Document:

Third Amended and Restated Certificate of Incorporation of the Registrant

 Exhibit 4.2 
  

THIRD AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT 
  
 This Third Amended and Restated Investor Rights Agreement (“Agreement”) dated as of August 30, 2004, by and among (i) Coley
Pharmaceutical Group, Inc., a Delaware corporation (the “Company”), (ii) the holders of the Existing Preferred Stock (as defined below) as listed on the attached Exhibit A (the “Existing Investors”), (iii)
the holders of Series F Preferred Stock (as defined below) as listed on the attached Exhibit B (the “Series F Investors”), (iv) the holders of Series G Preferred Stock (as defined below) as listed on the attached Exhibit
C (the “Series G Investors” and together with the Existing Investors, the Series F Investors and any other person who shall after the date hereof join in and become a party to this Agreement by executing and delivering to the
Company a counterpart signature page to this Agreement in the form attached hereto as Exhibit D, collectively, the “Investors,” and each individually, an “Investor”), and (v) the holders of Founder Stock (as
defined below) as listed on the attached Exhibit E (the “Common Stockholders”). 
  
 WHEREAS, the Company, the Common Stockholders, the Existing Investors and the Series F Investors are parties to the Second Amended and Restated Investor
Rights Agreement dated as of September 24, 2003 (the “Prior Investor Rights Agreement”); 
  
 WHEREAS, the Common Stockholders own shares of the Company’s Common Stock, $.01 par value per share (the “Common Stock”), and
certain of the Investors own shares of the Company’s Series A Convertible Preferred Stock, $.01 par value per share (the “Series A Preferred Stock”), the Company’s Series B Convertible Preferred Stock, $.01 par value per
share (the “Series B Preferred Stock”), the Company’s Series C Convertible Preferred Stock, $.01 par value per share (the “Series C Preferred Stock”), the Company’s Series D Convertible Preferred Stock,
$.01 par value per share (the “Series D Preferred Stock”) and/or the Company’s Series E Convertible Preferred Stock, $.01 par value per share (the “Series E Preferred Stock” and collectively with the Series A
Preferred Stock, Series B Preferred Stock, Series C Preferred Stock and Series D Preferred Stock, the “Existing Preferred Stock”); 
  
 WHEREAS, the Series F Investors own shares of the Company’s Series F Convertible Preferred Stock, $.01 par value per share (the “Series F
Preferred Stock”); 
  
 WHEREAS, the Series G Investors
wish to purchase up to an aggregate of 20,718,569 shares of the Company’s Series G Convertible Preferred Stock, $.01 par value per share (the “Series G Preferred Stock”) pursuant to the terms of the Purchase Agreement (as
defined below); 
  
 WHEREAS, the undersigned parties hereto (other
than the Corporation) represent (i) the holders of at least a majority of the then outstanding shares of Preferred Stock calculated on an as-converted basis and (ii) the holders of at least a majority of the then issued and outstanding shares of
Series F Preferred Stock and, as such, have the right, power and authority pursuant to Section 5.8 of the Prior Investor Rights Agreement to execute and deliver this Agreement and to amend and restate the Prior Investor Rights Agreement in the
manner provided in this Agreement; and 
  

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 WHEREAS, it is a condition to the obligations of the Series G Investors under the Purchase Agreement
that the undersigned parties hereto enter into this Agreement and that the terms and conditions of the Prior Investor Rights Agreement be amended and restated as set forth in this Agreement and that the Prior Investor Rights Agreement thereafter be
terminated in its entirety and be of no further force or effect; 
  
 NOW, THEREFORE, in consideration of these premises and the mutual covenants and agreements contained herein, and the parties’ desire to further the interests of the Company and its present and future stockholders the parties hereto,
intending to be legally bound, agree as follows: 
  
 ARTICLE I

  
 DEFINITIONS 
  
 1.1 Definitions. Unless otherwise defined in this Agreement, or unless
otherwise inconsistent herewith, capitalized terms used in this Agreement that are defined in the Purchase Agreement shall have the meanings assigned to them in the Purchase Agreement, and the rules of construction and documentary convention set
forth in the Purchase Agreement shall apply to this Agreement. 
  
 1.2. Additional Definitions. As used in this Agreement, the following terms shall have the following respective meanings: 
  
 “Commission” shall mean the United States Securities and Exchange Commission, or any other federal agency at the time
administering the Securities Act. 
  
 “Conversion Stock” shall mean Common Stock issued or issuable upon conversion of the Preferred Stock. 
  
 “Exchange Act” shall mean the United States Securities Exchange Act of 1934, as amended, or any similar federal statute,
and the rules and regulations of the Commission thereunder, all as the same shall be in effect at the time. 
  
 “Existing Investors” means the Investors holding shares of the Company’s Series A Preferred Stock, the Series B
Preferred Stock, the Series C Preferred Stock, the Series D Preferred Stock and the Series E Preferred Stock and the shares of Common Stock issued or issuable upon conversion thereof. 
  
 “Founder Restricted Stock” shall mean all Founder Stock owned by the Common Stockholders or
hereafter acquired by the Common Stockholders except that Founder Restricted Stock shall exclude Common Stock (a) which has been registered under the Securities Act pursuant to an effective registration statement filed thereunder and disposed of in
accordance with the registration statement covering them; or (b) which has been publicly sold pursuant to Rule 144 under the Securities Act. 

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 “Founder Stock” means (i) an aggregate of 2,716,000 shares of Common
Stock held beneficially and of record by Arthur M. Krieg on the date of this Agreement, including any shares transferred to (A) Dr. Heather I. Davis, upon exercise of an Option Agreement, dated December 22, 1998, between Krieg and Davis with respect
to 96,500 of such shares, (B) Peer M. Schatz upon exercise of an Option Agreement, dated January 31, 1997, between Krieg and Schatz with respect to 83,000 of such shares, (C) Dr. Metin Colpan upon exercise of an Option Agreement, dated January 31,
1997, between Krieg and Colpan with respect to 83,000 of such shares, (D) Dr. Joachim Schorr upon exercise of Option Agreements, dated January 31, 1997 and December 22, 1998, between Krieg and Schorr with respect to 143,500 of such shares, (ii)
13,500 shares of Common Stock held beneficially and of record by Helmut Schühsler on the date of this Agreement, (iii) 4,500 shares of Common Stock held beneficially and of record by Friedrich Bornikoel on the date of this Agreement; (iv) 4,500
shares of Common Stock held beneficially and of record by John DiBello on the date of this Agreement; (v) 4,500 shares of Common Stock held beneficially and of record by Bernd Siebel on the date of this Agreement; and (vi) 3,000 shares of Common
Stock held beneficially and of record by Gert Caspritz on the date of this Agreement. 
  
 “Initial Public Offering” shall mean a firm commitment underwritten public offering of equity securities of the Company
pursuant to an effective registration statement filed under the Securities Act. 
  
 “Person” shall be construed broadly, and shall include any individual, corporation, partnership, joint venture,
association, joint-stock company, limited liability company, unincorporated organization or governmental entity (or any agency or subdivision thereof). 
  
 “Preferred Stock” shall mean the Series A Preferred Stock, Series B Preferred Stock, the Series C Preferred Stock, the
Series D Preferred Stock, the Series E Preferred Stock, the Series F Preferred Stock and the Series G Preferred Stock. 
  
 “Purchase Agreement” means the Securities Purchase Agreement entered into by the Corporation and the Series G Investors
dated as of the date hereof relating to the purchase by the Series G Investors of shares of Series G Preferred Stock of the Corporation. 
  
 “Registration Expenses” shall mean all expenses incurred by the Company in complying with Sections 2.3, 2.4 or 2.5,
including, without limitation, all registration and filing fees, printing expenses, fees and disbursements of counsel and independent public accountants for the Company, fees and expenses (including counsel fees) incurred in connection with
complying with state or provincial securities or “blue sky” laws, fees of the National Association of Securities Dealers, Inc., transfer taxes, fees of transfer agents and registrars, costs of insurance and reasonable fees and
disbursements of one counsel for the sellers of Restricted Stock and Founder Restricted Stock, as applicable, but excluding any Selling Expenses. 
  
 “Restricted Stock” shall mean all Common Stock and Conversion Stock owned by the Investors or hereafter acquired by the
Investors, except that Restricted Stock shall exclude 

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Common Stock or Conversion Stock (a) which has been registered under the Securities Act pursuant to an effective registration statement filed thereunder and
disposed of in accordance with the registration statement covering them; (b) which has been publicly sold pursuant to Rule 144 under the Securities Act; or (c) which has been transferred in any manner to any Person who is not a permitted assignee or
transferee under Section 2.11. For clarity and avoidance of doubt, unless otherwise expressly specified in this Agreement, “Restricted Stock” shall be deemed to not include “Founder Restricted Stock”. 
  
 “Securities Act” shall mean the United
States Securities Act of 1933, as amended, or any similar federal statute, and the rules and regulations of the Commission thereunder, all as the same shall be in effect at the time. 
  
 “Selling Expenses” shall mean all underwriting discounts and selling commissions applicable
to the sale of Restricted Stock and Founder Restricted Stock, as applicable. 
  
 “Series F Conversion Stock” shall mean Common Stock issued or issuable upon conversion of the Series F Preferred Stock. 
  
 “Series F Restricted Stock” shall mean all Common Stock or Series F Conversion Stock owned
by the Investors or hereafter acquired by the Investors, except that Series F Restricted Stock shall exclude Common Stock or Series F Conversion Stock (a) which has been registered under the Securities Act pursuant to an effective registration
statement filed thereunder and disposed of in accordance with the registration statement covering them; or (b) which has been publicly sold pursuant to Rule 144 under the Securities Act. 
  
 “Senior Conversion Stock” shall mean Common Stock issued or issuable upon conversion of the
Series F Preferred Stock or Series G Preferred Stock. 
  
 “Senior Restricted Stock” shall mean all Common Stock or Senior Conversion Stock owned by the Investors or hereafter acquired by the Investors, except that Senior Restricted Stock shall exclude Common Stock or Senior
Conversion Stock (a) which has been registered under the Securities Act pursuant to an effective registration statement filed thereunder and disposed of in accordance with the registration statement covering them; or (b) which has been publicly sold
pursuant to Rule 144 under the Securities Act. 
  
 “Stockholders Agreement” shall mean that certain Amended and Restated Stockholders Agreement of even date herewith by and among the Company and the parties thereto, as may be amended from time to time. 

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 ARTICLE II 
  
 TRANSFERS OF STOCK AND REGISTRATION RIGHTS 
  
 2.1 Restrictive Legend. Each certificate representing Founder Stock, Preferred Stock or Conversion Stock shall, except as otherwise provided in
this Section 2.1 or in Section 2.2, be stamped or otherwise imprinted with a legend substantially in the following form: 
  
 (a) If the Common Stockholder or Investor holding such shares is a U.S. Person or an accredited investor within the meaning of Rule 501
under the Securities Act: 
  
 THE SHARES REPRESENTED BY THIS
CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY APPLICABLE STATE SECURITIES LAWS AND MAY NOT BE SOLD, OFFERED FOR SALE, MORTGAGED, PLEDGED, HYPOTHECATED OR OTHERWISE TRANSFERRED UNLESS AND UNTIL SUCH SHARES
ARE REGISTERED UNDER SUCH ACT OR AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY IS OBTAINED TO THE EFFECT THAT SUCH REGISTRATION IS NOT REQUIRED. 
  
 THE COMPANY IS AUTHORIZED TO ISSUE MORE THAN ONE CLASS OR SERIES OF STOCK. UPON WRITTEN REQUEST, THE COMPANY WILL FURNISH WITHOUT CHARGE TO EACH
STOCKHOLDER WHO SO REQUESTS THE POWERS AND DESIGNATIONS, AND THE RELATIVE PREFERENCES AND RIGHTS, OF EACH CLASS OF STOCK OR SERIES THEREOF AND THE RELATIVE QUALIFICATIONS, LIMITATIONS OR RESTRICTIONS OF SUCH PREFERENCES AND/OR RIGHTS. 
  
 THE SHARES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO RESTRICTIONS ON
TRANSFER AND MAY NOT BE SOLD, EXCHANGED, TRANSFERRED, PLEDGED, HYPOTHECATED OR OTHERWISE DISPOSED OF EXCEPT IN ACCORDANCE WITH AND SUBJECT TO ALL THE TERMS AND CONDITIONS OF AN AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT, AS FURTHER AMENDED FROM
TIME TO TIME, A COPY OF WHICH THE COMPANY WILL FURNISH TO THE HOLDER OF THIS CERTIFICATE UPON REQUEST AND WITHOUT CHARGE. 
  
 (b) If the Series F Investor or Series G Investor holding such shares is not a U.S. Person and is not an accredited investor within the
meaning of Rule 501 under the Securities Act: 
  
 THE SHARES
REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY APPLICABLE STATE SECURITIES LAWS AND MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED, 

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PLEDGED OR HYPOTHECATED UNLESS AND UNTIL SUCH SHARES ARE REGISTERED UNDER SUCH ACT OR AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY IS OBTAINED TO THE
EFFECT THAT THE SECURITIES ARE BEING SOLD OUTSIDE OF THE UNITED STATES TO NON-UNITED STATES RESIDENTS IN COMPLIANCE WITH REGULATION S OF SUCH ACT OR OTHERWISE PURSUANT TO AN AVAILABLE EXEMPTION FROM REGISTRATION AND THAT SUCH REGISTRATION IS NOT
REQUIRED. HEDGING TRANSACTIONS INVOLVING THESE SECURITIES ARE PROHIBITED UNLESS IN COMPLIANCE WITH SUCH ACT. 
  
 THE COMPANY IS AUTHORIZED TO ISSUE MORE THAN ONE CLASS OR SERIES OF STOCK. UPON WRITTEN REQUEST, THE COMPANY WILL FURNISH WITHOUT CHARGE TO EACH
STOCKHOLDER WHO SO REQUESTS THE POWERS AND DESIGNATIONS, AND THE RELATIVE PREFERENCES AND RIGHTS, OF EACH CLASS OF STOCK OR SERIES THEREOF AND THE RELATIVE QUALIFICATIONS, LIMITATIONS OR RESTRICTIONS OF SUCH PREFERENCES AND/OR RIGHTS. 
  
 THE SHARES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO RESTRICTIONS ON
TRANSFER AND MAY NOT BE SOLD, EXCHANGED, TRANSFERRED, PLEDGED, HYPOTHECATED OR OTHERWISE DISPOSED OF EXCEPT IN ACCORDANCE WITH AND SUBJECT TO ALL THE TERMS AND CONDITIONS OF AN AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT, AS FURTHER AMENDED FROM
TIME TO TIME, A COPY OF WHICH THE COMPANY WILL FURNISH TO THE HOLDER OF THIS CERTIFICATE UPON REQUEST AND WITHOUT CHARGE. 
  
 A certificate shall not bear such legends if in the opinion of counsel satisfactory to the Company (it being agreed that an opinion of Testa, Hurwitz
& Thibeault, LLP or Foley Hoag LLP shall be satisfactory) the securities represented thereby may be publicly sold without registration under the Securities Act and any applicable state securities laws. 
  
 2.2 Notice of Proposed Transfer. Prior to any proposed transfer by any
Person of any Preferred Stock or Conversion Stock (other than under the circumstances described in Sections 2.3, 2.4 or 2.5), the holder thereof shall give written notice to the Company of his, her or its intention to effect such transfer. Each such
notice shall describe the manner of the proposed transfer and, if requested by the Company, shall be accompanied by a written opinion of counsel satisfactory to the Company (it being agreed that an opinion of Testa, Hurwitz & Thibeault, LLP or
Foley Hoag LLP shall be satisfactory) to the effect that the proposed transfer may be effected without registration under the Securities Act and any applicable state securities laws, whereupon the holder of such stock shall be entitled under the
securities laws to transfer such stock in accordance with the terms of its notice; provided, however, that no such opinion of counsel shall be required for a transfer to one or more partners of the transferor (in the case of a
transferor that 

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is a partnership), one or more members of the transferor (in the case of a transferor that is a limited liability corporation) or to an affiliated
corporation (in the case of a transferor that is a corporation); and provided further, however, that any such transfer must be in accordance with the Stockholders Agreement. Each certificate for Preferred Stock or Conversion
Stock transferred as above provided shall bear the legend set forth in Section 2.1, except that such certificate shall not bear such legend if (i) such transfer is in accordance with the provisions of Rule 144 (or any other rule permitting public
sale without registration under the Securities Act) or (ii) the written opinion of counsel referred to above is to the further effect that the transferee and any subsequent transferee (other than an affiliate of the Company) would be entitled to
transfer such securities in a public sale without registration under the Securities Act. The restrictions provided for in this Section 2.2 shall not apply to securities which are not required to bear the legend prescribed by Section 2.1 in
accordance with the provisions of Section 2.1. 
  
