Document:

Exhibit 10.16

 

Exhibit 10.16

SUMMARY OF EXECUTIVE COMPENSATION

The following summarizes the compensation payable to our executive officers as in effect on
February 28, 2007:

	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Incentive Compensation	 
	 	 	 	 	 	 	Target (1)	 
	 	 	 	 	 	 	% of	 	 	 
	 	 	2007 Base	 	 	Base	 	$	 
	Lanigan, Richard — President
	 	$	247,500	 	 	30%	 	$	74,250	 
	Abbott, William — Chief Financial Officer
	 	$	200,000	 	 	30%	 	$	60,000	 
	Arthur, Gerry — Senior VP of Operations
	 	$	135,000	 	 	30%	 	$	40,500	 
	McIntyre, John — VP of Scientific and
Regulatory Affairs
	 	$	160,000	 	 	30%	 	$	48,000	 
	Scarano, Charles — Sr. VP of Worldwide
Marketing
	 	$	180,000	 	 	30%	 	$	54,000	 

	(1)	 	Incentive Compensation represents target incentive compensation for the named executive in
the event performance targets are satisfied as determined by the Board of Directors, or the
Compensation Committee thereof. Such performance targets may vary among executive officers
but generally are a combination of financial results and subjective performance criteria.

Each listed officer is eligible to receive stock option grants under the Company’s Employee Stock
Option Plan with the exact amount and terms of any such grants being determined by the Board of
Directors or the Compensation Committee thereof.

In addition to the above-referenced compensation, subject to the provisions of such plans, each
executive officer will continue to be eligible to participate in all medical and other benefit
plans maintained by the Company for its employees.exv10w17

 

EXECUTION COPY

 

SHARE PURCHASE AGREEMENT

 

among

BIO-IMAGING TECHNOLOGIES, INC.

(Purchaser)

and

THE SHAREHOLDERS OF THERALYS SA

(Sellers)

dated February 6, 2007

Morgan Lewis

 

Page
2

BETWEEN THE UNDERSIGNED:

	1.	 	Mr. Chahin PACHAI, born on April 27, 1972 in Teheran, Iran, residing at 40 avenue Lacassagne,
69003 Lyon and married under the regime of separation as to property,

	2.	 	Mr. Fabrice VINCENT, born on February 1, 1972 in Lyon, residing at 8 rue Millon, 69100
Villeurbanne and married under the regime of partnership of acquests,

	3.	 	Mr. Philippe DOUEK, born on July 27, 1958 in Neuilly sur Seine, residing at 23 rue Felix
Jacquier, 69006 Lyon and married under the regime of separation as to property,

	4.	 	Mr. Emmanuel OLART, born on 7, March 1978 in Villefranche sur Saône, residing at 27 bis rue
de l’Egalité, residence les Bosquets, 69120 Vaulx en Velin and married under the regime of
partnership of acquests,

Parties 1 to 4, acting jointly (conjointement), are hereinafter collectively referred to as the
“Founders”,

AND

	5.	 	GIE VALOREZ, a French Groupement d’Intérêt Economique organized under the laws of France,
with a share capital of EUR 16,000, having its registered offices at 66 bvd Niels Bohr – CEI –
69100 Villeurbanne, registered with the Registre du Commerce de Lyon Trade Registry under the
number 439 787 714, represented by Gérard POSA, member of the Directoire of Ezus-Lyon 1 S.A.
and Joseph GNIEWEK, member of the Directoire of Insavalor S.A., duly empowered for the
purposes hereof,

	6.	 	Mr. Jean-Claude MOREL, born on February 22, 1936 in Brest, residing at Les Sabines, n°31,
69130 Ecully and married under the regime of community of property,

	7.	 	Mr. Laurent GERFAULT, born on November 8, 1970 in Angers, residing at 42A rue de la Meije,
38500 Voiron and unmarried,

	8.	 	Ms. Marcela HERNANDEZ-HOYOS, born on September 23, 1970 in Bogota, Colombia, residing at
Calle 30 No. 3 A 15. Apto 401. Bogota, D.C., Colombia and divorced,

	9.	 	Mr. Nicolas ROGNIN, born on December 28, 1974 in Voiron, residing at 3 avenue de Genève,
74160 Saint Julien en Genevois and married under the regime of partnership of acquests,

	10.	 	Mr. Jérôme VINCENT, born on May 14, 1970 in Saint Vallier, residing at 51 route de Combes,
07100 Boulieu and married under the regime of partnership of acquests,

Parties 1 to 10, are hereinafter collectively referred to as the “Shareholders A”,

 

Page 3

AND

	11.	 	RHONE-ALPES CREATION, a French société anonyme with a share capital of 9,478,616 euros,
having its registered offices at 10, Chemin du Château d’Eau — 69410 CHAMPAGNE AU MONT D’OR –
registered with the Lyon Trade Registry under number 352 014 559, represented by Mr. Guy
RIGAUD, Président du Directoire, himself being represented by Ms. Karine LIGNEL,

	12.	 	AMORCAGE RHONE-ALPES, société par actions simplifiée with a share capital of 5,645.580 euros
having its registered offices at 10, Chemin du Château d’Eau — 69140 CHAMPAGNE AU MONT D’OR,
registered with the Lyon Trade Registry under number 433 995 719, represented by Ms. Karine
LIGNEL, Directeur d’Investissement, duly empowered for the purposes hereof by Mr. Guy RIGAUD,
Directeur Général,

	13.	 	CREDIT AGRICOLE CREATION, a French société par actions simplifiée, with a share capital of
2,418,472 euros, having its registered offices at 1, rue Pierre de Truchis de Lays, Champagne
au Mont d’Or, registered with the Lyon Trade Registry under the number 419 319 322,
represented by Maurice BERNARD, duly empowered for the purposes hereof,

	14.	 	RHONE DAUPHINE DEVELOPPEMENT, a French société anonyme, with a share capital of 10,495,800
euros, having its registered offices at 2, chemin du Vieux Chêne, 38240 Meylan, registered
with the Grenoble Trade Registry under the number 345 158 117, represented by Pierre JOURDAIN,
duly empowered for the purposes hereof,

	15.	 	LE LANCEUR, a Fonds Commun de Placement à Risques represented by its société de gestion
SOFIMAC PARTNERS, a French société anonyme with a share capital of 161,000 euros, having its
registered offices at 24, avenue de l’Agriculture, Domaine de Mon Désir, 63100 Clermont
Ferrand, registered with the Clermont Ferrand Trade Registry under the number 424 562 445,
represented by Philippe VUAGNAT, Directeur Général, duly empowered for the purposes
hereof,

Parties 11 to 15 are hereinafter collectively referred to as the “Shareholders B”,

	16.	 	Mr. Luc BRACOUD, born on March 29, 1978 in Lyon, residing at 61 rue François Peissel, 69300
Caluire and unmarried,

Parties 1 to 16 are hereinafter collectively referred to as the “Sellers”,

AND

	17.	 	Bio-Imaging Technologies Inc., a US corporation organized under the laws of Delaware, having
its principal office 826, Newtown-Yardley Road, Newtown, PA 18940, United States of America,
represented by M. Ted Kaminer, duly empowered for the purposes hereof,

hereinafter referred to as the “Purchaser” or “Bio-Imaging Inc.”,

The Purchaser and the Sellers are hereinafter collectively referred to as the “Parties” and
individually referred to as a “Party”.

 

Page 4

TABLE OF CONTENTS

	 	 	 	 	 
	 	 	Page
	ARTICLE 1 – DEFINITIONS

	 	 	5	 
	 
	 	 	 	 
	ARTICLE 2 – PURCHASE AND SALE

	 	 	8	 
	 
	 	 	 	 
	ARTICLE 3 – PURCHASE PRICE – PAYMENT OF THE PURCHASE PRICE

	 	 	8	 
	 
	 	 	 	 
	ARTICLE 4 – COMPLETION

	 	 	9	 
	 
	 	 	 	 
	ARTICLE 5 – REPRESENTATIONS AND WARRANTIES

	 	 	11	 
	 
	 	 	 	 
	ARTICLE 6 – REPRESENTATIONS AND WARRANTIES OF THE OTHER
SELLERS AND

                         OF THE PURCHASER

	 	 	20	 
	 
	 	 	 	 
	ARTICLE 7 – COVENANTS

	 	 	21	 
	 
	 	 	 	 
	ARTICLE 8 – INDEMNIFICATION

	 	 	22	 
	 
	 	 	 	 
	ARTICLE 9 – CONFIDENTIALITY – PUBLICITY

	 	 	25	 
	 
	 	 	 	 
	ARTICLE 10 – EXPENSES

	 	 	25	 
	 
	 	 	 	 
	ARTICLE 11 – SELLERS’ REPRESENTATIVE – NOTICES

	 	 	26	 
	 
	 	 	 	 
	ARTICLE 12 – SEVERABILITY

	 	 	27	 
	 
	 	 	 	 
	ARTICLE 13 – ENTIRE AGREEMENT

	 	 	27	 
	 
	 	 	 	 
	ARTICLE 14 – SUCCESSORS AND ASSIGNS

	 	 	27	 
	 
	 	 	 	 
	ARTICLE 15 – LANGUAGE

	 	 	28	 
	 
	 	 	 	 
	ARTICLE 16 – APPLICABLE LAW – JURISDICTION

	 	 	28	 

 

Page 5

WHEREAS

	A.	 	The Sellers are the owners of the Securities (as defined in Article 1 below) representing
100% of the issued and outstanding share capital and voting rights in THERALYS, a société
anonyme incorporated under the laws of France, with a share capital of 72,340 euros having its
registered offices at Bioparc, 60 avenue Rockfeller — 69008 Lyon (France), registered with the
Lyon Trade Registry under n° 439 429 440 (hereinafter referred to as the “Company” as defined
in Article 1 below). The Company’s share capital is divided into two categories of shares.

