the remaining provisions of this Agreement or affecting the validity or
enforceability of such provision in any other jurisdiction.

 

5.5                               Governing Law; Jurisdiction.

 

This Agreement shall be governed by and construed and
enforced in accordance with the laws of the State of New York without regard to
any conflicts of laws principles that would result in the application of the
law of any other jurisdiction.  In the
event of any dispute arising out of or relating to this Agreement, then such
dispute shall be resolved solely and exclusively by confidential binding
arbitration with the New York branch of JAMS (“JAMS”) to be governed by
JAMS’ Commercial Rules of Arbitration (the “JAMS Rules”) and heard
before one arbitrator.  The parties shall
attempt to select the arbitrator by agreement of the Minimum Required
Stockholders.  In the event they fail or
are unable to agree, the arbitrator shall be selected by the procedures prescribed
by the JAMS Rules.  Each party shall bear
its own attorneys’ fees, expert witness fees, and costs incurred in connection
with any arbitration.

 

5.6                               Assignments; Successors and
Assigns.

 

Except in connection with any Transfer of Shares in
accordance with this Agreement, the rights of each party under this Agreement
may not be assigned.  This Agreement
shall bind and inure to the benefit of the parties and their respective
successors, permitted assigns, legal representatives and heirs.

 

5.7                               Amendments; Waivers.

 

This Agreement may only be modified or amended by an
instrument in writing signed by (i) the Corporation, (ii) the holders
of two-thirds (2/3) of the then outstanding Series A Preferred Shares and Series C
Preferred Shares, voting together as a single class and (iii) the holders
of at least a majority of the shares of Common Stock held by the Prior
Stockholders (the “Minimum Required Stockholders”).  No waiver of any right granted to any
Stockholder shall be effective, or be deemed to be effective, against such
Stockholder without such party’s express written consent.

 

5.8                               Notices.

 

Any and all notices or other communications or
deliveries required or permitted to be provided hereunder shall be in writing
and shall be deemed given and effective on the earliest of (i) the date of
transmission, if such notice or communication is delivered via facsimile at the
facsimile telephone number specified in this Section prior to 5:30 p.m.
(New York City time) on a Business Day with electronic confirmation of receipt,
(ii) the Business Day after the date of transmission, if such notice or
communication is delivered via facsimile at the facsimile telephone number
specified in the Schedule A, B, C or D attached hereto later than 5:30 p.m.  (New York City time) on any date and earlier
than 11:59 p.m. (New York City time) on such date with electronic
confirmation of receipt, (iii) the Business Day following the date of
mailing, 

 

22

 

if sent by nationally
recognized overnight courier service, (iv) the fifth day after mailing if
sent by certified or registered mail, or (v) actual receipt by the party
to whom such notice is required to be given if delivered by hand.  The address for such notices and
communications shall be as follows (or such other address as may be designated
in writing hereafter, in the same manner, by such Person):

 

(a)                                  if to the Corporation, to:

 

If before May 1,
2007

 

Nexsan Corporation

21700 Oxnard Street, Suite 1850

Woodland Hills, CA 91367

Attn: Chief Executive Officer

Facsimile: (818) 936-0159

 

If on or after May 1, 2007

 

Nexsan Corporation

555 St. Charles Drive, Suite 202

Thousand Oaks, CA 91360

Attn: Chief Executive Officer

Facsimile: (818) 936-0159

 

With copies to:

 

Sonnenschein Nath & Rosenthal LLP

1221 Avenue of the Americas

New York, New York 10020

Telephone: (212)398-4874

Facsimile: (212) 768-6800

Attention: Denise M. Tormey

 

(b)                                 if to the Stockholders, to their
respective addresses set forth on Schedule A, B, C or D hereto.

 

5.9                               Headings.

 

The headings of the sections of this Agreement have
been inserted for convenience of reference only and shall not be deemed to be a
part of this Agreement.

 

5.10                        Nouns and Pronouns.

 

Whenever the context may require, any pronouns used
herein shall include the corresponding masculine, feminine or neuter forms, and
the singular form of names and pronouns shall include the plural and vice
versa.

 

23

 

5.11                        Entire Agreement.

 

This Agreement contains the entire agreement among the
parties with respect to the subject matter hereof and supersedes all prior
agreements and understandings with respect to such subject matter.  Without limiting the generality of the
foregoing, upon the execution and delivery of this Agreement by the Requisite
Holders, the Original Agreement shall be deemed terminated in its entirety and
cease to be of any force or effect.

 

5.12                        Counterparts.

 

This Agreement may be executed in any number of
counterparts, and each such counterpart hereof shall be deemed to be an
original instrument, but all such counterparts together shall constitute but
one agreement.

 

5.13                        Aggregation.

 

Shares of capital stock of the Corporation owned by
partnerships and corporations having substantially common ownership interests
or managed by the same principals and owned by individual investors affiliated
with one another may be aggregated for the purposes of calculating the
aggregate percentage of capital stock of the Corporation owned by any
Stockholder and any permitted transferee hereunder.

 

ARTICLE
6

MISCELLANEOUS

 

This Agreement shall become effective when the
Corporation shall have received duly executed counterparts hereof signed by the
Corporation and the Minimum Required Stockholders,

 

[REMAINDER OF THIS PAGE INTENTIONALLY
LEFT BLANK]

 

24

 

IN WITNESS WHEREOF, the parties hereto have executed
this Amended and Restated Stockholders’ Agreement on the date first written
above.

	
   

  	
   

  
	
   

  	
  THE
  COMPANY

  
	
   

  	
  NEXSAN CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Philip Black

  
	
   

  	
   

  	
  Philip Black, Chief
  Executive Officer

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  INVESTORS:

  
	
   

  	
  FONDS DE SOLIDARITÉ DES

  
	
   

  	
  TRAVAILLEURS DU QUÉBEC (F.T.Q.)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Jacques Bernier

  
	
   

  	
   

  	
  Jacques Bernier

  
	
   

  	
   

  	
  Senior Vice-President
  Information

  
	
   

  	
   

  	
  Technologies, Telecommunications
  and

  
	
   

  	
   

  	
  Industrial Innovations

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  VANTAGEPOINT VENTURE PARTNERS

  
	
   

  	
  IV (Q), L.P.

  
	
   

  	
  By: VantagePoint
  Venture Associates IV, 

  
	
   

  	
  L.L.C., its General
  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Managing Member

  

 

 

	
   

  	
  VANTAGEPOINT VENTURE PARTNERS

  
	
   

  	
  IV, L.P.

  
	
   

  	
  By: VantagePoint
  Venture Associates IV, 

  
	
   

  	
  L.L.C., its General
  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Managing Member

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  VANTAGEPOINT VENTURE PARTNERS

  
	
   

  	
  IV PRINCIPALS FUND, L.P.

  
	
   

  	
  By: VantagePoint
  Venture Associates IV, 

  
	
   

  	
  L.L.C., its General
  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Managing Member

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  RRE VENTURES III, LP

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Andrew Zalasin

  
	
   

  	
   

  	
  Name:

  	
  Andrew Zalasin

  
	
   

  	
   

  	
  Title:

  	
  General Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  RRE VENTURES FUND III, LP

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Andrew Zalasin

  
	
   

  	
   

  	
  Name:

  	
  Andrew Zalasin

  
	
   

  	
   

  	
  Title:

  	
  General Partner

  

 

 

	
   

  	
  RRE VENTURES III-A, LP

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Andrew Zalasin

  
	
   

  	
   

  	
  Name:

  	
  Andrew Zalasin

  
	
   

  	
   

  	
  Title:

  	
  General Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  FIRST GEN-E SERVICIOS DE

  
	
   

  	
  CONSULTORIA SA

  
	
   

  	
  By:  Gen-e Management Ltd.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Domenico Grassi

  
	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
   

  	
  Title:

  	
   

  

 

 

 

	
   

  	
  STOCKHOLDERS:

  
	
   

  	
   

  
	
   

  	
   

  	
  FOR INDIVIDUALS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Martin Boddy

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Martin Boddy

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  FOR CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Ledgewood
  Properties, Inc. Profit Sharing Plan

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Jeffrey B. Hanson,
  Trustee

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Jeffrey B. Hanson

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  FOR PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Beechtree Capital LLC

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ George Weiss

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  FOR TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

PRIOR STOCKHOLDERS:

 

	
   

  	
  FOR INDIVIDUALS:

  
	
   

  	
   

  
	
   

  	
   

  	
  James Molenda

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ James Molenda

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  CDLM Investments Ltd.

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ George Weiss

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

PRIOR
STOCKHOLDERS:

 

	
   

  	
  FOR INDIVIDUALS:

  
	
   

  	
   

  
	
   

  	
   

  	
  Giovanni Saladino

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Giovanni Saladino

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  CDLM — Weiss Associates

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ George Weiss

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

PRIOR STOCKHOLDERS:

 

	
   

  	
  FOR INDIVIDUALS:

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  DLG Investment
  Partnership

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ George Weiss

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

PRIOR STOCKHOLDERS:

 

	
   

  	
  FOR INDIVIDUALS:

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  Katherine U. Sanders

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Katherine U.
  Sanders

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Sanders Opportunity
  Fund, LP

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Don A. Sanders

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

PRIOR
STOCKHOLDERS:

 

	
   

  	
  FOR INDIVIDUALS:

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  Don A. Sanders

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Don A. Sanders

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Sanders Opportunity
  Fund (Inst), LP

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Don A. Sanders

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

PRIOR
STOCKHOLDERS:

 

	
   

  	
  FOR INDIVIDUALS:

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  Gary Watson

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Gary Watson

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Weir Holdings LP

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Donald Weir

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

PRIOR
STOCKHOLDERS:

 

	
   

  	
  FOR INDIVIDUALS:

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  	
  Don Weir &
  Julie Ellen Weir

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Don Weir &
  Julie Ellen Weir

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

AMENDMENT TO
AMENDED AND RESTATED STOCKHOLDERS’ AGREEMENT

 

This Amendment to Amended and Restated Stockholders’
Agreement (the “Amendment”) is entered into, as of November 14,
2007, by and among Nexsan Corporation, a Delaware corporation (the “Corporation”),
and the stockholders of the Corporation who are a party hereto.  Unless otherwise specifically defined herein,
all capitalized terms used in this Amendment shall have the meaning ascribed
thereto in the Stockholders’ Agreement (as defined below).

 

WHEREAS, the Company, the Series C Investors, the
Series A Investors, the Evertrust Stockholder and those Prior Stockholders
identified therein are parties to a certain Amended and Restated Stockholders’
Agreement, dated as of March 29, 2007 (the “Stockholders’ Agreement”);

 

WHEREAS, the parties hereto desire to amend the
Stockholders’ Agreement as provided herein to, among other things, clarify
certain rights relating to the Evertrust Stockholder Share; and

 

WHEREAS, Section 5.7 of the Stockholders’
Agreement provides that the Stockholders’ Agreement may be amended by an
instrument in writing signed by (i) the Corporation, (ii) the holders
of two-thirds (2/3) of the then outstanding Series A Preferred Shares and Series C
Preferred Shares, voting together as a single class and (iii) the holders
of at least a majority of the shares of Common Stock held by the Prior
Stockholders.

 

NOW, THEREFORE, in consideration of the foregoing
premises and covenants and promises set forth herein and for other good and
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, the parties hereto agree as follows:

 

1.                                       Amendments.  The
Stockholders’ Agreement is hereby amended as follows:

 

(A)                              Under Section 1 (Definitions) of the
Stockholders’ Agreement, the defined term “New Securities” is hereby amended by
deleting this definition in its entirety and inserting in lieu thereof the
following:

 

“New Securities”
means all Equity Securities other than the securities listed in sub-clauses (a) through
(r) and sub-clause (t) of the definitions of Series A Excluded
Stock and Series C Excluded Stock as such terms are defined in the
Restated Certificate of Incorporation, and Equity Securities which holders of (i) at
least two-thirds (2/3) of the then outstanding Series A Preferred Shares
and Series C Preferred Shares, voting together as a single class and (ii) a
majority of shares held by the Series 3.6 Stockholders, voting as a
separate class, agree in writing will not constitute New Securities.

 

(B)                                Under Section 1 (Definitions) of the
Stockholders’ Agreement, the defined term “Restated Certificate of
Incorporation” is hereby amended by deleting this definition in its entirety
and inserting in lieu thereof the following:

 

1

 

“Restated
Certificate of Incorporation” means the Corporation’s Fifth Amended and
Restated Certificate of Incorporation, as amended.

 

(C)                                Under Section 1 (Definitions) of the
Stockholders’ Agreement, the defined term “Evertrust” is hereby amended by deleting
this definition in its entirety and inserting in lieu thereof the following:

 

“Evertrust”
means AESign Evertrust Inc., now known as Nexsan Technologies Canada inc.

 

(D)                               Section 5.7 of the Stockholders’
Agreement is hereby amended by deleting in its entirety the first sentence
thereof and replacing the same with the following:

 

“This Agreement
may only be modified or amended by an instrument in writing signed by (i) the
Corporation, (ii) the holders of two-thirds (2/3) of the then outstanding Series A
Preferred Shares and Series C Preferred Shares, voting together as a
single class and (iii) the holders of at least a majority of (a) the
Common Stock held by the Prior Stockholders and (b) the Evertrust
Stockholder Share held by Thomas F. Gosnell, voting together as a single class.”

 

(E)                                 Section 2.1 of the Stockholders’
Agreement is hereby amended by adding a new subsection (d) which
shall read as follows:

 

(d)                                 For the avoidance of doubt, for purposes
of Section 2.1 hereof, the Evertrust Stockholder Share shall be deemed to
be Common Stock having the number of votes to which it is entitled under the
Restated Certificate of Incorporation, and shall vote with the Common Stock and
not as a separate class.

 

2.                                       Effective Date. 
This Amendment shall become effective without any further action on the
date on which the Company shall have received counterparts hereof duly executed
by necessary parties as required under Section 5.7 of the Stockholders’
Agreement.

 

3.                                       Full Force and Effect. 
The parties agree that all terms of the Stockholders’ Agreement not
otherwise amended hereunder shall remain in full force and effect.

 

4.                                       Counterparts. 
This Amendment may be executed in any number of original or facsimile
counterparts, and each such counterpart hereof shall be deemed to be an
original instrument, but all such counterparts together shall constitute but
one agreement.

 

5.                                       Governing Law. 
This Amendment shall be governed by and construed in accordance with the
domestic laws of the State of New York, without giving effect to any law or rule that
would cause the laws of any jurisdiction other than the State of New York to be
applied.

