Document:

Form of Securities Purchase Agreement

 Exhibit 10.1 
 EXECUTION COPY 
 SECURITIES PURCHASE AGREEMENT

 This SECURITIES PURCHASE AGREEMENT (this “Agreement”) is made and entered into as of January 7,
2010, by and between Solta Medical, Inc., a Delaware corporation (the “Company”), and the individuals or entities whose names appear on the signature pages of this Agreement (each, a “Purchaser,” and collectively,
the “Purchasers”). 
 Preliminary Statement 
 The Purchasers desire to purchase, and the Company desires to offer and sell to the Purchasers, (i) shares of the Company’s common
stock, par value $0.001 per share (“Common Stock”) and (ii) a warrant in the form attached as Exhibit A exercisable for shares of Common Stock (each, a “Warrant,” and together with all other warrants
issued pursuant to this Agreement, collectively, the “Warrants”). For purposes of this Agreement, the term “Securities” shall mean the Shares, the Warrants and the Underlying Shares. In addition, the term
“Underlying Shares” shall mean the shares of Common Stock issuable upon exercise of the Warrants. 
 Agreement 
 The parties, intending to be legally bound, agree as follows: 
 ARTICLE 1 
 SALE OF SHARES 
 Each Purchaser will purchase from the Company (i) the number of shares of Common Stock
set forth on the signature pages of this Agreement (such shares, the “Shares”) at a price of U.S. $2.02 per Share in cash and (ii) a Warrant to purchase the number of shares of Common Stock set forth on the signature pages of
this Agreement. The total purchase price payable by each Purchaser for the Shares and Warrant that such Purchaser is hereby agreeing to purchase is set forth on the signature pages of this Agreement (the “Total Purchase Price”). The
Purchasers understand that the Company is under no obligation to sell any Securities to any Purchaser unless the Company accepts such Purchaser’s subscription. 
 ARTICLE 2 
 CLOSING; DELIVERY 
 2.1 Closing. The closing (“Closing”) of the purchase and sale of the Securities to the Purchasers hereunder shall be
held at the offices of Wilson Sonsini Goodrich & Rosati, P.C., 650 Page Mill Road, Palo Alto, California 94304 within one business day following the date on which the last of the conditions set forth in Articles 6 and 7 have been satisfied
or waived in accordance with this Agreement (such date, the “Closing Date”), or at such other time and place as the Company and the Purchasers mutually agree upon. 
 2.2 Delivery. At the Closing, the Company shall execute and deliver to the Purchasers this Agreement, the Registration Rights
Agreement in the form attached hereto as Exhibit B (“Registration Rights Agreement”) and the other documents in Article 6. At the Closing, each Purchaser shall pay the Company the applicable Total Purchase Price in
immediately available funds. At the Closing, the Company shall deliver to each Purchaser a single stock certificate representing the number of Shares purchased by such Purchaser as set forth opposite such Purchaser’s name on the signature pages
of this Agreement and a single Warrant purchased by such Purchaser representing the right to acquire the number of Underlying Shares set forth opposite such Purchaser’s name on the signature pages of this Agreement,

 
each to be registered in the name of such Purchaser, or in such nominee’s or nominees’ name(s) as designated by such Purchaser in writing in the form of the Purchaser Suitability
Questionnaire of the Purchaser attached hereto as Exhibit C, against payment of the purchase price therefor by wire transfer of immediately available funds to such account or accounts as the Company shall designate in writing. 
 ARTICLE 3 
 REPRESENTATIONS AND WARRANTIES OF THE COMPANY 
 The Company represents, warrants and covenants to each
Purchaser as follows: 
 3.1 Organization and Standing. The Company and each of its subsidiaries is duly incorporated,
validly existing, and in good standing under the laws of the jurisdiction of its organization. The Company and each of its subsidiaries has all requisite power and authority to own and operate their respective properties and assets and to carry on
their respective businesses as presently conducted and as proposed to be conducted. The Company and each of its subsidiaries is qualified to do business as a foreign entity in every jurisdiction in which the failure to be so qualified would have a
material adverse effect, individually or in the aggregate, upon the business, assets, financial condition or results of operation of the Company and its subsidiaries (a “Material Adverse Effect”). 
 3.2 Subsidiaries. The Company’s subsidiaries are listed on Exhibit 21.1 to the Company’s Annual Report on Form 10-K for the
year ended December 31, 2008 and are the only subsidiaries, direct or indirect, of the Company. Each subsidiary is a direct or indirect wholly owned subsidiary of the Company. All the issued and outstanding shares of each subsidiary’s
capital stock have been duly authorized and validly issued, are fully paid and nonassessable, have been issued in compliance with all federal and state securities laws, were not issued in violation of or subject to any preemptive rights or other
rights to subscribe for or purchase securities, and are owned by the Company free and clear of all liens, encumbrances and equities and claims, and there are no outstanding options to purchase, or any preemptive rights or other rights to subscribe
for or to purchase, any securities or obligations convertible into, or any contracts or commitments to issue or sell, shares of any subsidiary’s capital stock or any such options, rights, convertible securities or obligations. 
 3.3 Power. The Company has all requisite power to execute and deliver this Agreement, to sell and issue the Securities hereunder, and
to carry out and perform its obligations under the terms of this Agreement, the Registration Rights Agreement and the Warrants (collectively, the “Transaction Agreements”). 
 3.4 Authorization. The execution, delivery, and performance of the Transaction Agreements by the Company has been duly authorized by
all requisite action, and the Transaction Agreements constitute the legal, valid, and binding obligations of the Company enforceable in accordance with their terms, subject to applicable bankruptcy, insolvency, reorganization, or similar laws
relating to or affecting the enforcement of creditors’ rights. 
 3.5 Consents and Approvals. The Company need not
give any notice to, make any filing with, or obtain any authorization, consent, or approval of any government or governmental agency in order to consummate the transactions contemplated by the Transaction Agreements. 
 3.6 Non-Contravention. The execution and delivery of the Transaction Agreements, the issuance, sale and delivery of the Securities to
be sold by the Company under this Agreement and the Warrants, the performance by the Company of its obligations under the Transaction Agreements and/or the consummation of the transactions contemplated thereby will not (a) conflict with, result
in the breach or violation of, or constitute (with or without the giving of notice or the passage of time or both) a violation of,

  

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or default under, (i) any material bond, debenture, note or other evidence of indebtedness, or under any material lease, license, franchise, permit, indenture, mortgage, deed of trust, loan
agreement, joint venture or other agreement or instrument to which the Company is a party or by which it or its properties may be bound or affected, (ii) the Certificate of Incorporation or Bylaws of the Company, as amended to date or
(iii) any statute or law, judgment, decree, rule, regulation, ordinance or order of any court or governmental or regulatory body (including the Nasdaq Stock Market), governmental agency, arbitration panel or authority applicable to the Company,
any of its subsidiaries or their respective properties, except in the case of clauses (i) and (iii) for such conflicts, breaches, violations or defaults that would not be likely to have, individually or in the aggregate, a Material Adverse
Effect, or (b) result in the creation or imposition of any lien, encumbrance, claim, security interest or restriction whatsoever upon any of the material properties or assets of the Company or any of its subsidiaries or an acceleration of
indebtedness pursuant to any obligation, agreement or condition contained in any material bond, debenture, note or any other evidence of indebtedness or any material indenture, mortgage, deed of trust or any other agreement or instrument to which
the Company or any if its subsidiaries is a party or by which the Company or any of its subsidiaries is bound or to which any of the property or assets of the Company is subject. Assuming the accuracy of the representations of each Purchaser in the
Purchaser Suitability Questionnaire of such Purchaser (herein so called) attached hereto as Exhibit B, no consent, approval, authorization or other order of, or registration, qualification or filing with, any court, regulatory body,
administrative agency, self-regulatory organization, stock exchange or market (including the Nasdaq Global Market), or other governmental body is required for the execution and delivery of this Agreements, the valid issuance, sale and delivery of
the Securities to be sold pursuant to the Transaction Agreement and Warrants other than such as have been made or obtained, or for any securities filings required to be made under federal or state securities laws applicable to the offering of
Securities. 
 3.7 Securities. The Shares and the Warrants are duly authorized and when issued pursuant to the terms of
this Agreement will be validly issued, fully paid, and nonassessable, and will be free of any liens or encumbrances with respect to the issuance thereof; provided, however, that the Shares and the Warrants shall be subject to
restrictions on transfer under state or federal securities laws as set forth in this Agreement, or otherwise required at the time a transfer is proposed. The Underlying Shares are duly authorized and when issued pursuant to the terms of the Warrants
will be validly issued, fully paid, and nonassessable, and will be free of any liens or encumbrances with respect to the issuance thereof; provided, however, that the Underlying Shares shall be subject to restrictions on transfer under state or
federal securities laws as set forth in this Agreement, or otherwise required at the time a transfer is proposed. The issuance and delivery of the Securities is not subject to preemptive, co-sale, right of first refusal or any other similar rights
of the stockholders of the Company or any liens or encumbrances or result in the triggering of any anti-dilution or other similar rights under any outstanding securities of the Company. 
 3.8 No Registration. Assuming the accuracy of each of the representations and warranties of each Purchaser herein and in the
Purchaser Suitability Questionnaire, the issuance by the Company of the Shares is exempt from registration under the Securities Act of 1933, as amended (the “Act”). 
 3.9 Reporting Status. The Company is subject to the reporting requirements of the Securities Exchange Act of 1934, as amended (the
“Exchange Act”), and has, in a timely manner, filed all documents that the Company was required to file thereunder during the twelve (12) months prior to the Closing Date (the “SEC Documents”). The SEC
Documents complied as to form in all material respects with the U.S. Securities and Exchange Commission’s (the “SEC”) requirements as of their respective filing dates, and the information contained therein as of the date
thereof did not contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading,
except to the extent that information contained in any such document has been revised or superseded by a later filed SEC Document. 
  

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 3.10 Reporting Company; Form S-3. The Company is not an “ineligible
issuer” (as defined in Rule 405 promulgated under the Act) and is eligible to register the Shares and the Underlying Shares for resale by the Purchasers on a registration statement on Form S-3 under the Act. Provided the Purchaser is
not deemed to be an underwriter with respect to any shares, to the Company’s knowledge, there exist no facts or circumstances (including without limitation any required approvals or waivers or any circumstances that may delay or prevent the
obtaining of accountant’s consents) that reasonably could be expected to prohibit or delay the preparation and filing of a registration statement on Form S-3 (the “Registration Statement”) that will be available for the
resale of the Shares and the Underlying Shares by the Purchasers. 
 3.11 Contracts. Each indenture, contract, lease,
mortgage, deed of trust, note agreement, loan or other agreement or instrument of a character that is required to be described or summarized in the SEC Documents or to be filed as an exhibit to the SEC Documents under the Exchange Act and the rules
and regulations promulgated thereunder (collectively, the “Material Contracts”) is so described, summarized or filed. The Material Contracts to which the Company or its subsidiaries are a party have been duly and validly authorized,
executed and delivered by the Company and constitute the legal, valid and binding agreements of the Company or its subsidiaries, as applicable, enforceable by and against the Company or its subsidiaries, as applicable, in accordance with their
respective terms, subject to applicable bankruptcy, insolvency, reorganization, or similar laws relating to or affecting the enforcement of creditors’ rights. 
 3.12 Capitalization. Immediately prior to the Closing, the authorized capital stock of the Company consists of (a) 100,000,000 shares of Common Stock, $0.001 par value per share, 48,089,940
shares of which were issued and outstanding, and (b) 10,000,000 shares of Preferred Stock, $0.001 par value per share, of which no shares were issued and outstanding. All subscriptions, warrants, options, convertible securities, and other
rights (contingent or other) to purchase or otherwise acquire equity securities of the Company issued and outstanding as of the date hereof, or material contracts, commitments, understandings, or arrangements by which the Company or any of its
subsidiaries is or may be obligated to issue shares of capital stock, or securities or rights convertible or exchangeable for shares of capital stock, are as set forth in the SEC Documents. The issued and outstanding shares of the Company’s
capital stock have been duly authorized and validly issued, are fully paid and nonassessable, have been issued in compliance with all applicable federal and state securities laws, and were not issued in violation of or subject to any preemptive
rights or other rights to subscribe for or purchase securities. Except as disclosed in the SEC Documents, no holder of the Company’s capital stock is entitled to preemptive or similar rights. There are no bonds, debentures, notes or other
indebtedness having general voting rights (or convertible into securities having such rights) of the Company issued and outstanding. Except as disclosed in the SEC Documents, there are no agreements or arrangements under which the Company or any of
its subsidiaries is obligated to register the sale of any of their securities under the Securities Act. The Company has made available upon request of the Purchasers, a true, correct and complete copy of the Company’s Certificate of
Incorporation, as amended and as in effect on the date hereof (the “Certificate of Incorporation”), and the Company’s Bylaws, as amended and as in effect on the date hereof (the “Bylaws”). 
 3.13 Legal Proceedings. Except as disclosed in the SEC Documents, there is no action, suit or proceeding before any court,
governmental agency or body, domestic or foreign, now pending or, to the knowledge of the Company, threatened against the Company or its subsidiaries wherein an unfavorable decision, ruling or finding would reasonably be expected to, individually or
in the aggregate, (i) materially adversely affect the validity or enforceability of, or the authority or ability of the Company to perform its obligations under this Agreement or (ii) have a Material Adverse Effect. The Company is not a
party to or subject to the provisions of any injunction, judgment, decree or order of any court, regulatory body, administrative agency or other governmental agency or body that might have, individually or in the aggregate, a Material Adverse
Effect. 
  

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 3.14 No Violations. Neither the Company nor any of its subsidiaries is in violation
of its respective Certificate of Incorporation, Bylaws or other organizational documents, or to its knowledge, is in violation of any statute or law, judgment, decree, rule, regulation, ordinance or order of any court or governmental or regulatory
body (including the Nasdaq Stock Market), governmental agency, arbitration panel or authority applicable to the Company or any of its subsidiaries, which violation, individually or in the aggregate, would be reasonably likely to have a Material
Adverse Effect, or is in default (and there exists no condition which, with or without the passage of time or giving of notice or both, would constitute a default) in any material respect in the performance of any bond, debenture, note or any other
evidence of indebtedness in any indenture, mortgage, deed of trust or any other material agreement or instrument to which the Company or any of its subsidiaries is a party or by which the Company or any of its subsidiaries is bound or by which the
properties of the Company are bound, which would be reasonably likely to have a Material Adverse Effect. 
 3.15 Governmental
Permits, Etc. The Company and its subsidiaries possess all necessary franchises, licenses, certificates and other authorizations from any foreign, federal, state or local government or governmental agency, department or body that are currently
necessary for the operation of their respective business as currently conducted, except where such failure to possess would not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect. Neither the Company nor any
of its subsidiaries has received any written notice of proceedings relating to the revocation or modification of any such permit which, if the subject of an unfavorable decision, ruling or finding, could reasonably be expected to have, individually
or in the aggregate, a Material Adverse Effect. 
 3.16 Listing Compliance. The Company is in compliance with the
requirements of the NASDAQ Global Market for continued listing of the Common Stock thereon. The Company has taken no action designed to, or likely to have the effect of, terminating the registration of the Common Stock under the Exchange Act or the
listing of the Common Stock on the NASDAQ Global Market, nor has the Company received any notification that the SEC or the NASDAQ Global Market is contemplating terminating such registration or listing. The transactions contemplated by the
Transaction Agreements will not contravene the rules and regulations of the NASDAQ Global Market. The Company will comply with all requirements of the NASDAQ Global Market with respect to the issuance of the Securities and shall cause the Shares and
the Underlying Shares to be listed on the NASDAQ Global Market and listed on any other exchange on which the Common Stock is listed on or before the Closing. 
 3.17 Intellectual Property. To the Company’s knowledge, the Company owns, or has obtained valid and enforceable licenses for, or other legal rights to use, the inventions, patent applications,
patents, utility models, industrial property, trademarks (both registered and unregistered), trade names, service marks (both registered and unregistered), service names, copyrights, trade secrets, customer lists, designs, manufacturing or other
processes, computer software, systems, data compilations, research results, know-how or other proprietary rights and information (collectively, “Intellectual Property”) owned or licensed by the Company or its subsidiaries, or used
in the Company’s or its subsidiaries businesses as presently conducted, except where the failure to own, license or otherwise enjoy such rights would not, individually or in the aggregate, have a Material Adverse Effect. To the Company’s
knowledge, all of the patents, registered trademarks and registered copyrights owned or licensed by the Company or its subsidiaries have been duly registered in, filed in or issued by the United States Patent and Trademark Office (the
“USPTO”), the United States Copyright Office or the corresponding offices of other jurisdictions and have been maintained and renewed in accordance with all applicable provisions of law and administrative regulations in the United
States and all such other jurisdictions, except where the failure to do so, individually or in the aggregate, would not have a Material Adverse Effect. The Company and its subsidiaries have taken all steps required in accordance with sound business
practice and business judgment to establish and preserve their ownership of or rights to all of their Intellectual Property. Except as set forth in the SEC Documents, to the Company’s knowledge, there are no third parties who have or will be
able to

  