 2.3 Required
Registration. (a) At any time after the earlier of the Company’s Initial Public Offering or August 19, 2006 (but not within 180 days of the effective date of any registration statement for the Company’s Initial Public Offering),
Investors who in the aggregate hold at least 33% of the total Series F Restricted Stock then outstanding may by written notice to the Company request the Company to register under the Securities Act all or any portion of the Series F Restricted
Stock held by such requesting holder or holders for sale in the manner specified in such notice, provided that either (i) the registration statement pursuant to this Section 2.3(a) involves at least 25% of the Series F Restricted Stock then
outstanding or (ii) the reasonably anticipated aggregate price to the public for such Series F Restricted Stock would exceed $5,000,000. For purposes of this Section 2.3, the term “Series F Restricted Stock” shall be deemed to
include the number of shares of Series F Restricted Stock which would be issuable to a holder of Series F Preferred Stock upon conversion of all Series F Preferred Stock; provided, however, that the only securities which the Company
shall be required to register pursuant hereto shall be Common Stock; and provided further, however, that, in any underwritten public offering contemplated by this Section 2.3, the holders of Series F Preferred Stock shall be entitled to sell
such shares of Series F Preferred Stock to the underwriters (with the underwriters’ approval) for conversion and sale of the Common Stock issued upon conversion thereof. 
  
 (b) Following receipt of a notice under Section 2.3(a), the Company shall immediately notify all Investors
holding Restricted Stock from whom notice has not been received. Such Investors shall have the right, by giving written notice to the Company within 30 days after the Company provides such notice, to elect to have included in such registration the
number of shares of Restricted Stock as such Investors may request, subject in the case of an underwritten offering to the terms of Section 2.3(c). The Company shall use its best efforts to register under the Securities Act, for public sale in
accordance with the method of disposition specified in any notice from requesting holders, the number of shares of Series F Restricted Stock specified in such notice and the number of shares of Restricted Stock specified in all notices received by
the Company from other holders of Restricted Stock within 30 days after the giving of such notice by the Company. If such method of disposition shall be an underwritten public offering, the holders of at least a majority of the shares of Series F
Restricted Stock held by the Investors to be sold in such offering may designate the managing underwriter of such offering, subject to the Company’s approval, which shall not be unreasonably withheld. In the event that 

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any registration pursuant to this Section 2.3 shall be, in whole or in part, an underwritten public offering of Common Stock, and the underwriters advise the
Investors that marketing factors require a limitation of the number of shares of Restricted Stock to be underwritten, the underwriters shall allocate the number of shares of Restricted Stock requested to be registered by each of the Investors
thereof as follows: (i) first, to the Investors holding Series F Restricted Stock that have elected to participate in such offering, pro rata according to the number of shares of Series F Restricted Stock requested to be registered; (ii) next, to
the Investors holding other shares of Senior Restricted Stock that have elected to participate in such offering, pro rata according to the number of shares of Senior Restricted Stock requested to be registered; and (iii) thereafter, to the Existing
Investors holding Restricted Stock that have elected to participate in such offering, pro rata according to the number of shares of Restricted Stock requested to be registered. The Company shall be obligated to register, pursuant to this Section
2.3, Series F Restricted Stock on two (2) occasions only (except for registration on Form S-3 or any equivalent successor form); provided, however, that, in each case, such obligation shall be deemed satisfied only when a registration
statement covering all shares of Series F Restricted Stock specified in notices received as aforesaid, for sale in accordance with the method of disposition specified by the requesting holders, shall have become effective and, if such method of
disposition is a firm commitment underwritten public offering, all such shares shall have been sold pursuant thereto. 
  
 (c) In any registration statement requested pursuant to this Section 2.3, the Company shall be entitled to include, for sale in accordance
with the method of disposition specified by the requesting holders, Common Stock to be sold by the Company for its own account. If such method of disposition shall be an underwritten public offering and in the opinion of the managing underwriter
such inclusion would adversely affect the marketing of the Restricted Stock to be sold, then the Company at its option may (i) reduce the number of shares of Common Stock to be sold by the Company for its own account to that number which, in the
opinion of the managing underwriter, would not adversely affect the marketing of the Restricted Stock requested to be sold, or (ii) reduce (pro rata among the requesting holders based on the number of shares of Restricted Stock owned by such holders
in accordance with subsection (b) above) the number of shares of Restricted Stock to be sold to that number which, in the opinion of the managing underwriter, would not adversely affect the marketing of the Common Stock desired to be sold by the
Company for its own account. In the event that the Company selects option (ii), then the registration statement shall not count as a registration of Senior Restricted Stock pursuant to Section 2.3(b) above. Except for registration statements on Form
S-4 or Form S-8, or any successor thereto, or as provided in Section 2.3(b), the Company shall not file with the Commission any other registration statement with respect to its Common Stock, whether for its own account or that of other security
holders of the Company, from the date of receipt of a notice from requesting holders pursuant to this Section 2.3 until the completion of the period of distribution contemplated by such offering. 
  
 2.4 Incidental Registration. If the Company at any time (other than
pursuant to Section 2.3 or Section 2.5 hereof) proposes to register any of its securities under the Securities Act for sale to the public, whether for its own account or for the account of other security holders or both (except with respect to
registration statements on Forms S-4, S-8 or another form not available for registering the Restricted Stock and Founder Restricted Stock, as applicable, for 

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sale to the public), each such time it will give written notice to all holders of outstanding Restricted Stock and Founder Restricted Stock of its intention
to do so. Upon the written request of any such holder, received by the Company within 30 days after the giving of any such notice by the Company, to register any of such holder’s Restricted Stock or Founder Restricted Stock, as applicable, the
Company will use its best efforts to cause the shares of Restricted Stock and Founder Restricted Stock, as applicable, as to which registration shall have been so requested to be included in the securities to be covered by the registration statement
proposed to be filed by the Company, all to the extent required to permit the sale or other disposition by the holder of such Restricted Stock and Founder Restricted Stock, as applicable, so registered. In the event that any registration pursuant to
this Section 2.4 shall be, in whole or in part, an underwritten public offering of Common Stock, and the underwriters advise the Company that marketing factors require a limitation of the number of shares to be underwritten, the Company and its
underwriters shall allocate the number of shares of Restricted Stock and Founder Restricted Stock, as applicable, requested to be registered by each of the holders thereof as follows: (i) first, to the holders of Senior Restricted Stock that have
elected to participate in such offering, pro rata according to the number of shares of Senior Restricted Stock requested to be registered; (ii) second, to the Existing Investors holding shares of Restricted Stock that have elected to participate in
such offering, pro rata according to the number of shares of Restricted Stock requested to be registered; and (iii) thereafter, to the holders of Founder Restricted Stock that have elected to participate in such offering, pro rata according to the
number of shares of Founder Restricted Stock requested to be registered; provided, however, that such number of shares of Senior Restricted Stock shall not be reduced if any shares are to be included in such underwriting for the
account of any person other than the Company or requesting holders of Restricted Stock pursuant to a demand registration initiated by the holders of the Senior Restricted Stock under Section 2.3, and provided, further, however,
that in no event may less than twenty-five percent (25%) of the total number of shares of Common Stock to be included in such underwriting be made available for shares of Senior Restricted Stock unless the managing underwriter shall in good faith
advise the holders proposing to distribute their securities through such underwriting that such level of participation would, in its opinion, materially adversely effect the offering price or its ability to complete the offering and shall specify
the number of shares of Senior Restricted Stock which, in its opinion, can be included in the registration and underwriting without such an effect. 
  
 For purposes of this Section 2.4 and Section 2.5, the term “Restricted Stock” shall be deemed to include the number of shares of
Restricted Stock which would be issuable to a holder of Preferred Stock upon conversion of all Preferred Stock; provided, however, that the only securities which the Company shall be required to register pursuant hereto shall be Common
Stock; and provided further, however, that, in any underwritten public offering contemplated by this Section 2.4 or Section 2.5, the holders of Preferred Stock shall be entitled to sell such Preferred Stock to the underwriters (with the
underwriters’ approval) for conversion and sale of the Common Stock issued upon conversion thereof. 
  
 2.5 Registration on Form S-3. If at any time (i) one or more Investors who in the aggregate hold at least 10% of the total Restricted Stock then
outstanding request that the Company file a registration statement on Form S-3 or any successors thereto for a public offering 

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of all or any portion of the Restricted Stock held by such requesting holder or holders, the reasonable anticipated aggregate price to the public which would
exceed $1,000,000, and (ii) the Company is a registrant entitled to use Form S-3 or any successors thereto to register such shares, then the Company shall use its best efforts to register under the Securities Act on Form S-3 or any successor
thereto, for public sale in accordance with the method of disposition specified in such notice, the number of shares of Restricted Stock specified in such notice. Whenever the Company is required by this Section 2.5 to use its best efforts to effect
the registration of such Restricted Stock, each of the procedures and requirements of Section 2.3 (including but not limited to the requirement that the Company notify all holders of, in this case, Restricted Stock from whom notice has not been
received and provide them with the opportunity to participate in the offering) shall apply to such registration; provided, however, that there shall be no limitation on the number of registrations on Form S-3 which may be requested and
obtained under this Section 2.5 and provided further, however, that the requirements contained in the first sentence of Section 2.3(a) shall not apply to any registration on Form S-3 which may be requested and obtained under
this Section 2.5. Notwithstanding anything to the contrary in this Section 2.5, the Company shall not be required to effect more than two registrations pursuant to this Section 2.5 in any twelve month period. 
  
 2.6 Registration Procedures. If and whenever the Company is required
by the provisions of Sections 2.3, 2.4 or 2.5 to use its best efforts to effect the registration of any Senior Restricted Stock, Restricted Stock or Founder Restricted Stock, as applicable, under the Securities Act, the Company will, as
expeditiously as possible: 
  
 (a) prepare and
file with the Commission a registration statement (which, in the case of an underwritten public offering pursuant to Section 2.3, shall be on Form S-1 or other form of general applicability satisfactory to the managing underwriter selected as
therein provided) with respect to such securities and use its best efforts to cause such registration statement to become and remain effective for the period of the distribution contemplated thereby (determined as hereinafter provided); 

 
 (b) prepare and file with the Commission such amendments
and supplements to such registration statement and the prospectus used in connection therewith as may be necessary to keep such registration statement effective for the period specified in paragraph (a) above and comply with the provisions of the
Securities Act with respect to the disposition of all Restricted Stock or Founder Restricted Stock, as applicable, covered by such registration statement in accordance with the sellers’ intended method of disposition set forth in such
registration statement for such period; 
  
 (c)
furnish to each seller and to each underwriter such number of copies of the registration statement and the prospectus included therein (including each preliminary prospectus) as such Persons reasonably may request in order to facilitate the public
sale or other disposition of the Restricted Stock and Founder Restricted Stock, as applicable, covered by such registration statement; 

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 (d) use its best efforts to register or qualify the Restricted Stock and Founder
Restricted Stock, as applicable, covered by such registration statement under the securities or “blue sky” laws of such jurisdictions as the sellers or, in the case of an underwritten public offering, the managing underwriter reasonably
shall request; provided, however, that the Company shall not for any such purpose be required to qualify generally to transact business as a foreign corporation in any jurisdiction where it is not so qualified or to consent to general service
of process in any such jurisdiction; 
  
 (e) use
its best efforts to list the Restricted Stock and Founder Restricted Stock, as applicable, covered by such registration statement with any securities exchange or over-the-counter market on which the Common Stock of the Company are then listed or
quoted, as the case may be; 
  
 (f) provide a
transfer agent and registrar for all such Restricted Stock and Founder Restricted Stock, as applicable, not later than the effective date of such registration statement; 
  
 (g) immediately notify each seller and each underwriter under such registration statement, at any time when
a prospectus relating thereto is required to be delivered under the Securities Act, of the happening of any event of which the Company has knowledge as a result of which the prospectus contained in such registration statement, as then in effect,
includes an untrue statement of a material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein not misleading in light of the circumstances then existing; 
  
 (h) if the offering is underwritten and at the request of
any seller, use its best efforts to furnish on the date that such Restricted Stock or Founder Restricted Stock, as applicable, is delivered to the underwriters for sale pursuant to such registration: (i) an opinion, dated as of such date, of counsel
representing the Company for the purposes of such registration, addressed to the underwriters and to such seller, in form and substance customary for an underwritten public offering and reasonably satisfactory to counsel to such underwriters and to
such seller; and (ii) a letter dated such date from the independent public accountants retained by the Company, addressed to the underwriters and to such seller, stating that they are independent public accountants within the meaning of the
Securities Act and that, in the opinion of such accountants, the financial statements of the Company included in the registration statement or the prospectus, or any amendment or supplement thereof, comply as to form in all material respects with
the applicable accounting requirements of the Securities Act, and such letter shall additionally cover such other financial matters (including information as to the period ending no more than five business days prior to the date of such letter) with
respect to such registration as such underwriters reasonably may request; 
  
 (i) make available for inspection upon reasonable prior written notice and during normal business hours, by each selling holder of Restricted Stock and Founder Restricted Stock, as applicable, any underwriter
participating in any distribution pursuant to such registration statement, and any attorney, accountant or other agent retained by such seller or 

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underwriter, all financial and other records, pertinent corporate documents and properties of the Company, and cause the Company’s officers, directors
and employees to supply all information reasonably requested by any such seller, underwriter, attorney, accountant or agent in connection with such registration statement; 
  
 (j) advise each selling holder of Restricted Stock and Founder Restricted Stock, as applicable, promptly
after it shall receive notice or obtain knowledge thereof, of the issuance of any stop order by the Commission suspending the effectiveness of such registration statement or the initiation or threatening of any proceeding for such purpose and
promptly use all reasonable efforts to prevent the issuance of any stop order or to obtain its withdrawal if such stop order should be issued; 
  
 (k) cooperate with each selling holder of Restricted Stock and Founder Restricted Stock, as applicable, and the managing underwriters, if
any, to facilitate the timely preparation and delivery of certificates representing Restricted Stock and Founder Restricted Stock, as applicable, to be sold, such certificates to be in such denominations and registered in such names as such selling
holder or the managing underwriters may request at least two (2) business days prior to any sale of Restricted Stock and Founder Restricted Stock, as applicable; and 
  
 (l) permit any holder of Restricted Stock and Founder Restricted Stock, as applicable, which holder, in the
sole and exclusive judgment, exercised in good faith, of such holder, might be deemed to be a controlling person of the Company, to participate in good faith in the preparation of such registration or comparable statement and to require the
insertion therein of material, furnished to the Company in writing, which in the reasonable judgment of such holder and its counsel should be included, subject to review by the Company and its counsel after consultation with such holder. 

 
 For purposes of Sections 2.6(a) and 2.6(b) and of Section
2.3(c), the period of distribution of Senior Restricted Stock, Restricted Stock or Founder Restricted Stock, as applicable, in a firm commitment underwritten public offering shall be deemed to extend until each underwriter has completed the
distribution of all securities purchased by it, and the period of distribution of Senior Restricted Stock, Restricted Stock or Founder Restricted Stock, as applicable, in any other registration shall be deemed to extend until earlier of the sale of
all Senior Restricted Stock, Restricted Stock or Founder Restricted Stock, as applicable, covered thereby and 120 days after the effective date thereof. 
  
 In connection with each registration hereunder, the selling holders of Restricted Stock and Founder Restricted Stock, as applicable, will
furnish to the Company in writing such information with respect to themselves and the proposed distribution by them as reasonably requested by the Company and its counsel as shall be necessary in order to assure compliance with federal and
applicable state securities laws and facilitate the preparation of the registration statement. 

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 2.7 Expenses. The Company will pay all Registration Expenses in connection with each
registration statement under Sections 2.3, 2.4 or 2.5; provided that, if a registration statement under Section 2.3(a) is withdrawn solely at the request of the holders of Senior Restricted Stock holding a majority of the shares requested to be so
registered and if such holders of Senior Restricted Stock elect not to have such registration counted as a demand registration under Section 2.3(a), such holders of Senior Restricted Stock who requested such registration shall pay the Registration
Expenses of such registration pro rata in accordance with the number of shares of Senior Restricted Stock held by them provided, that such registration statement is not withdrawn as a result of factors affecting the Company or the marketability of
its securities. All Selling Expenses in connection with each registration statement under Sections 2.3, 2.4 or 2.5 shall be borne by the participating sellers in proportion to the number of shares sold by each, or by such participating sellers other
than the Company (to the extent the Company shall be a seller) as they may agree. 
  
 2.8 Indemnification and Contribution. (a) In the event of a registration of any of the Restricted Stock under the Securities Act pursuant to Sections 2.3, 2.4 or 2.5, to the extent permitted by law, the Company
will indemnify and hold harmless each seller thereunder, each underwriter of such Restricted Stock thereunder and each other Person, if any, who controls such seller or underwriter within the meaning of the Securities Act, against any losses,
claims, damages or liabilities, joint or several, to which such seller, underwriter or controlling Person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions in respect
thereof) (i) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in any registration statement under which such Restricted Stock was registered under the Securities Act pursuant to Sections
2.3, 2.4 or 2.5, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or (ii) arise out of or are based upon the omission or alleged omission to state therein a material fact required to be stated
therein or necessary to make the statements therein not misleading, and will reimburse each such seller, each such underwriter and each such controlling Person for any legal or other expenses reasonably incurred by them in connection with
investigating or defending any such loss, claim, damage, liability or action; provided, however, that the Company will not be liable in any such case if and to the extent that any such loss, claim, damage or liability (A) arises out of or is
based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity with information furnished by any such seller, any such underwriter or any such controlling Person in writing specifically for use in
such registration statement or prospectus or (B) in the case of a sale directly by such holder of Restricted Stock (including a sale of such Restricted Stock through any underwriter retained by such holder of Restricted Stock to engage in a
distribution solely on behalf of such holder of Restricted Stock), such untrue statement or alleged untrue statement or omission or alleged omission was contained in a preliminary prospectus and corrected in a final or amended prospectus copies of
which were delivered to such holder of Restricted Stock or such underwriter on a timely basis, and such holder of Restricted Stock failed to deliver a copy of the final or amended prospectus at or prior to the conformation of the sale of the
Restricted Stock to the person asserting any such loss, claim, damage or liability in any case where such delivery is required by the Securities Act. 

