Document:

EXHIBIT
10.3

     

    THE
SECURITIES REPRESENTED BY THIS INSTRUMENT HAVE NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933, AS AMENDED, OR THE SECURITIES LAWS OF ANY STATE AND MAY
NOT BE TRANSFERRED, SOLD OR OTHERWISE DISPOSED OF EXCEPT WHILE A REGISTRATION
STATEMENT RELATING THERETO IS IN EFFECT UNDER SUCH ACT AND APPLICABLE STATE
SECURITIES LAWS OR PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER SUCH ACT OR
SUCH LAWS.

     

    WARRANT

    

    to
purchase shares of

    

    Common
Stock

    

    of

    

    Theatre
Direct NY, Inc.

    a
Delaware corporation

    

    Issue
Date:  December 15, 2010

     

    1.           Definitions.  As
used herein the following capitalized terms shall have the meanings indicated
below.

     

    “Affiliate” means, with
respect to any Person, any other Person that, directly or indirectly through one
or more intermediaries, controls, or is controlled by, or is under common
control with, such Person, and the term “control” (including the terms
“controlled by” and “under common control with”) means the possession, directly
or indirectly, of the power to direct or cause the direction of the management
and policies of such Person, whether through ownership of voting securities, by
contract or otherwise.

     

    “Board of Directors” means the
board of directors of the Corporation, including, if applicable, any duly
authorized committee thereof.

     

    “Business Day” means any day
of the year on which national banking institutions in New York are open to the
public for conducting business and are not required or authorized to
close.

     

    “Change of Control” means any
transaction or series of related transactions, whether or not the Corporation is
a party thereto, in which, after giving effect to such transaction or
transactions, the outstanding Corporation Securities (on an as-converted or
as-exercised basis) then representing in excess of fifty percent (50%) of the
voting power or economic rights of the Corporation are owned directly by any
“person” or “group” (as such terms are used in Section 13(d) of the Exchange
Act) of Persons, other than KBE and/or any of its Affiliates (including any
wholly-owned subsidiary of KBE).

    
      
         

      

      
        1

        
          

        

      

      
         

      

    

    “Common Stock” means the
Corporation’s authorized shares of common stock, par value $0.01 per share, and
any stock into which such common stock may hereafter be converted, changed or
reclassified.

     

    “Common Stock Equivalents”
means, without duplication, any security of the Corporation that is convertible
into, exercisable or exchangeable for, or options, warrants or other rights to
acquire, directly or indirectly, Common Stock, whether at the time of issuance
or upon the passage of time or the occurrence of some future event.

     

    “Corporation” means Theatre
Direct NY, Inc., a Delaware corporation and any of its successors.

     

    “Corporation Securities” means
the Common Stock and/or Common Stock Equivalents, as applicable.

     

    “Conversion Event” shall mean
(A) any direct or indirect, whether occurring in any transaction or a series of
related transactions, (i) sale, lease, license, exchange or other
disposition of an or substantially all of the assets of the Corporation and its
subsidiaries taken as a whole (including securities of the Corporation’s
directly or indirectly owned subsidiaries), or (ii) merger, consolidation, share
purchase, share exchange, business combination or recapitalization, tender or
exchange offer or other similar transaction involving the Corporation or any of
its subsidiaries (other than solely among or between the Corporation and any of
its subsidiaries), in which the Corporation is not the continuing or surviving
entity, in which the stockholders of the Corporation immediately prior to such
transaction or transactions do not hold at least 50% of the voting power of the
continuing or surviving entity immediately after such transaction or
transactions, or pursuant to which Corporation Securities would be converted to
cash, securities or other property, (B) any public offering of the Common Stock
or any other equity securities of the Corporation or any of its successors, (C)
any Change of Control or (D) any liquidation, dissolution or winding up of the
Corporation.

     

    “Economic Affiliate” means any
Person of which KBE and/or any stockholder of KBE owns or is the beneficiary of,
directly or indirectly through one or more intermediaries, 50% or more of the
economic interests, income, profits, distributions or other similar rights or
payments, whether through ownership of equity interests, by contract or
otherwise.  "Economic Affiliate" also means any Person which owes to
KBE and/or any stockholder of KBE, directly or indirectly through one or more
intermediaries, indebtedness in an amount (including any interest, premium or
other payments) that represents more than 50% of the total enterprise value of
such Person.

     

    “Exchange Act” means the
Securities Exchange Act of 1934, as amended, or any successor statute, and the
rules and regulations promulgated thereunder.

     

    “Exercise Price” means $0.01
per share of Common Stock.

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

    “Governmental Body” means any
government or governmental or regulatory body thereof, or political subdivision
thereof, whether federal, state, local or foreign, or any agency,
instrumentality or authority thereof, or any court or arbitrator (public or
private).

     

    “Issue Date” means December
15, 2010.

     

    “KBE” means Key Brand
Entertainment, Inc.

     

    “KBE Group” means KBE or any
of its direct or indirect stockholders.

     

    “Person” means any individual,
corporation, partnership, limited liability company, firm, joint venture,
association, joint-stock company, trust, unincorporated organization,
Governmental Body or other entity.

     

    “Preferred Stock” means any
authorized class or series of capital stock of the Corporation which has any
rights, privileges or preferences with respect to dividends or other
distributions or upon liquidation or any deemed liquidation that are senior to
the Common Stock.

     

    “Preferred Stock Investment
Amount” means the total cash consideration actually paid to the
Corporation by any Person for the sale or issuance by the Corporation of any
Preferred Stock to such Person.

     

    “Purchase Agreement” means
that certain Stock Purchase Agreement, dated as of December 22, 2009, as may be
amended from time to time, between the Corporation and the Warrantholder,
including all schedules and exhibits thereto.

     

    “Regulatory Approvals” with
respect to the Warrantholder, means, to the extent applicable and required to
permit the Warrantholder to exercise this Warrant for the Shares and to own such
Shares without the Warrantholder being in violation of any applicable law, rule
or regulation, the receipt of any necessary approvals and authorizations of,
filings and registrations with, or notifications to any Governmental Body,
including the expiration or termination of any applicable waiting period under,
the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, and the
rules and regulations thereunder.

     

    “SEC” means the U.S.
Securities and Exchange Commission.

     

    “Securities Act” means the
Securities Act of 1933, as amended, or any successor statute, and the rules and
regulations promulgated thereunder.

     

    “Warrant” means this Warrant
as it may be amended, modified or replaced from time to time.

     

    2.           Number of Shares; Exercise
Price.  This certifies that, for value received, HOLLYWOOD
MEDIA CORP. (together with its successors and assigns, the “Warrantholder”) is entitled,
upon the terms and subject to the conditions hereinafter set forth, to acquire
from the Corporation 5.25 shares of Common Stock (the “Shares”), at a purchase price
per share equal to the Exercise Price.  The number of Shares and the
Exercise Price are subject to adjustment as provided herein, and all references
to “Shares” and “Exercise Price” herein shall be deemed to include any such
adjustment or series of adjustments.

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

    3.           Conversion Event; Exercise
of Warrant.  This Warrant shall only be exercisable if a
Conversion Event occurs and shall only be exercised in whole not in part. The
Corporation shall notify the Warrantholder of any Conversion Event, as promptly
as practicable and in any event at least ten (10) Business Days prior to the
consummation of such Conversion Event, which notice shall contain the material
terms and conditions of such Conversion Event and the confirmation of the
Warrantholder’s rights under this Section 3.  The right to purchase
the Shares represented by this Warrant shall be exercisable, in whole and not in
part, by the Warrantholder in connection with and subject to the consummation or
occurrence of any Conversion Event by (A) the surrender of this Warrant and
delivery of the Notice of Exercise annexed hereto at the principal executive
office of the Corporation located at 1619 Broadway, 9th Floor, New York, NY
10019 (or such other office or agency of the Corporation in the United States as
it may designate by notice in writing to the Warrantholder), and (B) payment of
the Exercise Price for the Shares at the election of the Warrantholder by
tendering in cash, by certified or cashier’s check payable to the order of the
Corporation, or by wire transfer of immediately available funds to an account
designated by the Corporation.

     

    4.           
Issuance of Shares;
Authorization; Listing.  If this Warrant has been duly
exercised in accordance with the terms of this Warrant, certificates for Shares
issuable upon exercise of this Warrant will be issued in such name or names as
the Warrantholder may designate and will be delivered to such named Person or
Persons no later than three (3) Business Days after the date on which this
Warrant has been duly exercised in accordance with the terms of this Warrant;
provided, however, if the Shares are converted into cash, securities or other
property pursuant to the Conversion Event resulting in the exercise hereof, then
the Shares shall not be issued and this Warrant shall entitle the holder thereof
to receive the cash, securities and/or other property payable for the Shares
issuable upon exercise of this Warrant. The Corporation agrees that the Shares
so issued will be deemed to have been issued to the Warrantholder as of the
close of business on the date on which this Warrant and payment of the Exercise
Price are delivered to the Corporation in accordance with the terms of this
Warrant, notwithstanding that the stock transfer books of the Corporation may
then be closed or certificates representing such Shares may not be actually
delivered on such date.  The Corporation hereby represents and
warrants that the Shares issuable upon the exercise of this Warrant in
accordance with the provisions of Section 3 when issued will be duly and validly
authorized and issued, fully paid and nonassessable and free from all taxes,
liens and charges.  The Corporation will at all times reserve and keep
available, out of its authorized but unissued Common Stock, solely for the
purpose of providing for the exercise of this Warrant, the aggregate number of
Shares issuable upon exercise of this Warrant.  The Corporation will
use commercially reasonable efforts to ensure that the Shares may be issued
without violation of any applicable law or regulation or of any requirement of
any securities exchange on which the Shares are listed or traded.  The
Corporation will reasonably cooperate to take such other actions as are
necessary to obtain any Regulatory Approvals applicable to Warrantholder’s
exercise of its rights hereunder, including with respect to the issuance of the
Shares.

