Document:

Exhibit 10.10

 Exhibit 10.10 
 THIS WARRANT AND THE SECURITIES ISSUABLE UPON EXERCISE HEREOF HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, APPLICABLE STATE SECURITIES LAWS, OR APPLICABLE LAWS OF ANY FOREIGN
JURISDICTION. THIS WARRANT AND SUCH UNDERLYING SECURITIES HAVE BEEN ACQUIRED FOR INVESTMENT AND NOT WITH A VIEW TO DISTRIBUTION OR RESALE, AND MAY NOT BE OFFERED, SOLD, PLEDGED, HYPOTHECATED, RENOUNCED OR OTHERWISE TRANSFERRED IN THE ABSENCE OF AN
EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT AND ANY APPLICABLE STATE SECURITIES LAWS AND IN THE ABSENCE OF COMPLIANCE WITH APPLICABLE LAWS OF ANY FOREIGN JURISDICTION, OR THE AVAILABILITY OF AN EXEMPTION FROM THE REGISTRATION
PROVISIONS OF THE SECURITIES ACT OF 1933, AS AMENDED, AND APPLICABLE STATE SECURITIES LAWS. 
 STEMCO BIOMEDICAL, INC. 
 PREFERRED
STOCK PURCHASE WARRANT 
 This Preferred Stock Purchase Warrant (the
“Warrant”) is issued as of this the 23rd day of December 2002, by STEMCO BIOMEDICAL, INC., a Delaware corporation (the “Company”), to
                            , or permitted assigns (the “Holder”). 
 1. Issuance of Warrant; Term; Price. 
 1.1. Issuance. Concurrently herewith, the Holder is making a loan to the Company in the amount of
$                     (the “Loan”). The Loan is evidenced by a Secured Convertible Promissory Note dated as of the date
hereof, in the original principal amount of $                    , payable to the order of the Holder, by the Company (together with any and
all extensions, replacements and renewals thereof, the “Note”). In consideration of the funding of the Loan, the receipt and sufficiency of which are hereby acknowledged, the Company hereby grants to Holder the right to purchase a
number of shares of the capital stock of the Company issuable in the Equity Financing (as defined in the Note and Warrant Purchase Agreement among the Company, the Holder and the Purchasers listed therein, dated December 23, 2002 (the
“Purchase Agreement”) (since such shares are expected to be designated Series B Preferred Stock, such stock is referred to herein as the “Series B Preferred Stock”), equal to 25% of the Loan amount, divided by the
price per share of the Series B Preferred Stock issued in such Equity Financing (the “New Securities Price”). Notwithstanding the foregoing, if either (a) the closing for an Equity Financing has not occurred on or before
January 31, 2003, or (b) a transaction or series of related transactions resulting in any of the following occurs or is consummated: (A) a merger, consolidation, sale of or reorganization as a result of which stockholders of the
Company immediately prior to such merger, consolidation, sale or reorganization possess a minority of the voting power of the acquiring, surviving or successor entity immediately following such merger, consolidation, sale or reorganization;
(B) a sale, lease, transfer or exchange, directly or indirectly, of all or substantially all of the property and assets of the Company; or (C) the transfer of securities of the Company representing 50% or more of the combined voting power
of the then outstanding securities of the Company (each, an “Acquisition Event”), then the Holder shall have the right to purchase, at its option, a number of shares of Series A Preferred Stock of the Company equal to 25% of the
Loan amount, divided

  

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by $1.00 per share, as adjusted for stock splits, stock dividends, recapitalizations and similar events with respect to the Series A Preferred Stock (the “Series A Price”). The
shares of securities for which this Warrant may be exercisable from time to time shall be referred to therein as the “Warrant Stock”. 
 1.2 Exercisability. This Warrant shall become exercisable for Warrant Stock upon the date of the earliest to occur of: (a) the closing of the next Equity Financing; (b) January 31,
2003, or (c) the consummation of an Acquisition Event. If this Warrant shall become exercisable for the Warrant Stock prior to January 31, 2003 for any reason other than as set forth in clause (a) above, then this Warrant shall be
exercisable for a number of shares of Series A Preferred Stock of the Company equal to 25% of the principal Loan amount, divided by the Series A Price. 
 1.3 Term. The shares of Warrant Stock issuable upon exercise of this Warrant are hereinafter referred to as the “Shares.” This Warrant shall be exercisable at any time and from
time to time in whole or in part from the dates set forth in Section 1.2 above herein until the date ten (10) years from the issue date of this Warrant referenced above. 
 1.4 Exercise Price. Subject to adjustment as hereinafter provided, the exercise price (the “Warrant Price”) per
share for which all or any of the Shares may be purchased pursuant to the terms of this Warrant shall be equal to: (a) the New Securities Price if the Warrant is exercised for Series B Preferred Stock of the Company, or (b) the Series A
Price if the Warrant is exercised for Series A Preferred Stock of the Company. 
 2. Adjustment of Warrant Price, Number and
Kind of Shares. The Warrant Price and the number and kind of securities issuable upon the exercise of this Warrant shall be subject to adjustment from time to time, and the Company agrees to provide ten (10) days written notice upon the
happening of certain events, as follows. 
 2.1. Dividends in Stock Adjustment. In case at any time or from time to time
on or after the date hereof the holders of the Series A Preferred Stock or the Series B Preferred Stock of the Company (or any shares of stock or other securities at the time receivable upon the exercise of this Warrant) shall have received, or, on
or after the record date fixed for the determination of eligible stockholders, shall have become entitled to receive, without payment therefor, other or additional securities or other property (other than cash) of the Company by way of dividend or
distribution (except for distributions specifically provided for below in Section 2.3) then, and in each case, the holder of this Warrant shall, upon the exercise hereof, be entitled to receive, in addition to the number of shares of Warrant
Stock receivable thereupon, and without payment of any additional consideration therefor, the amount of such other or additional securities or other property (other than cash) of the Company which such holder would hold on the date of such exercise
had it been the holder of record of such stock on the date hereof and had thereafter, during the period from the date hereof to and including the date of such exercise, retained such shares and/or all other additional securities or other property
receivable by it as aforesaid during such period, giving effect to all adjustments called for during such period by this Section 2. 
  

