Document:

EX-10.1

EXHIBIT 10.1

COMMON STOCK AND WARRANT PURCHASE AGREEMENT

THIS COMMON STOCK AND WARRANT PURCHASE AGREEMENT (“Agreement”) is made as of the
19th day of December, 2008 by and among ATS Medical, Inc., a Minnesota corporation (the
“Company”), and the other Persons set forth on the signature pages hereto (each an
“Investor” and collectively the “Investors”).

Recitals

A. The Company and the Investors are executing and delivering this Agreement in reliance upon
the exemption from securities registration afforded by the provisions of Regulation D
(“Regulation D”), as promulgated by the Securities and Exchange Commission (the
“SEC”) under the Securities Act of 1933, as amended, and the rules and regulations
promulgated thereunder (the “Securities Act”);

B. The Investors wish to purchase from the Company, and the Company wishes to sell and issue
to the Investors, upon the terms and subject to the conditions set forth in this Agreement, an
aggregate of 8,510,639 shares (the “Shares”) of the Company’s common stock, par value $0.01
per share (the “Common Stock”), and warrants (the “Warrants”) to purchase an
aggregate of 2,553,192 shares of Common Stock at an exercise price as provided in the Warrants, in
the form of Exhibit A hereto, for a purchase price of $2.35 per Share, representing an
aggregate purchase price of $20,000,001.65;

C. Contemporaneous with the sale of the Shares, the parties hereto will execute and deliver a
Registration Rights Agreement, in the form attached hereto as Exhibit B (the
“Registration Rights Agreement”), pursuant to which the Company will agree to provide
certain registration rights under the Securities Act; and

D. This Agreement shall be binding upon the Company and the Investors only upon delivery of
the signatures pages hereto by the Company and the Investors.

Agreement

In consideration of the mutual promises made herein and for other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto
agree as follows:

1. Definitions. In addition to those terms defined above and elsewhere in this
Agreement, for the purposes of this Agreement, the following terms shall have the meanings set
forth below:

“Affiliate” means, with respect to any Person, any other Person which directly or
indirectly through one or more intermediaries controls, is controlled by, or is under common
control with, such Person.

“Business Day” means a day, other than a Saturday or Sunday, on which banks in New
York City are open for the general transaction of business.

“Confidential Information” means trade secrets, confidential information and know-how
(including but not limited to ideas, formulae, compositions, processes, procedures and techniques,
research and development information, performance specifications, support documentation, drawings,
specifications, designs, business and marketing plans, and supplier lists and related information).

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

“Intellectual Property” means all of the following: (i) patents, patent applications,
patent disclosures and inventions (whether or not patentable and whether or not reduced to
practice); (ii) trademarks, service marks, trade dress, trade names, corporate names, logos,
slogans and Internet domain names, together with all goodwill associated with each of the
foregoing; (iii) copyrights and copyrightable works; and (iv) registrations, applications and
renewals for any of the foregoing.

“Management Rights Letter” means a Management Rights Letter in the form of Exhibit
C.

“Material Adverse Effect” means an event, change or occurrence that, individually or
together with any other event, change or occurrence, has a material adverse impact on the Company’s
financial position, business or results of operations, excluding any event, change or occurrence
resulting from the announcement or consummation of the transactions contemplated by the Transaction
Documents.

“Nasdaq” means The Nasdaq Stock Market, Inc.

“Permitted Liens” means (i) mechanics’, carriers’, or workmen’s, repairmen’s or
similar liens arising or incurred in the ordinary course of business, (ii) liens for taxes,
assessments and other governmental charges that are not due and payable or which may hereafter be
paid without penalty or which are being contested in good faith by appropriate proceedings and
(iii) other imperfections of title or encumbrances, if any, that do not, individually or in the
aggregate, materially impair the use or value of the property to which they relate.

“Person” means an individual, corporation, partnership, limited liability company,
trust, business trust, association, joint stock company, joint venture, sole proprietorship,
unincorporated organization, governmental authority or any other form of entity not specifically
listed herein.

“Registration Statement” has the meaning set forth in the Registration Rights
Agreement.

“SEC Filings” has the meaning set forth in Section 4.6.

“Securities” means the Shares, the Warrants and the Warrant Shares.

