Document:

EXHIBIT 10.1

 

 

  

 

	Peter Chakoutis	March 24, 2020
	7 Heron Lane 	 
	Hopedale, MA 01747	 

  

Dear Peter,

 

I am pleased to make you an offer of employment for the position
of Vice President of Finance at Biostage, Inc. (the “Company”). This position will report directly to the Chairman
of the Board of Directors (the “Board”) as well as its Audit Committee, and to the extent determined by the
Chairman of the Board or any chief executive officer or chief financial officer that the Company may hire during your employment.
Until otherwise determined by the Board, you will be the principal accounting and principal financial officer of the company and
assist with the financial reporting activities of the Company and other customary duties as may be requested by the Chairman of
the Board or its Audit Committee. Your start date will be deemed to have been February 24, 2020. Your weekly salary will be $5,500
through May 15th, and thereafter $5,000, and you will be paid every two weeks as earned (the $5,000 amount represents
yearly equivalent of $260,000). Please note that all Company employees are required to have their bi-weekly pays direct-deposited.
This position will also be benefits eligible, if elected.

 

While it is anticipated that your employment will continue through
June 30, 2020, which such period may be extended for up to an additional six months if mutually agreed upon by you and the Company,
your employment is considered “at will”; both you and the Company have the right to terminate your employment at any
time and for any reason. This letter does not constitute, and shall not be construed as, creating a contract or promise of employment
for any set period of time. If your employment in accordance herewith is terminated for anything other than for Cause (as defined
below) or death, you will be entitled to receive the compensation described above paid on a monthly basis through June 30, 2020.

 

For purposes of this offer letter, “Cause” shall
mean: (A) conduct by you constituting a material act of willful misconduct in connection with the performance of your duties,
including, without limitation, misappropriation of funds or property of the Company or any of its affiliates other than the occasional,
customary and de minimis use of Company property for personal purposes; (B) criminal or civil conviction of you, a plea of
nolo contendere by you or conduct by you that would reasonably be expected to result in material injury to the reputation of the
Company if you were retained in your position with the Company, including, without limitation, conviction of a felony involving
moral turpitude; (C) continued, willful and deliberate non-performance by you of your duties hereunder (other than by reason
of your physical or mental illness, incapacity or disability) which has continued for more than five (5) days following written
notice of such non-performance from the Board; (D) a breach by you of any of the provisions contained in your Non-Competition,
Non-Solicitation and Proprietary Rights Agreement; or (E) a material violation by you of the Company’s employment policies
which has continued for more than five (5) days following written notice of such violation from the Board.

 

Upon the complete execution of this offer letter by both parties,
the Company agrees that so long as you are in compliance herewith and the Company’s policies, plans and practices governing
the terms and conditions of your employment, and you are not terminated for Cause and do not voluntarily leave prior to completion
of all of the filings described in clauses a-c below in relation to stock awards, the Company will not challenge any application
you may make with respect to unemployment benefits following termination hereof.

 

    	 	 	 

     

    

 

 

 

 

By signing below, you acknowledge that the Non-Competition,
Non-Solicitation and Proprietary Rights Agreement you had previously executed with respect to your recent employment remains in
full force and effect.

 

I am also pleased to inform you that you will be eligible to
receive equity award grants under the Company’s Equity Incentive Plan as follows:

 

Stock Awards:

		a.	15,000 shares of common stock upon filing of the requisite Annual Report on Form 10-K and related certifications on or before
the deadline of March 30, 2020;

		b.	10,000 shares of common stock upon filing of the requisite Definitive Proxy Statement for the Company’s 2020 annual meeting
of stockholders (or applicable Form 10-K/A) containing the required Form 10-K Part III disclosures prior to the deadline of April
29, 2020; and

		c.	10,000 shares of common stock upon filing of the requisite Quarterly Report on Form 10-Q for the quarter ended March 31, 2020
on or before the deadline of May 15, 2020.

 

Stock Options: Subject to the execution of the customary option
grant agreement and continued employment at the time of vesting as provided in such agreement, a non-qualified option to acquire
40,000 shares of common stock, with exercise price set in accordance with the Equity Incentive Plan being the market price as of
the date of grant and a term of 10 years, and which such option shall vest as follows:

		a.	Twenty-five percent (25%) (10,000) upon filing of the requisite Quarterly Report on Form 10-Q for the quarter ended March 31,
2020 on or before the deadline of May 15, 2020; and

		b.	The remaining seventy-five percent (75%) to vest in twelve (12) equal quarterly increments (2,500 each) on the first day of
each calendar quarter starting with the first calendar quarter following the timely filing of the Form 10-Q referenced above.

 

Please note that all compensation, including the cash payments
and any stock grants described above, will be subject to applicable withholding requirements. Please refer to the Company’s
policies, plans and practices for more details on the terms and conditions of your employment.

 

Please note this offer is contingent on a review of the results
of a background check and a drug screen.

 

Please acknowledge your acceptance of this offer of employment
by signing and returning a copy of this letter to me.

 

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blank

 

    	 	 	 

     

    

 

 

 

 

	Sincerely,	 
	 	 	 
	BIOSTAGE, INC.	 
	 	 	 