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 2.2. Reclassification or Reorganization Adjustment. In case of any changes in the
class or kind of securities issuable upon exercise of this Warrant or any reclassification or change of the outstanding securities of the Company or of any reorganization of the Company (or any other corporation the stock or securities of which are
at the time receivable upon the exercise of this Warrant) on or after the date hereof, then and in each such case the Company shall give the holder of this Warrant at least twenty (20) days notice of the proposed effective date of such
transaction, and the holder of this Warrant, upon the exercise hereof at any time after the consummation of such reclassification, change or reorganization, shall be entitled to receive, in lieu of the stock or other securities and property
receivable upon the exercise hereof prior to such consummation, the stock or other securities or property to which such holder would have been entitled upon such consummation if such holder had exercised this Warrant immediately prior thereto, and
the Warrant Price therefore shall be appropriately adjusted, all subject to further adjustment as provided in this Section 2. 
 2.3. Stock Splits and Reverse Stock Splits. If at any time on or after the date hereof the Company shall split, subdivide or otherwise change its outstanding shares of any securities receivable upon exercise of this Warrant into a
greater number of shares, the Warrant Price in effect immediately prior to such subdivision shall thereby be proportionately reduced and the number of shares receivable upon exercise of this Warrant shall thereby be proportionately increased; and,
conversely, if at any time on or after the date hereof the outstanding number of shares of any securities receivable upon exercise of this Warrant shall be combined into a smaller number of shares, the Warrant Price in effect immediately prior to
such combination shall thereby be proportionately increased and the number of shares receivable upon exercise of this Warrant shall thereby be proportionately decreased, all subject to further adjustment as provided in this Section 2.

 2.4. Conversion or Redemption of Warrant Stock. If at the time of any exercise of this Warrant there are no other
shares of shares of Warrant Stock that would otherwise be receivable upon exercise of this Warrant (such shares having been converted or redeemed), this Warrant shall be exercisable for Common Stock in the same amounts, for the same prices and on
the same terms, as though the Warrant had been exercised for shares of the Warrant Stock and immediately converted into shares of Common Stock. 
 2.5 Other Impairment. The Company will not, by amendment of its Certificate of Incorporation or Bylaws 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 Warrant, but will at all times in good faith assist in the carrying out of all such terms and conditions and in the
taking of all such action as may be necessary or appropriate in order to protect the rights of the holder against impairment. 
 3. No Fractional Shares. No fractional shares of Warrant Stock will be issued in connection with any subscription hereunder. In lieu of any fractional shares that would otherwise be issuable, the Company shall pay cash equal to the
product of such fraction multiplied by the fair market value of one share of Warrant Stock on the date of exercise, as determined in good faith by the Company’s Board of Directors. 
  

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 4. No Stockholder Rights. This Warrant as such shall not entitle its holder to any of
the rights of a stockholder of the Company until the holder has exercised this Warrant in accordance with Section 6 or Section 7 hereof. 
 5. Reservation of Stock. The Company covenants that during the period this Warrant is exercisable, the Company will reserve from its authorized and unissued Warrant Stock a sufficient number of
shares to provide for the issuance of Warrant Stock upon the exercise of this Warrant. The Company agrees that its issuance of this Warrant shall constitute full authority to its officers who are charged with the duty of executing stock certificates
to execute and issue the necessary certificates for shares of Warrant Stock upon the exercise of this Warrant. 
 6. Exercise
of Warrant. This Warrant may be exercised by Holder by the surrender of this Warrant at the principal office of the Company, accompanied by payment in full of the purchase price of the shares purchased thereby, as described above. This Warrant
shall be deemed to have been exercised immediately prior to the close of business on the date of its surrender for exercise as provided above, and the person or entity entitled to receive the shares or other securities issuable upon such exercise
shall be treated for all purposes as the holder of such shares of record as of the close of business on such date. As promptly as practicable, the Company shall issue and deliver to the person or entity entitled to receive the same a certificate or
certificates for the number of full shares of Warrant Stock issuable upon such exercise, together with cash in lieu of any fraction of a share as provided above. The shares of Warrant Stock issuable upon exercise hereof shall, upon their issuance,
be fully paid and nonassessable. If this Warrant shall be exercised in part only, the Company shall, at the time of delivery of the certificate representing the Shares or other securities in respect of which this Warrant has been exercised, deliver
to the Holder a new Warrant evidencing the right to purchase the remaining Shares or other securities purchasable under this Warrant, which new warrant shall, in all other respects, be identical to this Warrant. 
 7. Net Issue Election. 
 7.1. Right to Convert. In addition to and without limiting the rights of the Holder under the terms of this Warrant, the Holder shall have the right to convert this Warrant or any portion hereof
(the “Conversion Right”) into shares of Common Stock or Warrant Stock as provided in this Section 7. Upon exercise of the Conversion Right with respect to a particular number of shares subject to this Warrant (the
“Converted Warrant Shares”), the Company shall deliver to the Holder (without payment by the Holder of any cash or other consideration) that number of shares of Common Stock or Warrant Stock equal to the quotient obtained by
dividing (x) the value of this Warrant (or the specified portion hereof) on the Conversion Date (as defined in subsection 7.2 hereof), which value shall be determined by subtracting (A) the aggregate Warrant Price of the Converted Warrant
Shares immediately prior to the exercise of the Conversion Right from (B) the aggregate fair market value of the Converted Warrant Shares issuable upon exercise of this Warrant (or the specified portion hereof) on the Conversion Date (as herein
defined) by (y) the fair market value of one share of Warrant Stock on the Conversion Date (as herein defined). No fractional shares shall be issuable upon exercise of the Conversion Right, and if the number of shares to be issued determined in
accordance with the foregoing