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establish rights to any Intellectual Property of the Company or its subsidiaries. To the Company’s knowledge, there is no infringement by third parties of any of the Intellectual Property of
the Company or its subsidiaries which, individually or in the aggregate, would have a Material Adverse Effect. Except as set forth in the SEC Documents, to the Company’s knowledge, there is no pending or threatened action, suit, proceeding or
claim by others challenging the Company’s or its subsidiaries’ rights in or to any Intellectual Property of the Company or its subsidiaries, and the Company is unaware of any facts that could form a reasonable basis for any such action,
suit, proceeding or claim. Except as set forth in the SEC Documents, there is no pending, or to the Company’s knowledge, threatened action, suit, proceeding or claim by others challenging the validity, enforceability or scope of any
Intellectual Property of the Company or its subsidiaries, and the Company is unaware of any facts that could form a reasonable basis for any such action, suit, proceeding or claim. To the Company’s knowledge, neither the Company nor any of its
subsidiaries has, and presently is not, infringing or violating the Intellectual Property of any other person. Except as set forth in the SEC Documents, there is no pending, or to the Company’s knowledge, threatened action, suit, proceeding or
claim by another that the Company or any of its subsidiaries infringes or otherwise violates any Intellectual Property, and the Company is unaware of any facts that could form a reasonable basis for any such action, suit, proceeding or claim. To the
Company’s knowledge, the manufacture, use, sale, offer for sale or import of any product by the Company or its subsidiaries would not infringe any claim of any patent of another party, except that of a licensor who has granted the Company or
its subsidiaries a license under any such patent. Except as set forth in the SEC Documents, no proceeding charging the Company or its subsidiaries with infringement of any adversely held Intellectual Property has been filed. The Company and its
subsidiaries, as applicable, are in compliance with the material terms of all agreements pursuant to which Intellectual Property has been licensed to the Company or its subsidiaries. All such agreements are in full force and effect and there is no
default by the Company thereto, and to the Company’s knowledge, no notice of default thereunder has been threatened against the Company. To the Company’s knowledge, sublicenses granted to others by the Company or its subsidiaries are now
in compliance with the terms of all agreements pursuant to which Intellectual Property has been sublicensed by the Company or its subsidiaries. To the Company’s knowledge, all such agreements are in full force and effect and there is no default
by any sublicensee thereto. To the Company’s knowledge, there is no patent or patent application containing claims that interfere with the issued or pending claims of any patent owned by or licensed to the Company or its subsidiaries. The
Company is not aware of any fact from which it could reasonably be inferred that an individual associated with the filing and prosecution of any patent owned by or licensed to the Company or its subsidiaries failed to disclose to the USPTO all
information known to that individual to be material to patentability. The products manufactured and sold by the Company and its subsidiaries fall within the scope of one or more claims of one or more patents owned by or licensed to the Company or
its subsidiaries. 
 3.18 Financial Statements. The consolidated financial statements of the Company and its subsidiaries
and the related notes thereto included in the SEC Documents present fairly, in all material respects, the financial position of the Company and its subsidiaries as of the dates indicated and the results of its operations and cash flows for the
periods therein specified subject, in the case of unaudited statements, to normal year-end audit adjustments. Except as set forth in such financial statements (or the notes thereto), such financial statements (including the related notes) have been
prepared in accordance with U.S. generally accepted accounting principles applied on a consistent basis throughout the periods therein specified. 
 3.19 Accountants. PricewaterhouseCoopers LLP, who has expressed its opinion with respect to the consolidated financial statements contained in the Company’s Annual Report on Form 10-K for
the year ended December 31, 2008, which will be incorporated by reference into the Registration Statement and the prospectus that forms a part thereof, are registered independent public accountants as required by the Act and the rules and
regulations promulgated thereunder (and by the rules of the Public Company Accounting Oversight Board). 
  

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 3.20 Internal Accounting Controls. The Company maintains a system of internal
accounting controls sufficient to provide reasonable assurances that (i) transactions are executed in accordance with management’s general or specific authorization; (ii) transactions are recorded as necessary to permit preparation of
financial statements in conformity with generally accepted accounting principles and to maintain accountability for assets; (iii) access to assets is permitted only in accordance with management’s general or specific authorization; and
(iv) the recorded accountability for assets is compared with existing assets at reasonable intervals and appropriate action is taken with respect to any differences. The Company has disclosure controls and procedures (as defined in
Rules 13a-14 and 15d-14 under the Exchange Act) that are designed to ensure that material information relating to the Company is made known to the Company’s principal executive officer and the Company’s principal financial officer or
persons performing similar functions. The Company is otherwise in compliance in all material respects with all applicable provisions of the Sarbanes-Oxley Act of 2002, as amended and the rules and regulations promulgated thereunder. 
 3.21 Off-Balance Sheet Arrangements. There is no transaction, arrangement or other relationship between the Company or its
subsidiaries and an unconsolidated or other off-balance sheet entity that is required to be disclosed by the Company in its Exchange Act filings and is not so disclosed or that otherwise would be reasonably likely to have, individually or in the
aggregate, a Material Adverse Effect. There are no such transactions, arrangements or other relationships with the Company that may create contingencies or liabilities that are not otherwise disclosed by the Company in its Exchange Act filings.

 3.22 No Material Adverse Change. Except as set forth in the SEC Documents in each case, filed or made through and
including the date hereof, since December 31, 2008, there has not been (a) any material adverse change in the business, assets, financial condition or results of operation of the Company and its subsidiaries, taken as a whole (b) any
obligation, direct or contingent, that is material to the Company and its subsidiaries taken as a whole, incurred by the Company or any of its subsidiaries, except obligations incurred in the ordinary course of business, (c) any dividend or
distribution of any kind declared, paid or made on the capital stock of the Company or (d) any loss or damage (whether or not insured) to the physical property of the Company or any of its subsidiaries. 
 3.23 No Manipulation of Stock. Neither the Company nor any of its subsidiaries, nor to the Company’s knowledge, any of their
respective officers, directors, employees, affiliates or controlling persons has taken and will not, in violation of applicable law, take, any action designed to or that might reasonably be expected to, directly or indirectly, cause or result in
stabilization or manipulation of the price of the Common Stock to facilitate the sale or resale of the Securities. 
 3.24
Insurance. The Company and its subsidiaries maintain and will continue to maintain insurance against loss or damage by fire or other casualty and such other insurance in such amounts and covering such risks as is believed to be prudent and
customary, consistent with industry practice for the conduct of their respective businesses and the value of their respective properties. 
 3.25 Properties. The Company and its subsidiaries have good and marketable title to all the properties and assets described as owned by them in the consolidated financial statements included in the
SEC Documents, free and clear of all liens, mortgages, pledges, or encumbrances of any kind except (i) those, if any, reflected in such consolidated financial statements, or (ii) those that are not material in amount and do not adversely
affect the use made and proposed to be made of such property by the Company or its subsidiaries. The Company and each of its subsidiaries hold their leased properties under valid and binding leases. The Company and each of its subsidiaries own or
lease all such properties as are necessary to its operations as now conducted. 
  

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 3.26 Tax Matters. The Company and each of its subsidiaries has timely filed all
federal, state, local and foreign income and franchise and other tax returns required to be filed by any jurisdiction to which it is subject and has paid all taxes due in accordance therewith, except where the failure to so timely file or pay,
individually or in the aggregate, would not be likely to result in a Material Adverse Effect, and no tax deficiency has been determined adversely to the Company or any of its subsidiaries which has had, nor does the Company or any of its
subsidiaries have any knowledge of any tax deficiency which, if determined adversely to the Company or any of its subsidiaries, would reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect. 
 3.27 Investment Company Status. The Company is not, and immediately after receipt of payment for the Securities will not be, an
“investment company,” an “affiliated person” of, “promoter” for or “principal underwriter” for, or an entity “controlled” by an “investment company,” within the meaning of the Investment
Company Act of 1940, as amended, or the rules and regulations promulgated thereunder. 
 3.28 Transactions With Affiliates
and Employees. Except as disclosed in the SEC Documents, none of the officers or directors of the Company or its subsidiaries and, to the knowledge of the Company, none of the employees of the Company or its subsidiaries is presently a party to
any transaction with the Company or any subsidiary (other than for services as employees, officers and directors required to be disclosed under Item 404 of Regulation S-K under the Exchange Act). 
 3.29 Foreign Corrupt Practices. Neither the Company nor its subsidiaries, nor to the knowledge of the Company, any director, officer,
agent, employee or other Person acting on behalf of the Company or its subsidiaries has, in the course of its actions for, or on behalf of, the Company or any of its subsidiaries (a) used any corporate funds for any unlawful contribution, gift,
entertainment or other unlawful expenses relating to political activity, (b) made any direct or indirect unlawful payment to any foreign or domestic government official or employee from corporate funds, (c) violated or is in violation of
any provision of the U.S. Foreign Corrupt Practices Act of 1977, as amended or (d) made any unlawful bribe, rebate, payoff, influence payment, kickback or other unlawful payment to any foreign or domestic government official or employee.

 3.30 Money Laundering Laws. The operations of the Company and its subsidiaries are and have been conducted at all
times in compliance with applicable financial record-keeping and reporting requirements of the Currency and Foreign Transactions Reporting Act of 1970, as amended, applicable money laundering statutes and applicable rules and regulations thereunder
(collectively, the “Money Laundering Laws”), and no action, suit or proceeding by or before any court or governmental agency, authority or body or any arbitrator involving the Company any of its subsidiaries with respect to the
Money Laundering Laws is pending or, to the Company’s knowledge, threatened. 
 3.31 OFAC. Neither the Company nor,
to the Company’s knowledge, any director, officer, agent, employee or affiliate of the Company is currently subject to any U.S. sanctions administered by the Office of Foreign Assets Control of the U.S. Treasury Department
(“OFAC”); and the Company will not directly or indirectly use the proceeds of the offering, or lend, contribute or otherwise make available such proceeds to any subsidiary, joint venture partner or other person or entity, for the
purpose of financing the activities of any person currently subject to any U.S. sanctions administered by OFAC. 
 3.32
Environmental Laws. The Company and each of its subsidiaries (a) are in compliance with any and all Environmental Laws (as hereinafter defined), (b) have received all permits, licenses or other approvals required of them under
applicable Environmental Laws to conduct their respective businesses and (c) are in compliance with all terms and conditions of any such permit, license or approval where, in each of the foregoing clauses (a), (b) and (c), the failure to
so comply could be

  

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reasonably expected to have, individually or in the aggregate, a Material Adverse Effect. The term “Environmental Laws” means all federal, state, local or foreign laws relating
to pollution or protection of human health or the environment (including, without limitation, ambient air, surface water, groundwater, land surface or subsurface strata), including, without limitation, laws relating to emissions, discharges,
releases or threatened releases of chemicals, pollutants, contaminants, or toxic or hazardous substances or wastes (collectively, “Hazardous Materials”) into the environment, or otherwise relating to the manufacture, processing,
distribution, use, treatment, storage, disposal, transport or handling of Hazardous Materials, as well as all authorizations, codes, decrees, demands or demand letters, injunctions, judgments, licenses, notices or notice letters, orders, permits,
plans or regulations issued, entered, promulgated or approved thereunder. 
 3.33 Employee Relations. Neither the Company
nor any of its subsidiaries is a party to any collective bargaining agreement or employs any member of a union. Neither the Company nor any of its subsidiaries is engaged in any unfair labor practice except for matters which would not, individually
or in the aggregate, have a Material Adverse Effect. There is (A) no unfair labor practice complaint pending or, to the Company’s knowledge, threatened against the Company or any of its subsidiaries before the National Labor Relations
Board, and no grievance or arbitration proceeding arising out of or under collective bargaining agreements is pending or threatened, (B) no strike, labor dispute, slowdown or stoppage pending or, to the Company’s knowledge, threatened
against the Company or any of its subsidiaries and (C) no union representation dispute currently existing concerning the employees of the Company or any of its subsidiaries, and (ii) to the Company’s knowledge, (A) no union
organizing activities are currently taking place concerning the employees of the Company or any of its subsidiaries and (B) there has been no violation of any federal, state, local or foreign law relating to discrimination in the hiring,
promotion or pay of employees or any applicable wage or hour laws. No executive officer of the Company (as defined in Rule 501(f) promulgated under the Securities Act) has notified the Company that such officer intends to leave the Company
or otherwise terminate such officer’s employment with the Company. No executive officer of the Company, to the knowledge of the Company, is, or is now expected to be, in violation of any material term of any employment contract,
confidentiality, disclosure or proprietary information agreement, non-competition agreement, or any other agreement or any restrictive covenant, and the continued employment of each such executive officer does not subject the Company or any of its
subsidiaries to any liability with respect to any of the foregoing matters. 
 3.34 ERISA. The Company and its
subsidiaries is in compliance in all material respects with all presently applicable provisions of the Employee Retirement Income Security Act of 1974, as amended, including the regulations and published interpretations thereunder (herein called
“ERISA”); no “reportable event” (as defined in ERISA) has occurred with respect to any “pension plan” (as defined in ERISA) for which the Company or any of its subsidiaries would have any liability; the Company
has not incurred and does not expect to incur liability under (i) Title IV of ERISA with respect to termination of, or withdrawal from, any “pension plan”; or (ii) Sections 412 or 4971 of the Internal Revenue Code of 1986, as
amended, including the regulations and published interpretations thereunder (the “Code”); and each “Pension Plan” for which the Company would have liability that is intended to be qualified under
Section 401(a) of the Code is so qualified in all material respects and nothing has occurred, whether by action or by failure to act, which would cause the loss of such qualification. 
 3.35 Integration; Other Issuances of Shares. Neither the Company nor its subsidiaries or any affiliates, nor any person acting on its
or their behalf, has issued any shares of Common Stock or shares of any series of preferred stock or other securities or instruments convertible into, exchangeable for or otherwise entitling the holder thereof to acquire shares of Common Stock which
would be integrated with the sale of the Securities to the Purchasers for purposes of the Act or of any applicable stockholder approval provisions, including, without limitation, under the rules and regulations of the Nasdaq Global Market, nor will
the Company or its subsidiaries or affiliates take any action or steps that would require registration of any of the Securities under the Act or cause the offering of the Securities to be integrated with other offerings. 
  

 9 

 3.36 No General Solicitation. Neither the Company nor, to the Company’s
knowledge, any person acting on behalf of the Company has offered or sold any of the Securities by any form of general solicitation or general advertising. 
 3.37 No Brokers’ Fees. Except as provided in that certain Engagement Letter dated November 9, 2009 between the Company and Morgan Keegan & Company, Inc. (the “Placement
Agent”), the Company has not incurred any liability for any finder’s or broker’s fee or agent’s commission in connection with the execution and delivery of this Agreement or the consummation of the transactions contemplated
hereby. 
 3.38 Disclosure. The Company understands and confirms that the Purchasers will rely on the foregoing
representations and warranties in effecting transactions in the Securities of the Company. All disclosure provided to the Purchasers regarding the Company, its business and the transactions contemplated hereby furnished by or on behalf of the
Company are true and correct and do not contain any untrue statement of a material fact or omit to state any material fact necessary in order to make the statements made therein, in light of the circumstances under which they were made, not
misleading. 
 ARTICLE 4 
 REPRESENTATIONS AND WARRANTIES OF THE PURCHASER 
 Each Purchaser, severally
and not jointly, represents, warrants and covenants to the Company with respect to this purchase as follows: 
 4.1
Organization and Standing. The Purchaser is duly organized, validly existing, and in good standing under the laws of the jurisdiction of its organization. The Purchaser has all requisite power and authority to own and operate its properties
and assets and to carry on its business as presently conducted and as proposed to be conducted. The Purchaser is qualified to do business as a foreign corporation in every jurisdiction in which the failure to be so qualified would have a material
adverse effect on the Purchaser’s business as now conducted or as proposed to be conducted. 
 4.2 Power. The
Purchaser has all requisite power to execute and deliver this Agreement and to carry out and perform its obligations under the terms of this Agreement. 
 4.3 Authorization. The execution, delivery, and performance of this Agreement by the Purchaser has been duly authorized by all requisite action, and this Agreement constitutes the legal, valid, and
binding obligation of the Purchaser enforceable in accordance with its terms, subject to applicable bankruptcy, insolvency, reorganization, or similar laws relating to or affecting the enforcement of creditors’ rights. 
 4.4 Consents and Approvals. The Purchaser need not give any notice to, make any filing with, or obtain any authorization, consent, or
approval of any government or governmental agency in order to consummate the transactions contemplated by this Agreement. 
 4.5
Non-Contravention. Neither the execution and the delivery of this Agreement, nor the consummation of the transactions contemplated hereby, will violate in any material respect any constitution, statute, regulation, rule, injunction, judgment,
order, decree, ruling, charge, or other restriction of any government, governmental agency, or court to which the Purchaser is subject. No approval, waiver, or consent by the Purchaser under any instrument, contract, or agreement to which the
Purchaser or any of its affiliates is a party is necessary to consummate the transactions contemplated hereby. 
  

 10 

 4.6 Purchase for Investment Only. The Purchaser is purchasing the Securities for the
Purchaser’s own account for investment purposes only and not with a view to, or for resale in connection with, any “distribution” in violation of the Securities Act. By executing this Agreement, the Purchaser further represents that
it does not have any contract, undertaking, agreement, or arrangement with any person to sell, transfer, or grant participation to such person or to any third person, with respect to any of the Securities. The Purchaser understands that the
Securities have not been registered under the Act or any applicable state securities laws by reason of a specific exemption therefrom that depends upon, among other things, the bona fide nature of the investment intent as expressed herein.

