Document:

RIGHTS

 

 

 

Exhibit 4.4

 

 

REGISTRATION RIGHTS AGREEMENT

 

REGISTRATION RIGHTS AGREEMENT, dated as of March 19, 1999, by
and between SangStat Medical Corporation, a Delaware corporation (the
"Company"), and Warburg Dillon Read LLC (the "Purchaser") entered into in
connection with the issuance of one or more Convertible Notes due 2004
convertible into shares of Common Stock, par value $.001 per share ("Common
Stock") of the Company.

 

1.Certain Definitions.

For purposes of this Registration Rights Agreement, the
following terms shall have the following respective meanings:

(a)"Commission" shall mean the Securities and
Exchange Commission, or any other federal agency at the time administering the
Exchange Act or the Securities Act, whichever is the relevant statute for the
particular purpose.

(b)"Convertible Note" shall mean any of the
Convertible Notes due 2004 of the Company to be issued and sold to the Purchaser
pursuant to the Convertible Note Purchase Agreement dated as of March 19, 1999,
and any Convertible Note issued in exchange therefor or in lieu thereof.

(c)"Effective Time" shall mean the date on which
the Commission declares the Shelf Registration effective or on which the Shelf
Registration otherwise becomes effective.

(d)"Exchange Act" shall mean the Securities
Exchange Act of 1934, or any successor thereto, as the same shall be amended
from time to time.

(e)"Issue Date" shall mean the date on which a
Convertible Note is initially issued.

(f)The term "person" shall mean a corporation,
association, partnership, organization, business, individual, government or
political subdivision thereof or governmental agency.

(g)"Registration Expenses" shall have the meaning
assigned thereto in Section 4 hereof.

(h)"Securities Act" shall mean the Securities Act
of 1933, or any successor thereto, as the same shall be amended from time to
time.

(i)"Shares" means the shares of Common Stock
issuable upon exercise of the Convertible Note.

(j)"Shelf Registration" shall have the meaning
assigned thereto in Section 2 hereof.

In addition, capitalized terms not defined herein shall have
the meaning ascribed in the Convertible Note.

 

2.Shelf Registration of Shares.

(a)Not later than December 19, 1999, the Company shall
file under the Securities Act a "shelf" registration statement providing for the
registration of, and the sale on a continuous or delayed basis by the Purchaser
of, all Shares issuable upon conversion of the Convertible Notes, pursuant to
Rule 415 under the Securities Act and/or any similar rule that may be adopted by
the Commission (the "Shelf Registration"). The Company agrees to use its best
efforts to cause the Shelf Registration to become or be declared effective no
later than 45 calendar days after the filing thereof and to keep such Shelf
Registration continuously effective for a period ending on the earliest to occur
of (i) the second anniversary of the last Issue Date of any Convertible Note,
(ii) notification to the Company by the Purchaser that it has sold all Shares
issuable upon conversion of the Convertible Notes so owned by it, or (iii) such
time as the Purchaser may sell all of such shares pursuant to Rule 144(k) under
the Securities Act. The Company further agrees, if necessary, to supplement or
make amendments to the Shelf Registration, if required by the rules, regulations
or instructions applicable to the registration form used by the Company for such
Shelf Registration or by the Securities Act or rules and regulations thereunder
for shelf registration, and the Company agrees to furnish to the Purchaser
copies of any such supplement or amendment prior to its being used and/or filed
with the Commission, and will not file any such supplement or amendment to which
the Purchaser reasonably objects.

(b)Notwithstanding the foregoing, following the
effectiveness of the Shelf Registration, the Company may, at any time, suspend
the effectiveness of such Shelf Registration for up to 60 days, as appropriate
(a "Suspension Period"), by giving notice to the Purchaser, if the Company shall
have determined that the Company may be required to disclose any material
corporate development which disclosure may have a material adverse effect on the
Company. The Company will use its best efforts to minimize the length of any
Suspension Period. Notwithstanding the foregoing, no more than one Suspension
Period may occur within any 180 day period, and no Suspension Period shall be
effective at any time the Company or any affiliate of the Company is publicly
offering shares of the capital stock of the Company. The Purchaser agrees that,
upon receipt of any notice from the Company of a Suspension Period, the
Purchaser shall forthwith discontinue disposition of shares covered by the Shelf
Registration until the Purchaser (i) is advised in writing by the Company that
the use of the applicable prospectus may be resumed, (ii) has received copies of
a supplemental or amended prospectus, if applicable, and (iii) has received
copies of any additional or supplemental filings which are incorporated or
deemed to be incorporated by reference in such prospectus.

3.Registration Procedures.

(a)In connection with any obligation of the Company to
register Shares or the Convertible Note (collectively, "Securities"), the
Company shall use its best efforts to effect or cause such registration to
permit the sale of the Securities by the Purchaser in accordance with the
intended method or methods of distribution thereof described in the applicable
registration statement. In connection therewith, the Company shall, within the
time specified above:
(i)prepare and file with the Commission a
registration statement on any form which may be utilized by the Company and
which shall permit the disposition of the Securities in accordance with the
intended method or methods thereof, as specified in writing by the
Purchaser;

(ii)comply with the provisions of the Securities Act
with respect to the disposition of all of the Securities covered by such
registration statement in accordance with the intended methods of disposition by
the Purchaser set forth in such registration statement;

(iii)provide (A) the Purchaser, (B) the
underwriters (which term, for purposes of these Registration Rights, shall
include a person deemed to be an underwriter within the meaning of
Section 2(11) of the Securities Act), if any, thereof, (C) the sales
or placement agent, if any, therefor, (D) counsel for such underwriters or
agent, and (E) counsel for the Purchaser the opportunity to participate in
the preparation of such registration statement, each prospectus included therein
or filed with the Commission, and each amendment or supplement thereto; 