     

    5.           Fractional
Shares.  Fractional Shares may be issued upon any exercise of
this Warrant.

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

    6.           No Rights as Stockholders;
Transfer Books.  Except as set forth herein, this Warrant does
not entitle the Warrantholder to any voting rights or other rights as a
stockholder of the Corporation prior to the date of exercise
hereof.  The Corporation will at no time close its transfer books
against transfer of this Warrant in any manner which interferes with the timely
exercise of this Warrant.

     

    7.           Charges, Taxes and
Expenses.  Issuance of certificates for Shares to the
Warrantholder upon the exercise of this Warrant shall be made without charge to
the Warrantholder for any issue or transfer tax or other incidental expense in
respect of the issuance of such certificates, all of which taxes and expenses
shall be paid by the Corporation.

     

    8.           Transfer/Assignment.  Prior
to delivery of a notice of redemption under Section 11 (A) hereof, this Warrant
and all rights hereunder are transferable, in whole or in part, upon the books
of the Corporation by the holder hereof in person or by duly authorized
attorney, and a new warrant shall be made and delivered by the Corporation, of
the same tenor and date as this Warrant but registered in the name of one or
more transferees, upon surrender of this Warrant, duly endorsed, to the office
or agency of the Corporation described in Section 3.  All expenses
(other than stock transfer taxes) and other charges payable in connection with
the preparation, execution and delivery of the new warrants pursuant to this
Section 8 shall be paid by the Corporation.  For all purposes of this
Warrant, if there is more than one Warrantholder at any time, all actions or
approvals hereunder, including the exercise of the Warrant under Section 3
hereof or the election to put the Warrant under Section 11(B) hereof by
Warrantholders, shall be made by a majority-in-interest of Warrantholders at
such time (based on the number of Shares exercisable under all Warrants) and any
such actions or approvals shall be binding on all Warrantholders.

     

    9.           Loss, Theft, Destruction or
Mutilation of Warrant.  Upon receipt by the Corporation of
evidence reasonably satisfactory to it of the loss, theft, destruction or
mutilation of this Warrant, and in the case of any such loss, theft or
destruction, upon receipt of an, indemnity or security reasonably satisfactory
to the Corporation (but without requiring the posting of any bond or letter or
credit), or, in the case of any such mutilation, upon surrender and cancellation
of this Warrant, the Corporation shall make and deliver, in lieu of such lost,
stolen, destroyed or mutilated Warrant, a new Warrant of like tenor and
representing the right to purchase the same aggregate number of Shares as
provided for in such lost, stolen, destroyed or mutilated Warrant.

     

    10.         Saturdays, Sundays,
Holidays, etc.  If the last or appointed day for the taking of
any action or the expiration of any right required or granted herein shall not
be a Business Day, then such action may be taken or such right may be exercised
on the next succeeding day that is a Business Day.

     

    11.         Redemption and Put of
Warrant.

     

    (A)        At
any time after the first (1st) anniversary of the Issue Date, the Corporation
may elect to redeem this Warrant (or the Shares issued upon exercise of this
Warrant), in whole and not in part, in exchange for an amount equal to the
greater of (x) the aggregate Fair Market Value of the Shares on or about the
date of notice of redemption and (y) $1,000,000 (the “Redemption Price”) by
delivering to the Warrantholder a notice of redemption, which when delivered
shall be irrevocable by the Corporation and binding on the Corporation and the
Warrantholder, stating the Corporation’s intent to redeem this Warrant and the
effective date for such redemption (which shall not be more than ten (10)
Business Days from the date of such notice).

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

    (B)        At
any time after the seventh (7th) anniversary of the Issue Date, the
Warrantholder may elect to put this Warrant, in whole and not in part, to the
Corporation in exchange for an amount equal to the greater of (x) the aggregate
Fair Market Value of the Shares, and (y) $1,000,000 (the “Put Price”) by
delivering to the Corporation a put notice, which when delivered shall be
irrevocable by the Warrantholder and binding on the Warrantholder and the
Corporation, stating the Warrantholder’s intent to put this Warrant back to the
Corporation and the effective date of such put (which shall not be less than
twenty (20) Business Days from the date of such
notice).  Notwithstanding the foregoing, if the Corporation has
delivered notice of a Conversion Event and such Conversion Event is consummated
within thirty (30) days thereof, the Warrantholder may not exercise the put
under this Section 11(B) until after such thirty (30) day period; provided that
such restriction shall apply to only one such notice.

     

    (C)        The
Redemption Price or the Put Price, as applicable, shall be payable by the
Corporation on the effective redemption or put date, as set forth in notices
delivered pursuant to clauses (A) or (B) of Section 11, as applicable, by wire
transfer of immediately available funds into an account designated by the
Warrantholder.

     

    (D)        For
purposes of this Warrant, “Fair Market Value” means fair
market value as mutually agreed by the Corporation and the Warrantholder; provided, however, that if such
parties are unable to reach such agreement within a fifteen (15) Business Day
period after one party delivers written notice to the other party that the
notifying party desires to determine Fair Market Value for purposes of this
Section 11, they shall promptly thereafter submit the matter to a mutually
agreeable (acting reasonably and in good faith) nationally recognized appraisal
firm with experience in such matters (the “Appraiser”) for a
binding determination.  Upon selection of the Appraiser, the
Corporation and the Warrantholder shall submit to the Appraiser each of their
proposed determinations of fair market value and agree to execute a reasonable
engagement letter with the Appraiser in connection therewith.  The
Corporation and the Warrantholder shall cooperate with the Appraiser and
promptly provide all documents and information requested by the
Appraiser.  The Appraiser’s determination of fair market value shall
not be less than the Corporation’s submitted determination of fair market value
or more than the Warrantholder’s submitted determination of fair market value.
The Appraiser shall deliver to the Corporation and the Warrantholder, as
promptly as practicable (but in any case no later than thirty (30) days from the
date of engagement of the Appraiser), a report setting forth its calculation of
fair market value, including the basis and explanation therefor.  Such
report shall be final and binding upon the Corporation and the Warrantholder,
shall be deemed a final arbitration award that is binding on the Corporation and
the Warrantholder, and neither the Corporation nor the Warrantholder shall seek
further recourse to courts or other tribunals, other than to enforce such
report.  Judgment may be entered to enforce such report in any court
of competent jurisdiction.  The Appraiser will determine the
allocation of the cost of its review and report based on the inverse of the
percentage its determination (before such allocation) bears to the total amount
of the differential between the fair market values as originally submitted by
the Corporation and the Warrantholder to the Appraiser.  For example,
should the differential in the fair market values submitted by the parties
amount to $1,000 and the Appraiser awards $600 more than the Corporation’s
original determination of fair market value, then 60% of the costs of its review
would be borne by Corporation and 40% of the costs would be borne by the
Warrantholder.  The Fair Market Value determined under this subsection
shall be the Fair Market Value for a redemption provided that notice of such
redemption is given within sixty (60)  days after such determination
is made.  In case the Corporation shall make any payment, dividend or
distribution (a “Distribution”) in the
form of indebtedness, assets, cash, rights or other property (excluding (i)
dividends pursuant to which subsection (A) of Section 12 as applicable and (ii)
any Distribution with respect to any shares of Preferred Stock up to the
Preferred Stock Investment Amount for such shares of Preferred Stock) on or with
respect to any equity securities (or securities exercisable for or convertible
into any equity securities) of the Corporation owned of record or beneficially
by any member of the KBE Group or any Economic Affiliate between the Issue Date
and the date of any determination of the Fair Market Value hereunder (whether by
mutual agreement of by the Appraiser), Fair Market Value shall include or take
into account the value of any and all such Distributions.

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

    (E)         In
the event of a redemption or put of this Warrant pursuant to this
Section 11 (including payment in full of the Redemption Price or Put Price,
as applicable), this Warrant shall automatically be cancelled and the
Warrantholder shall have no further rights under this Warrant.

     

    12.         Adjustments and Other
Rights.  The Exercise Price and the number of Shares issuable
upon exercise of this Warrant shall be subject to adjustment from time to time
as follows; provided, that if more than one subsection of this Section 12 is
applicable to a single event, the subsection shall be applied that produces the
largest adjustment and no single event shall cause an adjustment under more than
one subsection of this Section 12 so as to result in duplication:

     

    (A)        Stock Splits, Subdivisions,
Reclassifications or Combinations.  If the Corporation shall
(i) declare and pay a dividend or make a distribution on its Common Stock in
shares of Common Stock, (ii) subdivide or reclassify the outstanding shares of
Common Stock into a greater number of shares, or (iii) combine or reclassify the
outstanding shares of Common Stock into a smaller number of shares, the number
of Shares issuable upon exercise of this Warrant at the time of the record date
for such dividend or distribution or the effective date of such subdivision,
combination or reclassification shall be proportionately adjusted so that the
Warrantholder after such date shall be entitled to purchase the number of shares
of Common Stock which such holder would have owned or been entitled to receive
in respect of the shares of Common Stock subject to this Warrant after such date
had this Warrant been exercised immediately prior to such date.  In
such event, the Exercise Price in effect at the time of the record date for such
dividend or distribution or the effective date of such subdivision, combination
or reclassification shall be adjusted to the number obtained by dividing (x) the
product of (1) the number of Shares issuable upon the exercise of this Warrant
before such adjustment and (2) the Exercise Price in effect immediately prior to
the record or effective date, as the case may be, for the dividend,
distribution, subdivision, combination or reclassification giving rise to this
adjustment by (y) the new number of Shares issuable upon exercise of this
Warrant determined pursuant to the immediately preceding
sentence.