 4.7 Receipt of Information. The Purchaser has had an opportunity to review the Company’s filings under the Act
and the Exchange Act (including risks factors set forth therein). The Purchaser has received all such information that the Purchaser deems necessary and appropriate to enable the Purchaser to evaluate the financial risk inherent in making an
investment in the Securities. The Purchaser has received satisfactory and complete information concerning the business and financial condition of the Company in response to the Purchaser’s inquiries. 
 4.8 Risk of Investment. The Purchaser realizes that the purchase of the Securities will be a highly speculative investment and the
Purchaser may suffer a complete loss of its investment. The Purchaser understands all of the risks related to the purchase of the Securities. By virtue of the Purchaser’s experience in evaluating and investing in private placement transactions
of securities in companies similar to the Company, the Purchaser is capable of evaluating the merits and risks of the Purchaser’s investment in the Company and has the capacity to protect the Purchaser’s own interests. 
 4.9 Advisors. The Purchaser has reviewed with its own tax advisors the federal, state, and local tax consequences of this investment
and the transactions contemplated by this Agreement. The Purchaser acknowledges that it has had the opportunity to review the Transaction Agreements and the transactions contemplated thereby with the Purchaser’s own legal counsel. The Purchaser
is relying solely on its legal counsel and tax advisors and not on any statements or representations of the Company or any of the Company’s agents for legal or tax advice with respect to this investment or the transactions contemplated by this
Agreement. 
 4.10 Finder. The Purchaser is not obligated and will not be obligated to pay any broker commission,
finders’ fee, success fee, or commission in connection with the transactions contemplated by this Agreement. 
 4.11
Restricted Shares. The Purchaser understands that the Securities must be held indefinitely unless subsequently registered under the Act or unless an exemption from registration is otherwise available. Moreover, the Purchaser understands that
except as set forth in the Registration Rights Agreement, the Company is under no obligation to register the Securities. The Purchaser is aware of Rule 144 promulgated under the Act that permits limited resales of securities purchased in a private
placement subject to the satisfaction of certain conditions. 
 4.12 Legend. It is understood by the Purchaser that each
certificate representing the Securities shall be endorsed with a legend substantially in the following form: 
 “THE
SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS. THE

  

 11 

 
SECURITIES MAY NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED (I) IN THE ABSENCE OF (A) AN EFFECTIVE REGISTRATION STATEMENT FOR THE SECURITIES UNDER THE SECURITIES ACT OF 1933,
AS AMENDED, OR (B) AN OPINION OF COUNSEL (WHICH COUNSEL SHALL BE SELECTED BY THE HOLDER), IN A FORM REASONABLY ACCEPTABLE TO THE COMPANY, THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR (II) UNLESS SOLD PURSUANT TO RULE 144 OR RULE 144A
UNDER SAID ACT. NOTWITHSTANDING THE FOREGOING, THESE SECURITIES MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR OTHER LOAN OR FINANCING ARRANGEMENT SECURED BY THE SECURITIES.” 
 The Company need not register a transfer of Shares or Underlying Shares unless the conditions specified in the foregoing legend are satisfied. The Company
may also instruct its transfer agent not to register the transfer of any of the Shares or Underlying Shares unless the conditions specified in the foregoing legend are satisfied. 
 4.13 Investor Qualification. The Purchaser is an “accredited investor” as defined in Rule 501(a) of Regulation D under the
Act. The Purchaser acknowledges that it has completed the Purchaser Suitability Questionnaire. The Purchaser has truthfully set forth in the Purchaser Suitability Questionnaire the factual basis or reason for qualification as an “accredited
investor” as defined in Rule 501(a) of Regulation D under the Act and such information remains true and correct as of the date hereof. The Purchaser agrees to furnish any additional information that the Company deems necessary in order to
verify the answers set forth in the Purchaser Suitability Questionnaire. 
 4.14 Other Representations. (a) The
Purchaser should check the OFAC website at http://www.treas.gov/ofac before making the following representations. The Purchaser represents that the amounts invested by it in the Company were not and are not directly or indirectly derived from
activities that contravene federal, state or international laws and regulations, including anti-money laundering laws and regulations. Federal regulations and Executive Orders administered by OFAC prohibit, among other things, the engagement in
transactions with, and the provision of services to, certain foreign countries, territories, entities and individuals. The lists of OFAC prohibited countries, territories, persons and entities can be found on the OFAC website at
http://www.treas.gov/ofac. In addition, the programs administered by OFAC (the “OFAC Programs”) prohibit dealing with individuals1 or entities in certain countries regardless of whether such individuals or entities appear on the OFAC lists;

 (b) To the best of the Purchaser’s knowledge, none of: (1) the Purchaser; (2) any person controlling or
controlled by the Purchaser; (3) if the Purchaser is a privately-held entity, any person having a beneficial interest in the Purchaser; or (4) any person for whom the Purchaser is acting as agent or nominee in connection with this
investment is a country, territory, individual or entity named on an OFAC list, or a person or entity prohibited under the OFAC Programs. Please be advised that the Company may not accept any amounts from a prospective investor if such prospective
investor cannot make the representation set forth in the preceding paragraph. The Purchaser agrees to promptly notify the Company and the Placement Agent should the Purchaser become aware of any change in the information set forth in these
representations. The Purchaser understands and acknowledges that, by law, the Company may be obligated to “freeze the account” of the Purchaser, either by prohibiting additional subscriptions from the 
  

	1	These individuals include specially designated nationals, specially designated narcotics traffickers and other parties subject to OFAC sanctions and embargo programs.

  

 12 

 Purchaser, declining any redemption requests and/or segregating the assets in the account in compliance with
governmental regulations, and the Placement Agent may also be required to report such action and to disclose the Purchaser’s identity to OFAC. The Purchaser further acknowledges that the Company may, by written notice to the Purchaser, suspend
the redemption rights, if any, of the Purchaser if the Company reasonably deems it necessary to do so to comply with anti-money laundering regulations applicable to the Company and the Placement Agent or any of the Company’s other service
providers. These individuals include specially designated nationals, specially designated narcotics traffickers and other parties subject to OFAC sanctions and embargo programs; 
 (c) To the best of the Purchaser’s knowledge, none of: (1) the Purchaser; (2) any person controlling or controlled by the
Purchaser; (3) if the Purchaser is a privately-held entity, any person having a beneficial interest in the Purchaser; or (4) any person for whom the Purchaser is acting as agent or nominee in connection with this investment is a senior
foreign political figure2, or any immediate
family3 member or close associate4 of a senior foreign political figure, as such terms are defined in
the footnotes below; and 
 (d) If the Purchaser is affiliated with a non-U.S. banking institution (a “Foreign
Bank”), or if the Purchaser receives deposits from, makes payments on behalf of, or handles other financial transactions related to a Foreign Bank, the Purchaser represents and warrants to the Company that: (1) the Foreign Bank has a
fixed address, other than solely an electronic address, in a country in which the Foreign Bank is authorized to conduct banking activities; (2) the Foreign Bank maintains operating records related to its banking activities (3) the Foreign
Bank is subject to inspection by the banking authority that licensed the Foreign Bank to conduct banking activities; and (4) the Foreign Bank does not provide banking services to any other Foreign Bank that does not have a physical presence in
any country and that is not a regulated affiliate. 
 ARTICLE 5 
 CONDITIONS TO COMPANY’S OBLIGATIONS AT THE CLOSING. 
 The Company’s obligation to complete the sale and issuance of the Securities and deliver Securities to each Purchaser, individually, at the Closing shall be subject to the following conditions to the extent not waived by the Company:

 (a) Receipt of Payment. The Company shall have received payment, by wire transfer of immediately available funds, in
the full amount of the Total Purchase Price for the number of Securities being purchased by such Purchaser at the Closing as set forth opposite such Purchaser’s name on the signature pages of this Agreement. 
 (b) Representations and Warranties. The representations and warranties made by such Purchaser in Section 4 hereof shall be true
and correct in all material respects as of, and as if made on, the date of this Agreement and as of the Closing. 
  

	2	“senior foreign political figure” is defined as a senior official in the executive, legislative, administrative, military or judicial branches of a foreign
government (whether elected or note), a senior official of a major foreign political party, or a senior executive of a foreign government-owned corporation. In addition, a “senior foreign political figure” includes any corporation,
business or other entity that has been formed by, or for the benefit of, a senior foreign political figure. 

	3	family” of a senior foreign political figure typically includes the figure’s parents, siblings, spouse, children and in-laws. 

	4	“close associate” of a senior foreign political figure is a person who is widely and publicly known to maintain an unusually close relationship with the
senior foreign political figure, and includes a person who is in a position to conduct substantial domestic and international financial transactions on behalf of the senior foreign political figure. 

  

 13 

 (c) Receipt of Executed Documents. Such Purchaser shall have executed and
delivered to the Company the Registration Rights Agreement and the Purchaser Suitability Questionnaire. 
 (d) Nasdaq
Approval. The Shares and the Underlying Shares shall have been approved for listing on the Nasdaq Global Market. 
 ARTICLE 6 
 CONDITIONS TO PURCHASERS’ OBLIGATIONS AT THE CLOSING 
 Each Purchaser’s obligation to accept delivery of the Securities and to pay for the Securities shall be subject to the following
conditions to the extent not waived by such Purchaser: 
 (a) The Company shall have complied with its obligations set forth
under Section 2.2 to provide, with respect to each Purchaser, (i) a single stock certificate for each Purchaser representing the number of shares purchased by such Purchaser and (ii) a single Warrant representing the right to acquire
the number of Underlying Shares set forth opposite such Purchaser’s name on the signature pages to this Agreement. 
 (b)
Representations and Warranties. The representations and warranties made by the Company in Section 3 hereof shall be true and correct in all material respects as of, and as if made on, the date of this Agreement and as of the Closing.

 (c) Receipt of Executed Registration Rights Agreement. The Company shall have executed and delivered the Registration
Rights Agreement to the Purchasers. 
 (d) Legal Opinion. The Purchasers shall have received an opinion of Wilson Sonsini
Goodrich & Rosati, P.C., counsel to the Company, substantially in the form set forth in Exhibit D hereto. 
 (e)
Certificate. Each Purchaser shall have received a certificate signed by the Company’s Chief Executive Officer and Chief Financial Officer to the effect that the representations and warranties of the Company in Section 3 hereof are
true and correct in all material respects as of, and as if made on, the date of this Agreement and as of the Closing and that the Company has satisfied in all material respects all of the conditions set forth in this Article 6. 
 (f) Good Standing. The Company is validly existing as a corporation in good standing under the laws of Delaware as evidenced by a
certificate of the Secretary of State of the State of Delaware, a copy of which was provided to the Purchasers. 
 (g) Nasdaq
Approval. The Shares and the Underlying Shares shall have been approved for listing on the Nasdaq Global Market. 
 (h)
Waiver of Registration Rights. The Company shall have received a waiver of registration rights pursuant to that certain Amended and Restated Investors Rights Agreement by and among the Company and the investors listed therein dated
March 12, 2002 in a form reasonably satisfactory to the Purchasers. 
 ARTICLE 7 
 OTHER AGREEMENTS OF THE PARTIES 
 7.1 Securities Laws Disclosure; Publicity. By 9:00 A.M., New York City time, on the trading day immediately following the date hereof, the Company shall issue a press release (the “Press

  

 14 

 
Release”) reasonably acceptable to the Purchasers disclosing all material terms of the transactions contemplated hereby. On or before 9:00 A.M., New York City time, on the second
trading day immediately following the execution of this Agreement, the Company will file a Current Report on Form 8-K with the Commission describing the terms of the Transaction Documents (and including as exhibits to such Current Report on Form 8-K
the material Transaction Agreements (including, without limitation, this Agreement)). 
 7.2 Public Announcements. Except
as may be required by law or regulation, the Company shall not use the name of, or make reference to, any Purchaser or any of its affiliates in any press release or in any public manner (including any reports or filings made by the Company under the
Exchange Act) without such Purchaser’s prior written consent, which consent shall not be unreasonably withheld. The initial press release with respect to the execution of this Agreement shall be approved by the Company and the Purchasers
provided that the approval of the Purchasers shall not be unreasonably withheld. Thereafter, so long as this Agreement is in effect, the Company and the Purchasers shall consult with each other before issuing any press release or otherwise making
any public statements with respect to this Agreement or the transactions contemplated herein without the prior consent of the other party, which consent shall not be unreasonably withheld; provided, however, that the Company, on the
one hand, and the Purchasers, on the other hand, may, without the prior consent of the other party, issue a press release or make such public statement as may, upon the advice of counsel, be required by law if it has used all reasonable efforts to
consult with the other party. 
 7.3 Form D; Blue Sky. The Company agrees to timely file a Form D with respect
to the Securities as required under Regulation D and to provide a copy thereof to the Purchaser (provided that the posting of the Form D on the SEC’s EDGAR system shall be deemed delivery of the Form D for purposes of this Agreement). The
Company, on or before the Closing, shall take such action as the Company shall reasonably determine is necessary, if any, in order to obtain an exemption for or to qualify the Shares for sale to the Purchaser under applicable securities or
“Blue Sky” laws of the states of the United States (or to obtain an exemption from such qualification) and shall provide evidence of such actions promptly to the Purchaser. 
 7.4 Pledges. The Company acknowledges and agrees that any Purchaser may from time to time pledge, and/or grant a security interest
in, some or all of the Securities in connection with applicable securities laws, pursuant to a bona fide margin agreement in compliance with a bona fide margin loan. Such a pledge would not be subject to approval or consent of the Company and no
legal opinion of legal counsel to the pledgee, secured party or pledgor shall be required in connection with the pledge, but such legal opinion shall be required in connection with a subsequent transfer or foreclosure following default by the
Purchaser transferee of the pledge. No notice shall be required of such pledge, but any Purchaser’s transferee shall promptly notify the Company of any such subsequent transfer or foreclosure. The Purchaser acknowledges that the Company shall
not be responsible for any pledges relating to, or the grant of any security interest in, any of the Securities or for any agreement, understanding or arrangement between the Purchaser and its pledgee or secured party. At the Purchaser’s
expense, the Company will execute and deliver such reasonable documentation as a pledgee or secured party of Shares may reasonably request in connection with a pledge or transfer of the Securities, including the preparation and filing of any
required prospectus supplement to any registration statement filed pursuant to the Registration Rights Agreement under Rule 424(b)(3) of the Act or other applicable provision of the Act to appropriately amend the list of Selling Stockholders
thereunder. 
 7.5 Removal of Legend and Transfer Restrictions. The Company hereby covenants with the Purchasers to, no
later than three trading days following the delivery by the Purchaser to the Company of a legended certificate representing Shares (endorsed or with stock powers attached, signatures guaranteed, and otherwise in form necessary to affect the
reissuance and/or transfer), in connection with the

  

 15 

 
sale of all or a portion of the Shares or Underlying Shares, as applicable, pursuant to an effective registration statement or pursuant to a transaction exempt from the registration requirements
of the Act or an opinion of counsel reasonably satisfactory to the Company that the Shares are freely transferable and that the legend is no longer required on such stock certificate, deliver or cause the Company’s transfer agent to deliver to
the transferee of the Shares or to the Purchaser, as applicable, a new stock certificate representing such Shares that is free from all restrictive and other legends. The Company acknowledges that the remedy at law for a breach of its obligations
under this Section 7.5 may be inadequate and agrees, in the event of a breach or threatened breach by the Company of the provisions of this Section 7.5 with respect to any Purchaser, the Purchaser shall be entitled, in addition to all
other available remedies, to an order and/or injunction restraining any breach and requiring immediate issuance and transfer, without the necessity of showing economic loss and without any bond or other security being required. 
 7.6 Use of Proceeds. The Company agrees to use the proceeds of the offering for bona fide general corporate purposes and to provide
working capital. 
 ARTICLE 8 
 MISCELLANEOUS 
 8.1 Survival. The representations and warranties
contained herein shall survive the execution and delivery of this Agreement and the sale of the Securities. 
 8.2
Assignment; Successors and Assigns. This Agreement may not be assigned by either party without the prior written consent of the other party; provided, that this Agreement may be assigned by any Purchaser to the valid transferee of any
security purchased hereunder if such security remains a “restricted security” under the Act. This Agreement and all provisions thereof shall be binding upon, inure to the benefit of, and are enforceable by the parties hereto and their
respective successors and permitted assigns. 
 8.3 Notices. All notices, requests, and other communications hereunder
shall be in writing and will be deemed to have been duly given and received (a) when personally delivered, (b) when sent by facsimile upon confirmation of receipt, (c) one business day after the day on which the same has been
delivered prepaid to a nationally recognized courier service, or (d) five business days after the deposit in the United States mail, registered or certified, return receipt requested, postage prepaid, in each case addressed to Solta Medical,
Inc., 25881 Industrial Blvd., Hayward, CA 94545, Attn: Chief Executive Officer, facsimile number: (510) 786-6880, with a copy to Wilson Sonsini Goodrich & Rosati, P.C., 650 Page Mill Rd., Palo Alto, CA 94304, Attn: Chris F. Fennell,
Esq., facsimile number: (650) 493-6811, as to the Placement Agent at 50 North Front Street, Morgan Keegan Tower, Memphis, TN 38103, and as to the Purchaser at the address and facsimile number set forth below the Purchaser’s signature on
the signature pages of this Agreement. Any party hereto from time to time may change its address, facsimile number, or other information for the purpose of notices to that party by giving notice specifying such change to the other parties hereto.
The Purchaser and the Company may each agree in writing to accept notices and other communications to it hereunder by electronic communications pursuant to procedures reasonably approved by it; provided that approval of such procedures may be
limited to particular notices or communications. 
 8.4 Governing Law; Jurisdiction. 
 (a) This Agreement, and the provisions, rights, obligations, and conditions set forth herein, and the legal relations between the parties
hereto, including all disputes and claims, whether arising in contract, tort, or under statute, shall be governed by and construed in accordance with the laws of the State of California without giving effect to its conflict of law provisions.