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 (b) In the event of a registration of any of the Restricted Stock under the
Securities Act pursuant to Sections 2.3, 2.4 or 2.5, to the extent permitted by law, each seller thereunder, severally and not jointly, will indemnify and hold harmless the Company, each Person, if any, who controls the Company within the meaning of
the Securities Act, each officer of the Company who signs the registration statement, each director of the Company, each underwriter and each Person who controls any underwriter within the meaning of the Securities Act, against all losses, claims,
damages or liabilities, joint or several, to which the Company or such officer, director, underwriter or controlling Person may become subject under the Securities Act or otherwise, insofar as such losses, claims, damages or liabilities (or actions
in respect thereof) arise out of or are based upon any untrue statement or alleged untrue statement of any material fact contained in the registration statement under which such Restricted Stock was registered under the Securities Act pursuant to
Sections 2.3, 2.4 or 2.5, any preliminary prospectus or final prospectus contained therein, or any amendment or supplement thereof, or arise out of or are based upon the omission or alleged omission to state therein a material fact required to be
stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and each such officer, director, underwriter and controlling Person for any legal or other expenses reasonably incurred by them in connection
with investigating or defending any such loss, claim, damage, liability or action; provided, however, that such seller will be liable hereunder in any such case if and only to the extent that any such loss, claim, damage or liability arises
out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission made in reliance upon and in conformity with information pertaining to such seller, as such, furnished in writing to the Company by such seller
specifically for use in such registration statement or prospectus and; provided further, however, that the liability of each seller hereunder shall be limited to the proportion of any such loss, claim, damage, liability or expense which is
equal to the proportion that the public offering price of the shares sold by such seller under such registration statement bears to the total public offering price of all securities sold thereunder, but not in any event exceed the net proceeds
received by such seller from the sale of covered by such registration statement. 
  
 (c) Promptly after receipt by an indemnified party hereunder of notice of the commencement of any action, such indemnified party shall, if
a claim in respect thereof is to be made against the indemnifying party hereunder, notify the indemnifying party in writing thereof, but the omission so to notify the indemnifying party shall not relieve it from any liability which it may have to
such indemnified party other than under this Section 2.8 and shall only relieve it from any liability which it may have to such indemnified party under this Section 2.8 if and to the extent the indemnifying party is prejudiced by such omission. In
case any such action shall be brought against any indemnified party and it shall notify the indemnifying party of the commencement thereof, the indemnifying party shall be entitled to participate in and, to the extent it shall wish, to assume and
undertake the defense thereof with counsel reasonably satisfactory to such indemnified party, and, after notice from the indemnifying party to such indemnified party of its election so to assume and undertake the defense thereof, the indemnifying
party shall not be liable to such indemnified party under this Section 2.8 for any legal expenses subsequently incurred by such indemnified party in connection with the defense thereof other than reasonable costs of investigation and of liaison with
counsel so selected; provided, however, that, if the defendants in any such action include both the indemnified party 

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and the indemnifying party and the indemnified party shall have reasonably concluded that there may be reasonable defenses available to it which are
different from or additional to those available to the indemnifying party or if the interests of the indemnified party reasonably may be deemed to conflict with the interests of the indemnifying party, the indemnified party shall have the right to
select a separate counsel and to assume such legal defenses and otherwise to participate in the defense of such action, with the expenses and fees of such separate counsel and other expenses related to such participation to be reimbursed by the
indemnifying party as incurred. 
  
 (d) In order
to provide for just and equitable contribution to joint liability under the Securities Act in any case in which either (i) any holder of Restricted Stock exercising rights under this Agreement, or any controlling Person of any such holder, makes a
claim for indemnification pursuant to this Section 2.8 but it is judicially determined (by the entry of a final judgment or decree by a court of competent jurisdiction and the expiration of time to appeal or the denial of the last right of appeal)
that such indemnification may not be enforced in such case notwithstanding the fact that this Section 2.8 provides for indemnification in such case, or (ii) contribution under the Securities Act may be required on the part of any such selling holder
or any such controlling Person in circumstances for which indemnification is provided under this Section 2.8; then, and in each such case, the Company and such holder will contribute to the aggregate losses, claims, damages or liabilities to which
they may be subject (after contribution from others) in such proportion so that such holder is responsible for the portion represented by the percentage that the public offering price of its Restricted Stock offered by the registration statement
bears to the public offering price of all securities offered by such registration statement, and the Company shall be responsible for the remaining portion; provided, however, that, in any such case, (A) no such holder will be required to
contribute any amount in excess of the public offering price of all such Restricted Stock offered by it pursuant to such registration statement; and (B) no Person or entity guilty of fraudulent misrepresentation (within the meaning of Section 11(f)
of the Securities Act) will be entitled to contribution from any Person or entity who was not guilty of such fraudulent misrepresentation. 
  
 For purposes of this Section 2.8 only, the term “Restricted Stock” shall be deemed to include “Founder Restricted
Stock”, as applicable. 
  
 2.9 Changes in Common Stock
or Preferred Stock. If, and as often as, there is any change in the Common Stock or the Preferred Stock by way of a stock split, stock dividend, combination or reclassification, or through a merger, consolidation, reorganization or
recapitalization, or by any other means, appropriate adjustment shall be made in the provisions hereof so that the rights and privileges granted hereby shall continue with respect to the Common Stock or the Preferred Stock as so changed. 

 
 2.10 Rule 144 Reporting. With a view to making available the
benefits of certain rules and regulations of the Commission which may at any time permit the sale of the Restricted Stock and Founder Restricted Stock to the public without registration, at all times after 90 days after any registration statement
covering a public offering of securities of the Company under the Securities Act shall have become effective, the Company agrees to: 
  
 (a) make and keep public information available, as those terms are understood and defined in Rule 144 under the Securities Act;

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 (b) use its best efforts to file with the Commission in a timely manner all reports
and other documents required of the Company under the Securities Act and the Exchange Act; and 
  
 (c) furnish to each holder of Restricted Stock and Founder Restricted Stock forthwith upon request a written statement by the Company as
to its compliance with the reporting requirements of Rule 144, the Securities Act and the Exchange Act, a copy of the most recent annual or quarterly report of the Company, and such other reports and documents so filed by the Company as such holder
may reasonably request in availing itself of any rule or regulation of the Commission allowing such holder to sell any Restricted Stock or Founder Restricted Stock without registration. 
  
 2.11 Transferability of Registration Rights. For all purposes of this Agreement, the registration rights conferred
herein on the holders of Restricted Stock shall inure to the benefit of (a) any assignee or transferee of Restricted Stock who acquires at least 25% of the shares of Restricted Stock held by any such Person on or before the date hereof and who is
not a competitor of the Company (as determined by the Board of Directors of the Company), or (b) any general or limited partner, member, stockholder, officer or director of any holder of Restricted Stock or their affiliates, including, but not
limited to, their immediate family, irrevocable trusts for estate planning purposes and personal representatives; provided, however, that with respect to any transfer pursuant to clauses (a) or (b) of this Section 2.11, the transfer or
assignor delivers notice of such transfer or assignment and such assignee or transferee agrees in writing to be bound by all of the provisions of this Agreement. 
  
 2.12 Suspension of Registration Obligation. Notwithstanding the provisions of Section 2.6, the Company’s
obligation to file a registration statement, or to cause such registration statement to become and remain effective, shall be suspended for a period not to exceed 90 days in any 12-month period if there exists at the time material non-public
information relating to the Company which, in the reasonable opinion of the Board of Directors of the Company, should not be disclosed. 
  
 2.13 No Third Party Registration Rights. Other than as set forth herein, the Company represents and warrants that there are no holders of its
capital stock entitled to registration rights, and agrees that it shall not grant to any third party any registration rights more favorable than or inconsistent with any of those contained herein, so long as any of the registration rights under this
Agreement remain in effect. 

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 ARTICLE III 
  

COVENANTS OF THE COMPANY 
  
 3.1 Financial Statements, Reports, Etc. The Company shall, and shall cause each of its subsidiaries to, prepare its financial information in
accordance with United States generally accepted accounting principles applied on a consistent basis (“GAAP”). The Company shall furnish to each Investor: 
  
 (a) within 120 days after the end of each fiscal year of the Company a consolidated balance sheet of the
Company and its subsidiaries as of the end of such fiscal year and the related consolidated statements of income, stockholders’ equity and cash flows for the fiscal year then ended, prepared in accordance with GAAP and certified by a firm of
independent public accountants of recognized United States national standing selected by the Board of Directors of the Company; and 
  
 (b) within 45 days after the end of each quarter in each fiscal year (other than the last fiscal quarter in each fiscal year) a
consolidated balance sheet of the Company and its subsidiaries and the related consolidated statements of income, stockholders’ equity and cash flows, unaudited but prepared in accordance with GAAP and certified by the chief financial officer
of the Company, such consolidated balance sheet to be as of the end of such quarter and such consolidated statements of income, stockholders’ equity and cash flows to be for such quarter and for the period from the beginning of the fiscal year
to the end of such quarter, respectively, in each case with comparison to budget and comparative statements for the prior fiscal year. 
  
 The Company’s obligations under this Section 3.1 shall terminate upon the completion of an Initial Public Offering of the Company’s Common Stock
pursuant to an effective registration statement filed by the Company under the Securities Act. 
  
 3.2 Payment of Taxes. The Company shall, and shall cause each of its subsidiaries to, pay or discharge or cause to be paid or discharged, before the same shall become delinquent, (a) all material taxes,
assessments and governmental charges levied or imposed upon the Company or its subsidiaries or upon the income, profits or properties of the Company and its subsidiaries; and (b) all material liabilities of the Company and its subsidiaries;
provided, that the Company and its subsidiaries shall not be required to pay or discharge or cause to be paid or discharged any such tax assessment, liability, or charge, whose amount, applicability or validity is being contested in good
faith by appropriate proceedings if adequate reserves therefor have been established in accordance with GAAP. 
  
 3.3 Reserve for Conversion Stock. The Company shall at all times reserve and keep available out of its authorized but unissued Common Stock, for
the purpose of effecting the conversion of the Preferred Stock and otherwise complying with the terms of this Agreement, such number of its duly authorized shares of Common Stock as shall be sufficient to effect the conversion of the Preferred Stock
from time to time outstanding or otherwise to comply with the 

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terms of this Agreement. If at any time the number of authorized but unissued shares of Common Stock shall not be sufficient to effect the conversion of the
Preferred Stock or otherwise to comply with the terms of this Agreement, the Company will forthwith take such corporate action as may be necessary to increase its authorized but unissued shares of Common Stock to such number of shares as shall be
sufficient for such purposes. The Company will obtain any authorization, consent, approval or other action by or make any filing with any court or administrative body that may be required under applicable state securities laws in connection with the
issuance of shares of Common Stock upon conversion of the Preferred Stock. 
  
 3.4 Corporate Existence. The Company shall maintain and cause each of its subsidiaries to maintain their respective corporate existence, rights and franchises in full force and effect, and qualify and remain
qualified, and cause each of its subsidiaries to qualify and remain qualified, as a foreign corporation in each jurisdiction in which such qualification is necessary or desirable in view of its business and operations or the ownership or lease of
its properties. The Company shall secure, preserve and maintain, and cause each subsidiary to secure, preserve and maintain, all licenses and other rights to use intellectual property rights owned or possessed by it and deemed by the Company to be
necessary to the conduct of its business and the businesses of its subsidiaries, taken as a whole. 
  
 3.5 Properties, Business, Insurance. The Company shall obtain and maintain and cause each of its subsidiaries to obtain and maintain as to their
respective properties and business, with insurance companies reasonably believed by the Company to be financially sound and reputable insurers, insurance against such casualties and contingencies and of such types and in such amounts as is customary
for companies similarly situated, which insurance shall be deemed by the Company to be sufficient. The Company shall have obtained from a reputable insurance company directors’ and officers’ liability insurance in an amount of not less
than $5,000,000 as of the date of this Agreement and shall thereafter maintain such insurance policy in full force and effect. 
  
 3.6 Inspection, Consultation and Advice. The Company shall, and cause each of its subsidiaries to, permit each Investor and its representatives, at
such Investor’s expense, as the case may be, to visit and inspect any of the properties of the Company and its subsidiaries, examine their books and take copies and extracts therefrom, discuss the affairs, finances and accounts of the Company
and its subsidiaries with their officers, employees and public accountants (and the Company hereby authorizes said accountants to discuss with such Investor, as the case may be, and such designees such affairs, finances and accounts), and consult
with and advise the management of the Company and its subsidiaries as to their affairs, finances and accounts, all at reasonable times and upon reasonable notice. 
  
 3.7 Restrictive Agreements Prohibited. Neither the Company nor any of its subsidiaries shall become a party to any
agreement which by its terms restricts the Company’s performance of any of the Financing Documents or the Charter (as such terms are defined in the Purchase Agreement). 

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 3.8 Transactions with Affiliates. Except for transactions contemplated by this Agreement, the
Purchase Agreement, the other Financing Documents or as otherwise approved by the Board of Directors, neither the Company nor any of its subsidiaries, if any, shall enter into any transaction with any director, officer, employee or holder of more
than 5% of the outstanding capital stock of any class or series of capital stock of the Company or any of its subsidiaries, if any, member of the family of any such Person, or any corporation, partnership, trust or other entity in which any such
Person, or member of the family of any such Person, is a director, officer, trustee, partner or holder of more than 5% of the outstanding capital stock thereof, except for transactions on commercially reasonable and customary terms related to such
Person’s employment. 
  
 3.9 Expenses of Directors.
The Company shall promptly reimburse in full, each director of the Company who is not an employee of the Company for all of his reasonable out-of-pocket expenses incurred in attending each meeting of the Board of Directors of the Company or any
Committee thereof. 
  
 3.10 Use of Proceeds. The Company
shall use the proceeds from the sale of the Series G Preferred Stock pursuant to the Purchase Agreement for general working capital and other corporate purposes. 
  
 3.11 Performance of Contracts. The Company shall not amend, modify, terminate, waive or otherwise alter, in whole or
in part, any of the Employee Nondisclosure Developments and Noncompetition Agreements entered into with Key Employees (as defined in the Purchase Agreement) without the consent of the Board of Directors (which consent shall include the Series F
Directors (as defined in the Stockholders Agreement)). 
  
 3.12
Option Plans; Vesting of Reserved Employee Stock. Any new stock option plan adopted by the Company shall be approved by the Board of Directors, which approval shall include the Series F Directors. Unless otherwise approved by the Compensation
Committee of the Board of Directors, any new options granted or new grants of shares to employees and officers of the Company pursuant to such plan or any other stock option plan or stock purchase agreement of the Company in effect from time to time
shall vest (A) with respect to twenty-five percent (25%) of the shares subject to such grant or purchase, one (1) year after the date of such grant or purchase and (B) with respect to the remaining shares subject to such grant or purchase, on a
monthly basis over a period of three (3) years thereafter. Any options granted or shares issued to directors and consultants of the Company pursuant to such plan or any other stock option plan or stock purchase agreement of the Company in effect
from time to time shall vest in accordance with the resolutions adopted by the Compensation Committee of the Board approving the grant or issuance of such options or shares. The Company will require, as a condition of any grant, that (i) such grant
be in accordance with the form of option agreement approved by the Board of Directors and (ii) any optionee who, after the grant of options being contemplated, will hold options to purchase Common Stock in an amount in excess of an aggregate of 1%
of the outstanding Common Stock of the Company (calculated on fully-diluted basis), shall execute and deliver an Instrument of Adherence to the Stockholders Agreement. 

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 3.13 Employee Agreements. The Company shall cause each person who becomes a consultant or
employee of the Company or its subsidiaries subsequent to the date hereof, and who shall have or be proposed to have access to confidential or proprietary information of such company, upon the commencement of such person’s employment by such
company, to execute an agreement relating to matters of non-disclosure of confidential and proprietary information and assignment of patents, inventions and other intellectual property rights in form and substance satisfactory to the Board of
Directors. The Company shall use its best efforts to enforce, and to cause its subsidiaries to enforce, each such agreement, unless the Board of Directors shall determine otherwise, which shall include the affirmative consent of the Series F
Directors. 
  
 3.14 Notice of Litigation and Defaults.
Promptly after the occurrence thereof, the Company shall notify each Investor of (a) the initiation of any action, suit, proceeding, or governmental inquiry against the Company or any subsidiary involving a claim for more than $100,000 or for
injunctive relief; (b) any default by the Company under any of the Financing Documents; and (c) any default by the Company under any agreement for borrowed money in excess of $100,000 or any other material agreement of any kind. In each case such
notice shall be delivered together with a reasonably detailed description of the action taken or proposed to be taken by the Company with respect thereto. 
  