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

    (B)        Certain Issuances of
Corporation Securities.  If the Corporation shall issue any
Corporation Securities (other than in a transaction to which subsection (A) of
this Section 12 is applicable) without consideration or at a consideration per
share of Common Stock (or having a conversion or exercise price per share of
Common Stock) that is less than the current Fair Market Value of the Common
Stock, in such event:

     

    (i) the
number of Shares issuable upon the exercise of this Warrant immediately prior to
such issuance (the “Initial
Number”) shall be increased to the number obtained by multiplying the
Initial Number by a fraction (A) the numerator of which shall be the sum of (x)
the number of shares of Common Stock of the Corporation outstanding on such date
and (y) the number of additional shares of Common Stock issued (or into which
Common Stock Equivalents may be exercised or converted) and (B) the denominator
of which shall be the sum of (x) the number of shares of Common Stock
outstanding on such date and (y) the number of shares of Common Stock which the
aggregate consideration receivable by the Corporation for the total number of
shares of Common Stock so issued (or into which Common Stock Equivalents may be
exercised or converted) would purchase at the Fair Market Value on the date of
such issuance; and

     

    (ii) the
Exercise Price payable upon exercise of this Warrant shall be adjusted by
multiplying such Exercise Price in effect immediately prior to the date of such
issuance by a fraction, the numerator of which shall be the number of shares of
Common Stock issuable upon exercise of this Warrant prior to such date and the
denominator of which shall be the number of shares of Common Stock issuable upon
exercise of this Warrant immediately after the adjustment described in clause
(i) above.

     

    For
purposes of the foregoing, the aggregate consideration receivable by the
Corporation in connection with the issuance of Corporation Securities shall be
deemed to be equal to the sum of the offering price of all such securities plus
the minimum aggregate amount, if any, payable upon exercise or conversion of any
Common Stock Equivalents.  If there is an adjustment to the Initial
Number and the Exercise Price in connection with an issuance of a Common Stock
Equivalent, then there shall be no further adjustment when Common Stock is
issued under such Common Stock Equivalent, unless such Common Stock Equivalent
by its terms provides, with the passage of time or otherwise, for any increase
or decrease in the exercise or conversion price for or the number of shares of
Common Stock issuable under such Common Stock Equivalent, in which case the
Exercise Price or the Initial Number shall be recomputed to reflect any such
increase or decrease as of the date of exercise or
conversion.  Further, if there is no adjustment to the Exercise Price
or the Initial Number required in connection with the issuance of a Common Stock
Equivalent, then no adjustment to the Initial Number and the Exercise Price
shall be required when Common Stock is issued under such Common Stock
Equivalent, unless such Common Stock Equivalent by its terms provides, with the
passage of time or otherwise, for any increase or decrease in the exercise or
conversion price for or the number of shares of Common Stock issuable under such
Common Stock Equivalent, in which case the Exercise Price or the Initial Number
shall be recomputed to reflect any such increase or decrease as of the date of
exercise or conversion.  Without the prior written consent of the
Warrantholder, the Corporation agrees that it will not issue to any member of
the KBE Group or any Economic Affiliate any equity securities (or securities
exercisable for or convertible into any equity securities), including Preferred
Stock, other than Corporation Securities and other than Preferred Stock with a
liquidation preference equal to no more than the Preferred Stock Investment
Amount for such Preferred Stock and which does not accrue or pay any
dividends.

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

    (C)        Rounding of Calculations;
Minimum Adjustments.  All calculations under this Section 12
shall be made to the nearest one-thousandth (1/1000th) of a cent or to the
nearest one-hundredth (1/100th) of a share, as the case may be.  Any
provision of this Section 12 to the contrary notwithstanding, no adjustment in
the Exercise Price or the number of Shares into which this Warrant is
exercisable shall be made if the amount of such adjustment would be less than
$0.0001 or one-hundredth (1/100th) of a share of Common Stock.

     

    (D)        Statement Regarding
Adjustments.  Whenever the Exercise Price or the number of
Shares into which this Warrant is exercisable shall be adjusted as provided in
Section 12, the Corporation shall forthwith file at the principal office of the
Corporation a statement showing in reasonable detail the facts requiring such
adjustment and the Exercise Price that shall be in effect and the number of
Shares into which this Warrant shall be exercisable after such adjustment, and
the Corporation shall also cause a copy of such statement to be sent to the
Warrantholder.

     

    (E)         Proceedings Prior to Any
Action Requiring Adjustment.  As a condition precedent to the
taking of any action which would require an adjustment pursuant to this
Section 12, the Corporation shall take any action which may be necessary,
including obtaining regulatory or stockholder approvals or exemptions, in order
that the Corporation may thereafter validly and legally issue as fully paid and
nonassessable all shares of Common Stock that the Warrantholder is entitled to
receive upon exercise of this Warrant pursuant to this Section 12.

     

    (F)         Adjustment
Rules.  Any adjustments pursuant to this Section 12 shall be
made successively whenever an event referred to herein shall occur.

     

    13.         Governing
Law.  This Warrant shall be governed by and construed in
accordance with the laws of the State of New York applicable to contracts made
and performed in such State without giving effect to the choice of law
principles of such state that would require or permit the application of the
laws of another jurisdiction.

     

    14.         Submission to Jurisdiction;
Consent to Service of Process; Waiver of Jury Trial.  The
parties hereto hereby irrevocably submit to the exclusive jurisdiction of any
federal or state court located within the borough of Manhattan of the City,
County and State of New York over any dispute arising out of or relating to this
Warrant or any suit, action proceeding related thereto may be heard and
determined in such courts.  The parties hereby irrevocably waive, to
the fullest extent permitted by applicable law, any objection which they may now
or hereafter have to the laying of venue of any such dispute brought in such
court or any defense of inconvenient forum for the maintenance of such
dispute.  Each of the parties hereto agrees that a judgment in any
such dispute may be enforced in other jurisdictions by suit on the judgment or
in any other manner provided by law.  Each of the parties hereto
hereby consents to process being served by any party to this Warrant in any
suit, action or proceeding by the delivery of a copy thereof in accordance with
the provisions of Section 16.  EACH OF THE PARTIES HERETO HEREBY
IRREVOCABLY WAIVES ANY AND ALL RIGHTS TO TRIAL BY JURY IN ANY LEGAL PROCEEDING
ARISING OUT OF OR RELATED TO THIS WARRANT.

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

    15.         Binding
Effect.  This Warrant shall be binding upon any successors or
assigns of the Corporation; provided that this Warrant may not be assigned,
conveyed or otherwise transferred by the Corporation without the prior written
consent of the Warrantholder.

     

    16.         Notices.  All
notices and other communications under this Warrant shall be in writing and
shall be deemed given (i) when delivered personally by hand (with written
confirmation of receipt), (ii) when sent by facsimile (with written confirmation
of transmission) or (iii) one (1) Business Day following the day sent by
overnight courier (with written confirmation of receipt), in each case at the
following addresses and facsimile numbers (or to such other address or facsimile
number as a party may have specified by notice given to the other party pursuant
to this provision):

     

    If to the
Corporation, to:

     

    Theatre
Direct NY, Inc.

    1619
Broadway, 9th Floor

    New York,
NY  10019

    Attention:
John Gore

    Facsimile:
(971) 421-5430

     

    With a
copy (which shall not constitute notice) to:

    

    Key Brand
Entertainment Inc.

    10880
Wilshire Boulevard, Suite 870

    Los
Angeles, CA  90024

    Attention:
David Bauer Stern, Esq. and Tom McGrath

    Facsimile:
(310) 446-4930

    

    and

     

    Elkins
Kalt Weintraub Reuben Gartside LLP

    1800
Century Park East, 7th Floor

    Los
Angeles, CA  90067

    Facsimile:
(310) 746-4495

    Attention:
Frederick W. Gartside, Esq.

     

    If to the
Warrantholder, to:

     

    Hollywood
Media Corp.

    2255
Glades Road, Suite 221A

    Boca
Raton, Florida 33431

    Facsimile:
(561) 998-2974

    Attention:
Mitchell Rubenstein

    
      
         

      

      
        10

        
          

        

      

      
         

      

    

    With a
copy (which shall not constitute notice) to:

     

    Weil,
Gotshal & Manges LLP

    767 Fifth
Avenue

    New York,
New York 10153

    Facsimile:
(212) 833-8007

    Attention:  S.
Scott Parel

    Marita A. Makinen

     

    17.         Entire Agreement; Amendments
and Waivers.  This Warrant and the Purchase Agreement represent
the entire understanding and agreement between the parties hereto with respect
to the subject matter hereof and thereof.  This Warrant can be
amended, supplemented or changed, and any provision hereof can be waived, only
by written instrument making specific reference to this Warrant signed by the
party against whom enforcement of any such amendment, supplement, modification
or waiver is sought.  No action taken pursuant to this Warrant,
including any investigation by or on behalf of any party, shall be deemed to
constitute a waiver by the party taking such action of compliance with any
representation, warranty, covenant or agreement contained herein.  The
waiver by any party hereto of a breach of any provision of this Warrant shall
not operate or be construed as a further or continuing waiver of such breach or
as a waiver of any other or subsequent breach.  No failure on the part
of any party to exercise, and no delay in exercising, any right, power or remedy
hereunder shall operate as a waiver thereof, nor shall any single or partial
exercise of such right, power or remedy by such party preclude any other or
further exercise thereof or the exercise of any other right, power or
remedy.