  

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formula is other than a whole number, the Company shall pay to the Holder an amount in cash equal to the fair market value of the resulting fractional share on the Conversion Date (as herein
defined). 
 7.2. Method of Exercise. The Conversion Right may be exercised by the Holder by the surrender of this
Warrant at the principal office of the Company together with a written statement specifying that the Holder thereby intends to exercise the Conversion Right and indicating the number of shares subject to this Warrant that are being surrendered
(referred to in subsection 7.1 hereof as the Converted Warrant Shares) in exercise of the Conversion Right. Such conversion shall be effective upon such surrender of this Warrant (the “Conversion Date”). Certificates for the shares
of Common Stock or Warrant Stock issuable upon exercise of the Conversion Right (or any other securities deliverable in lieu thereof under Section 2) shall be issued as of the Conversion Date and shall be delivered to the Holder immediately
following the Conversion Date, or, if requested at the time of surrender of this Warrant, held for pick-up by the Holder at the Company’s principal office. 
 7.3. Determination of Fair Market Value. For purposes of this Section 7, fair market value (the “Market Price”) of a share of Common Stock or Warrant Stock as of a particular
date (the “Determination Date”) shall mean the average of the closing prices of such security’s sales on the principal securities exchanges on which such security may at the time be listed, or, if there has been no sales on any
such exchange on any day, the average of the highest bid and lowest asked prices on all such exchanges at the end of such day, or, if on any day such security is not so listed, the average of the last sale prices quoted in the Nasdaq System, or if
on any day such security is not quoted in the Nasdaq System, the average of the highest bid and lowest asked prices on such day in the domestic over-the-counter market as reported by the National Quotation Bureau, Incorporated, or any similar
successor organization, in each such case averaged over a period of five (5) days consisting of the day prior to the day as of which “Market Price” is being determined and the five (5) consecutive business days prior to such day.
If at any time such security is not listed on any securities exchange or quoted in the Nasdaq System or the over-the-counter market, the “Market Price” shall be the fair value thereof as determined in good faith by the Company’s Board
of Directors. 
 8. Certificate of Adjustment. Whenever the Warrant Price or number or type of securities issuable upon
exercise of this Warrant is adjusted, as herein provided, the Company shall promptly deliver to the record holder of this Warrant a certificate of an officer of the Company setting forth the nature of such adjustment and a brief statement of the
facts requiring such adjustment. 
 9. Notice of Proposed Transfers. This Warrant is transferable by the Holder hereof
subject to compliance with this Section 9. Prior to any proposed transfer of this Warrant or the shares of Warrant Stock received on the exercise of this Warrant (the “Securities”), unless there is in effect a registration
statement under the Securities Act of 1933, as amended (the “Securities Act”), covering the proposed transfer, the Holder thereof shall give written notice to the Company of such Holder’s intention to effect such transfer. Each
such notice shall describe the manner and circumstances of the proposed transfer in sufficient detail, and shall, if the Company so requests, be accompanied (except in transactions in compliance with Rule 144) by either (i) an unqualified
written opinion of legal counsel who shall be reasonably satisfactory to the Company

  

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addressed to the Company and reasonably satisfactory in form and substance to the Company’s counsel, to the effect that the proposed transfer of the Securities may be effected without
registration under the Securities Act and any applicable state securities laws, or (ii) a “no action” letter from the Securities Exchange Commission (the “Commission”) to the effect that the transfer of such
Securities without registration will not result in a recommendation by the staff of the Commission that action be taken with respect thereto, whereupon the Holder of the Securities shall be entitled to transfer the Securities in accordance with the
terms of the notice delivered by the Holder to the Company; provided, however, no such registration statement or opinion of counsel shall be necessary for a transfer by a Holder to any affiliate of such Holder, or a transfer by a
Holder which is a partnership to a partner of such partnership or a retired partner of such partnership who retires after the date hereof, or to the estate of any such partner or retired partner or the transfer by gift, will or intestate succession
of any partner to his spouse or lineal descendants or ancestors, if the transferee agrees in writing to be subject to the terms hereof to the same extent as if such transferee were the original Holder hereunder. Each certificate evidencing the
Securities transferred as above provided shall bear the appropriate restrictive legend set forth above, except that such certificate shall not bear such restrictive legend if in the opinion of counsel for the Company such legend is not required in
order to establish compliance with any provisions of the Securities Act. 
 10. Replacement of Warrants. Upon receipt by
the Company of evidence reasonably satisfactory to the Company of the loss, theft, destruction or mutilation of the Warrant, and in the case of any such loss, theft or destruction of the Warrant, on delivery of an indemnity agreement or security
reasonably satisfactory in form and amount to the Company, and reimbursement to the Company of all reasonable expenses incidental thereto, and upon surrender and cancellation of the Warrant if mutilated, the Company will execute and deliver, in lieu
thereof, a new Warrant of like tenor. 
 11. Miscellaneous. This Warrant shall be governed by the laws of the State of
North Carolina. The headings in this Warrant are for purposes of convenience of reference only, and shall not be deemed to constitute a part hereof. The invalidity or unenforceability of any provision hereof shall in no way affect the validity or
enforceability of any other provisions. All notices and other communications from the Company to the holder of this Warrant shall be given in writing and shall be deemed effectively given as provided in the Purchase Agreement. 
 12. Taxes. The Company shall pay all issue taxes and other governmental charges (but not including any income taxes of a Holder) that
may be imposed in respect of the issuance or delivery of the Shares or any portion thereof. 
 13. Amendment. Any term of
this Warrant may be amended or waived with the written consent of the Company and the holders of Warrants representing a majority of the shares of Warrant Stock issuable upon exercise of the then outstanding unexercised warrants issued under the
Purchase Agreement (the “Bridge Warrants”); provided, however, that any such amendment or waiver that disproportionately affects any of the holders of the then outstanding unexercised Bridge Warrants shall require the
written consent of all such holders. Any amendment or waiver effected in accordance with this Section 13 shall be binding upon each holder of any Bridge Warrant, each future holder of all such Bridge Warrants and the Company, and the Company
shall promptly give notice to all holders of outstanding Bridge Warrants of any amendment or waiver effected in accordance with this Section 13. 
  

