Document:

First Amendment to Contigent Value Rights Agreement

 Exhibit 10.2 
 FIRST AMENDMENT TO CONTINGENT VALUE RIGHTS AGREEMENT 
  

 
 THIS FIRST
AMENDMENT TO CONTINGENT VALUE RIGHTS AGREEMENT (this “Amendment”) is made and entered into as of February 15, 2012 by and among the undersigned Galena Biopharma, Inc. (formerly RXi Pharmaceuticals Corporation and herein
“Parent”), Computershare Trust Company, N.A., a national banking association, Computershare Inc., a Delaware corporation, and Robert E. Kennedy, an individual, as the Stockholder Representative (collectively the
“Parties”), in order to amend in certain respects the Contingent Value Rights Agreement dated as of April 13, 2011 among the Parties (the “Original Agreement”). 

NOW, THEREFORE, in consideration of the mutual covenants contained herein and for other good and valuable consideration, the Parties
agree as follows: 
 1. Certain Definitions. 
 1.1 References in the Original Agreement to this “Agreement” shall mean the Original Agreement, as amended by this Amendment. Unless otherwise defined in this Amendment, capitalized terms used
herein shall have the meanings ascribed to them in the Original Agreement. 
 1.2 When used in this Amendment, the following
capitalized terms shall have the meanings indicated: 
 “Future Milestone Shares” means any and all
“restricted” shares of Parent Common Stock that Parent, in its discretion in accordance with the provisions of the Original Agreement, elects to issue in payment of any of Milestone #2, Milestone #3, Milestone #4 and
Milestone #5. The term “restricted” shares for this purpose and for the purposes of the definition of “Milestone Shares” has the meaning set forth in Rule 144 under the Securities Act. 

“Milestone Shares” means 1,315,789 “restricted” shares of Parent Common Stock, subject to increase as
provided in Section 2.4 of this Amendment; 
 “Payment Date” means February 10, 2012. 

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

2. Milestone Payments. 
 2.1 Parent hereby acknowledges that Milestone #1 was achieved on January 19, 2012. 
 2.2 Notwithstanding any other provision of the Original Agreement, the Parties agree that Milestone #1 shall be payable by Parent’s issuance of the Milestone Shares as

 
provided herein. On or before the Payment Date, Parent shall cause Computershare to issue in the name of each Holder, as reflected in the CVR Register as of the close of business on the last
Business Day prior to the Payment Date, a stock certificate evidencing the number of Milestone Shares to which such holder shall be entitled under the Original Agreement. 
 2.3 On the Payment Date, all of the certificates evidencing the Milestone Shares shall be deposited by Parent with the Escrow Agent under the Escrow Agreement, dated as of April 13, 2011, among
Parent, the Stockholder Representative, and Computershare Trust Company, N.A., as Escrow Agent (the “Escrow Agent”). The certificates evidencing Milestone Shares shall be released to the Holders from the escrow under the Escrow
Agreement (the “Escrow”) within three (3) Business Days following stockholder approval of the Stockholder Proposal, as contemplated in Section 3, below (“Stockholder Approval”). The Milestone Shares shall
be subject to cancellation in the events described in Section 3, below. 
 2.4 The Parties agree that, if Stockholder
Approval is obtained, the number of Milestone Shares shall be subject to increase to the extent that $0.76 (i.e., the closing price of Parent Common Stock as reported on The NASDAQ Capital Market on January 18, 2012, the day prior to
achievement of Milestone #1, used for purposes of determining the number of Milestone Shares in accordance with the Original Agreement) is greater than the closing price of Parent Common Stock as of the most recent trading day prior to the
receipt of Stockholder Approval. In such event, the actual number of Milestone Shares issuable in payment of Milestone #1 shall equal the quotient determined by dividing $1 million (i.e., the amount of Milestone #1) by the lesser of
(1) $0.76 and (2) the closing price of Parent Common Stock as reported on The NASDAQ Capital Market or other principal trading market for Parent Common Stock on the most recent trading day prior to the receipt of Stockholder Approval.

 3. Stockholder Proposal. 
 3.1 Parent shall undertake to seek approval by Parent stockholders of the issuance of the Milestone Shares in payment of Milestone #1 and the issuance of Future Milestone Shares and any related
enabling matters (collectively, the “Stockholder Proposal”) at the 2012 Annual Meeting of Parent stockholders. 