     

    18.         Counterparts.  This
Warrant may be executed in multiple counterparts and by facsimile or other
electronic means, each of which will be deemed to be an original copy of this
Warrant and all of which, when taken together, will be deemed to constitute one
and the same agreement.

     

    [Remainder
of page intentionally left blank]

    
      
         

      

      
        11

        
          

        

      

      
         

      

    

    IN
WITNESS WHEREOF, the parties hereto have caused this Warrant to be executed by
their respective authorized officers, as of the date first written
above.

     

    
      
        	 
      	
                THEATRE
      DIRECT NY, INC.

              
	 
      	 
      	 
      
	 
      	
                By:

              	
                /s/ John Gore

              
	 
      	 
      	
                Name:

              
	 
      	 
      	
                Title:

              
	 
      	 
      	 
      
	 
      	
                HOLLYWOOD
      MEDIA CORP.

              
	 
      	 
      	 
      
	 
      	
                By:

              	
                /s/ Mitchell Rubenstein

              
	 
      	 
      	
                Name:

              	
                Mitchell
      Rubenstein

              
	 
      	 
      	
                Title:

              	
                Chairman
      & CEO

              

      

    

    

    [SIGNATURE
PAGE TO WARRANT]

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    [Form of
Notice of Exercise]

     

    Date:
_________

     

    To:
________________________

     

    RE:
Election to Purchase Common Stock

     

    The
undersigned, pursuant to the provisions set forth in the attached Warrant,
hereby subscribes for and purchases the number of shares of the Common Stock
covered by such Warrant, as set forth below.

     

    [If
payment is made by certified or cashier’s check].  The undersigned, in
accordance with Section 3 of the Warrant, hereby includes a [certified]
[cashier’s check] for the aggregate Exercise Price for such shares of Common
Stock.

     

    [If
payment is made by wire transfer]  The undersigned, in accordance with
Section 3 of the Warrant, hereby certifies that it has paid the aggregate
Exercise Price for such shares of Common Stock by wire transfer of immediately
available funds to an account designated by the Corporation.

     

    Number of
Shares of Common Stock: ____________________

     

    Aggregate
Exercise Price: _____________________________________]

     

    
      
        
          
            
              
                	 
      	
                        Holder:   

                      	 
	 
      	 
      	 
	 
      	
                        By:

                      	 
	 
      	 
      	 
	 
      	
                        Name:

                      	 
	 
      	 
      	 
	 
      	
                        Title:EXHIBIT
4.4

     

    NEITHER
THIS SECURITY NOR THE SECURITIES FOR WHICH THIS SECURITY IS EXERCISABLE HAVE
BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION OR THE SECURITIES
COMMISSION OF ANY STATE IN RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER
THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY,
MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION
STATEMENT UNDER THE SECURITIES ACT OR PURSUANT TO AN AVAILABLE EXEMPTION FROM,
OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE
SECURITIES ACT AND IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS AS
EVIDENCED BY A LEGAL OPINION OF COUNSEL TO THE TRANSFEROR TO SUCH EFFECT, THE
SUBSTANCE OF WHICH SHALL BE REASONABLY ACCEPTABLE TO THE
COMPANY.  THIS SECURITY AND THE SECURITIES ISSUABLE UPON EXERCISE OF
THIS SECURITY MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR
OTHER LOAN SECURED BY SUCH SECURITIES.

    

    ORDINARY
SHARES PURCHASE WARRANT

    

    ROSETTA
GENOMICS LTD.

     

    
      
        	
                Warrant
      Shares: ______

              	
                Initial
      Exercise Date: December 1,
2010

              

      

    

     

    THIS
ORDINARY SHARES PURCHASE WARRANT (the “Warrant”) certifies
that, for value received, _____________ or its assigns (the “Holder”) is entitled,
upon the terms and subject to the limitations on exercise and the conditions
hereinafter set forth, at any time on or after the date hereof (the “Initial Exercise
Date”) and on or prior to the close of business on the fifth year
anniversary of the Initial Exercise Date (the “Termination Date”)
but not thereafter, to subscribe for and purchase from Rosetta Genomics Ltd., a
company organized under the laws of the State of Israel (the “Company”), up to
______ Ordinary Shares (as subject to adjustment hereunder, the “Warrant
Shares”).  The purchase price of one Ordinary Share under this
Warrant shall be equal to the Exercise Price, as defined in Section
2(b).  This Warrant is issued by the
Company as of the date hereof pursuant to (i) Section 1 of the Engagement
Agreement, dated August 31, 2010, between the Company and Rodman & Renshaw,
LLC and (ii) Section 4(2) of the Securities Act and Rule 506 promulgated
thereunder

     

    Section
1.             Definitions.  Capitalized
terms used and not otherwise defined herein shall have the meanings set forth in
that certain Securities Purchase Agreement (the “Purchase Agreement”),
dated November 29, 2010, among the Company and the purchasers signatory
thereto.

     

    
      
        
        

      

      
        1

        
          

        

      

      
        
        

      

    

     

    Section
2.             Exercise.

     

    a)           Exercise of
Warrant.  Exercise of the purchase rights represented by this
Warrant may be made, in whole or in part, at any time or times on or after the
Initial Exercise Date and on or before the Termination Date by delivery to the
Company (or such other office or agency of the Company as it may designate by
notice in writing to the registered Holder at the address of the Holder
appearing on the books of the Company) of a duly executed facsimile copy of the
Notice of Exercise form annexed hereto. Within three (3) Trading Days following
the date of exercise as aforesaid, the Holder shall deliver the aggregate
Exercise Price for the shares specified in the applicable Notice of Exercise by
wire transfer or cashier’s check drawn on a United States bank unless the
cashless exercise procedure specified in Section 2(c) below is specified in the
applicable Notice of Exercise. Notwithstanding anything herein to the contrary,
the Holder shall not be required to physically surrender this Warrant to the
Company until the Holder has purchased all of the Warrant Shares available
hereunder and the Warrant has been exercised in full, in which case, the Holder
shall surrender this Warrant to the Company for cancellation within three (3)
Trading Days of the date the final Notice of Exercise is delivered to the
Company. Partial exercises of this Warrant resulting in purchases of a portion
of the total number of Warrant Shares available hereunder shall have the effect
of lowering the outstanding number of Warrant Shares purchasable hereunder in an
amount equal to the applicable number of Warrant Shares
purchased.  The Holder and the Company shall maintain records showing
the number of Warrant Shares purchased and the date of such purchases. The
Company shall deliver any objection to any Notice of Exercise Form within two
(2) Business Days of receipt of such notice.  In the event of any
dispute or discrepancy, the records of the Company shall be controlling and
determinative in the absence of manifest error.  The Holder and any assignee, by
acceptance of this Warrant, acknowledge and agree that, by reason of the
provisions of this paragraph, following the purchase of a portion of the Warrant
Shares hereunder, the number of Warrant Shares available for purchase hereunder
at any given time may be less than the amount stated on the face
hereof.

     

    b)           Exercise
Price.  The exercise price per Ordinary Share under this
Warrant shall be $1.30,
subject to adjustment hereunder (the “Exercise
Price”).

     

    c)           Cashless
Exercise.  If at any time after the earlier of (i) the one year
anniversary of the date of the Purchase Agreement and (ii) the completion of the
then-applicable holding period required by Rule 144, or any successor provision
then in effect, there is no effective Registration Statement registering, or no
current prospectus available for, the resale of the Warrant Shares by the
Holder, then this Warrant may also be exercised, in whole or in part, at such
time by means of a “cashless exercise” in which the Holder shall be entitled to
receive a certificate for the number of Warrant Shares equal to the quotient
obtained by dividing [(A-B) (X)] by (A), where:

     

    
      (A) =
 the VWAP on the Trading Day immediately preceding the date on which
Holder elects to exercise this Warrant by means of a “cashless exercise,” as set
forth in the applicable Notice of Exercise;

    

    

    
      (B)
=  the Exercise Price of this Warrant, as adjusted hereunder;
and

    

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

     

    
      (X) = 
the number of Warrant Shares that would be issuable upon exercise of this
Warrant in accordance with the terms of this Warrant if such exercise were by
means of a cash exercise rather than a cashless exercise.

    

    

    
      d)           Mechanics of
Exercise.

    

     

    i.      Delivery of Certificates
Upon Exercise.  Certificates for shares purchased hereunder
shall be transmitted by the Transfer Agent to the Holder by crediting the
account of the Holder’s prime broker with The Depository Trust Company through
its Deposit or Withdrawal at Custodian system (“DWAC”) if the Company
is then a participant in such system and either (A) there is an effective
Registration Statement permitting the issuance of the Warrant Shares to or
resale of the Warrant Shares by the Holder or (B) the shares are eligible for
resale by the Holder without volume or manner-of-sale limitations pursuant to
Rule 144, and otherwise by physical delivery to the address specified by the
Holder in the Notice of Exercise by the date that is three (3) Trading Days
after the latest of (A) the delivery to the Company of the Notice of Exercise,
(B) surrender of this Warrant (if required), and (C) payment of the aggregate
Exercise Price as set forth above (including by cashless exercise, if permitted)
(such date, the “Warrant Share Delivery
Date”).   This Warrant shall be deemed to have been
exercised on the first date on which all of the foregoing have been delivered to
the Company.  The Warrant Shares shall be deemed to have been issued,
and Holder or any other person so designated to be named therein shall be deemed
to have become a holder of record of such shares for all purposes, as of the
date the Warrant has been exercised, with payment to the Company of the Exercise
Price (or by cashless exercise, if permitted) and all taxes required to be paid
by the Holder, if any, pursuant to Section 2(d)(vi) prior to the issuance of
such shares, having been paid.