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 14. Remedies. In the event of any default or threatened default by the Company in the
performance of or observance with any of the terms of this Warrant, it is agreed that remedies at law are not and will not be adequate for the Holder and that such terms may be specifically enforced by a decree for the specific performance of any
agreement contained herein or by an injunction against a violation of any of the terms hereof or otherwise. 
 15. Facsimile
Signature. This Warrant may be executed by the Company in facsimile form and upon receipt by the Holder of such faxed executed copy of this Warrant, this Warrant shall be binding upon and enforceable against the Company in accordance with its
terms. The Company shall promptly forward to the Holder an original of the facsimile signed copy of this Warrant previously delivered to Holder. 
 [THE NEXT PAGE IS THE SIGNATURE PAGE] 
  

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 IN WITNESS WHEREOF, the undersigned officer of the Company has set his hands as of the date
first above written. 
  

			
	STEMCO BIOMEDICAL, INC.
		
	By:	 	  

		 	Jonathan M. Lawrie, President and CEO

  

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 ALDAGEN, INC. 
 SERIES B WARRANTS 
 The Series B Preferred Stock Purchase Warrants
represented by this form are substantially identical in all material respects except as to the details below. Accordingly, pursuant to Instruction 2 to Item 601(b) of Regulation S-K, we have filed the form of warrant herewith. 
  

						
	Name	  	Number of
Exercise Shares	  	Amount of
Loan
&
Note
	 Harbinger/Aurora QP Venture Fund, L.L.C

	  	36,950	  	$	147,800.00
	 Harbinger/ Aurora Venture Fund, L.L.C

	  	25,550	  	$	102,200.00
	 Intersouth Affiliates V,
L.P.
	  	5,464	  	$	21,857.00
	 Intersouth Partners V,
L.P.
	  	119,536	  	$	478,143.00

  

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 FIRST AMENDMENT TO 
 PREFERRED STOCK PURCHASE WARRANT 
 THIS FIRST
AMENDMENT TO STOCK PURCHASE WARRANT (the “First Amendment”) is entered into as of March 4, 2003, by and among StemCo Biomedical, Inc. a Delaware corporation (the “Company”), and
                    . 
 WHEREAS, the Company issued to                      a Preferred Stock Purchase Warrant, dated as of December 23, 2002, a copy of
which is attached as Exhibit A (the “Warrant”); and 
 WHEREAS, the Warrant provided that it was
exercisable into Series A Preferred Stock of the Company upon certain occurrences, including if an Equity Financing (as defined therein) had not occurred on or before January 31, 2003; and 
 WHEREAS, an Equity Financing did not occur on or before January 31, 2003, but is expected to occur as of the date hereof; and

 WHEREAS, the Company and
                     agree that, if an Equity Financing occurs by March 7, 2003, the Warrant will be exercisable into Series B Preferred
Stock of the Company and that the Warrant will not be exercisable into Series A Preferred Stock; and 
 WHEREAS, pursuant to
Section 13 of the Warrant, the Company and                      desire to amend and modify the Warrant in the manner and to the extent
set forth herein. 
 NOW, THEREFORE, in consideration of the mutual promises, covenants, and conditions set forth in this First
Amendment, the Company and                      agree as follows: 
 1. Defined Terms. Terms that are used herein with initial capital letters and that are not otherwise defined shall have the meanings
given to them in the Warrant. 
 2. Amendment of Entire Warrant. The date “January 31, 2003” shall be deleted
wherever it appears in the Warrant, substituting in lieu thereof the date “March 7, 2003”. 
 3. Effect of First
Amendment. The provisions of the Warrant are amended and modified by the provisions of this First Amendment. If any provisions of the Warrant are materially different from or inconsistent with any of the provisions of this First Amendment, the
provisions of this First Amendment shall control, and the provisions of the Warrant shall, to the extent of such difference or inconsistency, be deemed to be amended and modified. 
 4. Single Agreement. This First Amendment and the Warrant, as amended and modified by the provisions of this First Amendment, shall
constitute and be construed as a single agreement.Exhibit 10.11