  

 16 

 (b) Any and all disputes arising out of, or in connection with, the interpretation,
performance, or nonperformance of this Agreement or any and all disputes arising out of, or in connection with, transactions in any way related to this Agreement and/or the relationship between the parties shall be litigated solely and exclusively
before the United States District Court for the Northern District of California. The parties consent to the in personam jurisdiction of said court for the purposes of any such litigation, and waive, fully and completely, any right to dismiss and/or
transfer any action pursuant to 28 U.S.C. § 1404 or 1406 (or any successor statute). In the event the United States District Court for the Northern District of California does not have subject matter jurisdiction of said matter, then such
matter shall be litigated solely and exclusively before the appropriate state court of competent jurisdiction located. 
 8.5
Severability. In the event that any provision of this Agreement or the application of any provision hereof is declared to be illegal, invalid, or otherwise unenforceable by a court of competent jurisdiction, the remainder of this Agreement
shall not be affected except to the extent necessary to delete such illegal, invalid, or unenforceable provision unless that provision held invalid shall substantially impair the benefits of the remaining portions of this Agreement. 
 8.6 Headings. The headings in this Agreement are for convenience of reference only and shall not constitute a part of this Agreement,
nor shall they affect its meaning, construction, or effect. 
 8.7 Entire Agreement. This Agreement embodies the entire
understanding and agreement between the parties hereto with respect to the subject matter hereof and supersedes all prior agreements and understandings relating to the subject matter hereof. 
 8.8 Finder’s Fee. The Company agrees that it shall be responsible for the payment of any placement agent’s fees, financial
advisory fees, or brokers’ commissions (other than for persons engaged by Purchaser) relating to or arising out of the transactions contemplated hereby, including any fees and expenses of the Placement Agent. The Company shall pay, and hold the
Purchaser harmless against, any liability, loss or expense (including, without limitation, attorney’s fees and out-of-pocket expenses) arising in connection with any claim for any such fees or commissions. 
 8.9 Expenses. Each party will bear its own costs and expenses in connection with this Agreement; provided, however,
that at the Closing, the Company will reimburse Longitude Capital Partners, LLC for all consulting, legal and other out of pocket expenses related to the investment and due diligence upon closing of the offering, subject to a maximum payment of
$30,000. 
 8.10 Further Assurances. The parties agree to execute and deliver all such further documents, agreements and
instruments and take such other and further action as may be necessary or appropriate to carry out the purposes and intent of this Agreement. 
 8.11 Counterparts. This Agreement may be executed in two or more counterparts, each of which shall constitute an original, but all of which, when taken together, shall constitute but one
instrument, and shall become effective when one or more counterparts have been signed by each party hereto and delivered to the other party. Facsimile signatures shall be deemed originals for all purposes hereunder. 
 8.12 Independent Nature of Purchasers’ Obligations and Rights. The obligations of each Purchaser under this Agreement are
several and not joint with obligations of each other Purchaser, and no Purchaser shall be responsible in any way for the performance of the obligations of any other Purchaser under this Agreement. Nothing contained herein or in any ancillary
document, and no action taken by any Purchaser pursuant thereto, shall be deemed to constitute the Purchasers as a 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

  

 17 

 
concert or as a group with respect to such obligations or the transactions contemplated by the Agreement. Each Purchaser acknowledges that no other Purchaser will be acting as agent of such
Purchaser in enforcing its rights under this Agreement. Each Purchaser shall be entitled to independently protect and enforce its rights, including without limitation the rights arising out of this Purchaser, and it shall not be necessary for any
other Purchaser to be joined as an additional party in any proceeding for such purpose. 
 8.13 Waiver of Conflicts. Each
party to this Agreement acknowledges that Wilson Sonsini Goodrich & Rosati, P.C., counsel for the Company, has in the past performed and may continue to perform legal services for certain of the Purchasers in matters unrelated to the
transactions described in this Agreement, including the representation of such Purchasers in equity and other investments, including venture capital financings, and other matters. Accordingly, each party to this Agreement hereby
(a) acknowledges that they have had an opportunity to ask for information relevant to this disclosure; and (b) gives its informed consent to Wilson Sonsini Goodrich & Rosati’s representation of certain of the Purchasers in
such unrelated matters and to Wilson Sonsini Goodrich & Rosati’s representation of the Company in connection with this Agreement and the transactions contemplated hereby. 
 [Signature pages follows] 
  

 18 

 This Securities Purchase Agreement is hereby confirmed and accepted by the Company as of
January 7, 2010. 
  

			
	SOLTA MEDICAL, INC.
		
	By:	 	  

	Name: Stephen J. Fanning
	Title: Chairman, CEO & President

  

 19 

 PURCHASERS: 
 U.S. $ 
 Total Purchase Price 
 (U.S. $2.02 per Share) 
 Number of Shares:
                     
 Number of
Underlying Shares:                      
  

			
	By:	 	  

		 	   (signature)

			
		
	Name:	 	  

		 	(printed name)
		
	Title:	 	Managing Member

			
		
	Address:	 	  

			
	  

	  

	Facsimile No:	 	  

			
	E-mail Address:	 	  

 Exhibit A 
 Form of Warrant 
 [see Exhibit 4.2] 

 

 EXH. A-1 

 Exhibit B 
 Registration Rights Agreement 
 [see Exhibit 4.1]

  

 EXH. B-1 

 Exhibit C 
 PURCHASER SUITABILITY QUESTIONNAIRE 
 FOR

 SOLTA MEDICAL, INC. 
 This questionnaire is delivered by the undersigned in connection with the undersigned’s offer to purchase shares of common stock (the “Shares”) of Solta Medical, Inc., a Delaware
corporation (the “Company”). The undersigned agrees that the Company, Morgan Keegan & Company, Inc., which is acting as placement agent for the Company (the “Placement Agent”), and their respective counsel may rely on
the information herein in determining whether to accept such offer. 
 The undersigned agrees to notify the Company and the
Placement Agent immediately of any material change in any of the information contained herein, or otherwise provided by the undersigned in connection with the offer and sale of the Shares, prior to the closing and sale of any Shares to the
undersigned. 
 The information contained herein is for the sole use of, and will be held in confidence by, the Company, the
Placement Agent and their counsel; however, the information may be furnished to such parties as the Company, the Placement Agent or their counsel deem desirable to establish compliance with Federal and state securities laws. 
 INSTRUCTIONS 
 All Prospective Purchasers 
 Type or print (in ink) the information requested and attach additional sheets if
necessary. 
 Persons Making Investment Decision on Behalf of Prospective Purchasers 
 Each person making an investment decision to purchase the Shares on behalf of another person must complete and execute an additional
counterpart of this Purchaser Suitability Questionnaire with respect to himself. 
 Prospective Purchasers Other than
Individuals 
 If requested, each prospective purchaser that is a corporation, partnership, trust, estate or other entity
should be prepared to provide evidence of its organizational status (e.g., certificate of incorporation, partnership or trust agreement or letters testamentary) and an authorizing resolution in connection with its purchase of Shares. 
  

 EXH. C-1 

 I. GENERAL INFORMATION 
 Please provide the following information: 
  

	A.	All Individuals: 

 PERSONAL 
  

									
	1.	  	Name:
		
		  	  

		
	2.	  	Address of principal residence:
		
		  	  

		
		  	  

		
	3.	  	Mailing address (if different from above):
		
		  	  

		
		  	  

				
	4.	  	Telephone: (            )	  	  
	  	5. Fax: (             )
                                        

				
	6.	  	Date of birth:	  	  
	  	7. Citizenship:
                                         
               
					
	8.	  	College:	  	  
	  	Degree:
                            	  	Year:
                            
					
	9.	  	Graduate:	  	  
	  	Degree:
                            	  	Year:
                            
			
	10.	  	Other education:	  	  

			
	11.	  	Social Security or taxpayer identification no.:	  	  

					
	12.	  	Are you married?	  	Yes
                                	  	No
                                	  	
		
	13.	  	Are you purchasing the Shares as an agent, nominee or otherwise on behalf of another person?
		  		  	Yes
                                	  	No
                                	  	

  

 - 2 - 

									
	14.	  	Are you:
			
		  	(a)	  	 a broker or dealer registered pursuant to the Securities Exchange Act of 1934, as
amended?        
 Yes
                    
                    No
                    

			
		  	(b)	  	an affiliate of a broker or dealer registered pursuant to the Securities Exchange Act of 1934, as amended?        Yes
                    
                    No
                    
			
		  		  	If yes,: 
				
		  		  	(i)	  	are you purchasing Shares in the ordinary course of business?
				
		  		  		  	Yes                     
                    No
                    
				
		  		  	(ii)	  	do you have any arrangements or understandings with any person to distribute the Shares?
				
		  		  		  	Yes                     
                    No
                    
		
	15.	  	Employment/business affiliation (name of firm):
		
		  	  

		
	16.	  	Address of place of business:
		
		  	  

		
		  	  

		
	17.	  	Address of principal office (if different from above):
		
		  	  

		
		  	  

			
	18.	  	Business Telephone: (            )
                    	  	19. Fax: (            )
                    
		
	20.	  	Nature of business:
                                         
                                         
                                         
                                         
                
		
	21.	  	Position and duties:
                                         
                                         
                                         
                                         
               
		
		  	  

  

 - 3 - 

			
	22.	  	Any prior occupations or duties during past five years:
		
		  	  

		
		  	  

		
		  	  

 OTHER PURCHASERS 
 If Shares will be held in the name of two or more individuals, provide the following information for each other beneficial owner (attach
additional pages if necessary): 
  

					
		  	23.	  	Name of other investor: ___________________________________________________________________
			
		  	24.	  	Relationship to purchaser: ___________________________________________________
			
		  	25.	  	Address of principal residence:______________________________________________
			
		  		  	  

			
		  	26.	  	Mailing address (if different from above):
			
		  		  	  

			
		  		  	  

			
		  	27.	  	Type of ownership interest (not applicable to partners in partnerships):
			
		  		  	Joint Tenants with Right of Survivorship
			
		  		  	Tenants in Common
			
		  		  	Tenants by the Entireties

  

	B.	Corporations, Partnerships, Trusts, Estates or Other Entities Only: 

  

					
		  	1.	  	Name:
			
		  		  	  

			
		  	2.	  	Address of principal place of business:
			
		  		  	  

  

 - 4 - 

							
	3.	  	Mailing address (if different from above):
		
		  	  

		
		  	  

			
	4.	  	Telephone: (            )
                    	  	5.        Fax: (            )
                    
			
	6.	  	Type of entity:	  	  

			
	7.	  	Jurisdiction of formation or organization:	  	  

			
	8.	  	Date of formation or organization:	  	  

			
	9.	  	Taxpayer identification number:	  	  

			
	10.	  	Purpose:	  	  

		
		  	  

		
		  	  

		
	11.	  	Are you purchasing Shares as an agent, nominee or otherwise on behalf of another person?
		
		  	Yes                  No              
		
	12.	  	Are you:

							
			
		  	(a)	  	a broker or dealer registered pursuant to the Securities Exchange Act of 1934, as amended?
			
		  		  	Yes                              No       
       
			
		  	(b)	  	an affiliate of a broker or dealer registered pursuant to the Securities Exchange Act of 1934, as amended?
			
		  		  	Yes                              No       
       
			
		  		  	If yes,:
				
		  		  	(i)	  	are you purchasing Shares in the ordinary course of business?
				
		  		  		  	Yes                              No       
       
				
		  		  	(ii)	  	do you have any arrangements or understandings with any person to distribute the Shares?
				
		  		  		  	Yes                              No       
       

  

 - 5 - 

	C.	Trust Only: 

  

					
	1.	  	May the trust be amended or revoked at any time by the grantor?
			
		  	Yes
                            No
            	  	
		
	2.	  	Will the assents of the trust revert to the grantor upon revocation?
			
		  	Yes
                            No
            	  	
		
	3.	  	Special Instructions: If you answered “Yes” to either C.1 or C.2, the grantor must complete the balance of and execute this Purchaser
Suitability Questionnaire. If you answered “No” to both C.1 and C.2, all persons named in the trust agreement as having decision-making power must complete and execute a counterpart of this Purchaser Suitability
Questionnaire.

  

 - 6 - 

 II. ACCREDITED INVESTOR STATUS 
 The undersigned represents that the undersigned is an “accredited investor” as indicated by the check below in any statement that
is applicable to me. 
  

	A.	Individuals Only: 

  

							
		 	                  

	 	1.    	  	My individual net worth, or joint net worth with that of my spouse, exceeds U.S. $1,000,000.
				
		 		 		  	As used herein, the term “net worth” means the excess of total assets (including home, home furnishings and automobiles) at fair market value over total liabilities.
When determining net worth, your principal residence must be valued at either (a) cost, including the cost of improvements, net of current encumbrances, or (b) the fair market value of the property.
				
		 	                  

	 	2.	  	 I had an individual income in excess of U.S. $200,000 in each of the two most recent years, and I reasonably expect to have an
individual income in excess of U.S. $200,000 in the current year.
  
 As
used herein, the term “individual income” means adjusted gross income, as reported for federal income tax purposes, minus any income attributable to a spouse or to property owned by a spouse, if any, plus the following amounts (but not
including any amounts attributable to a spouse or to property owned by a spouse, if any): (a) the amount of any tax-exempt interest income received, (b) the amount of losses claimed as a limited partner in a limited partnership,
(c) any deduction claimed for depletion, (d) deductions for alimony paid and (e) amounts contributed to an individual retirement account or Keogh retirement plan.

				
		 	  
	 	3.	  	 I had a joint income with my spouse in excess of U.S. $300,000 in each of the two most recent years, and I reasonably expect to have
a joint income in excess of U.S. $300,000 in the current year.
  
 As used
herein, the term “joint income” means adjusted gross income, as reported for federal income tax purposes, plus any income attributable to a spouse or to property owned by a spouse, if any, plus the following amounts (including any amounts
attributable to a spouse or to property owned by a spouse, if any): (a) the amount of any tax-exempt interest income received, (b) the amount of losses claimed as a limited partner in a limited partnership, (c) any deduction
claimed for depletion, (d) deductions for alimony paid and (e) amounts contributed to an individual retirement account or Keogh retirement plan.

				
		 	  
	 	4.	  	I am a broker or dealer registered pursuant to the Securities Exchange Act of 1934, as amended (the “Exchange Act”).
				
		 	  
	 	5.	  	I am a director or executive officer of the Company.

  

 - 7 - 

	B.	For Corporations, Partnerships, Trusts, Estates or Other Entities Only: 

  

											
		 	                  

	 		 	1.    	  	The undersigned is a bank as defined in Section 3(a)(2) of the Securities Act of 1933, as amended (the “Securities Act”), whether acting in its individual
or a fiduciary capacity.
					
		 	  
	 		 	2.	  	The undersigned is a savings and loan association or other institution as defined in Section 3(a)(5)(A) of the Securities Act, whether acting in its individual or a
fiduciary capacity.
					
		 	  
	 		 	3.	  	The undersigned is a broker or dealer registered pursuant to Section 15 of the Exchange Act.
					
		 	  
	 		 	4.	  	The undersigned is an insurance company as defined in Section 2(13) of the Securities Act.
					
		 	  
	 		 	5.	  	The undersigned is an investment company registered under the Investment Company Act of 1940, as amended (the “1940 Act”).
					
		 	  
	 		 	6.	  	The undersigned is a business development company as defined in Section 2(a)(48) of the 1940 Act.
					
		 	  
	 		 	7.	  	The undersigned is 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, as amended.
					
		 	  
	 		 	8.	  	The undersigned is 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, that has total assets in excess of U.S. $5,000,000.
					
		 	  
	 		 	9.	  	The undersigned is an employee benefit plan within the meaning of the Employee Retirement Income Security Act of 1974, as amended (“ERISA”), if either
(check the applicable statement):
						
		 		 		 		  	 (a)    
	  	the investment decision is made by a plan fiduciary as defined in Section 3(21) of ERISA, which is either a bank, savings and loan association, insurance company or registered
investment adviser;
						
		 		 		 		  	 (b)    
	  	the employee benefit plan has total assets in excess of U.S.$5,000,000; or
						
		 		 		 		  	 (c)    
	  	the employee benefit plan is a self-directed plan, with investment decisions made solely by persons that are “accredited investors” according to their answers to this
Purchaser Suitability Questionnaire.
					
		 	  
	 		 	10.	  	The undersigned is a private business development company as defined in Section 202(a)(22) of the Investment Advisors Act of 1940, as amended.

  

 - 8 - 

									
				
		 	                  

	 	11.	  	The undersigned was not formed, organized or reorganized for the specific purpose of acquiring Shares, has total assets in excess of U.S. $5,000,000, and is one of
the following (check the applicable category):
					
		 		 		  	(a)	  	a corporation;
					
		 		 		  	(b)	  	an organization described in Section 501(c)(3) of the Internal Revenue Code of 1986, as amended;
					
		 		 		  	(c)	  	a Massachusetts or similar business trust; or
					
		 		 		  	(d)	  	a partnership.
				
		 	  
	 	12.	  	The undersigned is a trust (a) with total assets in excess of U.S. $5,000,000, (b) that was not formed, organized or reorganized for the specific purpose of acquiring
Shares, and (c) whose acceptance of Shares, is directed by a person who has such knowledge and experience in financial and business matters that he is capable of evaluating the merits and risks of the prospective investment.
				
		 	  
	 	13.	  	All equity owners of the undersigned are “accredited investors” under Regulation D as promulgated under the Securities Act based on the categories listed in
this Purchaser Suitability Questionnaire.

 III. INVESTOR KNOWLEDGE AND EXPERIENCE 
  

	 	1.	Do you have such knowledge and experience in financial and business matters that you are capable of evaluating the merits and risks of your prospective purchase of the
Shares? 

 Yes                      No              

 If you answered “Yes,” describe the basis for your knowledge and experience (attach additional pages if
necessary): 

	
	  
 
	  
 
	  

  

 - 9 - 

 IV. SIGNATURE(S) AND DATE 
 For Individuals Only: 
  

	
	  

	 Signature of Purchaser

	
	  

	 Printed name of Purchaser

	
	  

	 Signature of joint Purchaser, if applicable

	
	  

	Printed name of joint Purchaser, if applicable

 Date:                     , 2009 
 For Corporations, Partnerships, Trusts, Estates or Other Entities Only: 
  

			
	  

	Printed name of entity
		
	By:	 	  

			
	Name:	 	  

	Title:	 	  

 Date:                     , 2009 
  

 - 10 - 

 Exhibit D 
 Opinion of Company Counsel 
 1. The Company is a
corporation duly incorporated, validly existing and in good standing under the laws of the State of Delaware, with authority to own, lease and operate its properties and conduct its business as described in the SEC Documents, to execute and deliver
the Transaction Agreements and to perform its obligations thereunder, including, without limitation, to issue, sell and deliver the Shares as contemplated by the Purchase Agreement. The Company is duly qualified to transact business as a foreign
corporation and to own, lease and operate its properties in the State of California. 
 2. Each of the Company’s
subsidiaries is a corporation or limited liability company duly organized, validly existing and in good standing under the laws of their respective states of organization, with authority to own, lease and operate its properties and conduct its
business as described in the SEC Documents. Each of the Company’s subsidiaries is duly qualified to transact business as a foreign corporation and to own, lease and operate its properties in the State of California. 
 3. The Agreement has been duly authorized, executed and delivered by the Company and constitutes the legal, valid and binding obligation of
the Company. 
 4. The Shares and the Warrants have been duly authorized and, upon delivery to the Purchaser against payment
therefor in accordance with the terms of the Agreement, will be validly issued, fully paid and nonassessable; and the issuance of the Shares is not subject to preemptive or similar rights. The Underlying Shares have been duly authorized and, upon
delivery against payment therefor in accordance with the terms of the Warrants, will be validly issued, fully paid and nonassessable; and the issuance of the Underlying Shares is not subject to preemptive or similar rights. 
 5. The Company has an authorized and outstanding capitalization as set forth in the SEC Documents as of the date set forth therein.

