Document:

Exhibit 10.2

 

FIFTH AMENDMENT

TO

NOTE AND WARRANT PURCHASE AGREEMENT

 

THIS FIFTH AMENDMENT TO NOTE AND
WARRANT PURCHASE AGREEMENT (this
“Amendment”) is made and entered into as of October 28, 2010 by and
between TECHNISCAN, INC., (the “Issuer”)
and BIOTEX PHARMA INVESTMENTS, LLC (the “Lead
Investor”).

 

R E C I T A L S:

 

WHEREAS, the Issuer and the Lead Investor desire to revise that
certain Note and Warrant Purchase Agreement dated March 30, 2010 entered
into by and among the Issuer, the Lead Investor, and the other investors listed
on Exhibit A thereto, as amended pursuant to that certain Amendment to
Note and Warrant Purchase Agreement dated as of May 19, 2010, that certain
Second Amendment to Note and Warrant Purchase Agreement dated as of September 30,
2010, that certain Third Amendment to Note and Warrant Purchase Agreement dated
as of October 5, 2010, and that certain Fourth Amendment to Note and
Warrant Purchase Agreement dated as of October 13, 2010 (collectively, the
“Agreement”).

 

NOW, THEREFORE, in consideration of the foregoing and the mutual benefits
to be derived from this Amendment, the parties hereto hereby agree as follows:

 

1.            Amendment
of the Agreement.  Pursuant to Section 7.3
of the Agreement, Section 3.2 of the Agreement is hereby amended as
follows:

 

The date October 31, 2010
shall be deleted and replaced with “the Convertibility Date (as defined in the
First Lien Notes)”

 

2.             Issuance
of Certain Additional Equity Securities. 
Issuer hereby agrees to issue to the holders of the First Lien Notes and
the Second Lien Notes (collectively, the “Notes”) on the date of this
Amendment in connection with the extension of the Maturity Date (as defined in
the Notes) to January 31, 2011, in proportion to the principal amounts of
the Notes held by them, an aggregate of (a) 275,000 restricted shares of
common stock of the Issuer, which shall be subject to a customary underwriter
lock-up in agreed form until the earlier of the Maturity Date or, if a
registered offering of equity securities of the Issuer is completed prior to
the Maturity Date, the 6-month anniversary of the closing of such registered
equity offering, and (b) warrants to purchase an aggregate number of
shares of common stock of the Issuer equal to the outstanding principal sum
under the respective Notes divided by the Warrant Price (as defined in Warrant
#W-001 in the name of the Lead Investor) on the date hereof, which Warrant(s) shall
be exercisable for five years from the date of issuance and shall otherwise be
in the same form as Warrant #W-001 of the Issuer.

 

3.             Reimbursement
of Certain Expenses.  Issuer agrees
to reimburse the Lead Investor on the Convertibility Date (as defined in the
Notes) for up to $17,500 in out-of-pocket expenses (including fees and
disbursements of counsel to the Lead Investor) incurred in connection with
negotiations related to the extension of the Maturity Date of the Notes and
related transactions. and the documentation thereof, upon substantiation by the
Lead Investor of the expenses so incurred.

 

4.             Waiver
of Warrant Price Adjustment. 
Pursuant to Section 11 of each warrant issued in connection with
the Agreement, Lead Investor hereby waives any and all rights any holder of
such warrant(s) has or may have under Section 4(vi) thereof
based on the issuance by the Issuer of the shares of common stock described in Section 2

 

 

of this Amendment in connection with
the extension of the Maturity Date (as defined in the Notes) to January 31,
2011, April 15, 2011, or such later date as agreed upon by the Issuer and
holders of the Notes.

 

5.            Continued
Effect of the Agreement.  All
provisions of the Agreement, except as modified by this Amendment, shall remain
in full force and effect and are reaffirmed. 
Other than as stated in this Amendment, this Amendment shall not operate
as a waiver of any condition or obligation imposed on the parties under the
Agreement.

 

6.            Interpretation
of Amendment.  In the event of any
conflict, inconsistency, or incongruity between any provision of this Amendment
and any provision of the Agreement, the provisions of this Amendment shall
govern and control.