“Subsidiary” of any Person means another Person, an amount of the voting securities,
other voting ownership or voting partnership interests of which is sufficient to elect at least a
majority of its Board of Directors or other governing body (or, if there are no such voting
interests, 50% or more of the equity interests of which) is owned directly or indirectly by such
first Person.

“Transaction Documents” means this Agreement, the Registration Rights Agreement, the
Warrants and the Management Rights Letter.

“Warrant Shares” mean the shares of Common Stock issuable upon exercise of the
Warrants (including shares of Common Stock issuable upon adjustment pursuant to Section 4 of the
Warrants).

2. Purchase and Sale of the Shares and the Warrants. Upon the terms and subject to
the conditions set forth in this Agreement, at the Closing, each of the Investors shall, severally
and not jointly, purchase, and the Company shall sell and issue to the Investors, the Shares and
the Warrants in the respective amounts set forth below the Investors’ names on the signature pages
hereto.

3. Closing. The purchase and sale of the Shares and the Warrants pursuant to Section
2 shall take place at the offices of Winstead PC, 24 Waterway Avenue, Suite 500, The Woodlands,
Texas 77380 on the date hereof (subject to the satisfaction of the closing conditions set forth
herein), or at such other location and on such other date as the Company and the Investors shall
mutually agree (which time and place are designated as the “Closing”). At the Closing, the
Company shall deliver to each Investor a certificate or certificates representing the number of
Shares and a Warrant for the number of shares of Common Stock each as set forth below such
Investor’s name on the signature pages hereto against payment of the purchase price therefore by
wire transfer of immediately available funds to a bank account designated by the Company.

4. Representations and Warranties of the Company. The Company hereby represents and
warrants to the Investors that, except as disclosed in the SEC Filings or as set forth in the
schedules delivered herewith (collectively, the “Disclosure Schedules”):

4.1. Organization, Good Standing and Qualification. The Company is a corporation duly
organized, validly existing and in good standing under the laws of the State of Minnesota and has
all requisite corporate power and authority to carry on its business as now conducted and to own
its properties. The Company and each of its Subsidiaries is duly qualified to do business as a
foreign corporation and is in good standing in each jurisdiction in which the conduct of its
business or its ownership or leasing of property makes such qualification necessary, except where
the failure to so qualify, individually or in the aggregate, would not have a Material Adverse
Effect. To the Company’s knowledge, no proceeding has been instituted in any jurisdiction revoking,
limiting or curtailing or seeking to revoke, limit or curtail, such power and authority or
qualification. The Company has no Subsidiaries other than ATS Medical France, SARL, a French
corporation, ATS Medical GmbH, a German corporation, ATS Medical Export GmbH, an Austrian
corporation, 3F Therapeutics, Inc., a California corporation, and ATS Acquisition Corp., a
Minnesota corporation (collectively, the “Current Subsidiaries”). For purposes of this
Section 4, all references to the “Company” shall be deemed to refer to the Company and the Current
Subsidiaries unless the context clearly requires otherwise.

4.2. Authorization. The Company has full corporate power and authority and has taken
all requisite action on the part of the Company, its officers, directors and shareholders necessary
for (i) the authorization, execution and delivery of the Transaction Documents, (ii) the
authorization of the performance of all obligations of the Company hereunder or thereunder and
(iii) the authorization, issuance, sale and delivery of the Securities. The Transaction Documents
constitute the legal, valid and binding obligations of the Company, enforceable against the Company
in accordance with their respective terms, subject to bankruptcy, insolvency, fraudulent transfer,
reorganization, moratorium and similar laws of general applicability relating to or affecting
creditors’ rights generally.