 Exhibit 10.11 
 PREFERRED STOCK WARRANT 
  
  
 NEITHER THIS WARRANT NOR THE SECURITIES ISSUABLE UPON
EXERCISE OF THIS WARRANT HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. NO SALE OR DISPOSITION MAY BE EFFECTED EXCEPT IN COMPLIANCE WITH RULE 144 UNDER SAID ACT OR WITHOUT AN EFFECTIVE REGISTRATION STATEMENT RELATED THERETO OR AN
OPINION OF COUNSEL FOR THE HOLDER, SATISFACTORY TO THE COMPANY, THAT SUCH REGISTRATION IS NOT REQUIRED UNDER THE ACT OR RECEIPT OF A NO-ACTION LETTER FROM THE SECURITIES AND EXCHANGE COMMISSION. 
 WARRANT TO PURCHASE         [*]         SHARES OF
SERIES B PREFERRED STOCK 
 Dated:
                    [*]                    
 
 THIS CERTIFIES THAT, for value received, Oxford Finance Corporation, a Delaware corporation, (“Holder”) is entitled to
subscribe for and purchase
                    [*]                    
 shares of the fully paid and nonassessable Series B Preferred Stock (the “Shares” or the “Preferred Stock”) of StemCo Biomedical, Inc., a Delaware corporation (the “Company”), at the Warrant Price (as hereinafter
defined), subject to the provisions and upon the terms and conditions hereinafter set forth. As used herein, the term “Series B Preferred Stock” shall mean the Company’s presently authorized Series B Preferred Stock, and any stock
into which such Series B Preferred Stock may hereafter be exchanged. 
 [*] On June 25, 2003, the Company issued to Oxford Finance Corporation
warrants to purchase 4,724.43 shares of Series B Preferred Stock. On July 24, 2003, the Company issued to Oxford Finance Corporation warrants to purchase 10,279 shares of Series B Preferred Stock. On March 11, 2004, the Company issued to Oxford
Finance Corporation warrants to purchase 11,282 shares of Series B Preferred Stock. 
 1. Warrant Price. The Warrant Price shall initially be
One and 00/100 dollars ($1.00) per share, subject to adjustment as provided in Section 7 below. 
 2. Conditions to Exercise. The purchase
right represented by this Warrant may be exercised at any time, or from time to time, in whole or in part during the term commencing on the date hereof and ending on the earlier of: 
  

	 	(a)	5:00 P.M. Eastern Standard time on the seventh annual anniversary of this Warrant Agreement; or 

  

	 	(b)	the closing of the initial public offering of the Company’s Common Stock pursuant to a registration statement under the Securities Act of 1933, as amended (the
“Initial Public Offering”). The Company shall provide notice of the Initial Public Offering to the Holder at least 30 days prior to the closing thereof; or 

  

	 	(c)	the effective date of the merger of the Company with or into, the consolidation of the Company with, or the sale by the Company of all or substantially all of its
assets or all or substantially all of its shares to another corporation or other entity (other than such a transaction wherein the shareholders of the Company retain or obtain a majority of the voting capital stock of the surviving, resulting, or
purchasing corporation); provided that the Company shall notify the registered Holder of this Warrant of the proposed effective date of the merger, consolidation, or sale at least 30 days prior to the effectiveness thereof. 

In the event that, although the Company shall have given notice of a transaction pursuant to subparagraph (b) or subparagraph
(c) hereof, the transaction does not close within 60 days of the day specified by the Company, unless otherwise elected by the Holder any exercise of the Warrant subsequent to the giving of such notice shall be rescinded and the Warrant shall
again be exercisable until terminated in accordance with this Paragraph 2. 
 3. Method of Exercise; Payment; Issuance of Shares; Issuance of
New Warrant. 
  

	 	(a)	 Cash Exercise. Subject to Section 2 hereof, the purchase right represented by this Warrant may be exercised by the Holder hereof, in whole
or in part, by the surrender of this Warrant (with a duly executed Notice of Exercise in the form attached hereto) at the principal office of the Company (as set forth in Section 18 below) and by payment to the Company, by check, of an amount
equal to the then applicable Warrant Price per share multiplied by the number of shares then being purchased. In the event of any exercise of the rights represented by this Warrant, certificates for

  

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the shares of stock so purchased shall be in the name of, and delivered to, the Holder hereof, or as such Holder may direct (subject to the terms of transfer contained herein and upon payment by
such Holder hereof of any applicable transfer taxes). Such delivery shall be made within 10 days after exercise of the Warrant and at the Company’s expense and, unless this Warrant has been fully exercised or expired, a new Warrant having terms
and conditions substantially identical to this Warrant and representing the portion of the Shares, if any, with respect to which this Warrant shall not have been exercised, shall also be issued to the Holder hereof within 10 days after exercise of
the Warrant. 

  

	 	(b)	Net Issue Exercise. In lieu of exercising this Warrant pursuant to Section 3(a), Holder may elect to receive shares equal to the value of this Warrant (or
of any portion thereof remaining unexercised) by surrender of this Warrant at the principal office of the Company together with notice of such election, in which event the Company shall issue to Holder the number of shares of the Company’s
Series B Preferred Stock computed using the following formula: 

  

			
	X	 	= Y(A-B)
		 	        A

 Where X = the number of shares of Series B Preferred Stock to be issued to Holder.

 Y = the number of shares of Series B Preferred Stock purchasable under this Warrant (at the date of such calculation).

 A = the Fair Market Value of one share of the Company’s Series B Preferred Stock (at the date of such calculation).

 B = Warrant Exercise Price (as adjusted to the date of such calculation). 
  