(iv)for a reasonable period prior to the filing of
such registration statement, and throughout the periods specified in
Section 2 hereof, make available for inspection by the parties referred to
in Section 3(a)(iii) above who shall certify to the Company that they have
a current intention to sell the Securities pursuant to the registration
statement such financial and other information and books and records of the
Company, and cause the officers, employees, counsel and independent certified
public accountants of the Company to respond to such inquiries, as shall be
reasonably necessary, in the judgment of the respective counsel referred to in
such Section, to conduct a reasonable investigation within the meaning of
Section 11 of the Securities Act; provided, however, that
each such party shall be required to maintain in confidence and not to disclose
to any other person any information or records provided by the Company until
such time as (A) such information becomes a matter of public record
(whether by virtue of its inclusion in such registration statement or
otherwise), or (B) such person shall be required so to disclose such
information pursuant to the subpoena or order of any court or other governmental
agency or body having jurisdiction over the matter (subject to the requirements
of such order, and only after such person shall have given the Company prompt
prior written notice of such requirement), or (C) such information is
required to be set forth in such registration statement or the prospectus
included therein or in an amendment to such registration statement or an
amendment or supplement to such prospectus in order that such registration
statement, prospectus, amendment or supplement, as the case may be, does not
contain an untrue statement of a material fact or omit to state therein a
material fact required to be stated therein or necessary to make the statements
therein not misleading;

(v)promptly notify the Purchaser, the sales or
placement agent, if any, therefor and the managing underwriter or underwriters,
if any, thereof and confirm such advice in writing, (A) when such
registration statement or the prospectus included therein or any prospectus
amendment or supplement or post-effective amendment has been filed, and, with
respect to such registration statement or any post-effective amendment, when the
same has become effective, (B) of any comments by the Commission and by the
Blue Sky or securities commissioner or regulator of any state with respect
thereto or any request by the Commission for amendments or supplements to such
registration statement or prospectus or for additional information, (C) of
the issuance by the Commission of any stop order suspending the effectiveness of
such registration statement or the initiation or overt threatening of any
proceedings for that purpose, (D) if at any time the representations and
warranties of the Company contemplated by Section 5 hereof cease to be true
and correct in all material respects, (E) of the receipt by the Company of
any notification with respect to the suspension of the qualification of the
Securities for sale in any jurisdiction or the initiation or overt threatening
of any proceeding for such purpose, or (F) at any time when a prospectus is
required to be delivered under the Securities Act, if such registration
statement, prospectus, prospectus amendment or supplement or post-effective
amendment, or any document incorporated by reference in any of the foregoing,
contains an untrue statement of a material fact or omits to state any material
fact required to be stated therein or necessary to make the statements therein
not misleading in light of the circumstances then existing;

(vi)use its best efforts to obtain the withdrawal of
any order suspending the effectiveness of such registration statement or any
post-effective amendment thereto at the earliest practicable date;

(vii)if requested by any managing underwriter or
underwriters, any placement or sales agent or the Purchaser, promptly
incorporate in a prospectus supplement or post-effective amendment such
information as is required by the applicable rules and regulations of the
Commission that such managing underwriter or underwriters, such agent or the
Purchaser specify should be included therein relating to the terms of the sale
of such Securities, including, without limitation, information with respect to
the amount or number of Securities being sold by the Purchaser or agent or to
any underwriters, the name and description of the Purchaser, agent or
underwriter, the offering price of such Securities and any discount, commission
or other compensation payable in respect thereof, the purchase price being paid
therefor by such underwriters and with respect to any other terms of the
offering of the Securities to be sold by the Purchaser or agent or to such
underwriters; and make all required filings of such prospectus supplement or
post-effective amendment promptly after notification of the matters to be
incorporated in such prospectus supplement or post-effective amendment;

(viii)furnish to the Purchaser, each placement or
sales agent, if any, therefor, each underwriter, if any, thereof and the
respective counsel referred to in Section 3(a)(iii) a copy of such
registration statement in the form in which it became effective, each such
amendment and supplement thereto (in each case including all exhibits thereto
and documents incorporated by reference therein) and such number of copies of
such registration statement (excluding exhibits thereto and documents
incorporated by reference therein unless specifically so requested by the
Purchaser, agent or underwriter, as the case may be) and of the prospectus
included in such registration statement (including each preliminary prospectus
and any summary prospectus), in conformity with the requirements of the
Securities Act, and such other documents, as the Purchaser, agent, if any, and
underwriter, if any, may reasonably request in order to facilitate the offering
and disposition of the Securities owned by the Purchaser, offered or sold by
such agent or underwritten by such underwriter and to permit the Purchaser,
agent and underwriter to satisfy the prospectus delivery requirements of the
Securities Act; and the Company hereby consents to the use of such prospectus
(including such preliminary and summary prospectus) and any amendment or
supplement thereto by the Purchaser and by any such agent and underwriter, in
each case in the form most recently provided to such party by the Company, in
connection with the offering and sale of the Securities covered by the
prospectus (including such preliminary and summary prospectus) or any supplement
or amendment thereto;

(ix)use its best efforts to (A) register or
qualify the Securities to be included in such registration statement under such
securities laws or blue sky laws of such jurisdictions as the Purchaser and each
placement or sales agent, if any, therefor and underwriter, if any, thereof
shall reasonably request, (B) keep such registrations or qualifications in
effect and comply with such laws so as to permit the continuance of offers,
sales and dealings therein in such jurisdictions during the respective periods
such registration statements are required to remain effective under
Section 2 above and for so long as may be necessary to enable the Purchaser
or any agent or underwriter to complete its distribution of Securities pursuant
to such registration statement and (C) take any and all other actions as
may be reasonably necessary or advisable to enable the Purchaser, agent, if any,
and underwriter, if any, to consummate the disposition in such jurisdictions of
such Securities; provided, however, that the Company shall not be
required for any such purpose to (I) qualify as a foreign corporation in
any jurisdiction wherein it would not otherwise be required to qualify but for
the requirements of this Section 3(a)(ix) or (II) consent to general
service of process in any such jurisdiction;