3.2 If Parent stockholders fail to approve of the Stockholder Proposal, or if Stockholder Approval is not otherwise obtained for any
reason on or before July 15, 2012, the Milestone Shares shall be cancelled automatically. In either such event, Parent shall pay Milestone #1, plus interest thereon as provided in Section 4, below, in cash to the Holders within three
Business Days after the earlier of the 2012 Annual Meeting of Parent stockholders and July 15, 2012. 
 4. Interest
Factor. 
 4.1 Whether or not Stockholder Approval is obtained, in addition to the release from Escrow of the Milestone
Shares or the payment in cash of Milestone #1 to the Holders, as the case may be, Parent shall pay concurrently to the Holders in cash an interest 

  
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factor of ten percent (10%) per annum on the amount of Milestone #1 from the Payment Date through the day immediately prior to the release of the Milestone Shares from Escrow or the
cash payment, as the case may be, less the amount of legal fees incurred by the Stockholder Representative in connection with the negotiation, preparation and implementation of this Amendment, if any, in excess of the $10,000 to be paid or
reimbursed by Parent as provided in Section 8, below. 
 5. Resale Registration Filings. 

5.1 If Stockholder Approval is obtained, Parent shall, at its own expense (excluding any underwriting commissions and discounts or other
brokerage fees incurred in connection with the resale by the Holders of the Milestone Shares), prepare and file with the Securities and Exchange Commission (“SEC”) within ten (10) Business Days following such approval a
registration statement on Form S-3 or other appropriate form that Parent is then eligible to use under the Securities Act for the purposes of registering the Milestone Shares and a reasonable estimate of the Future Milestone Shares associated
with the achievement of Milestone #2 for resale by the Holders (the “Resale Registration Statement”). Unless Parent has a resale registration statement in effect that covers such Future Milestone Shares, Parent also shall prepare
and file with the SEC within ten (10) days following the achievement of each Milestone to be paid in Future Milestone Shares a registration statement on Form S-3 or other appropriate form that Parent is then eligible to use under the
Securities Act for the purpose of registering the Future Milestone Shares for resale by the Holders (collectively, “Future Resale Registration Statements”). 
 5.2 Parent shall use commercially reasonable efforts to have the Resale Registration Statement and any Future Resale Registration Statements declared effective by the SEC. Parent shall respond to any SEC
comments within five (5) Business Days after receipt of such comments until the Resale Registration Statement, or any such Future Resale Registration Statements, as the case may be, is declared effective by the SEC. Parent shall maintain the
effectiveness of the Resale Registration Statement and any Future Resale Registration Statements for a period ending on the earlier of: (i) the date on which the Milestone Shares or Future Milestone Shares covered thereby may be sold without
any volume restrictions under Rule 144 under the Securities Act; or (ii) the date on which all Milestone Shares or Future Milestone Shares covered by such Registration Statement have been sold. 

5.3 If (i) the Resale Registration Statement or any Future Resale Registration Statements has not been declared effective on or
before the ninetieth (90th) day following the filing thereof with the SEC, or (ii) if counsel has not provided to the transfer agent for Parent Common Stock (the “Transfer Agent”) a “blanket” legal opinion
allowing for removal of the restrictive legend on the corresponding Milestone Shares or the Future Milestone Shares as contemplated in Section 6, below (the “Cutoff Date”), Parent shall pay the Holders in the aggregate one
thousand dollars ($1,000) per day for each day following the Cutoff Date that the Resale Registration Statement or any Future Resale Registration Statements, as the case may be, shall not have been declared effective; provided, that the $1,000 per
day penalty shall cease to 

  
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accrue upon the delivery to the Transfer Agent of a legend removal opinion of the type described in Section 6, below, sufficient to allow for removal of the restrictive legend from the
applicable Milestone Shares or Future Milestone Shares, as the case may be, covered by such registration statement. The aggregate accrued penalties shall be deposited by Parent with the Escrow Agent on or before the fifth Business Day following the
end of each month and promptly released by the Escrow Agent to the Holders on a pro rata basis in accordance with each Holder’s ownership of Escrow Shares (as defined in the Escrow Agreement). 

6. Legal Opinions. 
 6.1 Concurrently with the execution and delivery of this Amendment, Parent shall cause its legal counsel to render a “blanket” legal opinion to the Transfer Agent to permit the Holders to have
reissued in the Holders’ name, or in street-name, the certificates evidencing the shares of Parent Common Stock currently held by the Holders, including those shares currently held in the Escrow, as and when released from the Escrow, without a
restrictive legend under the Securities Act, subject to obtaining appropriate representations and acknowledgements from the Holders regarding the manner of resale of such shares. 