 3.15 Activities of Subsidiaries. Unless approved by a majority of the Board of Directors, including the affirmative vote of the Series F Directors,
the Company will not organize or acquire any entity that is a subsidiary unless such subsidiary is wholly owned (directly or indirectly) by the Company. Unless approved by a majority of the Board of Directors, including the affirmative vote of the
Series F Directors, the Company shall not sell or otherwise transfer any capital shares of any subsidiary, except to the Company or another subsidiary, or permit any subsidiary to issue, sell or otherwise transfer any shares of its capital shares or
the capital shares of any subsidiary, except to the Company or another subsidiary. Unless approved by a majority of the Board of Directors, including the affirmative vote of the Series F Directors, the Company shall not permit any subsidiary to
purchase or set aside any sums for the purchase of, or pay any dividend or make any distribution on, any of its shares, except for dividends or other distributions payable to the Company or another subsidiary. 
  
 3.16 Compliance with Laws. The Company shall comply, and cause each
subsidiary to comply, with all applicable laws, rules, regulations and orders of any federal, provincial, state, municipal or other government department, commission, board, bureau, agency or instrumentality, domestic or foreign in respect of the
conduct of its businesses and the ownership of its properties, except such as are being contested in good faith and except for such noncompliances as will not in the aggregate have a material adverse effect. 
  
 3.17 Maintenance of Properties. The Company shall maintain and
preserve, and cause each subsidiary to maintain and preserve, all of its properties and assets, necessary for the proper conduct of its business, in good repair, working order and condition, ordinary wear and tear excepted. 
  
 3.18 Compliance with ERISA. The Company shall comply, and cause each
subsidiary to comply, with all minimum funding requirements applicable to any pension, employee benefit 

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plans or employee contribution plans which are subject to Employee Retirement Income Security Act of 1974, as amended (“ERISA”), or to the
Internal Revenue Code of 1986, as amended (the “Code”) or any similar foreign laws, and comply, and cause each subsidiary to comply, in all other material respects with the provisions of ERISA and the Code and any similar foreign
laws, and the rules and regulations thereunder, which are applicable to any such plan. The Company shall not permit any event or condition to exist which could permit any such plan to be terminated under circumstances which would cause the lien
provided for in Section 4068 of ERISA or any similar foreign laws to attach to the assets of the Company or any subsidiary. 
  
 3.18 Keeping of Records and Books of Account. The Company shall keep, and cause each subsidiary to keep, adequate records and books of account, in
which complete entries will be made in accordance with GAAP consistently applied, reflecting all financial transactions of the Company and such subsidiary, and in which, for each fiscal year, all proper reserves required under GAAP consistently
applied for depreciation, depletion, obsolescence, amortization, taxes, bad debts and other purposes in connection with its business shall be made. 
  
 3.19 Change in Nature of Business. Unless approved by a majority of the Board of Directors, including the affirmative vote of the Series F
Directors, the Company shall not make, or permit any subsidiary to make, any material change in the nature of its business as conducted on the date hereof. 
  
 3.20 Rule 144A Information. The Company shall, at all times during which it is neither subject to the reporting requirements of Section 13 or 15(d)
of the Exchange Act; nor exempt from reporting pursuant to Rule 12g3-2(b) under the Exchange Act, provide in writing, upon the written request of any Investor or a prospective buyer of Preferred Stock or Conversion Stock from any Investor, all
information required by Rule 144A(d)(4)(i) of the General Regulations promulgated by the Commission under the Securities Act (“Rule 144A Information”). The Company also shall, upon the written request of any Investor, cooperate with
and assist such Investor or any member of the National Association of Securities Dealers, Inc. PORTAL system in applying to designate and thereafter maintain the eligibility of the Preferred Stock or Conversion Stock, as the case may be, for trading
through the PORTAL Market. The Company’s obligations under this Section 3.20 shall at all times be contingent upon the relevant Investors, as the case may be, obtaining from the prospective buyer of Preferred Stock or Conversion Stock a written
agreement to take all reasonable precautions to safeguard the Rule 144A Information from disclosure to anyone other than a Person who will assist such buyer in evaluating the purchase of any Preferred Stock or Conversion Stock. 
  
 ARTICLE IV 
  
 RIGHT OF FIRST OFFER 
  
 4.1. Right of First Offer. The Company shall not issue, sell or exchange, or agree or obligate itself to issue, sell or exchange, or reserve or set
aside for issuance, sale or exchange, (i) any shares of its Common Stock, (ii) any other equity securities of the Company, including, without limitation, shares of Preferred Stock, (iii) any option, warrant or other right to 

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subscribe for, purchase or otherwise acquire any equity securities of the Company, or (iv) any debt securities convertible into capital stock of the Company
(collectively, the “Offered Securities”), unless in each such case the Company shall have first complied with this Article IV. The Company shall deliver to each Investor a written notice of any proposed or intended issuance or sale
of Offered Securities (an “Investor Offer”), which shall (i) identify and describe the Offered Securities, (ii) describe the price and other terms upon which they are to be issued or sold, and the number or amount of the Offered
Securities to be issued or sold, (iii) identify the persons or entities to which the Offered Securities are to be issued or sold (collectively, the “Proposed Transferee”) and (iv) offer to issue and sell to such Investor (A) a pro
rata portion of the Offered Securities (the “Investor Offered Securities”), determined by dividing the aggregate number of shares of Common Stock then held by such Investor (giving effect to the conversion of all shares of Preferred
Stock then held by such Investor) by the total number of shares of Common Stock issued and outstanding at such time (giving effect to the conversion of all outstanding shares of Preferred Stock then held by all Investors) (the “Basic
Amount”), and (B) any additional portion of the Investor Offered Securities as such Investor shall indicate it will purchase or acquire should the other Investors subscribe for less than their Basic Amount (the “Undersubscription
Amount”), at a price and on such other terms as shall have been specified by the Company in the Investor Offer, which Investor Offer by its terms shall remain open and irrevocable for a period of twenty (20) days from the date of receipt of
the Investor Offer by the Investors. 
  
 4.2. Notice of
Acceptance. To accept an Investor Offer, in whole or in part, an Investor must deliver a written notice to the Company prior to the end of a 20-day period following receipt of the Investor Offer setting forth the portion of the Investor’s
Basic Amount that such Investor elects to purchase and, if such Investor shall elect to purchase all of its Basic Amount, the Undersubscription Amount (if any) that such Investor elects to purchase (the “Notice of Acceptance”). If
the Basic Amounts subscribed for by all Investors are less than the total of all of the Basic Amounts available for purchase, then each Investor who has set forth an Undersubscription Amount in its Notice of Acceptance shall be entitled to purchase,
in addition to the Basic Amounts subscribed for, the Undersubscription Amount it has subscribed for; provided, however, that if the Undersubscription Amounts subscribed for exceed the difference between the total of all of the Basic
Amounts available for purchase and the Basic Amounts subscribed for (the “Available Undersubscription Amount”), each Investor who has subscribed for any Undersubscription Amount shall be entitled to purchase only that portion of the
Available Undersubscription Amount as the Undersubscription Amount subscribed for by such Investor bears to the total Undersubscription Amounts subscribed for by all Investors, subject to rounding by the Board of Directors to the extent it deems
reasonably necessary. 
  
 4.3. Conditions to Acceptances and
Purchase. 
  
 (a) Permitted Sales of Refused
Securities. The Company shall have 90 days from the expiration of the period set forth in Section 4.2 above to issue or sell all or any part of such Offered Securities as to which a Notice of Acceptance has not been given by the Investors (the
“Refused Securities”), but only to the Proposed Transferee and only for cash and otherwise in all respects upon terms and conditions that are substantially the same, and in no event more 

  Third Amended and Restated Investor Rights Agreement — Page
 23
 
  

 
advantageous to the Proposed Transferee in any material way, as the terms and conditions set forth in the Investor Offer. 
  
 (b) Reduction in Amount of Offered Securities. In the event the
Company proposes to sell less than all the Refused Securities (any such sale to be in the manner and on the terms specified in Section 4.3(a)), then each Investor may, at its sole option and in its sole discretion, reduce the number or amount of the
Investor Offered Securities specified in its Notice of Acceptance to an amount that shall be not less than the number or amount of the Investor Offered Securities that the Investor elected to purchase pursuant to Section 4.2 above multiplied by a
fraction, (i) the numerator of which shall be the number or amount of Offered Securities the Company actually proposes to sell (including Offered Securities to be issued or sold to Investors pursuant to Section 4.2 above prior to such reduction) and
(ii) the denominator of which shall be the original amount of the Offered Securities. In the event that any Investor so elects to reduce the number or amount of Investor Offered Securities specified in its Notice of Acceptance, the Company may not
issue or sell or exchange more than the reduced number of securities unless and until such securities have again been offered to the Investors in accordance with Section 4.1 above. 
  
 (c) Closing. Upon the closing of the issuance or sale of all or less than all of the Refused Securities, the
Investors shall acquire from the Company, and the Company shall issue to the Investors, the number or amount of Investor Offered Securities specified in the Notices of Acceptance, as reduced pursuant to Section 4.3(b) above if the Investors have so
elected (and subject to rounding in the discretion of the Company to avoid the issuance of fractional shares), upon the terms and conditions specified in the Investor Offer. The purchase by the Investors of any Offered Securities is subject in all
cases to the preparation, execution and delivery by the Company and the Investors of a purchase agreement relating to such Offered Securities reasonably satisfactory in form and substance to the Investors and their respective counsel. 
  
 4.4. Further Sale. Any Offered Securities not acquired by the
Investors or other persons in accordance with Section 4.3(a) may not be issued, sold or exchanged until they are again offered to the Investors under the procedures specified in this Agreement. 
  
 4.5. Termination of Right of First Offer. The rights of the Investors
under this Article IV shall terminate immediately prior to, but subject to, (i) the consummation of an Initial Public Offering or (ii) the liquidation, dissolution or winding up of the affairs of the Company, whether voluntary or involuntary;
provided, however, that the rights of the Investors pursuant to this Article IV may be waived as to all of such Investors by the affirmative vote or written consent of (i) the holders of at least a majority of the then outstanding
shares of Restricted Stock and (ii) the holders of at least a majority of the then outstanding shares of Senior Restricted Stock, and any such waiver shall be binding on all Investors, even if any of such Investors do not execute such waiver and
irrespective of whether one or more Investors participates in the purchase of the Offered Securities. 

  Third Amended and Restated Investor Rights Agreement — Page
 24
 
  

 4.6. Exception. The rights of the Investors under this Article IV shall not apply to
securities issued (A) upon conversion of any of the Preferred Stock into Common Stock; (B) as a stock dividend or upon any subdivision of shares of Common Stock, provided that the securities issued pursuant to such stock dividend or subdivision are
limited to additional shares of Common Stock; (C) pursuant to subscriptions, warrants, options, convertible securities, or other rights which are listed in Schedule 4.15 to the Purchase Agreement as being outstanding on the date hereof; (D)
solely in consideration for the acquisition (whether by merger or otherwise) by the Company or any of its subsidiaries of all or substantially all of the stock or assets of any other entity; (E) pursuant to an Initial Public Offering or any
subsequent firm commitment underwritten public offering of the Company’s equity securities; (F) any Reserved Employee Shares (as defined in the Charter); (G) to financial institutions and leasing companies in connection with borrowing or lease
financing arrangements of the Company, or to landlords or service companies, provided, however, that such issuances are approved by a majority of the Board of Directors, which majority shall include the Series F Directors; (H) to a
non-financial corporation in connection with a strategic alliance, joint venture, distribution arrangement, development arrangement or similar arrangement, provided, however, that such strategic alliance, joint venture, distribution
arrangement, development arrangement or similar arrangement is approved by a majority of the Board of Directors, which majority shall include the Series F Directors; (I) shares of Series F Preferred Stock issued (1) in payment of any accruing
dividends pursuant to the Company’s Second Amended and Restated Certificate of Incorporation or (2) at the Company’s option pursuant to Section 6.13(e) of the Amended and Restated Securities Purchase Agreement, dated as of September 24,
2003, between the Company and the Purchasers named therein, together with all shares of Common Stock issued or issuable upon conversion thereof; (J) shares of Series G Preferred Stock issued at the Company’s option pursuant to Section 6.13(e)
of the Purchase Agreement, together with all shares of Common Stock issued or issuable upon conversion thereof; and (K) upon the exercise of any right which was not itself in violation of the terms of this Article IV. 
  
 ARTICLE V 
  
 MISCELLANEOUS 
  
 5.1. Termination. (a) Registration Rights. The right of any holder of Restricted Stock or Founder Restricted Stock, as applicable, to
request registration pursuant to Section 2.3, 2.4 or 2.5 shall terminate with respect to such holder of Restricted Stock or Founder Restricted Stock, as applicable, immediately, on the earlier of (i) such time as all Restricted Stock or Founder
Restricted Stock, as applicable, may immediately be sold under Rule 144(k) of the Securities Act, and (ii) the seventh anniversary of the closing of the Initial Public Offering. 
  
 (b) Covenants. Each of the covenants set forth in Article III of this Agreement shall terminate and
be of no further force or effect as to each of the Investors when such Investor owns less than 5% of the Preferred Stock (or the Conversion Stock, if the Preferred Stock have been converted) originally acquired by such Investor from the Company
(appropriately adjusted to reflect stock splits, stock dividends, combinations of shares and the like with respect to the Preferred Stock (or the Conversion Stock, if the Preferred Stock have been converted)). 

  Third Amended and Restated Investor Rights Agreement — Page
 25
 
  

 5.2 Merger. This Agreement, the Purchase Agreement and the Stockholders Agreement, together
with all exhibits and schedules to the various agreements, constitute the entire agreement among the parties hereto pertaining to the subject matter hereof and, subject to the terms and conditions herein, supersede all prior and contemporaneous
agreements and understandings, whether oral or written, of any of the parties hereto with respect thereto. 
  
 5.3 Counterparts. This Agreement may be executed by facsimile and in more than one counterpart, each of which shall be deemed to be an original and
which, together, shall constitute one and the same instrument. 
  
 5.4 Applicable Law. This Agreement shall be governed by and construed in accordance with the laws of the General Corporation Law of the State of Delaware as to matters within the scope thereof, and as to all other matters shall be
construed and enforced in accordance with the internal laws of The Commonwealth of Massachusetts, without regard to its principles of conflicts of laws. 
  
 5.5 Severability. The provisions of this Agreement are severable, so that the invalidity or unenforceability of any provision of this Agreement
shall not affect the validity or enforceability of any other term or provision of this Agreement, which shall remain in full force and effect. 
  
 5.6 Specific Performance. In addition to any and all other remedies that may be available at law in the event of any breach of this Agreement, each
of the parties hereto shall be entitled to specific performance of the agreements and obligations hereunder of the Company and the other parties hereto and to such other injunctive or other equitable relief as may be granted by a court of competent
jurisdiction. 
  
 5.7 Notices. All notices to be given or
otherwise made to any part to this Agreement shall be deemed to be sufficient if contained in a written instrument, delivered by hand in person, by express overnight courier service if sent domestically, by generally recognized second day
international courier service if sent internationally, by electronic mail, by facsimile transmission, or by registered or certified mail, return receipt requested, postage prepaid, addressed to such party at the address set forth in the Stockholders
Agreement or at such other address as may hereafter be designated in writing to the Company by the addressee. All notices shall be considered to be delivered (i) five (5) days after dispatch in the event of first class or registered mail, (ii) on
the next succeeding business day in the event of electronic mail, facsimile transmission (with confirmation of receipt) or overnight domestic courier service and (iii) two (2) business days after timely deposit with a generally recognized second day
international courier service. 
  
 5.8 Entire Agreement;
Amendment and Waiver. This Agreement contains the sole and entire understanding of the parties with respect to its subject matter and supersedes all prior negotiations, commitments, agreements and understandings heretofore had among any of them
with respect thereto, including without limitation the Prior Investor Rights Agreement. By 

  Third Amended and Restated Investor Rights Agreement — Page
 26
 
  

 
execution of this Agreement by the requisite parties necessary to amend and restate the Prior Investor Rights Agreement, the terms and conditions of the
Prior Investor Rights Agreement shall be amended and restated as set forth in this Agreement and the Prior Investor Rights Agreement shall thereafter be terminated and be of no further force or effect. Any provision of this Agreement may be amended,
modified, waived (either generally or in a particular instance and either retroactively or prospectively) or terminated only with the prior written consent of (i) the Company, (ii) the holders of at least a majority of the then outstanding shares of
Preferred Stock calculated on an as-converted basis and (iii) the holders of at least a majority of the then outstanding shares of Series F Preferred Stock and Series G Preferred Stock voting together as a single class on an as-converted basis. Any
amendment, modification, waiver or termination effected in accordance with this Section 5.8 shall be binding upon each party hereto and any transferee hereunder, provided that any amendment, modification or waiver of Section 2.4 that
adversely affects the rights and obligations of the holders of Founder Restricted Stock in a manner differently than the rights and obligations of the holders of Restricted Stock shall also require the approval of Common Stockholders holding a
majority of the then issued and outstanding shares of Founder Restricted Stock held by such Common Stockholders and provided further that any amendment, modification or waiver that adversely affects the rights and obligations of Existing
Investors in a manner differently than other Investors that have the same rights and obligations as such Existing Investors shall further require the written consent of the holders of a majority of the then outstanding shares of Existing Preferred
Stock calculated on an as-converted basis. 
  
 5.9 Assignment;
Binding Effect. All covenants and agreements contained in this Agreement by or on behalf of any of the parties hereto shall bind and inure to the benefit of the respective successors and assigns of the parties hereto (including without
limitation transferees of any Preferred Stock), whether so expressed or not; provided, however, that registration rights conferred herein on the holders of Restricted Stock shall be subject to Section 2.11 hereof. 
  