	B.	 	Exhibit A indicates the number and the category of Securities held by each Seller at
the date hereof.

	C.	 	The Company is specialised in diagnostic and therapeutics image analysis in clinical trials
(hereafter referred to as the “Activity”).

	D.	 	The Sellers desire to sell the Sold Shares and the Purchaser desires to buy the Sold Shares
from the Sellers. The purpose of the Agreement is to set forth the terms and conditions of
such sale and purchase of the Sold Shares (hereinafter referred to as the “Sale”).

	E.	 	Simultaneously to the Sale, the Founders shall contribute the Contributed Shares to
Bio-Imaging Inc. by a separate agreement. In return, the Founders shall receive 36,000 newly
issued restricted shares of Bio-Imaging Inc. common stock.

NOW THEREFORE IT HAS BEEN AGREED AS FOLLOWS:

ARTICLE 1      DEFINITIONS

The following words shall have the meanings set out hereafter but only when the corresponding words
begin with capital letters.

	 	 	 
	“Affiliate”

	 	of any person shall mean (i) any
other person that directly or
indirectly, through one or more
intermediaries, controls, is
controlled by, or is under common
control with, the first mentioned
person, or (ii) any other person
with whom such person or an entity
controlling, controlled by, or under
common control with such person
entered into a shareholders
agreement, joint venture agreement
or any agreement with similar
effects; a person shall be deemed to
control another person if such first
mentioned person owns, directly or
indirectly, fifty percent (50%) or
more of the voting rights of the
second mentioned person;
	 
	 	 
	“Agreement”

	 	This sale and purchase agreement;
	 
	 	 
	“Balance Sheet Date”

	 	means December 31, 2006;

 

Page 6

	 	 	 
	“Bio-Imaging Inc.”

	 	Bio-Imaging Technologies Inc., a US
corporation having its principal
office 826, Newtown-Yardley Road,
Newtown, PA 18940 United States of
America and registered under the
laws of Delaware (USA);
	 
	 	 
	“Business Day(s)”

	 	Any day(s) on which banks are open
for business in France or in the
United States of America;
	 
	 	 
	“Category A Shares”

	 	The 4,000 Category A shares of the
Company held by the Shareholders A
in the proportions mentioned in
Exhibit A;
	 
	 	 
	“Category B Shares”

	 	The 3,234 Category B shares of the
Company held by the Shareholders B
in the proportions mentioned in
Exhibit A;
	 
	 	 
	“Company”

	 	THERALYS, a société anonyme
incorporated under the laws of
France, with a share capital of €
72,340, having its registered
offices at Bioparc, 60 avenue
Rockfeller — 69008 Lyon (France),
registered with the Lyon Trade
Registry under n° 439 429 440;
	 
	 	 
	“Completion Date”

	 	The date of completion of the
transfer of the Securities as per
section 4.1 hereafter;
	 
	 	 
	“Contribution Agreement”

	 	The Share Contribution Agreement
among the Purchaser and the
Founders, dated February 6, 2007,
executed simultaneously to the
Agreement;
	 
	 	 
	“Contributed Shares”

	 	400 Category A shares of the
Company, with a par value of ten
(10) euros each held by the Founders
in the proportions mentioned in
Exhibit A and contributed to
Bio-Imaging Inc. under a separate
Contribution Agreement;
	 
	 	 
	“Exhibit(s)”

	 	Any exhibit attached to this
Agreement, it being specified that
each time that the Representations
contained in a section of this
Agreement need to be documented,
this is done via an Exhibit carrying
the same number as the relevant
representation;
	 
	 	 
	“Founders”

	 	means collectively MM Chahin Pachai,
Fabrice Vincent, Philippe Douek and
Emmanuel Olart;
	 
	 	 
	“Governmental Entity”

	 	means any state, authority or any
court of competent jurisdiction,
administrative agency or commission
or other governmental authority or
instrumentality, domestic or
foreign, including but not limited
to any court, administrative agency,
commission or other organ of the
European Union or the United States
of America;

 

Page 7

	 	 	 
	“Lien”

	 	means any mortgage, lien, pledge,
charge, encumbrance or any other
security interest;
	 
	 	 
	“Representations and Warranties”

	 	The representations and warranties
to be delivered by each of the
Founders on a joint basis
(conjointement) to the Purchaser, as
per Article 5 below;
	 
	 	 
	“Restricted Shares”

	 	means newly issued unregistered
shares of Bio-Imaging Technologies
Inc., regulated under the Securities
Act of 1933, and in particular by
the Rule 144 promulgated thereunder,
permitting those Restricted Shares
to be sold after the one-year
holding period; provided, however,
the number of shares that may be
sold during any three-month period
cannot exceed the greater of (i) 1%
of the shares of common stock
outstanding at that time, or (ii)
the average reported weekly trading
volume during the four weeks
preceding the filing a notice of the
sale on Form 144. Bio-Imaging shall
accomplished all relevant
formalities in the interest of a
holder of Restricted Shares allowing
them to sell their Restricted Shares
as soon as possible in respect of US
securities law, and will bear all
reasonable expenses relating to a
transfer or sale of such Restricted
Shares pursuant to Rule 144 so long
as the holder of such Restricted
Shares provides Bio-Imaging with all
documentation reasonably requested
by Bio-Imaging;
	 
	 	 
	“Shareholders Agreement”

	 	The agreement entered into between
the Sellers on December 16, 2002 in
respect of the Company;
	 
	 	 
	“Share(s)”

	 	Any share(s) issued by the Company;
	 
	 	 
	“Securities”

	 	means collectively the Sold Shares,
the Contributed Shares and the
Warrants, representing on Completion
Date 100% of the issued and
outstanding share capital and voting
rights of the Company, together
granting the Purchaser a direct and
indirect ownership of 100% of the
Company’s issued and outstanding
share capital and voting rights;
	 
	 	 
	“Sold Shares”

	 	means collectively (i) 3,600
Category A Shares of the Company
with a par value of ten (10) euros
each held by the Shareholders A and
(ii) 3,234 Category B Shares of the
Company with a par value of ten (10)
euros each held by the Shareholders
B, and sold to the Purchaser in the
proportions mentioned in Exhibit A;

 

Page 8

	 	 	 
	“Warrants”

	 	means the 412 warrants in form of
"bons de souscription de parts de
créateur d’entreprise” (BSPCE) held
by the Warrants Holders as defined
below and to be exercised until
April 26, 2009 pursuant to the
decisions of the Company’s
shareholders meeting held on April
26, 2004. The Warrants give right to
subscribe to one (1) Category A
Shares of the Company in
consideration of a subscription
price of 170 euros each;
	 
	 	 
	“Warrants Holders”

	 	means collectively MM Chahin Pachai,
Fabrice Vincent, Luc Bracoud and
Emmanuel Olart.

ARTICLE 2 PURCHASE AND SALE

	2.1.1	 	Subject to the terms and conditions hereof, the Sellers agree to sell the Sold Shares to the
Purchaser and the Purchaser agrees to purchase the Sold Shares from the Sellers. The detailed
allocation of the Sold Shares (together with the sub-allocation between the Sellers) is set
forth in Exhibit B.

	2.1.2	 	Subject to the terms and conditions hereof, the Warrant Holders agree to waive their rights
attached to the Warrants and the Purchaser agrees to indemnify the Warrants Holders from such
waiver. The detailed allocation of the Warrants (together with the sub-allocation between the
Warrant Holders) is set forth in Exhibit C.

