Document:

Common Stock and Warrant Purchase Agreement

 Exhibit 10.1 
 EXECUTION COPY 
 COMMON STOCK AND WARRANT PURCHASE AGREEMENT 
 This COMMON STOCK AND WARRANT PURCHASE AGREEMENT this (“Agreement”), dated as of January 2, 2007 by and among Sontra Medical
Corporation, a Minnesota corporation (the “Company”), Sherbrooke Partners, LLC, a Delaware limited liability company (“Sherbrooke”), and the purchasers identified on Exhibit A hereto (each, including
Sherbrooke, a “Purchaser” and collectively, including Sherbrooke, the “Purchasers”), for the purchase and sale of shares of the Company’s common stock, par value $0.01 per share (the “Common
Stock”), and warrants to purchase shares of Common Stock, by the Purchasers. 
 WHEREAS, on November 22, 2006, the Company
received a deficiency letter (the “Letter”) from the staff of the Nasdaq Capital Market (“NASDAQ”) indicating that the Company was not in compliance with multiple continued listing requirements and that the staff of
NASDAQ was reviewing the Company’s eligibility for continued listing on NASDAQ, and to facilitate this review, the Company had to submit to NASDAQ the Company’s specific plan to achieve and sustain compliance with all NASDAQ listing
requirements; 
 WHEREAS, the Letter further stated that if, after the conclusion of its review, NASDAQ determined that the Company’s
plan did not adequately address the issue of compliance with NASDAQ’s listing requirements, NASDAQ would provide the Company written notification that the Common Stock would be delisted; 
 WHEREAS, on December 21, 2006, the Board of Directors (the “Board”) of the Company elected to voluntarily delist the Common Stock
from NASDAQ and to cease the Company’s operations while continuing to seek financing; 
 WHEREAS, on or about December 29, 2006, a
representative of Sherbrooke approached the Board regarding a potential investment in the Company on the terms and subject to the conditions set forth herein (the “Investment”); 
 WHEREAS, certain members of the Board and/or executive officers of the Company have elected to participate in the Investment, and that such participation
is a condition to the consummation of the Investment; 
 WHEREAS, the members of the Board not participating in the Investment have
determined that the Investment is consistent with and in furtherance of the long-term business strategy of the Company and fair to, and in the best interests of, the Company and its shareholders and has approved and adopted this Agreement and
declared its advisability and approved the Investment and the other transactions contemplated by this Agreement; 
 WHEREAS, the Purchasers
intend to commence a business, legal and accounting due diligence investigation of the Company immediately after the date hereof (the “Due Diligence Investigation”) and to complete the Due Diligence Investigation on or before
January 18, 2007; 
 WHEREAS, independent of the Investment, the Company intends to finalize the delisting of its Common Stock from
NASDAQ on or about January 18, 2007, but intends to maintain the 

 
registration of its Common Stock under Section 12(g) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and to
continue to file all reports required to be filed with the Securities and Exchange Commission (the “Commission”) pursuant to the Exchange Act; 
 WHEREAS, the Company wishes to sell to the Purchasers, and the Purchasers wish to purchase from the Company, the Securities, all upon the terms and subject to the conditions set forth herein. 
 NOW, THEREFORE, in consideration of the promises and the mutual agreements and covenants hereinafter set forth, and intending to be legally bound, the
Company and the Purchasers hereby agree as follows: 
 ARTICLE I 
 PURCHASE AND SALE OF COMMON STOCK AND WARRANTS 
 Section 1.1 Purchase and
Sale of Common Stock and Warrants. 
 (a) Upon the following terms and subject to the following conditions, the Company shall issue and
sell to the Purchasers, and the Purchasers shall purchase from the Company, 6,000,000 shares of Common Stock (the “Shares”) at a price per share of $0.10 (the “Per Share Purchase Price”) for an aggregate purchase
price of $600,000 (the “Purchase Price”). Each Purchaser shall pay the portion of the Purchase Price set forth opposite its name on Exhibit A hereto (the “Purchasers Schedule”). Up until the Closing,
Sherbrooke may amend the Purchasers Schedule under the heading “Investors” and appropriately allocate among additional investors the investment amounts and number of Shares and Warrants to be issued (so long as any such amendment does not
cause the Purchase Price to equal an amount less than $600,000), and any Purchaser added to such amended Purchasers Schedule shall execute and deliver a counterpart signature page to this Agreement. Upon such execution and delivery, such additional
investor shall become a party to this Agreement and shall become a Purchaser hereunder with all the rights and obligations of a Purchaser. The Company and the Purchasers are executing and delivering this Agreement in accordance with and in reliance
upon the exemption from securities registration afforded by Section 4(2) of the U.S. Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder (the “Securities Act”), including Regulation D
(“Regulation D”), and/or upon such other exemption from the registration requirements of the Securities Act as may be available with respect to any or all of the investments to be made hereunder. 
 (b) Upon the following terms and conditions and for no additional consideration, each of the Purchasers shall be issued Warrants, in substantially the
form attached hereto as Exhibit B (the “Warrants”), to purchase the number of shares of Common Stock equal to twenty-five percent (25%) of the number of Shares purchased by each Purchaser pursuant to the terms of this
Agreement, as set forth opposite such Purchaser’s name on Exhibit A hereto. The Warrants shall expire two (2) years from the Closing Date and shall have an exercise price per share equal to $0.21. Any shares of Common Stock issuable
upon exercise of the Warrants (and such shares when issued) are herein referred to as the “Warrant Shares”. The 

  

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Shares, the Warrants and the Warrant Shares are sometimes collectively referred to herein as the “Securities”. 
 Section 1.2 Purchase Price and Closing. In consideration of and in express reliance upon the representations, warranties, covenants, terms and
conditions of this Agreement, the Company agrees to issue and sell to the Purchasers and, in consideration of and in express reliance upon the representations, warranties, covenants, terms and conditions of this Agreement, the Purchasers, severally
but not jointly, agree to purchase the number of Shares and Warrants, in each case, set forth opposite their respective names on Exhibit A. The closing of the purchase and sale of the Shares and Warrants to be acquired by the Purchasers from
the Company under this Agreement (the “Closing”) shall take place on Thursday, January 18, 2007 or on such other date as the Purchasers and the Company may mutually agree upon (the “Closing Date”),
provided, that all of the conditions set forth in Article IV hereof and applicable to the Closing shall have been fulfilled or waived in accordance herewith. At the Closing, the Company shall deliver or cause to be delivered to each Purchaser
(i) a certificate registered in the name of the Purchaser representing the number of Shares as is set forth opposite the name of such Purchaser on Exhibit A, (ii) a Warrant to purchase such number of shares of Common Stock as is set
forth opposite the name of such Purchaser on Exhibit A and (iii) any other deliveries as required by Article IV. At the Closing, each Purchaser shall deliver its portion of the Purchase Price by wire transfer to an account designated by
the Company. 
 ARTICLE II 
 REPRESENTATIONS AND WARRANTIES 
 Section 2.1 Representations and Warranties of the Company. Except as expressly set
forth in the Commission Documents (defined below), excluding, however, the disclosures in any “Risk Factors” section of the Commission Documents, the Company hereby represents and warrants to each Purchaser as follows, , as of the date
hereof and the Closing Date: 
 (a) Organization, Good Standing and Power. The Company is a corporation duly incorporated, validly
existing and in good standing under the laws of the State of Minnesota and has the requisite corporate power to own, lease and operate its properties and assets and to conduct its business as it is now being conducted. Other than Sontra Medical,
Inc. (“SMI”), the Company does not have any Subsidiaries (defined below) or own securities of any kind in any other entity. Each of the Company and SMI is duly qualified to do business as a foreign corporation and is in good
standing in every jurisdiction in which the nature of the business conducted or property owned by it makes such qualification necessary except for any jurisdiction(s) (alone or in the aggregate) in which the failure to be so qualified will not have
a Material Adverse Effect. For the purposes of this Agreement, “Material Adverse Effect” means any effect on the business, results of operations, prospects, assets or condition (financial or otherwise) of the Company that is
material and adverse to the Company and SMI and/or any condition, circumstance, or situation that would prohibit or otherwise materially interfere with the ability of the Company from entering into and performing any of its obligations under the
Transaction Documents (as defined below) in any material respect. 
  

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 (b) Authorization; Enforcement. The Company has the requisite corporate power and authority to
enter into and perform this Agreement and the Warrants (together, the “Transaction Documents”) and to issue and sell the Securities in accordance with the terms hereof and to complete the transactions contemplated by the Transaction
Documents. The execution, delivery and performance of the Transaction Documents by the Company and the consummation by it of the transactions contemplated thereby have been duly and validly authorized by all necessary corporate action, and no
further consent or authorization of the Company, the Board or its shareholders is required. When executed and delivered by the Company, each of the Transaction Documents shall constitute a valid and binding obligation of the Company enforceable
against the Company in accordance with its terms, except as such enforceability may be limited by applicable bankruptcy, reorganization, moratorium, liquidation, conservatorship, receivership or similar laws relating to, or affecting generally the
enforcement of, creditors’ rights and remedies or by other equitable principles of general application. 
 (c) Capitalization.
The authorized capital stock of the Company consists of (i) 60 million shares of Common Stock and (ii) 10 million shares of preferred stock, $0.01 par value, of which 7 million shares are designated as series A convertible
preferred stock (“Preferred Stock”). As of the date hereof, (i) 2,934,251 shares of Common Stock and 73,334 shares of Preferred Stock are issued and outstanding, all of which are validly issued, fully paid and nonassessable,
and (ii) 600,000 shares of Common Stock are reserved for issuance pursuant to employee stock options granted pursuant to the Company’s equity compensation plans (the “Company Plans”). All of the outstanding shares of the
Common Stock, Preferred Stock and any other outstanding security of the Company have been duly and validly authorized and validly issued, fully paid and nonassessable and were issued in accordance with the registration or qualification provisions of
the Securities Act, or pursuant to valid exemptions therefrom. Except as set forth in this Agreement, no shares of Common Stock, Preferred Stock or any other security of the Company are entitled to preemptive rights, registration rights, rights of
first refusal or similar rights and there are no outstanding warrants, scrip, rights to subscribe to, call or commitments of any character whatsoever relating to, or securities or rights convertible into, any shares of capital stock of the Company.
Furthermore, except as set forth in this Agreement, there are no contracts, commitments, understandings, or arrangements by which the Company is or may become bound to issue additional shares of the capital stock of the Company or options,
securities or rights convertible into shares of capital stock of the Company. Except for customary transfer restrictions contained in agreements entered into by the Company in order to sell restricted securities, the Company is not a party to or
bound by any agreement or understanding granting registration or anti-dilution rights to any person with respect to any of its equity or debt securities. The Company is not a party to, and it has no knowledge of, any agreement or understanding
restricting the voting or transfer of any shares of the capital stock of the Company. There are no outstanding debt securities, or other form of material debt of the Company or SMI. There are no contracts, commitments, understandings, agreements or
arrangements under which the Company or SMI is required to register the sale of any of their securities under the Securities Act. There are no outstanding securities of the Company or SMI that contain any redemption or similar provisions, and there
are no contracts, commitments, understandings, agreements or arrangements by which the Company or SMI is or may become bound to redeem a security of the Company or SMI. There are no securities or instruments containing anti-dilution or similar
provisions that will be triggered by the issuance of the 

  

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Securities. The Company does not have any stock appreciation rights or “phantom stock” plans or agreements, or any similar plan or agreement. As of
the date of this Agreement, except as set forth in filings made with the Commission, to the Company’s knowledge, no Person (as defined below) or group of related Persons beneficially owns (as determined pursuant to Rule 13d-3 promulgated under
the Exchange Act) or has the right to acquire by agreement with or by obligation binding upon the Company, beneficial ownership of in excess of 5% of the Common Stock. Any Person with any right to purchase securities of the Company that would be
triggered as a result of the transactions contemplated hereby or by any of the other Transaction Documents has waived such rights or the time for the exercise of such rights has passed, except where failure of the Company to receive such waiver
would not have a Material Adverse Effect. There are no options, warrants or other outstanding securities of the Company (including, without limitation, any equity securities issued pursuant to any Company Plan) the vesting of which will be
accelerated by the transactions contemplated hereby or by any of the other Transaction Documents. None of the transactions contemplated by this Agreement or by any of the other Transaction Documents shall cause, directly or indirectly, the
acceleration of vesting of any “in the money” options issued pursuant the Company’s stock option plans. 
 (d) Issuance of
Securities. The Shares and the Warrants to be issued at the Closing have been duly authorized by all necessary corporate action and, when paid for and issued in accordance with the terms hereof and the Warrants, respectively, the Shares and the
Warrant Shares will be validly issued, fully paid and nonassessable and free and clear of all liens, encumbrances and rights of refusal of any kind and the holders shall be entitled to all rights accorded to a holder of Common Stock. 
 (e) No Conflicts. The execution, delivery and performance of the Transaction Documents by the Company and the consummation by the Company of the
transactions contemplated hereby and thereby do not and will not (i) violate any provision of the Company’s Articles of Incorporation (the “Articles”) or Bylaws (the “Bylaws”), each as amended to date, or
SMI’s comparable charter documents, (ii) conflict with, or constitute a default (or an event which with notice or lapse of time or both would become a default) under, or give to others any rights of termination, amendment, acceleration or
cancellation of, any agreement, mortgage, deed of trust, indenture, note, bond, license, lease agreement, instrument or obligation to which the Company or SMI is a party or by which the Company’s or SMI’s respective properties or assets
are bound, or (iii) result in a violation of any federal, state, local or foreign statute, rule, regulation, order, judgment or decree (including federal and state securities laws and regulations) applicable to the Company or SMI or by which
any property or asset of the Company or SMI is bound or affected, except, in all cases, other than violations pursuant to clauses (i) or (iii) (with respect to federal and state securities laws) above, except, for such conflicts, defaults,
terminations, amendments, acceleration, cancellations and violations as would not, individually or in the aggregate, have a Material Adverse Effect. Neither the Company nor SMI is required under federal, state, foreign or local law, rule or
regulation to obtain any consent, authorization or order of, or make any filing or registration with, any court or governmental agency in order for it to execute, deliver or perform any of its obligations under the Transaction Documents or issue and
sell the Securities in accordance with the terms hereof (other than any filings, consents and approvals which may be required to be made by the Company under applicable state and federal securities laws). 
  

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 (f) Commission Documents, Financial Statements. The Common Stock of the Company is registered
pursuant to Section 12(b) or 12(g) of the Exchange Act, and the Company has timely filed all reports, schedules, forms, statements and other documents required to be filed by it with the Commission pursuant to the reporting requirements of the
Exchange Act, including pursuant to Sections 13, 14 or 15(d) thereof (all of the foregoing and all exhibits included therein and financial statement and schedules thereto, including filings incorporated by reference therein being referred to herein
as the “Commission Documents”). At the times of their respective filings, each of the Commission Documents complied in all material respects with the requirements of the Exchange Act and the rules and regulations of the Commission
promulgated thereunder, and the Form 10-QSB and Form 10-KSB at the time of their respective filings did not contain any untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary in order to make
the statements therein, in light of the circumstances under which they were made, not misleading. As of their respective dates, the financial statements of the Company included in the Commission Documents were complete and correct in all material
respects and complied with applicable accounting requirements and the published rules and regulations of the Commission or other applicable rules and regulations with respect thereto. Such financial statements have been prepared in accordance with
accounting principles generally accepted in the United States (“GAAP”) applied on a consistent basis during the periods involved (except (i) as may be otherwise indicated in such financial statements or the notes thereto or
(ii) in the case of unaudited interim statements, to the extent they may not include footnotes or may be condensed or summary statements), and fairly present in all material respects the financial position of the Company and SMI as of the dates
thereof and the results of operations and cash flows for the periods then ended (subject, in the case of unaudited statements, to normal year-end audit adjustments). 
 (g) Subsidiaries. For the purposes of this Agreement, “Subsidiary” shall mean any corporation or other entity of which at least a majority of the securities or other ownership interest having
ordinary voting power (absolutely or contingently) for the election of directors or other persons performing similar functions are at the time owned directly or indirectly by the Company and/or SMI. All of the outstanding shares of capital stock of
SMI have been duly authorized and validly issued, and are fully paid and nonassessable. There are no outstanding preemptive, conversion or other rights, options, warrants or agreements granted or issued by or binding upon SMI for the purchase or
acquisition of any shares of capital stock of SMI or any other securities convertible into, exchangeable for or evidencing the rights to subscribe for any shares of such capital stock. Neither the Company nor SMI is subject to any obligation
(contingent or otherwise) to repurchase or otherwise acquire or retire any shares of the capital stock of SMI or any convertible securities, rights, warrants or options of the type described in the preceding sentence. Neither the Company nor SMI is
party to, nor has any knowledge of, any agreement restricting the voting or transfer of any shares of the capital stock of SMI. 
 (h) No
Material Adverse Change. Since December 31, 2005, the Company has not experienced or suffered any Material Adverse Effect. 
 (i)
No Undisclosed Liabilities. Since December 31, 2005, neither the Company nor SMI has incurred any liabilities, obligations, claims or losses (whether liquidated or unliquidated, secured or unsecured, absolute, accrued, contingent or
otherwise) other than 

  

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those incurred in the ordinary course of the Company’s or SMI’s respective businesses or which, individually or in the aggregate, are not
reasonably likely to have a Material Adverse Effect. Since December 31, 2005, none of the Company or SMI has participated in any transaction material to the condition of the Company which is outside of the ordinary course of its business.