 5.10 Additional Parties. Each Person who after the date hereof
acquires shares of Series G Preferred Stock pursuant to the Purchase Agreement shall become a party to this Agreement by executing and delivering to the Company an omnibus signature page in the form attached to the Purchase Agreement as Exhibit
1.02, and such additional party shall thereafter be added to Exhibit B hereto and be deemed a Series G Investor for all purposes of this Agreement without the requirement of consent of the other parties hereto. 
  
 5.11 Confidential Information. Each Investor and Common Stockholder
acknowledges that the information received by such Investor or Common Stockholder pursuant hereto (including without limitation under Section 3.1 hereof with respect to each Investor) or pursuant to the Financing Documents is confidential and for
such Investor’s or Common Stockholder’s use only and such Investor or Common Stockholder will not reproduce, disclose or disseminate such information to any other person (other than its employees or agents having a need to know the
contents of such information), except in connection with the exercise of rights under the Financing Documents. The obligation of confidentiality set forth in this Section 5.11 shall not apply to information which the Investor demonstrates is (i)
generally known on a non-confidential basis (without fault of an Investor) to companies in the Company’s line of business; 

  Third Amended and Restated Investor Rights Agreement — Page
 27
 
  

 
(ii) lawfully obtained by an Investor without restriction on disclosure; (iii) known to an Investor prior to receipt from the Company without restriction on
disclosure; or (iv) independently developed by an Investor without use of information provided by the Company. Notwithstanding anything herein to the contrary, each party to this Agreement (and each employee, representative, or other agent of such
party) may disclose to any and all persons, without limitation of any kind, the tax treatment and tax structure of the transactions contemplated herein and all materials of any kind (including opinions or other tax analyses) that are provided to
such party relating to such tax treatment and tax structure. 
  
 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 

 Third Amended and Restated Investor Rights Agreement — Signature Page 
  

 IN WITNESS WHEREOF, the parties hereto have caused this Third Amended and Restated Investor Rights
Agreement to be executed as of the date first above written. 
  

			
	COLEY PHARMACEUTICAL GROUP, INC.
		
	By:	 	 
	 	 	 Name: Robert L. Bratzler

	 	 	 Title:   President and Chief Executive Officer

  
 EXHIBIT A

  
 List of Existing Investors 
  
 Adam & Company International Nominees Limited 
 P.O. Box 402 
 St. Andrews House Le Bordage 
 St. Peter Port 
 C.1. GY1 3GB 
 Guernsey 
  
 Alafi Capital Company 
 Attn: Christopher D. Alafi 
 8
Admiral Drive, Suite 324 
 Emeryville, CA 94608 
  
 Audette, Susan Coley 
 243 Bent Street 
 Unit 7 
 Cambridge, MA 02141 
  
 Barberich, Timothy J. 
 c/o Sepracor Inc. 
 84 Waterford Drive 
 Marlborough MA 01752 
  
 Bayview 2000, LP 
 175 Federal Street, 10th Floor 
 Boston, MA 02110 
  
 Bernstein, Bruce T. 
 345 West 13th Street, Apt. 6A 
 New York, NY 10014 
  
 Bio World Venture Capital Corp. 
 c/o Cheng Xin
Technology Development Corp. 
 Attn: Adeline Wong, Jerome Shen or Michael Huang” 
 No. 143, Sec. 2 
 Min-Sheng East Road, 5th Floor 
 Taipei 104, Taiwan, R.O.C. 
  

 Bornikoel, Friedrich 
 c/o
TVM Management Corporation 
 101 Arch Street, Suite 1950 
 Boston, MA 02110 
  
 Caspritz, Gert 
 c/o TVM Management Corporation 
 101 Arch Street, Suite 1950 
 Boston, MA 02110 
  
 CBG Commerzbank Beteiligungsgesellschaft 
 c/o Dr. Christoph Matz 
 Building 2/ Trading Center 
 Mainzer Landstrabe 153 
 Frankfurt am Main D-60327 
 Germany 
  
 Claussen, Carsten P. 
 Im Park 11 
 40667 Meerbusch 
 Germany 
  
 Coley, Christopher M. 
 c/o Harvard University of Health Services 
 Holyoke Square 
 Cambridge, MA 02141 
  
 Coley, Dr. Geoffrey M. and Kathleen Coley, JTWROS 
 16 Charter Oak Place 
 Hartford, CT 06106 
  
 Coley, Geoffrey O. 
 1009 Park Avenue, Apt. 14 A/B 
 New York, NY 10028 
  
 Coley, Peter 
 243 Bent Street, Unit 4 
 Cambridge, MA 02141 
  
 Colpan, Metin 
 Uhlandstr. 5 
 Essen 45219 
 Germany 
  

 Deutsche Vernogensbildungsgesellschaft GmbH 
 c/o Deutsche Asset Management 
 Investmentgesellschaft 
 c/o Carl Daniel Berthold 
 Gruneburgweg 113-115 
 Frankfurt AM Main 60323 
 Germany 
  
 DiBello, John J. 
 c/o TVM Management Corporation 
 101 Arch Street, Suite 1950 
 Boston, MA 02110 
  
 Dosch, Volker 
 Akazienweg 11 
 Neu-Isenburg 63263 
 Germany 
  
 DWS Investment GmbH 
 Attn: Thomas Gerhardt, Managing Director 
 Gruneburgweg 113-115 
 Frankfurt AM Main 60323 
 Germany 
  
 Eckerson, John 
 c/o Citigroup 
 388 Greenwich Street, 7th Floor 
 New York, NY 10013 
  
 Eckert, Jon N. 

254 East 68th Street, Apt. 25D

 New York, NY 10021 
  
 Equity Bridge Finanz GmbH 
 Attn: Monika Hesse 
 WestLB Ag 
 Equity Investments 
 Venture Capital & Private Equity Mittelstand 
 Herzogstrabe 15 

Dusseldorf D-40217 
 Germany 
  
 Fahey, Sean 
 25 East 9th Street, Apt. 11A 
 New York, NY 10003 
  

 FAT Venture Capital Co., Ltd. 
 Attn: Kevin Hsiao 
 10F, 6, Tun Hwa N. Road 
 Taipei
105, Taiwan, R.O.C. 
  
 First Bio Venture Capital Corp. 
 c/o Cheng Xin Technology Development Corp. 
 Attn: Adeline Wong, Jerome Shen
or Michael Huang 
 No. 143, Sec. 2 
 Min-Sheng East Road, 5th
Floor 
 Taipei 104, Taiwan, R.O.C. 
  
 Flossbach & von Storch VM AG 
 Attn: Kurt von Storch or Dr. Bert Flossbach

 Im Mediapark 8 
 Koeln 50670 
 Germany 
  
 Gaito, Michael 
 95 Horatio Street, Apt. 4C 
 New York,
NY 10014 
  
 GLS LP Investment I Limited 
 Attn: L.S. McNairn, Director 
 TrafalgarCourt 
 Les Banques 
 St. Peter Port, Guernsey 
 Channel Islands GY1 3QL 
  
 Gordon, Campbell 
 8 Gerald Road 
 London SW1W 9EQ 
 United Kingdom 
  
 Graham, Sandra Krieg 
 5911 Treelodge Drive 
 Colorado Spings, CO 80918 
  
 Henco, Karsten 
 Tiefenberg 27 
 40629 Düsseldorf 
 Germany 
  

 Higgins, James P. 
 c/o
Citigroup 
 388 Greenwich Street 
 7th Floor 
 New York, NY 10013 
  
 Hirshberg, James M. 
 62 Prince Street 
 West Newton, MA 02465 
  
 Hornef, Heinrich 
 Kopernikusstrasse 3 
 D69469 Weinheim 
 Germany 
  
 Hornnaess, Erik 
 Hoffsjef Lovenskioldsvei 60B 
 0382
Oslo 
 Norway 
  
 Jain, Vivek 
 c/o JP Morgan 
 270
Park Avenue 
 New York, NY 10169 
  
 K.B. (C.I.) Nominees Ltd. 
 Attn: Michael Horman, Kleinwort Benson (Channel

 Islands) Limited 
 P.O. Box 76 
 Wests Centre 
 St. Helier, Jersey 
 Channel Islands JE4 8PQ 
  
 Kaldemorgen, Klaus 
 Saarstrasse 4 
 Russelheim 65428 
 Germany 
  
 Karobath, Manfred 
 14 Stafford Court 
 Kensington High Street 
 London W8 7DJ 
 United Kingdom 
  

 KB Lux Venture Capital Fund-Biotechnology 
 Attn: Patrick Vander-Eecken 
 Kredietrust Luxembourg 
 Soc.Anonyme 11, Rue Aldringen 
 Luxembourg RC B65896 
 Luxembourg 
  
 Kline, Irwin K. 
 1025 Canterbury Lane 
 Villanova, PA 19085 
  
 Kornbrust, Douglas J. 
 7245 Lingfield Drive 
 Reno, NV 89502 
  
 Kraft, Andreas 
 Wartburgstrasse 8 

Frankfurt AM Main 65929 
 Germany 
  
 Krieg, Arthur F. 
 237 Lamp Post Lane 
 Hershey, PA 17033-1881 
  
 Krieg, Edwin H. Jr. 
 108 Normandy Road

 Oak Ridge, TN 37830-8121 
  
 Krieg, Eric 
 1408 Dillon Road 
 Maple Glen, PA 19002 
  
 Krieg, Margaret L. Y. 
 108 Normandy Road 
 Oak Ridge, TN 37830-8121 
  
 Levy Family Revocable
Trust 
 966 Mears Court 
 Stanford, CA 94305 
  

 Mackenrodt, Jochen 
 31
Gabriel Son Seidlstrasse 
 D-82031 Grünwald 
 Germany

  
 Maheras, Thomas 
 24 Grammercy Park South, Apt. 5/6 
 New York, NY 10063 
  
 Martini, Klaus 
 Taunus Str. 141 A 

Oberursel 61440 
 Germany 
  
 McFadden, Gerald 
 101 W. 79th Street, #2D 
 New York, NY 10024 
  
 Mintz Levin Investments, L.L.C. 
 c/o Mintz,
Levin, Cohn, Ferris, Glovsky and Popeo, 
 P.C. 
 Attn: Stephen
Veazey 
 One Financial Center 
 39th Floor 
 Boston, MA 02111

  
 Mulligan Bio Capital AG 
 Attn: H.H. Munchmeyer 
 Stubbenhuk 7 
 20459 Hamburg 
 Germany 
  
 NIB Capital Private Equity N.V. (formerly Alpinvest 
 Holding N.V.) 
 Attn: Otello Stampacchia and Harrold van Barlingen 

P.O. Box 75304 
 1070 AH Amsterdam 
 The Netherlands 
  
 Novack Associates L.P. III 
 c/o RINET Company, LLC 
 Attn: Patrick Maraghy, Executive Vice President 
 10 Post Office Square 
 Boston, MA 02109 
  

 Novack, Emily K. 
 c/o RINET
Company, LLC 
 Attn: Patrick Maraghy, Executive Vice President 
 10 Post Office Square 
 Boston, MA 02109 
  
 Novack, Jeffrey N. Novack 1996 Irrevocable Trust 
 c/o RINET Company, LLC

 Attn: Patrick Maraghy, Executive Vice President 
 10 Post
Office Square 
 Boston, MA 02109 
  
 Novack, Kenneth J. 
 81 Beacon Street 
 Boston, MA 02108 
  
 Novack, Sara E. 
 c/o RINET Company, LLC 
 Attn: Patrick Maraghy, Executive Vice President 
 10 Post Office Square 
 Boston, MA 02109 
  
 Oetker, Roland 
 Bockumerstr. 121 
 40489 Düsseldorf 
 Germany 
  
 Pichler, David 
 c/o Citigroup 
 388 Greenwich Street,
7th Floor 
 New York, NY 10013 
  
 Pontin, Madeline Gunilla Pontin 1997 Irrevocable Trust 
 c/o RINET Company,
LLC 
 Attn: Patrick Maraghy, Executive Vice President 
 10 Post
Office Square 
 Boston, MA 02109 
  
 QIAGEN N.V. 
 Attn: Peer Schatz 
 Max-Volmer StraBe 4 
 Hilden 40724 
 Germany 
  

 Quinby, Claudia V. 
 1140
Fifth Avenue, #12C 
 New York, NY 10128 
  
 Riano, Brian 
 c/o Citigroup 
 388 Greenwich Street, 7th Floor 
 New York, NY 10013 
  
 Riesner, Detlev 
 Sonsbeckerstrasse 19 
 D-40547 Düsseldorf 
 Germany 
  
 Riesner, Rene 
 in Der Hardt 16 
 51503 Rosrath 
 Germany 
  
 Rosendahl, Udo 
 Wasserweg 28 
 60594 Frankfurt

 Germany 
  
 Sakura, J. David 
 72 Chester Street 
 Arlington, MA 02426 
  
 Sandbaum Investments LLC 
 Attn: Anthony Sandler, Administrator 
 515 Auburn HillsDrive 
 Coralville, IA 52241 
  
 Schatz, Peer 
 c/o Qiagen GmbH 
 Max-Volmer StraBe 4 
 Hilden 40724 
 Germany 

 
 Schorr, Joachim 
 c/o Qiagen GmbH 
 Max-Volmer StraBe 4 
 Hilden 40724 
 Germany 
  

 Schühsler, Helmut 
 TVM
Medical Ventures GmbH & Co. KG 
 Maximillianstr. 35 
 Eingang
C 
 München 80539 
 Germany 
  
 Schulte, Heinrich M. 
 Elbchaussee 460 
 Hamburg 22587 
 Germany 
  
 Schwartz, David 
 5915 St. Mary’s Road 
 Hillsborough, NC 27278 
  
 Shingleton, Bradford J. 
 c/o Ophthalmic Consultants of Boston, Inc. 
 50 Staniford Street 
 Boston, MA 02114 
  
 Shingleton, John D. 
 798 Pebblebrook Lane 
 East Lansing, MI 48823 
  
 Seibel, Bernd

 c/o TVM Management Corporation 
 101 Arch Street, Suite 1950

 Boston, MA 02110 
  
 Sistenich, Michael 
 Am Schafelbach 8 
 83229 Asman Im Chiemgal 
 Germany 
  
 Snow, Lucian A. & Elizabeth W. Snow 
 206 Good Hill Road 
 Weston, CT 06883 
  
 TCMC Corporation 
 Attn: David GP Allan 
 Suite 400, Building 11 
 5045 Orbitor Drive 
 Mississauga Ontario L4W 4Y4 
 Canada 
  

 The Ginko Foundation 
 c/o
Ingeborg Behrenwaldt, Director 
 Germanen Str. 8 
 Hofheim D65719

 Germany 
  
 Thomassen, David 
 25530 Dario Terrace 
 Hayward, CA 94541 
  
 Titan I Venture Capital Co., Ltd. 
 Attn: Kevin Hsiao 
 10F, 6, Tun Hwa N. Road 
 Taipei 105, Taiwan, R.O.C. 
  
 Titan II Venture Capital Co., Ltd. 
 Attn: Kevin Hsiao 
 10F, 6, Tun Hwa N. Road 
 Taipei 105, Taiwan, R.O.C. 
  
 TVM IV GmbH & Co. KG 
 c/o TVM Techno
Venture Management 
 Attn: David Poltack 
 101 Arch Street, Suite
1950 
 Boston, MA 02110 
  
 TVM Medical Ventures GmbH & Co. KG 
 c/o TVM Techno Venture Management

 Attn: David Poltack 
 101 Arch Street, Suite 1950 

Boston, MA 02110 
  
 TVM Techno Venture Enterprises 
 c/o TVM Techno Venture Management 
 Attn: David Poltack 
 101 Arch Street, Suite 1950 
 Boston, MA 02110 
  
 TWP Coley Investors 
 Attn: Fredericka Drum 
 Thomas Weisel Partners 
 One Montgomery Street, Suite 3700 
 San Francisco, CA 94104 
  

 Value Management and Research AG 
 c/o Erik Hohenstein, General Counsel 
 AM Kronberger Hang 5 
 Schwalback/Ts. D-65824 
 Germany 
  
 van de Winkel, Jan G. J. 
 Verlengde Slotlaan 80 
 3707 CK Zeist 
 The Netherlands 
  
 Wirtz, Franz 
 Atzenach 37 
 D-52223 Stolberg 
 Germany 
  
 Wirtz, Franz — VermogensVerw 
 Atzenach 37 
 D-52223 Stolberg 
 Germany 
  
 Wirtz, Hannemarie 
 Atzenach 37 
 D-52223 Stolberg

 Germany 
  
 Wolf, Greenfield & Sacks Investment Trust, LLC 
 600 Atlantic Avenue 
 Boston, MA 02210 
  
 Wrigley, R. Gordon 
 Casa Vicosa 186 
 Carvoeiro Golfe SA 
 PT 8400 Carvoeiro L.G.A. 
 Algarve

 Portugal 
  

  
 EXHIBIT B 

 
 List of Series F Investors 
  
 Bernstein, Bruce T. 
 345 West 13th Street, Apt. 6A 
 New York, NY 10014 
  
 Bio World Venture Capital Corp. 
 c/o Cheng Xin Technology Development Corp. 
 Attn: Adeline Wong, Jerome Shen or Michael Huang 
 5F, No. 143 
 Sec. 2, Min-Sheng East Road 
 Taipei, 104, Taiwan, R.O.C. 
  