	 	 	 
	By:	/s/ Hong Yu	 
	Name:	Hong Yu	 
	Title:    	President	 
	 	 	 
	Receipt Acknowledged and Terms Agreed to:
	 	 	 
	/s/ Peter Chakoutis	 
	Name:  Peter ChakoutisExhibit 4.6

    

    

    DESCRIPTION OF THE REGISTRANT’S SECURITIES

    REGISTERED PURSUANT TO SECTION 12 OF THE SECURITIES

    EXCHANGE ACT OF 1934

    

    

    RiceBran Technologies (“RBT,” “we,” “our,” or “us”) has one class of securities registered under Section 12 of the Securities
      Exchange Act of 1934, as amended: our common stock.

    

    

    DESCRIPTION OF CAPITAL STOCK

    

    

    The following summary of the terms of our capital stock is based upon
        our articles of incorporation (as amended, the “Articles of Incorporation”) and our bylaws (as amended, the “Bylaws”). The summary is not complete, and is qualified by reference to our Articles of Incorporation and our Bylaws, which are filed as exhibits to this Annual Report on Form 10-K and are incorporated by reference herein. We encourage you to read our Articles of Incorporation, our Bylaws
        and the applicable provisions of the California Corporations Code for additional information.

    

    

    
      Our authorized capital stock consists of 50,000,000 shares of common stock, no par value, and 20,000,000 shares of Preferred Stock, no par value, of
        which 3,000,000 shares are designated Series A Preferred Stock, 25,000 shares are designated Series B Preferred Stock, 25,000 shares are designated Series C Preferred Stock, 10,000 shares are designated Series D Preferred Stock, 2,743 shares are
        designated Series E Preferred Stock, 3,000 are designated as Series F Preferred Stock and 3,000 are designated as Series G Preferred Stock. As of March 24, 2020, there were 40,074,483 shares of common stock outstanding and 225 shares of Series G
        Preferred Stock outstanding.  No other capital stock was outstanding as of March 24, 2020.

    

    
      

      

    

    
      Common Stock

      

      

      Subject to any preferential dividend rights granted to the holders of any shares of preferred stock that may be outstanding, the holders of our common
        stock are entitled to receive ratably dividends when, as, and if declared by our board of directors out of funds legally available therefor. Upon our liquidation, dissolution, or winding up, the holders of our common stock are entitled to receive
        ratably the net assets available after the payment of all debts and other liabilities and subject to the prior rights of any outstanding shares of preferred stock.

      

      

      The holders of our common stock are entitled to one vote for each share held on all matters submitted to a vote of our shareholders. Pursuant to our
        Bylaws, shareholders do not have the right to vote cumulatively. Holders of our common stock have no preemptive, subscription, or redemption rights. The outstanding shares of our common stock are fully paid and nonassessable.  The rights and
        privileges of holders of our common stock are subject to, and may be adversely affected by, the rights of holders of shares of preferred stock that we may designate and issue in the future.

      

      

      Preferred Stock

      

      

      Our board of directors is authorized to issue preferred stock in one or more series and to fix the rights, preferences, privileges, qualifications,
        limitations and restrictions thereof, including dividend rights and rates, conversion rights, voting rights, terms of redemption, redemption prices, liquidation preferences and the number of shares constituting any series or the designation of such
        series, without any vote or action by our shareholders. Any preferred stock to be issued could rank prior to our common stock with respect to dividend rights and rights on liquidation. Our board of directors, without shareholder approval, may issue
        preferred stock with voting and conversion rights which could adversely affect the voting power of holders of our common stock and discourage, delay or prevent a change in control of RBT.

      

      

      
        
          

      

      Series G Preferred Stock

      

      

      We have authorized a total of 3,000,000 shares of Series G Preferred Stock, 225 of which
          are issued and outstanding as of March 24, 2020. The Series G Preferred Stock is non-voting and may be converted into shares of our common stock at the holders’ election at any time, subject to certain beneficial ownership limitations, at
        a ratio of 1 share of Series G Preferred Stock for 948.9915 shares of common stock.  The Series G Preferred Stock is entitled to receive dividends if we pay dividends on our common stock, in which case the holders of Series G Preferred Stock are
        entitled to receive the amount and form of dividends that they would have received if they held the common stock that is issuable upon conversion of the Series G Preferred Stock.  If we are liquidated or dissolved, the holders of Series G Preferred
        Stock are entitled to receive, before any amounts are paid in respect of our common stock, an amount per share of Series G Preferred Stock equal to $1,000, plus any accrued but unpaid dividends thereon.

      

      

    

    Listing

    

    

    Our common stock is listed and principally traded on The Nasdaq Stock Market LLC under the symbol “RIBT.”

    
      

      

      Transfer Agent

       

      American Stock Transfer & Trust Company, New York, New York, serves as transfer agent for the shares of common stock.

    

    
      

      

    

    Certain Anti-Takeover Effects

    

    

    Certain provisions of our Articles of Incorporation and Bylaws may be deemed to have an anti-takeover effect.

    

    

    Advance Notice Requirements for Shareholder Proposals and Director
        Nominations. Our Bylaws provide advance notice procedures for shareholders seeking to bring business before our annual meeting of shareholders or to nominate candidates for election as directors at our annual meeting of shareholders and
      specify certain requirements regarding the form and content of a shareholder’s notice. These provisions might preclude our shareholders from bringing matters before our annual meeting of shareholders or from making nominations for directors at our
      annual meeting of shareholders if the proper procedures are not followed.

    

    

    Additional Authorized Shares of Capital Stock. The additional
      shares of authorized common stock and preferred stock available for issuance under our Articles of Incorporation could be issued at such times, under such circumstances and with such terms and conditions as to impede a change in control.

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