 (j) No Undisclosed Events or Circumstances. Since December 31, 2005, no event or circumstance has occurred or exists with
respect to the Company or SMI or their respective businesses, properties, operations or financial condition, which, under applicable law, rule or regulation, requires public disclosure or announcement by the Company but which has not been so
publicly announced or disclosed. 
 (k) Indebtedness. For the purposes of this Agreement, “Indebtedness” shall mean
(a) any liabilities for borrowed money or amounts owed in excess of $300,000 (other than trade accounts payable incurred in the ordinary course of business), (b) all guaranties, endorsements and other contingent obligations in respect of
liabilities for borrowed money of others in excess of $100,000, whether or not the same are or should be reflected in the Company’s balance sheet (or the notes thereto), except guaranties by endorsement of negotiable instruments for deposit or
collection or similar transactions in the ordinary course of business; and (c) the present value of any lease payments in excess of $25,000 due under leases required to be capitalized in accordance with GAAP. Neither the Company nor SMI is in
default with respect to any Indebtedness. 
 (l) Title to Assets. Each of the Company and SMI has good and valid title to all of its
real and personal property reflected in the Commission Documents, free and clear of any mortgages, pledges, charges, liens, security interests or other encumbrances, except for those that, individually or in the aggregate, do not cause a Material
Adverse Effect. All said leases of the Company and SMI are valid and subsisting and in full force and effect. 
 (m) Actions Pending.
There is no action, suit, claim, investigation, arbitration, alternate dispute resolution proceeding or other proceeding pending or, to the knowledge of the Company, threatened against the Company or SMI which questions the validity of this
Agreement or any of the other Transaction Documents or any of the transactions contemplated hereby or thereby or any action taken or to be taken pursuant hereto or thereto. There is no action, suit, claim, investigation, arbitration, alternate
dispute resolution proceeding or other proceeding pending or, to the knowledge of the Company, threatened against or involving the Company, SMI or any of their respective properties or assets, which individually or in the aggregate, could reasonably
be expected to have a Material Adverse Effect. There are no outstanding orders, judgments, injunctions, awards or decrees of any court, arbitrator or governmental or regulatory body against the Company or SMI or any officers or directors of the
Company or SMI in their capacities as such, which individually or in the aggregate, could reasonably be expected to have a Material Adverse Effect. 
 (n) Compliance with Law. The business of the Company and SMI has been and is presently being conducted in accordance with all applicable federal, state and local governmental laws, rules, regulations and
ordinances, except as, individually or in the aggregate, the noncompliance therewith could not reasonably be expected to have a Material 

  

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Adverse Effect. The Company and SMI have all franchises, permits, licenses, consents and other governmental or regulatory authorizations and approvals
necessary for the conduct of its business as now being conducted by it unless the failure to possess such franchises, permits, licenses, consents and other governmental or regulatory authorizations and approvals, individually or in the aggregate,
could not reasonably be expected to have a Material Adverse Effect. 
 (o) Taxes. Each of the Company and SMI has accurately prepared
and filed all federal, state and other tax returns required by law to be filed by it, has paid all taxes shown to be due and all additional assessments, and adequate provisions have been and are reflected in the financial statements of the Company
and SMI for all current taxes and other charges to which the Company or SMI is subject and which are not currently due and payable. None of the federal income tax returns of the Company or SMI has been audited by the Internal Revenue Service. The
Company has no knowledge of any additional assessments, adjustments or contingent tax liability (whether federal or state) of any nature whatsoever, whether pending or threatened against the Company or SMI for any period, nor of any basis for any
such assessment, adjustment or contingency. 
 (p) Certain Fees. The Company has not employed any broker or finder or incurred any
liability for any brokerage or investment banking fees, commissions, finders’ structuring fees, financial advisory fees or other similar fees in connection with the Transaction Documents. 
 (q) Disclosure. Neither this Agreement nor any other documents, certificates or instruments furnished to the Purchasers by or on behalf of the
Company or SMI in connection with the transactions contemplated by this Agreement contains any untrue statement of a material fact or omits to state a material fact necessary in order to make the statements made herein or therein, in the light of
the circumstances under which they were made herein or therein, not misleading. 
 (r) Operation of Business. Each of the Company and
SMI owns or possesses the rights to use all patents, trademarks, domain names (whether or not registered) and any patentable improvements or copyrightable derivative works thereof, websites and intellectual property rights relating thereto, service
marks, trade names, copyrights, licenses and authorizations which are necessary for the conduct of its business as now conducted without any conflict or infringement with the rights of others. 
 (s) Environmental Compliance. Each of the Company and SMI have obtained all material approvals, authorization, certificates, consents, licenses,
orders and permits or other similar authorizations of all governmental authorities, or from any other person, that are required under any Environmental Laws. “Environmental Laws” shall mean all applicable laws relating to the protection of
the environment including, without limitation, all requirements pertaining to reporting, licensing, permitting, controlling, investigating or remediating emissions, discharges, releases or threatened releases of hazardous substances, chemical
substances, pollutants, contaminants or toxic substances, materials or wastes, whether solid, liquid or gaseous in nature, into the air, surface water, groundwater or land, or relating to the manufacture, processing, distribution, use, treatment,
storage, disposal, transport or 

  

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handling of hazardous substances, chemical substances, pollutants, contaminants or toxic substances, material or wastes, whether solid, liquid or gaseous in
nature. The Company has all necessary governmental approvals required under all Environmental Laws and used in its business or in the business of SMI, except for such instances as would not individually or in the aggregate have a Material Adverse
Effect. The Company and SMI are also in compliance with all other limitations, restrictions, conditions, standards, requirements, schedules and timetables required or imposed under all Environmental Laws. Except for such instances as would not
individually or in the aggregate have a Material Adverse Effect, there are no past or present events, conditions, circumstances, incidents, actions or omissions relating to or in any way affecting the Company or SMI that violate or would be
reasonably likely to violate any Environmental Law after the Closing or that would be reasonably likely to give rise to any environmental liability, or otherwise form the basis of any claim, action, demand, suit, proceeding, hearing, study or
investigation (i) under any Environmental Law or (ii) based on or related to the manufacture, processing, distribution, use, treatment, storage (including, without limitation, underground storage tanks), disposal, transport or handling, or
the emission, discharge, release or threatened release of any hazardous substance. 
 (t) Books and Records; Internal Accounting
Controls. The records and documents of the Company and SMI accurately reflect in all material respects the information relating to the business of the Company and SMI, the location and collection of their assets, and the nature of all
transactions giving rise to the obligations or accounts receivable of the Company or any Subsidiary. The Company and SMI maintain a system of internal accounting controls sufficient to provide reasonable assurance that (i) transactions are
executed in accordance with management’s general or specific authorizations, (ii) transactions are recorded as necessary to permit preparation of financial statements in conformity with GAAP and to maintain asset accountability,
(iii) access to assets is permitted only in accordance with management’s general or specific authorization, (iv) the recorded accountability for assets is compared with the existing assets at reasonable intervals and appropriate
actions are taken with respect to any differences and (v) accounts, notes and other receivables and inventory are recorded accurately, and proper and adequate procedures are implemented to effect the collection thereof on a current and timely
basis. There are no significant deficiencies or material weaknesses in the design or operation of internal controls over financial reporting that would reasonably be expected to adversely affect the Company’s ability to record, process,
summarize and report financial information, and there is no fraud, whether or not material, that involves management or, to the knowledge of the Company, other employees who have a significant role in the Company’s internal controls and the
Company has provided to the Purchaser copies of any written materials relating to the foregoing. 
 (u) Material Agreements. Except
for the Transaction Documents (with respect to clause (i) only), or as would not be reasonably likely to have a Material Adverse Effect, (i) each of the Company and SMI has performed all obligations required to be performed by them to date
under any written or oral contract, instrument, agreement, commitment, obligation, plan or arrangement, filed or required to be filed with the Commission (the “Material Agreements”), (ii) neither the Company nor SMI has
received any notice of default under any Material Agreement and, (iii) to the best of the Company’s knowledge, neither the Company nor SMI is in default under any Material Agreement. 
  

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 (v) Transactions with Affiliates. There are no loans, leases, agreements, contracts, royalty
agreements, management contracts or arrangements or other continuing transactions between (a) the Company, SMI or any of their respective customers or suppliers on the one hand, and (b) on the other hand, any officer, employee, consultant
or director of the Company, or SMI, or any person owning any capital stock of the Company or SMI or any member of the immediate family of such officer, employee, consultant, director or shareholder or any corporation or other entity controlled by
such officer, employee, consultant, director or shareholder, or a member of the immediate family of such officer, employee, consultant, director or shareholder which, in each case, is required to be disclosed in the Commission Documents or in the
Company’s most recently filed definitive proxy statement on Schedule 14A, that is not so disclosed in the Commission Documents or in such proxy statement. 
 (w) Securities Act of 1933. Subject to the accuracy and completeness of the representations and warranties of the Purchasers contained in Section 2.2 hereof, the Company has complied and will comply with
all applicable federal and state securities laws in connection with the offer, issuance and sale of the Securities hereunder. Neither the Company nor anyone acting on its behalf, directly or indirectly, has or will sell, offer to sell or solicit
offers to buy any of the Securities or similar securities to, or solicit offers with respect thereto from, or enter into any negotiations relating thereto with, any person, or has taken or will take any action so as to bring the issuance and sale of
any of the Securities under the registration provisions of the Securities Act and applicable state securities laws, and neither the Company nor any of its affiliates, nor any person acting on its or their behalf, has engaged in any form of general
solicitation or general advertising (within the meaning of Regulation D under the Securities Act) in connection with the offer or sale of any of the Securities. 
 (x) Governmental Approvals. Except for the filing of any notice prior or subsequent to the Closing that may be required under applicable state and/or federal securities laws (which if required, shall be filed
on a timely basis), no authorization, consent, approval, license, exemption of, filing or registration with any court or governmental department, commission, board, bureau, agency or instrumentality, domestic or foreign, is or will be necessary for,
or in connection with, the execution or delivery of the Securities, or for the performance by the Company of its obligations under the Transaction Documents. 
 (y) Employees; Labor Relations. Neither the Company nor SMI has any collective bargaining arrangements or agreements covering any of its employees. Neither the Company nor SMI has any employment contract,
agreement regarding proprietary information, non-competition agreement, non-solicitation agreement, confidentiality agreement, or any other similar contract or restrictive covenant, relating to the right of any officer, employee or consultant to be
employed or engaged by the Company or SMI required to be disclosed in the Commission Documents that is not so disclosed. Except as could not reasonably be expected to have a Material Adverse Effect, (i) neither the Company nor SMI is engaged in
any unfair labor practice, (ii) there is no strike, labor dispute, slowdown or stoppage pending or, to the knowledge of the Company, threatened against the Company or SMI, and (iii) neither the Company nor SMI is a party to any collective
bargaining agreement or contract. 
 (z) Absence of Certain Developments. Since December 31, 2005, neither the Company nor SMI
has: 
  

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 (i) issued any stock, bonds or other corporate securities or any right, options or warrants with respect
thereto; 
 (ii) borrowed any amount in excess of $300,000 or incurred or become subject to any other liabilities in excess of $100,000
(absolute or contingent) except current liabilities incurred in the ordinary course of business which are comparable in nature and amount to the current liabilities incurred in the ordinary course of business during the comparable portion of its
prior fiscal year, as adjusted to reflect the current nature and volume of the business of the Company and SMI; 
 (iii) discharged or
satisfied any lien or encumbrance in excess of $250,000 or paid any obligation or liability (absolute or contingent) in excess of $250,000, other than current liabilities paid in the ordinary course of business; 
 (iv) declared or made any payment or distribution of cash or other property to shareholders with respect to its stock, or purchased or redeemed, or made
any agreements so to purchase or redeem, any shares of its capital stock, in each case in excess of $50,000 individually or $100,000 in the aggregate; 
 (v) sold, assigned or transferred any other tangible assets, or canceled any debts or claims, in each case in excess of $100,000, except in the ordinary course of business; 
 (vi) sold, assigned or transferred any patent rights, trademarks, trade names, copyrights, trade secrets or other intangible assets or intellectual
property rights in excess of $250,000, or disclosed any proprietary confidential information to any person except to customers in the ordinary course of business or to the Purchasers or their representatives; 
 (vii) suffered any material losses or waived any rights of material value, whether or not in the ordinary course of business, or suffered the loss of
any material amount of prospective business; 
 (viii) made any changes in employee compensation except in the ordinary course of business
and consistent with past practices; 
 (ix) made capital expenditures or commitments therefor that aggregate in excess of $100,000;

 (x) entered into any material transaction, whether or not in the ordinary course of business; 
 (xi) made charitable contributions or pledges in excess of $10,000; 
 (xii) suffered any material damage, destruction or casualty loss, whether or not covered by insurance; 
  

 11 

 (xiii) experienced any material problems with labor or management in connection with the terms and
conditions of their employment; or 
 (xiv) entered into an agreement, written or otherwise, to take any of the foregoing actions.

 (aa) ERISA. No liability to the Pension Benefit Guaranty Corporation has been incurred with respect to any Plan by the Company or
SMI which is or would be materially adverse to the Company and SMI. The execution and delivery of this Agreement and the issuance and sale of the Securities will not involve any transaction which is subject to the prohibitions of Section 406 of
the Employee Retirement Income Security Act of 1974, as amended (“ERISA”) or in connection with which a tax could be imposed pursuant to Section 4975 of the Internal Revenue Code of 1986, as amended (the
“Code”), provided that, if any of the Purchasers, or any person or entity that owns a beneficial interest in any of the Purchasers, is an “employee pension benefit plan” (within the meaning of Section 3(2) of ERISA)
with respect to which the Company is a “party in interest” (within the meaning of Section 3(14) of ERISA), the requirements of Sections 407(d)(5) and 408(e) of ERISA, if applicable, are met. As used in this Section 2.1(z), the
term “Plan” shall mean an “employee pension benefit plan” (as defined in Section 3 of ERISA) which is or has been established or maintained, or to which contributions are or have been made, by the Company or SMI or by any
trade or business, whether or not incorporated, which, together with the Company or SMI, is under common control, as described in Section 414(b) or (c) of the Code. 
 (bb) Anti-takeover Device. Neither the Company nor SMI has any outstanding shareholder rights plan or “poison pill” or any similar
arrangement. There are no provisions of any anti-takeover or business combination statute applicable to the Company, the Articles and the Bylaws which would preclude the issuance and sale of the Securities, the reservation for issuance of the
Warrant Shares and the consummation of the other transactions contemplated by this Agreement or any of the other Transaction Documents. 
 (cc) Independent Nature of Purchasers. The Company acknowledges that the obligations of each Purchaser under the Transaction Documents are several and not joint with the obligations of any other Purchaser, and no Purchaser shall be
responsible in any way for the performance of the obligations of any other Purchaser under the Transaction Documents and the Company shall not be excused from performance of its obligations to any Purchaser under the Transaction Documents as a
result of nonperformance or breach by any other Purchaser. The Company acknowledges that the decision of each Purchaser to purchase Securities pursuant to this Agreement has been made by such Purchaser independently of any other purchaser and
independently of any information, materials, statements or opinions as to the business, affairs, operations, assets, properties, liabilities, results of operations, condition (financial or otherwise) or prospects of the Company or SMI which may have
made or given by any other Purchaser or by any agent or employee of any other Purchaser, and no Purchaser or any of its agents or employees shall have any liability to any Purchaser (or any other person) relating to or arising from any such
information, materials, statements or opinions. The Company acknowledges that nothing contained herein, or in any Transaction Document, and no action taken by any Purchaser pursuant hereto or thereto, shall be deemed to constitute the Purchasers as
a 

  

 12 

 
partnership, an association, a joint venture or any other kind of entity, or create a presumption that the Purchasers are in any way acting in concert or as
a group with respect to such obligations or the transactions contemplated by the Transaction Documents. The Company acknowledges that each Purchaser shall be entitled to independently protect and enforce its rights, including without limitation, the
rights arising out of this Agreement or out of the other Transaction Documents, and it shall not be necessary for any other Purchaser to be joined as an additional party in any proceeding for such purpose. The Company acknowledges that the
Purchasers have retained their own individual counsel with respect to the transactions contemplated hereby. The Company acknowledges that it has elected to provide all Purchasers with the same terms and Transaction Documents for the convenience
of the Company and not because it was required or requested to do so by the Purchasers. 
 (dd) No Integrated Offering. Neither the
Company, nor any of its affiliates, nor any person acting on its or their behalf, has directly or indirectly made any offers or sales of any security or solicited any offers to buy any security under circumstances that would cause the offering of
the Securities pursuant to this Agreement to be integrated with prior offerings by the Company for purposes of the Securities Act which would prevent the Company from selling the Securities pursuant to Regulation D and Rule 506 thereof under the
Securities Act, or any applicable exchange-related shareholder approval provisions, nor will the Company or any of its affiliates or subsidiaries take any action or steps that would cause the offering of the Securities to be integrated with other
offerings if such other offering, if integrated, would cause the offer and sale of the Securities not to be exempt from registration pursuant to Regulation D and Rule 506 thereof under the Securities Act. The Company does not have any registration
statement pending before the Commission or currently under the Commission’s review and since June 30, 2006, the Company has not offered or sold any of its equity securities or debt securities convertible into shares of Common Stock.