4.3. Capitalization. Schedule 4.3 sets forth as of the date hereof (a) the authorized
capital stock of the Company; (b) the number of shares of capital stock issued and outstanding;
(c) the number of shares of capital stock available for issuance pursuant to the Company’s stock
plans; and (d) the number of shares of capital stock issuable and reserved for issuance pursuant to
securities exercisable for, or convertible into or exchangeable for any shares of capital stock of
the Company. All of the issued and outstanding shares of the Company’s capital stock have been duly
authorized and validly issued and are fully paid, nonassessable and free of preemptive rights. No
Person is entitled to pre-emptive or similar statutory or contractual rights with respect to any
securities of the Company. Except as set forth on Schedule 4.3 or as a result of the purchase and
sale of the Securities, there are no outstanding warrants, options, convertible securities or other
rights, agreements or arrangements under which the Company is obligated to issue equity securities.
Except as set forth on Schedule 4.3 or as contemplated under this Agreement, there are no
contracts, commitments, understandings or arrangements by which the Company is bound to issue
additional shares of capital stock of the Company or options, securities or rights convertible into
shares of capital stock of the Company. Except as set forth on Schedule 4.3 or provided in the
Registration Rights Agreement, no Person has the right to require the Company to register any
securities of the Company under the Securities Act, whether on a demand basis or in connection with
the registration of securities of the Company for its own account or for the account of any other
Person other than registration statements that have already been filed and declared effective. The
issue and sale of the Securities will not result in any adjustment of, or the right of any holder
of Company securities to adjust, the exercise, conversion or exchange price under such securities.
The Company owns beneficially and of record all of the outstanding equity interests in the Current
Subsidiaries, and there are no contracts, commitments, understandings or arrangements by which any
of the Current Subsidiaries is bound to issue additional shares of capital stock of such entity or
options, securities or rights convertible into shares of capital stock of such entity.

4.4. Valid Issuance. The Shares and the Warrants have been duly and validly
authorized and, when issued and paid for in accordance with the applicable Transaction Document,
will be validly issued, fully paid and nonassessable, and will be free of encumbrances and
restrictions (other than those created by the Investors), except for restrictions on transfer set
forth in the Transaction Documents or imposed by applicable securities laws. The Warrant Shares
have been reserved for issuance and, upon issuance pursuant to the Warrants, will be duly and
validly authorized and fully paid and nonassessable.

4.5. Consents. The execution, delivery and performance by the Company of the
Transaction Documents and the offer, issuance and sale of the Securities and the Warrant Shares
requires no consent of, action by or in respect of, or filing with, any Person, governmental body,
agency, or official, filings that have been made pursuant to applicable state securities laws and
post-sale filings pursuant to applicable state and federal securities laws which the Company
undertakes to file within the applicable time periods. No vote of the Company’s shareholders is
required pursuant to the Marketplace Rules of the National Association of Securities Dealers or
otherwise in connection with the issuance of the Shares or the shares of Common Stock issuable upon
the exercise of the Warrants.

4.6. Delivery of SEC Filings. The Company has made available to the Investors through
the EDGAR system, true and complete copies of (a) the Company’s Annual Report on Form 10-K for the
fiscal year ended December 31, 2007 filed with the SEC on March 14, 2008, including all exhibits
thereto and documents incorporated by reference therein, (b) the Company’s Quarterly Reports on
Form 10-Q for the quarter ended March 29, 2008 filed with the SEC on May 7, 2008, for the quarter
ended June 28, 2008 filed with the SEC on August 7, 2008, and for the quarter ended September 27,
2008 filed with the SEC on November 6, 2008, including all exhibits thereto, and documents
incorporated by reference therein and (c) the Company’s Current Reports on Form 8-K filed with the
SEC on January 31, 2008, February 4, 2008, February 25, 2008, March 6, 2008, April 4, 2008, May 5,
2008, May 13, 2008, July 2, 2008, July 8, 2008, August 4, 2008, November 3, 2008 and November 4,
2008, including all exhibits thereto and documents incorporated by reference therein (collectively,
the “SEC Filings”). The SEC Filings are the only periodic filings required of the Company
pursuant to the Exchange Act through the date hereof.

4.7. Use of Proceeds. The net proceeds of the sale of the Shares and the Warrants
hereunder shall be used by the Company to fund the settlement of litigation with CarboMedics Inc.,
a unit of Sorin SpA, and to pay all attorneys’ fees related to such settlement, for business
development and for working capital.