 Bucher, Thomas 
 Philipp-Kremer Str. 37 
 65779 Kelkheim 
 Germany 
  
 Claussen, Carsten P. 
 Im Park 11 
 40667 Meerbusch 
 Germany 
  
 Coley, Geoffrey O. 
 1009 Park Avenue, Apt. 14 A/B 
 New
York, NY 10028 
  
 Davis, Heather L. 
 c/o Coley Pharmaceutical Canada 
 340 Terry Fox Drive, Suite 200 

Ottawa (Kanata) 
 ON K2K 3A2 
 Canada 
  
 FAT Venture Capital Co., Ltd. 
 Attn: Kevin Hsiao 
 10F,
6, Tun Hwa N. Rd. 
 Taipei, Taiwan, R.O.C. 
  

 First Bio Venture Capital Corp. 
 c/o Cheng Xin Technology Development Corp. 
 Attn: Adeline Wong, Jerome Shen or Michael Huang 
 5F, No. 143 
 Sec. 2, Min-Sheng East Road 
 Taipei, 104, Taiwan, R.O.C. 
  
 Flossbach & von Storch VM AG 
 Attn: Kurt von Storch/Dr. Bert Flossbach 
 Im Mediapark 8 
 50670 Koelin 
 Germany 
  
 Gaito, Michael 
 95 Horatio Street, Apt. 4C 
 New York,
NY 10014 
  
 General Electric Capital Corporation 
 GE Capital Funding 
 Life Science & Technology Finance 
 Attn: Portfolio Manager 
 401 Merritt Seven, Suite 23 
 Norwalk, CT 06851 
  
 The Global Life Science Ventures Fund II L.P. 
 Attn: Alison Mauger, Director/Connie A.E. Helyar, 
 Director 
 Alexander House 
 13-15 Victoria Road 
 St. Peter Port, Guernsey 
 Channel Islands, GY1 3ZD 
  
 GLS LP Investment I Limited 
 Attn: L.S. McNairn, Director 
 TrafalgarCourt 
 Les Banques 
 St. Peter Port, Guernsey 
 Channel Islands GY1 3QL 
  
 The Global Life Science Ventures Fonds II GmbH & 
 Co. KG 
 Attn: Hanns-Peter Wiese, Managing Director 
 Von-der-Tann Str. 3 

80539 München 
 Germany 
  

 Graham, Sandra Krieg 
 5911
Treelodge Drive 
 Colorado Spings, CO 80918 
  
 Henco, Karsten 
 Tiefenberg 27 
 40629 Düsseldorf 
 Germany 
  
 Hibben, Edward K. 
 426 Strawberry Hill Road 
 Concord, MA 01742 
  
 Higgins, James P. 
 c/o Citigroup 
 388 Greenwich Street 
 7th Floor 
 New York, NY 10013 
  
 Hirshberg, James M. 
 62 Prince Street 
 West Newton, MA 02465 
  
 Hornef, Heinrich 
 Kopernikusstrasse 3 
 D69469 Weinheim 
 Germany 
  
 Hornnaess, Dr. Erik 
 Hoffsjef Lovenskioldsvei 60B 
 0382 Oslo 
 Norway 
  
 K.B. (C.I.) Nominees Ltd. 
 Attn: Michael Horman, Kleinwort Benson (Channel

 Islands) Limited 
 P.O. Box 76 
 Wests Centre 
 St. Helier, Jersey 
 Channel Islands JE4 8PQ 
  

 Karobath, Manfred 
 14
Stafford Court 
 Kensington High Street 
 London W8 7DJ

 United Kingdom 
  
 Kline, Irwin K. 
 1025 Canterbury Lane 
 Villanova, PA 19085 
  
 Kornbrust, Douglas J. 
 7245 Lingfield Drive 
 Reno, NV 89502 
  
 Krieg, Arthur F. 
 237 Lamp Post Lane 
 Hershey, PA 17033-1881 
  
 Krieg, Edwin H. Jr. 
 108 Normandy Road

 Oak Ridge, TN 37830-8121 
  
 Krieg, Eric 
 1408 Dillon Road 
 Maple Glen, PA 19002 
  
 Krieg, Margaret L. Y. 
 108 Normandy Road 
 Oak Ridge, TN 37830-8121 
  
 Mackenrodt, Jochen

 31 Gabriel Son Seidlstrasse 
 D-82031 Grünwald 

Germany 
  
 Martini, Klaus 
 Taunus Str. 141 A 
 Oberursel 61440 
 Germany 
  

 Mintz Levin/CpG Investments L.L.C. 
 c/o Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, 
 P.C. 
 Attn: Stephen Veazey 
 One Financial Center 
 39th Floor 
 Boston, MA 02111 
  
 Mulligan Beteiligungs GmbH 
 Attn: H.H. Munchmeyer 
 Stubbenhuk 7 
 20459 Hamburg 
 Germany 
  
 NIB Capital Private Equity N.V. 
 Attn: Otello Stampacchia and Harrold van Barlingen 
 P.O. Box 75304 
 1070 AH Amsterdam 
 The Netherlands 
  
 Noll, Bernard 
 c/o Coley Pharmaceutical GmbH 
 Elisabeth-Selbert Strasse 9 
 Langenfield D-40764 
 Germany 
  
 Novack, Emily K. 
 c/o RINET Company, LLC 
 Attn: Patrick Maraghy, Executive Vice President 
 10 Post Office Square

 Boston, MA 02109 
  
 Novack, Jeffrey N. Novack 1996 Irrevocable Trust 
 c/o RINET Company, LLC 
 Attn: Patrick Maraghy, Executive Vice President 
 10 Post Office Square

 Boston, MA 02109 
  
 Novack, Kenneth J. 
 81 Beacon Street 
 Boston, MA 02108 
  

 Novack, Sara E. 
 c/o RINET
Company, LLC 
 Attn: Patrick Maraghy, Executive Vice President 
 10 Post Office Square 
 Boston, MA 02109 
  
 Oetker, Roland 
 Bockumerstr. 121 
 40489 Düsseldorf 
 Germany 
  
 Riesner, Detlev 
 Sonsbeckerstrasse 19 
 D-40547 Düsseldorf 
 Germany 
  
 Riesner, Rene 
 in Der Hardt 16 
 51503 Rosrath 
 Germany 
  
 Rosendahl, Udo 
 Wasserweg 28 
 60594 Frankfurt

 Germany 
  
 Sakura, J. David 
 72 Chester Street 
 Arlington, MA 02426 
  
 Sandbaum Investments LLC 
 Attn: Anthony Sandler, Administrator 
 515 Auburn HillsDrive 
 Coralville, IA 52241 
  
 Schulte, Heinrich M. 
 Elbchaussee 460 
 Hamburg 22587 
 Germany 
  
 Schwartz, David 
 5915 St. Mary’s Road 
 Hillsborough, NC 27278 
  

 Shingleton, Bradford J. 
 c/o
Ophthalmic Consultants of Boston, Inc. 
 50 Staniford Street 
 Boston, MA 02114 
  
 Sistenich, Michael 
 Am Schafelbach 8 
 83229 Asman Im Chiemgal 
 Germany 
  
 Thomas, McNerney & Partners, L.P. 
 Attn: James E. Thomas/Alex Zisson 
 375 Park Avenue 
 Suite 2001 
 New York, NY 10152 
  
 Titan I Venture Capital Co., Ltd. 
 Attn: Kevin Hsiao 
 10F, 6, Tun Hwa N. Rd. 
 Taipei, Taiwan, R.O.C. 
  
 Titan II Venture Capital Co., Ltd. 
 Attn: Kevin Hsiao 
 10F, 6, Tun Hwa N. Rd. 
 Taipei, Taiwan, R.O.C. 
  
 TMP Associates, L.P. 
 Attn: James E.
Thomas/Alex Zisson 
 375 Park Avenue 
 Suite 2001 
 New York, NY 10152 
  
 TMP Nominee, LLC 
 Attn: James E. Thomas/Alex Zisson 
 375 Park Avenue 
 Suite 2001 
 New York, NY 10152 
  
 TVM IV GmbH & Co. KG 
 c/o TVM Techno Venture Management 
 Attn: David Poltack 
 101 Arch Street, Suite 1950 
 Boston, MA 02110 
  

 TVM V Life Science Ventures GmbH & Co. KG 
 c/o TVM Techno Venture Management 
 Attn: David Poltack 
 101 Arch Street, Suite 1950 
 Boston, MA 02110 
  
 TWP Coley Investors II 
 c/o Fredericka Drum

 One Montgomery Street, Suite 3700 
 San Francisco, CA 94104

  
 van de Winkel, Jan G. J. 
 Verlengde Slotlaan 80 
 3707 CK Zeist 
 The Netherlands 
  
 Venrock Associates 
 Attn: Anthony B. Evnin/John Choi 
 30 Rockefeller Plaza, Room 5508 
 New York, NY 10112 
  
 Venrock Associates III, L.P. 
 Attn: Anthony B.
Evnin/John Choi 
 30 Rockefeller Plaza, Room 5508 
 New York, NY
10112 
  
 Venrock Entrepreneurs Fund III, L.P. 
 Attn: Anthony B. Evnin/John Choi 
 30 Rockefeller Plaza, Room 5508 

New York, NY 10112 
  
 Wagner, Hermann 
 Trogerstrabe 9 
 Institute of Medical Microbiology 
 Munich D-81675 
 Germany 
  
 Wirtz, Fran — VermögensVerw Ges. 
 Atzenach 37 
 D-52223 Stolberg 
 Germany 
  

 Wirtz, Franz 
 Atzenach 37

 D-52223 Stolberg 
 Germany 
  
 Wirtz, Hannemarie 
 Atzenach 37 
 D-52223 Stolberg 
 Germany 
  
 Wrigley, R. Gordon 
 Casa Vicosa 186 
 Carvoeiro Golfe SA 
 PT 8400 Carvoeiro L.G.A. 
 Algarve 
 Portugal 
  
 Charles E. Yon 
 19 Saddle Brook Road 
 Sherborn, MA
01770 
  

  
 EXHIBIT C 

 
 List of Series G Investors 
  
 Purchasers—Initial Closing 
  
 Alafi Capital Company, LLC 
 8 Admiral Drive 
 Suite 324 
 Emeryville, CA 94608 
  
 Bernstein, Bruce T. 
 345 West 13th Street, Apt. 6A

 New York, NY 10014 
  
 Bio World Venture Capital Corp. 
 c/o Cheng Xin Technology 
 Development Corp. 
 Attn: Adeline Wong, Jerome Shen 
 or Michael Huang 
 5F, No. 143 
 Sec. 2, Min-Sheng East Road 
 Taipei, 104, Taiwan, R.O.C. 
  
 First Bio Venture Capital Corp. 
 c/o Cheng Xin Technology 
 Development Corp. 
 Attn: Adeline Wong, Jerome Shen 
 or Michael Huang 
 5F, No. 143 
 Sec. 2, Min-Sheng East Road 
 Taipei, 104, Taiwan, R.O.C. 
  
 Flossbach &
von Storch VM AG 
 Attn: Kurt von Storch/Dr. Bert 
 Flossbach

 Im Mediapark 8 
 50670 Koelin 
 Germany 
  
 Gaito, Michael 
 95 Horatio Street, Apt. 4C 
 New York,
NY 10014 
  
 Henco, Karsten 
 Tiefenberg 27 
 40629 Düsseldorf 
 Germany 
  
 Hibben, Edward K. 
 110 Lanes End 
 Concord, MA 01742

  

 Hirshberg, James M. 
 62
Prince Street 
 West Newton, MA 02465 
  
 Hornnaess, Dr. Erik 
 Hoffsjef Lovenskioldsvei 60B 
 0382 Oslo 
 Norway 
  
 Karobath, Manfred 
 14 Stafford Court 
 Kensington High Street 
 London W8 7DJ 
 United Kingdom 
  
 Kornbrust, Douglas J. 
 7245 Lingfield Drive 
 Reno, NV 89502 
  
 Krieg, Arthur F. 
 237 Lamp Post Lane 
 Hershey, PA 17033-1881 
  
 Krieg, Edwin H. Jr. 
 108 Normandy Road 
 Oak Ridge, TN 37830-8121 
  
 Krieg, Margaret L. Y. 
 108 Normandy Road 
 Oak Ridge, TN 37830-8121 
  
 Mintz Levin Investments LLC 
 c/o Mintz, Levin,
Cohn, Ferris, 
 Glovsky and Popeo, P.C. 
 Attn: Stephen Veazey

 One Financial Center 
 39th Floor 
 Boston, MA 02111 
  
 Mulligan BioCapital AG 
 Attn: H.H. Munchmeyer 
 Stubbenhuk 7 
 20459 Hamburg 
 Germany 
  
 NIBC Principal Instruments I N.V. 
 Attn: Harrold van Barlingen 
 P.O. Box 75304 
 1070 AH Amsterdam 
 The Netherlands 
  

 Noll, Bernhard 
 c/o Coley
Pharmaceutical GmbH 
 Elisabeth-Selbert Strasse 9 
 Langenfield
D-40764 
 Germany 
  
 Oetker, Roland 
 Bockumerstr. 121 
 40489 Düsseldorf 
 Germany 
  
 Sakura, J. David 
 72 Chester Street 
 Arlington, MA 02426 
  
 Schwartz, David 
 5915 St. Mary’s Road 
 Hillsborough, NC 27278 
  
 Shingleton, Bradford J.

 c/o Ophthalmic Consultants of 
 Boston, Inc. 
 50 Staniford Street 
 Boston, MA 02114 
  
 John D. Shingleton 
 798 Pebblebrook Lane 
 East Lansing, MI 48823 
  
 van de Winkel, Jan G. J. 
 Verlengde Slotlaan 80

 3707 CK Zeist 
 The Netherlands 
  
 Wagner, Hermann 
 Trogerstrabe 9 
 Institute of Medical Microbiology 
 Munich D-81675 
 Germany 
  
 Charles E. Yon 
 19 Saddle Brook Road 
 Sherborn, MA 01770 
  
 Bratzler, Robert 
 84 Barnes Hill Road 
 Concord, MA 01742 
  
 Davis, Heather L. 
 c/o Coley Pharmaceutical Canada 
 340 Terry Fox Drive, Suite 200 

Ottawa (Kanata) 
 ONTARIO K2K 3A2 
 Canada 
  

 Krieg, Arthur M. 
 173
Winding River Rd. 
 Wellesley, MA 02482 
  
 The Global Life Science Ventures 
 Funds II GmbH & Co. KG 
 Attn: Hanns-Peter Wiese, Managing 
 Director 
 Von-der-Tann Str. 3 
 80539 München 
 Germany 
  
 GLS LP Investment I Limited 
 c/o Hanns-Peter Wiese 
 Von der Tann Strasse 3 
 Munich 80539 
 Germany

  
 Riesner, Detlev 
 Sonsbeckerstrasse 19 
 D-40547 Düsseldorf 
 Germany 
  
 Riesner, René 
 in Der Hardt 16 
 51503 Rosrath 
 Germany 
  
 Thomas, McNerney & Partners, L.P. 
 Attn: James E. Thomas/Alex Zisson 
 375 Park Avenue 
 Suite 2001 
 New York, NY 10152 
  
 TMP Nominee, LLC 
 Attn: James E. Thomas/Alex Zisson 
 375 Park Avenue 
 Suite 2001 
 New York, NY 10152 
  
 TMP Associates, L.P. 
 Attn: James E. Thomas/Alex Zisson 
 375 Park Avenue 
 Suite 2001 
 New York, NY 10152 
  
 TVM V Life Science Ventures 
 GmbH & Co. KG 
 Attn: David Poltack 
 101 Arch Street 
 Suite 1950 
 Boston, MA 02110 
  

 TWP Coley Investors III 
 c/o
Fredericka Drum 
 One Montgomery Street, Suite 3700 
 San
Francisco, CA 94104 
  
 Venrock Associates 
 Attn: Anthony B. Evnin/John Choi 
 30 Rockefeller Plaza, Room 5508 

New York, NY 10112 
  
 Venrock Entrepreneurs Fund III, 
 L.P. 
 Attn: Anthony B. Evnin/John Choi 
 30 Rockefeller Plaza, Room 5508 
 New York, NY 10112 
  
 Venrock Associates III,
L.P. 
 Attn: Anthony B. Evnin/John Choi 
 30 Rockefeller Plaza,
Room 5508 
 New York, NY 10112 
  
 Wirtz, Franz A. 
 Atzenach 37 
 D-52223 Stolberg 
 Germany 
  
 Wirtz, Hannemarie 
 Atzenach 37 
 D-52223 Stolberg 
 Germany 
  
 Wirtz Vermogens Verw. Ges, Dr. 
 Franz A. 
 Atzenach 37 
 D-52223 Stolberg 
 Germany 
  

 Purchasers—Subsequent Closing 
  
 Claussen, Carsten P. 
 Im Park 11 
 40667 Meerbusch 
 Germany 
  
 Dr. Metin Colpan 
 c/o Qiagen GmbH 
 Max-Volmer-StraBe 4 
 Hilden, D-40724 
 Germany 
  
 Hornef, Heinrich 
 Kopernikusstrasse 3 
 D69469 Weinheim 
 Germany 
  
 Robert E. Cawthorn 
 36 South Road 
 Warwick, Bermuda WK02 
  
 Krieg, Eric 
 1408 Dillon Road 
 Maple Glen, PA 19002 
  
 Schulte, Heinrich M. 
 Elbchaussee 460 
 Hamburg 22587 
 Germany 
  
 The Global Life Science Ventures 
 Fund II L.P. 
 Attn: Alison Mauger, Director 
 Alexander House 
 13-15 Victoria Road 
 St. Peter Port, Guernsey 
 Channel Islands, GY1 3ZD 
 United Kingdom 
  

  
 EXHIBIT D 

 
 Counterpart Signature Page To 
 Coley Pharmaceutical Group, Inc. 
 Third Amended and Restated 
 Investor Rights Agreement 
  
 Pursuant to that certain Third Amended and Restated Investor Rights Agreement
dated as of August 30, 2004, by and among Coley Pharmaceutical Group, Inc. (the “Company”) and the persons and entities listed on Exhibits A, B and C thereto (the “Agreement”), each person or entity that
becomes a holder of Restricted Stock pursuant hereto shall, as a condition to acquiring such Restricted Stock (as defined in the Agreement), become a party to the Agreement by signing and delivering to the Company a counterpart signature page to the
Agreement. The undersigned is, on the date hereof, acquiring shares of Restricted Stock, and hereby agrees to be a party to and be bound as an Investor under the Agreement and hereby authorizes this counterpart signature page to be attached to and
made part of the Agreement as of the date hereof. 
  