 6. The execution and delivery of the Transaction Agreements, the issuance, sale and delivery of the Securities to be sold by
the Company under the Agreement and the Warrants, the performance by the Company of its obligations under the Transaction Agreements and/or the consummation of the transactions contemplated thereby will not (a) conflict with, result in the
breach or violation of, or constitute (with or without the giving of notice or the passage of time or both) a violation of, or default under, (i) any material bond, debenture, note or other evidence of indebtedness, or under any material lease,
license, franchise, permit, indenture, mortgage, deed of trust, loan agreement, joint venture or other agreement or instrument to which the Company is a party or by which it or its properties may be bound or affected, (ii) the Certificate of
Incorporation or Bylaws of the Company, as amended to date or (iii) conflict with, result in the breach or violation of, or constitute (with or without the giving of notice or the passage of time or both) a violation of, or default under any
statute or law, judgment, decree, rule, regulation, ordinance or order of any court or governmental or regulatory body (including the Nasdaq Stock Market), governmental agency, arbitration panel or authority applicable to the Company, any of its
subsidiaries or their respective properties, except in the case of clauses (i) and (iii) for such conflicts, breaches, violations or defaults that would not be likely to have, individually or in the aggregate, a Material Adverse Effect, or
(b) result in the creation or imposition of any lien, encumbrance, claim, security interest or restriction whatsoever upon any of the material properties or assets of the Company or any of its subsidiaries or an acceleration of indebtedness
pursuant to any obligation, agreement or condition contained in any material bond, debenture, note or any other evidence of indebtedness or any material indenture, mortgage, deed of trust or any other agreement or instrument to which the Company or
any if its subsidiaries is a party or by which the Company or any of its subsidiaries is bound or to which any of the property or assets of the Company is subject. 
  

 EXH. D-1 

 7. The capital stock of the Company, including the Shares, conform in all material respects
to the description thereof contained under the Company’s Form 8-A filed with the SEC. 
 8. Other than the filing of a
Form D in accordance with Regulation D under the Securities Act (and except for state securities laws, as to which we express no opinion), no authorization, approval or consent of any court or governmental authority or agency or filing
with any federal, state or local government or regulatory commission, board, authority or agency, or with any self-regulatory organization or other non-governmental regulatory authority (including, without limitation, Nasdaq), or approval of the
stockholders of the Company, is required in connection with the offering and sale of the Shares to the Purchasers. 
 9. Subject
to the accuracy of the Purchaser’s representations in the Agreement, the offering and sale of the Shares to the Purchaser are exempt from the registration requirements of the Act. 
 10. The Company is not, and immediately after receipt of payment for the Securities will not be, an “investment company,” an
“affiliated person” of, “promoter” for or “principal underwriter” for, or an entity “controlled” by an “investment company,” within the meaning of the Investment Company Act of 1940, as amended, or
the rules and regulations promulgated thereunder. 
 11. To our knowledge, there are no rights to have securities of the Company
registered under the Registration Statement contemplated by the Purchase Agreement which have not been waived by the holders of such rights or which have not expired by reason of lapse of time or otherwise. 
 For purposes of this exhibit, at the Closing, counsel to the Company shall also include a negative assurance to the following effect: 
 We advise you that to our knowledge, except as set forth in the SEC Documents (i) the Company is not a party to any legal or governmental action or
proceeding that challenges the validity or enforceability, or seeks to enjoin the performance, of the Agreement; and (ii) there are no lawsuits pending against the Company nor, to our knowledge, has the Company received any written threat
thereof, except in the case of clause (ii) for such lawsuits that the Company has informed us would not be likely to have, individually or in the aggregate, a Material Adverse Effect. We note that we have not conducted a docket search in any
jurisdiction with respect to lawsuits that may be pending against the Company. 
  

 EXH. D-2Securities Purchase Agreement

 Exhibit 10.1 
 SECURITIES PURCHASE AGREEMENT 
 This Securities
Purchase Agreement (this “Agreement”) is dated as of November 17, 2009 among Certified Diabetic Services, Inc., a Delaware corporation (the “Company”), and Vicis Capital Master Fund, a sub-trust of Vicis
Capital Series Master Trust, a unit trust organized and existing under the laws of the Cayman Islands (the “Purchaser”). 
 WHEREAS, subject to the terms and conditions set forth in this Agreement and pursuant to Section 4(2) of the Securities Act of 1933, as amended (the “Securities Act”) and Rule 506 promulgated thereunder, the Company
desires to issue and sell to Purchaser, and Purchaser desires to purchase from the Company, securities of the Company as more fully described in this Agreement. 
 NOW, THEREFORE, IN CONSIDERATION of the mutual covenants contained in this Agreement, and for other good and valuable consideration the receipt and adequacy of which are hereby acknowledged, the Company
and Purchaser agree as follows: 
 ARTICLE I 
 DEFINITIONS 
 1.1 Definitions. In addition to the terms defined
elsewhere in this Agreement: (a) capitalized terms that are not otherwise defined herein have the meanings given to such terms in the Series E Designations (as defined herein), and (b) the following terms have the meanings indicated in
this Section 1.1: 
 “Affiliate” means any Person that, directly or indirectly
through one (1) or more intermediaries, controls or is controlled by or is under common control with a Person, as such terms are used in and construed under Rule 144 under the Securities Act. With respect to a Purchaser, any investment fund or
managed account that is managed on a discretionary basis by the same investment manager as such Purchaser will be deemed to be an Affiliate of such Purchaser. 
 “Amended and Restated Registration Rights Agreement” means the Amended and Restated Registration Rights
Agreement, dated June 26, 2008, among the Company, the Purchaser, and Midtown Partners & Co., LLC (as amended, modified or supplemented from time to time, including as amended by the First Amendment to the Amended and Restated
Registration Rights Agreement). 
 “Business Day” means any day except Saturday, Sunday, any day
which shall be a federal legal holiday in the United States or any day on which banking institutions in the State of New York are authorized or required by law or other governmental action to close. 
 “Closing” means the closing of the purchase and sale of the Securities pursuant to Section 2.1.

 “Closing Date” means the Trading Day when all of the
Transaction Documents have been executed and delivered by the applicable parties thereto, and all conditions precedent to (i) the Purchasers’ obligations to pay the Subscription Amount and (ii) the Company’s obligations to
deliver the Securities have been satisfied or waived. 
 “Commission” means the Securities and
Exchange Commission. 
 “Common Stock” means the common stock of the Company, par value $.001
per share, and any other class of securities into which such securities may hereafter be reclassified or changed into. 
 “Common Stock Equivalents” means any securities of the Company or the Subsidiaries which would entitle the holder thereof to acquire at any time Common Stock, including, without limitation, any debt, preferred stock,
rights, options, warrants or other instrument that is at any time convertible into or exercisable or exchangeable for, or otherwise entitles the holder thereof to receive, Common Stock. 
 “Disclosure Schedules” shall have the meaning ascribed to such term in Section 3.1. 
 “Exchange Act” means the Securities Exchange Act of 1934, as amended, and the rules and regulations
promulgated thereunder. 
 “Exempt Issuance” means: (a) shares of Common Stock or options
to purchase Common Stock issued to employees, officers, directors or consultants of the Company pursuant to any stock or option plan duly adopted by a majority of the non-employee members of the Board of Directors of the Company or a majority of the
members of a committee of non-employee directors established for such purpose, (b) securities issued upon the exercise or exchange of or conversion of any Securities issued hereunder and/or other securities (including the stock rights set forth
on Schedule 3.1(g)) exercisable or exchangeable for or convertible into shares of Common Stock issued and outstanding on the date of this Agreement, provided that, unless set forth on Schedule 3.1(g), such securities have not been
amended since the date of this Agreement to increase the number of such securities or to decrease the exercise, exchange or conversion price of any such securities, (c) shares of Common Stock issued or deemed issued as a dividend or
distribution on the Series E Convertible Preferred Stock, and/ or other securities issued and outstanding on the date of this Agreement, provided that such stock dividend or distribution shall be issued pursuant to the terms of such other securities
as of the date of this Agreement, (d) securities issued pursuant to acquisitions or strategic transactions approved by a majority of the directors, provided that any such issuance shall only be to a Person which is, itself or through its
subsidiaries, an operating company in a business synergistic with the business of the Company, as determined by a majority of the directors, and in which the Company receives benefits in addition to the investment of funds, but shall not include a
transaction in which the Company is issuing securities primarily for the purpose of raising capital or to an entity whose primary business is investing in securities, and (e) securities sold in connection with a firm commitment underwritten
public offering of shares of Common Stock that is intended, pursuant to the Company’s Board of Directors resolution, to produce minimum proceeds (after payment of underwriter’s fees and commissions) of not less than $30,000,000.

 “First Amendment to Amended and Restated Registration Rights
Agreement” means the First Amendment to the Amended and Restated Registration Rights Agreement, dated the date hereof, among the Company and the Purchaser, in the form of Exhibit A attached hereto. 
 “Liens” means a lien, charge, security interest, encumbrance, right of first refusal, preemptive right or
other restriction. 
 “Material Adverse Effect” shall have the meaning assigned to such term in
Section 3.1(b). 
 “Person” means an individual or corporation, partnership, trust,
incorporated or unincorporated association, joint venture, limited liability company, joint stock company, government (or an agency or subdivision thereof) or other entity of any kind. 
 “Proceeding” means an action, claim, suit, investigation or proceeding (including, without limitation, an
investigation or partial proceeding, such as a deposition), whether commenced or threatened. 
 “Registration Statement” means a registration statement meeting the requirements set forth in the Registration Rights Agreement and covering the resale of the Underlying Shares by Purchaser as provided for in the Amended
and Restated Registration Rights Agreement. 
 “Required Approvals” shall have the meaning
ascribed to such term in Section 3.1(e). 
 “Required Minimum” means, as of any date, 100%
of the maximum aggregate number of shares of Common Stock then issued or potentially issuable in the future pursuant to the Transaction Documents, including any Underlying Shares issuable upon exercise or conversion in full of all Warrants and
Series E Preferred Stock (including a reasonable reserve for Underlying Shares issuable as payment of dividends), ignoring any conversion or exercise limits set forth therein. 
 “Rule 144” means Rule 144 promulgated by the Commission pursuant to the Securities Act, as such rule may be
amended from time to time, or any similar rule or regulation hereafter adopted by the Commission having substantially the same effect as such Rule. 
 “Securities” means the Series E Preferred Stock, the Warrants, the Warrant Shares and the Underlying Shares. 
 “Securities Act” means the Securities Act of 1933, as amended, and the rules and regulations promulgated
hereunder. 

 “Series E Conversion Price” shall have the meaning ascribed
to such term in the Series E Designations. 
 “Series E Convertible Preferred Stock” means the
Series E Convertible Preferred Stock of the Company and such designations, preferences and limitations as are set forth in the Series E Designations. 
 “Series E Designations” means the Amended and Restated Certificate of Designation, Preferences and Rights of Series E Convertible Preferred Stock filed with the State of Delaware on
November 17, 2009. 
 “Series 5 Warrant” means the Series 5 Common Stock Purchase Warrant,
in the form of Exhibit B attached hereto, delivered to the Purchasers at the Closing in accordance with Section 2.2(a) hereof, which Warrants shall be exercisable immediately and have a term of exercise equal to three
(3) years. 
 “Series 6 Warrant” means the Series 6 Common Stock Purchase Warrant, in the
form of Exhibit C attached hereto, delivered to the Purchasers at the Closing in accordance with Section 2.2(a) hereof, which Warrants shall be exercisable immediately and have a term of exercise equal to five (5) years.

 “Short Sales” shall include all “short sales” as defined in Rule 200 of Regulation
SHO under the Exchange Act (but shall not be deemed to include the location and/or reservation of borrowable shares of Common Stock). 
 “Subsidiary” means any subsidiary of the Company as set forth on Schedule 3.1(a). 
 “Trading Day” means a day on which the Common Stock is traded on a Trading Market. 
 “Trading Market” means the following markets or exchanges on which the Common Stock is listed or quoted for trading on the date in question: the Nasdaq Capital Market, the American Stock
Exchange, the New York Stock Exchange, the Nasdaq National Market, the OTC Bulletin Board, or “Pink Sheets” published by Pink Sheets, LLC (or a similar organization or agency succeeding to its functions of reporting prices). 
 “Transaction Documents” means this Agreement, the Series E Designations, the Warrants, the First Amendment
to the Amended and Restated Registration Rights Agreement, and any other documents or agreements executed in connection with the transactions contemplated hereunder. 
 “Underlying Shares” means the shares of Common Stock issued and issuable upon conversion or redemption of
the Series E Preferred Stock and upon exercise of the Warrants and issued and issuable in lieu of the cash payment of dividends on the Series E Preferred Stock in accordance with the terms of the Series E Preferred Stock. 

 “VWAP” of a share of Common Stock as of a particular date
(the “Determination Date”) shall mean the price determined by the first of the following clauses that applies: (a) if shares of Common Stock are traded on a national securities exchange (an “Exchange”), the weighted average
of the closing sale price of a share of the Common Stock of the Company on the last five (5) Trading Days prior to the Determination Date reported on such Exchange as reported in The Wall Street Journal (weighted with respect to the trading
volume with respect to each such day); (b) if shares of Common Stock are not traded on an Exchange but trade in the over-the-counter market and such shares are quoted on the National Association of Securities Dealers Automated Quotations System
(“NASDAQ”), the weighted average of the closing sale price of a share of the Common Stock of the Company on the last five (5) Trading Days prior to the Determination Date reported on NASDAQ as reported in The Wall Street Journal
(weighted with respect to the trading volume with respect to each such day); (c) if such shares are an issue for which last sale prices are not reported on NASDAQ, the average of the closing sale price, in each case on the last five
(5) Trading Days (or if the relevant price or quotation did not exist on any of such days, the relevant price or quotation on the next preceding Business Day on which there was such a price or quotation) prior to the Determination Date as
reported by the Over the Counter Bulletin Board (the “OTCBB”), or any other successor organization; (d) if no closing sales price is reported for the Common Stock by the OTCBB or any other successor organization for such day, the
average of the closing sale price, in each case on the last five (5) Trading Days (or if the relevant price or quotation did not exist on any of such days, the relevant price or quotation on the next preceding business day on which there was
such a price or quotation) prior to the Determination Date as reported by the “pink sheets” by the Pink Sheets, LLC, or any successor organization, (e) if no closing sales price is reported for the Common Stock by the OTCBB or any
other successor organization for such day, then the average of the high and low bid and asked price of any of the market makers for the Common Stock as reported on the OTCBB or in the “pink sheets” by the Pink Sheets, LLC on the last five
(5) Trading Days; or (e) in all other cases, the fair market value of a share of Common Stock as determined by an independent appraiser selected in good faith by the holder and reasonably acceptable to the Company. 
 “Warrants” means the Series 5 Warrants and the Series 6 Warrants. 
 “Warrant Shares” means the shares of Common Stock issuable upon exercise of the Warrants. 
 ARTICLE II 
 PURCHASE AND SALE 
 2.1 Closing. On the Closing Date, upon the terms and subject to the conditions set
forth herein, concurrent with the execution and delivery of this Agreement by the parties hereto, the Purchaser agrees to purchase, and the Company agrees to sell, Series E Convertible Preferred Stock having a Stated Value of $550,000, along with
the Series 5 and Series 6 Warrants (as referred to in Section 2.2(a) below) for a purchase price of $550,000 (the “Purchase Price”). The Purchaser shall deliver via wire transfer or a certified check immediately
available funds equal to the Purchase Price and the Company shall deliver to the Purchaser the Series E Preferred Stock

 
and the Series 5 and Series 6 Warrants and the other items set forth in Section 2.2 issuable at the Closing. Upon satisfaction of the conditions set forth in Sections 2.2 and
2.3, the Closing shall occur at the offices of the Company’s counsel, Bush Ross, P.A., 1801 North Highland Avenue, Tampa, Florida 33602, or such other location as the parties shall mutually agree. 
 2.2 Deliveries. 
 (a) On the Closing Date, the Company shall deliver or cause to be delivered to the Purchaser the following: 
 (i) this Agreement duly executed by the Company; 
 (ii) a
certificate for the Series E Preferred Stock having a Stated Value of $550,000; 
 (iii) a Series 5 Warrant to
purchase 5,500,0000 shares of Common Stock, with an exercise price equal to $0.10, subject to adjustment therein, with a term of exercise of three (3) years; 
 (iv) a Series 6 Warrant to purchase 5,500,0000 shares of Common Stock, with an exercise price equal to $0.15, subject to
adjustment therein, with a term of exercise of five (5) years; and 
 (v) the First Amendment to the Amended
and Restated Registration Rights Agreement duly executed by the Company. 
 (b) On the Closing Date, the
Purchaser shall deliver or cause to be delivered to the Company the following: 
 (i) this Agreement duly
executed by such Purchaser; 
 (ii) the Purchase Price by wire transfer to the account as specified in writing by
the Company; and 
 (iii) the First Amendment to the Amended and Restated Registration Rights Agreement duly
executed by such Purchaser. 
 2.3 Closing Conditions. 
 (a) The obligations of the Company hereunder in connection with the Closing are subject to the following conditions being
met: 
 (i) the accuracy in all material respects when made and on the Closing Date of the representations and
warranties of the Purchaser contained herein; 
 (ii) all obligations, covenants and agreements of the Purchaser
required to be performed at or prior to the Closing Date shall have been performed; and 