4.8. No Material Adverse Change. Since September 27, 2008 there has not been:

(a) any change in the consolidated assets, liabilities, financial condition or operating
results of the Company from that reflected in the financial statements included in the Company’s
Quarterly Report on Form 10-Q for the quarter ended September 27, 2008, except for changes in the
ordinary course of business which would not have, individually or in the aggregate, a Material
Adverse Effect;

(b) any declaration or payment of any dividend, or any authorization or payment of any
distribution, on any of the capital stock of the Company, or any redemption or repurchase of any
securities of the Company (other than in connection with a termination of employment);

(c) any material damage, destruction or loss to any assets or properties of the Company;

(d) any waiver, not in the ordinary course of business, by the Company of a material right or
of a material debt owed to it;

(e) any change or amendment to the Company’s Articles of Incorporation or Bylaws, or change to
any material contract or arrangement by which the Company is bound or to which its assets or
properties is subject;

(f) any material labor difficulties or labor union organizing activities with respect to
employees of the Company;

(g) any transaction entered into by the Company other than in the ordinary course of business;

(h) the loss of the services of any key employee, or material change in the composition or
duties of the senior management of the Company; or

(i) any other event or condition of any character that has had or would reasonably be expected
to have a Material Adverse Effect.

4.9. SEC Filings. At the time of filing thereof, the SEC Filings complied as to form
in all material respects with the requirements of the Exchange Act and did 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 the light of the circumstances under which they were made, not
misleading.

4.10. No Conflict, Breach, Violation or Default. Neither the execution, delivery and
performance of the Transaction Documents by the Company nor the consummation of any of the
transactions contemplated hereby (including without limitation the issuance and sale of the
Securities) will conflict with or result in violation of any of the terms and provisions of the
Company’s Articles of Incorporation or Bylaws, both as in effect on the date hereof or will give
rise to the right to terminate or accelerate the due date of any payment under or conflict with or
result in a breach of any term or provision of, or constitute a default (or any event which with
notice or lapse of time or both would constitute a default) under, or require any consent or waiver
under or result in the execution or imposition of any lien, charge or encumbrance upon the
properties or assets of the Company pursuant to the terms of any indenture, mortgage, deed of trust
or other agreement or instrument to which the Company is a party or by which the Company is bound
or to which any of its assets or properties is subject or any license, permit, statute, rule,
regulation, judgment, decree or order of any governmental agency or body or any court, domestic or
foreign, having jurisdiction over the Company or any of its assets or properties, other than a
conflict, breach or default that would not have a Material Adverse Effect.

4.11. Tax Matters. The Company has timely prepared and filed all tax returns required
to have been filed by the Company with all appropriate governmental agencies and timely paid all
taxes shown thereon or otherwise owed by it, except as would not have a Material Adverse Effect.
The charges, accruals and reserves on the books of the Company in respect of taxes for all fiscal
periods are adequate in all material respects, and there are no material unpaid assessments against
the Company. All taxes and other assessments and levies that the Company is required to withhold or
to collect for payment have been duly withheld and collected and paid to the proper governmental
entity or third party when due. There are no tax liens or claims pending or, to the Company’s
knowledge, threatened against the Company or any of its assets or property, other than Permitted
Liens. There are no tax audits or investigations pending, which if adversely determined would
result in a Material Adverse Effect. There are no outstanding tax sharing agreements or other such
arrangements between the Company and any other Person. The Company does not have any deferred
compensation arrangements and has not paid or is not required to pay any deferred compensation that
would be subject to Section 409A of the Internal Revenue Code.

4.12. Title to Properties. The Company has good and marketable title to all
properties and assets owned by it, in each case free from liens, encumbrances and defects, other
than Permitted Liens. The Company holds any leased real or personal property under valid and
enforceable leases. The Company does not own any real property.

4.13. Certificates, Authorities and Permits. The Company possesses adequate
certificates, approvals, authorities or permits (“Permits”) issued by governmental agencies or
bodies necessary to own, lease and license its assets and properties and conduct the business now
operated by it, all of which are valid and in full force and effect, except where the lack of such
Permits, individually or in the aggregate, would not have a Material Adverse Effect. The Company
has performed in all material respects all of its material obligations with respect to such Permits
and no event has occurred that allows, or after notice or lapse of time, would allow, revocation or
termination thereof. The Company has not received any written notice of proceedings relating to the
revocation or modification of any such certificate, authority or permit that, if determined
adversely to the Company, would, individually or in the aggregate, have a Material Adverse Effect.

4.14. Labor Matters.

(a) The Company is not a party to or bound by any collective bargaining agreement. The Company
has not violated in any material respect any laws, regulations, orders or contract terms, affecting
the collective bargaining rights of employees, labor organizations or any laws, regulations or
orders affecting employment discrimination, equal opportunity employment or employees’ health,
safety, welfare, wages and hours.