 Dated:
                            ,          
  

			
	
	 
	Print Name of Person or Entity
		
	By:	 	 
	 	 	 (signature)

			
		
	 Title (if applicable):
	 	 
	
	Address and Fax Number For Notices:
	
	 
	
	 
	
	 

			
		
	 Fax:
	 	 

  

  
 EXHIBIT E 

 
 List of Common Stockholders 
  
 Bornikoel, Friedrich 
 Caspritz, Gert 
 Davis, Heather 
 DiBello, John J. 
 Krieg, Arthur M. 
 Schühsler,
Helmut 
 Siebel, BerndForm of Common Stock Warrant

 Exhibit 4.3 
  

THIS WARRANT AND THE SECURITIES ISSUABLE UPON THE EXERCISE HEREOF HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
ACT”), OR ANY APPLICABLE STATE SECURITIES LAWS AND MAY NOT BE SOLD, OFFERED FOR SALE, MORTGAGED, PLEDGED, HYPOTHECATED OR OTHERWISE TRANSFERRED UNLESS AND UNTIL SUCH SECURITIES ARE REGISTERED UNDER SUCH ACT OR AN OPINION OF COUNSEL
SATISFACTORY TO THE COMPANY IS OBTAINED TO THE EFFECT THAT SUCH REGISTRATION IS NOT REQUIRED. 
  
 AMENDED AND RESTATED 
 COMMON STOCK PURCHASE WARRANT 
 OF 
 COLEY PHARMACEUTICAL GROUP, INC.

  

			
	Warrant No.                     	 	Number of Shares                     

  
 1. Issuance.
This Amended and Restated Warrant (this “Warrant”) is issued to
                             by Coley Pharmaceutical Group, Inc., a Delaware corporation (hereinafter,
with its successors, called the “Company”) on September 24, 2003. 
  
 2. Purchase Price; Number of Shares. Subject to the terms and conditions hereinafter set forth, the registered holder of this Warrant (the “Holder”), commencing on the date hereof, is entitled
upon surrender of this Warrant and the tender of the Notice of Exercise substantially in the form attached hereto as Exhibit A, at the office of the Company, or such other office as the Company shall notify the Holder of in writing, to
purchase from the Company at a price per share (the “Purchase Price”) of $1.23078, [PRODUCT OF 30% OF # OF SHARES OF SERIES F PREFERRED STOCK ACQUIRED MULTIPLIED BY 1.15598] fully paid and nonassessable shares of the
Company’s Common Stock, $0.01 par value per share (the “Common Stock”). Until such time as this Warrant is exercised in full or expires, the Purchase Price and the number of shares of Common Stock issuable upon exercise of this
Warrant are subject to adjustment as hereinafter provided. 
  
 3.
Expiration Date; Automatic Exercise. This Warrant shall expire at the close of business on the seventh anniversary of September 24, 2003, and shall be void thereafter. Notwithstanding the foregoing, this Warrant shall automatically be deemed
to be exercised in full pursuant to the provisions of Section 5 hereof, without any further action on behalf of the Holder, immediately prior to the time this Warrant would otherwise expire pursuant to the preceding sentence only if and to the
extent that the fair market value of one share of Common Stock, as determined in good faith by the Board of Directors on the date of expiration exceeds the Purchase Price then in effect. 
  
 4. Payment of Purchase Price. The Purchase Price may be paid (i) in cash, check or by wire transfer of immediately
available funds, (ii) by the surrender by the Holder to the Company of any promissory notes or other obligations issued by the Company, with all such notes and obligations so surrendered being credited against the Purchase Price in an amount equal
to the principal amount thereof plus accrued interest to the date of surrender, (iii) through delivery by 

  

 
the Holder to the Company of other securities issued by the Company, with such securities being credited against the Purchase Price in an amount equal to the
fair market value thereof, as determined in good faith by the Board of Directors of the Company (the “Board of Directors”), (iv) by surrender of this Warrant pursuant to the Net Issue Election in Section 5 hereof, or (v) by any
combination of the foregoing. The Board of Directors shall promptly respond in writing to an inquiry by the Holder as to the fair market value of any securities the Holder may wish to deliver to the Company pursuant to clause (iii) above.

  
 5. Net Issue Election. The Holder may elect to receive,
without the payment by the Holder of any additional consideration, shares equal to the value of this Warrant or any portion hereof by the surrender of this Warrant or such portion to the Company, with the net issue election notice annexed hereto
duly executed, at the office of the Company (“Net Issue Election”). Thereupon, the Company shall issue to the Holder such number of fully paid and nonassessable shares of Common Stock as is computed using the following formula:

  
 X = Y (A-B) 
       A 
  

			
	where    X =	  	the number of shares to be issued to the Holder pursuant to this Section 5.
		
	Y =	  	the number of shares covered by this Warrant in respect of which the net issue election is made pursuant to this Section 5.
		
	A =	  	the fair market value of one share of Common Stock, as determined in good faith by the Board of Directors, at the time the net issue election is made pursuant to this Section
5.
		
	B =	  	the Purchase Price in effect under this Warrant at the time the net issue election is made pursuant to this Section 5.

  
 The Board of Directors shall promptly
respond in writing to an inquiry by the Holder as to the fair market value of one share of Common Stock. 
  
 6. Partial Exercise. This Warrant may be exercised in part, and the Holder shall be entitled to receive a new warrant, which shall be dated as of
the date of this Warrant, covering the number of shares in respect of which this Warrant shall not have been exercised. 
  
 7. Issuance Date. The person or persons in whose name or names any certificate representing shares of Common Stock is issued hereunder shall be
deemed to have become the holder of record of the shares represented thereby as at the close of business on the date this Warrant is exercised with respect to such shares, whether or not the transfer books of the Company shall be closed. 

 
 8. Issuance of Certificates for Shares. Upon any exercise of this
Warrant, one or more certificates for the number of shares of Common Stock so purchased shall be issued as soon as practicable thereafter (with appropriate restrictive legends, as applicable). 
  

 - 2 - 

 9. Reserved Shares; Valid Issuance. The Company covenants that it will at all times from and after
the date hereof reserve and keep available such number of its authorized shares of Common Stock, free from all preemptive or similar rights therein, as will be sufficient to permit the exercise of this Warrant in full. The Company further covenants
that such shares as may be issued pursuant to the exercise of this Warrant will, upon issuance, be duly and validly issued, fully paid and nonassessable and free from all taxes, liens and charges with respect to the issuance thereof. 
  
 10. Subdivision, Combination or Dividends. If after the Original Issue
Date (as defined in Section 16 hereof) the Company shall subdivide the Common Stock, by split-up or otherwise, or combine the Common Stock, or issue additional shares of Common Stock in payment of a stock dividend on the Common Stock, the number of
shares of Common Stock issuable on the exercise of this Warrant shall forthwith be proportionately increased in the case of a subdivision or stock dividend, or proportionately decreased in the case of a combination, and the Purchase Price shall
forthwith be proportionately decreased in the case of a subdivision or stock dividend, or proportionately increased in the case of a combination. 
  
 11. Mergers and Reclassifications. If after the Original Issue Date there shall be any reclassification, capital reorganization or change of the
Common Stock (other than as a result of a subdivision, combination or stock dividend provided for in Section 10 hereof), or any consolidation of the Company with, or merger of the Company into, another corporation or other business organization
(other than a consolidation or merger in which the Company is the continuing corporation and which does not result in any reclassification or change of the outstanding Common Stock), or any sale or conveyance to another corporation or other business
organization of all or substantially all of the assets of the Company, then, as a condition of such reclassification, reorganization, change, consolidation, merger, sale or conveyance, lawful provisions shall be made, and duly executed documents
evidencing the same from the Company or its successor shall be delivered to the Holder, so that the Holder shall thereafter have the right to purchase, at a total price not to exceed that payable upon the exercise of this Warrant in full, the kind
and amount of shares of stock and other securities and property receivable upon such reclassification, reorganization, change, consolidation, merger, sale or conveyance by a holder of the number of shares of Common Stock which might have been
purchased by the Holder immediately prior to such reclassification, reorganization, change, consolidation, merger, sale or conveyance, and in any such case appropriate provisions shall be made with respect to the rights and interest of the Holder
that the provisions hereof (including without limitation, provisions for the adjustment of the Purchase Price and the number of shares issuable hereunder) shall thereafter be applicable in relation to any shares of stock or other securities and
property thereafter deliverable upon exercise hereof. 
  
 12A.
Adjustments for Issuances Below Purchase Price. Except as provided in Section 10 and Section 12B below, in the event that the Company shall at any time issue or sell, or is, in accordance with paragraphs 12A(1) through 12A(7), deemed to have
issued or sold, any shares of Common Stock without consideration or for a consideration per share less than the Purchase Price in effect immediately prior to such issue or sale (such number being appropriately adjusted to reflect the occurrence of
any event described in Section 10), then and in such event, the 

  

 - 3 - 

 
Purchase Price shall be reduced, concurrently with such issue, to the price determined by dividing (i) an amount equal to the sum of (a) the number of shares
of Common Stock outstanding immediately prior to such issue or sale (including, for this purpose, shares of Common Stock issuable upon conversion of all shares of Preferred Stock and exercise of warrants to purchase Preferred Stock of the Company
then outstanding (the “Preferred Stock”)) multiplied by the then existing Purchase Price in effect immediately prior to the time of such issue or sale and (b) the consideration, if any, received by the Company upon such issue or
sale, by (ii) an amount equal to the sum of (a) the total number of shares of Common Stock outstanding immediately prior to such issue or sale (including, for this purpose, shares of Common Stock issuable upon conversion of the Preferred Stock and
exercise of warrants to purchase Preferred Stock) and (b) the total number of shares of Common Stock issuable in such issue or sale. For purposes of this Section 12A, all shares of Common Stock deemed issuable upon conversion of outstanding
Preferred Stock shall not give effect to any adjustments to the conversion price or conversion rate of such Preferred Stock resulting from the issuance or sale of the shares of Common Stock that is the subject of such calculation. 
  
 For purposes of this Section 12A, the following paragraphs 12A(1) to 12A(7)
shall also be applicable: 
  
 12A(1) Issuance
of Rights or Options. In case at any time the Company shall in any manner grant (whether directly or by assumption in a merger or otherwise) any warrants or other rights to subscribe for or to purchase, or any options for the purchase of, Common
Stock or any stock or security convertible into or exchangeable for Common Stock (such warrants, rights or options being called “Options” and such convertible or exchangeable stock or securities being called “Convertible
Securities”) whether or not such Options or the right to convert or exchange any such Convertible Securities are immediately exercisable, and the price per share for which Common Stock is issuable upon the exercise of such Options or upon
the conversion or exchange of such Convertible Securities (determined by dividing (i) the total amount, if any, received or receivable by the Company as consideration for the granting of such Options, plus the minimum aggregate amount of additional
consideration payable to the Company upon the exercise of all such Options, plus, in the case of such Options which relate to Convertible Securities, the minimum aggregate amount of additional consideration, if any, payable upon the issue or sale of
such Convertible Securities and upon the conversion or exchange thereof, by (ii) the total maximum number of shares of Common Stock issuable upon the exercise of such Options or upon the conversion or exchange of all such Convertible Securities
issuable upon the exercise of such Options) shall be less than the Purchase Price in effect immediately prior to the time of the granting of such Options, then the total maximum number of shares of Common Stock issuable upon the exercise of such
Options or upon conversion or exchange of the total maximum amount of such Convertible Securities issuable upon the exercise of such Options shall be deemed to have been issued for such price per share as of the date of granting of such Options or
the issuance of such Convertible Securities and thereafter shall be deemed to be outstanding. Except as otherwise provided in paragraph 12A(3), no adjustment of the Purchase Price shall be made upon the actual issue of such Common Stock or of such
Convertible Securities upon exercise of such Options or upon the actual issue of such Common Stock upon conversion or exchange of such Convertible Securities. 
  

 - 4 - 

 12A(2) Issuance of Convertible Securities. In case the Company shall in any manner
issue (whether directly or by assumption in a merger or otherwise) or sell any Convertible Securities, whether or not the rights to exchange or convert any such Convertible Securities are immediately exercisable, and the price per share for which
Common Stock is issuable upon such conversion or exchange (determined by dividing (i) the total amount received or receivable by the Company as consideration for the issue or sale of such Convertible Securities, plus the minimum aggregate amount of
additional consideration, if any, payable to the Company upon the conversion or exchange thereof, by (ii) the total maximum number of shares of Common Stock issuable upon the conversion or exchange of all such Convertible Securities) shall be less
than the Purchase Price in effect immediately prior to the time of such issue or sale, then the total maximum number of shares of Common Stock issuable upon conversion or exchange of all such Convertible Securities shall be deemed to have been
issued for such price per share as of the date of the issue or sale of such Convertible Securities and thereafter shall be deemed to be outstanding, provided that (a) except as otherwise provided in paragraph 12A(3), no adjustment of the Purchase
Price shall be made upon the actual issue of such Common Stock upon conversion or exchange of such Convertible Securities and (b) if any such issue or sale of such Convertible Securities is made upon exercise of any Options to purchase any such
Convertible Securities for which adjustments of the Purchase Price have been or are to be made pursuant to other provisions of this Section 12A, no further adjustment of the Purchase Price shall be made by reason of such issue or sale. 

 
 12A(3) Change in Option Price or Conversion Rate.
Upon the happening of any of the following events, namely, if the purchase price provided for in any Option referred to in paragraph 12A(1), the additional consideration, if any, payable upon the conversion or exchange of any Convertible Securities
referred to in paragraphs 12A(1) or 12A(2), or the rate at which Convertible Securities referred to in paragraphs 12A(1) or 12A(2) are convertible into or exchangeable for Common Stock shall change at any time (including, but not limited to, changes
under or by reason of provisions designed to protect against dilution), the Purchase Price in effect at the time of such event shall forthwith be readjusted to the Purchase Price which would have been in effect at such time had such Options or
Convertible Securities still outstanding provided for such changed purchase price, additional consideration or conversion rate, as the case may be, at the time initially granted, issued or sold; and on the expiration of any such Option or the
termination of any such right to convert or exchange such Convertible Securities, the Purchase Price then in effect hereunder shall forthwith be increased to the Purchase Price which would have been in effect at the time of such expiration or
termination had such Option or Convertible Securities, to the extent outstanding immediately prior to such expiration or termination, never been issued. 
  
 12A(4) Stock Dividends. In case the Corporation shall declare a dividend or make any other distribution upon any stock of the
Corporation payable in Common Stock (except for the issue of stock dividends or distributions upon the outstanding Common Stock for which adjustment is made pursuant to Section 10), Options or Convertible Securities, any Common Stock, Options or
Convertible Securities, as the case may be, issuable in payment 

  

 - 5 - 

 
of such dividend or distribution shall be deemed to have been issued or sold without consideration. 
  
 12A(5) Consideration for Stock. In case any shares of
Common Stock, Options or Convertible Securities shall be issued or sold for cash, the consideration received therefor shall be deemed to be the amount received by the Company therefor, without deduction therefrom of any expenses incurred or any
underwriting commissions or concessions paid or allowed by the Company in connection therewith. In case any shares of Common Stock, Options or Convertible Securities shall be issued or sold for a consideration other than cash, the amount of the
consideration other than cash received by the Company shall be deemed to be the fair value of such consideration as determined in good faith by the Board of Directors, without deduction of any expenses incurred or any underwriting commissions or
concessions paid or allowed by the Company in connection therewith. In case any Options shall be issued in connection with the issue and sale of other securities of the Company, together comprising one integral transaction in which no specific
consideration is allocated to such Options by the parties thereto, such Options shall be deemed to have been issued for such consideration as determined in good faith by the Board of Directors. 
  
 12A(6) Record Date. In case the Company shall take a
record of the holders of its Common Stock for the purpose of entitling them (i) to receive a dividend or other distribution payable in Common Stock, Options or Convertible Securities or (ii) to subscribe for or purchase Common Stock, Options or
Convertible Securities, then such record date shall be deemed to be the date of the issue or sale of the shares of Common Stock deemed to have been issued or sold upon the declaration of such dividend or the making of such other distribution or the
date of the granting of such right of subscription or purchase, as the case may be. 
  