     

    ii.          Delivery of New Warrants
Upon Exercise.  If this Warrant shall have been exercised in
part, the Company shall, at the request of a Holder and upon surrender of this
Warrant certificate, at the time of delivery of the certificate or certificates
representing Warrant Shares, deliver to the Holder a new Warrant evidencing the
rights of the Holder to purchase the unpurchased Warrant Shares called for by
this Warrant, which new Warrant shall in all other respects be identical with
this Warrant.

     

    iii.         Rescission
Rights.  If the Company fails to cause the Transfer Agent to
transmit to the Holder a certificate or the certificates representing the
Warrant Shares pursuant to Section 2(d)(i) by the Warrant Share Delivery Date,
then the Holder will have the right to rescind such exercise.

     

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

     

    iv.         Compensation for Buy-In on
Failure to Timely Deliver Certificates Upon Exercise.  In
addition to any other rights available to the Holder, if the Company fails to
cause the Transfer Agent to transmit to the Holder a certificate or the
certificates representing the Warrant Shares pursuant to an exercise on or
before the Warrant Share Delivery Date, and if after such date the Holder is
required by its broker to purchase (in an open market transaction or otherwise)
or the Holder’s brokerage firm otherwise purchases, Ordinary Shares to deliver
in satisfaction of a sale by the Holder of the Warrant Shares which the Holder
anticipated receiving upon such exercise (a “Buy-In”), then the
Company shall (A) pay in cash to the Holder the amount, if any, by which (x) the
Holder’s total purchase price (including brokerage commissions, if any) for the
Ordinary Shares so purchased exceeds (y) the amount obtained by multiplying (1)
the number of Warrant Shares that the Company was required to deliver to the
Holder in connection with the exercise at issue times (2) the price at which the
sell order giving rise to such purchase obligation was executed, and (B) at the
option of the Holder, either reinstate the portion of the Warrant and equivalent
number of Warrant Shares for which such exercise was not honored (in which case
such exercise shall be deemed rescinded) or deliver to the Holder the number of
Ordinary Shares that would have been issued had the Company timely complied with
its exercise and delivery obligations hereunder.  For example, if the
Holder purchases Ordinary Shares having a total purchase price of $11,000 to
cover a Buy-In with respect to an attempted exercise of Ordinary Shares with an
aggregate sale price giving rise to such purchase obligation of $10,000, under
clause (A) of the immediately preceding sentence the Company shall be required
to pay the Holder $1,000.  Notwithstanding the foregoing, the Company
shall not be required to make the payments set forth herein in the case of
uncertificated Warrant Shares if the Holder fails to timely file a request with
The Depository Trust Company to receive such uncertificated Warrant
Shares.  The Holder shall provide the Company written notice
indicating the amounts payable to the Holder in respect of the Buy-In and, upon
request of the Company, evidence of the amount of such loss.  Nothing
herein shall limit a Holder’s right to pursue any other remedies available to it
hereunder, at law or in equity including, without limitation, a decree of
specific performance and/or injunctive relief with respect to the Company’s
failure to timely deliver certificates representing Ordinary Shares upon
exercise of the Warrant as required pursuant to the terms hereof.

     

    v.         No Fractional Shares or
Scrip.  No fractional shares or scrip representing fractional
shares shall be issued upon the exercise of this Warrant.  As to any
fraction of a share which the Holder would otherwise be entitled to purchase
upon such exercise, the Company shall, at its election, either pay a cash
adjustment in respect of such final fraction in an amount equal to such fraction
multiplied by the Exercise Price or round up to the next whole
share.

     

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

     

    vi.         Charges, Taxes and
Expenses.  Issuance of certificates for Warrant Shares shall be
made without charge to the Holder for any issue or transfer tax or other
incidental expense in respect of the issuance of such certificate, all of which
taxes and expenses shall be paid by the Company, and such certificates shall be
issued in the name of the Holder or in such name or names as may be directed by
the Holder; provided, however, that in the
event certificates for Warrant Shares are to be issued in a name other than the
name of the Holder, this Warrant when surrendered for exercise shall be
accompanied by the Assignment Form attached hereto duly executed by the Holder
and the Company may require, as a condition thereto, the payment of a sum
sufficient to reimburse it for any transfer tax incidental thereto.

     

    vii.         Closing of
Books.  The Company will not close its shareholder books or
records in any manner which prevents the timely exercise of this Warrant,
pursuant to the terms hereof.

     

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

    e)           Holder’s Exercise
Limitations.  The Company shall not effect any exercise of this
Warrant, and a Holder shall not have the right to exercise any portion of this
Warrant, pursuant to Section 2 or otherwise, to the extent that after giving
effect to such issuance after exercise as set forth on the applicable Notice of
Exercise, the Holder (together with the Holder’s Affiliates, and any other
Persons acting as a group together with the Holder or any of the Holder’s
Affiliates), would beneficially own in excess of the Beneficial Ownership
Limitation (as defined below).  For purposes of the foregoing sentence, the
number of Ordinary Shares beneficially owned by the Holder and its Affiliates
shall include the number of Ordinary Shares issuable upon exercise of this
Warrant with respect to which such determination is being made, but shall
exclude the number of Ordinary Shares which would be issuable upon (i) exercise
of the remaining, nonexercised portion of this Warrant beneficially owned by the
Holder or any of its Affiliates and (ii) exercise or conversion of the
unexercised or nonconverted portion of any other securities of the Company
(including, without limitation, any other  Ordinary Shares
Equivalents) subject to a limitation on conversion or exercise analogous to the
limitation contained herein beneficially owned by the Holder or any of its
Affiliates.  Except as set forth in the preceding sentence, for purposes of
this Section 2(e), beneficial ownership shall be calculated in accordance with
Section 13(d) of the Exchange Act and the rules and regulations promulgated
thereunder, it being acknowledged by the Holder that the Company is not
representing to the Holder that such calculation is in compliance with Section
13(d) of the Exchange Act and the Holder is solely responsible for any schedules
required to be filed in accordance therewith.   To the extent
that the limitation contained in this Section 2(e) applies, the determination of
whether this Warrant is exercisable (in relation to other securities owned by
the Holder together with any Affiliates) and of which portion of this Warrant is
exercisable shall be in the sole discretion of the Holder, and the submission of
a Notice of Exercise shall be deemed to be the Holder’s determination of whether
this Warrant is exercisable (in relation to other securities owned by the Holder
together with any Affiliates) and of which portion of this Warrant is
exercisable, in each case subject to the Beneficial Ownership Limitation, and
the Company shall have no obligation to verify or confirm the accuracy of such
determination and shall have no liability for exercises of the Warrant that are
not in compliance with the Beneficial Ownership Limitation.   In
addition, a determination as to any group status as contemplated above shall be
determined in accordance with Section 13(d) of the Exchange Act and the rules
and regulations promulgated thereunder.  For purposes of this Section
2(e), in determining the number of outstanding Ordinary Shares, a Holder may
rely on the number of outstanding Ordinary Shares as reflected in (A) the
Company’s most recent periodic or annual report filed with the Commission, as
the case may be, (B) a more recent public announcement by the Company or (C) a
more recent written notice by the Company or the Transfer Agent setting forth
the number of Ordinary Shares outstanding.  Upon the written or oral
request of a Holder, the Company shall within two (2) Trading Days confirm
orally and in writing to the Holder the number of Ordinary Shares then
outstanding.  In any case, the number of outstanding Ordinary Shares shall
be determined after giving effect to the conversion or exercise of securities of
the Company, including this Warrant, by the Holder or its Affiliates since the
date as of which such number of outstanding Ordinary Shares was
reported.  The “Beneficial Ownership
Limitation” shall be 4.99% of the number of Ordinary Shares outstanding
immediately after giving effect to the issuance of Ordinary Shares issuable upon
exercise of this Warrant.  The Holder, upon not less than 61 days’
prior notice to the Company, may increase or decrease the Beneficial Ownership
Limitation provisions of this Section 2(e), provided that the Beneficial
Ownership Limitation in no event exceeds 9.99% of the number of Ordinary Shares
outstanding immediately after giving effect to the issuance of Ordinary Shares
upon exercise of this Warrant held by the Holder and the provisions of this
Section 2(e) shall continue to apply.  Any such increase or decrease
will not be effective until the 61st day
after such notice is delivered to the Company.  The provisions of this
paragraph shall be construed and implemented in a manner otherwise than in
strict conformity with the terms of this Section 2(e) to correct this paragraph
(or any portion hereof) which may be defective or inconsistent with the intended
Beneficial Ownership Limitation herein contained or to make changes or
supplements necessary or desirable to properly give effect to such limitation.
The limitations contained in this paragraph shall apply to a successor holder of
this Warrant.