 

7.             Counterparts.  This Amendment may be executed in any number
of counterparts, each of which shall be deemed an original, and all of which
together shall constitute one and the same agreement.  A facsimile or e-mailed “.pdf” data file copy
of an original written signature shall be deemed to have the same effect as an
original written signature.

 

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

 

	
  TECHNISCAN, INC.

  	
   

  	
  BIOTEX PHARMA INVESTMENTS, LLC

  
	
   

  	
   

  	
   

  
	
  By:

  	
  /s/ David C. Robinson

  	
   

  	
   

  	
  By:

  	
  /s/ Robert Kessler

  
	
  David C. Robinson

  	
   

  	
   

  	
  Robert Kessler

  
	
  Chief Executive Officer

  	
   

  	
   

  	
  MemberExhibit 10.3

 

FORM OF AMENDMENT

TO

SENIOR SECURED CONVERTIBLE PROMISSORY NOTE

TO FIRST LIEN HOLDERS

 

THIS
              
AMENDMENT TO SENIOR SECURED CONVERTIBLE PROMISSORY NOTE (this “Amendment”) is made and entered into as of October 28,
2010 by and among TECHNISCAN, INC.,
(the “Maker”) and                                         
(together with its successors and assigns, “Payee”).

 

R E C I T A L S:

 

WHEREAS,
the Maker and the Payee desire to revise that certain Senior Secured
Convertible Promissory Note dated March 30, 2010 entered into by and
between the Maker and the Payee, as amended by that certain Amendment to Senior
Secured Convertible Promissory Note dated as of May 10, 2010, that certain
Second Amendment to Senior Secured Convertible Promissory Note dated as of September 30,
2010, that certain Third Amendment to Senior Secured Convertible Promissory
Note dated as of October 5, 2010, and that certain Fourth Amendment to
Senior Secured Convertible Promissory Note dated as of October 13, 2010
(collectively, the “Note”).

 

NOW, THEREFORE, in consideration of the foregoing and the mutual benefits
to be derived from this Amendment, including pursuant to Section 2 below,
the parties hereto hereby agree as follows:

 

1.            Amendment
of the Note.  Pursuant to Section 11 of the Note:

 

(a)  Section 3
of the Note is deleted in its entirety and replaced with the following:

 

Any outstanding principal balance
and accrued unpaid interest shall be paid to Payee in full no later than January 31,
2011; provided, however, at any time prior to January 31,
2011, Payee may at its sole option (and shall, upon the timely exercise and
consummation by TMS Capital Holdings LLC (“TMS”) of the option contained
in Section 2.01(c) of the Participation Agreement dated as of October 28,
2010 between TMS and Payee) elect, by written notice to Maker, that any
outstanding principal balance of and all accrued and unpaid interest on this
Note shall be paid to Payee in full no later than April 15, 2011, and if
Payee makes such election the Maker (a) shall issue and deliver to or as
directed by Payee 10,000 shares of Common Stock, as evidenced by a stock
certificate(s) in the name or names specified by Payee representing such
shares, having the same restrictions on sale or transfer as the 10,000 shares
of Common Stock issued to Payee on or about October 28, 2010 and (b) shall
issue and deliver to or as directed by Payee a Warrant(s) to purchase an
aggregate number of shares of Common Stock equal to the then outstanding
principal sum under this Note divided by the then current Warrant Price (as
defined in Warrant #W-002 in the name of Payee), which Warrant(s) shall be
exercisable for five years from the date of issuance and shall otherwise be in
the same form as Warrant #W-002.  The
date on which principal and interest becomes due in accordance with this Section 3
is referred to herein as the “Maturity Date”.

 

(b)  Section 4(a) of
the Note is deleted in its entirety and replaced with the following:

 

In connection with the closing of
a Qualified Financing (as defined below), Maker may at its option offer Payee
in writing, at least five business days prior to such closing, the opportunity
to elect, by written notice to Maker within two business days thereafter, to 

 