(x)use its best efforts to obtain the consent or
approval of each governmental agency or authority, whether federal, state or
local, which may be required to effect the Shelf Registration or the offering or
sale in connection therewith or to enable the Purchaser to offer, or to
consummate the disposition of, its Securities;

(xi)cooperate with the Purchaser and the managing
underwriters, if any, to facilitate the timely preparation and delivery of any
certificates representing Securities to be sold, which certificates shall be
printed, lithographed or engraved, or produced by any combination of such
methods, and which shall not, once sold under the Shelf Registration, bear any
restrictive legends; and, in the case of an underwritten offering, enable such
Securities to be in such denominations and registered in such names as the
managing underwriters may request at least two business days prior to any sale
of the Securities:

(xii)notify the Purchaser in writing of any proposal
by the Company to amend or waive any provision of these Registration Rights
pursuant to Section 7(g) hereof and of any amendment or waiver effected
pursuant thereto, each of which notices shall contain the text of the amendment
or waiver proposed or effected, as the case may be;

(xiii)in the event that any broker-dealer registered
under the Exchange Act shall underwrite any Securities or participate as a
member of an underwriting syndicate or selling group or "assist in the
distribution" (within the meaning of the Rules of Fair Practice and the By-Laws
of the National Association of Securities Dealers, Inc. ("NASD")) thereof,
whether as an underwriter, a placement or sales agent or a broker or dealer in
respect thereof, or otherwise, assist such broker-dealer in complying with the
requirements of such Rules and By-Laws, including, without limitation, by
providing such information to such broker-dealer as may be required in order for
such broker-dealer to comply with the requirements of the Rules of Fair Practice
of the NASD;

(xiv)comply with all applicable rules and regulations
of the Commission, and make generally available to its security holders as soon
as practicable but in any event not later than eighteen months after the
effective date of such registration statement, an earning statement of the
Company and its subsidiaries complying with Section 11(a) of the Securities
Act (including, at the option of the Company, Rule 158 thereunder); and

(xv)use its best efforts to have the Shares approved
for trading on the Nasdaq National Market.

(b)In the event that the Company would be required,
pursuant to Section 3(a)(v)(F) above, to notify the Purchaser, the
placement or sales agent, if any, therefor and the managing underwriters, if
any, thereof, the Company shall without delay prepare and furnish to the
Purchaser, to each placement or sales agent, if any, and to each underwriter, if
any, a reasonable number of copies of a prospectus supplemented or amended in
form and substance reasonably satisfactory to them, so that, as thereafter
delivered to purchasers of Securities, such prospectus shall not contain an
untrue statement of a material fact or omit to state a material fact required to
be stated therein or necessary to make the statements therein not misleading in
light of the circumstances then existing. The Purchaser agrees that upon receipt
of any notice from the Company pursuant to Section 3(a)(v)(F) hereof, the
Purchaser shall forthwith discontinue the disposition of Securities pursuant to
the registration statement applicable to such Securities until the Purchaser
shall have received copies of such amended or supplemented prospectus, and if so
directed by the Company, the Purchaser shall deliver to the Company (at the
Company's expense) all copies, other than permanent file copies, then in the
Purchaser's possession of the prospectus covering such Securities at the time of
receipt of such notice.

(c)The Company may require the Purchaser to furnish to
the Company such information regarding the Purchaser and the Purchaser's
intended method of distribution of the Securities as the Company may from time
to time reasonably request in writing, but only to the extent that such
information is required in order to comply with the Securities Act. The
Purchaser agrees to notify the Company as promptly as practicable of any
inaccuracy or change in information previously furnished by the Purchaser to the
Company or of the occurrence of any event in either case as a result of which
any prospectus relating to such registration contains or would contain an untrue
statement of a material fact regarding the Purchaser or the Purchaser's intended
method of distribution of such Securities or omits to state any material fact
regarding the Purchaser or the Purchaser's intended method of distribution of
such Securities required to be stated therein or necessary to make the
statements therein not misleading in light of the circumstances then existing,
and promptly to furnish to the Company any additional information required to
correct and update any previously furnished information or required so that such
prospectus shall not contain, with respect to the Purchaser or the distribution
of such Securities, an untrue statement of a material fact or omit to state a
material fact required to be stated therein or necessary to make the statements
therein not misleading in light of the circumstances then existing. The
Purchaser agrees that upon delivering any notice to the Company pursuant to this
Section 3(c), the Purchaser shall forthwith discontinue the disposition of
Securities pursuant to the registration statement applicable to such Securities
until the Purchaser shall have the received copies of such amended or
supplemented prospectus, and if so directed by the Company, the Purchaser shall
deliver to the Company (at the Company's expense) all copies, other than
permanent file copies then in the Purchaser's possession of the prospectus
covering such Securities at the time of receipt of such notice.

 

4.Registration Expenses.