 (ee) Investment Company. The Company is not an “investment company” within the meaning of such term under the Investment
Company Act of 1940, as amended, and the rules and regulations of the Commission thereunder. 
 (ff) Sarbanes-Oxley Act. The Company
is in compliance with the applicable provisions of the Sarbanes-Oxley Act of 2002 (the “Sarbanes-Oxley Act”), and the rules and regulations promulgated thereunder, that are effective and for which compliance by the Company is
required as of the date hereof and intends to comply with other applicable provisions of the Sarbanes-Oxley Act, and the rules and regulations promulgated thereunder, upon the effectiveness of such provisions or the date by which compliance
therewith by the Company is required. 
 Section 2.2 Representations and Warranties of the Purchasers. Each of the Purchasers hereby
represents and warrants to the Company with respect solely to itself and not with respect to any other Purchaser as follows as of the date hereof and as of the Closing Date: 
 (a) Organization and Standing of the Purchasers. If the Purchaser is an entity, such Purchaser is a corporation, limited liability company or
partnership duly incorporated or organized, validly existing and in good standing under the laws of the jurisdiction of its incorporation or organization. If the Purchaser is an individual, such Purchaser is a bona fide 

  

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resident and domiciliary (not a temporary or transient resident) of the state or other jurisdiction indicated on Exhibit A, and such Purchaser has no present
intention of becoming a resident of any other state or jurisdiction. 
 (b) Authorization and Power. Such Purchaser has the requisite
power and authority to enter into and perform the Transaction Documents and to purchase the Securities being sold to it hereunder. The execution, delivery and performance of the Transaction Documents by such Purchaser and the consummation by it of
the transactions contemplated hereby have been duly authorized by all necessary corporate, partnership or other action, and no further consent or authorization of such Purchaser or its Board of Directors, shareholders, partners or members, as the
case may be, is required. When executed and delivered by the Purchasers, the other Transaction Documents shall constitute valid and binding obligations of such Purchaser enforceable against such Purchaser in accordance with their terms, except as
such enforceability may be limited by applicable bankruptcy, insolvency, reorganization, moratorium, liquidation, conservatorship, receivership or similar laws relating to, or affecting generally the enforcement of, creditor’s rights and
remedies or by other equitable principles of general application. 
 (c) No Conflict. The execution, delivery and performance of the
Transaction Documents by such Purchaser and the consummation by such Purchaser of the transactions contemplated thereby and hereby do not and will not (i) violate any provision of such Purchaser’s charter or organizational documents,
(ii) conflict with, or constitute a default (or an event which with notice or lapse of time or both would become a default) under, or give to others any rights of termination, amendment, acceleration or cancellation of, any agreement, mortgage,
deed of trust, indenture, note, bond, license, lease agreement, instrument or obligation to which such Purchaser is a party or by which such Purchaser’s respective properties or assets are bound, or (iii) result in a violation of any
federal, state, local or foreign statute, rule, regulation, order, judgment or decree (including federal and state securities laws and regulations) applicable to such Purchaser or by which any property or asset of such Purchaser are bound or
affected, except, in all cases, other than violations pursuant to clauses (i) or (iii) (with respect to federal and state securities laws) above, for such conflicts, defaults, terminations, amendments, accelerations, cancellations and
violations as would not, individually or in the aggregate, materially and adversely affect such Purchaser’s ability to perform its obligations under the Transaction Documents. 
 (d) Acquisition for Investment. Such Purchaser is purchasing the Shares and Warrants and will purchase any Warrant Shares solely for its own
account and not with a view to or for sale in connection with distribution. Such Purchaser does not have a present intention to sell any of the Shares, Warrants or Warrant Shares, nor a present arrangement (whether or not legally binding) or
intention to effect any distribution of any of the Shares, the Warrants or the Warrant Shares to or through any person or entity; provided, however, that by making the representations herein, such Purchaser does not agree to hold the
Shares, the Warrants or the Warrant Shares for any minimum or other specific term and reserves the right to dispose of the Shares, the Warrants or the Warrant Shares at any time in accordance with Federal and state securities laws applicable to such
disposition. Such Purchaser acknowledges that it (i) has such knowledge and experience in financial and business matters such that Purchaser is capable of evaluating the merits and risks of Purchaser’s investment in the Company,
(ii) is able to bear 

  

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the financial risks associated with an investment in the Securities and (iii) has been given full access to such records of the Company and to the
officers of the Company as it has deemed necessary or appropriate to conduct its due diligence investigation. 
 (e) Rule 144. Such
Purchaser understands that the Securities must be held indefinitely unless such Securities are registered under the Securities Act or an exemption from registration is available. Such Purchaser acknowledges that such person is familiar with Rule 144
of the rules and regulations of the Commission, as amended, promulgated pursuant to the Securities Act (“Rule 144”), and that such Purchaser has been advised that Rule 144 permits resales only under certain circumstances. Such
Purchaser understands that to the extent that Rule 144 is not available, such Purchaser will be unable to sell any Securities without either registration under the Securities Act or the existence of another exemption from such registration
requirement. 
 (f) General. Such Purchaser understands that the Securities are being offered and sold in reliance on a transactional
exemption from the registration requirements of federal and state securities laws and the Company is relying upon the truth and accuracy of the representations, warranties, agreements, acknowledgments and understandings of such Purchaser set forth
herein in order to determine the applicability of such exemptions and the suitability of such Purchaser to acquire the Securities. Such Purchaser understands that no United States federal or state agency or any government or governmental agency has
passed upon or made any recommendation or endorsement of the Securities. 
 (g) No General Solicitation. Such Purchaser acknowledges
that the Securities were not offered to such Purchaser by means of any form of general or public solicitation or general advertising, or publicly disseminated advertisements or sales literature, including (i) any advertisement, article, notice
or other communication published in any newspaper, magazine, or similar media, or broadcast over television or radio, or (ii) any seminar or meeting to which such Purchaser was invited by any of the foregoing means of communications. Such
Purchaser, in making the decision to purchase the Securities, has relied upon independent investigation made by it and the representations, warranties and agreements set forth in the Transaction Documents and has not relied on any information or
representations made by third parties. 
 (h) Accredited Investor. Such Purchaser is an “accredited investor” (as defined
in Rule 501 of Regulation D), and such Purchaser has such experience in business and financial matters that it is capable of evaluating the merits and risks of an investment in the Securities. Such Purchaser acknowledges that an investment in the
Securities is speculative and involves a high degree of risk. Such Purchaser has completed or caused to be completed the Investor Questionnaire Certification attached hereto as Exhibit C certifying as to its status as an “accredited
investor” and understands that the Company is relying upon the truth and accuracy of such information set forth therein to determine the suitability of such Purchaser to acquire the Securities. 
 (i) Certain Fees. The Purchasers have not employed any broker or finder or incurred any liability for any brokerage or investment banking fees,
commissions, finders’ 

  

 15 

 
structuring fees, financial advisory fees or other similar fees in connection with the Transaction Documents. 
 (j) Independent Investment. No Purchaser has agreed to act with any other Purchaser for the purpose of acquiring, holding, voting or disposing of
the Securities purchased hereunder for purposes of Section 13(d) under the Exchange Act, and each Purchaser is acting independently with respect to its investment in the Securities. 
 (k) Short Sales. No Purchaser has engaged in any short sales of the Common Stock or instructed any third parties to engage in any short sales of
the Common Stock on its behalf prior to the Closing Date. Each Purchaser covenants and agrees that it will not be in a net short position with respect to the shares of Common Stock. For purposes of this Section 2.2(k), a “net short
position” means a sale of Common Stock by a Purchaser that is marked as a short sale and that is made at a time when there is no equivalent offsetting long position in Common Stock held by such Purchaser. 
 (l) Independent Advice. Each Purchaser understands that the Company urges the Purchaser to seek independent advice from professional advisors
relating to the suitability for the Purchaser of an investment in the Company in view of the Purchaser’s overall financial needs and with respect to legal and tax implications of such an investment. 
 ARTICLE III 
 COVENANTS

 The Company covenants with each Purchaser as follows, which covenants are for the benefit of each Purchaser and their respective
permitted assignees. 
 Section 3.1 Securities Compliance. The Company shall notify the Commission in accordance with its rules and
regulations, of the transactions contemplated by any of the Transaction Documents and shall take all other necessary action and proceedings as may be required and permitted by applicable law, rule and regulation, for the legal and valid issuance of
the Securities to the Purchasers, or their respective subsequent holders. 
 Section 3.2 Registration. The Company shall cause its
Common Stock to continue to be registered under Section 12(b) or Section 12(g) of the Exchange Act, to comply in all respects with its reporting and filing obligations under the Exchange Act, to comply with all requirements related to any
registration statement filed pursuant to this Agreement, and to not take any action or file any document (whether or not permitted by the Securities Act or the rules promulgated thereunder) to terminate or suspend such registration or to terminate
or suspend its reporting and filing obligations under the Exchange Act or Securities Act, except as permitted herein. 
 Section 3.3
Inspection Rights. The Company shall permit, during normal business hours and upon reasonable request and reasonable notice, each Purchaser or any employees, agents or representatives thereof, so long as such Purchaser shall be entitled
hereunder to purchase the Shares or shall beneficially own any Shares or Warrant Shares, for 

  

 16 

 
purposes reasonably related to such Purchaser’s interests as a shareholder to examine and make reasonable copies of the records and books of account of,
and visit and inspect the properties, assets, operations and business of the Company, and to discuss the affairs, finances and accounts of the Company with any of its officers, consultants, directors, and key employees; provided, however, that any
such access or furnishing of information shall be conducted at the Purchaser’s expense, under the supervision of the Company’s personnel and in such manner as not to interfere with the normal operations of the Company’s business.

 Section 3.4 Compliance with Laws. The Company shall comply with all applicable laws, rules, regulations and orders, noncompliance
with which would be reasonably likely to have a Material Adverse Effect. 
 Section 3.5 Keeping of Records and Books of Account. The
Company shall 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. 
 Section 3.6 Reporting Requirements. If the Commission ceases making the Company’s periodic reports available via the Internet without charge,
then the Company shall, promptly after filing with the Commission, furnish the following to each Purchaser so long as such Purchaser shall be entitled hereunder to purchase the Securities or shall beneficially own Shares or Warrant Shares:

 (a) Quarterly Reports filed with the Commission on Form 10-QSB; 
 (b) Annual Reports filed with the Commission on Form 10-KSB; and 
 (c) Copies of all notices, information and proxy statements in connection with any meetings, that are, in each case, provided to holders of shares of Common Stock, contemporaneously with the delivery of such notices
or information to such holders of Common Stock. 
 Section 3.7 Other Agreements. The Company shall not enter into any agreement in
which the terms of such agreement would restrict or impair the right or ability of the Company to perform its obligations under any Transaction Document. 
 Section 3.8 Use of Proceeds. The net proceeds from the sale of the Shares will be used by the Company for working capital and general corporate purposes, and except for any redemption of the Preferred Stock,
and not to redeem any Common Stock or securities convertible, exercise or exchangeable into Common Stock or to settle any outstanding litigation. 
 Section 3.9 Reporting Status. So long as any Purchaser beneficially owns at least five percent (5%) of the Shares, the Company shall timely file all reports required to be filed with the Commission pursuant to the
Exchange Act, and the Company shall not terminate its status as an issuer required to file reports under the Exchange Act even if the Exchange Act or the rules and regulations thereunder would permit such termination. Subject to the terms of the
Transaction Documents, the Company further covenants that it will take such further action as the Purchasers may reasonably request, all to the extent required from time to time to enable the 

  

 17 

 
Purchasers to sell the Securities without registration under the Securities Act within the limitation of the exemptions provided by Rule 144 promulgated
under the Securities Act. Upon the request of the Purchasers, the Company shall deliver to the Purchasers a written certification of a duly authorized officer as to whether it has complied with such requirements. The Company shall file all reports
required to be filed by the Company with the Commission in a timely manner. 
 Section 3.10 Disclosure of Transaction. The Company
shall issue a press release describing the material terms of the transactions contemplated hereby (the “Press Release”) no later than 9:00 a.m. Eastern Time on the first trading day following the date hereof. The Company shall also
file with the Commission a Current Report on Form 8-K (the “Form 8-K”) describing the material terms of the transactions contemplated hereby (and attaching as exhibits thereto this Agreement, the form of Warrant and the Press
Release) as soon as practicable following the date hereof, which Press Release and Form 8-K shall be subject to prior review and comment by the Purchasers. 
 Section 3.11 Disclosure of Material Information. The Company covenants and agrees that neither it nor any other person acting on its behalf has provided or will provide any Purchaser or its agents or counsel
with any information that the Company believes constitutes material non-public information, unless prior thereto such Purchaser shall have executed a written agreement regarding the confidentiality and use of such information. The Company
understands and confirms that each Purchaser shall be relying on the foregoing representations in effecting transactions in securities of the Company. 
 Section 3.12 Form D. The Company agrees to file a Form D with respect to the Securities as required by Rule 506 under Regulation D and, upon a Purchaser’s request, to provide a copy thereof to the
Purchasers promptly after such filing. 
 Section 3.13 No Integrated Offerings. The Company shall not make any offers or sales of any
security (other than the Securities being offered or sold hereunder) under circumstances that would require registration of the Securities being offered or sold hereunder under the Securities Act. 
 Section 3.14 Pledge of Securities. The Company acknowledges and agrees that the Securities may be pledged by a Purchaser in connection with a
bona fide margin agreement or other loan or financing arrangement that is secured by the Common Stock. The pledge of Common Stock shall not be deemed to be a transfer, sale or assignment of the Common Stock hereunder, and no Purchaser
effecting a pledge of Common Stock shall be required to provide the Company with any notice thereof or otherwise make any delivery to the Company pursuant to this Agreement or any other Transaction Document; provided that a Purchaser and its pledgee
shall be required to comply with the provisions of Article V hereof in order to effect a sale, transfer or assignment of Common Stock to such pledgee. At the Purchasers’ expense, the Company hereby agrees to execute and deliver such
documentation as a pledgee of the Common Stock may reasonably request in connection with a pledge of the Common Stock to such pledgee by a Purchaser. 
  

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 Section 3.15 Confidentiality. Each party agrees that it will not disclose and it will cause its
officers, directors, employees, representatives, agents, and advisers not to disclose, any Confidential Information (as hereinafter defined) with respect to the other party furnished, at any time or in any manner, provided that (i) any
disclosure of such information may be made to which the Company and Purchaser consent in writing; and (ii) such information may be disclosed if so required by law or regulatory authority. “Confidential Information” means
information or knowledge obtained in any due diligence or other investigation relating to the negotiation and execution of this Agreement, information relating to the terms of the transactions contemplated hereby and any information identified as
confidential in writing from one party to the other; provided, however, that Confidential Information shall not include information or knowledge that (a) becomes generally available to the public absent any breach of this
Section 3.15, (b) was available on a non-confidential basis to a party prior to its disclosure pursuant to this Agreement, or (c) becomes available on a non-confidential basis from a third party who is not bound to keep such
information confidential. 
 Section 3.16 Reasonable Best Efforts. Each of the parties hereto shall use its reasonable best efforts to
satisfy each of the conditions to be satisfied by it as provided in Sections 4.1 and 4.2 of this Agreement. 
 Section 3.17 Board
Representation. As long the Purchasers beneficially own at least twenty percent (20%) of the Shares, the Company agrees to take such actions as are necessary or appropriate, and each of the signatories to this Agreement, including, but not
limited to each entity and individual set forth on the Purchasers Schedule, as such schedule is amended (each a “Signatory”) agrees to vote all of the voting securities now owned or hereafter acquired by him and to take such other
actions as are necessary or appropriate, so as to cause the election of one director candidate designated by the Purchasers (the “Purchaser Candidate”) as a member of the Board. The Purchaser Candidate shall only be removed from the
Board at the request of the Purchasers. In the event the Purchaser Candidate dies, resigns, is removed or otherwise ceases to serve as a member of the Board, then the Purchasers shall promptly designate a successor. 
 Section 3.18 Shareholders’ Meeting. If required by applicable law in order to accord voting rights to the Shares (the “Attachment of
Voting Rights”), the Company, acting through the Board, shall, in accordance with applicable law and the Articles and Bylaws, (i) duly call, give notice of, convene and hold an annual or special meeting of its shareholders as promptly
as practicable following the Closing Date (but in no event later than May 31, 2007) for the purpose of considering and taking action on the Attachment of Voting Rights (the “Shareholders’ Meeting”) and
(ii) (A) include in any proxy or information statement delivered to shareholders of the Company in connection with the Shareholders’ Meeting, and not subsequently withdraw or modify in any manner adverse to the Purchasers, the
unanimous recommendation of the Board that the shareholders of the Company approve and adopt the Attachment of Voting Rights and (B) use its best efforts to obtain such approval and adoption. At the Shareholders’ Meeting, each Signatory
shall cause all Shares and shares of Common Stock then owned by him, her or it and his, her or its affiliates to be voted in favor of the approval and adoption of the Attachment of Voting Rights. 
  