(b) (i) There are no labor disputes existing, or to the Company’s knowledge, threatened,
involving strikes, slow-downs, work stoppages, job actions, disputes, lockouts or any other
disruptions of or by the Company’s employees, (ii) there are no unfair labor practices or petitions
for election pending or, to the Company’s knowledge, threatened before the National Labor Relations
Board or any other federal, state or local labor commission relating to the Company’s employees,
(iii) no demand for recognition or certification heretofore made by any labor organization or group
of employees is pending with respect to the Company and (iv) to the Company’s knowledge, the
Company enjoys good labor and employee relations with its employees.

(c) The Company is in compliance in all material respects with applicable laws respecting
employment (including laws relating to classification of employees and independent contractors) and
employment practices, terms and conditions of employment, wages and hours, and immigration and
naturalization. No claims are pending against the Company before the Equal Employment Opportunity
Commission or any other administrative body or in any court asserting any violation of Title VII of
the Civil Rights Act of 1964, the Age Discrimination Act of 1967, 42 U.S.C. §§ 1981 or 1983 or any
other federal, state or local law, statute or ordinance barring discrimination in employment.

(d) The Company is not a party to, or bound by, any employment or other contract or agreement
that contains any severance, termination pay or change of control liability or obligation,
including, without limitation, any “excess parachute payment,” as defined in Section 280G(b) of the
Internal Revenue Code of 1986, as amended.

4.15. Intellectual Property.

(a) To the Company’s knowledge, all Intellectual Property of the Company is valid and
enforceable. No Intellectual Property owned or licensed by the Company that is necessary for and
material to the conduct of Company’s business as currently conducted or as proposed to be conducted
as described in the SEC Filings is involved in any cancellation, dispute or litigation, and, to the
Company’s knowledge, no such action is threatened. No issued patent owned by the Company is
involved in any interference, reissue, re-examination or opposition proceeding.

(b) All of the in-bound licenses and sublicenses and consent, royalty or other agreements
concerning Intellectual Property which are necessary for the conduct of the Company’s business as
currently conducted and as proposed to be conducted as described in the SEC Filings to which the
Company is a party (other than  generally commercially available, non-custom, off-the-shelf
software application programs having a retail acquisition price of less than $50,000 per license)
(collectively, “In-Bound License Agreements”) are, to the Company’s knowledge, valid and
binding obligations of the Company and the counterparty thereto, enforceable in accordance with
their terms, except to the extent that enforcement thereof may be limited by bankruptcy,
insolvency, reorganization, moratorium, fraudulent conveyance or other similar laws affecting the
enforcement of creditors’ rights generally, and, to the Company’s knowledge, neither the Company
nor the counterparty thereto is in material breach of any of its obligations under any such
In-Bound License Agreements.

(c) The Company owns or has the valid right to use all of the Intellectual Property that is
necessary for the conduct of the Company’s business as currently conducted and as proposed to be
conducted as described in the SEC Filings and for the ownership, maintenance and operation of the
Company’s properties and assets, free and clear of all liens, encumbrances, adverse claims or, with
respect to Intellectual Property owned by the Company, obligations to license such Intellectual
Property, other than licenses of the Intellectual Property owned by the Company that are entered
into in the ordinary course of the Company’s business. To the Company’s knowledge, the Company has
a valid and enforceable right to use all third party Intellectual Property and Confidential
Information used or held for use in the business of the Company.

(d) To the Company’s knowledge, the conduct of the Company’s business as currently conducted
or as proposed to be conducted as described in the SEC Filings, the use or exploitation of any
Intellectual Property owned by the Company, or to its knowledge, the use or exploitation of any
Intellectual Property licensed by the Company does not infringe, misappropriate or otherwise
materially impair or conflict with (collectively, “Infringe”) any Intellectual Property
rights of any third party and, to the Company’s knowledge, the Intellectual Property owned by the
Company which is necessary for the conduct of Company’s business as currently conducted or as
proposed to be conducted as set forth in the SEC Filings is not being Infringed by any third party.
There is no litigation, court order, claim or assertion pending or outstanding or, to the Company’s
knowledge, threatened, that seeks to limit or challenge the ownership, use, validity or
enforceability of any Intellectual Property owned or licensed by the Company or the Company’s use
of any Intellectual Property owned by a third party.