 

[The remainder of this page intentionally
left blank]

 

2

 

IN WITNESS
WHEREOF, the parties hereto have executed this Amendment on the date first
written above.

 

	
   

  	
  THE COMPANY

  
	
   

  	
  NEXSAN
  CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Philip Black

  
	
   

  	
  Name:

  	
  Philip Black

  
	
   

  	
  Title:

  	
  President

  

 

3

 

	
   

  	
  STOCKHOLDERS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Martin Boddy

  
	
   

  	
   

  	
  Martin Boddy

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  4,354,503

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  BEECHTREE
  CAPITAL LLC

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ George Weiss

  
	
   

  	
   

  	
  Name: George Weiss

  
	
   

  	
   

  	
  Title: Managing Member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  1,656,279

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  284,647

  
	
   

  	
   

  	
  Number
  of Shares of Series C Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  CDLM-WEISS
  ASSOCIATES

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ George Weiss

  
	
   

  	
   

  	
  Name: George Weiss

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  2,425,226

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  DLG
  INVESTMENT PARTNERSHIP

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ George Weiss

  
	
   

  	
   

  	
  Name: George Weiss

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  674,443

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  179,585

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  

 

4

 

STOCKHOLDERS:

 

 

	
   

  	
   

  	
  FIRST
  GEN-E — SERVICOS DE  CONSULTORIA SA

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Domenico Grassi

  
	
   

  	
   

  	
  Name: Domenico Grassi

  
	
   

  	
   

  	
  Title: Manager

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  15,743,596

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  7,196,889

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  2,491,064

  
	
   

  	
   

  	
  Number
  of Shares of Series C Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  FONDS
  DE SOLIDARITÉ DES TRAVAILLEURS DU QUÉBEC

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Jacques Bernier

  
	
   

  	
   

  	
  Name: Jacques Bernier

  
	
   

  	
   

  	
  Title: Senior Vice
  President Inf. Tech.

  Telecom and Ind. Innov.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  15,000,000

  
	
   

  	
   

  	
  Number of Shares of
  Series C Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Thomas F. Gosnell

  
	
   

  	
   

  	
  Thomas F. Gosnell

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  1

  
	
   

  	
   

  	
  Number of Shares of
  Series B Preferred Stock

  

 

5

 

	
   

  	
   

  	
  LEDGEWOOD
  PROPERTIES, INC. PROFIT SHARING PLAN

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Jeffrey Hanson

  
	
   

  	
   

  	
  Name: Jeffrey Hanson

  
	
   

  	
   

  	
  Title: Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  827,439

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  118,370

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  243,222

  
	
   

  	
   

  	
  Number
  of Shares of Series C Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  RRE VENTURES FUND III, L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Andrew Zalasin

  
	
   

  	
   

  	
  Name: Andrew Zalasin

  
	
   

  	
   

  	
  Title: General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  0

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  559,507

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  88,406

  
	
   

  	
   

  	
  Number
  of Shares of Series C Preferred Stock

  

 

6

 

	
   

  	
   

  	
  RRE
  VENTURES III, L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Andrew Zalasin

  
	
   

  	
   

  	
  Name: Andrew Zalasin

  
	
   

  	
   

  	
  Title: General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  308,114

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  48,683

  
	
   

  	
   

  	
  Number
  of Shares of Series C Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  RRE
  VENTURES III-A, L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Andrew Zalasin

  
	
   

  	
   

  	
  Name: Andrew Zalasin

  
	
   

  	
   

  	
  Title: General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  6,695,372

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  1,057,909

  
	
   

  	
   

  	
  Number
  of Shares of Series C Preferred Stock

  

 

7

 

	
   

  	
   

  	
  SANDERS
  OPPORTUNITY FUND, L.P.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Don A. Sanders

  
	
   

  	
   

  	
  Name: Don A. Sanders

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  135,716

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  148,367

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  116,695

  
	
   

  	
   

  	
  Number
  of Shares of Series C Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  SANDERS
  OPPORTUNITY FUND (INST), LP

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Don A. Sanders

  
	
   

  	
   

  	
  Name: Don A. Sanders

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  483,532

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  427,925

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  370,995

  
	
   

  	
   

  	
  Number
  of Shares of Series C Preferred Stock

  

 

8

 

	
   

  	
   

  	
  /s/ Don A. Sanders

  
	
   

  	
   

  	
  Name: Don A. Sanders

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  540,699

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  516,197

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  487,190

  
	
   

  	
   

  	
  Number
  of Shares of Series C Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Katherine U.
  Sanders

  
	
   

  	
   

  	
  Name: Katherine U.
  Sanders

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  184,818

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  89,792

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  243,595

  
	
   

  	
   

  	
  Number
  of Shares of Series C Preferred Stock

  

 

9

 

	
   

  	
   

  	
  VANTAGEPOINT
  VENTURE PARTNERS IV PRINCIPALS FUND, L..P.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By: Vantagepoint
  Venture Associates IV, L.L.C.,

  its general

  
	
   

  	
   

  	
  By:

  	
  /s/ Alan E. Salzman

  
	
   

  	
   

  	
  Name: Alan E. Salzman

  
	
   

  	
   

  	
  Title: Managing Member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  0

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  83,193

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  13,103

  
	
   

  	
   

  	
  Number
  of Shares of Series C Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  VANTAGEPOINT
  VENTURE PARTNERS IV, L..P.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By: Vantagepoint
  Venture Associates IV, L.L.C.,

  its general

  
	
   

  	
   

  	
  By:

  	
  /s/ Alan E. Salzman

  
	
   

  	
   

  	
  Name: Alan E. Salzman

  
	
   

  	
   

  	
  Title: Managing Member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  0

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  2,289,066

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  360,088

  
	
   

  	
   

  	
  Number
  of Shares of Series C Preferred Stock

  

 

10

 

	
   

  	
   

  	
  VANTAGEPOINT
  VENTURE PARTNERS IV (Q), L..P.

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By: Vantagepoint Venture
  Associates IV, L.L.C.,

  its general

  
	
   

  	
   

  	
  By:

  	
  /s/ Alan E. Salzman

  
	
   

  	
   

  	
  Name: Alan E. Salzman

  
	
   

  	
   

  	
  Title: Managing Member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  0

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  22,837,719

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  3,596,901

  
	
   

  	
   

  	
  Number
  of Shares of Series C Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  DON
  WEIR & JULIE ELLEN WEIR JT TEN

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Don Weir

  
	
   

  	
   

  	
  Don Weir

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Julie Ellen Weir

  
	
   

  	
   

  	
  Julie Ellen Weir

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  178,571

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  60,200

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  243,595

  
	
   

  	
   

  	
  Number
  of Shares of Series C Preferred Stock

  

 

11

 

	
   

  	
   

  	
  WEIR
  HOLDINGS LP

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Donald Weir

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  27,845

  
	
   

  	
   

  	
  Number of Shares of
  Common Stock

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  131,897

  
	
   

  	
   

  	
  Number
  of Shares of Series A Preferred Stock

  

 

12

 

AMENDMENT TO AMENDED AND RESTATED
STOCKHOLDERS’ AGREEMENT

 

This AMENDMENT TO
AMENDED AND RESTATED STOCKHOLDERS’ AGREEMENT (the “Amendment”), which amends the
Amended and Restated Stockholders’ Agreement, dated as of March 29, 2007,
by and among Nexsan Corporation, a Delaware corporation (the “Corporation”) the Series C
Investors (as defined therein), the Series A Investors (as defined
therein), the Evertrust Stockholder (as defined therein) and the Prior
Stockholders (as defined therein) (the “Stockholders’ Agreement”),
is entered into this 30th day of April, 2009 by and among the Corporation, the Series C
Investors, the Series A Investors, the Evertrust Stockholder and those
Prior Stockholders, listed on the signature pages hereto, on behalf of all
the parties to the Stockholders’ Agreement.

 

RECITALS

 

WHEREAS, Section 5.7 of the Stockholders’
Agreement provides that it may be amended pursuant to a writing signed by (i) the
Corporation, (ii) the holders of two-thirds of the then outstanding Series A
Preferred Shares (as defined therein) and Series C Preferred Shares (as
defined therein), voting together as a single class, and (iii) the holders
of at least a majority of the shares of Common Stock held by the Prior
Stockholders (the “Minimum Required Stockholders”);

 

WHEREAS, the Corporation has determined it to be
advisable and in the best interests of the Corporation to create an independent
seat on the Board of Directors, which requires an amendment to Section 2.1
of the Stockholders’ Agreement to increase the number of authorized directors
from eight to nine and to provide for the manner of designation and election of
the independent director; and

 

WHEREAS, the
Corporation and the Minimum Required Stockholders hereby desire to amend Section 2.1
of the Stockholders’ Agreement.

 

NOW,
THEREFORE, in
consideration of the foregoing recitals, mutual promises, and all other terms
and conditions contained herein, the parties hereto hereby agree as follows:

 

AGREEMENT

 

1. Amendment of Section 2.1(a) of
the Stockholders’ Agreement. The following clause shall
replace Section 2.1(a) of the Stockholders’ Agreement in its
entirety:

 

“(a)       The Corporation and the
Stockholders shall take such corporate actions as may be reasonably required to
ensure that (i) the number of directors constituting the Board is at all
times nine (9), and (ii) the presence of five (5) directors is
required to constitute a quorum of the Board.”

 

 

2. Amendment of Section 2.1(b) of
the Stockholders’ Agreement. Section 2.1(b)(vii) shall
be moved to a new Section 2.1(b)(viii) and the following clause shall
replace Section 2.1 (b)(vii) of the Stockholders’ Agreement in its
entirety:

 

“(vii)       One member of the Board
shall be an individual designated by a majority vote of the Board (exclusive of
such director), and determined by the Board to be independent, and elected by
the holders of the Corporation’s outstanding Series A Preferred Shares, Series C
Preferred Shares and Common Stock, voting together as a single class on an
as-if converted basis.”

 

3. Stockholders’ Agreement. Except as
expressly amended hereby, the Stockholders’ Agreement shall continue in full
force and effect. In the event of any inconsistency or conflict between this
Amendment and the Stockholders’ Agreement, the terms, conditions and provisions
of this Amendment shall govern and control.

 

4. Entire Agreement. This Amendment
and the Stockholders’ Agreement embody the complete agreement and understanding
among the parties and supersede and preempt any prior understandings,
agreements or representations by or among the parties, written or oral, which
may have related to the subject matter hereof in any way.

 

5. Governing Law. This Amendment
shall be governed by and construed and enforced in accordance with the laws of
the State of New York without regard to any conflicts of laws principles that
would result in the application of the law of any other jurisdiction.  In
the event of any dispute arising out of or relating to this Amendment, then
such dispute shall be resolved solely and exclusively by confidential binding
arbitration with the New York branch of JAMS (“JAMS”)
to be governed by JAMS’ Commercial Rules of Arbitration (the “JAMS Rules”) and heard before one
arbitrator.  The parties shall attempt to select the arbitrator by
agreement of the Minimum Required Stockholders.  In the event they fail or
are unable to agree, the arbitrator shall be selected by the procedures
prescribed by the JAMS Rules.  Each party shall bear its own attorneys’
fees, expert witness fees, and costs incurred in connection with any
arbitration.

 

6. Counterparts. This Amendment
may be executed in two or more counterparts, each of which shall be deemed to
be an original, but all of which together shall constitute one and the same
instrument.

 

REMAINDER
OF THE PAGE INTENTIONALLY LEFT BLANK

 

 

IN WITNESS
WHEREOF, the parties hereto have executed this Amendment on the date first
written above.

 

	
   

  	
  THE COMPANY

  
	
   

  	
  NEXSAN
  CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Philip Black

  
	
   

  	
   

  	
  Philip Black, Chief
  Executive Officer

  

 

 

	
   

  	
  FONDS
  DE SOLIDARITÉ DES TRAVAILLEURS DU QUÉBEC (F.T.Q.)

  
	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Jacques Bernier

  
	
   

  	
   

  	
  Jacques Bernier

  
	
   

  	
   

  	
  Senior Vice-President
  Information

  
	
   

  	
   

  	
  Technologies,
  Telecommunications and

  
	
   

  	
   

  	
  Industrial Innovations

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  VANTAGEPOINT
  VENTURE PARTNERS IV (Q), L.P.

  
	
   

  	
  By: VantagePoint
  Venture Associates IV, L.L.C., its General Partner

  
	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Managing Member

  
	
   

  	
   

  	
   

  
	
   

  	
  VANTAGEPOINT
  VENTURE PARTNERS IV, L.P.

  
	
   

  	
  By: VantagePoint
  Venture Associates IV, L.L.C., its General Partner

  
	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Managing Member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  VANTAGEPOINT
  VENTURE PARTNERS IV PRINCIPALS FUND, L.P.

  
	
   

  	
  By: VantagePoint
  Venture Associates IV, L.L.C., its General Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Managing Member

  

 

 

	
   

  	
  RRE
  VENTURES III, LP

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Andrew Zalasin

  
	
   

  	
   

  	
  Name: Andrew Zalasin

  
	
   

  	
   

  	
  Title:  General Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  RRE
  VENTURES FUND III, LP

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Andrew Zalasin

  
	
   

  	
   

  	
  Name: Andrew Zalasin

  
	
   

  	
   

  	
  Title:  General Partner

  
	
   

  	
   

  
	
   

  	
  RRE
  VENTURES III-A, LP

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Andrew Zalasin

  
	
   

  	
   

  	
  Name: Andrew Zalasin

  
	
   

  	
   

  	
  Title:  General Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  FIRST
  GEN-E SERVICIOS DE CONSULTORIA SA

  
	
   

  	
  By:  Gen-e
  Management Ltd.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Domenico Grassi

  
	
   

  	
   

  	
  Name: Domenico Grassi

  
	
   

  	
   

  	
  Title:

  

 

 

	
   

  	
  STOCKHOLDERS:

  
	
   

  	
   

  
	
   

  	
   

  	
  FOR
  INDIVIDUALS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Martin Boddy

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/
  Martin Boddy

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  FOR
  CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  FOR
  PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Beechtree Capital LLC

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/
  George M. Weiss

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  FOR
  TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

	
  PRIOR STOCKHOLDERS:

  
	
   

  
	
   

  	
  FOR
  INDIVIDUALS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Giovanni Saladino

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Giovanni Saladino

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  CDLM Investments Ltd.