 19 

 Section 3.19 Due Diligence Investigation. Sherbrooke shall complete the Due Diligence
Investigation on or before January 17, 2007. 
 ARTICLE IV 
 CONDITIONS 
 Section 4.1 Conditions Precedent to the Obligation of the
Company to Close and to Sell the Securities. The obligation hereunder of the Company to close and issue and sell the Securities to the Purchasers is subject to the satisfaction or waiver, at or before the Closing, of the conditions set forth
below. These conditions are for the Company’s sole benefit and may be waived by the Company at any time in its sole discretion. 
 (a)
Accuracy of the Purchasers’ Representations and Warranties. The representations and warranties of each Purchaser shall be true and correct in all material respects as of the date when made and as of the Closing Date as though made at
that time, except for representations and warranties that are expressly made as of a particular date, which shall be true and correct in all material respects as of such date. 
 (b) Performance by the Purchasers. Each Purchaser shall have performed, satisfied and complied in all material respects with all covenants,
agreements and conditions required by this Agreement to be performed, satisfied or complied with by such Purchaser at or prior to the Closing Date. 
 (c) No Injunction. No statute, rule, regulation, executive order, decree, ruling or injunction shall have been enacted, entered, promulgated or endorsed by any court or governmental authority of competent
jurisdiction which prohibits the consummation of any of the transactions contemplated by this Agreement. 
 (d) Delivery of Purchase
Price. The Purchasers shall have delivered to the Company the Purchase Price for the Shares to be purchased by each Purchaser. 
 Section
4.2 Conditions Precedent to the Obligation of the Purchasers to Close and to Purchase the Securities. The obligation hereunder of each Purchaser to purchase the Securities and consummate the transactions contemplated by this Agreement is
subject to the satisfaction or waiver, at or before the Closing Date, of each of the conditions set forth below. These conditions are for the Purchaser’s sole benefit and may be waived by the Purchaser at any time in its sole discretion.

 (a) Accuracy of the Company’s Representations and Warranties. Each of the representations and warranties of the Company in
this Agreement and the other Transaction Documents shall be true and correct in all material respects (except for those representations and warranties that are qualified by materiality or Material Adverse Effect, which shall be true and correct in
all respects) as of the date when made and as of the Closing Date as though made at that time, except for representations and warranties that are expressly made as of a particular date, which shall be true and correct in all material respects
(except for those representations 
  

 20 

 
and warranties that are qualified by materiality or Material Adverse Effect, which shall be true and correct in all respects) as of such date. 
 (b) Performance by the Company. The Company shall have performed, satisfied and complied in all material respects with all covenants, agreements
and conditions required by this Agreement to be performed, satisfied or complied with by the Company at or prior to the Closing Date. 
 (c)
NASDAQ Delisting. NASDAQ shall have provided the Company with confirmation satisfactory to the Purchasers that the Common Stock has been delisted from NASDAQ. 
 (d) No Injunction. No statute, rule, regulation, executive order, decree, ruling or injunction shall have been enacted, entered, promulgated or endorsed by any court or governmental authority of competent
jurisdiction which prohibits the consummation of any of the transactions contemplated by this Agreement. 
 (e) No Proceedings or
Litigation. No action, suit or proceeding before any arbitrator or any governmental authority shall have been commenced, and no investigation by any governmental authority shall have been threatened, against the Company, or any of the officers,
directors or affiliates of the Company seeking to restrain, prevent or change the transactions contemplated by this Agreement, or seeking damages in connection with such transactions. 
 (f) Shares and Warrants. The Company shall have delivered to the Purchasers certificates representing the Shares (in such denominations as each
Purchaser may request) and the Warrants (in such denominations as each Purchaser may request) duly executed by the Company, in each case, being acquired by the Purchasers at the Closing. 
 (g) Secretary’s Certificate. The Company shall have delivered to the Purchasers a secretary’s certificate, dated as of the Closing
Date, as to (i) the resolutions adopted by the Board of Directors approving the transactions contemplated hereby, (ii) the Articles, (iii) the Bylaws, each as in effect at the Closing, and (iv) the authority and incumbency of the
officers of the Company executing the Transaction Documents and any other documents required to be executed or delivered in connection therewith. 
 (h) Officer’s Certificate. On the Closing Date, the Company shall have delivered to the Purchasers a certificate signed by an executive officer on behalf of the Company, dated as of the Closing Date, confirming the accuracy of
the Company’s representations, warranties and its compliance with covenants as of the Closing Date and confirming the compliance by the Company with the conditions precedent set forth in paragraphs (b)-(e) of this Section 4.2 as of
the Closing Date (provided that, with respect to the matters in paragraphs (d) and (e) of this Section 4.2, such confirmation shall be based on the knowledge of the executive officer). 
 (i) Material Adverse Effect. No Material Adverse Effect shall have occurred at or before the Closing Date. 
  

 21 

 (j) Due Diligence Investigation. The Purchasers shall have completed the Due Diligence
Investigation and shall have been satisfied with the results thereof. 
 (k) Board Participation. The Purchasers Schedule shall
include Michael R. Wigley, Robert S. Langer, Gerard E. Puorro, Gary S. Kohler and Harry G. Mitchell, and each of such individuals shall execute and deliver a counterpart signature page to this Agreement and shall become a Purchaser hereunder with
all the rights and obligations of a Purchaser. 
 ARTICLE V 
 CERTIFICATE LEGEND 
 Section 5.1 Legend. Each certificate representing
the Securities shall be stamped or otherwise imprinted with a legend substantially in the following form (in addition to any legend required by applicable state securities or “blue sky” laws): 
 THE SECURITIES REPRESENTED BY THIS CERTIFICATE (THE “SECURITIES”) HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”) OR ANY STATE SECURITIES LAWS AND MAY NOT BE SOLD, TRANSFERRED OR OTHERWISE DISPOSED OF UNLESS REGISTERED UNDER THE SECURITIES ACT AND UNDER APPLICABLE STATE SECURITIES LAWS OR THE COMPANY SHALL HAVE RECEIVED AN OPINION OF
COUNSEL REASONABLY SATISFACTORY TO THE COMPANY THAT REGISTRATION OF SUCH SECURITIES UNDER THE SECURITIES ACT AND UNDER THE PROVISIONS OF APPLICABLE STATE SECURITIES LAWS IS NOT REQUIRED. 
 The Company agrees to reissue certificates representing any of the Shares and the Warrant Shares, without the legend set forth above if at such time,
prior to making any transfer of any such Shares or Warrant Shares, such holder thereof shall give written notice to the Company describing the manner and terms of such transfer and removal as the Company may reasonably request. Such proposed
transfer and removal will not be effected until: (a) either (i) the Company has received an opinion of counsel reasonably satisfactory to the Company, to the effect that the registration of the Shares or Warrant Shares under the Securities
Act is not required in connection with such proposed transfer, (ii) a registration statement under the Securities Act covering such proposed disposition has been filed by the Company with the Commission and has become and remains effective
under the Securities Act, (iii) the Company has received other evidence reasonably satisfactory to the Company that such registration and qualification under the Securities Act and state securities laws are not required, or (iv) the holder
provides the Company with reasonable assurances that such security can be sold pursuant to Rule 144 under the Securities Act; and (b) either (i) the Company has received an opinion of counsel reasonably satisfactory to the Company, to the
effect that registration or qualification under the securities or “blue sky” laws of any state is not required in connection with such proposed disposition, or (ii) compliance with applicable state securities or “blue sky”
laws has been effected or a valid exemption exists with respect thereto. The Company will respond to any such 

  

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notice from a holder within three (3) trading days. In the case of any proposed transfer under this Section 5.1, the Company will use reasonable
efforts to comply with any such applicable state securities or “blue sky” laws, but shall in no event be required, (x) to qualify to do business in any state where it is not then qualified, or (y) to take any action that would
subject it to tax or to the general service of process in any state where it is not then subject. The restrictions on transfer contained in this Section 5.1 shall be in addition to, and not by way of limitation of, any other restrictions on
transfer contained in any other section of this Agreement. Whenever a certificate representing the Shares or Warrant Shares is required to be issued to a Purchaser without a legend, in lieu of delivering physical certificates representing the Shares
or Warrant Shares, provided the Company’s transfer agent is participating in the Depository Trust Company (“DTC”) Fast Automated Securities Transfer program, the Company shall cause its transfer agent to electronically transmit
the Shares or Warrant Shares to a Purchaser by crediting the account of such Purchaser’s Prime Broker with DTC through its Deposit Withdrawal Agent Commission (“DWAC”) system (to the extent not inconsistent with any provisions
of this Agreement). 
 ARTICLE VI 
 INDEMNIFICATION 
 Section 6.1 General Indemnity. The Company agrees to indemnify and hold harmless the Purchasers
(and their respective directors, officers, agents, managers, partners, members, affiliates, successors and assigns) from and against any and all losses, liabilities, deficiencies, costs, damages and expenses (including, without limitation,
reasonable attorneys’ fees, charges and disbursements) incurred by the Purchasers and their directors, officers, agents, managers, partners, members, shareholders, affiliates, successors and assigns as a result of any inaccuracy in or breach of
the representations, warranties or covenants made by the Company herein. Each Purchaser severally but not jointly agrees to indemnify and hold harmless the Company and its directors, officers, affiliates, agents, successors and assigns from and
against any and all losses, liabilities, deficiencies, costs, damages and expenses (including, without limitation, reasonable attorneys’ fees, charges and disbursements) incurred by the Company and its directors, officers, affiliates, agents,
successors and assigns as a direct result of any inaccuracy in or breach of the representations, warranties or covenants made by such Purchaser herein. The maximum aggregate liability of each Purchaser pursuant to its indemnification obligations
under this Article VI shall not exceed the portion of the Purchase Price paid by such Purchaser hereunder. 
 Section 6.2 Indemnification
Procedure. Any party entitled to indemnification under this Article VI (an “indemnified party”) will give written notice to the indemnifying party of any matters giving rise to a claim for indemnification; provided, that the
failure of any indemnified party to give notice as provided herein shall not relieve the indemnifying party of its obligations under this Article VI except to the extent that the indemnifying party is actually prejudiced by such failure to give
notice. In case any such action, proceeding or claim is brought against an indemnified party in respect of which indemnification is sought hereunder, the indemnifying party shall be entitled to participate in and, unless in the reasonable judgment
of the indemnifying party a conflict of interest between it and the indemnified party exists with 

  

 23 

 
respect to such action, proceeding or claim (in which case the indemnifying party shall be responsible for the reasonable fees and expenses of one separate
counsel for the indemnified parties), to assume the defense thereof with counsel reasonably satisfactory to the indemnified party. In the event that the indemnifying party advises an indemnified party that it will not contest such a claim for
indemnification hereunder, or fails, within thirty (30) days of receipt of any indemnification notice to notify, in writing, such person of its election to defend, settle or compromise, at its sole cost and expense, any action, proceeding or
claim (or discontinues its defense at any time after it commences such defense), then the indemnified party may, at its option, defend, settle or otherwise compromise or pay such action or claim. In any event, unless and until the indemnifying party
elects in writing to assume and does so assume the defense of any such claim, proceeding or action, the indemnified party’s costs and expenses arising out of the defense, settlement or compromise of any such action, claim or proceeding shall be
losses subject to indemnification hereunder. The indemnified party shall cooperate fully with the indemnifying party in connection with any negotiation or defense of any such action or claim by the indemnifying party and shall furnish to the
indemnifying party all information reasonably available to the indemnified party which relates to such action or claim. The indemnifying party shall keep the indemnified party fully apprised at all times as to the status of the defense or any
settlement negotiations with respect thereto. If the indemnifying party elects to defend any such action or claim, then the indemnified party shall be entitled to participate in such defense with counsel of its choice at its sole cost and expense.
The indemnifying party shall not be liable for any settlement of any action, claim or proceeding effected without its prior written consent which consent shall not be unreasonably withheld. Notwithstanding anything in this Article VI to the
contrary, the indemnifying party shall not, without the indemnified party’s prior written consent, settle or compromise any claim or consent to entry of any judgment in respect thereof which imposes any future obligation on the indemnified
party or which does not include, as an unconditional term thereof, the giving by the claimant or the plaintiff to the indemnified party of a release from all liability in respect of such claim. The indemnification required by this Article VI shall
be made by periodic payments of the amount thereof during the course of investigation or defense, as and when bills are received or expense, loss, damage or liability is incurred, so long as the indemnified party irrevocably agrees to refund such
moneys if it is ultimately determined by a court of competent jurisdiction that such party was not entitled to indemnification. The indemnity agreements contained herein shall be in addition to (a) any cause of action or similar rights of the
indemnified party against the indemnifying party or others, and (b) any liabilities the indemnifying party may be subject to pursuant to the law. 
 ARTICLE VII 
 TERMINATION 
 Section 7.1 Termination. This Agreement may be terminated at any time prior to the Closing: 
 (a) by the Purchasers if, between the date hereof and the Closing: (A) an event or condition occurs that has resulted in a Material Adverse Effect,
(B) any representations and warranties of the Company contained in this Agreement (1) that are not qualified by “materiality” or “Material Adverse Effect” shall not have been true and correct in all material 

  

 24 

 
respects when made or (2) that are qualified by “materiality” or “Material Adverse Effect” shall not have been true and correct when
made, (C) the Company shall not have complied in all material respects with the covenants or agreements contained in this Agreement to be complied with by it or (D) the Company makes a general assignment for the benefit of creditors, or
any proceeding shall be instituted by or against the Company seeking to adjudicate it a bankrupt or insolvent, or seeking liquidation, winding up or reorganization, arrangement, adjustment, protection, relief or composition of its debts under any
law relating to bankruptcy, insolvency or reorganization; 
 (b) by the Company if, between the date hereof and the Closing, the Purchasers
shall not have complied in all material respects with the covenants or agreements contained in this Agreement to be complied with by them; 
 (c) by the Purchasers if for any reason the Closing shall not have occurred before January 31, 2007 as a result of the failure of any closing condition set forth in Section 4.2 to be satisfied or waived or otherwise; or

 (d) by the mutual written consent of the Company and the Purchasers. 
 Section 7.2 Effect of Termination. In the event of termination of this Agreement as provided in Section 7.1, this Agreement shall forthwith
become void and there shall be no liability on the part of either party hereto except (a) as set forth in Section 8.1 and (b) that nothing herein shall relieve either party hereto from liability for any breach of this Agreement.