The Company agrees to bear and to pay or cause to be paid
promptly upon request being made therefor all expenses incident to the Company's
performance of or compliance with these Registration Rights including, without
limitation, (i) all Commission and any NASD registration and filing fees
and expenses, (ii) all fees and expenses in connection with the
qualification of the Securities for offering and sale under the State securities
and blue sky laws referred to in Section 3(a)(x) hereof, including
reasonable fees and disbursements of counsel for the placement or sales agent or
underwriters in connection with such qualifications, (iii) all fees and
expenses in connection with the approval for trading of the Shares on the Nasdaq
National Market, (iv) all expenses relating to the preparation, printing,
distribution and reproduction of each registration statement required to be
filed hereunder, each prospectus included therein or prepared for distribution
pursuant hereto, each amendment or supplement to the foregoing, the certificates
representing the Securities and all other documents relating hereto,
(v) internal expenses (including, without limitation, all salaries and
expenses of the Company's officers and employees performing legal or accounting
duties), and (vi) fees, disbursements and expenses of counsel and
independent certified public accountants of the Company (including the expenses
of any opinions or "cold comfort" letters required by or incident to such
performance and compliance) (collectively, the "Registration Expenses").
Notwithstanding the foregoing, the Purchaser shall pay all agency fees and
commissions and underwriting discounts and commissions attributable to the sale
of the Securities and the fees and disbursements of any counsel or other
advisors or experts retained by the Purchaser in connection therewith.

 

5.Representations and Warranties.

The Company represents and warrants to, and agrees with, the Purchaser
that:

(a)Each registration statement covering Securities and each prospectus
(including any preliminary or summary prospectus) contained therein or furnished
pursuant to Section 3(a)(ix) hereof and any further amendments or
supplements to any such registration statement or prospectus, when it becomes
effective or is filed with the Commission, as the case may be, and, in the case
of an underwritten offering of Securities, at the time of the closing under the
underwriting agreement relating thereto will conform in all material respects to
the requirements of the Securities Act, and will not contain an untrue statement
of a material fact or omit to state a material fact required to be stated
therein or necessary to make the statements therein not misleading; and at all
times subsequent to the Effective Time when a prospectus would be required to be
delivered under the Securities Act, other than from (i) such time as a
notice has been given to the Purchaser pursuant to Section 3(a)(vi)(F)
hereof until (ii) such time as the Company furnishes an amended or
supplemented prospectus pursuant to Section 3(b) hereof, each such
registration statement, and each prospectus (including any summary prospectus)
contained therein or furnished pursuant to Section 3(c)(ix) hereof, as then
amended or supplemented, will conform in all material respects to the
requirements of the Securities Act, and will not contain an untrue statement of
a material fact or omit to state a material fact required to be stated therein
or necessary to make the statements therein not misleading in the light of the
circumstances then existing; provided, however, that this representation and
warranty shall not apply to any statements or omissions made in reliance upon
and in conformity with information furnished in writing to the Company by the
Purchaser expressly for use therein.

(b)Any documents incorporated by reference in any prospectus referred to
in Section 5(a) hereof, when they become or became effective or are or were
filed with the Commission, or if amended, when amended, as the case may be, will
conform or conformed in all material respects to the requirements of the
Exchange Act, and none of such documents will contain or contained an untrue
statement of a material fact or will omit or omitted to state a material fact
required to be stated therein or necessary to make the statements therein not
misleading; provided, however, that this representation and
warranty shall not apply to any statements or omissions made in reliance upon
and in conformity with information furnished in writing to the Company by the
Purchaser expressly for use therein.

 

6.Indemnification.

(a)Indemnification by the Company. Upon the registration of
Securities pursuant to Section 2 hereof, and in consideration of the
agreements of the Purchaser contained herein, and as an inducement to the
Purchaser to purchase the Convertible Notes, the Company shall, and it hereby
agrees to, indemnify and hold harmless the Purchaser and each person who
participates as a placement or sales agent or as an underwriter in any offering
or sale of such Securities against any losses, claims, damages or liabilities,
joint or several, to which the Purchaser or any such agent or underwriter may
become subject under the Securities Act or otherwise, insofar as such losses,
claims, damages or liabilities (or actions in respect thereof) arise out of or
are based upon an untrue statement or alleged untrue statement of a material
fact contained in any registration statement under which such Securities were
registered under the Securities Act, or any preliminary, final or summary
prospectus contained therein or furnished by the Company to the Purchaser, agent
or underwriter, or any amendment or supplement thereto, or arise out of or are
based upon the omission or alleged omission to state therein a material fact
required to be stated therein or necessary to make the statements therein not
misleading, and the Company shall, and it hereby agrees to, reimburse the
Purchaser, such agent and such underwriter for any legal or other expenses
reasonably incurred by them in connection with investigating or defending any
such action or claim as such expenses are incurred; provided,
however, that the Company shall not be liable to any such person in any
such case to the extent that any such loss, claim, damage or liability arises
out of or is based upon an untrue statement or alleged untrue statement or
omission or alleged omission made in such registration statement, or
preliminary, final or summary prospectus, or amendment or supplement in reliance
upon and in conformity with written information furnished to the Company by such
person expressly for use therein. 

(b)Indemnification by the Purchaser and any Agents and
Underwriters. The Company may require, as a condition to including any
Securities in any registration statement filed pursuant to Section 2 hereof
and to entering into any underwriting agreement with respect thereto, that the
Company shall have received an undertaking reasonably satisfactory to it from
the Purchaser and from each underwriter named in any such underwriting
agreement, severally and not jointly, to (i) indemnify and hold harmless
the Company against any losses, claims, damages or liabilities to which the
Company may become subject, under the Securities Act or otherwise, insofar as
such losses, claims, damages or liabilities (or actions in respect thereof)
arise out of or are based upon an untrue statement or alleged untrue statement
of a material fact contained in such registration statement, or any preliminary,
final or summary prospectus contained therein or furnished by the Company to the
Purchaser, agent or underwriter, or any amendment or supplement thereto, or
arise out of or are based upon the omission or alleged omission to state therein
a material fact required to be stated therein or necessary to make the
statements therein not misleading, in each case to the extent, but only to the
extent, that such untrue statement or alleged untrue statement or omission or
alleged omission was made in reliance upon and in conformity with written
information furnished to the Company by the Purchaser or underwriter expressly
for use therein, and (ii) reimburse the Company for any legal or other
expenses reasonably incurred by the Company in connection with investigating or
defending any such action or claim as such expenses are incurred.