 (iii) the delivery by the Purchaser of the items set forth in
Section 2.2(b) of this Agreement. 
 (b) The obligations of the Purchaser hereunder in connection
with the Closing are subject to the following conditions being met: 
 (i) the accuracy in all material respects
on the Closing Date of the representations and warranties of the Company contained herein; 
 (ii) all
obligations, covenants and agreements of the Company required to be performed at or prior to the Closing Date shall have been performed; 
 (iii) the delivery by the Company of the items set forth in Section 2.2(a) of this Agreement; and 
 (iv) there shall have been no Material Adverse Effect with respect to the Company since the date of the Interim Balance Sheet. 
 ARTICLE III 
 REPRESENTATIONS AND WARRANTIES 
 3.1 Representations and Warranties of the Company. Except as set forth under the corresponding section of the disclosure schedules
delivered to the Purchasers concurrently herewith (the “Disclosure Schedules”) which Disclosure Schedules shall be deemed a part hereof and to qualify any representation or warranty otherwise made herein to the extent of such
disclosure, the Company hereby makes the representations and warranties set forth below to Purchaser. 
 (a)
Subsidiaries. All of the direct and indirect subsidiaries of the Company are set forth on Schedule 3.1(a). The Company owns, directly or indirectly, all of the capital stock or other equity interests of each Subsidiary free and clear
of any Liens, and all the issued and outstanding shares of capital stock of each Subsidiary are validly issued and are fully paid, non-assessable and free of preemptive and similar rights to subscribe for or purchase securities. If the Company has
no Subsidiaries, then all other references in the Transaction Documents to the Subsidiaries or any of them will be disregarded. 
 (b) Organization and Qualification. The Company and each of the Subsidiaries is an entity duly incorporated or otherwise organized, validly existing and in good standing under the laws of the
jurisdiction of its incorporation or organization (as applicable), with the requisite corporate power and authority to own and use its properties and assets and to carry on its business as currently conducted. Neither the Company nor any Subsidiary
is in violation or default of any of the provisions of its respective certificate or articles of incorporation, bylaws or other organizational or charter documents. The Company and each of the Subsidiaries is duly qualified to conduct business and
is in good standing as a foreign corporation or other entity in each jurisdiction in which the nature of the business conducted or property owned by it makes such qualification necessary, except where the failure to be so qualified or in good
standing, as the case may be, could not have or reasonably be expected to result in (i) a

 
material adverse effect on the legality, validity or enforceability of any Transaction Document, (ii) a material adverse effect on the results of operations, assets, business, prospects or
condition (financial or otherwise) of the Company and the Subsidiaries, taken as a whole, or (iii) a material adverse effect on the Company’s ability to perform in any material respect on a timely basis its obligations under any
Transaction Document (any of (i), (ii) or (iii), a “Material Adverse Effect”) and no Proceeding has been instituted in any such jurisdiction revoking, limiting or curtailing or seeking to revoke, limit or curtail such corporate
power and authority or qualification. 
 (c) Authorization; Enforcement. The Company has the requisite
corporate power and authority to enter into and to consummate the transactions contemplated by each of the Transaction Documents and otherwise to carry out its obligations hereunder and thereunder. The execution and delivery of each of the
Transaction Documents by the Company and the consummation by it of the transactions contemplated hereby and thereby have been duly authorized by all necessary corporate action on the part of the Company and no further action is required by the
Company, its board of directors or its stockholders in connection therewith other than in connection with the Required Approvals. Each Transaction Document has been (or upon delivery will have been) duly executed by the Company and, when delivered
in accordance with the terms hereof and thereof, will constitute the valid and binding obligation of the Company enforceable against the Company in accordance with its terms except (i) as limited by general equitable principles and applicable
bankruptcy, insolvency, reorganization, moratorium and other laws of general application affecting enforcement of creditors’ rights generally, (ii) as limited by laws relating to the availability of specific performance, injunctive relief
or other equitable remedies and (iii) insofar as indemnification and contribution provisions may be limited by applicable law. 
 (d) No Conflicts. The execution, delivery and performance of the Transaction Documents by the Company and the consummation by the Company of the other transactions contemplated hereby and thereby
do not and will not: (i) subject to the Required Approvals, conflict with or violate any provision of the Company’s or any Subsidiary’s certificate or articles of incorporation, bylaws or other organizational or charter documents, or
(ii) subject to the Required Approvals, conflict with, or constitute a default (or an event that with notice or lapse of time or both would become a default) under, result in the creation of any Lien upon any of the properties or assets of the
Company or any Subsidiary, or give to others any rights of termination, amendment, acceleration or cancellation (with or without notice, lapse of time or both) of, any agreement, credit facility, debt or other instrument (evidencing a Company or
Subsidiary debt or otherwise) or other understanding to which the Company or any Subsidiary is a party or by which any property or asset of the Company or any Subsidiary is bound or affected, or (iii) subject to the Required Approvals, conflict
with or result in a violation of any law, rule, regulation, order, judgment, injunction, decree or other restriction of any court or governmental authority to which the Company or a Subsidiary is subject (including federal and state securities laws
and regulations), or by which any property or asset of the Company or a Subsidiary is bound or affected; except in the case of each of clauses (ii) and (iii), such as could not have or reasonably be expected to result in a Material Adverse
Effect. 

 (e) Filings, Consents and Approvals. The Company is not required to
obtain any consent, waiver, authorization or order of, give any notice to, or make any filing or registration with, any court or other federal, state, local or other governmental authority or other Person in connection with the execution, delivery
and performance by the Company of the Transaction Documents, other than (i) the filing with the Commission of the Registration Statement, (ii) the notice and/or application(s) to each applicable Trading Market for the issuance and sale of
the Securities and the listing of the Underlying Shares for trading thereon in the time and manner required thereby, (iii) the filing of Form D with the Commission and such filings as are required to be made under applicable state securities
laws and (iv) the delivery of the notices and the receipt of the approvals set forth on Schedule 3.1(e) (collectively, the “Required Approvals”). 
 (f) Issuance of the Securities. The Securities are duly authorized and, when issued and paid for in accordance with
the applicable Transaction Documents, will be duly and validly issued, fully paid and nonassessable, free and clear of all Liens imposed by the Company other than restrictions on transfer provided for in the Transaction Documents. The Underlying
Shares, when issued in accordance with the terms of the Transaction Documents, will be validly issued, fully paid and nonassessable, free and clear of all Liens imposed by the Company. The Company has reserved from its duly authorized capital stock
a number of shares of Common Stock for issuance of the Underlying Shares at least equal to the Required Minimum on the date hereof. 
 (g) Capitalization. Immediately before the Closing, the authorized capital stock of the Company consists of: (i) 490,000,000 shares of Common Stock, of which (A) 61,126,509 shares are
issued and outstanding, (B) no shares of Common Stock are held in treasury, (C) 406,000 shares are reserved for issuance upon the conversion, exchange, or exercise of the Series B Preferred Stock, (D) 55,000,000 shares are reserved
for issuance upon the conversion, exchange, or exercise of the Series C Preferred Stock, (E) 80,000,000 shares are reserved for issuance upon the conversion, exchange, or exercise of the Series D Preferred Stock, and (F) 155,574,650 shares
are reserved for issuance upon the conversion, exchange, or exercise of the warrants and options identified on Schedule 3.1(g) attached hereto; and (ii) 10,000,000 shares of Preferred Stock, of which [W] 3,000 shares have been designated
as “Series A Preferred Stock,” none of which are issued and outstanding, held in treasury, or reserved for issuance, [X] 2,500 shares have been designated as “Series B Convertible Preferred Stock,” 203,000 of which are issued and
outstanding, and none of which are held in treasury, or reserved for issuance, [Y] 2,750,000 shares have been designated as “Series C Convertible Preferred Stock,” 2,750,000 of which are issued and outstanding, and none of which are held
in treasury, or reserved for issuance, and [Z] 6,000,000 shares have been designated as “Series D Convertible Preferred Stock,” 6,000,000 of which are issued and outstanding, and none of which are held in treasury, or reserved for
issuance. Except as set forth on Schedule 3.1(g), no Person has any right of first refusal, preemptive right, right of participation, or any similar right to participate in the transactions contemplated by the Transaction Documents. Except as
a result of the purchase and sale of the Securities or as set forth on Schedule 3.1(g), there are no outstanding options, warrants, script rights to subscribe to, calls or commitments of any character whatsoever relating to, or securities,
rights or obligations convertible into or

 
exercisable or exchangeable for, or giving any Person any right to subscribe for or acquire, any shares of Common Stock, or contracts, commitments, understandings or arrangements by which the
Company or any Subsidiary is or may become bound to issue additional shares of Common Stock or Common Stock Equivalents. Except as set forth on Schedule 3.1(g), the issuance and sale of the Securities will not obligate the Company to issue
shares of Common Stock or other securities to any Person (other than the Purchasers) and will not result in a right of any holder of Company securities to adjust the exercise, conversion, exchange or reset price under any of such securities. All of
the outstanding shares of capital stock of the Company are validly issued, fully paid and nonassessable, have been issued in compliance with all federal and state securities laws, and none of such outstanding shares was issued in violation of any
preemptive rights or similar rights to subscribe for or purchase securities. Except as set forth on Schedule 3.1(g), no further approval or authorization of any stockholder, the Board of Directors of the Company or others is required for the
issuance and sale of the Securities. Except as set forth on Schedule 3.1(g), there are no stockholders agreements, voting agreements or other similar agreements with respect to the Company’s capital stock to which the Company is a party
or, to the knowledge of the Company, between or among any of the Company’s stockholders. 
 (h) SEC
Reports; Financial Statements. Except as set forth on Schedule 3.1(h), the Company has filed all reports, schedules, forms, statements and other documents required to be filed by it under the Securities Act and the Exchange Act, including
pursuant to Section 13(a) or 15(d) thereof, for two years preceding the date hereof (or such shorter period as the Company was required by law or regulation to file such material) (the foregoing materials, including the exhibits thereto and
documents incorporated by reference therein, being collectively referred to herein as the “SEC Reports”) on a timely basis or has received a valid extension of such time of filing and has filed any such SEC Reports prior to the
expiration of any such extension. As of their respective dates, the SEC Reports complied in all material respects with the requirements of the Securities Act and the Exchange Act and the rules and regulations of the Commission promulgated
thereunder, as applicable, and none of the SEC Reports, when filed, contained any untrue statement of a material fact or omitted to state a material fact required to be stated therein or necessary in order to make the statements therein, in the
light of the circumstances under which they were made, not misleading. The financial statements of the Company included in the SEC Reports comply in all material respects with applicable accounting requirements and the rules and regulations of the
Commission with respect thereto as in effect at the time of filing. Such financial statements have been prepared in accordance with United States generally accepted accounting principles applied on a consistent basis during the periods involved
(“GAAP”), except as may be otherwise specified in such financial statements or the notes thereto and except that unaudited financial statements may not contain all footnotes required by GAAP, and fairly present in all material
respects the financial position of the Company and its consolidated subsidiaries as of and for 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,
immaterial, year-end audit adjustments. 

 (i) Material Changes. Since the date of the last audited financial
statements included in the SEC Reports, except as specifically disclosed on Schedule 3.1(i), (i) there has been no event, occurrence or development that has had or that could reasonably be expected to result in a Material Adverse Effect,
(ii) the Company has not incurred any material liabilities (contingent or otherwise) other than (A) trade payables and accrued expenses incurred in the ordinary course of business consistent with past practice and (B) liabilities not
required to be reflected in the Company’s financial statements pursuant to GAAP or disclosed in filings made with the Commission, (iii) the Company has not materially altered its method of accounting, (iv) the Company has not declared
or made any dividend or distribution of cash or other property to its stockholders or purchased, redeemed or made any agreements to purchase or redeem any shares of its capital stock and (v) the Company has not issued any equity securities to
any officer, director or Affiliate, except pursuant to existing Company stock option or stock grant plans. 
 (j)
Litigation. Except as set forth on Schedule 3.1(j), there is no action, suit, inquiry, notice of violation, proceeding or investigation pending or, to the knowledge of the Company, threatened against or affecting the Company, any
Subsidiary or any of their respective properties before or by any court, arbitrator, governmental or administrative agency or regulatory authority (federal, state, county, local or foreign) (collectively, an “Action”) which
(i) adversely affects or challenges the legality, validity or enforceability of any of the Transaction Documents or the Securities or (ii) could, if there were an unfavorable decision, have or reasonably be expected to result in a Material
Adverse Effect. Neither the Company nor any Subsidiary, nor, to the knowledge of the Company, any director or officer thereof, is or has been the subject of any Action involving a claim of violation of or liability under federal or state securities
laws or a claim of breach of fiduciary duty. 
 (k) Labor Relations. No material labor dispute exists or,
to the knowledge of the Company, is imminent with respect to any of the employees of the Company or any Subsidiary which could reasonably be expected to result in a Material Adverse Effect. None of the Company’s or its Subsidiaries’
employees is a member of a union that relates to such employee’s relationship with the Company, and neither the Company nor any of its Subsidiaries is a party to a collective bargaining agreement, and the Company and its Subsidiaries believe
that their relationships with their employees are good. No executive officer, to the knowledge of the Company, is, or is now expected to be, in violation of any material term of any employment contract, confidentiality, disclosure or proprietary
information agreement or non-competition agreement, or any other contract or agreement or any restrictive covenant, and, to the knowledge of the Company, the continued employment of each such executive officer does not subject the Company or any of
its Subsidiaries to any liability with respect to any of the foregoing matters. To the knowledge of the Company, the Company and its Subsidiaries are in compliance with all U.S. federal, state, local and foreign laws and regulations relating to
employment and employment practices, terms and conditions of employment and wages and hours, except where the failure to be in compliance could not, individually or in the aggregate, reasonably be expected to have a Material Adverse Effect.

 (l) Compliance. Except as set forth on Schedule 3.1(l),
neither the Company nor any Subsidiary (i) is in material default under or in violation of (and no event has occurred that has not been waived that, with notice or lapse of time or both, would result in a default by the Company or any
Subsidiary under), nor has the Company or any Subsidiary received notice of a claim that it is in default under or that it is in violation of, any indenture, loan or credit agreement or any other agreement or instrument to which it is a party or by
which it or any of its properties is bound (whether or not such default or violation has been waived), (ii) is in violation of any order of any court, arbitrator or governmental body, or (iii) to the knowledge of the Company, is or has
been in violation of any statute, rule or regulation of any governmental authority, including without limitation all foreign, federal, state and local laws applicable to its business and all such laws that affect the environment, except in each case
as could not have or reasonably be expected to result in a Material Adverse Effect. 
 (m) Regulatory
Permits. Except as set forth in Schedule 3.1(m) hereto, the Company and the Subsidiaries possess all certificates, authorizations and permits issued by the appropriate federal, state, local or foreign regulatory authorities necessary to
conduct their respective businesses, except where the failure to possess such permits could not have or reasonably be expected to result in a Material Adverse Effect (“Material Permits”), and neither the Company nor any Subsidiary
has received any notice of proceedings relating to the revocation or modification of any Material Permit. 
 (n)
Title to Assets. The Company and the Subsidiaries have good and marketable title in fee simple to all real property owned by them and good and marketable title in all personal property owned by them that is material to the business of the
Company and the Subsidiaries, in each case free and clear of all Liens, except for Liens as do not materially affect the value of such property and do not materially interfere with the use made and proposed to be made of such property by the Company
and the Subsidiaries, Liens for the payment of federal, state or other taxes, the payment of which is neither delinquent nor subject to penalties and Liens set forth on Schedule 3.1(n). Any real property and facilities held under lease by the
Company and the Subsidiaries are held by them under valid, subsisting and enforceable leases with which the Company and the Subsidiaries are in compliance. 
 (o) Patents and Trademarks. Except as set forth on Schedule 3.1(o), to our knowledge, the Company and the Subsidiaries have, or have rights to use, all patents, patent applications,
trademarks, trademark applications, service marks, trade names, trade secrets, inventions, copyrights, licenses and other intellectual property rights and similar rights necessary or material for use in connection with their respective businesses
and which the failure to so have could have a Material Adverse Effect (collectively, the “Intellectual Property Rights”). Neither the Company nor any Subsidiary has received a notice (written or otherwise) that the Intellectual
Property Rights used by the Company or any Subsidiary violate or infringe upon the rights of any Person unless such notice has been resolved without a Material Adverse Effect. To the knowledge of the Company, all such Intellectual Property Rights
are enforceable and there is no existing infringement by another Person of any of the Intellectual Property Rights. The Company and its Subsidiaries have taken reasonable security measures to protect the secrecy,

 
confidentiality and value of all of their intellectual properties, except where failure to do so could not, individually or in the aggregate, reasonably be expect to have a Material Adverse
Effect. 
 (p) Insurance. Except as set forth in Schedule 3.1(p) hereto, the Company and the
Subsidiaries are insured by insurers of recognized financial responsibility against such losses and risks and in such amounts as are prudent and customary in the businesses in which the Company and the Subsidiaries are engaged, including, but not
limited to, directors and officers insurance coverage at least equal to the aggregate Subscription Amount. Neither the Company nor any Subsidiary has any reason to believe that it will not be able to renew its existing insurance coverage as and when
such coverage expires or to obtain similar coverage from similar insurers as may be necessary to continue its business without a significant increase in cost. 
 (q) Transactions With Affiliates and Employees. Except as set forth on Schedule 3.1(q), none of the officers or
directors of the Company or any Subsidiary and, to the knowledge of the Company, none of the employees of the Company or any Subsidiary is presently a party to any transaction with the Company or any Subsidiary (other than for services as employees,
officers and directors), including any contract, agreement or other arrangement providing for the furnishing of services to or by, providing for rental of real or personal property to or from, or otherwise requiring payments to or from any officer,
director or such employee or, to the knowledge of the Company, any entity in which any officer, director, or any such employee has a substantial interest or is an officer, director, trustee or partner, other than (i) for payment of salary or
consulting fees for services rendered, (ii) reimbursement for expenses incurred on behalf of the Company or a Subsidiary and (iii) for other employee benefits, including stock option or stock grant agreements under any stock plans of the
Company. 
 (r) No Disagreements with Auditors and Lawyers. To the knowledge of the Company, there are no
material disagreements of any kind presently existing, or reasonably anticipated by the Company to arise, between the Company and the auditors and lawyers formerly or presently employed by the Company. 
 (s) Certain Fees. Except as set forth on Schedule 3.1(s), no brokerage or finder’s fees or commissions are
or will be payable by the Company to any broker, financial advisor or consultant, finder, placement agent, investment banker, bank or other Person with respect to the transactions contemplated by the Transaction Documents. The Purchasers shall have
no obligation with respect to any fees or with respect to any claims made by or on behalf of other Persons for fees of a type contemplated in this Section that may be due in connection with the transactions contemplated by the Transaction Documents.