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

     

    Section
3.             Certain
Adjustments. 
 

    a)           Stock Dividends and
Splits. If the Company, at any time while this Warrant is outstanding:
(i) pays a stock dividend or otherwise makes a distribution or distributions on
its Ordinary Shares or any other equity or equity equivalent securities payable
in Ordinary Shares (which, for avoidance of doubt, shall not include any
Ordinary Shares issued by the Company upon exercise of this Warrant), (ii)
subdivides outstanding Ordinary Shares into a larger number of shares, (iii)
combines (including by way of reverse stock split) outstanding Ordinary Shares
into a smaller number of shares or (iv) issues by reclassification of Ordinary
Shares any shares of capital stock of the Company, then in each case the
Exercise Price shall be multiplied by a fraction of which the numerator shall be
the number of Ordinary Shares (excluding treasury shares, if any) outstanding
immediately before such event and of which the denominator shall be the number
of Ordinary Shares outstanding immediately after such event, and the number of
shares issuable upon exercise of this Warrant shall be proportionately adjusted
such that the aggregate Exercise Price of this Warrant shall remain
unchanged.  Any adjustment made pursuant to this Section 3(a) shall
become effective immediately after the record date for the determination of
shareholders entitled to receive such dividend or distribution and shall become
effective immediately after the effective date in the case of a subdivision,
combination or re-classification.

     

    b)           Subsequent Equity
Sales. If the Company or any Subsidiary thereof, as applicable, at any
time while this Warrant is outstanding, shall sell or grant any option to
purchase, or sell or grant any right to reprice, or otherwise dispose of or
issue (or announce any offer, sale, grant or any option to purchase or other
disposition) any Ordinary Shares or Ordinary Shares Equivalents, at an effective
price per share less than the Exercise Price then in effect (such lower price,
the “Base Share
Price” and such issuances collectively, a “Dilutive Issuance”)
(it being understood and agreed that if the holder of the Ordinary Shares or
Ordinary Shares Equivalents so issued shall at any time, whether by operation of
purchase price adjustments, reset provisions, floating conversion, exercise or
exchange prices or otherwise, or due to warrants, options or rights per share
which are issued in connection with such issuance, be entitled to receive
Ordinary Shares at an effective price per share that is less than the Exercise
Price, such issuance shall be deemed to have occurred for less than the Exercise
Price on such date of the Dilutive Issuance at such effective price), then
simultaneously with the consummation of each Dilutive Issuance the Exercise
Price shall be reduced and only reduced to equal the Base Share Price; provided, however, the number
of Warrant Shares issuable hereunder shall not be increased pursuant to this
Section 3(b); provided, further, in no event
shall the Exercise Price be reduced pursuant to this Section 3(b) to less than
$1.00, subject to adjustment for reverse and forward stock splits and the
like.  Such adjustment shall be made whenever such Ordinary Shares or
Ordinary Shares Equivalents are issued.  Notwithstanding the
foregoing, no adjustments shall be made, paid or issued under this Section 3(b)
in respect of an Exempt Issuance.  The Company shall notify the
Holder, in writing, no later than the Trading Day following the issuance or
deemed issuance of any Ordinary Shares or Ordinary Shares Equivalents subject to
this Section 3(b), indicating therein the applicable issuance price, or
applicable reset price, exchange price, conversion price and other pricing terms
(such notice, the “Dilutive Issuance
Notice”).  For purposes of clarification, whether or not the
Company provides a Dilutive Issuance Notice pursuant to this Section 3(b), upon
the occurrence of any Dilutive Issuance, the Holder is entitled to receive a
number of Warrant Shares based upon the Base Share Price regardless of whether
the Holder accurately refers to the Base Share Price in the Notice of Exercise.
If the Company enters into a Variable Rate Transaction, despite the prohibition
thereon in the Purchase Agreement, the Company shall be deemed to have issued
Ordinary Shares or Ordinary Shares Equivalents at the lowest possible conversion
or exercise price at which such securities may be converted or
exercised

     

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

     

    c)           Subsequent Rights
Offerings.  If the Company, at any time while the Warrant is
outstanding, shall issue rights, options or warrants to all holders of Ordinary
Shares (and not to the Holder) entitling them to subscribe for or purchase
Ordinary Shares at a price per share less than the VWAP on the record date
mentioned below, then the Exercise Price shall be multiplied by a fraction, of
which the denominator shall be the number of Ordinary Shares outstanding on the
date of issuance of such rights, options or warrants plus the number of
additional Ordinary Shares offered for subscription or purchase, and of which
the numerator shall be the number of Ordinary Shares outstanding on the date of
issuance of such rights, options or warrants plus the number of shares which the
aggregate offering price of the total number of shares so offered (assuming
receipt by the Company in full of all consideration payable upon exercise of
such rights, options or warrants) would purchase at such VWAP.  Such
adjustment shall be made whenever such rights, options or warrants are issued,
and shall become effective immediately after the record date for the
determination of shareholders entitled to receive such rights, options or
warrants.

     

    d)           Pro Rata
Distributions.  If the Company, at any time while this Warrant
is outstanding, shall distribute to all holders of Ordinary Shares (and not to
the Holder) evidences of its indebtedness or assets (including cash and cash
dividends) or rights or warrants to subscribe for or purchase any security other
than the Ordinary Shares (which shall be subject to Section 3(b)), then in each
such case the Exercise Price shall be adjusted by multiplying the Exercise Price
in effect immediately prior to the record date fixed for determination of
shareholders entitled to receive such distribution by a fraction of which the
denominator shall be the VWAP determined as of the record date mentioned above,
and of which the numerator shall be such VWAP on such record date less the then
per share fair market value at such record date of the portion of such assets or
evidence of indebtedness or rights or warrants so distributed applicable to one
(1) outstanding Ordinary Share as determined by the Board of Directors in good
faith.  In either case the adjustments shall be described in a
statement provided to the Holder of the portion of assets or evidences of
indebtedness so distributed or such subscription rights applicable to one (1)
Ordinary Share.  Such adjustment shall be made whenever any such
distribution is made and shall become effective immediately after the record
date mentioned above.

     

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

    e)           Fundamental
Transaction. If, at any time while this Warrant is outstanding, (i) the
Company, directly or indirectly, in one or more related transactions effects any
merger or consolidation of the Company with or into another Person, (ii) the
Company, directly or indirectly, effects any sale, lease, license, assignment,
transfer, conveyance or other disposition of all or substantially all of its
assets in one or a series of related transactions, (iii) any, direct or
indirect, purchase offer, tender offer or exchange offer (whether by the Company
or another Person) is completed pursuant to which holders of Ordinary Shares are
permitted to sell, tender or exchange their shares for other securities, cash or
property and has been accepted by the holders of 50% or more of the outstanding
Ordinary Shares, (iv) the Company, directly or indirectly, in one or more
related transactions effects any reclassification, reorganization or
recapitalization of the Ordinary Shares or any compulsory share exchange
pursuant to which the Ordinary Shares are effectively converted into or
exchanged for other securities, cash or property, (v) the Company, directly or
indirectly, in one or more related transactions consummates a stock or share
purchase agreement or other business combination (including, without limitation,
a reorganization, recapitalization, spin-off or scheme of arrangement) with
another Person or group of Persons whereby such other Person or group acquires
more than 50% of the outstanding Ordinary Shares (not including any Ordinary
Shares held by the other Person or other Persons making or party to, or
associated or affiliated with the other Persons making or party to, such stock
or share purchase agreement or other business combination) (each a “Fundamental
Transaction”), then, upon any subsequent exercise of this Warrant, the
Holder shall have the right to receive, for each Warrant Share that would have
been issuable upon such exercise immediately prior to the occurrence of such
Fundamental Transaction, at the option of the Holder (without regard to any
limitation in Section 2(e) on the exercise of this Warrant), the number of
Ordinary Shares of the successor or acquiring corporation or of the Company, if
it is the surviving corporation, and any additional consideration (the “Alternate
Consideration”) receivable as a result of such Fundamental Transaction by
a holder of the number of Ordinary Shares for which this Warrant is exercisable
immediately prior to such Fundamental Transaction (without regard to any
limitation in Section 2(e) on the exercise of this Warrant).  For
purposes of any such exercise, the determination of the Exercise Price shall be
appropriately adjusted to apply to such Alternate Consideration based on the
amount of Alternate Consideration issuable in respect of one (1) Ordinary Share
in such Fundamental Transaction, and the Company shall apportion the Exercise
Price among the Alternate Consideration in a reasonable manner reflecting the
relative value of any different components of the Alternate
Consideration.  If holders of Ordinary Shares are given any choice as
to the securities, cash or property to be received in a Fundamental Transaction,
then the Holder shall be given the same choice as to the Alternate Consideration
it receives upon any exercise of this Warrant following such Fundamental
Transaction.  Notwithstanding anything to the contrary, in the event
of a Fundamental Transaction that is (1) an all cash transaction, (2) a “Rule
13e-3 transaction” as defined in Rule 13e-3 under the Exchange Act, or (3) a
Fundamental Transaction involving a person or entity not traded on a national
securities exchange, the Company or any Successor Entity (as defined below)
shall, at the Holder’s option, exercisable at any time concurrently with, or
within 30 days after, the consummation of the Fundamental Transaction, but
subject to the provisions of the Israeli Companies Law, 1999, with respect to
“Distributions” (as defined therein), purchase this Warrant from the Holder by
paying to the Holder an amount of cash equal to the Black Scholes Value of the
remaining unexercised portion of this Warrant on the date of the consummation of
such Fundamental Transaction.  “Black Scholes Value”
means the value of this Warrant based on the Black and Scholes Option Pricing
Model obtained from the “OV” function on Bloomberg, L.P. (“Bloomberg”)
determined as of the day of consummation of the applicable Fundamental
Transaction for pricing purposes and reflecting (A) a risk-free interest rate
corresponding to the U.S. Treasury rate for a period equal to the time between
the date of the public announcement of the applicable Fundamental Transaction
and the Termination Date, (B) an expected volatility equal to the greater of
100% and the 100 day volatility obtained from the HVT function on Bloomberg as
of the Trading Day immediately following the public announcement of the
applicable Fundamental Transaction, (C) the underlying price per share used in
such calculation shall be the sum of the price per share being offered in cash,
if any, plus the value of any non-cash consideration, if any, being offered in
such Fundamental Transaction and (D) a remaining option time equal to the time
between the date of the public announcement of the applicable Fundamental
Transaction and the Termination Date.  The Company shall cause any
successor entity in a Fundamental Transaction in which the Company is not the
survivor (the “Successor Entity”) to
assume in writing all of the obligations of the Company under this Warrant and
the other Transaction Documents in accordance with the provisions of this
Section 3(e) pursuant to written agreements in form and substance reasonably
satisfactory to the Holder and approved by the Holder (without unreasonable
delay) prior to such Fundamental Transaction and shall, at the option of the
Holder, deliver to the Holder in exchange for this Warrant a security of the
Successor Entity evidenced by a written instrument substantially similar in form
and substance to this Warrant which is exercisable for a corresponding number of
shares of capital stock of such Successor Entity (or its parent entity)
equivalent to the Ordinary Shares acquirable and receivable upon exercise of
this Warrant (without regard to any limitations on the exercise of this Warrant)
prior to such Fundamental Transaction, and with an exercise price which applies
the exercise price hereunder to such shares of capital stock (but taking into
account the relative value of the Ordinary Shares pursuant to such Fundamental
Transaction and the value of such shares of capital stock, such number of shares
of capital stock and such exercise price being for the purpose of protecting the
economic value of this Warrant immediately prior to the consummation of such
Fundamental Transaction), and which is reasonably satisfactory in form and
substance to the Holder. Upon the occurrence of any such Fundamental
Transaction, the Successor Entity shall succeed to, and be substituted for (so
that from and after the date of such Fundamental Transaction, the provisions of
this Warrant and the other Transaction Documents referring to the “Company”
shall refer instead to the Successor Entity), and may exercise every right and
power of the Company and shall assume all of the obligations of the Company
under this Warrant and the other Transaction Documents with the same effect as
if such Successor Entity had been named as the Company herein.