(c)Notices of Claims, Etc. Promptly after receipt by an
indemnified party under subsection (a) or (b) above of written notice of
the commencement of any action, such indemnified party shall, if a claim in
respect thereof is to be made against an indemnifying party pursuant to the
indemnification provisions of or contemplated by this Section 6, notify
such indemnifying party in writing of the commencement of such action; but the
omission so to notify the indemnifying party shall not relieve it from any
liability which it may have to any indemnified party other than under the
indemnification provisions of or contemplated by Section 6(a) or 6(b)
hereof. In case any such action shall be brought against any indemnified party
and it shall notify an indemnifying party of the commencement thereof, such
indemnifying party shall be entitled to participate therein and, to the extent
that it shall wish, jointly with any other indemnifying party similarly
notified, to assume the defense thereof, with counsel satisfactory to such
indemnified party (who shall not, except with the consent of the indemnified
party, be counsel to the indemnifying party), and, after notice from the
indemnifying party to such indemnified party of its election so to assume the
defense thereof, such indemnifying party shall not be liable to such indemnified
party for any legal expenses of other counsel or any other expenses, in each
case subsequently incurred by such indemnified party, in connection with the
defense thereof other than reasonable costs of investigation. 

(d)Contribution. Each party hereto agrees that, if for any reason
the indemnification provisions contemplated by Section 6(a) or
Section 6(b) are unavailable to or insufficient to hold harmless an
indemnified party in respect of any losses, claims, damages or liabilities (or
actions in respect thereof) referred to therein, then each indemnifying party
shall contribute to the amount paid or payable by such indemnified party as a
result of such losses, claims, damages or liabilities (or actions in respect
thereof) in such proportion as is appropriate to reflect the relative benefits
received by indemnified party on the one hand and the indemnifying party on the
other from the issuance of the Convertible Notes and sale of the Securities. If,
however, the allocation provided by the immediately preceding sentence is not
permitted by applicable law or if the indemnified party failed to give the
notice required under subsection (c) above, then each indemnifying party shall
contribute to such amount paid or payable by such indemnified party in such
proportion as is appropriate to reflect not only such relative benefits but also
the relative fault of the indemnifying party and the indemnified party in
connection with the statements or omissions which resulted in such losses,
claims, damages or liabilities (or actions in respect thereof), as well as any
other relevant equitable considerations. The relative benefits received by the
Company on the one hand and the Purchaser on the other shall be deemed to be in
the same proportion as the total purchase price received by the Company upon
issuance of the Convertible Note bears to the difference between the proceeds
from the offering of the Securities received by the Purchaser and such purchase
price. The relative fault of such indemnifying party and indemnified party shall
be determined by reference to, among other things, whether the untrue or alleged
untrue statement of a material fact or omission or alleged omission to state a
material fact relates to information supplied by such indemnifying party or by
such indemnified party, and the parties' relative intent, knowledge, access to
information and opportunity to correct or prevent such statement or omission.
The parties hereto agree that it would not be just and equitable if
contributions pursuant to this Section 6(d) were determined by pro rata
allocation (even if the Purchaser or any agents or underwriters or all of them
were treated as one entity for such purpose) or by any other method of
allocation which does not take account of the equitable considerations referred
to in this Section 6(d). The amount paid or payable by an indemnified party
as a result of the losses, claims, damages, or liabilities (or actions in
respect thereof) referred to above shall be deemed to include any legal or other
fees or expenses reasonably incurred by such indemnified party in connection
with investigating or defending any such action or claim. Notwithstanding the
provisions of this Section 6(d), the Purchaser shall not be required to
contribute any amount in excess of the amount by which the dollar amount of the
proceeds received by the Purchaser from the sale of any Securities (after
deducting any fees, discounts and commissions applicable thereto) exceeds the
amount of any damages which the Purchaser have otherwise been required to pay by
reason of such untrue or alleged untrue statement or omission or alleged
omission, and no underwriter shall be required to contribute any amount in
excess of the amount by which the total price at which the Securities
underwritten by it and distributed to the public were offered to the public
exceeds the amount of any damages which such underwriter has otherwise been
required to pay by reason of such untrue or alleged untrue statement or omission
or alleged omission. No person guilty of fraudulent misrepresentation (within
the meaning of Section 11(f) of the Securities Act) shall be entitled to
contribution from any person who was not guilty of such fraudulent
misrepresentation. The Purchaser's and any underwriters' obligations in this
Section 6(d) to contribute shall be several in proportion to the principal
amount of Securities registered or underwritten, as the case may be, by them and
not joint.

(e)The obligations of the Company under this Section 6 shall be in
addition to any liability which the Company may otherwise have and shall extend,
upon the same terms and conditions, to each officer, director and partner of the
Purchaser, any agent and any underwriter and each person, if any, who controls
the Purchaser or any agent or underwriter within the meaning of the Securities
Act; and the obligations of the Purchaser and any agents and underwriters
contemplated by this Section 6 shall be in addition to any liability which
the Purchaser or any such agent or underwriter, respectively, may otherwise have
and shall extend, upon the same terms and conditions, to each officer and
director of the Company (including any person who, with his consent, is named in
any registration statement as about to become a director of the Company) and to
each person, if any, who controls the Company within the meaning of the
Securities Act.

 

7.Miscellaneous.

(a)No Inconsistent Agreements. The Company represents, warrants,
covenants and agrees that it has not granted, and shall not grant, registration
rights with respect to Securities or any other securities which would be
inconsistent with the terms contained in these Registration Rights. 