	 	(c)	Fair Market Value. For purposes of this Section 3, Fair Market Value of one share of the Company’s Series B Preferred Stock shall mean:

  

	 	(i)	In the event of an exercise in connection with an Initial Public Offering, the per share Fair Market Value for the Series B Preferred Stock shall be the Offering Price
at which the underwriters initially sell Common Stock to the public multiplied by the number of shares of Common Stock into which each share of Series B Preferred Stock is then convertible; or 

  

	 	(ii)	If the Common Stock is traded on Nasdaq or Over-The-Counter or on an exchange, the per share Fair Market Value for the Series B Preferred Stock will be the average of
the closing bid and asked prices of the Common Stock quoted in the Over-The-Counter Market Summary or the closing price quoted on any exchange on which the Common Stock is listed, whichever is applicable, as published in the Western Edition of The
Wall Street Journal for the ten (10) trading days prior to the date of determination of Fair Market Value multiplied by the number of shares of Common Stock into which each share of Series B Preferred Stock is then convertible; or

  

	 	(iii)	In the event of an exercise in connection with a merger, acquisition or other consolidation in which the Company is not the surviving entity, as described in
Section 2(c), the per share Fair Market Value for the Series B Preferred Stock shall be the value to be received per share of Series B Preferred Stock by all Holders of the Series B Preferred Stock in such transaction as
determined by the Board of Directors; or 

  

	 	(iv)	 In any other instance, the per share Fair Market Value for the Series B Preferred Stock shall be as determined in good faith by the
Company’s Board of Directors, unless Holder elects to have such fair market value determined by an appraiser, which election must be

  

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made by Holder within ten (10) business days of the date the Company notifies Holder of the fair market value as determined by its Board of Directors. In the event of such an appraisal, the
cost thereof shall be borne by the Holder unless such appraisal results in a fair market value in excess of 115% of that determined by the Company’s Board of Directors, in which event the Company shall bear the cost of such appraisal.

 In the event of 3(c)(iii) or 3(c)(iv), above, the Company’s Board of Directors shall
prepare a certificate, to be signed by an authorized Officer of the Company, setting forth in reasonable detail the basis for and method of determination of the per share Fair Market Value of the Series B Preferred Stock. The Board will also
certify to the Holder that this per share Fair Market Value will be applicable to all holders of the Company’s Series B Preferred Stock. Such certification must be made to Holder at least thirty (30) business days prior to the proposed
effective date of the merger, consolidation, sale, or other triggering event as defined in 3(c)(iii) and 3(c)(iv). 
  

	 	(d)	Automatic Exercise. To the extent this Warrant is not previously exercised, it shall be automatically exercised in accordance with Sections 3(b) and 3(c) hereof
(even if not surrendered) immediately before: (i) its expiration or (ii) the consummation of any consolidation or merger of the Company, or any sale or transfer of a majority of the Company’s assets or shares pursuant to
Section 2(c). 

 4. Representations and Warranties of Holder and Restrictions on Transfer Imposed by the Securities Act of
1933. 
  

	 	(a)	Representations and Warranties by Holder. The Holder represents and warrants to the Company with respect to this purchase as follows: 

 

	 	(i)	The Holder has substantial experience in evaluating and investing in private placement transactions of securities of companies similar to the Company so that the Holder
is capable of evaluating the merits and risks of its investment in the Company and has the capacity to protect its interests. 

  

	 	(ii)	The Holder is acquiring the Warrant and the Shares of Series B Preferred Stock issuable upon exercise of the Warrant (collectively the “Securities”) for
investment for its own account and not with a view to, or for resale in connection with, any distribution thereof. The Holder understands that the Securities have not been registered under the Securities Act of 1933, as amended (the “Act”)
by reason of a specific exemption from the registration provisions of the Act, which depends upon, among other things, the bona fide nature of the investment intent as expressed herein. In this connection, the Holder understands that, in the view of
the Securities and Exchange Commission (the “SEC”), the statutory basis for such exemption may be unavailable if this representation was predicated solely upon a present intention to hold the Securities for the minimum capital gains period
specified under tax statutes, for a deferred sale, for or until an increase or decrease in the market price of the Securities or for a period of one year or any other fixed period in the future. 

  

	 	(iii)	The Holder acknowledges that the Securities must be held indefinitely unless subsequently registered under the Act or an exemption from such registration is available.
The Holder is aware of the provisions of Rule 144 promulgated under the Act (“Rule 144”) which permits limited resale of securities purchased in a private placement subject to the satisfaction of certain conditions, including, in case the
securities have been held for more than one but less than two years, the existence of a public market for the shares, the availability of certain public information about the Company, the resale occurring not less than one year after a party has
purchased and paid for the security to be sold, the sale being through a “broker’s transaction” or in a transaction directly with a “market maker” (as provided by Rule 144(f)) and the number of shares or other securities
being sold during any three-month period not exceeding specified limitations. 

  

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	 	(iv)	The Holder further understands that at the time the Holder wishes to sell the Securities there may be no public market upon which such a sale may be effected, and that
even if such a public market exists, the Company may not be satisfying the current public information requirements of Rule 144, and that in such event, the Holder may be precluded from selling the Securities under Rule 144 unless a) a one-year
minimum holding period has been satisfied and b) the Holder was not at the time of the sale nor at any time during the three-month period prior to such sale an affiliate of the Company. 

  

	 	(v)	The Holder has had an opportunity to discuss the Company’s business, management and financial affairs with its management and an opportunity to review the
Company’s facilities. The Holder understands that such discussions, as well as the written information issued by the Company, were intended to describe the aspects of the Company’s business and prospects which it believes to be material
but were not necessarily a thorough or exhaustive description. 