 MISCELLANEOUS 
 Section
8.1 Fees and Expenses. Each party shall pay the fees and expenses of its advisors, counsel, accountants and other experts, if any, and all other expenses, incurred by such party incident to the negotiation, preparation, execution, delivery
and performance of this Agreement, provided that the Company shall pay all actual attorneys’ fees and expenses (including disbursements and out-of-pocket expenses) for one counsel to the Purchasers incurred by the Purchasers in
connection with (i) the preparation, negotiation, execution and delivery of this Agreement and the other Transaction Documents and the transactions contemplated thereunder and the performance of a due diligence investigation of the Company,
which payment shall be made at Closing and shall not exceed $40,000 (exclusive of disbursements and out-of-pocket expenses). In addition, the Company shall pay all reasonable fees and expenses incurred by the Purchasers in connection with the
enforcement of this Agreement or any of the other Transaction Documents, including, without limitation, all reasonable attorneys’ fees and expenses. 
 Section 8.2 Specific Performance; Consent to Jurisdiction; Venue. 
 (a) The Company and the
Purchasers acknowledge and agree that irreparable damage would occur in the event that any of the provisions of this Agreement or the other Transaction Documents are not performed in accordance with their specific terms or are otherwise breached. It
is accordingly agreed that the parties shall be entitled to an injunction or 

  

 25 

 
injunctions to prevent or cure breaches of the provisions of this Agreement or the other Transaction Documents and to enforce specifically the terms and
provisions hereof or thereof, this being in addition to any other remedy to which any of them may be entitled by law or equity. 
 (b) The
parties agree that venue for any dispute arising under this Agreement will lie exclusively in the state or federal courts located in New York County, New York, and the parties irrevocably waive any right to raise forum non conveniens or any
other argument that New York is not the proper venue. The parties irrevocably consent to personal jurisdiction in the state and federal courts of the state of New York. The Company and each Purchaser consent to process being served in any such suit,
action or proceeding by mailing a copy thereof to such party at the address in effect for notices to it under this Agreement and agrees that such service shall constitute good and sufficient service of process and notice thereof. Nothing in this
Section 8.2 shall affect or limit any right to serve process in any other manner permitted by law. The Company and the Purchasers hereby agree that the prevailing party in any suit, action or proceeding arising out of or relating to the
Securities or this Agreement, shall be entitled to reimbursement for reasonable legal fees from the non-prevailing party. 
 Section 8.3
Entire Agreement; Amendment. This Agreement and the Transaction Documents contain the entire understanding and agreement of the parties with respect to the matters covered hereby and, except as specifically set forth herein or in the other
Transaction Documents, neither the Company nor any Purchaser make any representation, warranty, covenant or undertaking with respect to such matters, and they supersede all prior understandings and agreements with respect to said subject matter, all
of which are merged herein. Following the Closing, no provision of this Agreement may be waived or amended other than by a written instrument signed by the Company and the Purchasers holding at least a majority of all Shares then held by the
Purchasers. Any amendment or waiver effected in accordance with this Section 8.3 shall be binding upon each Purchaser (and their permitted assigns) and the Company. 
 Section 8.4 Notices. Any notice, demand, request, waiver or other communication required or permitted to be given hereunder shall be in writing and shall be effective (a) upon hand delivery by telecopy or
facsimile at the address or number designated below (if delivered on a business day during normal business hours where such notice is to be received), or the first business day following such delivery (if delivered other than on a business day
during normal business hours where such notice is to be received) or (b) on the second business day following the date of mailing by express courier service, fully prepaid, addressed to such address, or upon actual receipt of such mailing,
whichever shall first occur. The addresses for such communications shall be: 
  

			
	If to the Company:	  	Sontra Medical Corporation
		  	10 Forge Parkway
		  	Franklin, MA 02038
		  	Attention: Chief Executive Officer
		  	Tel. No.: (508) 553-8850
		  	Fax No.: (508) 553-8760

  

 26 

			
	with copies (which copies
shall not constitute notice
to the Company)
to:	  	Thomas B. Rosedale
		  	BRL Law Group LLC
		  	31 St. James Avenue, Suite 850
		  	Boston, MA 02116
		  	Tel. No.: (617) 399-6931
		  	Fax No.: (617) 399-6930
		
	If to any Purchaser:	  	At the address of such Purchaser set forth on Exhibit A to this Agreement, with copies to such Purchaser’s counsel (which copies shall not constitute notice to such Purchaser) as
set forth on Exhibit A or as specified in writing by such Purchaser.
		
	with copies to:	  	Greenberg Traurig, LLP
		  	The Met Life Building
		  	200 Park Avenue
		  	New York, New York 10166
		  	Attention: Michael D. Helsel, Esq.
		  	Tel. No.: (212) 801-6962
		  	Fax No.: (212) 805-6400

 Any party hereto may from time to time change its address for notices by giving written notice of
such changed address to the other parties hereto. 
 Section 8.5 Waivers. No waiver by any party of any default with respect to any
provision, condition or requirement of this Agreement shall be deemed to be a continuing waiver in the future or a waiver of any other provision, condition or requirement hereof, nor shall any delay or omission of any party to exercise any right
hereunder in any manner impair the exercise of any such right accruing to it thereafter. 
 Section 8.6 Headings. The article, section
and subsection headings in this Agreement are for convenience only and shall not constitute a part of this Agreement for any other purpose and shall not be deemed to limit or affect any of the provisions hereof. 
 Section 8.7 Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties and their successors and assigns.
After the Closing, the assignment by a party to this Agreement of any rights hereunder shall not affect the obligations of such party under this Agreement. Subject to Section 5.1 hereof, the Purchasers may assign the Securities and its rights
under this Agreement and the other Transaction Documents and any other rights hereto and thereto without the consent of the Company. 
 Section 8.8 No Third Party Beneficiaries. This Agreement is intended for the benefit of the parties hereto and their respective permitted successors and assigns and is not for the benefit of, nor may any provision hereof be enforced
by, any other person. 
  

 27 

 Section 8.9 Governing Law. This Agreement shall be governed by and construed in accordance with
the internal laws of the State of New York, without giving effect to any of the conflicts of law principles which would result in the application of the substantive law of another jurisdiction. This Agreement shall not be interpreted or construed
with any presumption against the party causing this Agreement to be drafted. 
 Section 8.10 Survival. The representations and
warranties of the Company and the Purchasers shall survive the execution and delivery hereof and the Closing. 
 Section 8.11
Counterparts. This Agreement may be executed in any number of counterparts, all of which taken together shall constitute one and the same instrument and shall become effective when counterparts have been signed by each party and delivered to
the other parties hereto, it being understood that all parties need not sign the same counterpart. 
 Section 8.12 Publicity. The
Company agrees that it will not disclose, and will not include in any public announcement, the names of the Purchasers without the consent of the Purchasers, which consent shall not be unreasonably withheld or delayed, or unless and until such
disclosure is required by law, rule or applicable regulation, and then only to the extent of such requirement. 
 Section 8.13
Severability. The provisions of this Agreement are severable and, in the event that any court of competent jurisdiction shall determine that any one or more of the provisions or part of the provisions contained in this Agreement shall, for
any reason, be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality or unenforceability shall not affect any other provision or part of a provision of this Agreement and this Agreement shall be reformed and
construed as if such invalid or illegal or unenforceable provision, or part of such provision, had never been contained herein, so that such provisions would be valid, legal and enforceable to the maximum extent possible. 
 Section 8.14 Further Assurances. From and after the date of this Agreement, upon the reasonable request of the Purchasers or the Company, the
Company and each Purchaser shall execute and deliver such instruments, documents and other writings as may be reasonably necessary or desirable to confirm and carry out and to effectuate fully the intent and purposes of this Agreement and the
Warrants. 
 [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK] 
  

 28 

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

			
	SONTRA MEDICAL CORPORATION
		
	By:	 	/s/ Harry Mitchell
		 	 Name: Harry Mitchell
 Title: Interim Chief Executive
Officer

  

			
	SHERBROOKE PARTNERS, LLC
		
	By:	 	/s/ Matthew Balk
		 	 Name: Matthew Balk
 Title:

 EXHIBIT A 
 LIST OF PURCHASERS 
 Investors: 
  

								
	 Names and Addresses of Purchasers
	  	# of Shares Purchased	  	# of Warrants
Received	  	Amount Invested
	 1. Sherbrooke Partners, LLC
 570 Lexington Avenue
 New York, NY 10021
	  	4,800,000	  	1,200,000	  	$	480,000
				
	 Total:
	  	4,800,000	  	1,200,000	  	$	480,000

 Directors and Executive Officers: 
  

								
	 Names and Addresses of Purchasers
	  	# of Shares Purchased	  	# of Warrants
Received	  	Amount Invested
	 1. Michael R. Wigley
	  	600,000	  	162,500	  	$	60,000
	 2. Robert S. Langer
	  	250,000	  	62,500	  	$	25,000
	 3. Gerard E. Puorro
	  	200,000	  	50,000	  	$	20,000
	 4. Gary S. Kohler
	  	100,000	  	25,000	  	$	10,000
	 5. Harry G. Mitchell
	  	50,000	  	12,500	  	$	5,000
	 Total:
	  	1,200,000	  	300,000	  	$	120,000

  

 2 

 EXHIBIT B 
 FORM OF WARRANT 
  

 i 

 EXHIBIT C 
 INVESTOR QUESTIONNAIRE CERTIFICATION 
 SONTRA MEDICAL CORPORATION 
 INVESTOR QUESTIONNAIRE 
 (ALL
INFORMATION WILL BE TREATED CONFIDENTIALLY) 
  

	To:	Sontra Medical Corporation 

 This Purchaser Questionnaire
(“Questionnaire”) must be completed by each potential investor in connection with the offer and sale of the shares of restricted common stock and warrants of Sontra Medical Corporation (the “Securities”). The Securities are being
offered and sold by Sontra Medical Corporation (the “Company”) without registration under the Securities Act of 1933, as amended (the “Act”), and the securities laws of certain states, in reliance on the exemptions contained in
Section 4(2) of the Act and on Regulation D promulgated thereunder and in reliance on similar exemptions under applicable state laws. The Company must determine that a potential investor meets certain suitability requirements before offering or
selling Securities to such investor. The purpose of this Questionnaire is to assure the Company that each investor will meet the applicable suitability requirements. The information supplied by you will be used in determining whether you meet such
criteria, and reliance upon the private offering exemptions from registration is based in part on the information herein supplied. This Questionnaire does not constitute an offer to sell or a solicitation of an offer to buy any security. Your
answers will be kept strictly confidential. However, by signing this Questionnaire, you will be authorizing the Company to provide a completed copy of this Questionnaire to such parties as the Company deems appropriate in order to ensure that the
offer and sale of the Securities will not result in a violation of the Act or the securities laws of any state and that you otherwise satisfy the suitability standards applicable to purchasers of the Securities. All potential investors must answer
all applicable questions and complete, date and sign this Questionnaire. Please print or type your responses and attach additional sheets of paper if necessary to complete your answers to any item. 
  

	A.	BACKGROUND INFORMATION 

 Name:
_______________________________________________________________________________________________ 
 Business Address:
______________________________________________________________________________________ 
                                        
                                 (Number and Street) 
 _____________________________________________________________________________________________________ 
 (City)                                      
                  (State)                     
                                        
                       (Zip Code) 
 Telephone Number: _____________________________ 
 If an individual: 
 Age: __________ Citizenship: ____________ 
 If a corporation, partnership, limited liability company, trust or other entity:

 Type of entity: _________________________________________________________________________________________ 
 State of formation:______________________ Date of formation: ____________________ 
 Social Security or Taxpayer Identification No. ________________________________________________________________ 
  

	B.	STATUS AS ACCREDITED INVESTOR 

 The undersigned is an
“accredited investor” as such term is defined in Regulation D under the Act, and at the time of the offer and sale of the Securities the undersigned falls and will fall within one or more of the following categories (Please initial one
or more, as applicable): 1 
  

 1 As used in this Questionnaire, the term “net worth” means the excess of total assets over total liabilities. In computing net worth for the purpose of subsection (4), the principal residence
of the investor must be valued at cost, including cost of improvements, or at recently appraised value by an institutional lender making a secured loan, net of encumbrances. In determining income, the investor should add to the investor’s
adjusted gross income any amounts attributable to tax exempt income received, losses claimed as a limited partner in any limited partnership, contributions to an IRA or KEOGH retirement plan, alimony payments, and any amount by which income from
long-term capital gains has been reduced in arriving at adjusted gross income. 
  

 ii 

 
____ (1)        a bank as defined in Section 3(a)(2) of the Act, or a savings and loan association or
other institution as defined in Section 3(a)(5)(A) of the Act whether acting in its individual or fiduciary capacity; a broker or dealer registered pursuant to Section 15 of the Securities Exchange Act of 1934; an insurance
company as defined in Section 2(13) of the Act; an investment company registered under the Investment Company Act of 1940 or a business development company as defined in Section 2(a)(48) of that Act; a Small Business
Investment Company licensed by the U.S. Small Business Administration under Section 301(c) or (d) of the Small Business Investment Act of 1958; a plan established and maintained by a state, its political subdivisions, or any
agency or instrumentality of a state or its political subdivisions for the benefit of its employees, if such plan has total assets in excess of $5,000,000; an employee benefit plan within the meaning of the Employee Retirement Income Security
Act of 1974, if the investment decision is made by a plan fiduciary, as defined in Section 3(21) of such Act, which is either a bank, savings and loan association, insurance company, or registered investment adviser, or if the employee benefit
plan has total assets in excess of $5,000,000 or, if a self-directed plan, with the investment decisions made solely by persons that are accredited investors; 
 ____ (2)        a private business development company as defined in Section 202(a)(22) of the Investment Advisers Act of 1940; 
 ____ (3)        an organization described in Section 501(c)(3) of the Internal Revenue Code of 1986, as amended,
corporation, Massachusetts or similar business trust, or partnership, not formed for the specific purpose of acquiring the Securities offered, with total assets in excess of $5,000,000; 
 ____ (4)        a natural person whose individual net worth, or joint net worth with that person’s spouse, at the
time of such person’s purchase of the Securities exceeds $1,000,000; 
 ____ (5)        a natural person
who had an individual income in excess of $200,000 in each of the two most recent years or joint income with that person’s spouse in excess of $300,000 in each of those years and has a reasonable expectation of reaching the same income level in
the current year; 
 ____ (6)        a trust, with total assets in excess of $5,000,000, not formed for the
specific purpose of acquiring the Securities offered, whose purchase is directed by a sophisticated person as described in Rule 506(b)(2)(ii) of Regulation D; and 
 ____ (7)        an entity in which all of the equity owners are accredited investors (as defined above). 
 IN WITNESS WHEREOF, the undersigned has executed this Questionnaire this ____ day of __________, 2006, and declares under oath that it is truthful and correct. 
 _____________________________________________ 
 Print Name 
 By:__________________________________________ 
 Signature 
 Title:_________________________________________ 
 (required for any purchaser that is a corporation, 
 partnership, limited liability company, trust or 
 other entity) 
  

 iiiForm of  Warrant to Purchase Shares of Common Stock

 Exhibit 10.2 
 THIS WARRANT AND THE SHARES OF COMMON STOCK ISSUABLE UPON EXERCISE HEREOF HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”) OR ANY STATE SECURITIES LAWS AND MAY NOT BE SOLD,
TRANSFERRED OR OTHERWISE DISPOSED OF UNLESS REGISTERED UNDER THE SECURITIES ACT AND UNDER APPLICABLE STATE SECURITIES LAWS OR THE ISSUER SHALL HAVE RECEIVED AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO THE ISSUER THAT REGISTRATION OF SUCH
SECURITIES UNDER THE SECURITIES ACT AND UNDER THE PROVISIONS OF APPLICABLE STATE SECURITIES LAWS IS NOT REQUIRED. 
 WARRANT TO PURCHASE

 SHARES OF COMMON STOCK 
 OF

 SONTRA MEDICAL CORPORATION 
 Expires January __, 2009 
  

			
	 No.: __________________
	  	Number of Shares: ___________
		
	 Date of Issuance: January __, 2007
	  	

 FOR VALUE RECEIVED, the undersigned, Sontra Medical Corporation, a Minnesota corporation (together
with its successors and assigns, the “Issuer”), hereby certifies that _______________________________ or its registered assigns is entitled to subscribe for and purchase, during the Term (as hereinafter defined), up to
____________________________________ (_____) shares (subject to adjustment as hereinafter provided) of the duly authorized, validly issued, fully paid and non-assessable Common Stock of the Issuer, at an exercise price per share equal to the Warrant
Price then in effect, subject, however, to the provisions and upon the terms and conditions hereinafter set forth. Capitalized terms used in this Warrant and not otherwise defined herein shall have the respective meanings specified in Section 9
hereof. 
 1. Term. The term of this Warrant shall commence on January __, 2007 and shall expire at 6:00 p.m., eastern time, on
January __, 2009 (such period being the “Term”). 
 2. Method of Exercise; Payment; Issuance of New Warrant;
Transfer and Exchange. 
 (a) Time of Exercise. The purchase rights represented by this Warrant may be exercised in whole or in
part during the Term. 
  

 -1- 

 (b) Method of Exercise. The Holder hereof may exercise this Warrant, in whole or in part, by the
surrender of this Warrant (with the exercise form attached hereto duly executed) at the principal office of the Issuer, and by the payment to the Issuer of an amount of consideration therefor equal to the Warrant Price in effect on the date of such
exercise multiplied by the number of shares of Warrant Stock with respect to which this Warrant is then being exercised, payable at such Holder’s election (i) by certified or official bank check or by wire transfer to an account designated
by the Issuer, (ii) by “cashless exercise” in accordance with the provisions of subsection (c) of this Section 2, but only when a registration statement under the Securities Act providing for the resale of the Warrant Stock
is not then in effect, or (iii) by a combination of the foregoing methods of payment selected by the Holder of this Warrant. 
 (c)
Cashless Exercise. Notwithstanding any provisions herein to the contrary and commencing one (1) year following the Original Issue Date, if a registration statement under the Securities Act providing for the resale of the Warrant Stock is
not then in effect, in lieu of exercising this Warrant by payment of cash, the Holder may exercise this Warrant by a cashless exercise and shall receive the number of shares of Common Stock equal to an amount (as determined below) by surrender of
this Warrant at the principal office of the Issuer together with the properly endorsed Notice of Exercise in which event the Issuer shall issue to the Holder a number of shares of Common Stock computed using the following formula: 
  

													
		    	X = Y -	 	(A)(Y)	  		  		  		  	
		    		 	    B	  		  		  		  	
			
	Where	    	X =	 	the number of shares of Common Stock to be issued to the Holder.
			