(b)Specific Performance. The parties hereto acknowledge that there
may be no adequate remedy at law if any party fails to perform any of its
obligations hereunder and that each party may be irreparably harmed by any such
failure, and accordingly agree that each party, in addition to any other remedy
to which it may be entitled at law or in equity, shall be entitled to compel
specific performance of the obligations of any other party under these
Registration Rights in accordance with the terms and conditions of these
Registration Rights, in any court of the United States or any State thereof
having jurisdiction.

(c)Notices. Any notice or other communication required or
permitted to be given hereunder shall be deemed effectively given when
personally delivered, telexed, transmitted by facsimile or mailed by pre-paid
certified mail, return receipt requested, or by telephone when confirmed in
writing by one of the preceding methods addressed as follows (as
applicable):

If to the Company, to:

SangStat Medical Corporation

1505 Adams Drive

Menlo Park, CA 94025

Attention: General Counsel

Telephone Number: (650) 328-0300

Facsimile Transmission Number: (650) 328-8892

If to Warburg Dillon Read LLC, to:

Warburg Dillon Read LLC

677 Washington Blvd.

Stamford, CT 06901

Attention:General Counsel

Capital Markets

Telephone Number: (203) 719-3000

Facsimile Transmission Number: (203) 719-6097

or to such other address or number and to the attention of such other person
as either party may designate by written notice to the other party. Notice shall
be effective upon actual receipt.

(d)Survival. The respective indemnities, agreements,
representations, warranties and each other provision set forth in these
Registration Rights or made pursuant hereto shall remain in full force and
effect regardless of any investigation (or statement as to the results thereof)
made by or on behalf of the Purchaser, any director, officer or partner of the
Purchaser, any agent or underwriter or any director, officer or partner thereof,
or any controlling person of any of the foregoing.

(e)Law Governing. These Registration Rights shall be governed by
and construed in accordance with the laws of the State of New York.

(f)Headings. The descriptive headings of the several Sections and
paragraphs of these Registration Rights are inserted for convenience only, do
not constitute a part of these Registration Rights and shall not affect in any
way the meaning or interpretation of these Registration Rights.

(g)Entire Agreement; Amendments. These Registration Rights and the
other writings referred to herein or delivered pursuant hereto which form a part
hereof contain the entire understanding of the parties with respect to its
subject matter. These Registration Rights supersede all prior agreements and
understandings between the parties with respect to its subject matter. These
Registration Rights may be amended and the observance of any term of these
Registration Rights may be waived (either generally or in a particular instance
and either retroactively or prospectively) only by a written instrument duly
executed by the Company and the Purchaser.

(h)Assignment. In connection with any permitted transfer of a
Convertible Note or any portion thereof in a principal amount of not less than
$500,000 the Purchaser may assign its rights hereunder in respect of such
Convertible Note to the transferee. Upon such assignment the transferee shall,
insofar as the transferred Convertible Note is concerned, be entitled to all of
the rights, and be subject to all of the obligations, of the Purchaser under
these Registration Rights, and all references to the "Purchaser" herein shall
thereafter be deemed to refer to the Purchaser, or such transferee, or both, as
the circumstances warrant; provided that the right to request
registration of Shares under Section 2 hereof may only be exercised by
holders of a majority in interest of the Securities then subject to these
Registration Rights.

(i)Counterparts. This agreement may be executed by the parties
counterparts, each of which shall be deemed to be an original, but all such
respective counterparts shall together constitute one and the same
instrument.

Agreed to and accepted as of the date referred to above.

		
	 	
            SANGSTAT MEDICAL CORPORATION

			
	 	By: 	
/s/ Jean-Jacques Bienaimé

		
	 	
      

    
	 	
Name: Jean-Jacques Bienaimé

	 	
Title: President & CEO
  

		
	 	
            WARBURG DILLON READ LLC

			
	 	By: 	
             /s/ Robert Morgan

		
	 	
      

    
	 	
           Name: Robert Morgan

	 	
Title:Managing Director, Equities<PAGE>

                                                                    EXHIBIT 10.5

                     CHANGE IN CONTROL SEVERANCE AGREEMENT
                     -------------------------------------

     THIS CHANGE IN CONTROL SEVERANCE AGREEMENT ("Agreement") entered into this
1/st/ day of January 2000 ("Effective Date"), by and between Guaranty Federal
Savings Bank (the "Bank") and James E. Haseltine (the "Executive").

     WHEREAS, the Executive is currently employed by the Bank as President and
Chief Executive Officer and is experienced in the business of the Bank; and

     WHEREAS, the parties desire by this writing to set forth the rights and
responsibilities of the Bank and Executive if the Bank should undergo a change
in control (as defined hereinafter in the Agreement) after the Effective Date.

     NOW, THEREFORE, it is AGREED as follows:

     1.  Employment.  The Executive is employed in the capacity as the President
         ----------
and Chief Executive Officer of the Bank.  The Executive shall render such
administrative and management services to the Bank and Guaranty Federal
Bancshares, Inc.  ("Parent") as are currently rendered and as are customarily
performed by persons situated in a similar executive capacity.  The Executive's
other duties shall be such as the Board of Directors for the Bank (the "Board of
Directors" or "Board") may from time to time reasonably direct, including normal
duties as an officer of the Bank and the Parent.

     2.  Term of Agreement.  The term of this Agreement shall be for the period
         -----------------
commencing on the Effective Date and ending thirty-six (36) months thereafter
("Term").