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/
  George M. Weiss

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

	
  PRIOR STOCKHOLDERS:

  
	
   

  
	
   

  	
  FOR
  INDIVIDUALS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  CDLM — Weiss Associates

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/
  George M. Weiss

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

	
  PRIOR STOCKHOLDERS:

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  INDIVIDUALS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  PARTNERSHIPS:

  
	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  DLG Investment
  Partnership

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/
  George Weiss

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

AMENDMENT TO AMENDED AND RESTATED
STOCKHOLDERS’ AGREEMENT

 

This Amendment to Amended and Restated Stockholders’
Agreement (the “Amendment”) is entered into, as of July 9, 2009 by
and among Nexsan Corporation, a Delaware corporation (the “Corporation”),
and the stockholders of the Corporation who are a party hereto.   Unless otherwise specifically defined
herein, all capitalized terms used in this Amendment shall have the meaning
ascribed thereto in the Stockholders’ Agreement (as defined below).

 

WHEREAS, the Corporation, the Prior Stockholders, the
Evertrust Stockholder, the Series A Investors and Series C Investors
are parties to a certain Amended and Restated Stockholders’ Agreement, dated as
of March 29, 2007 (the “Stockholders’ Agreement”);

 

WHEREAS, a stockholder at the Corporation is planning to sell certain
shares of the Corporations’ capital stock (the “Proposed Sale”) to a third party;

 

WHEREAS, Section 5.7 of the Stockholders’
Agreement provides that the Stockholders’ Agreement may be amended pursuant to a
writing signed by (i) the Corporation, (ii) the holders two-thirds
(2/3) of the then oustanding Series A Preferred Shares and Series C
Preferred Shares, voting together as a single class and (iii) the holders
of at least a majority of the shares of Common Stock held by the Prior
Stockholders.

 

NOW, THEREFORE, in consideration of the foregoing
premises and covenants and promises set forth herein and for other good and
valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, the parties hereto agree as follows:

 

1.  Amendments.  The Stockholders’ Agreement is hereby amended
as follows:

 

(A)  Section 3.3(i) of the Stockholders’
Agreement is hereby amended by deleting this section in its entirety and
inserting in lieu thereof the following:

 

(a)                                  Notwithstanding anything contained herein
to the contrary, the provisions of this Section 3.3 shall not apply to a
Transfer of any Shares (i) by a Stockholder to any Permitted Transferee or
(ii) by First Gen-e Servicios de Consultoria SA (together with its
Affiliates “Gen-E”) or Giovanni Saladino (collectively, the “Sellers”) to MFP Partners, L.P. and its
affiliates.

 

(B) To the extent Sellers are listed on
Schedule 3.4 to the Stockholders’ Agreement, Schedule 3.4 to the Stockholders’ Agreement is hereby
amended by deleting the Sellers from such Schedule.

 

2.  Effective Date. This
Amendment shall become effective without any further action on the date on
which the Corporation shall have received counterparts hereof duly executed by
necessary parties as required under Section 5.7 of the Stockholders’ Agreement.

 

3.  Full Force and Effect.  The parties agree that all terms of the
Stockholders’ Agreement not otherwise amended hereunder shall remain in full
force and effect.

 

 

4.  Counterparts.  This Amendment may be executed
in any number of original or facsimile counterparts, and each such counterpart
hereof shall be deemed to be an original instrument, but all such counterparts
together shall constitute but one agreement.

 

5.  Governing Law.  This Amendment shall be governed by and
construed in accordance with the domestic laws of the State of New York,
without giving effect to any law or rule that would cause the laws of any
jurisdiction other than the State of New York to be applied.

 

[The remainder of this page intentionally left blank]

 

2

 

IN WITNESS WHEREOF, the parties hereto have executed
this Amendment to Amended and Stockholders’ Agreement as of the date and year
first above written.

 

	
   

  	
  NEXSAN CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By: 

  	
  /s/ Gene Spies

  
	
   

  	
  Name: 

  	
  Gene Spies

  
	
   

  	
  Title: 

  	
  CFO

  

 

[Signature
Page to Amendment to Amended and Restated Stockholders’ Agreement]

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

	
   

  	
  FONDS
  DE SOLIDARITÉ DES

  
	
   

  	
  TRAVAILLEURS
  DU QUÉBEC (F.T.Q.)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Janie Béique

  
	
   

  	
   

  	
  Janie Béique

  
	
   

  	
   

  	
  Senior Vice President

  
	
   

  	
   

  	
  New Economy

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  VANTAGEPOINT
  VENTURE PARTNERS

  
	
   

  	
  IV
  (Q), L.P.

  
	
   

  	
  By: VantagePoint
  Venture Associates IV,

  
	
   

  	
  L.L.C., its General
  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Managing Member

  

 

 

	
   

  	
  VANTAGEPOINT
  VENTURE PARTNERS

  
	
   

  	
  IV,
  L.P.

  
	
   

  	
  By: VantagePoint
  Venture Associates IV,

  
	
   

  	
  L.L.C., its General
  Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Managing Member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  VANTAGEPOINT
  VENTURE PARTNERS

  
	
   

  	
  IV
  PRINCIPALS FUND, L.P.

  
	
   

  	
  By: VantagePoint
  Venture Associates IV,

  
	
   

  	
  L.L.C., its General Partner

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Alan E. Salzman

  
	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Managing Member

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  RRE
  VENTURES III, LP

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Andrew Zalasin

  
	
   

  	
   

  	
  Name:

  	
  Andrew Zalasin

  
	
   

  	
   

  	
  Title:

  	
  General Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  RRE
  VENTURES FUND III, LP

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Andrew Zalasin

  
	
   

  	
   

  	
  Name:

  	
  Andrew Zalasin

  
	
   

  	
   

  	
  Title:

  	
  General Partner

  

 

 

	
   

  	
  RRE
  VENTURES III-A, LP

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Andrew Zalasin

  
	
   

  	
   

  	
  Name:

  	
  Andrew Zalasin

  
	
   

  	
   

  	
  Title:

  	
  General Partner

  

 

 

PRIOR STOCKHOLDERS:

 

	
   

  	
  FOR
  INDIVIDUALS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  James Molenda

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  FOR
  CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  CDLM Investments Ltd.

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ George Weiss

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  FOR
  TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

PRIOR STOCKHOLDERS:

 

	
   

  	
  FOR
  CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  CDLM — Weiss Associates

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ George Weiss

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

	
   

  	
  PRIOR
  STOCKHOLDERS:

  
	
   

  	
   

  
	
   

  	
  FOR
  INDIVIDUALS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  DLG Investment
  Partnership

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ George Weiss

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

	
   

  	
  PRIOR
  STOCKHOLDERS:

  
	
   

  	
   

  
	
   

  	
  FOR
  INDIVIDUALS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  FOR
  CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Beechtree Capital LLC

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ George Weiss

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

	
   

  	
  PRIOR
  STOCKHOLDERS:

  
	
   

  	
   

  
	
   

  	
  FOR
  INDIVIDUALS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Gary Watson

  
	
   

  	
   

  	
  Print Name

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  /s/ Gary Watson

  
	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  CORPORATIONS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Officer of
  Company

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Officer

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  PARTNERSHIPS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Weir Holdings LP

  
	
   

  	
   

  	
  Name of Partnership

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Partner

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  FOR
  TRUSTS:

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Trust

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Name of Authorized
  Trustee

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  Signature of Authorized
  Trustee

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
  Signature:

  	
  /s/ Paul Asnes

  
	
   

  	
   

  
	
   

  	
   

  
	
  Paul Asnes

  	
   

  
	
  Printed Name

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
  Signature:

  	
  BER Investments, LLC

  
	
   

  	
   

  	
  By /s/ Bruce E. Ranck

  
	
   

  	
   

  
	
   

  	
   

  
	
  Bruce
  E. Ranck

  	
   

  
	
  Printed Name

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
  Signature:

  	
  /s/ M. Boddy

  
	
   

  	
   

  
	
   

  	
   

  
	
  Martin
  Boddy

  	
   

  
	
  Printed Name

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
  Signature:

  	
  /s/ Thor Brevik

  
	
   

  	
   

  
	
   

  	
   

  
	
  Thor
  Brevik

  	
   

  
	
  Printed Name

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
  Signature:

  	
  /s/ Gavin Chandler

  
	
   

  	
   

  
	
   

  	
   

  
	
  Gavin
  Chandler

  	
   

  
	
  Printed Name

  	
   

  
	
  Managing
  Member

  	
   

  
	
  Terra
  Ventures Ltd

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
  Signature:

  	
  /s/ P J Coxon

  
	
   

  	
   

  
	
   

  	
   

  
	
  Paul
  John Coxon

  	
   

  
	
  Printed Name

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above written.

 

 

	
   

  	
  Signature:

  	
  /s/ Robert Delamore

  
	
   

  	
   

  
	
   

  	
   

  
	
  Robert
  Delamore

  	
   

  
	
  Printed Name

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
  Signature:

  	
  /s/ Jack Erlanger

  
	
   

  	
   

  
	
   

  	
   

  
	
  Jack
  Erlanger

  	
   

  
	
  Printed Name

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
  Signature:

  	
  /s/ Michael Emont

  
	
   

  	
   

  
	
   

  	
   

  
	
  Michael
  Emont

  	
   

  
	
  Printed Name

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Thomas Gosnell

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Thomas F. Gosnell

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Charles Greenberg

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Charles Greenberg

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Ronald Greenberg

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Ronald Greenberg

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Don J Gunther ttee

  
	
   

  	
   

  	
   

  	
       The
  Gunther 93 Family Trust

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Don J Gunther

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Eniko Henits

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Eniko Enits

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Edward Klimerman

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Edward Klimerman

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Esther Hotter

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Esther Hotter

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Ingvar Jensen

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Ingvar Jensen

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Wayne Kauth

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Wayne Kauth

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Rose Koppes

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Rosamaria Koppes

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Jeffrey B. Hanson

  
	
   

  	
   

  	
   

  	
  Jeffrey B. Hanson,
  Trustee

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Ledgewood Properties
  Inc. Profit Sharing Plan

  	
   

  	
   

  	
   

  
	
  By:  Jeffrey B. Hanson, Trustee

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Alfred J. Mandel

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Alfred J. Mandel

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Oivind Martinsen

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Oivind Martinsen

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ M R McAllister

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Michael R. McAllister

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/Puneet Mehta

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Puneet Mehta

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Jorge E. Morgan

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  MMG Bank &
  Trust Ltd.

  	
   

  	
   

  	
   

  
	
  Jorge E. Morgan

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Brian Potiker

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Brian Potiker, Trustee
  of the Brian Potiker

  	
   

  	
   

  	
   

  
	
  Revocable Trust U/A/D
  8/7/96

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Clive Osborne

  
	
   

  	
   

  	
   

  	
   

  
	
  On behalf of the shares
  held in the

  	
   

  	
   

  	
   

  
	
  Name of Cemgraft.

  	
   

  	
   

  	
   

  
	
  Clive Osborne

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ OJ Sagdahl

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Sama Holding As

  	
   

  	
   

  	
   

  
	
  O J Sagdahl

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Paul Skelton

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Paul Skelton

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ N B Smith

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Nicholas B. Smith

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Mohan Vachani

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Mohan Vachani

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ Nancy Vachani and Mohan
  Vachani

  
	
   

  	
   

  	
   

  	
  /s/ Nancy Vachani

  
	
   

  	
   

  	
   

  	
   

  
	
  Mohan Vachani and Nancy
  Vachani JT TEN

  	
   

  	
   

  	
   

  
	
  Mohan and Nancy Vachani
  Trust

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ J Vaughan

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Julie Vaughan

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

 

	
   

  	
   

  	
  Signature:

  	
  /s/ B Vaughan

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  Barrie Vaughan

  	
   

  	
   

  	
   

  
	
  Printed Name

  	
   

  	
   

  	
   

  

 

 

IN WITNESS WHEREOF, the parties hereto have executed this Amendment to
Amended and Stockholders’ Agreement as of the date and year first above
written.

 

	
   

  	
   

  	
  As Series A Investor, Series C
  Investor and

  
	
   

  	
   

  	
  Prior Stockholder:

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  MFP Partners, L.P.

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Michael F. Price

  
	
   

  	
   

  	
   

  	
  Michael F. Price,
  Managing PartnerEXHIBIT 10.2

 

CERTIFICATE OF AMENDMENT

OF 2001 STOCK OPTION PLAN OF

NEXSAN CORPORATION.

 

The
undersigned, who is the duly elected, qualified and acting Secretary of Nexsan
Corporation, a Delaware corporation (the “Corporation”),
does hereby certify, as follows:

 

1.                                      The first
paragraph of Section 3 of the Plan was amended and restated, by the Board
the Directors of the Corporation by unanimous written consent in lieu of a
meeting of the Board, dated as of November 4, 2009, and by the
stockholders of the Corporation by written consent in lieu of a meeting dated
as of November 4, 2009,  to read in
its entirety, as follows:

 

“3.                                 Stock Subject
to the Plan.  Subject to
the provisions of Section 12 of the Plan, the maximum aggregate number of
Shares which may be subject to options and sold under the Plan is 16,083,878
Shares.  The Shares may be authorized but
unissued, or reacquired Common Stock.”

 

2.                                      The foregoing
amendments to the Plan have not been modified, amended, rescinded or revoked
and remain in full force and effect on the date hereof.

 

[Remainder of Page Intentionally Left Blank; Signature Page Follows]

 

 

IN WITNESS WHEREOF, I have hereunto subscribed my
name on November 4, 2009.

 

 

	
   

  	
  /s/
  Gene Spies

  
	
   

  	
  Gene
  Spies

  
	
   

  	
  Secretary

  

 

 

NEXSAN CORPORATION

 

2001 STOCK PLAN

 

 

1.             Purposes of the Plan.  The purposes of this Stock Plan are to
attract and retain the best available personnel for positions of substantial
responsibility, to provide additional incentive to Employees, Directors and
Consultants and to promote the success of the Company’s business.  Options granted under the Plan may be
Incentive Stock Options or Nonstatutory Stock Options, as determined by the
Administrator at the time of grant. Stock Purchase Rights may also be granted
under the Plan.  This Plan is intended to
be a written compensatory plan within the meaning of Rule 701 promulgated
under the Securities Act.

 

2.             Definitions.  As used herein, the following definitions
shall apply:

 

(a)           “Administrator”
means the Board or any of its Committees as shall be administering the Plan in
accordance with Section 4 hereof.

 

(b)           “Applicable Laws”
means the requirements relating to the administration of stock option plans
under U.S. state corporate laws, U.S. federal and state securities laws, the
Code, any stock exchange or quotation system on which the Common Stock is
listed or quoted and the applicable laws of any other country or jurisdiction
where Options or Stock Purchase Rights are granted under the Plan.

 

(c)           “Board” means
the Board of Directors of the Company.