	2.1.3	 	The Sold Shares shall be transferred free and clear of all Liens and with all dividend
rights now and then attaching thereto, including the right to all dividends for the 2006
fiscal year.

ARTICLE 3 PURCHASE PRICE — PAYMENT OF THE PURCHASE PRICE

	3.1	 	Purchase Price

The aggregate purchase price for the Sold Shares and for the indemnification for the waiver
of the rights attached to the Warrants by the Warrants Holders (hereinafter referred to as
the “Purchase Price”) shall be allocated among the Sellers as follows:

	 	-	 	1,344,515 euros for the 3,600 Category A Shares held by the
Shareholders A; and
	 
	 	-	 	1,304,448 euros for all the Category B Shares held by the
Shareholders B, payable in cash and by issuance of Restricted Shares of
Bio-Imaging Inc. common stock in accordance with Article 3.2 (v) below; and
	 
	 	-	 	82,294 euros for the Warrants held by the Warrants Holders in
consideration of the waiver of their rights to exercise the Warrants.

Details of the allocation of the Purchase Price between the Sellers and their respective
categories are set forth in Exhibits B and C.

 

Page 9

	3.2	 	Closing Payment and Escrow

On Completion Date, the Purchaser shall:

	 	(i)	 	pay in cash to the Shareholders A an aggregate amount of 1,204,515 euros by
means of bank checks;
	 
	 	(ii)	 	deposit 140,000 euros (the “Escrow Amount”) which constitute part of the
Purchase Price to be paid to the Founders into one or more escrow accounts to be held
and disbursed by US Bank National Association as escrow agent (the “Escrow Agent”).
The Escrow Amount shall be held by the Escrow Agent until August 6, 2008 pursuant to
the escrow agreement(s) set forth as Exhibit D hereto (the “Escrow
Agreement”). The Escrow Amount will be subject to set-off for any indemnification
claims notified by the Purchaser to the Founders pursuant to Article 8 below. The
Purchaser shall bear the fees and expenses related to the setting up of the escrow.
	 
	 	(iii)	 	pay in cash to the Warrant Holders an aggregate amount of 82,294 euros by
means of bank checks;
	 
	 	(iv)	 	pay in cash to the Shareholders B an aggregate amount of 948,689 euros
corresponding to 2,352 Category B Shares, by means of bank checks;
	 
	 	(v)	 	issue 57,408 newly issued Restricted Shares of Bio-Imaging Inc. common stock
(the “Purchaser’s Common Stock”) in exchange of 882 Category B Shares. The Purchaser’s
Common Stock will be subject to US securities laws. This payment shall be allocated
among the concerned Shareholders B as set forth in Exhibit 3.2 (v).

	ARTICLE 4 COMPLETION

	4.1	 	Date and place

Transfer of ownership of the Sold Shares and payment of the Purchase Price shall take place
at the date hereof (the “Completion Date”).

	4.2	 	Instruments to be signed and delivered on Completion Date

	4.2.1	 	At the date hereof, the Sellers shall deliver to the Purchaser:

	 	-	 	original executed copies of share transfer forms (ordres de mouvement) selling,
assigning and delivering to the Purchaser all of the Sold Shares free and clear from
all Liens together with duly related executed tax forms n° 2759;
	 
	 	-	 	the updated stock transfer register (registres des mouvements de titres) and
stockholders’ individual accounts (comptes d’actionnaires), the shareholders’ decisions
book (registre des procès-verbaux des assemblées générales) the board of directors’
decisions book (registre des procès-verbaux du conseil d’administration) and all
attendance sheets to the shareholders’ and board of directors’ meetings of the Company;

 

Page 10

	 	-	 	the original executed copies of the resignation letters effective as of the
Completion Date from the Company’ s members of the board of directors, the names of
which are set out in Exhibit 4.2.1, said letters specifying that the resigning
members have no claim whatsoever against the Company;
	 
	 	-	 	the original executed copy of the resignation letter effective as of the
Completion Date from Mr. Fabrice Vincent concerning its functions of Directeur Général
Délégué, said letter specifying that Mr. Fabrice Vincent has no claim whatsoever
against the Company;
	 
	 	-	 	the original executed copies of the relevant minutes evidencing that the
persons listed in Exhibit 4.2.1 (or such other persons as the Purchaser may
designate replacement therefore) shall have been elected or designated directors,
effective as of Completion Date;
	 
	 	-	 	the irrevocable and unconditional waiver by each and all Sellers of all rights
under the Shareholders Agreements including the acknowledgment that said agreement will
cease to be of any effect as from the Completion Date;
	 
	 	-	 	the irrevocable and unconditional waiver by each and all Warrant Holders of
their rights to exercise any and all of the Warrants and that all the Warrants will
become null and void as from as from the Completion Date;

	4.2.2	 	Following delivery of the documents referred to in section 4.2.1 above, the Purchaser shall
deliver:

	 	-	 	bank checks to each Seller for the amounts set forth in Exhibit 4.2.2.
	 
	 	-	 	any documents evidencing the issuance of the Purchaser’s Common Stock, such as
a copy of an instruction letter and/or a legal opinion of Morgan, Lewis & Bockius LLP
to the transfer agent, effective as from the Completion Date. The original stock
certificates of the Purchaser’s Common Stock will be delivered to the beneficiaries
within ten (10) days as from the Completion Date.

	4.2.3	 	Related Agreements:

	 	-	 	The Founders, the Purchaser and the Escrow Agent shall execute the Escrow
Agreement in the form attached hereto as Exhibit D;
	 
	 	-	 	The Company and the Founders at the date hereof and the Company and other
Employees within five (5) days following the Completion Date shall execute new
employment agreements in the forms attached hereto as Exhibit E;
	 
	 	-	 	The Founders and the Purchaser shall execute the Contribution Agreement related
to the Contributed Shares in the form attached hereto as Exhibit F.

 

Page 11

	ARTICLE 5 REPRESENTATIONS AND WARRANTIES

The Founders, acting jointly (conjointement), represent and warrant to the Purchaser as of the date
hereof as follows.

The representations and warranties made by the Founders in this Article 5 (the “Representations and
Warranties”) shall be construed subject to the facts or information which are disclosed in the
Agreement or its applicable Exhibits.

Conversely, for the avoidance of doubt, the Representations and Warranties made by the Founders
shall not be limited by documents or information provided to Bio-Imaging Inc. or its advisers prior
to the date hereof that are not explicitly and clearly restated in the Agreement or its Exhibits.

	5.1	 	Authority

The Founders have the full corporate power and authority required to enter into the Agreement and
to transfer and deliver the Sold Shares they own as provided in the Agreement and to waive all
their rights under the Warrants they own.

	5.2	 	Corporate Status
	 
	5.2.1	 	The Company is a société anonyme duly organized and validly existing under the laws of
France and in compliance with the French commercial code and French decree n° 67-236 of March
23, 1967 on commercial companies. The Company’s by-laws as set forth in Exhibit 5.2.1
are accurate as at the date hereof.
	 
	5.2.2	 	The Company has never been in a state of insolvency or suspension of payments, nor have they
made a voluntary or court–ordered arrangement or similar agreement with some or all of their
creditors. They are not subject to any administration, insolvency, reorganization, winding–up,
bankruptcy or similar proceedings (procédure et sauvegarde, règlement amiable, redressement ou
liquidation judiciaire).
	 
	5.2.3	 	The Company has all requisite corporate power to own its properties and carry on its
business as now conducted. All corporate laws and regulations applicable to the Company have
been complied with. All corporate formalities and compulsory disclosure requirements have been
duly fulfilled. The Company’s business (fonds de commerce) is not the object of any leasing
agreement (contrat de location-gérance).
	 
	5.2.4	 	The Company has never had any subsidiaries and has never owned directly or indirectly any
capital stock of, or other equity interests in, any corporation, partnership, or other entity.
The Company has never been a member of or a participant in any partnership, joint venture or
similar enterprise. The Company has no set up any branch (succursale) or secondary office
(établissement secondaire).
	 
	5.3	 	Capital Stock and Ownership
	 
	5.3.1	 	The Company’s issued share capital amounts to 72,340 euros divided into 7,234 shares of a
nominal value of 10 euros each. All the shares have been duly and validly issued and are fully
paid up. The shares are divided into two (2) categories as follows:

	 	-	 	4,000 of Category A, and

 

Page 12

	 	-	 	3,234 of Category B,

Exhibit 5.3.1 sets forth the amount of the Company’s share capital, detailing all
the Securities issued by the Company, the categories and respective rights thereof and
holders thereof. The Securities represent 100% of the issued and outstanding capital
and voting rights of the Company, on a fully diluted basis and are freely transferable.