(e) To the Company’s knowledge, the consummation of the transactions contemplated hereby and
by the other Transaction Documents will not result in the (i) loss, material impairment of or
material restriction on any of the Intellectual Property or Confidential Information owned by the
Company which is necessary for the conduct of Company’s business as currently conducted or as
proposed to be conducted as set forth in the SEC Filings or (ii) material breach of any In-Bound
License Agreement.

(f) To the Company’s knowledge, the Company has taken reasonable steps to protect the
Company’s rights in its Intellectual Property and Confidential Information. Each employee and
consultant who has access to the Company’s Confidential Information necessary for the conduct of
Company’s business as currently conducted has executed an agreement to maintain the confidentiality
of such Confidential Information. To the Company’s knowledge, and except pursuant to non-disclosure
or other confidentiality agreements entered into between the Company and third parties in the
ordinary course of business, there has been no disclosure of the Company’s Intellectual Property or
Confidential Information to any third party. To the Company’s knowledge, there have been no
misappropriations or infringements by any Person of any Intellectual Property used in the conduct
or operation of the Company’s business.

4.16. Environmental Matters. The Company is not in violation of any statute, rule,
regulation, decision or order of any governmental agency or body or any court, domestic or foreign,
relating to the use, disposal or release of hazardous or toxic substances or relating to the
protection or restoration of the environment or human exposure to hazardous or toxic substances
(collectively, “Environmental Laws”). The Company does not own or operate any real property
contaminated with any substance that is subject to any Environmental Laws, is not liable for any
off-site disposal or contamination pursuant to any Environmental Laws, and is not subject to any
claim relating to any Environmental Laws, which violation, contamination, liability or claim would
reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect. There
is no pending or, to the Company’s knowledge, threatened investigation that might lead to such a
claim.

4.17. Litigation. Except as set forth in Schedule 4.17 or in the SEC Filings, there
are no pending or, to the Company’s knowledge, threatened actions, suits, proceedings, inquiries or
investigations against or affecting the Company or any of its properties or any of the Company’s
officers and directors in their capacities as such.

4.18. Financial Statements. The financial statements included in each SEC Filing
present fairly, in all material respects, the financial position of the Company as of the dates
shown and its results of operations and cash flows for the periods shown, and such financial
statements have been prepared in conformity with United States generally accepted accounting
principles applied on a consistent basis (“GAAP”) (except as may be disclosed therein or in
the notes thereto, and, in the case of quarterly financial statements, as permitted by Form 10-Q
under the Exchange Act). Except as set forth in the financial statements of the Company included in
the SEC Filings filed prior to the date hereof, the Company has not incurred any liabilities,
contingent or otherwise, except those incurred in the ordinary course of business, consistent with
past practices since the date of such financial statements, none of which, individually or in the
aggregate, would reasonably be expected to have a Material Adverse Effect.

4.19. Insurance Coverage. The Company maintains in full force and effect insurance
coverage that is, to the Company’s knowledge, sufficient for the continued conduct of its business.
Set forth on Schedule 4.19 is a list of each insurance policy maintained by the Company, and each
such policy is in full force and effect.

4.20. Compliance with Nasdaq Continued Listing Requirements. The Company is in
compliance with applicable Nasdaq continued listing requirements. The Company has not received any
written notice with respect to the delisting of the Common Stock from the Nasdaq Global Market.

4.21. Brokers and Finders. No Person will have, as a result of the transactions
contemplated by the Transaction Documents, any valid right, interest or claim for any commission,
fee or other compensation pursuant to any agreement, arrangement or understanding entered into by
or on behalf of the Company.

4.22. No Directed Selling Efforts or General Solicitation. Neither the Company nor
any Person acting on its behalf has conducted any general solicitation or general advertising (as
those terms are used in Regulation D under the Securities Act) in connection with the offer or sale
of the Securities.

4.23. No Integrated Offering. Neither the Company nor any Person acting on its behalf
has, directly or indirectly, made any offers or sales of any Company security or solicited any
offers to buy any security, under circumstances that would adversely affect reliance by the Company
on Section 4(2) of the Securities Act for the exemption from registration for the transactions
contemplated hereby or would require registration of the Securities under the Securities Act or
would be integrated under the Nasdaq Marketplace Rules.