 

(d)           “Code” means
the Internal Revenue Code of 1986, as amended.

 

(e)           “Committee”
means a committee of Directors appointed by the Board in accordance with Section 4
hereof.

 

(f)            “Common Stock”
means the common stock, par value $0.001 
per share, of the Company.

 

(g)           “Company”
means Nexsan Corporation, a  Delaware
corporation.

 

(h)           “Consultant”
means any person who is engaged by the Company or any Parent or Subsidiary to
render consulting or advisory services to such entity.

 

(i)            “Director”
means a member of the Board of Directors of the Company.

 

(j)            “Disability”
means total and permanent disability as defined in Section 22(e)(3) of
the Code, or if otherwise defined in any agreement between the Company and the
Service Provider, as so defined.

 

 

 

(k)           “Employee”
means any person, including Officers and Directors, employed by the Company or
any Parent or Subsidiary of the Company. 
A Service Provider shall not cease to be an Employee in the case of (i) any
leave of absence approved by the Company or (ii) transfers between
locations of the Company or between the Company, its Parent, any Subsidiary or
any successor.  For purposes of Incentive
Stock Options, no such leave may exceed ninety days, unless re-employment upon
expiration of such leave is guaranteed by statute or contract.  If re-employment upon expiration of a leave
of absence approved by the Company is not so guaranteed, on the 181st day of
such leave any Incentive Stock Option held by the Optionee shall cease to be treated
as an Incentive Stock Option and shall be treated for tax purposes as a
Nonstatutory Stock Option.  Neither
service as a Director nor payment of a director’s fee by the Company shall be
sufficient to constitute “employment” by the Company.

 

(l)            “Exchange Act”
means the Securities Exchange Act of 1934, as amended.

 

(m)          “Fair Market Value”
means, as of any date, the value of Common Stock determined as follows:

 

(i)        If the Common Stock is listed on any
established stock exchange or a national market system, including without
limitation the Nasdaq National Market or The Nasdaq SmallCap Market of The
Nasdaq Stock Market, its Fair Market Value shall be the closing sales price for
such stock (or the closing bid, if no sales were reported) as quoted on such exchange
or system for the last market trading day prior to the day of determination, as
reported in The Wall Street Journal
or such other source as the Administrator deems reliable;

 

(ii)       If the Common Stock is regularly quoted
by a recognized securities dealer but selling prices are not reported, its Fair
Market Value shall be the mean between the high bid and low asked prices for
the Common Stock on the last market trading day prior to the day of
determination; or

 

(iii)      In the absence of an established market
for the Common Stock, the Fair Market Value thereof shall be determined in good
faith by the Administrator.

 

(n)           “Incentive Stock
Option” means an Option intended to qualify as an incentive stock option
within the meaning of Section 422 of the Code.

 

(o)           “Nonstatutory
Stock Option” means an Option not intended to qualify as an Incentive Stock
Option.

 

(p)           “Officer”
means a person who is an officer of the Company within the meaning of Section 16
of the Exchange Act and the rules and regulations promulgated thereunder.

 

(q)           “Option”
means a stock option granted pursuant to the Plan.

 

(r)            “Option
Agreement” means a written or electronic agreement between the Company and
an Optionee evidencing the terms and conditions of an individual Option
grant.  The Option Agreement is subject
to the terms and conditions of the Plan. The Option Agreement will contain such
representations and agreements regarding Optionee’s investment intent and access
to information and other matters, if any, as may be required or desirable by
the Company to comply with applicable securities laws.

 

2

 

(s)           “Option Exchange
Program” means a program whereby outstanding Options are exchanged for
Options with a lower exercise price.

 

(t)            “Optioned Stock”
means the Common Stock subject to an Option or a Stock Purchase Right.

 

(u)           “Optionee”
means the holder of an outstanding Option or Stock Purchase Right granted under
the Plan.

 

(v)           “Parent”
means a “parent corporation,” whether now or hereafter existing, as defined in Section 424(e) of
the Code.

 

(w)          “Plan” means
this 2001 Stock Plan.

 

(x)            “Restricted
Stock” means shares of Common Stock acquired pursuant to a grant of a Stock
Purchase Right under Section 11 below.

 

(y)           “Securities Act”
means the Securities Act of 1933, as amended.

 

(z)            “Service
Provider”  means an Employee,
Director or Consultant.

 

(aa)         “Share” means
a share of the Common Stock, as adjusted in accordance with Section 12
below.

 

(bb)         “Stock Purchase
Right” means a right to purchase Common Stock pursuant to Section 11
below.

 

(cc)         “Subsidiary”
means a “subsidiary corporation,” whether now or hereafter existing, as defined
in Section 424(f) of the Code.

 

3.             Stock Subject to the Plan.  Subject to the provisions of Section 12
of the Plan, the maximum aggregate number of Shares which may be subject to
option and sold under the Plan is seven million five hundred seventy two
thousand two hundred twenty two (7,572,222) Shares.  The Shares may be authorized but unissued, or
reacquired Common Stock.

 

If an Option or Stock Purchase Right expires or becomes unexercisable
without having been exercised in full, or is surrendered pursuant to an Option
Exchange Program, the unpurchased Shares which were subject thereto shall
become available for future grant or sale under the Plan (unless the Plan has
terminated).  However, Shares that have
actually been issued under the Plan, upon exercise of either an Option or Stock
Purchase Right, shall not be returned to the Plan and shall not become available
for future distribution under the Plan, except that if Shares of Restricted
Stock are repurchased by the Company at their original purchase price, such
Shares shall become available for future grant under the Plan.

 

4.             Administration of the Plan.

 

3

 

(a)           Administrator.  The Plan shall be administered by the Board
or a Committee appointed by the Board, which Committee shall be constituted to
comply with Applicable Laws.

 

(b)           Powers of the Administrator.  Subject to the provisions of the Plan and, in
the case of a Committee, the specific duties delegated by the Board to such
Committee, and subject to the approval of any relevant authorities, the
Administrator shall have the authority in its discretion:

 

(i)        to determine the Fair Market Value;

 

(ii)       to select the Service Providers to whom
Options and Stock Purchase Rights may from time to time be granted hereunder;

 

(iii)      to determine the number of Shares to be
covered by each such award granted hereunder;

 

(iv)      to approve forms of agreement for use
under the Plan;

 

(v)       to determine the terms and conditions, of
any Option or Stock Purchase Right granted hereunder.  Such terms and conditions include, but are
not limited to, the exercise price, the time or times when Options or Stock
Purchase Rights may be exercised (which may be based on performance criteria),
any vesting acceleration or waiver of forfeiture restrictions, and any
restriction or limitation regarding any Option or Stock Purchase Right or the
Common Stock relating thereto, based in each case on such factors as the
Administrator, in its sole discretion, shall determine;

 

(vi)      to determine whether and under what
circumstances an Option may be settled in cash under subsection 9(f) below
instead of Common Stock;

 

(vii)     to reduce the exercise price of any Option
to the then current Fair Market Value if the Fair Market Value of the Common
Stock covered by such Option has declined since the date the Option was
granted;

 

(viii)    to initiate an Option Exchange Program;

 

(ix)       to prescribe, amend and rescind rules and
regulations relating to the Plan, including rules and regulations relating
to sub-plans established for the purpose of qualifying for preferred tax
treatment under foreign tax laws;

 

(x)        to allow Optionees to satisfy
withholding tax obligations by electing to have the Company withhold from the
Shares to be issued upon exercise of an Option or Stock Purchase Right that
number of Shares having a Fair Market Value equal to the amount required to be
withheld.  The Fair Market Value of the
Shares to be withheld shall be determined on the date that the amount of tax to
be withheld is to be determined.  All
elections by Optionees to have Shares withheld for this purpose shall be made
in such form and under such conditions as the Administrator may deem necessary
or advisable;

 

4

 

(xi)       to extend the vesting period beyond the
term set forth in any Option Agreement or Stock Purchase Right agreement.

 

(xii)      to construe and interpret the terms of the
Plan and awards granted pursuant to the Plan.

 

(c)           Effect of Administrator’s
Decision.  All decisions,
determinations and interpretations of the Administrator shall be final and
binding on all Optionees.

 

5.             Eligibility.

 

(a)           Nonstatutory Stock
Options and Stock Purchase Rights may be granted to Service Providers.  Incentive Stock Options may be granted only
to Employees.

 

(b)           Each Option shall be
designated in the Option Agreement as either an Incentive Stock Option or a
Nonstatutory Stock Option.  However,
notwithstanding such designation, to the extent that the aggregate Fair Market
Value of the Shares with respect to which Incentive Stock Options are
exercisable for the first time by the Optionee during any calendar year (under
all plans of the Company and any Parent or Subsidiary) exceeds $100,000, such
Options shall be treated as Nonstatutory Stock Options.  For purposes of this Section 5(b),
Incentive Stock Options shall be taken into account in the order in which they
were granted.  The Fair Market Value of
the Shares shall be determined as of the time the Option with respect to such
Shares is granted.

 

(c)           Neither the Plan nor
any Option or Stock Purchase Right shall confer upon any Optionee any right
with respect to continuing the Optionee’s relationship as a Service Provider
with the Company, nor shall it interfere in any way with his or her right or
the Company’s right to terminate such relationship at any time, with or without
cause.

 

6.             Term of Plan.  The Plan shall become effective upon its
adoption by the Board.  It shall continue
in effect for a term of ten (10) years unless sooner terminated under Section 14
of the Plan.

 

7.             Term of Option.  The term of each Option shall be stated in
the Option Agreement; provided, however, that the term shall be no more than
ten (10) years from the date of grant thereof.  In the case of an Incentive Stock Option
granted to an Optionee who, at the time the Option is granted, owns stock
representing more than ten percent (10%) of the voting power of all classes of
stock of the Company or any Parent or Subsidiary, the term of the Option shall
be five (5) years from the date of grant or such shorter term as may be
provided in the Option Agreement.

 

8.             Option Exercise
Price and Consideration.

 

(a)           The per share
exercise price for the Shares to be issued upon exercise of an Option shall be
such price as is determined by the Administrator, but shall be subject to the
following:

 

(i)        In the case of an Incentive Stock Option

 

5

 

(A)          granted to an Employee who, at the
time of grant of such Option, owns stock representing more than ten (10%)
percent of the voting power of all classes of stock of the Company or any
Parent or Subsidiary, the per Share exercise price shall be no less than 110%
of the Fair Market Value per Share on the date of grant; and

 

(B)           granted to any other Employee, the
per Share exercise price shall be no less than 100% of the Fair Market Value
per Share on the date of grant.

 

(ii)       Notwithstanding the foregoing, Options
may be granted with a per Share exercise price other than as required above
pursuant to a merger or other corporate transaction.

 

(b)           The consideration to
be paid for the Shares to be issued upon exercise of an Option, including the
method of payment, shall be determined by the Administrator (and, in the case
of an Incentive Stock Option, shall be determined at the time of grant).  Such consideration  may be paid:

 

(i)            in cash; or by check; or by a
promissory note;

 

(ii)           by cancellation of indebtedness of
the Company owed to Optionee;

 

(iii)          by surrender of shares that:(1) either
(x) have been owned by Optionee for more than six (6) months and have
been paid for within the meaning of Exchange Act Rule 144 (and if such
shares were purchased from the Company by use of a promissory note, such note
has been fully paid with respect to such shares), or (y) were obtained by
Optionee in the public market and (2) are clear of all liens, claims,
encumbrances or security interests;

 

(iv)          by tender of a promissory note having
such terms as may be approved by the Administrator and bearing interest at a
rate sufficient to avoid imputation of income under Sections 483 and 1274 of
the Code; provided, however, that Optionees who are not employees or directors
of the Company will not be entitled to purchase Shares with a promissory note
unless the note is adequately secured by collateral other than the Shares;
provided, further, that the portion of the exercise price or the purchase price,
as the case may be, equal to the par value of the Shares must be paid in cash
or other legal consideration permitted by the Delaware General Corporation Law;

 

(v)           by waiver of compensation due or
accrued to the Optionee from the Company for services rendered;

 

(vi)          with respect only to purchases upon
exercise of an Option and provided that a public market for the Shares exists: (1) through
a ‘same day sale’ commitment from the Optionee and a broker-dealer that is a
member of the National Association of Securities Dealers (an “NASD Dealer”)
whereby the Optionee irrevocably elects to exercise the Option and to sell a
portion of the Shares so purchased sufficient to pay the total exercise price,
and whereby the NASD Dealer irrevocably commits upon receipt of such Shares to
forward the total exercise price directly to the Company; or (2) through ‘margin’
commitment from the Optionee and a NASD Dealer whereby the Optionee irrevocably
elects to exercise the option in the amount of the total exercise price, and whereby
the NASD Dealer irrevocably commits upon receipt of such Shares to forward the
total exercise price directly to the Company; or

 

6

 

(vii)         any combination of the foregoing
methods of payment.

 

In making its determination as to the type of consideration to accept,
the Administrator shall consider if acceptance of such consideration may be
reasonably expected to benefit the Company.

 

9.             Exercise of Option.

 

(a)           Procedure for Exercise;
Rights as a Stockholder.  Any Option
granted hereunder shall be exercisable according to the terms hereof at such
times and under such conditions as determined by the Administrator and set
forth in the Option Agreement.  Unless
the Administrator provides otherwise, vesting of Options granted hereunder to
Officers and Directors shall be tolled during any unpaid leave of absence.  An Option may not be exercised for a fraction
of a Share.

 

An Option shall be deemed exercised when the Company receives: (i) written
or electronic notice of exercise (in accordance with the Option Agreement) from
the person entitled to exercise the Option; such notice shall include (x) the
number of Shares being purchased, (y) the restriction imposed on the
Shares under the Option Agreement, if any, and (z) such representations
and agreements regarding Optionee’s investment intent and access to information
and other matters, if any, as may be required or desirable by Company to comply
with applicable securities laws; and  (ii) full
payment for the Shares with respect to which the Option is exercised.  Full payment may consist of any consideration
and method of payment authorized by the Administrator and permitted by the
Option Agreement and the Plan.  Shares
issued upon exercise of an Option shall be issued in the name of the Optionee
or, if requested by the Optionee, in the name of the Optionee and his or her
spouse.  Until the Shares are issued (as
evidenced by the appropriate entry on the books of the Company or of a duly
authorized transfer agent of the Company), no right to vote or receive
dividends or any other rights as a stockholder shall exist with respect to the
Shares, notwithstanding the exercise of the Option.  The Company shall issue (or cause to be issued)
such Shares promptly after the Option is exercised.  No adjustment will be made for a dividend or
other right for which the record date is prior to the date the Shares are
issued, except as provided in Section 12 of the Plan.