	5.3.2	 	The Company has not issued any securities or other rights (including options de souscription
d’actions or bons de souscription de parts de créateurs d’entreprise) entitling their holders
to acquire, immediately or at a future date, a fraction (quotité) of the Company’s share
capital other than the Warrants and being specified that all the outstanding convertible bonds
issued by the Company have been converted into Category B Shares prior to the date hereof.

No authorization voted by the general shareholders’ meeting to issue securities or
other rights to a fraction (quotité) of the Company’s share capital is in effect.

	5.3.3	 	No shareholders’ agreement has been entered into relating to the Company other than the
Shareholders Agreement, which will terminate at Completion Date.

	5.3.4	 	At Completion Date, the Sellers will have, and will transfer, good and marketable title to
the Sold Shares and to all of the rights afforded thereby, free of any Lien, and upon
consummation of the transactions contemplated hereby, the Purchaser will hold 100% of the
Securities of the Company following the simultaneous realization of both the Agreement and the
Contribution Agreement.

	5.4	 	Financial Statements

	5.4.1	 	Exhibit 5.4.1 contains the audited annual balance sheet and profit and loss
statement of the Company together with the notes and annexes thereto as of December 31, 2005
(the “2005 Accounts”), which, as well as for the preceeding four years, were certified without
qualifications by the Company’s statutory auditors and approved by the Company’s annual
shareholders’ meeting without reserves.

	5.4.2	 	Exhibit 5.4.2 contains the interim balance sheet and profit and loss statement
(bilan et comptes de résultat intermédiaires) of the Company as of the Balance Sheet Date,
which were prepared by the Company and perused by the Company’s statutory auditors (the
“Interim Accounts”).

	5.4.3	 	The 2005 Accounts and the Interim Accounts have been prepared in accordance with the
accounting principles generally accepted in France and in particular with those described in
Exhibit 5.4.3 applied consistently with past practice and present a true and fair view
(une image fidèle et sincère) of the financial condition and results of operations of the
Company as at their respective date.

	5.4.4	 	The Company is not bound by any off balance sheet liability (engagements hors bilan) except
as clearly disclosed in the notes to the Interim Accounts or in Exhibit 5.4.4.

	5.4.5	 	The Interim Accounts reflect all liabilities (whether absolute, accrued, contingent or
otherwise) of the Company required to be recorded thereon or in the annexes or notes thereto
in accordance with the accounting principles as at the respective date thereof.

 

Page 13

	5.4.6	 	The Interim Accounts reflect all accrued and unpaid wages, compensation and other obligation
of the Company with respect to their employees as of the date of the Interim Accounts.

	5.5	 	Interim Period

Since the Balance Sheet Date, the Company has been managed in the ordinary course of
business consistent with past practice and with a reasonable degree of care (en bon père de
famille), the Company has sufficient working capital to manage its activities at the current
level and no change has occurred which adversely affects the assets or the condition
(financial or otherwise), results of operations or prospects of the business of the Company.
In particular and except as set forth in Exhibit 5.5, it has not:

	 	(i.)	 	sold or transferred any of its assets or committed to do so, except in
the ordinary course of business consistent with past practice;
	 
	 	(ii.)	 	acquired any other business or entered into any lease agreement,
licensing arrangement or joint venture, other than leases or licenses in favor of
the Company pertaining to Movable Property having an individual value of no more
than 6,000 euros and an aggregate value of no more than 20,000 euros, or software
used in the ordinary course of business of the Company consistent with past
practice;
	 
	 	(iii.)	 	authorized, declared, set aside, made or paid any dividend or other distribution
in respect of its capital stock or otherwise purchased or redeemed, directly or
indirectly, any shares of its capital stock;
	 
	 	(iv.)	 	issued or sold any Shares of any class of its capital stock, or any
securities convertible into or exchangeable for any such shares, or issued, sold,
granted or entered into any subscriptions, options, warrants, conversion or other
rights, agreements, commitments, arrangements or understandings of any kind,
contingently or otherwise, to purchase or otherwise acquire any such shares or any
securities convertible into or exchangeable for any such shares;
	 
	 	(v.)	 	incurred any indebtedness for borrowed money, issued or sold any debt
securities or prepaid any debt (including, without limitation, any borrowings from
or prepayments to the Sellers), except for borrowings and repayments in the
ordinary course of business;
	 
	 	(vi.)	 	mortgaged, pledged or otherwise subjected to any Lien, any of its
assets, tangible or intangible;
	 
	 	(vii.)	 	forgiven, canceled, compromised, waived or released any debts, claims or rights,
except for debts, claims and rights forgiven, canceled, compromised, waived or
released in the ordinary course of business;
	 
	 	(viii.)	 	modified any existing contract or entered into (x) any agreement, commitment or
other transaction, other than agreements entered into in the ordinary course of
business and involving an expenditure by the Company of more than 30,000 euros in
each case and 50,000 euros in the aggregate,

 

Page 14

	 	 	 	or (y) any agreement or commitment that, pursuant to its terms, may not be
terminated without penalty on less than 30 days’ notice;
	 
	 	(ix.)	 	increased the compensation of its officers or employees, or modified
the terms and conditions of their offices or contracts of employment, or permitted
any such modification, except pursuant to collective bargaining agreements, nor
paid any bonus to any officer, director, or employee, except as otherwise agreed in
written with the Purchaser;
	 
	 	(x.)	 	amended its statuts, articles of association, by-laws or any other
organizational documents;
	 
	 	(xi.)	 	changed in any respect its accounting practices, policies or
principles;
	 
	 	(xii.)	 	transferred or granted any rights or licenses under, or entered into any
settlement regarding the infringement of intellectual property or entered into any
licensing or similar agreements or arrangements;
	 
	 	(xiii.)	 	taken any action or omitted to take any action that would result in the
occurrence of any of the foregoing.

	5.6	 	Litigation

There is no lawsuit, arbitration or proceeding pending or threatened against the Company
before any court, arbitration tribunal or governmental authority and there is no outstanding
judgment, order, decree, award or injunction against the Company.

	5.7	 	Real Property

The Company does not own any real property. The only lease entered into by the Company with
respect to real property (the “Real Property”) is a lease of premises located at Bioparc, 60
avenue Rockfeller, 69008 Lyon (France) which will expire on February 15, 2006 (the “Current
Lease”). Constructions on the Real Property are structurally sound with no material defects,
subject to normal wear and tear. The parties to the Current Lease have complied with all
their respective obligations contained therein and the Real Property has been regularly
maintained.

The Company has concluded prior to Completion Date a new short-term lease (the “New Lease”)
set forth in Exhibit 5.7. The New Lease has been concluded in compliance with French
law (and in particular with Article L. 145-5 of the French Commercial Code) and zoning and
internal building regulations (including the Laennec building’s selection criteria and the
decision of the specific committee of the Communauté Urbaine de Lyon). The New Lease will
start on February 16, 2007 and will expire on January 15, 2009.

	5.8	 	Movable Property

The Company does not own any movable property the net book value of which is in excess of
3,000 euros (the “Movable Property”). The Movable Property is structurally sound,
adequate for the conduct of the business of the Company as it has been and is proposed to be
conducted, subject to normal wear and tear.

 

Page 15

	5.9	 	Environment

The activities of the Company have been conducted in compliance with all applicable
environmental laws and regulations.

	5.10	 	Taxes, customs and social security contributions

	5.10.1	 	The Company has duly and timely filed with the appropriate Governmental Entities all tax,
customs and social security returns and reports required to be filed in respect of the
activities of the Company and has timely and fully paid all taxes, customs or social security
contributions due by it prior to the date hereof.

	5.10.2	 	The amounts of the tax loss carry forwards and deferred depreciation (amortissements réputés
différés) declared by the Company in its tax returns are accurate and such tax loss carry
forwards and deferred depreciation are offsetable against future taxable profits. The Company
has kept the documentation required to justify the existence of these tax loss carry forwards
and deferred depreciation.

Losses shall be equal to the product of the corporate income tax rate in force at the time
of the reassessment and the global amount of the tax losses carry forwards and deferred
depreciation, the deduction of which is challenged by the tax authorities.

	5.10.3	 	The Company is neither a party to any action or proceeding by any Governmental Entity for
assessment and collection of taxes, customs or social security contributions, nor has received
notice of any claim for such assessment and collection of taxes, customs or social security
contributions in respect of its activities.

	5.10.4	 	Apart from those expounded in 5.10.5 and 5.10.6 below, the Company has not benefited from
any favorable regime in terms of taxes, customs and social security contributions.