  

	 	(b)	Legends. Each certificate representing the Securities shall be endorsed with the following legend: 

 THESE SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 AND MAY NOT BE TRANSFERRED UNLESS COVERED BY AN EFFECTIVE
REGISTRATION STATEMENT UNDER SAID ACT, A “NO ACTION” LETTER FROM THE SECURITIES AND EXCHANGE COMMISSION WITH RESPECT TO SUCH TRANSFER, A TRANSFER MEETING THE REQUIREMENTS OF RULE 144 OF THE SECURITIES AND EXCHANGE COMMISSION, OR (IF
REASONABLY REQUIRED BY THE COMPANY) AN OPINION OF COUNSEL SATISFACTORY TO THE ISSUER TO THE EFFECT THAT ANY SUCH TRANSFER IS EXEMPT FROM SUCH REGISTRATION. 
 The Company need not enter into its stock register a transfer of Securities unless the conditions specified in the foregoing legend are satisfied. The Company may also instruct its transfer agent not to
register the transfer of any of the Shares unless the conditions specified in the foregoing legend are satisfied. 
  

	 	(c)	Removal of Legend and Transfer Restrictions. The legend relating to the Act endorsed on a certificate pursuant to paragraph 4(b) of this Warrant and the stop
transfer instructions with respect to the Securities represented by such certificate shall be removed and the Company shall issue a certificate without such legend to the Holder of the Securities if (i) the Securities are registered under the
Act and a prospectus meeting the requirements of Section 10 of the Act is available or (ii) the Holder provides to the Company an opinion of counsel for the Holder reasonably satisfactory to the Company, or a no-action letter or
interpretive opinion of the staff of the SEC reasonably satisfactory to the Company, to the effect that public sale, transfer or assignment of the Securities may be made without registration and without compliance with any restriction such as Rule
144. 

 5. Condition of Transfer or Exercise of Warrant. It shall be a condition to any transfer or exercise of this
Warrant that at the time of such transfer or exercise, the Holder shall provide the Company with a representation in writing that the Holder or transferee is acquiring this Warrant and the shares of Series B Preferred Stock to be issued upon
exercise, for investment purposes only and not with a view to any sale or distribution, or will provide the Company with a statement of pertinent facts covering any proposed distribution. As a further condition to any transfer of this Warrant or any
or all of the shares of Series B Preferred Stock issuable upon exercise of this Warrant, other than a transfer registered under the Act, the Company must have received a legal opinion, in form and substance satisfactory to the Company and its
counsel, reciting the pertinent circumstances surrounding the proposed transfer and stating that such transfer is exempt from the registration and prospectus delivery requirements of the Act. Each certificate evidencing the shares issued upon
exercise of the Warrant or upon any transfer of the shares

  

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(other than a transfer registered under the Act or any subsequent transfer of shares so registered) shall, at the Company’s option, contain a legend in form and substance satisfactory to the
Company and its counsel, restricting the transfer of the shares to sales or other dispositions exempt from the requirements of the Act. 
 As further condition to each transfer, the Holder shall surrender this Warrant to the Company and the transferee shall receive and accept a Warrant, of like tenor and date, executed by the Company.

 6. Stock Fully Paid; Reservation of Shares. All Shares which may be issued upon the exercise of the rights represented by this Warrant
will, upon issuance, be fully paid and nonassessable, and free from all taxes, liens, and charges with respect to the issue thereof. During the period within which the rights represented by this Warrant may be exercised, the Company will at all
times have authorized, and reserved for issuance upon exercise of the purchase rights evidenced by this Warrant, a sufficient number of shares of its Series B Preferred Stock to provide for the exercise of the rights represented by this Warrant.

 7. Adjustment for Certain Events. In the event of changes in the outstanding Common Stock by reason of stock dividends, split-ups,
recapitalizations, reclassifications, mergers, consolidations, combinations or exchanges of shares, separations, reorganizations, liquidations, or the like, the number and class of shares available under the Warrant in the aggregate and the Warrant
Price shall be correspondingly adjusted, as appropriate, by the Board of Directors of the Company. The adjustment shall be such as will give the Holder of this Warrant upon exercise for the same aggregate Warrant Price the total number, class and
kind of shares as it would have owned had the Warrant been exercised prior to the event and had it continued to hold such shares until after the event requiring adjustment. 
 8. Notice of Adjustments. Whenever any Warrant Price shall be adjusted pursuant to Section 7 hereof, the Company shall prepare a certificate signed by its chief financial officer setting
forth, in reasonable detail, the event requiring the adjustment, the amount of the adjustment, the method by which such adjustment was calculated, and the Warrant Price and number of shares issuable upon exercise of the Warrant after giving effect
to such adjustment, and shall cause copies of such certificate to be mailed (by certified or registered mail, return receipt required, postage prepaid, or by nationally recognized courier) within thirty (30) days of such adjustment to the
Holder of this Warrant as set forth in Section 18 hereof. 
 9. “Market Stand-Off” Agreement. Holder hereby agrees that
for a period of up to 180 days following the effective date of the first registration statement of the Company covering common stock (or other securities) to be sold on its behalf of the Company in an underwritten public offering, it will not, to
the extent requested by the Company and any underwriter, sell or otherwise transfer or dispose of (other than to designees or transferees who agree to be similarly bound) any of the Shares at any time during such period except common stock included
in such registration; provided, however, that all officers and directors of the Company who hold securities of the Company or options to acquire securities of the Company and all other persons with registration rights enter into similar agreements.