 

Exercise of an Option in any manner shall result in a decrease in the
number of Shares thereafter available, both for purposes of the Plan and for
sale under the Option, by the number of Shares as to which the Option is
exercised.

 

(b)           Termination of
Relationship as a Service Provider. 
If an Optionee ceases to be a Service Provider, such Optionee may
exercise his or her Option within such period of time as is specified in the
Option Agreement (which shall be at least thirty (30) days) to the extent that
the Option is vested on the date of termination (but in no event later than the
expiration of the term of the Option as set forth in the Option
Agreement).  In the absence of a
specified time in the Option Agreement, the Option shall remain exercisable for
three (3) months following the Optionee’s termination.  If, on the date of termination, the Optionee
is not vested as to his or her entire Option, the Shares covered by the
unvested portion of the Option shall revert to the Plan.  If, after termination, the Optionee does not
exercise his or her Option within the time specified herein, the Option shall
terminate, and the Shares covered by such Option shall revert to the Plan.

 

7

 

(c)           Disability of
Optionee.  If an Optionee ceases to
be a Service Provider as a result of the Optionee’s Disability, the Optionee
may exercise his or her Option within such period of time as is specified in
the Option Agreement (which shall be at least six (6) months) to the
extent the Option is vested on the date of termination (but in no event later
than the expiration of the term of such Option as set forth in the Option
Agreement).  In the absence of a
specified time in the Option Agreement, the Option shall remain exercisable for
twelve (12) months following the Optionee’s termination.  If, on the date of termination, the Optionee
is not vested as to his or her entire Option, the Shares covered by the
unvested portion of the Option shall revert to the Plan.  If, after termination, the Optionee does not
exercise his or her Option within the time specified herein, the Option shall
terminate, and the Shares covered by such Option shall revert to the Plan.

 

(d)           Termination for
Cause.  Notwithstanding any other
provision of the Plan, if an Optionee is terminated for Cause, then Optionee’s
Options or Stock Purchase Right shall expire on such termination date, or on
such conditions as are determined by the Administrator. “Cause” has the meaning
set forth in any agreement between the Company and the Optionee, or absent such
agreement, means termination of a Service Provider’s term with the Company
because of (i) any willful, material violation by the Optionee of any law
or regulation applicable to the business of the Company or a Parent or a
Subsidiary of the Company, the Optionee’s conviction for, or guilty plea - or
nolo contendere - to, a felony or a crime involving moral turpitude, (ii) the
Optionee’s commission of an act of personal dishonesty which involves personal
profit in connection with the Company or any other entity having a business
relationship with the Company, (iii) any material breach by the Optionee
of any provision of any agreement or understanding between the Company or any
Parent or Subsidiary of the Company and the Optionee regarding the terms of the
Optionee’s service as a Service Provider, including any contract of employment,
(iv) the Optionee’s violation of any of the policies of the Company or any
Parent or Subsidiary of the Company so as to cause loss, damage or injury to
the property, reputation or employees of the Company or any Parent or
Subsidiary of the Company, or (v) any other misconduct by the Optionee
which is materially injurious to the financial condition or business reputation
of, or is otherwise injurious to, the Company or a Parent or a Subsidiary of
the Company.

 

(e)           Death of Optionee.  If an Optionee dies while a Service Provider,
the Option may be exercised within such period of time as is specified in the
Option Agreement (which shall be at least six (6) months) to the extent
that the Option is vested on the date of death (but in no event later than the
expiration of the term of such Option as set forth in the Option Agreement) by
the Optionee’s estate or by a person who acquires the right to exercise the
Option by bequest or inheritance.  In the
absence of a specified time in the Option Agreement, the Option shall remain
exercisable for twelve (12) months following the Optionee’s termination.  If, at the time of death, the Optionee is not
vested as to the entire Option, the Shares covered by the unvested portion of the
Option shall immediately revert to the Plan. 
If the Option is not so exercised within the time specified herein, the
Option shall terminate, and the Shares covered by such Option shall revert to
the Plan.

 

8

 

(f)            Buyout
Provisions.  The Administrator may at
any time offer to buy out for a payment in cash or Shares, an Option previously
granted, based on such terms and conditions as the Administrator shall
establish and communicate to the Optionee at the time that such offer is made.

 

(h)           Right of First
Refusal. At the discretion of the Administrator, the Company may reserve to
itself the right of first refusal, in any of the Option Agreements, to purchase
all Shares that an Optionee may propose to transfer to a third party, provided
that the right of first refusal terminates upon the Company’s initial public
offering of Common Stock pursuant to an effective registration statement filed
under the Securities Act.

 

10.           Non-Transferability of Options
and Stock Purchase Rights.  Except as
otherwise provided in the applicable Option Agreement or Restricted Stock
purchase agreement, the Options and Stock Purchase Rights may not be sold,
pledged, assigned, hypothecated, transferred, or disposed of in any manner
other than by will or by the laws of descent or distribution and may be
exercised, during the lifetime of the Optionee, only by the Optionee.

 

11.           Stock Purchase
Rights.

 

(a)           Right of First
Refusal. At the discretion of the Administrator, the Company may reserve to
itself the right of first refusal, in any of the Restricted Stock purchase
agreements, to purchase all Shares that a Service Provider may propose to
transfer to a third party, provided that the right of first refusal terminates
upon the Company’s initial public offering of Common Stock pursuant to an
effective registration statement filed under the Securities Act.

 

(b)           Rights to
Purchase.  Stock Purchase Rights may
be issued either alone, in addition to, or in tandem with other awards granted
under the Plan and/or cash awards made outside of the Plan.  After the Administrator determines that it
will offer Stock Purchase Rights under the Plan, it shall advise the offeree in
writing or electronically of the terms, conditions and restrictions related to
the offer, including the number of Shares that such person shall be entitled to
purchase, the price to be paid, and the time within which such person must
accept such offer.  The offer shall be
accepted by execution of a Restricted Stock purchase agreement in the form
determined by the Administrator.

 

(c)           Repurchase Option.  Unless the Administrator determines
otherwise, the Restricted Stock purchase agreement shall grant the Company a
repurchase option exercisable upon the voluntary or involuntary termination of
the purchaser’s service with the Company for any reason (including death or
Disability).  The purchase price for
Shares repurchased pursuant to the Restricted Stock purchase agreement shall be
the original price paid by the purchaser and may be paid by cancellation of any
indebtedness of the purchaser to the Company. 
The repurchase option shall lapse at such rate as the Administrator may
determine.

 

(d)           Other Provisions.  The Restricted Stock purchase agreement shall
contain such other terms, provisions and conditions not inconsistent with the
Plan as may be determined by the Administrator in its sole discretion.

 

9

 

(d)           Rights as a
Stockholder.  Once the Stock Purchase
Right is exercised, the purchaser shall have rights equivalent to those of a
stockholder and shall be a stockholder when his or her purchase is entered upon
the records of the duly authorized transfer agent of the Company.  No adjustment shall be made for a dividend or
other right for which the record date is prior to the date the Stock Purchase
Right is exercised, except as provided in Section 12 of the Plan.

 

12.           Adjustments Upon Changes in Capitalization,
Merger or Asset Sale.

 

(a)           Changes in
Capitalization.  Subject to any
required action by the stockholders of the Company, the number of shares of
Common Stock covered by each outstanding Option or Stock Purchase Right, and
the number of shares of Common Stock which have been authorized for issuance
under the Plan but as to which no Options or Stock Purchase Rights have yet
been granted or which have been returned to the Plan upon cancellation or
expiration of an Option or Stock Purchase Right, as well as the price per share
of Common Stock covered by each such outstanding Option or Stock Purchase
Right, shall be proportionately adjusted for any increase or decrease in the
number of issued shares of Common Stock resulting from a stock split, reverse
stock split, stock dividend, combination or reclassification of the Common
Stock, or any other increase or decrease in the number of issued shares of
Common Stock effected without receipt of consideration by the Company.  The conversion of any convertible securities
of the Company shall not be deemed to have been “effected without receipt of
consideration.”  Such adjustment shall be
made by the Board, whose determination in that respect shall be final, binding
and conclusive.  Except as expressly
provided herein, no issuance by the Company of shares of stock of any class, or
securities convertible into shares of stock of any class, shall affect, and no
adjustment by reason thereof shall be made with respect to, the number or price
of shares of Common Stock subject to an Option or Stock Purchase Right.

 

(b)           Dissolution or
Liquidation.  In the event of the
proposed dissolution or liquidation of the Company, the Administrator shall
notify each Optionee as soon as practicable prior to the effective date of such
proposed transaction.  The Administrator
in its discretion may provide for an Optionee to have the right to exercise his
or her Option or Stock Purchase Right until fifteen (15) days prior to such
transaction as to all of the Optioned Stock covered thereby, including Shares
as to which the Option or Stock Purchase Right would not otherwise be exercisable.  In addition, the Administrator may provide
that any Company repurchase option applicable to any Shares purchased upon
exercise of an Option or Stock Purchase Right shall lapse as to all such
Shares, provided the proposed dissolution or liquidation takes place at the
time and in the manner contemplated.  To
the extent it has not been previously exercised, an Option or Stock Purchase
Right will terminate immediately prior to the consummation of such proposed action.

 

(c)           Merger or Asset
Sale.  In the event of a merger of
the Company with or into another corporation, or the sale of substantially all
of the assets of the Company, each outstanding Option and Stock Purchase Right
shall be assumed or an equivalent option or right substituted by the successor
corporation or a Parent or Subsidiary of the successor corporation.  In the event that the successor corporation
refuses to assume or substitute for the Option or Stock Purchase Right, the
Optionee shall fully vest in and have the right to exercise the Option or Stock
Purchase Right as to all of the Optioned Stock, including Shares as to which it
would not otherwise be vested or exercisable. 
If an Option or Stock Purchase Right becomes fully vested 

 

10

 

and exercisable in lieu of assumption or substitution
in the event of a merger or sale of assets, the Administrator shall notify the
Optionee in writing or electronically that the Option or Stock Purchase Right
shall be fully exercisable for a period of fifteen (15) days from the date of
such notice, and the Option or Stock Purchase Right shall terminate upon the
expiration of such period.  For the
purposes of this paragraph, the Option or Stock Purchase Right shall be
considered assumed if, following the merger or sale of assets, the option or
right confers the right to purchase or receive, for each Share of Optioned
Stock subject to the Option or Stock Purchase Right immediately prior to the
merger or sale of assets, the consideration (whether stock, cash, or other
securities or property) received in the merger or sale of assets by holders of
Common Stock for each Share held on the effective date of the transaction (and
if holders were offered a choice of consideration, the type of consideration
chosen by the holders of a majority of the outstanding Shares); provided,
however, that if such consideration received in the merger or sale of assets is
not solely common stock of the successor corporation or its Parent, the
Administrator may, with the consent of the successor corporation, provide for
the consideration to be received upon the exercise of the Option or Stock
Purchase Right, for each Share of Optioned Stock subject to the Option or Stock
Purchase Right, to be solely common stock of the successor corporation or its
Parent equal in fair market value to the per share consideration received by
holders of Common Stock in the merger or sale of assets.

 

13.           Time of Granting Options
and Stock Purchase Rights.  The date
of grant of an Option or Stock Purchase Right shall, for all purposes, be the
date on which the Administrator makes the determination granting such Option or
Stock Purchase Right, or such other date as is determined by the
Administrator.  Notice of the determination
shall be given to each Service Provider to whom an Option or Stock Purchase
Right is so granted within a reasonable time after the date of such grant.

 

14.           Amendment and Termination of the Plan.

 

(a)           Amendment and
Termination.  The Board may at any
time amend, alter, suspend or terminate the Plan.

 

(b)           Stockholder
Approval.  The Board shall obtain
stockholder approval of any Plan amendment to the extent necessary and
desirable to comply with Applicable Laws.

 

(c)           Effect of Amendment or Termination.  No amendment, alteration, suspension or
termination of the Plan shall impair the rights of any Optionee, unless
mutually agreed otherwise between the Optionee and the Administrator, which
agreement must be in writing and signed by the Optionee and the Company.  Termination of the Plan shall not affect the
Administrator’s ability to exercise the powers granted to it hereunder with
respect to Options or Stock Purchase Rights granted under the Plan prior to the
date of such termination.

 

15.           Conditions Upon Issuance of Shares.

 

(a)           Legal Compliance.  Shares shall not be issued pursuant to the
exercise of an Option  unless the
exercise of such Option and the issuance and delivery of such Shares shall
comply with Applicable Laws and shall be further subject to the approval of
counsel for the Company with respect to such compliance.

 

11

 

(b)           Investment
Representations.  As a condition to
the exercise of an Option, the Administrator may require the person exercising
such Option to represent and warrant in the Option Agreement and/or at the time
of any such exercise that the Shares are being purchased only for investment
and without any present intention to sell or distribute such Shares if, in the
opinion of counsel for the Company, such a representation is required or
recommended.

 

16.           Inability to
Obtain Authority.  The inability of
the Company to obtain authority from any regulatory body having jurisdiction,
which authority is deemed by the Company’s counsel to be necessary to the
lawful issuance and sale of any Shares hereunder, shall relieve the Company of
any liability in respect of the failure to issue or sell such Shares as to
which such requisite authority shall not have been obtained.

 

17.           Reservation of Shares.  The Company, during the term of this Plan,
shall at all times reserve and keep available such number of Shares as shall be
sufficient to satisfy the requirements of the Plan.

 

18.           Stockholder
Approval.  The Plan shall be subject
to approval by the stockholders of the Company within twelve (12) months after
the date the Plan is adopted.  Such
stockholder approval shall be obtained in the degree and manner required under
Applicable Laws.

 

12

 

THE SECURITIES REPRESENTED BY
THIS CERTIFICATE HAVE NOT BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE
COMMISSION OR THE SECURITIES COMMISSION OF ANY STATE IN RELIANCE UPON AN
EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
ACT”), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN
EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT TO AN
AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION
REQUIREMENTS OF THE SECURITIES ACT AND IN ACCORDANCE WITH APPLICABLE STATE
SECURITIES LAWS.