		    	Y =	 	the number of shares of Common Stock purchasable upon exercise of all of the Warrant or, if only a portion of the Warrant is being exercised, the portion of the Warrant being
exercised.
			
		    	A =	 	the Warrant Price.
			
		    	B =	 	the Per Share Market Value of one share of Common Stock.

 (d) Issuance of Stock Certificates. In the event of any exercise of this Warrant in
accordance with and subject to the terms and conditions hereof, certificates for the shares of Warrant Stock so purchased shall be dated the date of such exercise and delivered to the Holder hereof within a reasonable time, not exceeding three
(3) Trading Days after such exercise (the “Delivery Date”) or, at the request of the Holder (provided that a registration statement under the Securities Act providing for the resale of the Warrant Stock is then in effect),
issued and delivered to the Depository Trust Company (“DTC”) account on the Holder’s behalf via the Deposit Withdrawal Agent Commission System (“DWAC”) within a reasonable time, not exceeding three
(3) Trading Days after such exercise, and the Holder hereof shall be deemed for all purposes to be the holder of the shares of Warrant Stock so purchased as of the date of such exercise. Notwithstanding the foregoing to the contrary, the Issuer
or its transfer agent shall only be obligated to issue and deliver the shares to the DTC on a holder’s behalf via DWAC if such exercise is in connection with a sale and the Issuer and its transfer agent are participating in DTC 

  

 -2- 

 
through the DWAC system. The Holder shall deliver this original Warrant, or an indemnification undertaking with respect to such Warrant in the case of its
loss, theft or destruction, at such time that this Warrant is fully exercised. With respect to partial exercises of this Warrant, the Issuer shall keep written records for the Holder of the number of shares of Warrant Stock exercised as of each date
of exercise. 
 (e) Compensation for Buy-In on Failure to Timely Deliver Certificates Upon Exercise. In addition to any other rights
available to the Holder, if the Issuer fails to cause its transfer agent to transmit to the Holder a certificate or certificates representing the Warrant Stock pursuant to an exercise on or before the Delivery Date, and if after such date the Holder
is required by its broker to purchase (in an open market transaction or otherwise) shares of Common Stock to deliver in satisfaction of a sale by the Holder of the Warrant Stock which the Holder anticipated receiving upon such exercise (a
“Buy-In”), then the Issuer shall (1) pay in cash to the Holder the amount by which (x) the Holder’s total purchase price (including brokerage commissions, if any) for the shares of Common Stock so purchased exceeds
(y) the amount obtained by multiplying (A) the number of shares of Warrant Stock that the Issuer was required to deliver to the Holder in connection with the exercise at issue times (B) the price at which the sell order giving rise to
such purchase obligation was executed, and (2) at the option of the Holder, either reinstate the portion of the Warrant and equivalent number of shares of Warrant Stock for which such exercise was not honored or deliver to the Holder the number
of shares of Common Stock that would have been issued had the Issuer timely complied with its exercise and delivery obligations hereunder. For example, if the Holder purchases Common Stock having a total purchase price of $11,000 to cover a Buy-In
with respect to an attempted exercise of shares of Common Stock with an aggregate sale price giving rise to such purchase obligation of $10,000, under clause (1) of the immediately preceding sentence the Issuer shall be required to pay the
Holder $1,000. The Holder shall provide the Issuer written notice indicating the amounts payable to the Holder in respect of the Buy-In, together with applicable confirmations and other evidence reasonably requested by the Issuer. Nothing herein
shall limit a Holder’s right to pursue any other remedies available to it hereunder, at law or in equity including, without limitation, a decree of specific performance and/or injunctive relief with respect to the Issuer’s failure to
timely deliver certificates representing shares of Common Stock upon exercise of this Warrant as required pursuant to the terms hereof. 
 (f) Transferability of Warrant. Subject to Section 2(h) hereof, this Warrant may be transferred by a Holder, in whole or in part, without the consent of the Issuer. If transferred pursuant to this paragraph, this Warrant may be
transferred on the books of the Issuer by the Holder hereof in person or by duly authorized attorney, upon surrender of this Warrant at the principal office of the Issuer, properly endorsed (by the Holder executing an assignment in the form attached
hereto) and upon payment of any necessary transfer tax or other governmental charge imposed upon such transfer. This Warrant is exchangeable at the principal office of the Issuer for Warrants to purchase the same aggregate number of shares of
Warrant Stock, each new Warrant to represent the right to purchase such number of shares of Warrant Stock as the Holder hereof shall designate at the time of such exchange. All Warrants issued on transfers or exchanges shall be dated the Original
Issue Date and shall be identical with this Warrant except as to the number of shares of Warrant Stock issuable pursuant thereto. 
  

 -3- 

 (g) Continuing Rights of Holder. The Issuer will, at the time of or at any time after each
exercise of this Warrant, upon the request of the Holder hereof, acknowledge in writing the extent, if any, of its continuing obligation to afford to such Holder all rights to which such Holder shall continue to be entitled after such exercise in
accordance with the terms of this Warrant, provided that if any such Holder shall fail to make any such request, the failure shall not affect the continuing obligation of the Issuer to afford such rights to such Holder. 
 (h) Compliance with Securities Laws. 
 (i) The Holder of this Warrant, by acceptance hereof, acknowledges that this Warrant and the shares of Warrant Stock to be issued upon exercise hereof are being acquired solely for the Holder’s own account and
not as a nominee for any other party, and for investment, and that the Holder will not offer, sell or otherwise dispose of this Warrant or any shares of Warrant Stock to be issued upon exercise hereof except pursuant to an effective registration
statement, or an exemption from registration, under the Securities Act and any applicable state securities laws. 
 (ii)
Except as provided in paragraph (iii) below, this Warrant and all certificates representing shares of Warrant Stock issued upon exercise hereof shall be stamped or imprinted with a legend in substantially the following form: 
 THIS WARRANT AND THE SHARES OF COMMON STOCK ISSUABLE UPON EXERCISE HEREOF HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
“SECURITIES ACT”) OR ANY STATE SECURITIES LAWS AND MAY NOT BE SOLD, TRANSFERRED OR OTHERWISE DISPOSED OF UNLESS REGISTERED UNDER THE SECURITIES ACT AND UNDER APPLICABLE STATE SECURITIES LAWS OR THE ISSUER SHALL HAVE RECEIVED AN OPINION OF
COUNSEL REASONABLY SATISFACTORY TO THE ISSUER THAT REGISTRATION OF SUCH SECURITIES UNDER THE SECURITIES ACT AND UNDER THE PROVISIONS OF APPLICABLE STATE SECURITIES LAWS IS NOT REQUIRED. 
 (iii) The Issuer agrees to reissue this Warrant or certificates representing any of the Warrant Stock, without the legend set forth above
if at such time, prior to making any transfer of any such securities, the Holder shall give written notice to the Issuer describing the manner and terms of such transfer. Such proposed transfer will not be effected until: (a) either
(i) the Issuer has received an opinion of counsel reasonably satisfactory to the Issuer, to the effect that the registration of such securities under the Securities Act is not required in connection with such proposed transfer, (ii) a
registration statement under the Securities Act covering such proposed disposition has been filed by the Issuer with the Securities and Exchange Commission and has become effective under the Securities Act, (iii) the Issuer has received other
evidence reasonably satisfactory to 

  

 -4- 

 
the Issuer that such registration and qualification under the Securities Act and state securities laws are not required, or (iv) the Holder provides the
Issuer with reasonable assurances that such security can be sold pursuant to Rule 144 under the Securities Act; and (b) either (i) the Issuer has received an opinion of counsel reasonably satisfactory to the Issuer, to the effect that
registration or qualification under the securities or “blue sky” laws of any state is not required in connection with such proposed disposition, or (ii) compliance with applicable state securities or “blue sky” laws has been
effected or a valid exemption exists with respect thereto. The Issuer will respond to any such notice from a holder within three (3) Trading Days. In the case of any proposed transfer under this Section 2(h), the Issuer will use reasonable
efforts to comply with any such applicable state securities or “blue sky” laws, but shall in no event be required, (x) to qualify to do business in any state where it is not then qualified, (y) to take any action that would
subject it to tax or to the general service of process in any state where it is not then subject, or (z) to comply with state securities or “blue sky” laws of any state for which registration by coordination is unavailable to the
Issuer. The restrictions on transfer contained in this Section 2(h) shall be in addition to, and not by way of limitation of, any other restrictions on transfer contained in any other section of this Warrant. Whenever a certificate representing
the Warrant Stock is required to be issued to a the Holder without a legend, in lieu of delivering physical certificates representing the Warrant Stock, the Issuer shall cause its transfer agent to electronically transmit the Warrant Stock to the
Holder by crediting the account of the Holder’s Prime Broker with DTC through its DWAC system (to the extent not inconsistent with any provisions of this Warrant or the Purchase Agreement). 
 (i) Accredited Investor Status. In no event may the Holder exercise this Warrant in whole or in part unless the Holder is an
“accredited investor” as defined in Regulation D under the Securities Act. 
 3. Stock Fully Paid; Reservation and Listing of
Shares; Covenants. 
 (a) Stock Fully Paid. The Issuer represents, warrants, covenants and agrees that all shares of Warrant Stock
which may be issued upon the exercise of this Warrant or otherwise hereunder will, when issued in accordance with the terms of this Warrant, be duly authorized, validly issued, fully paid and non-assessable and free from all taxes, liens and charges
created by or through the Issuer. The Issuer further covenants and agrees that during the period within which this Warrant may be exercised, the Issuer will at all times have authorized and reserved for the purpose of the issuance upon exercise of
this Warrant a number of authorized but unissued shares of Common Stock equal to at least one hundred fifty percent (150%) of the number of shares of Common Stock issuable upon exercise of this Warrant. 
 (b) Reservation. If any shares of Common Stock required to be reserved for issuance upon exercise of this Warrant or as otherwise provided
hereunder require registration or qualification with any Governmental Authority under any federal or state law before such shares may be so issued, the Issuer will in good faith use its best efforts as expeditiously as possible at its expense to
cause such shares to be duly registered or qualified. If the Issuer shall list any shares of Common Stock on any securities exchange or market it will, at its expense, list thereon, 

  

 -5- 

 
and maintain and increase when necessary such listing, of, all shares of Warrant Stock from time to time issued upon exercise of this Warrant or as otherwise
provided hereunder (provided that such Warrant Stock has been registered pursuant to a registration statement under the Securities Act then in effect), and, to the extent permissible under the applicable securities exchange rules, all unissued
shares of Warrant Stock which are at any time issuable hereunder, so long as any shares of Common Stock shall be so listed. The Issuer will also so list on each securities exchange or market, and will maintain such listing of, any other securities
which the Holder of this Warrant shall be entitled to receive upon the exercise of this Warrant if at the time any securities of the same class shall be listed on such securities exchange or market by the Issuer. 
 (c) Covenants. The Issuer shall not by any action including, without limitation, amending the Articles of Incorporation or the by-laws of the
Issuer, or through any reorganization, transfer of assets, consolidation, merger, dissolution, issue or sale of securities or any other action, avoid or seek to avoid the observance or performance of any of the terms of this Warrant, but will at all
times in good faith assist in the carrying out of all such terms and in the taking of all such actions as may be necessary or appropriate to protect the rights of the Holder hereof against dilution (to the extent specifically provided herein) or
impairment. Without limiting the generality of the foregoing, the Issuer will (i) not permit the par value, if any, of its Common Stock to exceed the then effective Warrant Price, (ii) not amend or modify any provision of the Articles of
Incorporation or by-laws of the Issuer in any manner that would adversely affect the rights of the Holders of the Warrants, (iii) take all such action as may be reasonably necessary in order that the Issuer may validly and legally issue fully
paid and nonassessable shares of Common Stock, free and clear of any liens, claims, encumbrances and restrictions (other than as provided herein) upon the exercise of this Warrant, and (iv) use its best efforts to obtain all such
authorizations, exemptions or consents from any public regulatory body having jurisdiction thereof as may be reasonably necessary to enable the Issuer to perform its obligations under this Warrant. 
 (d) Loss, Theft, Destruction of Warrants. Upon receipt of evidence satisfactory to the Issuer of the ownership of and the loss, theft, destruction
or mutilation of any Warrant and, in the case of any such loss, theft or destruction, upon receipt of indemnity or security satisfactory to the Issuer or, in the case of any such mutilation, upon surrender and cancellation of such Warrant, the
Issuer will make and deliver, in lieu of such lost, stolen, destroyed or mutilated Warrant, a new Warrant of like tenor and representing the right to purchase the same number of shares of Common Stock. 
 (e) Payment of Taxes. The Issuer will pay any documentary stamp taxes attributable to the initial issuance of the Warrant Stock issuable upon
exercise of this Warrant; provided, however, that the Issuer shall not be required to pay any tax or taxes which may be payable in respect of any transfer involved in the issuance or delivery of any certificates representing Warrant
Stock in a name other than that of the Holder in respect to which such shares are issued. 
  

 -6- 

 4. Adjustment of Warrant Price. The price at which such shares of Warrant Stock may be purchased
upon exercise of this Warrant shall be subject to adjustment from time to time as set forth in this Section 4. The Issuer shall give the Holder notice of any event described below which requires an adjustment pursuant to this Section 4 in
accordance with the notice provisions set forth in Section 5. 
 (a) Recapitalization, Reorganization, Reclassification,
Consolidation, Merger or Sale. 
 (i) In case the Issuer after the Original Issue Date shall do any of the following
(each, a “Triggering Event”): (a) consolidate or merge with or into any other Person and the Issuer shall not be the continuing or surviving corporation of such consolidation or merger, or (b) permit any other Person to
consolidate with or merge into the Issuer and the Issuer shall be the continuing or surviving Person but, in connection with such consolidation or merger, any Capital Stock of the Issuer shall be changed into or exchanged for Securities of any other
Person or cash or any other property, or (c) transfer all or substantially all of its properties or assets to any other Person, or (d) effect a capital reorganization or reclassification of its Capital Stock, then, and in the case of each
such Triggering Event, proper provision shall be made so that, upon the basis and the terms and in the manner provided in this Warrant, the Holder of this Warrant shall be entitled upon the exercise hereof at any time after the consummation of such
Triggering Event, to the extent this Warrant is not exercised prior to such Triggering Event, to receive at the Warrant Price in effect at the time immediately prior to the consummation of such Triggering Event in lieu of the Common Stock issuable
upon such exercise of this Warrant prior to such Triggering Event, the Securities, cash and property to which such Holder would have been entitled upon the consummation of such Triggering Event if such Holder had exercised the rights represented by
this Warrant immediately prior thereto (including the right of a shareholder to elect the type of consideration it will receive upon a Triggering Event), subject to adjustments (subsequent to such corporate action) as nearly equivalent as possible
to the adjustments provided for elsewhere in this Section 4; provided, however, in the event that the Per Share Market Value is less than the Warrant Price at the time of such Triggering Event, the Holder shall receive an amount
in cash equal to the value of this Warrant calculated in accordance with the Black-Scholes formula. Notwithstanding the foregoing to the contrary, this Section 4(a)(i) shall only apply if the surviving entity pursuant to any such Triggering
Event is a company that has a class of equity securities registered pursuant to the Securities Exchange Act of 1934, as amended, and its common stock is listed or quoted on a national securities exchange, national automated quotation system or the
OTC Bulletin Board. In the event that the surviving entity pursuant to any such Triggering Event is not a public company that is registered pursuant to the Securities Exchange Act of 1934, as amended, or its common stock is not listed or quoted on a
national securities exchange, national automated quotation system or the OTC Bulletin Board, then the Holder shall have the right to demand that the Issuer pay to the Holder an amount in cash equal to the value of this Warrant calculated in
accordance with the Black-Scholes formula. 
 (ii) Notwithstanding anything contained in this Warrant to the contrary and so
long as the surviving entity pursuant to any Triggering Event is a company that has a 

  