     

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

     

    f)           Calculations. All
calculations under this Section 3 shall be made to the nearest cent or the
nearest 1/100th of a share, as the case may be. For purposes of this Section 3,
the number of Ordinary Shares deemed to be issued and outstanding as of a given
date shall be the sum of the number of Ordinary Shares (excluding treasury
shares, if any) issued and outstanding.

     

    g)           Notice to
Holder.

     

    i.      Adjustment to Exercise
Price. Whenever the Exercise Price is adjusted pursuant to any provision
of this Section 3, the Company shall promptly mail to the Holder a notice
setting forth the Exercise Price after such adjustment and setting forth a brief
statement of the facts requiring such adjustment.

     

    
      
         

      

      
        10

        
          

        

      

      
         

      

    

     

    ii.           Notice to Allow Exercise by
Holder. If, prior to the earlier of (i) the Termination Date and (ii) the
date on which this Warrant has been exercised in full, (A) the Company shall
declare a dividend (or any other distribution in whatever form) on the Ordinary
Shares, (B) the Company shall declare a special nonrecurring cash dividend on or
a redemption of the Ordinary Shares, (C) the Company shall authorize the
granting to all holders of the Ordinary Shares rights or warrants to subscribe
for or purchase any shares of capital stock of any class or of any rights, (D)
the approval of any shareholders of the Company shall be required in connection
with any reclassification of the Ordinary Shares, any consolidation or merger to
which the Company is a party, any sale or transfer of all or substantially all
of the assets of the Company, or any compulsory share exchange whereby the
Ordinary Shares are converted into other securities, cash or property, or (E)
the Company shall authorize the voluntary or involuntary dissolution,
liquidation or winding up of the affairs of the Company, then, in each case, the
Company shall cause to be mailed to the Holder at its last address as it shall
appear upon the Warrant Register of the Company, at least 20 calendar days prior
to the applicable record or effective date hereinafter specified, a notice
stating (x) the date on which a record is to be taken for the purpose of such
dividend, distribution, redemption, rights or warrants, or if a record is not to
be taken, the date as of which the holders of the Ordinary Shares of record to
be entitled to such dividend, distributions, redemption, rights or warrants are
to be determined or (y) the date on which such reclassification, consolidation,
merger, sale, transfer or share exchange is expected to become effective or
close, and the date as of which it is expected that holders of the Ordinary
Shares of record shall be entitled to exchange their shares of the Ordinary
Shares for securities, cash or other property deliverable upon such
reclassification, consolidation, merger, sale, transfer or share exchange;
provided that the failure to mail such notice or any defect therein or in the
mailing thereof shall not affect the validity of the corporate action required
to be specified in such notice.  To the extent that any notice
provided hereunder constitutes, or contains, material, non-public information
regarding the Company or any of the Subsidiaries, the Company shall
simultaneously publicly disclose such information in compliance with applicable
securities laws.  The Holder shall remain entitled to exercise this
Warrant during the period commencing on the date of such notice to the effective
date of the event triggering such notice  except as may otherwise be
expressly set forth herein.

     

    
      
        
        

      

      
        11

        
          

        

      

      
        
        

      

    

     

    Section
4.             Transfer of
Warrant.
 

    a)           Transferability.  Subject
to compliance with any applicable securities laws and the conditions set forth
in Section 4(d) hereof and to the provisions of Section 4.1 of the Purchase
Agreement, this Warrant and all rights hereunder (including, without limitation,
any registration rights) are transferable, in whole or in part, upon surrender
of this Warrant at the principal office of the Company or its designated agent,
together with a written assignment of this Warrant substantially in the form
attached hereto duly executed by the Holder or its agent or attorney and funds
sufficient to pay any transfer taxes payable upon the making of such
transfer.  Upon such surrender and, if required, such payment, the
Company shall execute and deliver a new Warrant or Warrants in the name of the
assignee or assignees, as applicable, and in the denomination or denominations
specified in such instrument of assignment, and shall issue to the assignor a
new Warrant evidencing the portion of this Warrant not so assigned, and this
Warrant shall promptly be cancelled.  The Warrant, if properly
assigned in accordance herewith, may be exercised by a new holder for the
purchase of Warrant Shares without having a new Warrant issued.

     

    b)           New Warrants. This
Warrant may be divided or combined with other Warrants upon presentation hereof
at the aforesaid office of the Company, together with a written notice
specifying the names and denominations in which new Warrants are to be issued,
signed by the Holder or its agent or attorney.  Subject to compliance
with Section 4(a), as to any transfer which may be involved in such division or
combination, the Company shall execute and deliver a new Warrant or Warrants in
exchange for the Warrant or Warrants to be divided or combined in accordance
with such notice. All Warrants issued on transfers or exchanges shall be dated
the Initial Exercise Date and shall be identical with this Warrant except as to
the number of Warrant Shares issuable pursuant thereto.

     

    c)           Warrant Register. The
Company shall register this Warrant, upon records to be maintained by the
Company for that purpose (the “Warrant Register”),
in the name of the record Holder hereof from time to time.  The
Company may deem and treat the registered Holder of this Warrant as the absolute
owner hereof for the purpose of any exercise hereof or any distribution to the
Holder, and for all other purposes, absent actual notice to the
contrary.

     

    d)           Transfer
Restrictions. If, at the time of the
surrender of this Warrant in connection
with any sale or transfer of this
Warrant or the Warrant Shares, such sale or transfer shall not be (i)
registered pursuant to an effective registration statement under the Securities
Act and under applicable state securities or blue sky laws,
(ii) made pursuant to Rule 144 or
(iii)
eligible for resale without volume or manner-of-sale restrictions or current
public information requirements pursuant to Rule 144, the Company may require,
as a condition of allowing such transfer or sale, that the Holder provide to the Company an opinion
of counsel selected by the Holder and reasonably acceptable to the Company, which acceptance shall not be
unreasonably delayed, to the effect that
such transfer or sale does not require registration of such transferred security under the Securities
Act.

     

    e)           Representation by the
Holder.  The Holder, by the
acceptance hereof, represents and warrants that (a) it is acquiring this Warrant
and, upon any exercise hereof, will acquire the Warrant Shares
issuable upon such exercise, for its own
account and not with a view to or for distributing or reselling such Warrant
Shares or any part thereof in violation of the Securities Act or any applicable
state securities law, except pursuant to sales registered or exempted under the
Securities Act and (b) at the time the
Holder was offered this Warrant, it was, and as of the date hereof it is, and on
each date on which it exercises this Warrants it will be,
either an “accredited investor” as defined in Rule 501(a) under the Securities Act or a “qualified institutional buyer” as defined in Rule 144A(a) under the Securities
Act.

     

    
      
         

      

      
        12

        
          

        

      

      
         

      

    

     

    Section
5.             Miscellaneous.

     

    a)           No Rights as Shareholder
Until Exercise.  This Warrant does not entitle the Holder to
any voting rights, dividends or other rights as a shareholder of the Company
prior to the exercise hereof as set forth in Section 2(d)(i).

     

    b)           Loss, Theft, Destruction or
Mutilation of Warrant. The Company covenants that upon receipt by the
Company of evidence reasonably satisfactory to it of the loss, theft,
destruction or mutilation of this Warrant or any stock certificate relating to
the Warrant Shares, and in case of loss, theft or destruction, of indemnity or
security reasonably satisfactory to it (which, in the case of the Warrant, shall
not include the posting of any bond), and upon surrender and cancellation of
such Warrant or stock certificate, if mutilated, the Company will make and
deliver a new Warrant or stock certificate of like tenor and dated as of such
cancellation, in lieu of such Warrant or stock certificate.