 

	
  Option
  Certificate No. «no»

  	
   

  	
  Option
  to Purchase «shares» Shares of Common Stock

  
	
   

  	
   

  	
  (Subject
  to Adjustment)

  
	
   

  	
   

  	
   

  
	
  Original
  Issue Date: «issuedate»

  
	
   

  	
   

  	
   

  
	
  Original
  Exercise Price: «price» per share

  
					

 

 

OPTION
TO PURCHASE COMMON STOCK

 

OF

 

NEXSAN
CORPORATION

 

This certifies that «name» or
permitted assigns (the
“Option Holder”), is entitled, subject
to the terms and conditions set forth herein, at any time and from time to
time, on and after the Original Issue Date set forth above until 5:00 P.M.,
New York, New York time, on the fifth anniversary of the Original Issue Date
(the “Expiration Date”), to purchase from NEXSAN CORPORATION, a corporation organized and existing under the laws of the
State of Delaware (hereinafter called the “Company”), up to
«shares» fully paid and non-assessable shares of Common Stock, $.001 par value
per share, of the Company upon surrender of this Option Certificate, at the
principal office of the Company, with the subscription form annexed hereto duly executed by the Option Holder, and
simultaneous payment therefor in lawful money of the  United States of the exercise price per share set
forth above (or in the manner set forth in Section 2.2 hereof)
subject to adjustment as provided below (such amount being herein called the “Exercise
Price”).  The number and character of
such shares of Common Stock issuable upon exercise
of this Option are subject to adjustment as provided below.  The Options granted under this Option
Certificate are granted under the Company’s 2001 Stock Plan, a copy of which
has been delivered to the Option Holder, and pursuant to the Series A
Stock Purchase Agreement, dated October 27, 2003, among the Corporation
and the parties identified therein, as the same may be amended from time to
time.

 

1.             The Options.  The term “Option(s)”
as used herein means the Option represented by this Certificate and any Options
delivered in substitution or exchange therefor as provided herein.  The term “Option Shares” as used
herein means as of any date all shares of Common Stock of the Company or other securities, properties or rights
theretofore issued or at the 

 

 

1

 

time  issuable upon
exercise of the Options.  The term
“Common Stock” as used herein means (i) the
class of stock currently designated as Common Stock in the Amended and Restated
Certificate of Incorporation of the Company, as the same may be further amended
from time to time (the “Restated Charter”) or (ii) any other class
of stock resulting from successive changes or reclassifications of such Common
Stock.

 

2.             Exercise.

 

2.1           This Option may be exercised at any
time and from time to time on and after the Original Issue Date until 5:00 P.M.,
New York, New York time on the Expiration Date, for up to the full number of
shares of Common Stock called for hereby (after giving effect to any required
adjustment), by surrendering this Certificate at the then principal office of
the Company (currently located at 21700 Oxnard Street, Woodland Hills,
California 91367) with the subscription form duly executed by the Option Holder
indicating the number of shares as to which the Option is then being exercised
together with payment by certified or official bank check or in immediately
available funds of the sum obtained by multiplying (i) the number of
shares of Common Stock as to which this Option is being exercised (after giving
effect to any adjustment therein as provided below) by (ii) the Exercise
Price.

 

2.2           In addition to the method of payment
set forth in Section 2.1 and in lieu of any cash payment required
thereunder, this Option may be exercised at any time and from time to time in
full or in part by surrendering the Option Certificate in the manner specified in
Section 2.1 in exchange for the number of shares of Common Stock equal to
the product of (x) the number of shares as to which this Option is being
exercised multiplied by (y) a fraction, the numerator of which is the
Market Price (as defined herein) of the Common Stock for the trading day
immediately preceding the date on which the form of subscription attached
hereto is deemed to have been given to the Company pursuant to Section 11
hereof less the Exercise Price, and the denominator of which is such Market
Price.  As used in this Option
Certificate, the term “Market Price” at any date shall be deemed to be
the last reported sales price of Common Stock on such date, as officially
reported by the principal securities exchange on which the Common Stock is listed
or admitted to trading, or, if the Common Stock is not listed or admitted to
trading on any national securities exchange, on NASDAQ or on the OTCBB, as the
case may be (and if no sales were made on any such date, the average of the
closing bid and asked prices on such date as furnished by NASDAQ or the OTCBB,
as the case may be, or similar organization if NASDAQ or the OTCBB is no longer reporting such information), or if the Common
Stock is not quoted on NASDAQ or the OTCBB, as determined in good faith
by resolution of the Board of Directors of the Company based on the best
information available to it.

 

2.3           This Option may be exercised for less
than the full number of shares of Common Stock called for hereby (but not as to
fractional shares of Common Stock) in the manner set forth in Sections 2.1 and
2.2.  Upon any partial exercise, the
number of shares of Common Stock issuable upon the exercise of this Option as a
whole, and the sum (if any) payable upon the exercise of this Option as a
whole, shall be proportionately reduced. 
Upon such partial exercise, this Option Certificate shall be
surrendered, and (unless it is after 5:00 P.M., New York, New York time on
the Expiration Date) a new Option Certificate of the same tenor, with the same
Expiration Date and for the purchase of the number of such shares of Common
Stock not purchased upon such exercise or any prior exercise shall be issued by
the Company to the Option Holder.

 

2

 

2.4           Upon its exercise, this Option shall
be deemed to have been exercised immediately prior to the close of business on
the date of surrender for exercise of this Certificate (or, in the event this
Certificate is not available, on the date of surrender of the documents
described in Section 9 hereof, together with a letter containing
substantially the information included on the subscription form attached
hereto) as provided above, and the person entitled to receive the shares of
Common Stock or other securities, properties or rights issuable upon such
exercise shall be treated for all purposes as the holder of such shares,
securities, properties or rights of record as of the close of business on such
date.  No later than the first business
day following such date, the Company shall issue and deliver to the person or
persons entitled to receive the same a stock certificate or certificates for
the number of full shares of Common Stock, properties or rights issuable upon
such exercise, together with cash, in lieu of any fraction of a share of Common
Stock, equal to such fraction of the then current market value of one full
share of Common Stock.

 

2.5           Unless the Option Shares are
registered under the Securities Act of 1933, as amended (the “Act”), the certificate or certificates representing
the Option Shares shall bear a legend in substantially the following
form:

 

“The securities represented by this certificate
have not been registered with the Securities and Exchange Commission or the
securities commission of any state in reliance upon an exemption from
registration under the Securities Act of 1933, as amended (the “Securities
Act”), and accordingly, may not be offered or sold except pursuant to an
effective registration statement under the Securities Act or pursuant to an
available exemption from, or in a transaction not subject to, the registration
requirements of the Securities Act and in accordance with applicable state
securities laws.”

 

3.             Payment of Taxes. 
All shares of Common Stock or other securities issued upon the exercise
of this Option pursuant to the terms of this Option Certificate shall be
validly issued, fully paid and non-assessable, and the Company shall pay all
issuance taxes and other similar governmental charges that may be imposed in
respect of the issue or delivery thereof, but in no event shall the Company pay
a tax on or measured by the net income or gain attributed to such exercise;
neither shall the Company be required to pay any tax or other charge imposed in
connection with any transfer of this Option or any transfer involved in the
issuance of any certificate for shares of Common Stock or other securities in
any name other than that of the Option Holder.

 

4.             Transfer and Exchange.

 

4.1           This Option is issued upon the
following terms, to all of which each holder or owner hereof by the taking
hereof consents and agrees:

 

 

3

 

(a)           title to this Option may be
transferred by endorsement (by the registered holder hereof executing the form
of assignment at the end hereof) and delivery in the same manner as in the case
of a negotiable instrument transferable by endorsement and delivery;

 

(b)           any person in possession of this
Option properly endorsed is authorized to represent himself as absolute owner
hereof and is empowered to transfer absolute title hereto by endorsement and
delivery hereof to a bona fide purchaser hereof for value;

 

(c)           this Option and all Option Shares may
be disposed of only in accordance with the Act and the rules and
regulations promulgated thereunder by the Securities and Exchange
Commission.  In connection with any such
proposed disposition, the Company may require such holder to furnish an opinion
of counsel, reasonably satisfactory to the Company, that the proposed
disposition, if effected, will not violate the registration requirements of the
Act.

 

4.2           The Company agrees that, promptly
following any request to do so pursuant to the terms hereof, it will effect any
and all transfers of this Option (or any portion thereof) on the books of the
Company established for such purpose; provided, however, until any such
transfer is effected on the books of the Company, the Company may treat the
prior holder hereof as the absolute owner hereof for all purposes,
notwithstanding any notice to the contrary.

 

5.             Certain Adjustments of Exercise Price and Number of
Shares.

 

5.1           Adjustment for Stock Splits,
Reverse Splits, Stock Dividends, Reclassification, Recapitalizations, etc.  If at any time or from time to time after the
Original Issue Date, the Company shall increase or decrease the number of
outstanding shares of Common Stock by means of any stock dividend, stock split,
reverse split, subdivision, combination or reclassification of shares,
recapitalization or other similar event, then, in each such event, the Exercise
Price shall, simultaneously with the happening of such event, be adjusted by
multiplying the then current Exercise Price by a fraction, the numerator of
which shall be the number of shares of Common Stock outstanding immediately
prior to such event and the denominator of which shall be the number of shares
of Common Stock outstanding immediately after such event, and the product so
obtained shall thereafter be the Exercise Price as then in effect.  The Exercise Price, as so adjusted, shall be
readjusted in the same manner upon the happening of any successive event or
events described herein in this Section 5.1.  The holder of this Option shall thereafter,
on the exercise hereof, be entitled to receive that number of shares of Common
Stock determined by multiplying the number of shares of Common Stock which
would otherwise (but for the provisions of this Section 5.1) be issuable
on such exercise by a fraction of which (i) the numerator is the Exercise
Price which would otherwise (but for the provisions of this Section 5.1)
be in effect, and (ii) the denominator is the Exercise Price in effect on
the date of such exercise.

 

5.2           Adjustment for Reorganization, Merger, Consolidation
or Disposition of Assets.  If at any time or from time to
time after the Original Issue Date, the Company shall reorganize its capital
(other than in a recapitalization as to which an adjustment is made pursuant to
Section 5.1 above), consolidate, amalgamate or merge with or into another
corporation (as a result of which the Company is not the surviving
corporation), or sell, transfer or otherwise 

 

 

4

 

dispose of all or substantially all of its property,
assets or business to another entity and, pursuant to the terms of such
reorganization, merger, amalgamation, consolidation or disposition of assets,
shares of common stock of the successor or acquiring entity, or any cash,
shares of stock or other securities or property of any nature whatsoever
(including warrants or other subscription or purchase rights) in addition to or
in lieu of common stock of the successor or acquiring entity (“Other
Property”), are to be received by or distributed to the holders of Common
Stock of the Company, then the Option Holder shall have the right thereafter to
receive, upon any present or future exercise of this Option and payment of the
Exercise Price as provided for herein, the number of shares of common stock of
the successor or acquiring entity or of the Company, if it is the surviving
corporation, and Other Property received upon or as a result of such
reorganization, merger, amalgamation,
consolidation or disposition of assets by a holder of the number of shares of
Common Stock for which this Option is exercisable immediately prior to such
event.  In case of any such
reorganization, merger, consolidation or disposition of assets, the successor
or acquiring entity (if other than the Company) shall expressly assume the due
and punctual observance and performance of each and every covenant and condition
of this Option to be performed and observed by the Company and all of the
obligations and liabilities hereunder, subject to such modifications as may be
deemed appropriate (as determined by resolution of the Board of Directors of
the Company) in order to provide for adjustments of shares of the Common Stock
for which this Option is exercisable which shall be as nearly equivalent as
practicable to the adjustments provided for in this Section 5.  The foregoing provisions of this Section 5.2
shall similarly apply to successive reorganizations, amalgamations, mergers,
consolidations or dispositions of assets.

 

6.             No Impairment. 
The Company will not, by amendment of its Restated Certificate of
Incorporation or through any 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 of
this Option, 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 holders of the Options
against 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 the Option above the
amount payable therefor on such exercise of
the Option, (b) will take all such action as may be necessary or
appropriate in order that the Company may validly and legally issue fully paid
and non-assessable shares of stock on the exercise of this Option, and (c) will
not consolidate with or merge into any other person or permit any such person
to consolidate with or merge into the Company (if the Company is not the
surviving person), unless such other person shall expressly assume in writing
and will be bound by all the terms of this Option.

 

7.             Accountants’ Certificate as to Adjustments.  In each case of any adjustment or
readjustment in the shares of Common Stock (or Other Securities) issuable on
the exercise of this Option or in the Exercise Price, the Company shall compute
such adjustment or readjustment in accordance with the terms of this Option and
prepare a certificate setting forth such adjustment or readjustment and showing
in reasonable detail the facts upon which such adjustment or readjustment is
based, including a statement of (a) the consideration received or
receivable by the Company for any additional shares of Common Stock (or Other
Securities) issued or sold or deemed to have been issued or sold, (b) the
number of shares of Common Stock (or Other Securities) outstanding or deemed to
be outstanding, and (c) the Exercise Price and the number of shares of
Common Stock to be received upon exercise of this Option, in effect immediately
prior to such issue or sale and as adjusted and readjusted as provided in this
Option.  The Company will forthwith mail
a copy of each such certificate to each holder of record of a Option.

 

 

5

 

8.             Notices of Record Date.  If at any time or from time to time:

 

(a)           the Company shall pay any dividend
upon its Common Stock or make any other distribution to holders of its Common
Stock, or offer for subscription, purchase or other method of acquisition to
holders of its Common Stock any shares of stock of any class or any securities
or any other rights; or

 

(b)           there shall be any capital
reorganization of the Company, any reclassification of the capital stock of the
Company, any consolidation or merger of the Company with or into another
corporation, except for mergers into the Company of its wholly-owned subsidiaries, or any conveyance of all or
substantially all of the assets of the Company to another entity; or

 

(c)           there shall be a voluntary or involuntary
dissolution, liquidation or winding-up of the Company;

 

then, in each such case, the
Company shall give to the holder of this Option, in accordance with Section 11
hereof, (i) at least twenty days prior written notice of the date on which
the books of the Company shall close or a record shall be taken for such
dividend, distribution or offer of subscription rights, or for determining rights
to vote in respect of any such reorganization, reclassification,
consolidation, merger, sale, dissolution, liquidation, or winding up, and (ii) in
the case of any such reorganization, reclassification, consolidation merger,
sale, dissolution, liquidation, or winding up, at least twenty days’ prior
written notice of the date when the same shall take place.  Such notice in accordance with the foregoing
clause (i) shall also specify, in the case of any such dividend,
distribution, or offer of subscription rights, the date on which the holders of
Common Stock shall be entitled thereto, and such notice in accordance with the foregoing clause
(ii) shall also specify the date on which the holders of Common Stock
shall be entitled to exchange their Common Stock for securities or other
property deliverable upon such reorganization, reclassification, consolidation,
merger, sale, dissolution, liquidation, or winding up, as the case may be.