 -7- 

 
class of equity securities registered pursuant to the Securities Exchange Act of 1934, as amended, and its common stock is listed or quoted on a national
securities exchange, national automated quotation system or the OTC Bulletin Board, a Triggering Event shall not be deemed to have occurred if, prior to the consummation thereof, each Person (other than the Issuer) which may be required to deliver
any Securities, cash or property upon the exercise of this Warrant as provided herein shall assume, by written instrument delivered to, and reasonably satisfactory to, the Holder of this Warrant, (A) the obligations of the Issuer under this
Warrant (and if the Issuer shall survive the consummation of such Triggering Event, such assumption shall be in addition to, and shall not release the Issuer from, any continuing obligations of the Issuer under this Warrant) and (B) the
obligation to deliver to such Holder such Securities, cash or property as, in accordance with the foregoing provisions of this subsection (a), such Holder shall be entitled to receive, and such Person shall have similarly delivered to such Holder an
opinion of counsel for such Person, which counsel shall be reasonably satisfactory to such Holder, or in the alternative, a written acknowledgement executed by the President or Chief Financial Officer of the Issuer, stating that this Warrant shall
thereafter continue in full force and effect and the terms hereof (including, without limitation, all of the provisions of this subsection (a)) shall be applicable to the Securities, cash or property which such Person may be required to deliver upon
any exercise of this Warrant or the exercise of any rights pursuant hereto. 
 (b) Stock Dividends, Subdivisions and Combinations. If
at any time the Issuer shall: 
 (i) make or issue or set a record date for the holders of the Common Stock for the purpose
of entitling them to receive a dividend payable in, or other distribution of, shares of Common Stock, 
 (ii) subdivide its
outstanding shares of Common Stock into a larger number of shares of Common Stock, or 
 (iii) combine its outstanding shares
of Common Stock into a smaller number of shares of Common Stock, 
 then (1) the number of shares of Common Stock for which this Warrant is exercisable
immediately after the occurrence of any such event shall be adjusted to equal the number of shares of Common Stock which a record holder of the same number of shares of Common Stock for which this Warrant is exercisable immediately prior to the
occurrence of such event would own or be entitled to receive after the happening of such event, and (2) the Warrant Price then in effect shall be adjusted to equal (A) the Warrant Price then in effect multiplied by the number of shares of
Common Stock for which this Warrant is exercisable immediately prior to the adjustment divided by (B) the number of shares of Common Stock for which this Warrant is exercisable immediately after such adjustment. 
 (c) Certain Other Distributions. If at any time the Issuer shall make or issue or set a record date for the holders of the Common Stock for the
purpose of entitling them to receive any dividend or other distribution of: 
  

 -8- 

 (i) cash (other than a cash dividend payable out of earnings or earned surplus legally
available for the payment of dividends under the laws of the jurisdiction of incorporation of the Issuer), 
 (ii) any
evidences of its indebtedness, any shares of stock of any class or any other securities or property of any nature whatsoever (other than cash, Common Stock Equivalents or Additional Shares of Common Stock), or 
 (iii) any warrants or other rights to subscribe for or purchase any evidences of its indebtedness, any shares of stock of any class or any
other securities or property of any nature whatsoever (other than cash, Common Stock Equivalents or Additional Shares of Common Stock), 
 then (1) the
number of shares of Common Stock for which this Warrant is exercisable shall be adjusted to equal the product of the number of shares of Common Stock for which this Warrant is exercisable immediately prior to such adjustment multiplied by a fraction
(A) the numerator of which shall be the Per Share Market Value of Common Stock at the date of taking such record and (B) the denominator of which shall be such Per Share Market Value minus the amount allocable to one share of Common Stock
of any such cash so distributable and of the fair value (as determined in good faith by the Board of Directors of the Issuer and supported by an opinion from an investment banking firm mutually agreed upon by the Issuer and the Holder) of any and
all such evidences of indebtedness, shares of stock, other securities or property or warrants or other subscription or purchase rights so distributable, and (2) the Warrant Price then in effect shall be adjusted to equal (A) the Warrant
Price then in effect multiplied by the number of shares of Common Stock for which this Warrant is exercisable immediately prior to the adjustment divided by (B) the number of shares of Common Stock for which this Warrant is exercisable
immediately after such adjustment. A reclassification of the Common Stock (other than a change in par value, or from par value to no par value or from no par value to par value) into shares of Common Stock and shares of any other class of stock
shall be deemed a distribution by the Issuer to the holders of its Common Stock of such shares of such other class of stock within the meaning of this Section 4(c) and, if the outstanding shares of Common Stock shall be changed into a larger or
smaller number of shares of Common Stock as a part of such reclassification, such change shall be deemed a subdivision or combination, as the case may be, of the outstanding shares of Common Stock within the meaning of Section 4(b). 

(d) In the event the Issuer shall at any time following the Original Issue Date issue any Additional Shares of Common Stock (otherwise than as
provided in the foregoing subsections (b) through (c) of this Section 4), at a price per share less than the Warrant Price then in effect or without consideration, then the Warrant Price upon each such issuance shall be adjusted to
that price determined by multiplying the Warrant Price then in effect by a fraction: 
 (A) the numerator of which shall be
equal to the sum of (x) the number of shares of Outstanding Common Stock immediately prior to the issuance of such Additional Shares of Common Stock plus (y) the number of shares of 

  

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Common Stock (rounded to the nearest whole share) which the aggregate consideration for the total number of such Additional Shares of Common Stock so issued
would purchase at a price per share equal to the Warrant Price then in effect, and 
 (B) the denominator of which shall be
equal to the number of shares of Outstanding Common Stock immediately after the issuance of such Additional Shares of Common Stock. 
 (ii) No adjustment of the number of shares of Common Stock for which this Warrant shall be exercisable shall be made under paragraph (i) of Section 4(d) upon the issuance of any Additional Shares of Common Stock which are issued
pursuant to the exercise of any Common Stock Equivalents, if any such adjustment shall previously have been made upon the issuance of such Common Stock Equivalents (or upon the issuance of any warrant or other rights therefor) pursuant to
Section 4(e). 
 (e) Issuance of Common Stock Equivalents. In the event the Issuer shall at any time following the Original Issue
Date take a record of the holders of its Common Stock for the purpose of entitling them to receive a distribution of, or shall in any manner (whether directly or by assumption in a merger in which the Issuer is the surviving corporation) issue or
sell, any Common Stock Equivalents, whether or not the rights to exchange or convert thereunder are immediately exercisable, and the price per share for which Common Stock is issuable upon such conversion or exchange shall be less than the Warrant
Price in effect immediately prior to the time of such issue or sale, or if, after any such issuance of Common Stock Equivalents, the price per share for which Additional Shares of Common Stock may be issuable thereafter is amended or adjusted, and
such price as so amended shall be less than the Warrant Price in effect at the time of such amendment or adjustment, then the Warrant Price then in effect shall be adjusted as provided in Section 4(d). No further adjustments of the number of
shares of Common Stock for which this Warrant is exercisable and the Warrant Price then in effect shall be made upon the actual issue of such Common Stock upon conversion or exchange of such Common Stock Equivalents. 
 (f) Other Provisions Applicable to Adjustments under this Section. The following provisions shall be applicable to the making of adjustments of
the number of shares of Common Stock for which this Warrant is exercisable and the Warrant Price then in effect provided for in this Section 4: 
 (i) Computation of Consideration. To the extent that any Additional Shares of Common Stock or any Common Stock Equivalents (or any warrants or other rights therefor) shall be issued for cash consideration, the
consideration received by the Issuer therefor shall be the amount of the cash received by the Issuer therefor, or, if such Additional Shares of Common Stock or Common Stock Equivalents are offered by the Issuer for subscription, the subscription
price, or, if such Additional Shares of Common Stock or Common Stock Equivalents are sold to underwriters or dealers for public offering without a subscription offering, the initial public offering price (in any such case subtracting any amounts
paid or receivable for accrued interest or accrued dividends and without taking into account any compensation, discounts or expenses 

  

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paid or incurred by the Issuer for and in the underwriting of, or otherwise in connection with, the issuance thereof). In connection with any merger or
consolidation in which the Issuer is the surviving corporation (other than any consolidation or merger in which the previously outstanding shares of Common Stock of the Issuer shall be changed to or exchanged for the stock or other securities of
another corporation), the amount of consideration therefore shall be, deemed to be the fair value, as determined reasonably and in good faith by the Board, of such portion of the assets and business of the nonsurviving corporation as the Board may
determine to be attributable to such shares of Common Stock or Common Stock Equivalents, as the case may be. The consideration for any Additional Shares of Common Stock issuable pursuant to any warrants or other rights to subscribe for or purchase
the same shall be the consideration received by the Issuer for issuing such warrants or other rights plus the additional consideration payable to the Issuer upon exercise of such warrants or other rights. The consideration for any Additional Shares
of Common Stock issuable pursuant to the terms of any Common Stock Equivalents shall be the consideration received by the Issuer for issuing warrants or other rights to subscribe for or purchase such Common Stock Equivalents, plus the consideration
paid or payable to the Issuer in respect of the subscription for or purchase of such Common Stock Equivalents, plus the additional consideration, if any, payable to the Issuer upon the exercise of the right of conversion or exchange in such Common
Stock Equivalents. In the event of any consolidation or merger of the Issuer in which the Issuer is not the surviving corporation or in which the previously outstanding shares of Common Stock of the Issuer shall be changed into or exchanged for the
stock or other securities of another corporation, or in the event of any sale of all or substantially all of the assets of the Issuer for stock or other securities of any corporation, the Issuer shall be deemed to have issued a number of shares of
its Common Stock for stock or securities or other property of the other corporation computed on the basis of the actual exchange ratio on which the transaction was predicated, and for a consideration equal to the fair market value on the date of
such transaction of all such stock or securities or other property of the other corporation. In the event any consideration received by the Issuer for any securities consists of property other than cash, the fair market value thereof at the time of
issuance or as otherwise applicable shall be as determined in good faith by the Board. In the event Common Stock is issued with other shares or securities or other assets of the Issuer for consideration which covers both, the consideration computed
as provided in this Section 4(f)(i) shall be allocated among such securities and assets as determined in good faith by the Board. 
 (ii) When Adjustments to Be Made. The adjustments required by this Section 4 shall be made whenever and as often as any specified event requiring an adjustment shall occur, except that any adjustment of
the number of shares of Common Stock for which this Warrant is exercisable that would otherwise be required may be postponed (except in the case of a subdivision or combination of shares of the Common Stock, as provided for in Section 4(b)) up
to, but not beyond the date of exercise if such adjustment either by itself or with other adjustments not previously made adds or subtracts less than one percent (1%) of the shares of Common Stock for which this Warrant is exercisable
immediately prior to the making of such adjustment. Any adjustment representing a change of less than such minimum amount (except as aforesaid) which is postponed shall be carried forward and made as soon as such adjustment, together with other
adjustments required by this Section 4 and not previously made, would result in a minimum adjustment or on the date of exercise. For the purpose of any adjustment, any specified event shall be deemed to have occurred at the close of business on
the date of its occurrence. 
  

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 (iii) Fractional Interests. In computing adjustments under this Section 4,
fractional interests in Common Stock shall be taken into account to the nearest one one-hundredth (1/100th) of
a share. 
 (iv) When Adjustment Not Required. If the Issuer shall take a record of the holders of its Common Stock
for the purpose of entitling them to receive a dividend or distribution or subscription or purchase rights and shall, thereafter and before the distribution to stockholders thereof, legally abandon its plan to pay or deliver such dividend,
distribution, subscription or purchase rights, then thereafter no adjustment shall be required by reason of the taking of such record and any such adjustment previously made in respect thereof shall be rescinded and annulled. 
 (g) Form of Warrant after Adjustments. The form of this Warrant need not be changed because of any adjustments in the Warrant Price or the number
and kind of Securities purchasable upon the exercise of this Warrant. 
 (h) Escrow of Warrant Stock. If after any property becomes
distributable pursuant to this Section 4 by reason of the taking of any record of the holders of Common Stock, but prior to the occurrence of the event for which such record is taken, and the Holder exercises this Warrant, any shares of Common
Stock issuable upon exercise by reason of such adjustment shall be deemed the last shares of Common Stock for which this Warrant is exercised (notwithstanding any other provision to the contrary herein) and such shares or other property shall be
held in escrow for the Holder by the Issuer to be issued to the Holder upon and to the extent that the event actually takes place, upon payment of the current Warrant Price. Notwithstanding any other provision to the contrary herein, if the event
for which such record was taken fails to occur or is rescinded, then such escrowed shares shall be cancelled by the Issuer and escrowed property returned. 
 5. Notice of Adjustments. Whenever the Warrant Price or Warrant Share Number shall be adjusted pursuant to Section 4 hereof (for purposes of this Section 5, each an “adjustment”), the
Issuer shall cause its Chief Financial Officer to prepare and execute a certificate setting forth, in reasonable detail, the event requiring the adjustment, the amount of the adjustment, the method by which such adjustment was calculated (including
a description of the basis on which the Board made any determination hereunder), and the Warrant Price and Warrant Share Number after giving effect to such adjustment, and shall cause copies of such certificate to be delivered to the Holder of this
Warrant promptly after each adjustment. Any dispute between the Issuer and the Holder of this Warrant with respect to the matters set forth in such certificate may at the option of the Holder of this Warrant be submitted to a national or regional
accounting firm reasonably acceptable to the Issuer and the Holder, provided that the Issuer shall have ten (10) days after receipt of notice from such Holder of its selection of such firm to object thereto, in which case such Holder
shall select another such firm and the Issuer shall have no such right of objection. The firm selected by the Holder of this Warrant as provided in the preceding sentence shall be instructed to deliver a written opinion as to such matters to the
Issuer and such Holder within thirty (30) days after submission to it of such 

  

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dispute. Such opinion shall be final and binding on the parties hereto. The costs and expenses of the initial accounting firm shall be paid equally by the
Issuer and the Holder and, in the case of an objection by the Issuer, the costs and expenses of the subsequent accounting firm shall be paid in full by the Issuer. 
 6. Fractional Shares. No fractional shares of Warrant Stock will be issued in connection with any exercise hereof, but in lieu of such fractional shares, the Issuer shall round the number of shares to be issued
upon exercise up to the nearest whole number of shares. 
 7. [Intentionally Omitted] 
 8. Issuer’s Redemption Option. If the Per Share Market Value of the Common Stock for any twenty (20) consecutive Trading Days equals or
exceeds $0.63 per share (as may be adjusted for any stock splits or combinations of the Common Stock), the Issuer may, only with the Holder’s prior written consent, at any time thereafter upon twenty (20) Trading Days prior written notice
(the “Issuer Redemption Notice”) to the Holder redeem the unexercised portion of this Warrant in cash at a price equal to the number of shares of Warrant Stock with respect to the unexercised portion of this Warrant multiplied by
$[0.001] (the “Issuer Redemption Price”); provided, that, in connection with any redemption by the Issuer under this Section 8, (A) the Issuer is in material compliance with the terms and conditions of this
Warrant and the other Transaction Documents (as defined in the Purchase Agreement) and (B) the Issuer is not in possession of any material non-public information. The Issuer’s Redemption Notice shall state the date of redemption which date
shall be the twenty-first (21st) Trading Day after the Issuer has delivered the Issuer’s Redemption Notice
(the “Issuer’s Redemption Date”), the Issuer’s Redemption Price and the number of shares to be redeemed by the Issuer. The Issuer shall not send a Issuer’s Redemption Notice unless it has good and clear funds for a
minimum of the amount it intends to redeem in a bank account controlled by the Issuer. The Issuer shall deliver the Issuer’s Redemption Price to the Holder on the Issuer’s Redemption Date. Not later than five (5) days after receipt of
the Issuer Redemption Price, Holder shall return to the Issuer for cancellation the original Warrant to be redeemed. If the Issuer fails to pay the Issuer’s Redemption Price by the Issuer’s Redemption Date, the redemption will be declared
null and void. 
 9. Definitions. For the purposes of this Warrant, the following terms have the following meanings: 
 “Additional Shares of Common Stock” means all shares of Common Stock issued by the Issuer after the Original Issue Date,
and all shares of Other Common, if any, issued by the Issuer after the Original Issue Date, except: (i) securities issued (other than for cash) in connection with a merger, acquisition, or consolidation, (ii) securities issued pursuant to
the conversion or exercise of convertible or exercisable securities issued or outstanding on or prior to the date of the Purchase Agreement or issued pursuant to the Purchase Agreement (so long as the conversion or exercise price in such securities
are not amended to lower such price and/or adversely affect the Holders), (iii) the Warrant Stock, (iv) securities issued in connection with bona fide strategic license agreements or other partnering arrangements so long as such issuances
are not for the purpose of raising 

  

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capital, (v) Common Stock issued or the issuance or grants of options to purchase Common Stock pursuant to the Issuer’s stock option plans and
employee stock purchase plans outstanding as they exist on the date of the Purchase Agreement, and (vi) any warrants issued to the placement agent and its designees for the transactions contemplated by the Purchase Agreement. 
 “Articles of Incorporation” means the Articles of Incorporation of the Issuer as in effect on the Original Issue Date,
and as hereafter from time to time amended, modified, supplemented or restated in accordance with the terms hereof and thereof and pursuant to applicable law. 
 “Board” shall mean the Board of Directors of the Issuer. 
 “Capital Stock” means and includes (i) any and all shares, interests, participations or other equivalents of or
interests in (however designated) corporate stock, including, without limitation, shares of preferred or preference stock, (ii) all partnership interests (whether general or limited) in any Person which is a partnership, (iii) all
membership interests or limited liability company interests in any limited liability company, and (iv) all equity or ownership interests in any Person of any other type. 
 “Common Stock” means the Common Stock, $0.01 par value per share, of the Issuer and any other Capital Stock into which
such stock may hereafter be changed. 
 “Common Stock Equivalent” means any Convertible Security or warrant,
option or other right to subscribe for or purchase any Additional Shares of Common Stock or any Convertible Security. 
 “Convertible Securities” means evidences of Indebtedness, shares of Capital Stock or other Securities which are or may be at any time convertible into or exchangeable for Additional Shares of Common Stock. The term
“Convertible Security” means one of the Convertible Securities. 
 “Governmental Authority” means
any governmental, regulatory or self-regulatory entity, department, body, official, authority, commission, board, agency or instrumentality, whether federal, state or local, and whether domestic or foreign. 
 “Holders” mean the Persons who shall from time to time own any Warrant. The term “Holder” means one of the
Holders. 
 “Independent Appraiser” means a nationally recognized or major regional investment banking firm
or firm of independent certified public accountants of recognized standing (which may be the firm that regularly examines the financial statements of the Issuer) that is regularly engaged in the business of appraising the Capital Stock or assets of
corporations or other entities as going concerns, and which is not affiliated with either the Issuer or the Holder of any Warrant. 
  