     

    c)           Saturdays, Sundays,
Holidays, etc.  If the last or appointed day for the taking of
any action or the expiration of any right required or granted herein shall not
be a Business Day, then, such action may be taken or such right may be exercised
on the next succeeding Business Day; provided, however, for
calculating Business Days with respect to any action to be taken by the Company
hereunder or in connection with the Warrant, Friday after 1:00 p.m. (New York
City time) shall not be considered a Business Day.

     

    d)           Authorized
Shares.

     

    The
Company covenants that, during the period the Warrant is outstanding, it will
reserve from its authorized and unissued Ordinary Shares a sufficient number of
shares to provide for the issuance of the Warrant Shares upon the exercise of
any purchase rights under this Warrant.  The Company further covenants
that its issuance of this Warrant shall constitute full authority to its
officers who are charged with the duty of executing stock certificates to
execute and issue the necessary certificates for the Warrant Shares upon the
exercise of the purchase rights under this Warrant.  The Company will
take all such reasonable action as may be necessary to assure that such Warrant
Shares may be issued as provided herein without violation of any applicable law
or regulation, or of any requirements of the Trading Market upon which the
Ordinary Shares may be listed.  The Company covenants that all Warrant
Shares which may be issued upon the exercise of the purchase rights represented
by this Warrant will, upon exercise of the purchase rights represented by this
Warrant and payment for such Warrant Shares in accordance herewith, be duly
authorized, validly issued, fully paid and nonassessable and free from all
taxes, liens and charges created by the Company in respect of the issue thereof
(other than taxes in respect of any transfer occurring contemporaneously with
such issue).

     

    
      
         

      

      
        13

        
          

        

      

      
         

      

    

     

    Except
and to the extent as waived or consented to by the Holder, the Company shall not
by any action, including, without limitation, amending its certificate of
incorporation or through any reorganization, transfer of assets, consolidation,
merger, dissolution, issue or sale of securities or any other voluntary action,
avoid or seek to avoid the observance or performance of any of the terms of this
Warrant, but will at all times in good faith assist in the carrying out of all
such terms and in the taking of all such actions as may be necessary or
appropriate to protect the rights of Holder as set forth in this Warrant against
impairment.  Without limiting the generality of the foregoing, the
Company will (i) not increase the par value of any Warrant Shares above the
amount payable therefor upon such exercise immediately prior to such increase in
par value, (ii) take all such action as may be necessary or appropriate in order
that the Company may validly and legally issue fully paid and nonassessable
Warrant Shares upon the exercise of this Warrant and (iii) use commercially
reasonable efforts to obtain all such authorizations, exemptions or consents
from any public regulatory body having jurisdiction thereof, as may be,
necessary to enable the Company to perform its obligations under this
Warrant.

     

    Before
taking any action which would result in an adjustment in the number of Warrant
Shares for which this Warrant is exercisable or in the Exercise Price, the
Company shall obtain all such authorizations or exemptions thereof, or consents
thereto, as may be necessary from any public regulatory body or bodies having
jurisdiction thereof.

     

    e)           Jurisdiction. All
questions concerning the construction, validity, enforcement and interpretation
of this Warrant shall be determined in accordance with the provisions of the
Purchase Agreement.

     

    f)           Restrictions.  The
Holder acknowledges that the Warrant Shares acquired upon the exercise of this
Warrant, if not registered and the Holder does not utilize cashless exercise,
will have restrictions upon resale imposed by state and federal securities
laws.

     

    g)           Nonwaiver and
Expenses.  No course of dealing or any delay or failure to
exercise any right hereunder on the part of Holder shall operate as a waiver of
such right or otherwise prejudice the Holder’s rights, powers or remedies,
notwithstanding the fact that all rights hereunder terminate on the Termination
Date.  If the Company is found by a final determination of a court of
competent jurisdiction to have willfully and knowingly failed to comply with any
provision of this Warrant, which results in any material damages to the Holder,
the Company shall pay to the Holder such amounts as shall be sufficient to cover
any costs and expenses including, but not limited to, reasonable attorneys’
fees, including those of appellate proceedings, incurred by the Holder in
collecting any amounts due pursuant hereto or in otherwise enforcing any of its
rights, powers or remedies hereunder.

     

    
      
         

      

      
        14

        
          

        

      

      
         

      

    

     

    h)           Notices.  Any
notice, request or other document required or permitted to be given or delivered
to the Holder by the Company shall be delivered in accordance with the notice
provisions of the Purchase Agreement.

     

    i)     
      Limitation of
Liability.  No provision hereof, in the absence of any
affirmative action by the Holder to exercise this Warrant to purchase Warrant
Shares, and no enumeration herein of the rights or privileges of the Holder,
shall give rise to any liability of the Holder for the purchase price of any
Ordinary Shares or as a shareholder of the Company, whether such liability is
asserted by the Company or by creditors of the Company.

     

    j)       
    Remedies.  The
Holder, in addition to being entitled to exercise all rights granted by law,
including recovery of damages, will be entitled to specific performance of its
rights under this Warrant.  The Company agrees that monetary damages
would not be adequate compensation for any loss incurred by reason of a breach
by it of the provisions of this Warrant and hereby agrees to waive and not to
assert the defense in any action for specific performance that a remedy at law
would be adequate.

     

    k)           Successors and
Assigns.  Subject to applicable securities laws, this Warrant
and the rights and obligations evidenced hereby shall inure to the benefit of
and be binding upon the successors and permitted assigns of the Company and the
successors and permitted assigns of Holder.  The provisions of this
Warrant are intended to be for the benefit of any Holder from time to time of
this Warrant and shall be enforceable by the Holder or holder of Warrant
Shares.

     

    l)   
        Amendment.  This
Warrant may be modified or amended or the provisions hereof waived with the
written consent of the Company and the Holder.

     

    m)           Severability.  Wherever
possible, each provision of this Warrant shall be interpreted in such manner as
to be effective and valid under applicable law, but if any provision of this
Warrant shall be prohibited by or invalid under applicable law, such provision
shall be ineffective to the extent of such prohibition or invalidity, without
invalidating the remainder of such provisions or the remaining provisions of
this Warrant.

     

    n)           Headings.  The
headings used in this Warrant are for the convenience of reference only and
shall not, for any purpose, be deemed a part of this Warrant.

     

    ********************

     

    (Signature
Page Follows)

     

    
      
         

      

      
        15

        
          

        

      

      
         

      

    

     

    IN
WITNESS WHEREOF, the Company has caused this Warrant to be executed by its
officer thereunto duly authorized as of the date first above
indicated.

     

    
      
        	 
      	
                ROSETTA
      GENOMICS LTD.

              
	 
      	 
      
	 
      	
                By:

              	
                  

              
	 
      	 
      	
                Name:

              
	 
      	 
      	
                Title:

              

      

    

     

    
      
         

      

      
        16

        
          

        

      

      
         

      

    

    
 

    NOTICE
OF EXERCISE

    

    TO:      ROSETTA
GENOMICS LTD.

    

    (1)  The
undersigned hereby elects to purchase ________ Warrant Shares of the Company
pursuant to the terms of the attached Warrant (only if exercised in full), and
tenders herewith payment of the exercise price in full, together with all
applicable transfer taxes, if any.

     

    (2)  Payment
shall take the form of (check applicable box):

     

    o in lawful money of the
United States; or

     

    o [if permitted] the
cancellation of such number of Warrant Shares as is necessary, in accordance
with the formula set forth in subsection 2(c), to exercise this Warrant with
respect to the maximum number of Warrant Shares purchasable pursuant to the
cashless exercise procedure set forth in subsection 2(c).

     

    (3)  Please
issue a certificate or certificates representing said Warrant Shares in the name
of the undersigned or in such other name as is specified below:

    
    

    _______________________________

     

    The
Warrant Shares shall be delivered to the following DWAC Account Number or by
physical delivery of a certificate to:

     

    _______________________________

    

    _______________________________

    

    _______________________________

    

    (4)  Accredited
Investor.  The undersigned is an “accredited investor” as
defined in Regulation D promulgated under the Securities Act of 1933, as
amended.

    

    [SIGNATURE
OF HOLDER]

    

    Name of
Investing Entity:
________________________________________________________________________

    Signature of Authorized Signatory of
Investing Entity:
_________________________________________________

    Name of
Authorized Signatory:
___________________________________________________________________

    Title of
Authorized Signatory:
____________________________________________________________________

    Date:
________________________________________________________________________________________

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

     

    ASSIGNMENT
FORM

    

    (To
assign the foregoing warrant, execute

    this form
and supply required information.

    Do not
use this form to exercise the warrant.)

    
    

    FOR VALUE
RECEIVED, [____] all of or [_______] shares of the foregoing Warrant and all
rights evidenced thereby are hereby assigned to

     _______________________________________________
whose address is

    

    _______________________________________________________________.

    
    

    _______________________________________________________________

    

    Dated:  ______________,
_______

    
    

    Holder’s
Signature:  _____________________________

    

    Holder’s
Address:    _____________________________

    

     _____________________________

     

    Signature
Guaranteed:  ___________________________________________

    
    

    NOTE:  The
signature to this Assignment Form must correspond with the name as it appears on
the face of the Warrant, without alteration or enlargement or any change
whatsoever, and must be guaranteed by a bank or trust
company.  Officers of corporations and those acting in a fiduciary or
other representative capacity should file proper evidence of authority to assign
the foregoing Warrant.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00182-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00182-of-00352.parquet"}]]