6.2 Within ten (10) days following (i) the effectiveness of the Resale Registration Statement, (ii) the effectiveness of
any Future Resale Registration Statements and (iii) if the SEC fails to declare a registration statement effective, the sixth (6th) month anniversary of the issuance of the applicable Milestone Shares and Future Milestone Shares, Parent
shall use commercially reasonable efforts to cause its legal counsel to render a “blanket” legal opinion to the Transfer Agent to permit the Holders to have reissued in the Holders’ name, or in street-name, the certificates evidencing
the shares of Parent Common Stock then held by the Holders, without a restrictive legend under the Securities Act, subject to obtaining appropriate representations and acknowledgements from the Holders regarding the manner of resale of such shares
in the event a registration statement is not effective. 
 7. Representation. The Stockholder Representative acknowledges
and agrees that the Milestone Shares, as well as any Future Milestone Shares, are or shall be “restricted” shares and, when issued, shall bear an appropriate restrictive legend to such effect. The Milestone Shares and any Future Milestone
Shares shall not be resold publicly by the Holders, except pursuant to an effective registration statement under the Securities Act or in reliance upon the opinion of Parent’s legal counsel to be given pursuant to Section 6.2, above,
indicating that such registration is not required. 
 8. Legal Fees and Expenses. Parent and the Stockholder
Representative shall bear their own legal fees and other expenses in connection with this Amendment and the consummation of the transactions contemplated hereby, except that Parent shall (i) pay or reimburse the Stockholder Representative for
up to $2,500 of documented legal fees reasonably incurred by him in connection with the negotiation of the Term Sheet, dated January 25, 2012, between Parent and the Stockholder Representative (the “Term Sheet”) and up to
$10,000 in the aggregate in connection with the negotiation of the Term Sheet, this Amendment and the consummation of the transactions contemplated hereby, and (ii) shall also pay to or reimburse

  
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the Stockholder Representative the amount of documented legal fees, if any, in excess of $10,000 reasonably incurred by him in these connections. The Parties acknowledge and agree that the amount
referred to in clause (ii), above, if any, shall be deducted from the Interest Factor otherwise payable by Parent to the Holders as provided in Section 4, above. 
 9. Miscellaneous. 
 9.1 Except as specifically set forth in this Amendment,
the Original Agreement shall remain unchanged and in full force and effect. 
 9.2 This Amendment, including the exhibits and
schedules hereto, embodies the entire agreement and understanding of the Parties hereto in respect of the subject matter contained herein and supersedes all prior agreements and the understanding between the Parties with respect to such subject
matter, including, without limitation, the Term Sheet. 
 9.3 This Amendment may be executed in two or more counterparts, each
of which shall be deemed to be an original, and all of which together shall constitute one and the same instrument. A signature to this Amendment transmitted electronically shall have the same authority, effect, and enforceability as an original
signature. 
 [Signature page follows] 

  
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 IN WITNESS WHEREOF, the Parties have caused this Amendment to be executed by their
duly authorized representatives. 
  

							
	Parent:	 	Galena Biopharma, Inc.
			
		 	By:	 	 /s/ Mark J. Ahn

		 		 	Mark J. Ahn, Ph.D.
		 		 	President and Chief Executive Officer
		
	Rights Agent:	 	Computershare Trust Company, N.A.
			
		 	By:	 	 /s/ Rose Stroud

		 		 	Name:	 	 Rose Stroud

		 		 	Title:	 	 Trust Officer

		
		 	Computershare Inc.
			
		 	By:	 	 /s/ Rose Stroud

		 		 	Name:	 	 Rose Stroud

		 		 	Title:	 	 Trust Officer

		
	Stockholder Representative:	 	 /s/ Robert E. Kennedy

		 	Robert E. Kennedy

 [Signature Page of First Amendment to Contingent Value Rights Agreement] 

  
 6Second Omnibus Amendment to Securities Purchase Agreement

 Exhibit 10.37 
 SECOND OMNIBUS AMENDMENT 
 This SECOND OMNIBUS AMENDMENT (this “Second
Amendment”) is made and entered into as of March 5, 2012, by and among Tang Capital Partners, LP, RTW Investments, LLC, Galena Biopharma, Inc. (formerly RXi Pharmaceuticals Corporation) and RXi Pharmaceuticals Corporation (formerly
RNCS, Inc.). 
 WHEREAS, the parties entered into a Securities Purchase Agreement dated as of September 24, 2011 (the
“Securities Purchase Agreement”) and the Ancillary Agreements related thereto, including the Bridge Notes; 