	5.10.5	 	The Company had not unduly benefited from the tax and social advantages deriving from the
Young Innovative Enterprise status (Jeunes Entreprises Innovantes). The loss of the Young
Innovative Enterprise status as a result of the sale of the Securities will not trigger any
refund obligation for the Company. According to that status, the Company’s changes of control
will generate that it will no longer be allowed to keep that status from January 1, 2007.

	5.10.6	 	The Company had not unduly benefited from the advantages and deriving from the research tax
credit (Crédit d’impôt recherche).

	5.10.7	 	The Company has been duly authorized for years 2006, 2007 and 2008 by the Research and
Innovation Department (Direction Générale de la Recherche et de l’Innovation) of the Ministry
of Education and Research (Ministère de l’Education Nationale, de l’Enseignement Supérieur et
de la Recherche) as a research entity (organisme de recherche privé) thereby entitling its
customers to benefit from the research tax credit regime for the research works carried out by
the Company on behalf of said customers.

	5.10.8	 	There are no outstanding adjustments for purposes of taxes or social charges applicable to
the Company required as a result of changes in methods of accounting. There are no material
elections or requests for rulings for purposes of taxes or social

 

Page 16

	 	 	charges made by the Company that are currently
in force or by which the Company or is bound.
The Company has never been a member of any tax
consolidated group.

	5.11	 	Intellectual Property

	5.11.1	 	The Company has full, exclusive and valid title, through direct ownership or a license, to
the use of all invention, patent, patent application, know-how, trade secret, trademark,
trademark application, trade name, company name, logo, domain name, copyright, copyright
application, design, software (including all documentation relating to the computer systems
and application software and the latest revisions of all related object and source codes
therefor) and other intellectual property rights used, held for use in connection with, or
necessary to the daily operation or development of its business (the “Intellectual Property
Rights”). Exhibit 5.11.1 provides a list of such Intellectual Property Rights, which
specifies for each such item whether it is owned or licensed and, if licensed, indicates the
full title, the parties thereto and the expiration date of the relevant license agreement.
Each of such licenses is in full force and effect, the Company is in compliance with each of
such licenses and no default exists by any other party thereto. The consummation of the
transactions contemplated hereby will neither violate nor result in the breach, modification,
cancellation, termination or suspension of such licenses

	5.11.2	 	Neither the Sellers, nor any current or former employee nor any manager or officer of the
Company nor any of their former employers holds any rights in the Intellectual Property
Rights. Further, no contractual or other obligation or restriction of any nature whatsoever
prevents any employee, manager or officer of the Company from using for the benefit of the
Company the experience and skills acquired by him while employed by any other company or
entity.

	5.11.3	 	All Intellectual Property Rights owned by the Company have been properly registered and
maintained and are duly opposable to third parties.

	5.11.4	 	There is no outstanding claim or threat thereof relating to the Intellectual Property Rights
against the Company with respect to facts having occurred prior to the date of this Agreement,
and the operation of the Company as at the date hereof does not infringe the intellectual
property rights of any third party. Conversely, the Founders are unaware of the violation or
infringement by any third party of the Intellectual Property Rights.

	5.11.5	 	Except as set forth in Exhibit 5.11.5, the Company has not granted to any third
party any option, license, pledge or other restrictions, user rights, or other rights
whatsoever, whether or not for compensation, with respect to the Intellectual Property Rights,
nor formed, directly or indirectly, any agreement with any third parties in relation to the
same other than licenses granted to customers or resellers in the ordinary course of business.

	5.11.6	 	All of the Company’s employment and/or sub-contractor agreements contain the provisions
necessary to ensure, to the fullest extent permitted by applicable laws, that all intellectual
property rights on the work carried out by its employees and/or subcontractors as from the
date of their hiring belong to the Company. The Company has timely compensated its employees
for their inventions developed and used by the

 

Page 17

	 	 	Company before the date hereof, in accordance with the requirements of French law and the
collective bargaining agreement applicable to the employees of the Company.

	5.11.7	 	Immediately after the Completion Date, the Company will own all of the Intellectual Property
Rights owned by the Company immediately prior to the Completion Date and will have a right to
use all other Intellectual Property Rights on the same contractual terms and conditions as in
effect prior to the Completion Date, free and clear of all Liens, except as set forth in
Exhibit 5.11.5, and on the same terms and conditions as in effect prior to the
Completion Date.

	5.12	 	Contracts

	5.12.1	 	Exhibit 5.12.1 contains a list of all outstanding, oral or written contracts or
agreements entered into by the Company which (i) provide for payments or guarantees for
payment by or to the Company in excess of 10,000 euros over any 12-month period, (ii) has a
term equal to one year or more from the date hereof (not including any optional or tacit
renewal period), (iii) has been entered into by the Company with any of its top 10 customers
or suppliers, (iv) guarantees the indebtedness of another person, (v) restricts its ability to
develop its business or compete with any person, (vi) grants exclusive rights to any third
party, or (vii) is a convention réglementée within the meaning of article L. 225-86 of the
French commercial code or has been entered into by the Company with any of the Sellers or any
of their Affiliates (the “Material Contracts”). As an exception to the foregoing, Exhibit
5.12.1 does not list the employment agreements of the Company with its Employees.

	5.12.2	 	The Material Contracts are valid and enforceable by the Company. The Company and its
co-contractors thereunder have performed all their obligations required to be performed
thereunder.

	5.12.3	 	There are no facts or information indicating, nor any other reason to believe, that any of
the customers or suppliers of the Company will not continue to be respectively customers or
suppliers of the Company after Completion Date at the same level as heretofore.

	5.12.4	 	Except as set forth in Exhibit 5.12.4, the Company is not a party to any contract or
agreement under the terms of which, as a result of the Company’s change of control or any
other transaction contemplated in this Agreement:

	 	(i.)	 	such contract would terminate at an earlier date than the stated date of
termination in the absence of such change;
	 
	 	(ii.)	 	the Company’s commitments would become due and payable prior to the normal
term thereof as a result of such change;
	 
	 	(iii.)	 	less favorable terms than those the Company would have benefited from in the absence
of such change would apply as a result of such change; or
	 
	 	(iv.)	 	any other party to such contract or agreement would be entitled to terminate
such contract or agreement earlier than it would have been entitled to do so in the
absence of such change, or would be entitled to make the Company’s commitments become
due and payable prior to the stated term thereof or to

 

Page 18

	 	 	 	require the application of less favorable terms than those the Company would have
benefited from in the absence of such change.

	5.13	 	Insurance

Exhibit 5.13 contains all insurance policies entered into by the Company (the
“Insurance Policies”). The Insurance Policies provide for a coverage that is customary in
connection with the business, assets and liabilities of the Company and are subject to
deductible and exclusions set forth in the Insurance Policies. The Insurance Policies held
by the Company are in full force and effect and corresponding premiums have been paid when
due. The Company has not experienced over the last 3 years any suspension of coverage or
cancellation of insurance policies relating to its respective business, assets and
liabilities.

	5.14	 	Accounts Receivables and payables — Cash balance

All debts owed by third parties to the Company as of the Balance Sheet Date are reflected in
the Interim Accounts. Such debts are good and collectable, 70% of them shall be recoverable
within a maximum six-month (6) period from Completion Date and the remaining 30% shall be
recoverable within a maximum ten-month (10) period from Completion Date and so without
litigation or resort to any other methods of recovery and without set-offs, counterclaims or
other deductions or, in the opposite case, are sufficiently reserved against in the Interim
Accounts. Exhibit 5.14 sets forth each and all of the accounts receivables as of the
Balance Sheet Date.

The Company has no outstanding obligation, debt or liability, fixed or contingent, which is
not specifically referred to in the Interim Accounts and all accounting debts have been
properly paid on the relevant due date and the Company is not liable as a result for any
interest for late payment, penalty or indemnity of any sort. Exhibit 5.14bis sets
forth each and all of the accounts payables and each and all of other payables as of the
Balance Sheet Date.

Further, the cash balance (trésorerie nette) of the Company as of the Balance Sheet Date is
at least of 100,000 euros.

	5.15	 	Loans — Borrowings

Exhibit 5.15 contains a true and complete list of the outstanding bank loans, credit
lines, discount facilities and other short and long term indebtedness. The Company has not
guaranteed repayment of the debt or amount owed by any other person, and has no obligation,
fixed or contingent, as a surety or otherwise, to pay any such debt or amount.

The Company is under the benefits of 400.000 € of reimbursable support (contrat ANVAR), as
set forth in Exhibit 5.15 arising 280.000 € of potential debt outstanding.