 

convert all or a portion of the
Note into QF Securities (as defined below) at the same price and on the same
terms as other investors in the Qualified Financing. If for any reason Payee
does not timely elect to convert into QF Securities or if for any reason Maker
fails to timely offer Payee the opportunity to convert, Maker shall within five
business days of the closing of such Qualified Financing prepay the principal
of and all accrued and unpaid interest on this Note (the “Payoff Amount”).
Payee has no right to convert this Note into other securities of Maker prior to
the Maturity Date unless Maker has consummated a Qualified Financing and failed
to pay the Payoff Amount in full within five business days following the
closing of such Qualified Financing.  If
the Payoff Amount or any portion thereof is outstanding on the earlier of the
sixth business day following the closing of a Qualified Financing and the day
following the Maturity Date (the earlier of such dates being referred to herein
as the “Convertibility Date “), Payee may, at its sole option, convert
the principal amount of this Note and accrued and unpaid interest thereon (the “Convertible
Amount”) in whole or in part into (i) if a Qualified Financing has
been consummated (whether before or after the Maturity Date), QF Securities at
the same price and on the same terms as other investors in the Qualified
Financing, (ii) whether or not a Qualified Financing has been consummated,
Shares, as provided in paragraph (b) below, or (iii) whether or not a
Qualified Financing has been consummated, as provided in paragraph (c) below.
For purposes herein, a “Qualified Financing” shall mean the sale by
Maker of either Shares and/or other securities that are convertible into or
exercisable for Shares (collectively, “QF Securities”) for cash for investment
purposes, pursuant to which Maker receives gross proceeds (subject only to
customary selling commissions and transaction expenses) of not less than FIVE
MILLION DOLLARS ($5,000,000) in one or more closings.  For the avoidance of doubt, if Payee elects
to convert any portion of the Convertible Amount pursuant to clause (i) above,
Payee shall be entitled to receive the number and type of QF Securities as
would be received in exchange for a cash investment in the Qualified Financing
equal to the Convertible Amount and shall be entitled to retain the warrants
being acquired by Payee pursuant to the Purchase Agreement.  Maker shall deliver to Payee the applicable
number and type of QF Securities within three Trading Days of receipt of Payee’s
election to convert into QF Securities as provided above. No fractional QF
Securities will be issued in connection with any conversion of the Conversion
Amount, but instead will be rounded up to the nearest whole QF Security.  The date notice of conversion of all or any
portion of the Note is given by Payee to Maker (pursuant to this Section 4(a) or
as elsewhere provided in the Note) is referred to as the “Conversion Date”.

 

(c)          Section 4(b) of the Note is hereby amended by
adding the following phrase at the beginning:

 

Beginning on the Convertibility
Date,

 

(d)  Section 4(c) of
the Note is hereby amended by deleting the words “Beginning on
the day following the Maturity Date” in the first line thereof and
substituting therefore the words “Beginning on the
Convertibility Date”.

 

(e) 
Sections 6(b)(iv)(B) and (C) of the Note are hereby amended as
follows:

 

The date October 31, 2010
shall be deleted and replaced with” the Convertibility Date”

 

 

(c)  Section 6(b)(v) of
the Note is deleted in its entirety and replaced with the following:

 

the Registration Statement fails
to become effective for any reason prior to the Convertibility Date;

 

2.             Waiver
of Conversion Price Adjustment.  Payee hereby waives any and all rights Payee
has or may have under Section 5(vi) of the Note based on the issuance
by the Maker of shares of common stock described in Section 3 of the Note
in connection with the extension of the Maturity Date (as defined in the Note)
to January 31, 2011, April 15, 2011, or such later date as agreed
upon by the Maker and Payee.

 

3.             Continued
Effect of the Note.  All provisions of the Note, except as
modified by this Amendment, shall remain in full force and effect and are
reaffirmed.  Other than as stated in this
Amendment, this Amendment shall not operate as a waiver of any condition or
obligation imposed on the parties under the Note.

 

4.            Interpretation
of Amendment.  In the event of any conflict, inconsistency,
or incongruity between any provision of this Amendment and any provision of the
Note, the provisions of this Amendment shall govern and control.

 

5.             Counterparts.  This Amendment may be executed in any number
of counterparts, each of which shall be deemed an original, and all of which
together shall constitute one and the same agreement.  A facsimile or e-mailed “.pdf” data file copy
of an original written signature shall be deemed to have the same effect as an
original written signature.

 

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

 

	
  TECHNISCAN, INC.

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
  By:

  	
  /s/ David C. Robinson

  	
   

  	
  By:

  	
   

  
	
   

  	
  David C. Robinson

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Chief Executive Officer

  	
   

  	
  Name:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00180-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00180-of-00352.parquet"}]]