     3.  Termination of Employment in Connection with or Subsequent to a Change
         ----------------------------------------------------------------------
         in Control.
         ----------

     (a) Notwithstanding any provision herein to the contrary, in the event of
the involuntary termination of Executive's employment under this Agreement,
absent Just Cause, in connection with, or within twenty-four (24) months after,
any Change in Control of the Bank or Parent, Executive shall be paid an amount
equal to two (2.0) times the Executives "base amount" as defined in Section
280G(b)(3) of the Internal Revenue Code of 1986 ("Code"), and the costs
associated with maintaining coverage under the Bank's medical and dental
insurance reimbursement plans similar to that in effect on the date of
termination of employment for a period of two years thereafter.  Said sum shall
be paid, at the option of Executive, either in one (1) lump sum not later than
the date of such termination of employment or in periodic payments over the next
24 months, as if Executive's employment had not been terminated.
Notwithstanding the forgoing, all sums payable hereunder shall be reduced in
such manner and to such extent so that no such payments made hereunder when
aggregated with all other payments to be made to the Executive by the Bank or
the Parent shall be deemed an "excess parachute payment" in accordance with
Section 280G of the Code and be subject to the excise tax provided at Section
4999(a) of the Code.  The term "change in control" shall refer to (i) the sale
of all,

                                       1
<PAGE>

or a material portion, of the assets of the Bank or the Parent; (ii) the merger
or recapitalization of the Bank or the Parent whereby the Bank or the Parent is
not the surviving entity; (iii) a change in control of the Bank or the Parent,
as otherwise defined or determined by the Office of Thrift Supervision or
regulations promulgated by it; or (iv) the acquisition, directly or indirectly,
of the beneficial ownership (within the meaning of that term as it is used in
Section 13(d) of the Securities Exchange Act of 1934 and the rules and
regulations promulgated thereunder) of twenty-five percent (25%) or more of the
outstanding voting securities of the Bank or the Parent by any person, trust,
entity or group. This limitation shall not apply to the purchase of shares by
underwriters in connection with a public offering of Bank or Parent stock or the
purchase of shares of up to 25% of any class of securities of the Bank or Parent
by a tax-qualified employee stock benefit plan which is exempt from the approval
requirements, set forth under 12 C.F.R.(S)574.3(c)(1)(vi) as now in effect or as
may hereafter be amended. The term "person" refers to an individual or a
corporation, partnership, trust, association, joint venture, pool, syndicate,
sole proprietorship, unincorporated organization or any other form of entity not
specifically listed herein.

     (b)  Notwithstanding any other provision of this Agreement to the contrary,
Executive may voluntarily terminate his employment within 24 months following a
change in control of the Bank or Parent, and Executive shall thereupon be
entitled to receive the payment described in Section 3(a) of this Agreement,
upon the occurrence, or within 120 days thereafter, of any of the following
events, which have not been consented to in advance by the Executive in writing:
(i) if Executive would be required to move his personal residence or perform his
principal executive functions more than thirty-five (35) miles from the
Executive's primary office as of the signing of this Agreement; (ii) if in the
organizational structure of the Bank, Executive would be required to report to a
person or persons other than the President or Executive Vice President of the
Bank; (iii) if the Bank should fail to maintain Executive's base compensation in
effect as of the date of the Change in Control and the existing employee
benefits plan, including material fringe benefit, stock option and retirement
plans; (iv) if Executive would be assigned duties and responsibilities other
than those normally associated with his position as referenced at Section1,
herein; or (v) if Executive's responsibilities or authority have in any way been
materially diminished or reduced.

     4.   Other Changes in Employment Status.
          ----------------------------------

     Except as provided for at Section 3, herein, the Board of Directors may
terminate the Executive's employment at any time with our without Just Cause
within its sole discretion.  This Agreement shall not be deemed to give
Executive any right to be retained in the employment or service of the Bank, or
to interfere with the right of the Bank to terminate the employment of the
Executive at any time.  The Executive shall have no right to receive
compensation or other benefits for any period after termination for Just Cause.
Termination for "Just Cause" shall include termination because of the
Executive's personal dishonesty, incompetence, willful misconduct, breach of
fiduciary duty involving personal profit, intentional failure to perform stated
duties, willful violation of any law, rule or

                                       2
<PAGE>

regulation (other than traffic violations or similar offenses) or final cease-
and-desist order, or material breach of any provision of the Agreement.

     5.   Regulatory Exclusions.
          ---------------------

     (a)  If the Executive is removed and/or permanently prohibited from
participating in the conduct of the Bank's affairs by an order issued under
Sections 8(e)(4) and 8(g)(1) of the Federal Deposit Insurance Act ("FDIA") (12
U.S.C. 1818(e)(4) and (g)(1)), all obligations of the Bank under this Agreement
shall terminate, as of the effective date of the order, but the vested rights of
the contracting parties shall not be affected.

     (b)  If the Bank is in default (as defined in Section 3(x)(1) of FDIA) all
obligations under this Agreement shall terminate as of the date of default, but
this paragraph shall not affect any vested rights of the contracting parties.

     (c)  All obligations under this Agreement shall be terminated, except to
the extent determined that continuation of this Agreement is necessary for the
continued operation of the Bank: (i) by the Director of the Office of Thrift
Supervision ("Director of OTS"), or his or her designee, at the time that the
Federal Deposit Insurance Corporation ("FDIC") enters into an agreement to
provide assistance to or on behalf of the Bank under the authority contained in
Section 13(c) of FDIA; or (ii) by the Director of the OTS, or his or her
designee, at the time that the Director of the OTS, or his or her designee
approves a supervisory merger to resolve problems related to operation of the
Bank or when the Bank is determined by the Director of the OTS to be in an
unsafe or unsound condition. Any rights of the parties that have already vested,
however, shall not be affected by such action.