 

9.             Loss or Mutilation.  Upon receipt by the Company of evidence
satisfactory to it (in the exercise of reasonable discretion) of the ownership
of and the loss, theft, destruction or mutilation
of any Option Certificate and (in the case of loss, theft or destruction) of
indemnity of the Option Holder satisfactory to it (in the exercise of
reasonable discretion), and (in the case of mutilation) upon surrender and
cancellation thereof, the Company will execute and deliver in lieu thereof a
new Option Certificate of like tenor.

 

10.           Reservation and Listing of Common
Stock.  The Company shall at all
times reserve and keep available for issue upon the exercise of this Option
such number of its authorized but unissued shares of Common Stock as will be
sufficient to permit the exercise in full of this Option.  If any shares of Common Stock required to be
reserved for issuance upon exercise of this Option require registration or
qualification with any governmental authority or 

 

 

6

 

other governmental approval or filing under any law
before such shares may be so issued, the Company
will in good faith and as expeditiously as possible and at its expense endeavor
to cause such shares to be duly registered or qualified or to take such
other action as may be reasonably necessary to effectuate the issuance of such
shares.  The Company will, at its
expense, list on each national securities
exchange or association on which shares of Common Stock are presently
listed or are hereafter listed (or if then traded on NASDAQ or the OTCBB, make
eligible for trading on NASDAQ or the OTCBB, as the case may be), maintain and,
when necessary, increase such listing (or, if applicable, eligibility for
trading) of, all shares of Common Stock issued or, to the extent permissible
under the applicable securities exchange or association rules, issuable upon
the exercise of this Option so long as any shares of Common Stock shall be so listed
(or, if applicable, so traded).

 

11.           Notices.  All notices and other communications shall be
deemed validly given, made or served if in writing and delivered (as of such
delivery) or sent by certified mail (as of three days after deposit in a United
States post office), postage prepaid, return receipt requested, or by facsimile
or overnight courier service, charges prepaid (as of the date of confirmation
of receipt): (i) if to the Option Holder, to the address or telecopy
number furnished to the Company in writing by the last holder of this Option
who shall have furnished an address or telecopy number to the Company in
writing; or (ii) if to the Company, to the address set forth in Section 2.1
hereof or to such other address or telecopy number furnished in writing by the
Company to the Option Holder.

 

12.           Change; Waiver.  Neither this Option nor any term hereof may
be changed, waived, discharged or terminated orally but only by an instrument
in writing signed by the party against which enforcement of the change, waiver,
discharge or termination is sought.

 

13.           No Rights or Liability as a
Stockholder.  Except as otherwise
expressly provided herein, no holder, as such, of this Option shall be entitled
to vote or receive dividends or be deemed a stockholder of the Company for any
purpose, nor shall anything contained in this Option be construed to confer
upon the holder hereof, as such, any of the rights of a stockholder of the
Company or any right to vote, give or withhold consent to any corporate action
(whether any reorganization, issue of stock, reclassification of stock,
consolidation, merger, conveyance or otherwise), receive notice of meetings
(except as otherwise expressly provided herein), or receive dividends or
subscription rights, prior to the issuance to the holder of this Option of the
Common Stock or other securities which he is then entitled to receive upon the
due exercise of this Option.  No
provision 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 hereof shall give rise to any liability of such holder as a
stockholder of the Company.

 

14.           Headings.  The headings in this Option are for purposes
of convenience in reference only and shall not be deemed to constitute a part
hereof or to affect the interpretation of any provision of this Option.

 

 

7

 

15.           Law Governing.  This Option shall be construed and enforced
in accordance with and shall be governed by the laws of New York.

 

	
   

  	
  NEXSAN CORPORATION

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name: 

  
	
   

  	
   

  	
  Title: 

  

 

 

8

 

OPTION

SUBSCRIPTION FORM

 

(To be executed only upon exercise of Option)

 

The undersigned holder of this
Option Certificate irrevocably elects to exercise the right, represented by this
Option Certificate, to purchase [                      ]
shares of Common Stock of Nexsan Corporation and herewith tenders payment
therefor in the amount of $[                      ]  or surrenders this Option Certificate for the number of shares of Common
Stock determined pursuant to Section 2.2 hereof, all in accordance with
the terms of this Option Certificate. 
The undersigned requests that a certificate for such securities be
registered in the name of                                                                                 
whose address is

 

Date:
                               

 

	
   

  	
   

  
	
   

  	
  (Printed
  Name of Option Holder)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  (Signature
  of Holder)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  (Street
  Address)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  (City)
  (State) (Zip)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Tax
  ID Number

  

 

Tax ID Number

 

 

OPTION

FORM OF ASSIGNMENT

 

FOR VALUE RECEIVED, the
undersigned holder of this Option hereby sells, assigns and transfers unto the
Assignee named below all of the rights of the undersigned under the within
Option, with respect to the number of shares of Common Stock set forth below:

 

Name of Assignee                             Address
and Tax ID Number                                Number
of Shares

 

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

 

Date:                                 

 

	
   

  	
   

  
	
   

  	
  (Printed
  Name of Option Holder)

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Signature

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  Witness

  

 

 

 

STOCK OPTION EXERCISE
FORM

 

(To be executed only upon
exercise of Option)

 

The undersigned holder of the attached Option
Agreement irrevocably elects to exercise the right, represented by the Option
Agreement, to purchase                                         
shares of Common Stock of Nexsan Corporation and herewith tenders payment for
the shares in the amount of $                              .

 

	
  Date:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  (Printed Name of Option Holder)

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  (Signature of Holder)

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  (Street Address)

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  (City)

  	
  (State)

  	
  (Zip)

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Tax ID Number

  

 

1

 

NEXSAN CORPORATION

 

2001 STOCK PLAN — STOCK
OPTION AGREEMENT

 

This
Stock Option Agreement (the “Agreement”)
is made and entered into as of the date of grant set forth below (the “Date of Grant”) by and between
Nexsan Corporation, a Delaware corporation (the “Company”),
and the Service Provider named below (the “Optionee”).  Capitalized terms not defined herein shall
have the meaning ascribed to them in the Company’s 2001 Stock Plan (the “Plan”).

 

Optionee:                                                                                                                                           Employee X

 

Address:

 

 

Total Option Shares:                                                                                                                                                              XX,000

 

Exercise Price Per Share:                                                                          $x.xxxx

 

Date of Grant:                                                                                                                                           Month and Day,
200X

 

Vesting Schedule:                                                                                          The Option
shall become exercisable as to X,000Shares on each of the first through fourth
anniversaries of the Date of Grant.

 

Expiration Date:                                                                                                      11:59 p.m.
on month and day, 201X

(unless earlier terminated under Section 9 of the Plan)

 

Type of Stock Option                                                                                                                              [   ] Incentive
Stock Option

 

(Check one):                                                                                                                                                                         
 [   ] Nonqualified Stock Option

 

1.                                      GRANT OF OPTION.  The Company
hereby grants to the Optionee an option (the “Option”) to purchase the total
number of shares of Common Stock of the Company set forth above as Total Option
Shares (the “Shares”) at the Exercise
Price Per Share set forth above (the “Exercise Price”),
subject to all of the terms and conditions of this Agreement and the Plan.  If designated as an Incentive Stock Option
above, the Option is intended to qualify as an “incentive stock option” (an “ISO”) within the meaning of Section 422
of the Internal Revenue Code of 1986, as amended (the “Code”).

 

2.                                      EXERCISE PERIOD.

 

2.1                               Exercise Period of Option.  This Option is
exercisable only to the extent that vesting has occurred.  Provided Optionee continues to provide
services to the Company or to any Parent or Subsidiary of the Company, the
Shares issuable upon exercise of, this Option will become vested as per the
Vesting Schedule set forth above until the Shares are vested with respect to one
hundred percent (100%) of the Shares or vesting ceases as per this Agreement or
the Plan.  If application of the Vesting
Schedule causes a fractional share, such share shall be rounded down to the
nearest whole share for each quarterly vesting period except for the last 

 

quarterly vesting period, at the end of which this
Option shall become vested for the full remainder of the Shares.  Notwithstanding any provision in the Plan or
this Agreement to the contrary, Options shall cease vesting after the date upon
which Optionee’s services to the Company terminate (“Termination
Date”) and shall lapse upon Optionee’s Termination Date.

 

2.2                               Vesting of Options.  Shares that
are vested pursuant to the Vesting Schedule set forth herein are “Vested Shares.” Shares that are not
vested pursuant to the Vesting Schedule set forth herein are “Unvested Shares.”

 

2.3                               Expiration.  The Option
shall expire on the Expiration Date set forth above or earlier as provided in Section 3
below or pursuant to the Plan.

 

3.                                      TERMINATION.

 

3.1                               Termination for Any Reason
Except Death, Disability or Cause.  If Optionee is terminated from the Company
and ceases to provide services to the Company (“Terminated”)
for any reason, except death, Disability or for Cause, the Option, to the
extent (and only to the extent) that it would have been exercisable by Optionee
on the Termination Date, may be exercised by Optionee no later than ninety (90)
days after the Termination Date, but in any event no later than the Expiration
Date.

 

3.2                               Termination Because of
Death or Disability.  If Optionee is Terminated because of death or
Disability of Optionee (or Optionee dies within three (3) months of
Termination when Termination is for any reason other than Optionee’s Disability
or for Cause), the Option, to the extent that it is exercisable by Optionee on
the Termination Date, may be exercised by Optionee (or Optionee’s legal
representative) no later than six (6) months after the Termination Date,
but in any event no later than the Expiration Date.  Any exercise beyond (i) three (3) months
after the Termination Date when the Termination is for any reason other than
the Optionee’s death or disability, within the meaning of Section 22(e)(3) of
the Code; or (ii) six (6) months after the Termination Date when the
termination is for Optionee’s disability, within the meaning of Section 22(e)(3) of
the Code, is deemed to be an NQSO.

 

3.3                               Termination for Cause.  If Optionee is
Terminated for Cause, then the Option will expire on Optionee’s Termination
Date, or at such later time and on such conditions as are determined by the
Committee.

 

3.4                               No Vesting after
Termination.  Vesting of the Option shall cease upon
Optionee’s Termination Date, regardless of the cause or reason for Termination.

 

3.5                               No Obligation to Employ.  Nothing in the
Plan or this Agreement shall confer on Optionee any right to continue in the
employ of, or other relationship with, the Company or any Parent or Subsidiary
of the Company, or limit in any way the right of the Company or any Parent or
Subsidiary of the Company to terminate Optionee’s employment or other
relationship at any time, with or without Cause.

 

2

 

4.                                      MANNER OF EXERCISE.

 

Stock Option Exercise Agreement.  To exercise
this Option, Optionee (or in the case of exercise after Optionee’s death or
incapacity, Optionee’s executor, administrator, heir or legatee, as the case
may be) must deliver to the Company an executed stock option exercise agreement
in a form as required by the Company (the “Exercise Agreement”),
which shall set forth, inter alia, (i) Optionee’s election to
exercise the Option, (ii) the number of Shares being purchased, (iii) any
restrictions imposed on the Shares and (iv) any representations,
warranties and agreements regarding Optionee’s investment intent and access to
information as may be required by the Company to comply with applicable
securities laws.  If someone other than
Optionee exercises the Option, then such person must submit documentation
reasonably acceptable to the Company verifying that such person has the legal
right to exercise the Option and such person shall be subject to all of the
restrictions contained herein as if such person were the Optionee.  The date of exercise of the Option shall be
the date on which written notice of exercise is hand delivered to the Company,
during normal business hours or, if sent electronically, the date on which it
is actually transmitted, during normal business hours, or if mailed, the date
on which it is postmarked, provided such notice is actually received.

 

4.1                               Limitations on Exercise.  The Option may
not be exercised unless such exercise is in compliance with all applicable
federal and state securities laws, as they are in effect on the date of
exercise.  The Option may not be
exercised as to fewer than one hundred (100) Shares unless it is exercised as
to all Shares as to which the Option is then exercisable.

 

4.2                               Payment.  The Exercise
Agreement shall be accompanied by full payment of the Exercise Price for the
shares being purchased in cash (by check), or where permitted by law:

 

(a)                                  if the Company so allows, in its sole
discretion, by cancellation of indebtedness of the Company to the Optionee;

 

(b)                                 if the Company so allows, in its sole
discretion, by surrender of shares of the Company’s Common Stock that (i) either
(A) have been owned by Optionee for more than six (6) months and have
been paid for within the meaning of SEC Rule 144 (and, if such shares were
purchased from the Company by use of a promissory note, such note has been
fully paid with respect to such shares); or (B) were obtained by Optionee
in the open public market; and (ii) are clear of all liens, claims,
encumbrances or security interests;

 

(c)                                  if the Company so allows, in its sole
discretion, by waiver of compensation due or accrued to Optionee for services
rendered;

 

(d)                                 if the Company so allows, in its sole
discretion, and provided that a public market for the Company’s stock exists: (i) through
a “same day sale” commitment from Optionee and a broker-dealer that is a member
of the National Association of Securities Dealers (an “NASD Dealer”) whereby
Optionee irrevocably elects to exercise the Option and to sell a portion of the
Shares so purchased sufficient to pay for the total Exercise Price and whereby the
NASD Dealer irrevocably commits upon receipt of such Shares to forward the
total Exercise Price directly to the Company, or (ii) through a “margin”
commitment from Optionee and an 

 

3

 

NASD Dealer whereby Optionee irrevocably elects to
exercise the Option and to pledge the Shares so purchased to the NASD Dealer in
a margin account as security for a loan from the NASD Dealer in the amount of
the total Exercise Price, and whereby the NASD Dealer irrevocably commits upon
receipt of such Shares to forward the total Exercise Price directly to the
Company; or

 

(e)                                  in cash; or by check;

 

(f)                                    if the Company so allows, in its sole
discretion, by promissory note, or by;

 

(g)                                 by any combination of the foregoing.

 

4.3                               Tax Withholding.  Prior to the
issuance of the Shares upon exercise of the Option, Optionee must pay or
provide for any applicable federal, state and local withholding obligations of
the Company.  If the Committee permits,
Optionee may provide for payment of withholding taxes upon exercise of the
Option by requesting that the Company retain the minimum number of Shares with
a Fair Market Value equal to the minimum amount of taxes required to be
withheld; but in no event will the Company withhold Shares if such withholding
would result in adverse accounting consequences to the Company.  In such case, the Company shall issue the net
number of Shares to the Optionee by deducting the Shares retained from the
Shares issuable upon exercise.