 -14- 

 “Issuer” means Sontra Medical Corporation, a Minnesota corporation, and
its successors. 
 “Majority Holders” means at any time the Holders of Warrants exercisable for a majority
of the shares of Warrant Stock issuable under the Warrants at the time outstanding. 
 “Original Issue Date”
means January __, 2007. 
 “OTC Bulletin Board” means the over-the-counter electronic bulletin board.

 “Other Common” means any other Capital Stock of the Issuer of any class which shall be authorized at any
time after the date of this Warrant (other than Common Stock) and which shall have the right to participate in the distribution of earnings and assets of the Issuer without limitation as to amount. 
 “Outstanding Common Stock” means, at any given time, the aggregate amount of outstanding shares of Common Stock,
assuming full exercise, conversion or exchange (as applicable) of all options, warrants and other Securities which are convertible into or exercisable or exchangeable for, and any right to subscribe for, shares of Common Stock that are outstanding
at such time. 
 “Person” means an individual, corporation, limited liability company, partnership, joint
stock company, trust, unincorporated organization, joint venture, Governmental Authority or other entity of whatever nature. 
 “Per Share Market Value” means on any particular date (a) the last closing bid price per share of the Common Stock on such date on the OTC Bulletin Board or another registered national stock exchange on which the
Common Stock is then listed, or if there is no such price on such date, then the closing bid price on such exchange or quotation system on the date nearest preceding such date, or (b) if the Common Stock is not listed then on the OTC Bulletin
Board or any registered national stock exchange, the last closing bid price for a share of Common Stock in the over-the-counter market, as reported by the OTC Bulletin Board or in the National Quotation Bureau Incorporated or similar organization or
agency succeeding to its functions of reporting prices) at the close of business on such date, or (c) if the Common Stock is not then reported by the OTC Bulletin Board or the National Quotation Bureau Incorporated (or similar organization or
agency succeeding to its functions of reporting prices), then the average of the “Pink Sheet” quotes for the five (5) Trading Days preceding such date of determination, or (d) if the Common Stock is not then publicly traded the
fair market value of a share of Common Stock as determined by an Independent Appraiser selected in good faith by the Majority Holders; provided, however, that the Issuer, after receipt of the determination by such Independent
Appraiser, shall have the right to select an additional Independent Appraiser, in which case, the fair market value shall be equal to the average of the determinations by each such Independent Appraiser; and provided, further that all
determinations of the Per Share Market Value shall be appropriately adjusted for any 

  

 -15- 

 
stock dividends, stock splits or other similar transactions during such period. The determination of fair market value by an Independent Appraiser shall be
based upon the fair market value of the Issuer determined on a going concern basis as between a willing buyer and a willing seller and taking into account all relevant factors determinative of value, and shall be final and binding on all parties. In
determining the fair market value of any shares of Common Stock, no consideration shall be given to any restrictions on transfer of the Common Stock imposed by agreement or by federal or state securities laws, or to the existence or absence of, or
any limitations on, voting rights. 
 “Purchase Agreement” means the Common Stock and Warrant Purchase
Agreement dated as of January __, 2007, among the Issuer and the Purchasers. 
 “Purchasers” means the
purchasers of the Common Stock and the Warrants issued by the Issuer pursuant to the Purchase Agreement. 
 “Securities” means any debt or equity securities of the Issuer, whether now or hereafter authorized, any instrument convertible into or exchangeable for Securities or a Security, and any option, warrant or other right to
purchase or acquire any Security. “Security” means one of the Securities. 
 “Securities Act”
means the Securities Act of 1933, as amended, or any similar federal statute then in effect. 
 “Subsidiary”
means any corporation at least 50% of whose outstanding Voting Stock shall at the time be owned directly or indirectly by the Issuer or by one or more of its Subsidiaries, or by the Issuer and one or more of its Subsidiaries. 
 “Term” has the meaning specified in Section 1 hereof. 
 “Trading Day” means (a) a day on which the Common Stock is traded on the OTC Bulletin Board, or (b) if the
Common Stock is not traded on the OTC Bulletin Board, a day on which the Common Stock is quoted in the over-the-counter market as reported by the National Quotation Bureau Incorporated (or any similar organization or agency succeeding its functions
of reporting prices); provided, however, that in the event that the Common Stock is not listed or quoted as set forth in (a) or (b) hereof, then Trading Day shall mean any day except Saturday, Sunday and any day which shall
be a legal holiday or a day on which banking institutions in the State of New York are authorized or required by law or other government action to close. 
 “Voting Stock” means, as applied to the Capital Stock of any corporation, Capital Stock of any class or classes (however designated) having ordinary voting power for the election of a majority of the
members of the Board of Directors (or other governing body) of such corporation, other than Capital Stock having such power only by reason of the happening of a contingency. 
  

 -16- 

 “Warrants” means the Warrants issued and sold pursuant to the Purchase
Agreement, including, without limitation, this Warrant, and any other warrants of like tenor issued in substitution or exchange for any thereof pursuant to the provisions of Section 2(c), 2(d) or 2(e) hereof or of any of such other Warrants.

 “Warrant Price” initially means U.S.$0.21, as such price may be adjusted from time to time as shall
result from the adjustments specified in this Warrant, including Section 4 hereto. 
 “Warrant Share
Number” means at any time the aggregate number of shares of Warrant Stock which may at such time be purchased upon exercise of this Warrant, after giving effect to all prior adjustments and increases to such number made or required to be
made under the terms hereof. 
 “Warrant Stock” means Common Stock issuable upon exercise of any Warrant or
Warrants or otherwise issuable pursuant to any Warrant or Warrants. 
 10. Other Notices. In case at any time: 
  

	 	(A)	the Issuer shall make any distributions to the holders of Common Stock; or 

  

	 	(B)	the Issuer shall authorize the granting to all holders of its Common Stock of rights to subscribe for or purchase any shares of Capital Stock of any class or other rights; or

  

	 	(C)	there shall be any reclassification of the Capital Stock of the Issuer; or 

  

	 	(D)	there shall be any capital reorganization by the Issuer; or 

  

	 	(E)	there shall be any (i) consolidation or merger involving the Issuer or (ii) sale, transfer or other disposition of all or substantially all of the Issuer’s property,
assets or business (except a merger or other reorganization in which the Issuer shall be the surviving corporation and its shares of Capital Stock shall continue to be outstanding and unchanged and except a consolidation, merger, sale, transfer or
other disposition involving a wholly-owned Subsidiary); or 

  

	 	(F)	there shall be a voluntary or involuntary dissolution, liquidation or winding-up of the Issuer or any partial liquidation of the Issuer or distribution to holders of Common Stock;

 then, in each of such cases, the Issuer shall give written notice to the Holder of the date on which (i) the books of the Issuer shall
close or a record shall be taken for such dividend, distribution or 

  

 -17- 

 
subscription rights or (ii) such reorganization, reclassification, consolidation, merger, disposition, dissolution, liquidation or winding-up, as the
case may be, shall take place. Such notice also shall specify the date as of which the holders of Common Stock of record shall participate in such dividend, distribution or subscription rights, or shall be entitled to exchange their certificates for
Common Stock for securities or other property deliverable upon such reorganization, reclassification, consolidation, merger, disposition, dissolution, liquidation or winding-up, as the case may be. Such notice shall be given at least twenty
(20) days prior to the action in question and not less than ten (10) days prior to the record date or the date on which the Issuer’s transfer books are closed in respect thereto. This Warrant entitles the Holder to receive copies of
all financial and other information distributed or required to be distributed to the holders of the Common Stock. 
 11. Amendment and
Waiver. Any term, covenant, agreement or condition in this Warrant may be amended, or compliance therewith may be waived (either generally or in a particular instance and either retroactively or prospectively), by a written instrument or written
instruments executed by the Issuer and the Majority Holders; provided, however, that no such amendment or waiver shall reduce the Warrant Share Number, increase the Warrant Price, shorten the period during which this Warrant may be
exercised or modify any provision of this Section 11 without the consent of the Holder of this Warrant. No consideration shall be offered or paid to any person to amend or consent to a waiver or modification of any provision of this Warrant
unless the same consideration is also offered to all holders of the Warrants. 
 12. Governing Law; Jurisdiction. This Warrant shall
be governed by and construed in accordance with the internal laws of the State of New York, without giving effect to any of the conflicts of law principles which would result in the application of the substantive law of another jurisdiction. This
Warrant shall not be interpreted or construed with any presumption against the party causing this Warrant to be drafted. The Issuer and the Holder agree that venue for any dispute arising under this Warrant will lie exclusively in the state or
federal courts located in New York County, New York, and the parties irrevocably waive any right to raise forum non conveniens or any other argument that New York is not the proper venue. The Issuer and the Holder irrevocably consent to
personal jurisdiction in the state and federal courts of the state of New York. The Issuer and the Holder consent to process being served in any such suit, action or proceeding by mailing a copy thereof to such party at the address in effect for
notices to it under this Warrant and agrees that such service shall constitute good and sufficient service of process and notice thereof. Nothing in this Section 12 shall affect or limit any right to serve process in any other manner permitted
by law. The Issuer and the Holder hereby agree that the prevailing party in any suit, action or proceeding arising out of or relating to this Warrant or the Purchase Agreement, shall be entitled to reimbursement for reasonable legal fees from the
non-prevailing party. The parties hereby waive all rights to a trial by jury. 
 13. Notices. Any notice, demand, request, waiver or
other communication required or permitted to be given hereunder shall be in writing and shall be effective (a) upon hand delivery by telecopy or facsimile at the address or number designated below (if delivered on a business day during normal
business hours where such notice is to be received), or the first business day following such delivery (if delivered other than on a business day during normal business hours where such notice is to be received) or (b) on the second business
day following 

  

 -18- 

 
the date of mailing by express courier service, fully prepaid, addressed to such address, or upon actual receipt of such mailing, whichever shall first
occur. The addresses for such communications shall be: 
  

			
	If to the Issuer:	  	 Sontra Medical Corporation
 10 Forge Parkway

Franklin, MA 02038
 Attention: ________________
 Tel. No.: (508) 553-8850
 Fax No.:
(            ) ___-____

		
	 with copies (which copies
 shall not constitute
notice)
	  	
	to:	  	 Thomas B. Rosedale
 BRL Law Group LLC
 31 St. James Avenue, Suite 850
 Boston, MA 02116
 Tel. No.: (617) 399-6931
 Fax No.:
(617) 399-6930

		
	If to any Holder:	  	At the address of such Holder set forth on Exhibit A to this Agreement, with copies to Holder’s counsel as set forth on Exhibit A or as specified in writing by such Holder
with copies to:
		
	 with copies (which copies
 shall not constitute
notice)
	  	
	to:	  	 Greenberg Traurig, LLP
 The Met Life Building

200 Park Avenue
 New York, New York 10166
 Attention: Michael D. Helsel, Esq.
 Tel. No.: (212) 801-6962

Fax No.: (212) 805-6400

 Any party hereto may from time to time change its address for notices by giving written notice of
such changed address to the other party hereto. 
 14. Warrant Agent. The Issuer may, by written notice to each Holder of this
Warrant, appoint an agent having an office in New York, New York for the purpose of issuing shares of Warrant Stock on the exercise of this Warrant pursuant to subsection (b) of Section 2 hereof, exchanging this Warrant pursuant to
subsection (d) of Section 2 hereof or replacing this Warrant pursuant to subsection (d) of Section 3 hereof, or any of the foregoing, and thereafter any such issuance, exchange or replacement, as the case may be, shall be made at
such office by such agent. 
  

 -19- 

 15. Remedies. The Issuer stipulates that the remedies at law of the Holder of this Warrant in the
event of any default or threatened default by the Issuer in the performance of or compliance with any of the terms of this Warrant are not and will not be adequate and that, to the fullest extent permitted by law, 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. 
 16. Successors and Assigns. This Warrant and the rights evidenced hereby shall inure to the benefit of and be binding upon the successors and assigns of the Issuer, the Holder hereof and (to the extent provided
herein) the Holders of Warrant Stock issued pursuant hereto, and shall be enforceable by any such Holder or Holder of Warrant Stock. 
 17.
Modification and Severability. If, in any action before any court or agency legally empowered to enforce any provision contained herein, any provision hereof is found to be unenforceable, then such provision shall be deemed modified to the
extent necessary to make it enforceable by such court or agency. If any such provision is not enforceable as set forth in the preceding sentence, the unenforceability of such provision shall not affect the other provisions of this Warrant, but this
Warrant shall be construed as if such unenforceable provision had never been contained herein. 
 18. Headings. The headings of the
Sections of this Warrant are for convenience of reference only and shall not, for any purpose, be deemed a part of this Warrant. 
 [REMAINDER
OF PAGE INTENTIONALLY LEFT BLANK] 
  

 -20- 

 IN WITNESS WHEREOF, the Issuer has executed this Warrant as of the day and year first above written.

  

			
	SONTRA MEDICAL CORPORATION
		
	By:	 	  
		 	 Name:
 Title:

  

 -21- 

 EXERCISE FORM 
 SONTRA MEDICAL CORPORATION 
 The undersigned _______________, pursuant to the provisions of the within Warrant, hereby
elects to purchase _____ shares of Common Stock of Sontra Medical Corporation covered by the within Warrant. 
  

							
	Dated: _________________	 		 	Signature ___________________________
		 		 	 Address ____________________________
               ____________________________

 Number of shares of Common Stock beneficially owned or deemed beneficially owned by the Holder on the date of
Exercise: _________________________ 
 The undersigned is an “accredited investor” as defined in Regulation D under the Securities Act of
1933, as amended. 
 The undersigned intends that payment of the Warrant Price shall be made as (check one): 
 Cash Exercise_______ 
 Cashless
Exercise_______ 
 If the Holder has elected a Cash Exercise, the Holder shall pay the sum of $________ by certified or official bank check (or via wire
transfer) to the Issuer in accordance with the terms of the Warrant. 
 If the Holder has elected a Cashless Exercise, a certificate shall be issued to the
Holder for the number of shares equal to the whole number portion of the product of the calculation set forth below, which is ___________. The Company shall pay a cash adjustment in respect of the fractional portion of the product of the calculation
set forth below in an amount equal to the product of the fractional portion of such product and the Per Share Market Value on the date of exercise, which product is ____________. 
 X = Y - (A)(Y) 
                  B 
 Where: 
 The number of Ordinary Shares to be issued to the Holder __________________(“X”). 
 The number of Ordinary Shares purchasable upon exercise of all of the Warrant or, if only a portion of the Warrant is being exercised, the portion of the Warrant being exercised ___________________________
(“Y”). 
  

 -22- 

 The Warrant Price ______________ (“A”). 
 The Per Share Market Value of one Ordinary Share _______________________ (“B”). 
 ASSIGNMENT

 FOR VALUE RECEIVED, _________________ hereby sells, assigns and transfers unto __________________ the within Warrant and all rights evidenced thereby and
does irrevocably constitute and appoint _____________, attorney, to transfer the said Warrant on the books of the within named corporation. 
  

							
	Dated: _________________	 		 	Signature ___________________________
		 		 	 Address ____________________________
               ____________________________

 PARTIAL ASSIGNMENT 
 FOR VALUE RECEIVED, _________________ hereby sells, assigns and transfers unto __________________ the right to purchase _________ shares of Warrant Stock evidenced by the within Warrant together with all rights
therein, and does irrevocably constitute and appoint ___________________, attorney, to transfer that part of the said Warrant on the books of the within named corporation. 
  

							
	Dated: _________________	 		 	Signature ___________________________
		 		 	 Address ____________________________
               ____________________________

 FOR USE BY THE ISSUER ONLY: 
 This Warrant No. W-___ canceled (or transferred or exchanged) this _____ day of ___________, _____, shares of Common Stock issued therefor in the name of _______________, Warrant No. W-_____ issued for ____ shares of
Common Stock in the name of _______________. 
  

 -23-

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