	5.16	 	Governmental permits – Compliance with laws

No permit or authorization is necessary to conduct the business of the Company. The Company
is not in violation in any material respect of any applicable law or

 

Page 19

regulation. No agreement, permit or authorization prevents the consummation by the Company
or the Founders of any of the transactions contemplated by this Agreement.

	5.17	 	Employees

	5.17.1	 	The Company has complied with all statutory or regulatory requirements with respect to its
managers and employees (the “Employees”), including without limitation, working time
requirements, working conditions, health and safety, social security, personnel representation
laws and regulations.

	5.17.2	 	All the employment contracts entered into between the Company and its Employees and in force
at the date hereof are set forth in Exhibit 5.17.2. There are no pension or
retirement benefits, bonus, profit sharing, stock purchase or stock option plans, company
savings plans or employee funds of the Company other than those which are mandatory under
French law or the applicable collective bargaining agreement.

	5.17.3	 	The Founders and the Employees other than the Founders are entirely free from any
non-compete or similar clause which may impair in whole or in part their ability to contribute
to the Company’s business and operations.

	5.17.4	 	The Company has not entered into any employment contracts providing for a termination notice
greater than the minimum provided by French law or the applicable collective bargaining
agreement, or for the payment of a termination or retirement indemnity exceeding that provided
by law or the applicable collective bargaining agreement.

	5.17.5	 	The Company has no pending obligations to any of its corporate officers (mandataires
sociaux), whether current or former, or its current or former managers and employees, in
particular in the form of immediate or deferred compensation, including pension, retirement
supplement, or surviving spouse pension, salaries, salary ancillaries, indemnities of any
nature whatsoever or any other sum which may arise out of or be due in respect of the
performance or termination of an employment agreement, other than the obligations which are
mandatory and compulsory pursuant to French laws and regulations and the applicable collective
bargaining agreement.

	5.17.6	 	No Employee will be entitled to receive any payment or benefit directly as a consequence of
the completion of the transactions contemplated herein. No Employee is entitled to receive
compensation proportional to profits or turnover other than as a result of mandatory legal
provisions (including the applicable collective bargaining agreement)

	5.17.7	 	No consultation of any Employees’ representatives is required to be made in connection with
the transaction contemplated hereby.

	5.18	 	Product warranties

Except as set forth in Exhibit 5.18, (a) there are no warranties express or implied,
written or oral, with respect to the business of the Company and (b) there are no pending or
threatened claims with respect to any such warranty, and the Company has no liability with
respect to any such warranty accrued and due.

 

Page 20

	5.19	 	Inventory

At the Completion Date, the inventory of the Company will only consist of items which are
useable and saleable in the normal course of business of the Company, as conducted on or
prior to the date hereof. The Company does not have any commitment to purchase inventories
in amounts greater than required in the ordinary course of business consistent with past
practices.

	5.20	 	No Broker

The Sellers have not used the services of any broker, finder, financial advisor or other
person, firm or corporation who would be entitled to receive any brokerage or finder’s or
financial advisory fee from the Purchaser or the Company in connection with the transactions
contemplated by the Agreement.

	5.21	 	Transactions with Affiliates

With the exception of the Shareholders Agreement, there are no agreements between the
Company and its executive officers or shareholders.

5.22 Full disclosure

Any fact the disclosure of which would be material in the context of the transactions
contemplated herein, or which would be necessary to not make the above representations
misleading, has been disclosed in the Agreement.

ARTICLE 6 REPRESENTATIONS AND WARRANTIES OF THE OTHER SELLERS AND OF THE PURCHASER

	6.1	 	Representations and warranties of each Seller other than the Founders (the “Other
Sellers”)

Each Other Seller represents and warrants to the Purchaser as of the date hereof, and covenants to
the Purchaser, as follows:

	6.1.1	 	Each of the Other Sellers has, and will transfer to the Purchaser pursuant to this
Agreement, good and marketable title to the number of Sold Shares set forth next to
his/her/its name in Exhibit 6.1.1 and to all of the rights afforded thereby, free and
clear of all Liens.

	6.1.2	 	The Other Sellers which are individuals and their respective representatives for the purpose
hereof have the full capacity and authority required to enter into this Agreement and any
other documents contemplated hereby and to transfer, assign and deliver the Sold Shares they
own as provided in the Agreement. Mr. Bracoud has the full capacity and authority required to
waive all the rights attached to the Warrants he owns.

	6.1.3	 	The Other Sellers which are legal entities or investment funds have the full corporate power
and authority required to enter into this Agreement and to transfer, assign and deliver the
Sold Shares they own as provided in the Agreement. The execution and delivery of the Agreement
and the consummation by them of the transactions

 

Page 21

	 	 	contemplated hereby have been duly authorized by their respective competent corporate
bodies.

	6.1.4	 	The Agreement constitutes a valid obligation of each of the Other Sellers enforceable
against him/her/it in accordance with its terms.

	6.1.5	 	The Other Sellers as listed in Exhibit 6.1.5 have been advised that the Purchaser’s
Common Stock they will receive will be deemed to be Restricted Shares under the Securities Act
of 1933, as amended and that a restrictive legend in substantially the following form shall be
placed on the certificates representing such shares:

“The Securities represented hereby have not been registered under
the Securities Act of 1933, as amended (the “1933 Act”), or the
Securities Act of any State and may not be offered, sold or otherwise
transferred, pledged or hypothecated unless and until registered under
the 1933 Act or applicable State Securities Acts or, in the opinion of
counsel in form and substance satisfactory to the issuer of these
securities, such offer, sale or transfer, pledge or hypothecation is
in compliance therewith”

	6.2	 	Representations and warranties of the Purchaser

	6.2.1	 	The Purchaser has the full corporate power and authority required to enter into and perform
the Agreement. The execution and delivery of the Agreement and the consummation of the
transactions contemplated hereby have been duly authorized by its competent corporate bodies.

	6.2.2	 	The Agreement constitutes a valid and binding obligation of the Purchaser enforceable
against the Purchaser in accordance with its terms.

ARTICLE 7 COVENANTS

The Sellers acknowledge that the foregoing covenants are made by them in consequence of and
as an inducement to Bio-Imaging Inc. to acquire the Securities and to protect and preserve
to Bio-Imaging Inc. the benefit of its bargain in the acquisition of the Securities; that
each of the foregoing covenants is reasonable and necessary to protect and preserve the
benefits of such purchase; and that irreparable loss and injury would result should the
Sellers breach any of the foregoing covenants.

	7.1	 	Conduct of Business

Except as consented to by the Purchaser in writing, from the date hereof to the Completion
Date, the Sellers shall cause the Company to conduct its business and operations only in the
ordinary course consistent with past practice.  The Sellers shall promptly
notify the Purchaser of any event, condition or circumstance that, individually or in the
aggregate, would have or result in an adverse effect on the finance or perspectives of the
Company.

	7.2	 	Access to Information

The Sellers shall (i) afford, and shall cause the Company to afford, the Purchaser
and its representatives access to all the facilities and books and records of the Company,

 

Page 22

(ii) furnish the Purchaser and its representatives with all the financial and
operating data and other information with respect to the business and operations of the
Company that the Sellers have in their possession, (iii) instruct the employees of
the Sellers, the Company, and counsel, financial advisors and accountants of the foregoing,
to cooperate with the Purchaser and its representatives with their investigation of the
Company, and (iv) keep, and shall cause the Company to keep, the Purchaser generally
informed as to the business and operations of the Company. Any investigation pursuant to
this section 7.2 shall be conducted in such manner as not to interfere unreasonably with the
conduct of the business and operations of Company.

	7.3	 	Non-Competition

The Founders and Luc Bracoud agree that for a period of (i) three (3) years after the
Completion Date for Mr. Pachai and (ii) two (2) years after the Completion Date for Luc
Bracoud and the other Founders, none of them will in France, United States of America,
United Kingdom, Germany, The Netherlands and Switzerland at the date hereof manage, become
engaged or financially interested, either as employee, shareholder, director, manager or
consultant or in any manner whatsoever, in businesses or activities directly competing with
those conducted by the Company and/or Bio-Imaging at the date hereof, which are
contractually defined for the purposes hereof as diagnostic and therapeutics image analysis
in clinical trials.

Each of the Sellers irrevocably undertakes not to use to its own profit or disclose to any
third party any tradename or logo owned or used by the Company (including the use of the
name “Theralys” or any abbreviation thereof or any combination including name and/or logo),
any commercial secret, know-how or other non-public information belonging to the Company or
acquired by it/his/her in the course of their employment, office or investment with the
Company until such time as such commercial secret, know-how or confidential information has
fallen into the public domain.