 

4.4                               Issuance of Shares.  Provided that
the Exercise Agreement and payment are in form and substance satisfactory to
the Company, the Company shall issue the Shares registered in the name of
Optionee, Optionee’s authorized assignee, or Optionee’s legal representative,
and shall deliver certificates representing the Shares with the appropriate
legends affixed thereto.

 

5.                                      NOTICE OF DISQUALIFYING
DISPOSITION OF ISO SHARES.  If the Option is an ISO, and if Optionee
sells or otherwise disposes of any of the Shares acquired pursuant to the ISO
on or before the later of (i) the date two (2) years after the Date
of Grant, and (ii) the date one (1) year after transfer of such
Shares to Optionee upon exercise of the Option, Optionee shall immediately
notify the Company in writing of such disposition.  Optionee agrees that Optionee may be subject
to income tax withholding by the Company on the compensation income recognized
by Optionee from the early disposition by payment in cash or out of the current
wages or other compensation payable to Optionee.

 

6.                                      COMPLIANCE WITH LAWS AND
REGULATIONS.  The exercise of the Option and the issuance
and transfer of Shares shall be subject to compliance by the Company and
Optionee with all applicable requirements of federal and state securities laws
and with all applicable requirements of any stock exchange on which the Company’s
Common Stock may be listed at the time of such issuance or transfer.

 

7.                                      NONTRANSFERABILITY OF
OPTION.  The Option may not be transferred in any
manner other than by will or by the laws of descent and distribution, and, with
respect to NQSOs, by instrument to an inter vivos or testamentary trust in
which the options are to be passed to beneficiaries upon the death of the
trustor (senior), or by gift to “immediate family” as 

 

4

 

that term is defined in 17 C.F.R.  240.16a-1(e), and may be exercised during the
lifetime of Optionee only by Optionee or in the event of Optionee’s incapacity,
by Optionee’s legal representative.  The
terms of this Agreement and the Plan shall be binding upon the executors,
administrators, successors and assigns of Optionee.

 

8.                                      COMPANY’S RIGHT OF FIRST
REFUSAL.

 

8.1                               General Rule.  Before any
Shares acquired upon exercise of this Option held by Optionee or any transferee
(either being referred to herein as the “Holder”) may be sold or otherwise
transferred (including transfer by gift or operation of law), the Company or
its assignee(s) shall have a right of first refusal to purchase the Shares
on the terms and conditions set forth in this Section (the “Right of First
Refusal”).

 

8.2                               Notice of Proposed
Transfer.  The Holder of the Shares shall deliver to the
Company a written notice (the “Notice”) stating: (i) the Holder’s bona
fide intention to sell or otherwise transfer such Shares; (ii) the name of
each proposed purchaser or other transferee (“Proposed Transferee”); (iii) the
number of Shares to be transferred to each Proposed Transferee; and (iv) the
bona fide cash price or other consideration for which the Holder proposes to
transfer the Shares (the “Offered Price”), and the Holder shall offer
the Shares at the Offered Price to the Company or its assignee(s).

 

8.3                               Exercise of Right of First
Refusal.  At any time within thirty (30) days after
receipt of the Notice, the Company and/or its assignee(s) may, by giving
written notice to the Holder, elect to purchase all or part of the Shares
proposed to be transferred to any one or more of the Proposed Transferees, at
the Offered Price (“Purchase Price”).  If the Offered Price includes consideration
other than cash, the cash equivalent value of the non-cash consideration shall
be determined by the Board of Directors of the Company in good faith.

 

8.4                               Payment.  Payment of the
Purchase Price shall be made, at the option of the Company or its assignee(s), (i) by
cash or check, (ii) by cancellation of all or a portion of any outstanding
indebtedness of the Holder to the Company, or (iii) by any combination
thereof.

 

8.5                               Holder’s Right to Transfer.  If Shares
proposed in the Notice to be transferred to a given Proposed Transferee are not
purchased by the Company and/or its assignee(s) as provided in this
Section, then the Holder may sell or otherwise transfer such Shares to that
Proposed Transferee at the Offered Price or at a higher price, provided that
such sale or other transfer is consummated within one hundred twenty (120) days
after the date of the Notice and provided further that any such sale or other
transfer is effected in accordance with any applicable securities laws and the
Proposed Transferee agrees in writing that the obligations in this Agreement
shall continue to apply to the Shares. 
If the Shares described in the Notice are not transferred to the
Proposed Transferee within such period, a new Notice shall be given to the
Company, and the Company and/or its assignees shall again be offered the Right
of First Refusal before any Shares held by the Holder may be sold or otherwise
transferred.

 

8.6                               Exception for Certain
Family Transfers.  Notwithstanding anything to the contrary
contained in this Section, the transfer of any or all of the Shares during the
Purchaser’s lifetime or on the Purchaser’s death by will or intestacy to the
Purchaser’s 

 

5

 

Immediate Family or a trust for the benefit of one or
more members of the Purchaser’s Immediate Family or to a trust, partnership,
limited liability company, custodianship or other fiduciary account for the
benefit of the Purchaser or one or more members of the Purchaser’s Immediate
Family, or the disbursement therefrom to Purchaser or one or more members of
his Immediate Family, shall be exempt from the provisions of this Section,
provided that the Purchaser notifies the Company in writing within thirty (30)
days of said transfer.  “Immediate
Family” as used herein shall mean spouse, lineal descendant or antecedent,
father, mother, brother or sister.  In
such case, the transferee or other recipient shall receive and hold the Shares
so transferred subject to the provisions of this Agreement and there shall be
no further transfer of such Shares except in accordance with the terms of this
Section.

 

8.8                               Termination of Right of
First Refusal.  The Right of First Refusal shall terminate as
to any Shares upon the date of the first sale of Common Stock of the Company to
the general public pursuant to a registration statement filed with and declared
effective by the Securities and Exchange Commission under the 1933 Act.

 

9.                                      INVESTMENT REPRESENTATIONS

 

The
Optionee hereby represents and warrants to and agrees with the Company as
follows:

 

9.1                               Acquisition of Shares for
Own Account.  The Optionee will acquire the Shares, if at
all, pursuant to this Agreement with the Optionee’s own funds.  The Shares will be acquired, if at all, for
the Optionee’s own account, not as a nominee or agent for any other person or
firm.  No one else has or will have on
any exercise of the Option or any portion thereof any interest, beneficial or
otherwise, in any of the Shares to be acquired on such exercise.  The Optionee is not, and prior to any
exercise of the Option will not be, obligated to transfer any of the Shares or
any interest therein to anyone else and the Optionee does not and will not have
any agreement or understandings to do so.

 

9.2                               Shares May Be “Restricted
Securities” and Certificates Legended.

 

The Optionee understands and agrees that:

 

9.2.1.                     The Shares, if and when issued, may be “restricted
securities,” as that term is defined in Rule 144 under the Securities Act
of 1933, as amended (the “Act”), and, accordingly, the Optionee may be required
to hold the Shares indefinitely unless they are registered under the Act or an
exemption from such registration is available;

 

9.2.2                        The Company is not under any obligation
to register the Shares under the Act, with any state securities commission or
with any stock exchange or to comply with any exemptions thereunder; and

 

9.2.3.                     The Company shall cause legends set forth
below or legends substantially equivalent thereto, to be placed upon any
certificates representing any Shares received by the Optionee on exercise of
the Option, which legend restricts the sale, transfer or disposition of the
Shares otherwise than in accordance with this Agreement, as well as any other
legends as the Company may deem appropriate or that may be required by the
Company or by the applicable state or federal securities laws:

 

6

 

THE SECURITIES
REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933,
AS AMENDED (THE “ACT”), AND MAY NOT BE OFFERED, SOLD OR OTHERWISE
TRANSFERRED, PLEDGED OR HYPOTHECATED UNLESS AND UNTIL REGISTERED UNDER THE ACT
OR, IN THE OPINION OF COUNSEL SATISFACTORY TO THE ISSUER OF THESE SECURITIES,
THAT SUCH REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR SUCH TRANSACTION
COMPLIES WITH RULES PROMULGATED BY THE SECURITIES AND EXCHANGE COMMISSION UNDER
SAID ACT.

 

IN ADDITION, SALE,
TRANSFER, ENCUMBRANCE, HYPOTHECATION, GIFT OR OTHER DISPOSITION OR ALIENATION
OF SUCH SHARES OR ANY INTEREST THEREIN IS RESTRICTED BY AND SUBJECT TO A STOCK
OPTION AGREEMENT A COPY OF WHICH MAY BE INSPECTED AT THE PRINCIPAL OFFICE
OF THE ISSUER AND ALL OF THE PROVISIONS OF WHICH ARE INCORPORATED BY REFERENCE
IN THIS CERTIFICATE.

 

9.3                               Agreement to Refrain from
Resales.  The Optionee agrees that, notwithstanding any
provision hereof or in the Plan to the contrary, the Optionee shall in no event
make any disposition of all or any part of or interest in the Shares and that
such Shares shall not be encumbered, pledged, hypothecated, sold or transferred
by the Optionee nor shall the Optionee receive any consideration for such
Shares or for any interest therein from any person, unless and until prior to
any proposed transfer, encumbrance, disposition, pledge, hypothecation or sale of
any Shares, either (1) a registration statement on form S-1 or S-8 (or any
other form replacing such form or appropriate for the purpose under the Act)
with respect to such shares proposed to be transferred or otherwise disposed of
shall be then effective or (2) (i) the Optionee shall have notified
the Company of the proposed disposition and shall have furnished the Company
with a detailed statement of the circumstances surrounding the proposed
disposition, (ii) the Optionee shall have furnished the Company with an
opinion of counsel in form and substance satisfactory to the Company to the
effect that such disposition will not require registration of any such Shares
under the Act or qualification of any such shares under any other securities
law, (iii) such opinion of counsel shall have been concurred in by counsel
for the Company and (iv) the Company shall have advised the Optionee of
such concurrence.

 

10.                               LOCK-UP PERIOD.

 

Optionee hereby agrees that, if so requested by the Company or any
representative of the underwriters (the “Managing Underwriter”) in connection
with any registration of the offering of any securities of the Company under
the Securities Act, Optionee (or any transferee) shall not sell or otherwise
transfer any Shares or other securities of the Company during the 180-day
period (or such shorter period as may be requested in writing by the Managing
Underwriter and agreed to in writing by the Company) (the “Market Standoff
Period”) following the effective date of a registration statement of the
Company filed under the Securities Act. 
Such restriction shall apply only to the first registration statement of
the Company to become effective under the Securities Act that includes
securities to be sold on behalf of the Company to the public in an underwritten
public offering under the Securities Act. 
The Company may impose stop-transfer 

 

7

 

instructions with respect to securities subject to the foregoing
restrictions until the end of such Market Standoff Period.

 

11.                               PLAN PROVISIONS TO PREVAIL.

 

This
Agreement is subject to all of the terms and provisions of the Plan.  By entering into this Agreement the Optionee
agrees that no member of the Board or the Committee nor any employee of the
Company.  Parent Corporation or any of
the Company’s subsidiaries shall be liable for any action or determination made
in good faith with respect to the Plan or this Agreement.  In the event that there is any inconsistency
between the provisions of this Agreement and of the Plan, the provisions of the
Plan shall govern.  Any dispute regarding
the interpretation of this Agreement shall be submitted by Optionee or the
Company to the Committee for review.  The
resolution of such a dispute by the Committee shall be final and binding on the
Company and Optionee.

 

12.                               PRIVILEGES OF STOCK
OWNERSHIP.  Optionee shall not have any of the rights of
a shareholder with respect to any Shares until the Shares are issued to
Optionee.

 

13.                               ENTIRE AGREEMENT AND
SEVERABILITY.  The Plan is incorporated herein by
reference.  This Agreement and the Plan
constitute the entire agreement of the parties and supersede all prior
undertakings and agreements with respect to the subject matter hereof.  If any provision of this Agreement (including
any provision of the Plan that is incorporated herein by reference) shall
hereafter be held to be invalid, unenforceable or illegal in whole or in part
for any reason, (i) such provision shall be reformed to the minimum extent
necessary to cause such provision to be valid, enforceable and legal while
preserving the intent of the parties or (ii) if such provision cannot be
so reformed, such provision shall be severed from this Agreement and an
equitable adjustment shall be made to this Agreement so as to give effect to
the intent of the parties.  Neither such
reformation nor severance shall affect or impair the legality, validity or
enforceability of any other provision of this Agreement or the Plan.

 

14.                               NOTICES.  Any notice
required to be given or delivered to the Company under the terms of this
Agreement shall be in writing and addressed to the CEO of the Company at its
principal corporate offices.  Any notice
required to be given or delivered to Optionee shall be in writing and addressed
to Optionee at the address indicated herein or to such other address as such
party may designate in writing from time to time to the Company.  All notices shall be deemed to have been
given or delivered upon: (i) personal delivery; (ii) three (3) days
after deposit in the United States mail by certified or registered mail (return
receipt requested); (iii) one (1) business day after deposit with any
express courier (prepaid); or (iv) one (1) business day after
transmission by facsimile, rapifax or telecopier.

 

15.                               SUCCESSORS AND ASSIGNS.  The Company
may assign any of its rights under this Agreement including its Right of First
Refusal.  This Agreement shall be binding
upon and inure to the benefit of the successors and assigns of the
Company.  Subject to the restrictions on
transfer set forth herein, this Agreement shall be binding upon Optionee and
Optionee’s heirs, executors, administrators, legal representatives, successors
and assigns.

 

8

 

16.                               GOVERNING LAW.  This Agreement
shall be governed by and construed in accordance with the laws of the State of
New York as such laws are applied to agreements to be performed entirely within
New York.

 

17.                               ACCEPTANCE.  Optionee
hereby acknowledges receipt of a copy of the Plan and this Agreement.  Optionee has read and understands the terms
and provisions thereof, and accepts the Option subject to all the terms and
conditions of the Plan and this Agreement. 
Optionee acknowledges that there may be adverse tax consequences upon
exercise of the Option or disposition of the Shares and that Optionee should
consult a tax adviser prior to such exercise or disposition.

 

IN
WITNESS WHEREOF,
the Company has caused this Agreement to be executed by its duly authorized
representative and Optionee has executed this Agreement, effective as of the
Date of Grant.

 

	
  NEXSAN
  CORPORATION

  	
   

  	
  OPTIONEE

  
	
   

  	
   

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  Signature

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
  (Please
  print name)

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
  (Please
  print title)

  	
   

  	
   

  

 

                                                                                                                                                                                    M.T.C.

 

9

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