 (t) Private Placement. Assuming the accuracy of the Purchasers’ representations and warranties set
forth in Section 3.2, no registration under the Securities Act is required for the offer and sale of the Securities by the Company to the Purchasers as contemplated hereby. 

 (u) Investment Company. The Company is not, and is not an Affiliate
of, and immediately after receipt of payment for the Securities, will not be or be an Affiliate of, an “investment company” within the meaning of the Investment Company Act of 1940, as amended. The Company shall conduct its business in a
manner so that it will not become subject to the Investment Company Act. 
 (v) Registration Rights. Other
than the Purchasers or as set forth on Schedule 3.1(v), no Person has any right to cause the Company to effect the registration under the Securities Act of any securities of the Company. 
 (w) Disclosure. All disclosure furnished by or on behalf of the Company to the Purchasers regarding the Company, its
business and the transactions contemplated hereby, including the Disclosure Schedules to this Agreement, with respect to the representations and warranties made herein are true and correct with respect to such representations and warranties and do
not contain any untrue statement of a material fact or omit to state any material fact necessary in order to make the statements made therein, in light of the circumstances under which they were made, not misleading. The Company acknowledges and
agrees that Purchaser has not made any representations or warranties with respect to the transactions contemplated hereby other than those specifically set forth in Section 3.2 hereof. 
 (x) No Integrated Offering. Assuming the accuracy of the Purchasers’ representations and warranties set forth in
Section 3.2, 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 this offering of the Securities to be integrated with prior offerings by the Company for purposes of the Securities Act, other than the offering of the Company’s Preferred Stock to the Purchaser. 
 (y) Solvency. Based on the financial condition of the Company as of the Closing Date after giving effect to the
receipt by the Company of the proceeds from the sale of the Securities hereunder, (i) the fair saleable value of the Company’s assets exceeds the amount that will be required to be paid on or in respect of the Company’s existing debts
and other liabilities (including known contingent liabilities) as they mature, (ii) the Company’s assets do not constitute unreasonably small capital to carry on its business as now conducted and as proposed to be conducted including its
capital needs taking into account the particular capital requirements of the business conducted by the Company, and projected capital requirements and capital availability thereof and (iii) the current cash flow of the Company, together with
the proceeds the Company would receive, were it to liquidate all of its assets, after taking into account all anticipated uses of the cash, would be sufficient to pay all amounts on or in respect of its liabilities when such amounts are required to
be paid. The Company does not intend to incur debts beyond its ability to pay such debts as they mature (taking into account the timing and amounts of cash to be payable on or in respect of its debt). The Company has no knowledge of any facts or
circumstances which lead it to believe that it will file for reorganization or liquidation under the bankruptcy or reorganization laws of any jurisdiction within one (1) year from the Closing Date. 

 (z) Schedule 3.1(z) sets forth as of the dates thereof all
outstanding secured and unsecured Indebtedness of the Company or any Subsidiary, or for which the Company or any Subsidiary has commitments. For the purposes of this Agreement, “Indebtedness” shall mean (a) any liabilities for
borrowed money or amounts owed (other than trade accounts payable incurred in the ordinary course of business) in excess of $50,000, (b) all guaranties, endorsements and other contingent obligations in respect of Indebtedness of others, 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 $50,000 due under leases required to be capitalized in accordance with GAAP. Neither the Company nor any Subsidiary is in default with respect to any Indebtedness. 
 (aa) Tax Status. The Company has timely filed all tax returns, reports, declarations, statements, and other
information required by law to be filed with or supplied to any taxing authority with respect to the Taxes (as defined below) owed by the Company (the “Tax Returns”). All Taxes due and payable on or before the Closing have been paid
or will be paid prior to the time they become delinquent. All Taxes that the Company is or was required by law to withhold or collect have been duly withheld or collected and, to the extent required, have been paid to the proper governmental entity.
The Company has not been advised (a) that any of the Tax Returns have been or are being examined or audited as of the date hereof, (b) that any such examination or audit is currently threatened or contemplated, or (c) of any
deficiency in assessment or proposed judgment to its Taxes. The Company has no knowledge of any liability for any Taxes to be imposed upon its properties or assets as of the date of this Agreement that are not adequately provided for on the Balance
Sheet. The Company has delivered or made available to the Investor true and complete copies of all federal income Tax Returns, examination reports, and statements of deficiencies filed by, assessed against or agreed to by the Company in the past
three years. The Company has never been a member of a consolidated or affiliated group of corporations filing a consolidated or combined income Tax Return, nor does the Company have any liability for Taxes of any other person or entity. The Company
is not a party to any tax allocation or sharing arrangement or tax indemnity agreement. For purposes of this Agreement, the term “Taxes” shall mean all taxes, charges, fees, levies, or other similar assessments or
liabilities, including, without limitation, income, gross receipts, ad valorem, premium, value-added, excise, real property, personal property, sales, use, transfer, withholding, employment, payroll, and franchise taxes imposed by the United States
of America or any other governmental entity, and any interest, fines, penalties, assessments, or additions to tax resulting from, attributable to or incurred in connection with any tax or any contest or dispute thereof. 
 (bb) Agreements. Schedule 3.1(bb) sets forth a true and complete list of all agreements, understandings,
instruments, and contracts, proposed transactions (including a description of those currently being negotiated), judgments, orders, writs, or decrees to which the Company or any Subsidiary is a party or, to its knowledge, by which it is bound that
may involve (i) the sale of the Company’s products or services to any customer, vendor, or provider (other than such contracts entered into in the ordinary course of business); (ii) obligations (contingent or otherwise) of, or
payments to, the

 
Company in excess of $10,000; (iii) the license of any proprietary rights to or from the Company (other than licenses arising from the purchase of “off the shelf” or other standard
products); (iv) the development, administration, or distribution of the Company’s products or services, including without limitation, any that involve any brokers or dealers; (v) provisions restricting or affecting the development,
manufacture, or distribution of the Company’s products or services or the Company’s freedom to compete in any line of business; (vi) any joint venture or similar arrangement; (vii) any restriction or limitation on the ability of
the Company to pay dividends or make any other distributions or to repurchase, redeem, or otherwise acquire any of its equity securities; or (viii) indemnification by the Company of any other person or entity (except as may be provided in the
Transaction Documents) (each, a “Material Contract”). The Company has delivered to the Investor true and complete copies of each Material Contract. Each Material Contract is in full force and effect and is binding and
enforceable against the parties thereto in accordance with its terms, and the Company has performed in all material respects all obligations required to be performed by it under each Material Contract, and no condition exists or events have occurred
that, with or without the passage of time or giving of notice, would constitute a default by the Company under any Material Contract. 
 (cc) No General Solicitation. Neither the Company nor any person acting on behalf of the Company has offered or sold any of the Securities by any form of general solicitation or general
advertising. The Company has offered the Securities for sale only to the Purchasers and certain other “accredited investors” within the meaning of Rule 501 under the Securities Act. 
 (dd) Acknowledgment Regarding Purchasers’ Purchase of Securities. The Company acknowledges and agrees that the
Purchaser is acting solely in the capacity of an arm’s length purchaser with respect to the Transaction Documents and the transactions contemplated thereby. The Company further acknowledges that no Purchaser is acting as a financial advisor or
fiduciary of the Company (or in any similar capacity) with respect to the Transaction Documents and the transactions contemplated thereby and any advice given by Purchaser or any of their respective representatives or agents in connection with the
Transaction Documents and the transactions contemplated thereby is merely incidental to the Purchasers’ purchase of the Securities. The Company further represents to Purchaser that the Company’s decision to enter into this Agreement and
the other Transaction Documents has been based solely on the independent evaluation of the transactions contemplated hereby by the Company and its representatives. 
 (ee) Acknowledgement Regarding Purchasers’ Trading Activity. Anything in this Agreement or elsewhere herein to
the contrary notwithstanding, it is understood and acknowledged by the Company (i) that none of the Purchasers have been asked to agree, nor has Purchaser agreed, to desist from purchasing or selling, long and/or short, securities of the
Company, or “derivative” securities based on securities issued by the Company or to hold the Securities for any specified term; (ii) that past or future open market or other transactions by any Purchaser, including Short Sales, and
specifically including, without limitation, Short Sales or “derivative” transactions, before or after the closing of this or future private placement transactions, may negatively impact the market

 
price of the Company’s publicly-traded securities; (iii) that Purchaser, and counter-parties in “derivative” transactions to which any such Purchaser is a party, directly or
indirectly, presently may have a “short” position in the Common Stock, and (iv) that Purchaser shall not be deemed to have any affiliation with or control over any arm’s length counter-party in any “derivative”
transaction. The Company further understands and acknowledges that (a) Purchaser may engage in hedging activities at various times during the period that the Securities are outstanding, including, without limitation, during the periods that the
value of the Underlying Shares deliverable with respect to Securities are being determined and (b) such hedging activities (if any) could reduce the value of the existing stockholders’ equity interests in the Company at and after the time
that the hedging activities are being conducted. The Company acknowledges that such aforementioned hedging activities do not constitute a breach of any of the Transaction Documents. 
 (ff) Manipulation of Price. The Company has not, and to its knowledge no one acting on its behalf has,
(i) taken, directly or indirectly, any action designed to cause or to result in the stabilization or manipulation of the price of any security of the Company to facilitate the sale or resale of any of the Securities, (ii) except as set
forth on Schedule 3.1(ff) or private transactions not involving a market maker, sold, bid for, purchased, or paid any compensation for soliciting purchases of, any of the securities of the Company or (iii) paid or agreed to pay to any
person any compensation for soliciting another to purchase any other securities of the Company, other than, in the case of clauses (ii) and (iii), compensation paid to the Company’s placement agent in connection with the placement of the
Securities. 
 3.2 Representations and Warranties of the Purchasers. Purchaser hereby represents and warrants as of the
date hereof and as of the Closing Date to the Company as follows: 
 (a) Organization; Authority.
Purchaser is an entity duly organized, validly existing and in good standing under the laws of the jurisdiction of its organization with full right, corporate or partnership power and authority to enter into and to consummate the transactions
contemplated by the Transaction Documents and otherwise to carry out its obligations hereunder and thereunder. The execution, delivery and performance by such Purchaser of the transactions contemplated by this Agreement have been duly authorized by
all necessary corporate or similar action on the part of Purchaser. Each Transaction Document to which it is a party has been duly executed by Purchaser, and when delivered by Purchaser in accordance with the terms hereof, will constitute the valid
and legally binding obligation of Purchaser, enforceable against it in accordance with its terms, except (i) as limited by general equitable principles and applicable bankruptcy, insolvency, reorganization, moratorium and other laws of general
application affecting enforcement of creditors’ rights generally, (ii) as limited by laws relating to the availability of specific performance, injunctive relief or other equitable remedies and (iii) insofar as indemnification and
contribution provisions may be limited by applicable law. 
 (b) Own Account. Purchaser understands that
the Securities are “restricted securities” and have not been registered under the Securities Act or any applicable state securities law and is acquiring the Securities as principal for its own account and not with a view to or for
distributing or reselling such Securities or any part thereof in violation of

 
the Securities Act or any applicable state securities law, has no present intention of distributing any of such Securities in violation of the Securities Act or any applicable state securities
law and has no direct or indirect arrangement or understandings with any other persons to distribute or regarding the distribution of such Securities (this representation and warranty not limiting such Purchaser’s right to sell the Securities
pursuant to the Registration Statement or otherwise in compliance with applicable federal and state securities laws) in violation of the Securities Act or any applicable state securities law. Purchaser is acquiring the Securities hereunder in the
ordinary course of its business. 
 (c) Purchaser Status. At the time Purchaser was offered the
Securities, it was, and at the date hereof it is, and on each date on which it exercises any Warrants or converts any Series E Preferred Stock it will be either: (i) an “accredited investor” as defined in Rule 501 under the Securities
Act or (ii) a “qualified institutional buyer” as defined in Rule 144A(a) under the Securities Act. Such Purchaser is not required to be registered as a broker-dealer under Section 15 of the Exchange Act. 
 (d) Experience of Such Purchaser. Purchaser, either alone or together with its representatives, has such knowledge,
sophistication and experience in business and financial matters so as to be capable of evaluating the merits and risks of the prospective investment in the Securities, and has so evaluated the merits and risks of such investment. Purchaser is able
to bear the economic risk of an investment in the Securities and, at the present time, is able to afford a complete loss of such investment. 
 (e) General Solicitation. Purchaser is not purchasing the Securities as a result of any advertisement, article, notice or other communication regarding the Securities published in any newspaper,
magazine or similar media or broadcast over television or radio or presented at any seminar or any other general solicitation or general advertisement. 
 (f) Short Sales and Confidentiality Prior To The Date Hereof. Other than the transaction contemplated hereunder, Purchaser has not directly or indirectly, nor has any Person acting on behalf of or
pursuant to any understanding with Purchaser, executed any disposition, including Short Sales, in the securities of the Company during the period commencing from the time that Purchaser first received a term sheet (written or oral) from the
Company or any other Person setting forth the material terms of the transactions contemplated hereunder until the date hereof (“Discussion Time”). Notwithstanding the foregoing, in the case of a Purchaser that is a multi-managed
investment vehicle whereby separate portfolio managers manage separate portions of Purchaser’s assets and the portfolio managers have no direct knowledge of the investment decisions made by the portfolio managers managing other portions of
Purchaser’s assets, the representation set forth above shall only apply with respect to the portion of assets managed by the portfolio manager that made the investment decision to purchase the Securities covered by this Agreement. Other than to
other Persons party to this Agreement, Purchaser has maintained the confidentiality of all disclosures made to it in connection with this transaction (including the existence and terms of this transaction). 

 (g) Risk Factors. Purchaser hereby agrees and acknowledges that it
has been informed of the following: (i) there are factors relating to the subsequent transfer of any Securities acquired hereunder that could make the resale of such Securities difficult; and (ii) there is no guarantee that Purchaser will
realize any gain from the purchase of the Securities. The purchase of the Securities involves a high degree of risk and is subject to many uncertainties. These risks and uncertainties may adversely affect the Company’s business, operating
results and financial condition. In such an event, the trading price for the Common Stock could decline substantially and Purchaser could lose all or part of its investment. 
 (h) Due Diligence. Purchaser hereby agrees and acknowledges that Purchaser has had an opportunity to meet with
representatives of the Company and to ask questions and receive answers to Purchaser’s satisfaction regarding the Company’s proposed business and the Company’s financial condition in order to assist Purchaser in evaluating the merits
and risks of purchasing the Securities. All material documents and information pertaining to the Company and the purchase of Securities hereunder that have been requested by Purchaser have been made available to Purchaser. 
 (i) Certain Fees. Except for investment banking fees payable to Midtown Partners & Co., LLC, Purchaser 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.

 ARTICLE IV 
 OTHER AGREEMENTS OF THE PARTIES 
 4.1 Transfer Restrictions.

 (a) The Securities may only be disposed of in compliance with state and federal securities laws. In connection
with any transfer of Securities other than pursuant to an effective registration statement or Rule 144, to the Company or to an Affiliate of Purchaser or in connection with a pledge as contemplated in Section 4.1(b), the Company may
require the transferor thereof to provide to the Company an opinion of counsel selected by the transferor and reasonably acceptable to the Company, the form and substance of which opinion shall be reasonably satisfactory to the Company, to the
effect that such transfer does not require registration of such transferred Securities under the Securities Act. As a condition of transfer, any such transferee shall agree in writing to be bound by the terms of this Agreement and shall have the
rights of a Purchaser under this Agreement and the Amended and Restated Registration Rights Agreement. 
 (b) The
Purchasers agree to the imprinting, so long as is required by this Section 4.1, of a legend on any of the Securities in the following form: 
 NEITHER THIS SECURITY NOR THE SECURITIES INTO WHICH THIS SECURITY IS [EXERCISABLE] [CONVERTIBLE] HAVE BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION

 
OR THE SECURITIES COMMISSION OF ANY STATE IN RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND, ACCORDINGLY, MAY NOT
BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT TO AN AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND IN ACCORDANCE
WITH APPLICABLE STATE SECURITIES LAWS AS EVIDENCED BY A LEGAL OPINION OF COUNSEL TO THE TRANSFEROR TO SUCH EFFECT, THE SUBSTANCE OF WHICH SHALL BE REASONABLY ACCEPTABLE TO THE COMPANY. THIS SECURITY AND THE SECURITIES ISSUABLE UPON [EXERCISE]
[CONVERSION] OF THIS SECURITY MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR OTHER LOAN SECURED BY SUCH SECURITIES. 
 The Company acknowledges and agrees that Purchaser may from time to time pledge pursuant to a bona fide margin agreement with a registered broker-dealer or grant a security interest in some or all of the
Securities to a financial institution that is an “accredited investor” as defined in Rule 501(a) under the Securities Act and who agrees to be bound by the provisions of this Agreement and the Amended and Restated Registration Rights
Agreement and, if required under the terms of such arrangement, Purchaser may transfer pledged or secured Securities to the pledgees or secured parties. Such a pledge or transfer would not be subject to approval of the Company and no legal opinion
of legal counsel of the pledgee, secured party or pledgor shall be required in connection therewith. Further, no notice shall be required of such pledge. At Purchaser’s expense, the Company will execute and deliver such reasonable documentation
as a pledgee or secured party of Securities may reasonably request in connection with a pledge or transfer of the Securities, including, if the Securities are subject to registration pursuant to the Amended and Restated Registration Rights
Agreement, the preparation and filing of any required prospectus supplement under Rule 424(b)(3) under the Securities Act or other applicable provision of the Securities Act to appropriately amend the list of selling stockholders thereunder.