	7.4	 	Non-Solicitation

From the date hereof until (i) three (3) years for Mr. Pachai and (ii) two (2) years
for Luc Bracoud and the other Founders, the Founders and Luc Bracoud shall not directly or
indirectly through any person, enterprise or entity, for their own account or for any other
person, enterprise or entity, in association with or in the employment of any other person,
firm, company or organization, interfere with, solicit or endeavor to entice away from the
Company, any person, firm, company or organization currently employed by the Company.

ARTICLE 8 INDEMNIFICATION

	8.1	 	Indemnification by the Founders

Subject to the conditions and limitations set forth below, the Founders (the “Indemnifying
Parties”) agree to indemnify by way of a price reduction and hold the Purchaser harmless
from any and all liabilities, obligations, damages, deficiencies, losses, claims, actions,
lawsuits, proceedings, judgments, demands and costs

 

Page 23

(including penalties, late interest, majorations) (“Losses”) suffered or incurred by the
Purchaser or the Company as a result of, in connection with or relating to any breach or
inaccuracy of any Representation or Warranty or covenants of the Founders contained herein.
The Founders and the Purchaser take for it granted that, for the purposes of assessing the
Losses (if any), any Loss incurred by the Company will lead to corresponding decrease in
value of the Shares in the Company, so that any such Loss will therefore lead to a
corresponding reduction of the Purchase Price according to the provisions set forth below.

The Founders shall be jointly (conjointement) liable for 100 % of the Losses and each
Founder shall be jointly (conjointement) liable for the percentage of Losses set forth next
to his name in Exhibit 8.1,

	8.2	 	When payable

For the purpose of the indemnification provision, Mr. Chahin Pachai, who accepts, is hereby
appointed by each of the Founders in order to act on their behalf to send or receive any
notice pursuant to this Article 8 and to take on their behalf any further actions that are
necessary, proper or advisable to carry out the conditions of this Article 8.2 and,
generally, do whatever may be necessary (the “Founders’ Representative”).

Indemnification under this Article 8 shall be payable with respect to any claim concerning a
Loss upon the earlier of (a) the resolution of such claim by mutual agreement between the
Founders’ Representative and the Purchaser, (b) the issuance of a final judgment, award,
order or other ruling (which is not subject to appeal or with respect to which the time for
appeal has elapsed) by a court or arbitral tribunal having jurisdiction over the parties and
the subject matter of such claim or to which such claim was submitted for resolution by
joint agreement between the Founders’ Representative and the Purchaser or (c) the final
settlement of such claim with a third party pursuant to mutual authorization by the
Founders’ Representative and the Purchaser. Any sum due by the Founders pursuant to a claim
for indemnification will be paid to the Purchaser within thirty (30) days from the date when
such claim for indemnification becomes final and payable, being specified that any sum due
pursuant to this indemnification provision shall be set off against any part of the Escrow
Amount.

	8.3	 	Limitations on Indemnification

	8.3.1	 	The indemnification obligations of the Founders under Article 8.1 above for Losses shall not
exceed the total sum of 280,000 euros, breakdown between the Founders as follows:

	 	-	 	190,400 euros for Mr. Pachai;

	 
	 	-	 	33,600 euros for Mr. Vincent;

	 
	 	-	 	28,000 euros for Mr. Olart; and

	 
	 	-	 	28,000 euros for Mr. Douek.

	8.3.2	 	The Founders’ obligation hereunder is subject to a deductible (franchise) of 50,000 euros.
If this deductible is reached, only the excess shall be payable.

 

Page 24

	8.3.3	 	The amount of any indemnity payable hereunder on account of a Loss shall be reduced by any
insurance proceeds received by the Indemnified Party with respect thereto.

	8.3.4	 	The Purchaser shall not be entitled to make a claim for indemnification for Losses against
the Founders in respect of any assessment for taxes which merely modifies the tax period
during which a deductible charge or amortization may be taken or in respect of any VAT
assessment (except if such VAT is not recoverable and cannot be recharged to the customers).

	8.3.5	 	The Purchaser shall not be entitled to make a claim for indemnification against the Founders
in respect of any Loss for which a specific provision or reserve (provision) has been made in
the limit of that Loss, as a line item in, or in the notes to, the Interim Accounts. If the
Loss is superior to the amount of the specific provision or reserve, the Purchaser shall be
entitled to make a claim for indemnification against the Founders only for the difference
between the amount of such specific provision of reserve and the noted Loss.

	8.3.6	 	The limitations set forth in this Article 8.3 shall however not apply to any Losses
resulting from events or circumstances which the Founders failed to disclose to the Purchaser
in the Agreement or its Exhibits. They shall further not apply to any legal or other expenses,
such as attorneys’ or other experts’ fees reasonably incurred by the Purchaser or the Company
in pursuing a claim against the Founders on the ground of a Loss, nor shall they apply to any
interest which might be due by the Founders on the amount of indemnification.

	8.4	 	Notification of Claims; Third Party Claims

	8.4.1	 	In order for the Purchaser (the “Indemnified Party”) to be entitled to the indemnification
of any Loss under the Agreement, the Indemnified Party must send a notification (the “Claim
Notice”) to the Founders’ Representative in writing within thirty (30) days from the date on
which the Purchaser shall have knowledge of a matter which could give rise to indemnification,
except in case of a Third Party Claim which requires a response in a shorter period where such
time frame shall be reduced to fifteen (15) days.

For the purposes of the Agreement, a “Third Party Claim” shall mean a claim which a third
party has assessed in writing against the Purchaser and/or the Company.

	8.4.2	 	The Claim Notice shall specify (a) the grounds for the possible claim and (b) an estimate of
the amounts claimed in respect of the Loss if readily assessable.

In the event the claim by the Indemnified Party involves or arises out of a Third Party
Claim, the Claim Notice shall include copies of such Third Party Claim as well as of any
documents attached thereto; provided that for the purpose of the Agreement,
any tax reassessment notice shall be considered as a Third Party Claim.

	8.4.3	 	The Founders Representative shall, within thirty (30) days (reduced to ten (10) days in case
of a Third Party Claim which requires a response in a shorter period) following the Claim
Notice, either agree or refuse, in whole or in part, to indemnify the Purchaser (the
“Response”). In the event of partial or total refusal, the Founders Representative shall
notify the Purchaser of its decision within the above mentioned periods, and indicate the
grounds for such refusal.

 

Page 25

	8.4.4	 	If a Third Party Claim is made against the Indemnified Party or the Company, the following
provisions shall apply:

	 	(i)	 	as long as the amount of any Third Party Claim does not exceed the Escrow
Amount and subject to paragraph (ii) below, the Founders will have the option (and the
Founders Representative shall indicate such option in the Response mentioned in Article
8.4.3) to assume control of the procedure at its sole cost and expense, provided that
the Purchaser will be entitled to participate in such defense with counsel of its
choice and at their own expense; and
	 
	 	(ii)	 	as soon as the amount of any Third Party Claim reaches or exceeds the Escrow
Amount, the Purchaser may, at its option and through counsel of its choice, assume
control of such defense provided that the Founders shall be entitled to participate in
such defense with counsel of its choice and at their own expense,

it being specified that the Founders and/or the Purchaser shall assume the defense of the
Company exclusively within the Company’s corporate interest.

	8.5	 	Survival of indemnification

The right of the Purchaser to make a claim for a breach of the Founders’ Representations or
Warranties under the Agreement shall survive for a period of eighteen (18) months as from
the Completion Date except that (i) claims for indemnification based on
Article 5.10 shall survive until January 31, 2010 and (ii) claims for indemnification based
on Article 5.11 shall survive until
December 31, 2010.

Any limitation period with respect to a claim shall be interrupted by a notification of such
claim pursuant to Article 8.4; in this case, the provisions of this Article 8 shall remain
in force with respect to such claim until it is finally determined as set forth in Article
8.2 above.

ARTICLE 9 CONFIDENTIALITY — PUBLICITY

Each of the Parties hereto shall treat the contents of the Agreement as well as any information
obtained from the other parties as confidential and shall refrain from disclosing this Agreement,
in whole or in part, to any third party, except as required by law or the rules or regulations of
any Governmental Entity in which case the disclosing party shall give prior notice to the other
Parties.

The Sellers and the Purchaser agree that no public release or announcement concerning the
transactions contemplated herein shall be issued by either Party without the prior consent of the
Purchaser and the Sellers’ Representative (which consent shall not be unreasonably withheld),
except as such release or announcement may be required by law or the rules or regulations of any
Governmental Entity, in which case the party required to make the release or announcement shall
give prior notice to the other parties.