 12A(7) Treasury Shares. The number of shares of Common Stock outstanding at any given time shall not include shares owned or held
by or for the account of the Company, and the disposition of any such shares shall be considered an issue or sale of Common Stock for the purpose of this Section 12A. 
  
 12B. Certain Issues of Common Stock Excepted. Anything herein to the contrary notwithstanding, the
Company shall not be required to make any adjustment of the Purchase Price in the case of the issuance of: (i) shares of Common Stock issuable upon conversion of Preferred Stock; (ii) an aggregate of 674,000 shares of Series C Convertible Preferred
Stock, $.01 par value per share (the “Series C Preferred Stock”), issued upon the exercise of those certain warrants issued to certain investors, the last of which were issued on or about July 15, 1999, (iii) shares of Common Stock
issued or issuable upon conversion of the Series C Preferred Stock issuable pursuant to (ii) above; (iv) Common Stock issuable upon exercise of this Warrant; (v) Reserved Employee Shares (as defined below); (vi) Common Stock, Options or Convertible
Securities issued or issuable by the Company in connection with any strategic alliance or partnership, joint venture, licensing arrangement or to equipment lessors or lenders of the Company in connection with equipment leasing arrangements or bank
or other institutional loans, in each case the principal purpose of which is not equity, convertible debt or equity equivalent financing, provided that the transaction involving such issuance has been approved by 

  

 - 6 - 

 
a majority of the Board of Directors, which majority shall include the directors designated by the holders of the Company’s Series F Convertible
Preferred Stock; (vii) shares of Series F Convertible Preferred Stock issued pursuant to the Amended Purchase Agreement (as defined in Section 16 below); and (viii) shares of Series F Convertible Preferred Stock issued (A) in payment of the Accruing
dividends on the Series F Convertible Preferred Stock pursuant to Section B.2A of Article FOURTH of the Company’s Third Amended and Restated Certificate of Incorporation (the “Charter”) or (B) at the Corporation’s option
pursuant to Section 6.13(e) of the Amended Purchase Agreement, together with all shares of Common Stock issued or issuable upon conversion thereof. The term “Reserved Employee Shares” shall have the meaning given to such term in the
Charter. 
  
 12C. Adjustment of Number of
Shares Issuable Pursuant to Warrants. Upon each adjustment of the Purchase Price in accordance with the provisions of Section 12A, this Warrant shall thereafter evidence the right to purchase, at the adjusted Purchase Price, that number of
shares of Common Stock (calculated to the nearest one-thousandth (.001) of a share) obtained by multiplying the number of shares of Common Stock covered by this Warrant immediately prior to such adjustment by the quotient of: (i) the Purchase Price
in effect immediately prior to such adjustment, divided by (ii) the Purchase Price in effect immediately after such adjustment. 
  
 13. Fractional Shares. In no event shall any fractional share of Common Stock be issued upon any exercise of this Warrant. If, upon exercise of
this Warrant as an entirety, the Holder would, except as provided in this Section 13, be entitled to receive a fractional share of Common Stock, then the Company shall, in lieu of delivering such fractional share of Common Stock, shall pay to the
Holder an amount in cash equal to the current fair market value of such fractional share of Common Stock as determined in good faith by the Board of Directors of the Company. 
  
 14. Certificate of Adjustment. Whenever the Purchase Price is adjusted, as herein provided, the Company shall
promptly deliver to the Holder a certificate of adjustment setting forth the Purchase Price after such adjustment or readjustment and setting forth in reasonable detail the facts upon which such adjustment or readjustment is based. 
  
 15. Notices of Record Date, Etc. In the event of: 
  
 (a) any taking by the Company of a record of the holders of
any class of securities for the purpose of determining the holders thereof who are entitled to receive any dividend or other distribution, 
  
 (b) any reclassification of the capital stock of the Company, capital reorganization of the Company, consolidation or merger involving the
Company, or sale or conveyance of all or substantially all of its assets, or 
  
 (c) any voluntary or involuntary dissolution, liquidation or winding-up of the Company, 
  
 then and in each such event the Company will mail or cause to be mailed to the Holder a notice specifying (i) the date on which any such record is to be taken for the
purpose of such dividend, distribution or right, and stating the amount and character of such dividend, distribution or right, 

  

 - 7 - 

 
or (ii) the date on which any such reclassification, reorganization, consolidation, merger, sale or conveyance, dissolution, liquidation or winding-up is to
take place, and the time, if any is to be fixed, as of which the holders of record in respect of such event are to be determined. Such notice shall be mailed at least 20 days prior to the date specified in such notice on which any such action is to
be taken. 
  
 16. Other Warrants. This Warrant is one of a
series of warrants (collectively, the “Warrants”) that were originally issued by the Company starting on September 24, 2003 (the “Original Issue Date”) pursuant to that certain Amended and Restated Securities
Amended Purchase Agreement, dated as of September 24, 2003 (the “Amended Purchase Agreement”), among the Company and the other parties thereto. 
  

17. Amendment. The terms of this Warrant may be amended, modified or waived only with the written consent of the Company and the Holders of
Warrants representing at least a majority of the number of shares of Common Stock then issuable upon the exercise of the Warrants. No such amendment, modification or waiver shall be effective as to this Warrant unless the terms of such amendment,
modification or waiver shall apply with the same force and effect to all of the other Warrants then outstanding. 
  
 18. Warrant Register; Transfers, Etc. 
  
 (a) The Company will maintain a register containing the names and addresses of the registered holders of the Warrants. The Holder may
change its address as shown on the warrant register by written notice to the Company requesting such change. Any notice or written communication required or permitted to be given to the Holder may be given by certified mail or delivered to the
Holder at its address as shown on the warrant register. 
  
 (b) Subject to compliance with applicable federal and state securities laws, this Warrant may be transferred by the Holder with respect to any or all of the shares purchasable hereunder. Upon surrender of this Warrant
to the Company, together with a properly endorsed Assignment Form in substantially the form attached hereto as Exhibit B (the “Assignment Form”), for transfer of this Warrant as an entirety by the Holder, the Company shall
issue a new warrant of the same denomination to the assignee. Upon surrender of this Warrant to the Company, together with a properly endorsed Assignment Form, by the Holder for transfer with respect to a portion of the shares of Common Stock
purchasable hereunder, the Company shall issue a new warrant to the assignee, in such denomination as shall be requested by the Holder hereof, and shall issue to such Holder a new warrant covering the number of shares in respect of which this
Warrant shall not have been transferred. 
  
 (c)
In case this Warrant shall be mutilated, lost, stolen or destroyed, the Company shall issue a new warrant of like tenor and denomination and deliver the same (i) in exchange and substitution for and upon surrender and cancellation of any mutilated
Warrant, or (ii) in lieu of any Warrant lost, stolen or destroyed, upon receipt of evidence reasonably satisfactory to the Company of the loss, theft or destruction of such Warrant (including a reasonably detailed affidavit with respect to the
circumstances of any loss, theft 

  

 - 8 - 

 
or destruction) and of indemnity reasonably satisfactory to the Company, provided, however, that so long as the Holder is the registered holder of this
Warrant, no indemnity shall be required other than its written agreement to indemnify the Company against any loss arising from the issuance of such new warrant. 
  
 19. Compliance With Securities Act; Transferability of Shares of Common Stock Issuable Hereto. The Holder, by
acceptance hereof, agrees that this Warrant, and the shares of Common Stock issuable upon exercise of this Warrant, are being acquired for investment and that such Holder will not offer, sell or otherwise dispose of this Warrant, or any shares of
Common Stock issuable upon exercise of this Warrant, except under circumstances which will not result in a violation of the Securities Act, or any applicable state securities laws. This Warrant and all shares of Common Stock issued upon
exercise of this Warrant (unless registered under the Securities Act and any applicable state securities laws) shall be stamped or imprinted with a legend in substantially the following form: 
  
 (a) If the holder is a U.S. Person: 
  
 THIS WARRANT AND THE SECURITIES ISSUABLE UPON THE EXERCISE HEREOF HAVE NOT
BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY APPLICABLE STATE SECURITIES LAWS AND MAY NOT BE SOLD, OFFERED FOR SALE, MORTGAGED, PLEDGED, HYPOTHECATED OR OTHERWISE TRANSFERRED UNLESS AND
UNTIL SUCH SECURITIES ARE REGISTERED UNDER SUCH ACT OR AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY IS OBTAINED TO THE EFFECT THAT SUCH REGISTRATION IS NOT REQUIRED. 
  
 (b) If the holder is not a U.S. Person: 
  
 THIS WARRANT AND THE SECURITIES ISSUABLE UPON THE EXERCISE HEREOF HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933,
AS AMENDED (THE “SECURITIES ACT”), OR ANY APPLICABLE STATE SECURITIES LAWS AND MAY NOT BE SOLD, OFFERED FOR SALE, MORTGAGED, PLEDGED, HYPOTHECATED OR OTHERWISE TRANSFERRED UNLESS AND UNTIL SUCH SECURITIES ARE REGISTERED UNDER SUCH
ACT OR AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY IS OBTAINED TO THE EFFECT THAT THE SECURITIES ARE BEING SOLD OUTSIDE OF THE UNITED STATES TO NON-UNITED STATES RESIDENTS IN COMPLIANCE WITH REGULATION S OF SUCH ACT OR OTHERWISE PURSUANT TO AN
AVAILABLE EXEMPTION FROM REGISTRATION AND THAT SUCH REGISTRATION IS NOT REQUIRED. HEDGING TRANSACTIONS INVOLVING THESE SECURITIES ARE PROHIBITED UNLESS IN COMPLIANCE WITH SUCH ACT. 
  

 - 9 - 

 20. No Impairment. The Company will not, by amendment of its Third Amended and Restated
Certificate of Incorporation, as amended from time to time, or through any reclassification, capital reorganization, consolidation, merger, sale or conveyance of assets, dissolution, liquidation, 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 action as may be necessary or
appropriate in order to protect the rights of the Holder. 
  
 21.
Remedies. The Company stipulates that the remedies at law of the Holder of this Warrant in the event of any default or threatened default by the Company in the performance of or compliance with any of the terms of this Warrant are not and
will not be adequate, and that such terms may be specifically enforced by a decree for the specific performance of any agreement contained herein or by an injunction against a violation of any of the terms hereof or otherwise. 
  
 22. Governing Law. The provisions and terms of this Warrant shall be
governed by and construed in accordance with the General Corporation Law of the State of Delaware as to matters within the scope thereof, and as to all other matters shall be construed and enforced in accordance with and governed by the internal
laws of the Commonwealth of Massachusetts, without regard to its principles of conflicts of laws. 
  
 23. Successors and Assigns. This Warrant shall be binding upon the Company’s successors and assigns and shall inure to the benefit of the
Holder’s successors, legal representatives and permitted assigns. 
  
 24. Business Days. If the last or appointed day for the taking of any action required or the expiration of any right granted herein shall be a Saturday or Sunday or a legal holiday in Massachusetts, then such action may be taken or
right may be exercised on the next succeeding day which is not a Saturday or Sunday or such a legal holiday. 
  
 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 
  

 - 10 - 

 IN WITNESS WHEREOF, the undersigned have caused this Amended and Restated Warrant to be duly executed as
of the date first set forth above. 
  

			
	COLEY PHARMACEUTICAL GROUP, INC.
		
	By:	 	 
	 	 	 Robert L. Bratzler

	 	 	 President and Chief Executive Officer

  

 - 11 - 

  
 EXHIBIT A 

 
 NOTICE OF EXERCISE 
  
 To: Coley Pharmaceutical Group, Inc. 
  
 The undersigned hereby elects to [check applicable box]: 
  

	 	 ̈	Purchase                      shares of Common Stock (as defined in
the attached Warrant) of Coley Pharmaceutical Group, Inc., pursuant to the terms of the attached Warrant and payment of the Purchase Price required under such Warrant accompanies this notice. 

  
 OR 
  

	 	 ̈	Exercise the attached Warrant for shares of Common Stock issuable under the Warrant pursuant to the net issue election of Section 5 of such Warrant. 

  
 The undersigned hereby represents and warrants that the undersigned is
acquiring such shares for its own account for investment purposes only, and not for resale or with a view to distribution of such shares or any part thereof. 
  

									
	 Date:
                    
	 	 	 	 WARRANTHOLDER:

					
	 	 	 	 	 	 	By:	 	 
	 	 	 	 	 	 	 	 	 Name:

	 	 	 	 	 	 	 	 	 Address:

  
 Name in which shares should be
registered:
                                       
  
  

			
	Address:	 	 
		
	 	 	 

  

  
 EXHIBIT B 

 
 ASSIGNMENT FORM 
  
 TO: Coley Pharmaceutical Group, Inc. (the “Company”) 
  
 The undersigned hereby assigns and transfers unto
                                       
                      of 
  

 (Please typewrite or print in block letters name and address of Assignee) 
  
 the amended and restated warrant to purchase shares of Common Stock of the Company, dated as
of                                      ,
2003, issued by the Company to the undersigned (the “Warrant”) and does hereby irrevocably constitute and appoint
                     its attorney to transfer the Warrant on the books of the Company with full power of substitution on the premises.

  

									
				
	Date:
                                	 	 	 	By:	 	 
				
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 (Print Name of Signatory)

				
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 (Title of Signatory)

  

  
 Coley
Pharmaceutical Group, Inc. 
 List of Warrant Holders 
 3/8/2005 
  

			
	Series F Common Warrant Holders	  	Warrants

	 Thomas, McNerney & Partners, L.P.
	  	2,026,482
	 Venrock Associates III, L.P.
	  	1,349,490
	 TVM V Life Science Ventures GmbH & Co. KG
	  	948,860
	 NIB Capital Private Equity, N.V.
	  	404,499
	 Henco, Dr. Karsten
	  	316,287
	 Venrock Associates
	  	303,635
	 Global Life Science Venture Fund II GMBH & Co. KG
	  	225,815
	 GLS LP Investment I Limited
	  	210,858
	 General Electric Capital Corpoartion
	  	210,858
	 Mulligan BioCapital AG
	  	189,773
	 Global Life Science Venture Fund II L.P.
	  	175,634
	 The Global Life Science Ventures Funds II GmbH & Co. KG
	  	107,837
	 TVM IV GmbH & Co, KG
	  	105,429
	 The Global Life Science Ventures Funds II LP
	  	83,873
	 TMP Nominee, LLC
	  	75,276
	 Riesner, Dr. Detlev
	  	52,715
	 Karobath, Manfred
	  	45,000
	 Bio World Venture Capital Corp.
	  	42,172
	 First Bio Venture Capital Corporation
	  	42,172
	 Schulte, Prof. Dr. Heinrich M.
	  	42,172
	 Venrock Entrepreneurs Fund III, L.P.
	  	33,737
	 Wirtz, Dr. Franz A.
	  	27,000
	 Novack, Kenneth J.
	  	24,479
	 Riesner, Renee
	  	21,090
	 Oetker, Roland
	  	21,086
	 Erik Hornnaess
	  	21,000
	 FAT Venture Capital Co., Ltd.
	  	17,878
	 Titan II Venture Capital Co., Ltd.
	  	17,878
	 Krieg, Eric
	  	16,500
	 Sandbaum Investments LLC
	  	15,814
	 Wirtz, Hannemarie
	  	15,600
	 K.B. (C.I.) Nominees Ltd.
	  	15,000
	 Mintz Levin Investments LLC
	  	12,652
	 Titan I Venture Capital Co., Ltd.
	  	11,921
	 Wirtz Vermogens Verw. Ges, Dr. Franz A.
	  	11,400
	 TWP Coley Investors II
	  	11,103
	 Graham, Sandra Krieg
	  	10,754
	 Coley, Geoffrey O.
	  	10,543
	 Horneff, Heinrich
	  	10,200

  

			
	 Hirshber, James M.
	  	9,000
	 Claussen, Carsten P.
	  	8,460
	 Kornbrust, Douglas
	  	8,434
	 Schwartz, David
	  	7,500
	 TMP Associates, L.P.
	  	6,819
	 Krieg, Jr., Edwin H.
	  	5,962
	 Mackenrodt, Dr. Jochen
	  	5,672
	 Hermann Wagner
	  	4,800
	 Flossbach & von Storch Vm AG
	  	3,969
	 Higgins, James
	  	3,804
	 Krieg, Arthur F.
	  	3,600
	 Bernstein, Bruce
	  	3,163
	 Heather L. Davis
	  	2,400
	 Krieg, Margaret L.Y.
	  	2,384
	 Sistenich, Michael
	  	2,250
	 Edward K. Hibben
	  	2,250
	 Kline, Irwin K.
	  	2,100
	 Klaus Martini
	  	1,959
	 Charles E. Yon
	  	1,842
	 Thomas Bucher
	  	1,500
	 Bradford J. Shingleton
	  	1,141
	 Gaito, Michael
	  	1,054
	 Wrigley, R. Gordon
	  	1,054
	 Rosendahl, Udo
	  	750
	 van deWinkel, Dr. Jan G.J.
	  	746
	 Sakura, David J.
	  	634
	 Bernard Noll
	  	590
	 Novak, Emily K.
	  	571
	 Novack, Jeffrey N. 1996 Irreovcable Trust dated 2/14/96
	  	571
	 Novak, Sara E.
	  	571
	 	  	

	 	  	7,380,022

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