 4.2 Acknowledgment of Dilution. The Company acknowledges that the issuance of the Securities may result in dilution of
the outstanding shares of Common Stock, which dilution may be substantial under certain market conditions. The Company further acknowledges that its obligations under the Transaction Documents, including without limitation its obligation to issue
the Underlying Shares pursuant to the Transaction Documents, are unconditional and absolute and not subject to any right of set off, counterclaim, delay or reduction, regardless of the effect of any such dilution or any claim the Company may have
against any Purchaser and regardless of the dilutive effect that such issuance may have on the ownership of the other stockholders of the Company. 
 4.3 Integration. The Company shall not sell, offer for sale or solicit offers to buy or otherwise negotiate in respect of any security (as defined in Section 2 of the Securities Act) that
would be integrated with the offer or sale of the Securities in a manner that would require the registration under the Securities Act of the sale of the Securities to the Purchaser. 

 4.4 Shareholder Rights Plan. No claim will be made or enforced by the Company or,
with the consent of the Company, any other Person, that Purchaser is an “Acquiring Person” under any control share acquisition, business combination, poison pill (including any distribution under a rights agreement) or similar
anti-takeover plan or arrangement in effect or hereafter adopted by the Company, or that Purchaser could be deemed to trigger the provisions of any such plan or arrangement, by virtue of receiving Securities under the Transaction Documents or under
any other agreement between the Company and the Purchaser. 
 4.5 Use of Proceeds. Except as set forth on Schedule
4.5 attached hereto, the Company shall use the net proceeds from the sale of the Securities hereunder for working capital purposes and not for the satisfaction of any portion of the Company’s debt (other than payment of trade payables in
the ordinary course of the Company’s business and prior practices, including attorney’s and professional fees), to redeem any Common Stock or Common Stock Equivalents or to settle any outstanding litigation. 
 4.6 Reimbursement. If Purchaser becomes involved in any capacity in any Proceeding by or against any Person who is a stockholder of
the Company (except as a result of sales, pledges, margin sales and similar transactions by such Purchaser to or with any other stockholder), solely as a result of Purchaser’s acquisition of the Securities from the Company under this Agreement,
the Company will reimburse Purchaser for its reasonable legal and other expenses (including the cost of any investigation preparation and travel in connection therewith) incurred in connection therewith, as such expenses are incurred. The
reimbursement obligations of the Company under this paragraph shall be in addition to any liability which the Company may otherwise have, shall extend upon the same terms and conditions to any Affiliates of the Purchaser who are actually named in
such action, proceeding or investigation, and partners, directors, agents, employees and controlling persons (if any), as the case may be, of the Purchaser and any such Affiliate, and shall be binding upon and inure to the benefit of any successors,
assigns, heirs and personal representatives of the Company, the Purchaser and any such Affiliate and any such Person. The Company also agrees that neither the Purchaser nor any such Affiliates, partners, directors, agents, employees or controlling
persons shall have any liability to the Company or any Person asserting claims on behalf of or in right of the Company solely as a result of acquiring the Securities under this Agreement. 
 4.7 Indemnification of Purchasers. Subject to the provisions of this Section 4.7, the Company will indemnify and hold
Purchaser and its directors, officers, shareholders, members, partners, employees and agents (and any other Persons with a functionally equivalent role of a Person holding such titles notwithstanding a lack of such title or any other title), each
Person who controls Purchaser (within the meaning of Section 15 of the Securities Act and Section 20 of the Exchange Act), and the directors, officers, shareholders, agents, members, partners or employees (and any other Persons with a
functionally equivalent role of a Person holding such titles notwithstanding a lack of such title or any other title) of such controlling person (each, a “Purchaser Party”) harmless from any and all losses, liabilities, obligations,
claims, contingencies, damages, costs and expenses, including all judgments, amounts paid in settlements, court costs and reasonable attorneys’ fees and costs of investigation that any such

 
Purchaser Party may suffer or incur as a result of or relating to (a) any breach of any of the representations, warranties, covenants or agreements made by the Company in this Agreement or
in the other Transaction Documents or (b) any action instituted against Purchaser, or any of its Affiliates, by any stockholder of the Company who is not an Affiliate of such Purchaser, solely as a result of such Purchaser’s acquisition of
the Securities pursuant to this Agreement (unless such action is based upon a breach of such Purchaser’s representations, warranties or covenants under the Transaction Documents or any agreements or understandings such Purchaser may have with
any such stockholder or any violations by the Purchaser of state or federal securities laws or any conduct by such Purchaser which constitutes fraud, gross negligence, willful misconduct or malfeasance). If any action shall be brought against any
Purchaser Party in respect of which indemnity may be sought pursuant to this Agreement, such Purchaser Party shall promptly notify the Company in writing, and the Company shall have the right to assume the defense thereof with counsel of its own
choosing reasonably acceptable to the Purchaser Party. Any Purchaser Party shall have the right to employ separate counsel in any such action and participate in the defense thereof, but the fees and expenses of such counsel shall be at the expense
of such Purchaser Party except to the extent that (i) the employment thereof has been specifically authorized by the Company in writing, (ii) the Company has failed after a reasonable period of time to assume such defense and to employ
counsel or (iii) in such action there is, in the reasonable opinion of such separate counsel, a material conflict on any material issue between the position of the Company and the position of such Purchaser Party, in which case the Company
shall be responsible for the reasonable fees and expenses of no more than one (1) such separate counsel. The Company will not be liable to any Purchaser Party under this Agreement (i) for any settlement by a Purchaser Party effected
without the Company’s prior written consent, which shall not be unreasonably withheld or delayed; or (ii) to the extent, but only to the extent that a loss, claim, damage or liability is attributable to any Purchaser Party’s breach of
any of the representations, warranties, covenants or agreements made by such Purchaser Party in this Agreement or in the other Transaction Documents. 
 4.8 Reservation and Listing of Securities. 
 (a) The Company
shall maintain a reserve from its duly authorized shares of Common Stock for issuance pursuant to the Transaction Documents in such amount as may be required to fulfill its obligations in full under the Transaction Documents. 
 (b) If, on any date, the number of authorized but unissued (and otherwise unreserved) shares of Common Stock is less than the
Required Minimum on such date, then the Board of Directors of the Company shall use commercially reasonable efforts to amend the Company’s certificate or articles of incorporation to increase the number of authorized but unissued shares of
Common Stock to at least the Required Minimum at such time, as soon as possible and in any event not later than the 75th day after such date. 
 4.9 Participation in Future Financing. 
 (a) From the date
hereof until the date that is the one (1) year anniversary of the Closing Date, upon any issuance by the Company or any of its Subsidiaries of Common Stock or Common Stock Equivalents (a “Subsequent Financing”), Purchaser shall
have the pro-rata right to participate (with any other holders identified as having a contractual right of first refusal on Schedule 3.1(g)) in the Subsequent Financing on the same terms, conditions and price provided for in the Subsequent
Financing. 

 (b) At least ten (10) Trading Days prior to the closing of the
Subsequent Financing, the Company shall deliver to Purchaser a written notice of its intention to effect a Subsequent Financing (“Pre-Notice”), which Pre-Notice shall ask Purchaser if it wants to review the details of such financing
(such additional notice, a “Subsequent Financing Notice”). Upon the request of Purchaser, and only upon a request by such Purchaser, for a Subsequent Financing Notice, the Company shall promptly, but no later than one
(1) Trading Day after such request, deliver a Subsequent Financing Notice to Purchaser. The Subsequent Financing Notice shall describe in reasonable detail the proposed terms of such Subsequent Financing, the amount of proceeds intended to be
raised thereunder, the Person or Persons through or with whom such Subsequent Financing is proposed to be effected, and attached to which shall be a term sheet or similar document relating thereto. 
 (c) Any Purchaser desiring to participate in such Subsequent Financing must provide written notice to the Company by not
later than 5:30 p.m. (New York City time) on the 10th Trading Day after all of the Purchasers have received the Pre-Notice that the Purchaser is willing to participate in the Subsequent Financing, the amount of the Purchaser’s participation,
and that the Purchaser has such funds ready, willing, and available for investment on the terms set forth in the Subsequent Financing Notice. If the Company receives no notice from a Purchaser as of such 10th Trading Day, such Purchaser shall be
deemed to have notified the Company that it does not elect to participate. 
 (d) If by 5:30 p.m. (New York City
time) on the 10th Trading Day after all of the Purchasers have received the Pre-Notice, notifications by Purchaser of its willingness to participate in the Subsequent Financing (or to cause their designees to participate) is, in the aggregate, less
than the total amount of the Subsequent Financing, then the Company may effect the remaining portion of such Subsequent Financing on the terms and with the Persons set forth in the Subsequent Financing Notice. 
 (e) Notwithstanding the foregoing, this Section 4.9 shall not apply in respect of an Exempt Issuance. 

4.10 Variable Rate Transactions. From the date hereof until the twelve (12) month anniversary of the Closing Date, the
Company shall be prohibited from effecting or entering into an agreement to effect any Subsequent Financing involving a “Variable Rate Transaction,” The term “Variable Rate Transaction” shall mean a transaction in which the
Company issues or sells (i) any debt or equity securities that are convertible into, exchangeable or exercisable for, or include the right to receive additional shares of Common Stock either at a conversion, exercise or exchange rate or other
price that is based upon and/or varies with the trading prices of or quotations in the public secondary market for the shares of Common Stock at any time after the initial issuance of such debt or equity securities, or (ii) enters into any
agreement, including, but not limited to, an equity line of credit, whereby the Company may sell securities at a future determined price. 

 4.11 Form D; Blue Sky Filings. The Company agrees to timely file a Form D with
respect to the Securities as required under Regulation D and to provide a copy thereof, promptly upon request of Purchaser. The Company shall take such action as the Company shall reasonably determine is necessary in order to obtain an exemption
for, or to qualify the Securities for, sale to the Purchasers at the Closing under applicable securities or “Blue Sky” laws of the states of the United States, and shall provide evidence of such actions promptly upon request of Purchaser.

 ARTICLE V 
 MISCELLANEOUS 
 5.1 Fees and Expenses. At the Closing, the Company
has agreed to reimburse the Purchaser for its legal fees and expenses. Except as expressly set forth in the Transaction Documents to the contrary, each party shall pay the fees and expenses of its advisers, 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. The Company shall pay all transfer agent fees, stamp taxes and other taxes and duties levied in
connection with the delivery of any Securities to the Purchasers. 
 5.2 Entire Agreement. The Transaction Documents,
together with the exhibits and schedules thereto, contain the entire understanding of the parties with respect to the subject matter hereof and supersede all prior agreements and understandings, oral or written, with respect to such matters, which
the parties acknowledge have been merged into such documents, exhibits and schedules. 
 5.3 Notices. Any and all notices
or other communications or deliveries required or permitted to be provided hereunder shall be in writing and shall be deemed given and effective on the earliest of (a) the date of transmission, if such notice or communication is delivered via
facsimile at the facsimile number set forth on the signature pages attached hereto prior to 5:30 p.m. (New York City time) on a Trading Day, (b) the next Trading Day after the date of transmission, if such notice or communication is delivered
via facsimile at the facsimile number set forth on the signature pages attached hereto on a day that is not a Trading Day or later than 5:30 p.m. (New York City time) on any Trading Day, (c) the 2nd Trading Day following the date of mailing, if
sent by U.S. nationally recognized overnight courier service, or (d) upon actual receipt by the party to whom such notice is required to be given. The address for such notices and communications shall be as set forth on the signature pages
attached hereto. 
 5.4 Amendments; Waivers. No provision of this Agreement may be waived, modified, supplemented or
amended except in a written instrument signed, in the case of an amendment, by the Company and the Purchaser or, in the case of a waiver, by the party against whom enforcement of any such waived provision is sought. No waiver 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 subsequent default 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. 
 5.5
Headings. The headings herein are for convenience only, do not constitute a part of this Agreement and shall not be deemed to limit or affect any of the provisions hereof. 

 5.6 Successors and Assigns. This Agreement shall be binding upon and inure to the
benefit of the parties and their successors and permitted assigns. The Company may not assign this Agreement or any rights or obligations hereunder without the prior written consent of Purchaser (other than by merger). Purchaser may assign any or
all of its rights under this Agreement to any Person to whom such Purchaser assigns or transfers any Securities, provided such transferee agrees in writing to be bound, with respect to the transferred Securities, by the provisions of the Transaction
Documents that apply to the “Purchasers”. 
 5.7 No Third-Party Beneficiaries. This Agreement is intended for
the benefit of the parties hereto and their respective successors and permitted assigns and is not for the benefit of, nor may any provision hereof be enforced by, any other Person. 
 5.8 Governing Law. All questions concerning the construction, validity, enforcement and interpretation of the Transaction Documents
shall be governed by and construed and enforced in accordance with the internal laws of the State of Florida, without regard to the principles of conflicts of law thereof. Each party agrees that all legal proceedings concerning the interpretations,
enforcement and defense of the transactions contemplated by this Agreement and any other Transaction Documents (whether brought against a party hereto or its respective affiliates, directors, officers, shareholders, employees or agents) shall be
commenced exclusively in the state and federal courts sitting in Hillsborough County, Florida. Each party hereby irrevocably submits to the exclusive jurisdiction of the state and federal courts sitting in Hillsborough County, Florida for the
adjudication of any dispute hereunder or in connection herewith or with any transaction contemplated hereby or discussed herein (including with respect to the enforcement of any of the Transaction Documents), and hereby irrevocably waives, and
agrees not to assert in any suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of any such court, that such suit, action or proceeding is improper or is an inconvenient venue for such proceeding. Each party
hereby irrevocably waives personal service of process and consents to process being served in any such suit, action or proceeding by mailing a copy thereof via registered or certified mail or overnight delivery (with evidence of delivery) 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 contained herein shall be deemed to limit in any way any right to
serve process in any other manner permitted by law. The parties hereby waive all rights to a trial by jury. If either party shall commence an action or proceeding to enforce any provisions of the Transaction Documents, then the prevailing party in
such action or proceeding shall be reimbursed by the other party for its reasonable attorneys’ fees and other costs and expenses incurred with the investigation, preparation and prosecution of such action or proceeding. 
 5.9 Survival. The representations, warranties, covenants and other agreements contained herein shall survive the Closing and the
delivery, exercise and/or conversion of the Securities, as applicable for a period of two (2) years from the date of this Agreement. 
 5.10 Execution. This Agreement may be executed in two (2) or more counterparts, all of which when taken together shall be considered one and the same agreement and shall become effective when
counterparts have been signed by each party and delivered to the other party, it being understood that both parties need not sign the same counterpart. In the event that any signature is delivered by facsimile transmission or by e-mail delivery of a
“.pdf” format data file,

 
such signature shall create a valid and binding obligation of the party executing (or on whose behalf such signature is executed) with the same force and effect as if such facsimile or
“.pdf” signature page were an original thereof. 
 5.11 Severability. If any term, provision, covenant or
restriction of this Agreement is held by a court of competent jurisdiction to be invalid, illegal, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions set forth herein shall remain in full force and effect and
shall in no way be affected, impaired or invalidated, and the parties hereto shall use their commercially reasonable efforts to find and employ an alternative means to achieve the same or substantially the same result as that contemplated by such
term, provision, covenant or restriction. It is hereby stipulated and declared to be the intention of the parties that they would have executed the remaining terms, provisions, covenants and restrictions without including any of such that may be
hereafter declared invalid, illegal, void or unenforceable. 
 5.12 Remedies. In addition to being entitled to exercise
all rights provided herein or granted by law, including recovery of damages, the Purchaser and the Company will be entitled to specific performance under the Transaction Documents. The parties agree that monetary damages may not be adequate
compensation for any loss incurred by reason of any breach of obligations contained in the Transaction Documents and hereby agrees to waive and not to assert in any action for specific performance of any such obligation the defense that a remedy at
law would be adequate. 
 5.13 Construction. The parties agree that each of them and/or their respective counsel has
reviewed and had an opportunity to revise the Transaction Documents and, therefore, the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting party shall not be employed in the interpretation of the
Transaction Documents or any amendments hereto. 
 (Remainder of Page Intentionally Left Blank) 
 (Signature Pages Follow) 

 IN WITNESS WHEREOF, the parties hereto have caused this Securities Purchase Agreement to be
duly executed by their respective authorized signatories as of the date first indicated above. 
  

									
	“Company”	 		 	
		 		 	Address for Notice:
	CERTIFIED DIABETIC SERVICES, INC.	 		 	
		 		 	Airport Woods Commerce Park
		 		 	10061 Amberwood Road
	By:	 	 /s/ Lowell Fischer
	 		 	Fort Myers, Florida 33913
	Name:	 	Lowell M. Fisher	 		 	Facsimile: (239) 430-5101
	Title:	 	Chief Executive Officer	 		 	
			
	“Purchaser”	 		 	Address for Notice:
			
	VICIS CAPITAL MASTER FUND	 		 	445 Park Avenue, 16th Floor
	By:	 	Vicis Capital, LLC, its authorized representative	 		 	New York, NY 10022
		 		 		 	Facsimile: (212) 909-4601
					
		 	By:	 	 /s/ Chris Phillips
	 		 	
		 	Name:	 	Christopher Phillips	 		 	
		 	Its:	 		 		 	

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