ARTICLE 10 EXPENSES

Save as otherwise expressly provided herein, the Parties hereto shall bear their own respective
expenses (if any) incurred in connection with the preparation and execution of the Agreement

 

Page 26

and the consummation of the transactions contemplated herein provided that all transfer
taxes and stamp duties in connection with the purchase of the Sold Shares shall be borne by the
Purchaser.

ARTICLE 11 SELLERS’ REPRESENTATIVE — NOTICES

	11.1	 	Representative of the Sellers

For the purpose of the Agreement, Mr. Chahin Pachai, who accepts, is hereby appointed by
each of the Sellers in order to act on their behalf to send or receive any notice pursuant
to the Agreement and to take on their behalf any further actions that are necessary, proper
or advisable to carry out the purposes of the Agreement and, generally, do whatever may be
necessary (the “Sellers’ Representative”). If for any reason the Sellers’ Representative
shall cease to be the representative of the Sellers, then within one month commencing from
the date of termination of the Sellers’ Representative’s functions, the Sellers shall
appoint another representative. Failing appointment of a new agent within said period, all
notices and requests hereunder shall be validly given or made to any of the Sellers.

	11.2	 	Notices

All notices and other communications required or authorized hereunder shall be in writing
and validly made if either delivered via courier or sent by registered letter (return
receipt requested), e-mail or facsimile (provided that it be confirmed by same day
registered letter, return receipt requested or courier on an expedited basis for notices
sent across international boundaries, in case of an e-mail or facsimile) addressed as
follows:

	 	 	 	 	 
	 if to the Purchaser:	 	Bio Imaging Inc, Inc.
	 

	 	Attn:
	 	Mr. Ted Kaminer,
	 

	 	Address:
	 	826, Newtown-Yardley Road,
	 

	 	 	 	Newtown, PA 18940 (USA)
	 

	 	Facsimile:
	 	00 1 267 757 31 89
	 

	 	E-mail:
	 	tkaminer@bioimaging.com
	 
	 	 	 	 
	with a copy to:	 	Pierre-Antoine Dubecq
	 	 	Morgan Lewis
	 	 	68, rue du Faubourg St Honoré
	 	 	75008 Paris (France)
	 

	 	Facsimile:
	 	(33) 1 53 30 43 01
	 

	 	E-mail:
	 	pdubecq@morganlewis.com
	 
	 	 	 	 
	if to the Sellers:	 	Mr. Chahin Pachai
	 	 	Sellers’ Representative
	 

	 	Address:
	 	40 avenue Lacassagne,
	 

	 	 	 	69003 Lyon (France),
	 

	 	E-mail:
	 	cpachai@gmail.com
	 
	 	 	 	 
	with a copy to:	 	Eric Baroin
	 	 	Lamy & Associés
	 	 	6, square de l’Opéra Louis-Jouvet

 

Page 27

	 	 	 	 	 
	 	 	75009 Paris (France)
	 

	 	Facsimile:
	 	(33) 1 53 05 91 99
	 

	 	E-mail:
	 	eric.baroin@lamy-associes.com

Any change in address or representative for the purposes hereof shall be notified by the
concerned Party to the other Parties as provided above.

Notices and other communications delivered via courier shall be effective as of their date
of delivery, as evidenced by the delivery receipt, or as of the next Business Day if the
date of delivery is not a Business Day.

Notices and other communications sent by registered mail, return receipt requested, shall be
effective as of their date of first presentation to the addressee.

Notices and other communications sent by e-mail or facsimile shall be deemed effective as of
the date thereof, or as of the next Business Day if such e-mail or facsimile is sent other
than on a Business Day, provided that they be confirmed by same day registered mail, return
receipt requested, or courier on an expedited basis for notices sent across international
boundaries.

ARTICLE 12 SEVERABILITY

Should any of the provisions of the Agreement be held null and void or unenforceable for any reason
whatsoever, the Parties undertake to consult each other to remedy the causes of such nullity, so
that the Agreement remain in force without any discontinuity to the full possible extent.

ARTICLE 13 ENTIRE AGREEMENT

This Agreement, the recitals and the Exhibits attached hereto represent the entire understanding
and agreement of the parties and supersede all prior agreements, understandings or arrangements
among the parties hereto with respect to the subject matter hereof including, in particular, the
letter of intent sent by the Purchaser to the Sellers and the Company on December 15, 2006. It can
be amended, supplemented or changed, and any provision hereof can be waived, only by written
instrument making specific reference to the Agreement signed by each Party against whom enforcement
of such amendment, supplement, modification or waiver is sought.

ARTICLE 14 SUCCESSORS AND ASSIGNS

The Purchaser may freely transfer the Securities and all of their rights and obligations hereunder
to any of its Affiliates at any time, in which case the transferee shall be subrogated in all of
the Purchaser’s rights and obligations hereunder. The rights resulting from the Representations and
Warranties set forth in Article 5 above are not transferable by the Purchaser (or its assignees),
except to an Affiliate.

All rights and obligations of the Parties shall be binding upon and inure to the benefit of their
respective successors and assigns, jointly and indivisibly with the Party concerned and among
themselves.

 

Page 28

ARTICLE 15 LANGUAGE

The Purchaser and the Sellers acknowledge that the French translation of the Agreement has been
prepared solely for information purposes and that only the English version of the Agreement shall
be the contractually-binding agreement entered into between the Parties, in particular in case of a
difference in the interpretation of the terms used in the two versions.

ARTICLE 16 APPLICABLE LAW — JURISDICTION

This Agreement shall be governed by and construed in accordance with the laws of France.

Any dispute arising in connection with the Agreement or as a result or consequence thereof and not
otherwise settled shall be subject to the exclusive jurisdiction of the Commercial Court (tribunal
de commerce) of Paris.

[Remainder of Page Intentionally Left Blank]

 

Page 29

Executed in 8 original copies

In Lyon

On February 6, 2007

	 	 	 
	/s/ Mr. Chahin Pachai

	 	/s/ Mr. Fabrice Vincent
	 

	 	 
	Mr Chahin PACHAI

	 	Mr Fabrice VINCENT

	 
	 	 
	/s/ Mr. Philippe Douek

	 	/s/ Mr. Emmanuel Olart
	 

	 	 
	Mr Philippe DOUEK

	 	 Mr Emmanuel OLART

	 
	 	 
	/s/ Mr. Joseph Gniewek

	 	/s/ Mr. Jean Claude Morel
	 

	 	 
	GIE VALOREZ

	 	 Mr Jean Claude MOREL

	By
[     ]
	 	 
	 
	 	 
	/s/ Mr. Laurent Gerfault

	 	/s/ Ms. Marcela Hernadez-Hoyos
	 

	 	 
	Mr Laurent GERFAULT

	 	 Ms Marcela HERNADEZ-HOYOS

	 
	 	 
	/s/ Mr. Nicolas Rognin

	 	/s/ Mr. Jérôme Vincent
	 

	 	 
	Mr Nicolas ROGNIN

	 	 Mr Jérôme VINCENT

	 
	 	 
	/s/ Mr. Luc Bracoud

	 	/s/ Ted Kaminer
	 

	 	 
	Mr Luc BRACOUD

	 	BIO IMAGING Inc

	 

	 	Ted Kaminer

 

Page 30

	 	 	 	 	 
	RHÔNE-ALPES CRÉATION	 	 
	 
	 	 	 	 
	By:

	 	/s/ Ms. Karine Lignel	 	 
	 

	 	 

Name: Ms. Karine Lignel
	 	 
	 

	 	Title:	 	 
	 
	 	 	 	 
	AMORÇAGE RHÔNE ALPES	 	 
	 
	 	 	 	 
	By:

	 	/s/ Ms. Karine Lignel	 	 
	 

	 	 

Name: Ms. Karine Lignel
	 	 
	 

	 	Title:	 	 
	 
	 	 	 	 
	CRÉDIT AGRICOLE
CRÉATION	 	 
	 
	 	 	 	 
	By:

	 	/s/ Mr. Maurice Bernard	 	 
	 

	 	 

Name: Mr. Maurice Bernard
	 	 
	 

	 	Title:	 	 
	 
	 	 	 	 
	RHÔNE-DAUPHINÉ DÉVELOPPEMENT	 	 
	 
	 	 	 	 
	By:

	 	/s/ Mr. Pierre Jourdain	 	 
	 

	 	 

Name: Mr. Pierre Jourdain
	 	 
	 

	 	Title:	 	 
	 
	 	 	 	 
	SOFIMAC PARTNERS / LE LANCEUR	 	 
	 
	 	 	 	 
	By:

	 	/s/ Mr. Philippe Vuagnat	 	 
	 

	 	 

Name: Mr. Philippe Vuagnat
	 	 
	 

	 	Title:	 	 

 

Page 31

EXHIBITS

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