     (d)  If the Executive is suspended and/or temporarily prohibited from
participating in the conduct of the Bank's affairs by a notice served under
Section 8(e)(3) or (g)(1) of the FDIA (12U.S.C. 1818(e)(3) and (g)(1)), the
Bank's obligations under the Agreement shall be suspended as of the date of
service, unless stayed by appropriate proceedings.  If the charges in the notice
are dismissed, the Bank may within its discretion (i) pay the Executive all or
part of the compensation withheld while its contract obligations were suspended
and (ii) reinstate (in whole or in part) any of its obligations which were
suspended.

     (e)  Notwithstanding anything herein to the contrary, any payments made to
the Executive pursuant to the Agreement, or otherwise, shall be subject to and
conditioned upon compliance with 12 U.S.C. (S)1828(k) and any regulations
promulgated thereunder.

     6.   Successors and Assigns.
          ----------------------

     (a)  This Agreement shall inure to the benefit of and be binding upon any
corporate or other successor of the Bank which shall acquire, directly or
indirectly, by merger, consolidation, purchase or otherwise, all or
substantially all of the assets or stock of the Bank or Parent.

                                       3
<PAGE>

     (b)  the Executive shall be precluded from assigning or delegating his
rights or duties hereunder without first obtaining the written consent of the
Bank.

     7.   Amendments.  No amendments or additions to this Agreement shall be
          ----------
binding upon the parties hereto unless made in writing and signed by both
parties, except as herein otherwise specifically provided.

     8.   Applicable Law.  This Agreement shall be governed by all respects
          --------------
whether as to validity, construction, capacity, performance or otherwise, by the
laws of the State of Missouri, except to the extent that Federal law shall be
deemed to apply.

     9.   Severability.  The provisions of this Agreement shall be deemed
          ------------
severable and the invalidity or unenforceability of any provision shall not
affect the validity or enforceability of the other provisions hereof.

     10.  Arbitration.  Any controversy or claim arising out of or relating to
          -----------
this Agreement, or the breach thereof, shall be settled by arbitration in
accordance with the rules then in effect of the district office of the American
Arbitration Association ("AAA") nearest to the home office of the Bank, and
judgment upon the award rendered may be entered in any court having jurisdiction
thereof, except to the extent that the parties may otherwise reach a mutual
settlement of such issue.  Further, the settlement of the dispute to be approved
by the Board of the Bank may include a provision for the reimbursement by the
Bank to the Executive for all reasonable costs and expenses, including
reasonable attorneys' fees, arising from such dispute, proceedings or actions,
or the Board of the Bank or the Parent may authorize such reimbursement of such
reasonable costs and expenses by separate action upon a written action and
determination of the Board following settlement of the dispute.  Such
reimbursement shall be paid within ten (10) days of Executive furnishing to the
Bank or Parent evidence, which may be in the form, among other things, of a
canceled check or receipt, of any costs or expenses incurred by Executive.

     11.  Confidential Information.  The Executive acknowledges that during his
          ------------------------
or her employment he or she will learn and have access to confidential
information regarding the Bank and the Parent and its customers and businesses
("Confidential Information").  The Executive agrees and covenants not to
disclose or use for his or her own benefit, or the benefit of any other person
or entity, any such Confidential Information, unless or until the Bank or the
Parent consents to such disclosure or use or such information becomes common
knowledge in the industry or is otherwise legally in the public domain.  The
Executive shall not knowingly disclose or reveal to any unauthorized person any
Confidential Information relating to the Bank, the Parent, or any subsidiaries
or affiliates, or to any of the businesses operated by them, and the Executive
confirms that such information constitutes the exclusive property of the Bank
and the Parent.  The Executive shall not otherwise knowingly act or conduct
himself (a) to the material detriment of the Bank or the Parent, or its
subsidiaries, or affiliates, or (b) in a manner which is inimical or contrary to
the interests of the Bank or the Parent.  Executive acknowledges and agrees that
the existence of this Agreement and its terms and conditions constitutes
Confidential Information of the Bank, and the Executive agrees not to disclose
the Agreement or its

                                       4
<PAGE>

contents without the prior written consent of the Bank. Notwithstanding the
foregoing, the Bank reserves the right in its sole discretion to make disclosure
of this Agreement as it deems necessary or appropriate in compliance with its
regulatory reporting requirements. Notwithstanding anything herein to the
contrary, failure by the Executive to comply with the provisions of this Section
may result in the immediate termination of the Agreement within the sole
discretion of the Bank, disciplinary action against the Executive taken by the
Bank, including but not limited to the termination of employment of the
Executive for breach of the Agreement and the provisions of this Section, and
other remedies that may be available in law or in equity.

     12.  Entire Agreement.  This Agreement together with any understanding or
          ----------------
modifications thereof as agreed to in writing by the parties, shall constitute
the entire agreement between the parties hereto.  This Agreement supercedes any
prior written Employment Agreement or Severance Agreements between the Executive
and the Bank or the Parent.

     IN WITNESS WHEREOF, the parties have executed this Agreement on the day and
first hereinabove written.

                                   Guaranty Federal Savings Bank
                                   By /s/ Jack L Barham

ATTEST:
/s/ E. Lorene Thomas
Secretary

WITNESS:
/s/ Bruce Winston                  /s/ James E. Haseltine
                                   Executive

In addition to the employment agreement with Mr. Haseltine, Guaranty Federal
Savings Bank entered into identical employment agreements as of the same date
with the following nine employees of the bank:  William Williams, Bruce Winston,
Kevin Bell, Larry Cruzan, Dana Elwell, Jerry Graham, Carla Green, Tom Howard,
and Lorene Thomas.  These additional contracts provide for the payment of two
times the employee's "base amount" (as defined in 26 U.S.C. Section 280G(b)(3))
in the event of a change in control.

                                       5

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00015-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00015-of-00352.parquet"}]]