WHEREAS, the parties entered into an Omnibus Amendment dated as of February 6, 2012 (the “First Amendment”),
amending certain provisions of the Securities Purchase Agreement and the Bridge Notes; 
 WHEREAS, the Securities Purchase
Agreement, as amended by the First Amendment, in Section 8.01(c) thereof provides that the Agreement may be terminated by either the Company or the Investors if the Closing has not occurred on or before 5:00 p.m., Eastern Standard Time, on
March 5, 2012, which date may be extended from time to time by mutual written consent of the Company and the Investors; 

WHEREAS, the Bridge Notes dated September 24, 2011 held by the Investors, as amended by the First Amendment, in Section 1.1
thereof each provide for a Maturity Date (as defined in the Bridge Notes) of the earlier of (i) March 5, 2012 or (ii) an Event of Default (as defined in the Bridge Notes); 

WHEREAS, the parties desire to amend such provisions of the Securities Purchase Agreement and the Bridge Notes, in each case, as amended
by the First Amendment, to extend the March 5, 2012 date; 
 NOW, THEREFORE, in consideration of the premises and mutual
covenants herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows: 
 1. Securities Purchase Agreement Amendment. The Securities Purchase Agreement, as previously amended by the First Amendment, is hereby further amended as follows: 

(a) Section 8.01(c) is hereby further amended to replace “March 5, 2012” with “March 31, 2012”;

 (b) Section 5.11 is hereby amended to add the following new sentence at the end thereof:
“Notwithstanding any other provision of this Agreement, the failure of Anastasia Khvorova to be employed by the Company, by itself of in combination with one or more other events, shall not be deemed to have resulted or to be reasonably
expected to result in a Material Adverse Effect.” 

 (c) The following new sections are hereby added to ARTICLE V: 

Section 5.14 Trading Market; Ticker Symbol. The Company shall have obtained the approval of the Financial
Industry Regulatory Authority to list the Company Common Stock for trading in a Trading Market and the Company shall have obtained the use of the trading symbol RXII or a derivative thereof (e.g., RXII.OB or RXII.PK). 

Section 5.15 Absence of Certain Developments. The Company shall have received confirmation, in a form
satisfactory to the Investors in their sole discretion, that the Advirna Agreement remains in full force and effect and that the Company’s rights arising thereunder remain intact as of the date of such confirmation. 

(d) The following new section is hereby added to ARTICLE IV: 

Section 4.21 Annual Report on Form 10-K. By no later than March 30, 2012, the Company shall prepare and
file, if required, an annual report on Form 10-K for the year ended December 31, 2011. 
 2. Bridge Notes Amendment.

 (a) The Bridge Notes, as amended by the First Amendment, are hereby further amended to replace: 

(i) references of “March 5, 2012” with “March 31, 2012”; 

(ii) references of “RNCS, Inc.” with “RXi Pharmaceuticals Corporation”; 

(iii) references of “RXi Pharmaceuticals Corporation” (but only those references contained in the Bridge Notes
prior to giving effect to the change set forth above in Section 2(a)(ii)) with “Galena BioPharma, Inc.” 
 3.
Miscellaneous. Capitalized terms used herein and not defined shall have the meanings set forth in the Securities Purchase Agreement or in the Bridge Notes, as applicable, in each case as amended by the First Amendment. The terms and
conditions set forth in Article X of the Securities Purchase Agreement are incorporated herein by reference. Nothing herein shall constitute a waiver of any provision of the Securities Purchase Agreement or any of the Ancillary Documents pursuant to
Section 10.03 of the Securities Purchase Agreement. 
 [Signature Page Follows] 

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

			
	GALENA BIOPHARMA, INC.
		
	By:	 	 /s/ Mark J. Ahn

		 	Mark J. Ahn
		 	President and Chief Executive Officer
	
	RXi PHARMACEUTICALS CORPORATION
		
	By:	 	 /s/ Mark J. Ahn

		 	Mark J. Ahn
		 	President
	
	TANG CAPITAL PARTNERS, LP
		
	By:	 	 /s/ Kevin C. Tang

		 	Kevin C. Tang
		 	Managing Director
	
	RTW INVESTMENTS, LLC
		
	By:	 	 /s/ Roderick Wong

		 	Roderick Wong
		 	Managing Member

 [Signature Page to Second Omnibus Amendment]

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