 10. Transferability of Warrant. This Warrant is transferable on the books of the Company at its principal office by the registered
Holder hereof upon surrender of this Warrant properly endorsed, subject to compliance with Section 5 and applicable federal and state securities laws. The Company shall issue and deliver to the transferee a new Warrant representing the Warrant
so transferred. Upon any partial transfer, the Company will issue and deliver to Holder a new Warrant with respect to the Warrant not so transferred. Holder shall not have any right to transfer any portion of this Warrant to any direct competitor of
the Company. 
 11. No Fractional Shares. No fractional share of Series B Preferred Stock will be issued in connection with any exercise
hereunder, but in lieu of such fractional share the Company shall make a cash payment therefor upon the basis of the Warrant Price then in effect. 
 12. Charges, Taxes and Expenses. Issuance of certificates for shares of Series B Preferred Stock upon the exercise of this Warrant shall be made without charge to the Holder for any United States or state of the United States
documentary stamp tax or other incidental expense with respect to the issuance of such certificate, all of which taxes and expenses shall be paid by the Company, and such certificates shall be issued in the name of the Holder. 
  

 Page 5 of 8 

  

 13. No Shareholder Rights Until Exercise. This Warrant does not entitle the Holder hereof to any
voting rights or other rights as a shareholder of the Company prior to the exercise hereof. 
 14. Registry of Warrant. The Company shall
maintain a registry showing the name and address of the registered Holder of this Warrant. This Warrant may be surrendered for exchange or exercise, in accordance with its terms, at such office or agency of the Company, and the Company and Holder
shall be entitled to rely in all respects, prior to written notice to the contrary, upon such registry. 
 15. Loss, Theft, Destruction or
Mutilation of Warrant. Upon receipt by the Company of evidence reasonably satisfactory to it of the loss, theft, destruction or mutilation of this Warrant, and, in the case of loss, theft, or destruction, of indemnity reasonably satisfactory to
it, and, if mutilated, upon surrender and cancellation of this Warrant, the Company will execute and deliver a new Warrant, having terms and conditions substantially identical to this Warrant, in lieu hereof. 
 16. Miscellaneous. 
  

	 	(a)	Issue Date. The provisions of this Warrant shall be construed and shall be given effect in all respect as if it had been issued and delivered by the Company on
the date hereof. 

  

	 	(b)	Successors. This Warrant shall be binding upon any successors or assigns of the Company. 

  

	 	(c)	Governing Law. This Warrant shall be governed by and construed in accordance with the laws of the Commonwealth of Virginia. 

  

	 	(d)	Headings. The headings used in this Warrant are used for convenience only and are not to be considered in construing or interpreting this Warrant.

  

	 	(e)	Saturdays, Sundays, Holidays. If the last or appointed day for the taking of any action or the expiration of any right required or granted herein shall be a
Saturday or a Sunday or shall be a legal holiday in the Commonwealth of Virginia., then such action may be taken or such right may be exercised on the next succeeding day not a legal holiday. 

 17. No Impairment. The Company will not, by amendment of its Certificate of Incorporation or any other voluntary action, avoid or seek to avoid the
observance or performance of any of the terms of this Warrant, but will at all times in good faith assist in the carrying out of all such terms and in the taking of all such action as may be necessary or appropriate in order to protect the rights of
the Holder hereof against impairment. 
 18. Addresses. Any notice required or permitted hereunder shall be in writing and shall be
mailed by overnight courier, registered or certified mail, return receipt required, and postage pre-paid, or otherwise delivered by hand or by messenger, addressed as set forth below, or at such other address as the Company or the Holder hereof
shall have furnished to the other party. 
  

 Page 6 of 8 

  

			
	 If to the Company:
	    	StemCo Biomedical, Inc.
		    	2810 Meridian Parkway, Suite 148
		    	Durham, NC 27713
		    	Attn: Mr. James D. Petrilla
		
	 If to the Holder:
	    	Oxford Finance Corporation
		    	133 N. Fairfax Street
		    	Alexandria, VA 22314
		    	Attn: Chief Financial Officer

 IN WITNESS WHEREOF, the Company has caused this Warrant to be executed by its officers thereunto duly
authorized. 
 Dated as of
                                        
. 
  

			
	By:	 	  

	Name:	 	James D. Petrilla
	Title:	 	Chief Executive Officer

  

 Page 7 of 8 

  

 NOTICE OF EXERCISE 
 TO: 
 StemCo Biomedical, Inc. 
 2810 Meridian Parkway, Suite 148 
 Durham, NC 27713 
 Attn: Mr. James D. Petrilla 
 1. The undersigned Warrantholder (“Holder”)
elects to acquire shares of the Series B Preferred Stock (the “Preferred Stock”) of StemCo Biomedical, Inc. (the “Company”), pursuant to the terms of the Stock Purchase Warrant dated
                                 (the “Warrant”). 
 2. The Holder exercises its rights under the Warrant as set forth below: 
  

	 	(    )	The Holder elects to purchase              shares of Series B Preferred Stock as provided in
Section 3(a), (c) and tenders herewith a check in the amount of $             as payment of the purchase price. 

  

	 	(    )	The Holder elects to convert the purchase rights into shares of Series B Preferred Stock as provided in Section 3(b), (c) of the Warrant.

 3. The Holder surrenders the Warrant with this Notice of Exercise. 
 4. The Holder represents that it is acquiring the aforesaid shares of Series B Preferred Stock for investment and not with a view to, or for resale in
connection with, distribution and that the Holder has no present intention of distributing or reselling the shares. 
 5. Please issue a
certificate representing the shares of the Series B Preferred Stock in the name of the Holder or in such other name as is specified below: 
  

					
	Name:	 	  
	 	
			
	Address:	 	  
	 	
			
	Taxpayer I.D.:	 	  
	 	

  

							
		 	Oxford Finance Corporation	 		 	
	By:	 	  
	 		 	
				
	Name:	 	  
	 		 	
				
	Title:	 	  
	 		 	
				
	Date:	 	  
	 		 	

  

 Page 8 of 8

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