4.24. Private Placement. Subject to the accuracy of each Investor’s representations
in Section 5 hereof, the offer and sale of the Securities to the Investors as contemplated hereby
is exempt from the registration requirements of the Securities Act.

4.25. Questionable Payments. Neither the Company nor, to the Company’s knowledge, any
of its directors, officers, employees, agents or other Persons acting on behalf of the Company, has
on behalf of the Company or in connection with its business: (a) used any corporate funds for
unlawful contributions, gifts, entertainment or other unlawful expenses relating to political
activity; (b) made any direct or indirect unlawful payments to any governmental officials or
employees from corporate funds; (c) established or maintained any unlawful or unrecorded fund of
corporate monies or other assets; (d) made any false or fictitious entries on the books and records
of the Company; or (e) made any unlawful bribe, rebate, payoff, influence payment, kickback or
other unlawful payment of any nature.

4.26. Transactions with Affiliates. Except as described in the SEC Filings, none of
the officers or directors of the Company and, to the Company’s knowledge, none of the employees of
the Company is presently a party to any transaction with the Company (other than as holders of
stock options and/or warrants, and 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 Company’s knowledge, any entity in which any
officer, director, or any such employee has a substantial interest or is an officer, director,
trustee or partner, in each case in excess of $120,000 other than for (i) payment of salary or
consulting services rendered (for which there is no current arrearage other than for the current
pay period); (ii) reimbursement of expenses incurred on behalf of the Company in the ordinary
course of business; and (iii) other employee benefits, including stock option agreements under any
stock option plan of the Company disclosed in the SEC Filings.

4.27. Internal Controls. The Company is in material compliance with the provisions of
the Sarbanes-Oxley Act of 2002 currently applicable to the Company. The Company maintains a system
of internal accounting controls sufficient to provide reasonable assurance that (i) transactions
are executed in accordance with management’s general or specific authorizations, (ii) transactions
are recorded as necessary to permit preparation of financial statements in conformity with GAAP and
to maintain asset accountability, (iii) access to assets is permitted only in accordance with
management’s general or specific authorization, and (iv) the recorded accountability for assets is
compared with the existing assets at reasonable intervals and appropriate action is taken with
respect to any differences. The Company has established disclosure controls and procedures (as
defined in Exchange Act Rules 13a-15 and 15d-15) for the Company and designed such disclosure
controls and procedures to ensure that material information relating to the Company is made known
to the certifying officers by others within those entities. The Company’s certifying officers have
evaluated the effectiveness of the Company’s controls and procedures as of the end of the period
covered by the most recently filed periodic report under the Exchange Act (such date, the
“Evaluation Date”). The Company presented in its most recently filed periodic report under
the Exchange Act the conclusions of the certifying officers about the effectiveness of the
disclosure controls and procedures based on their evaluations as of the Evaluation Date. Since the
Evaluation Date, there have been no significant changes in the Company’s internal controls (as such
term is defined in Item 307(b) of Regulation S-K) or, to the Company’s knowledge, in other factors
that has affected or could reasonably be expected to significantly affect the Company’s internal
controls. The books, records and accounts of the Company accurately and fairly reflect, in all
material respects, the transactions in, and dispositions of, the assets of, and the results of
operations of, the Company. The Company maintains and will continue to maintain a standard system
of accounting established and administered in accordance with GAAP and the applicable requirements
of the Exchange Act.

4.28. Independent Accountants. Grant Thornton LLP is the Company’s independent
registered public accounting firm as required by the Exchange Act, and the rules and regulations of
the SEC thereunder.

4.29. Investment Company. The Company is not and, after giving effect to the offering
and sale of the Securities, will not be an “investment company” within the meaning of the
Investment Company Act of 1940, as amended.

4.30. FDA. As to each product subject to the jurisdiction of the U.S. Food and Drug
Administration (“FDA”) under the Federal Food, Drug and Cosmetic Act, as amended, and the
regulations thereunder (“FDCA”) that is manufactured, packaged, labeled, tested,
distributed, sold, and/or marketed by the Company or any of its Subsidiaries (each such product, a
“Medical Device”), such Medical Device is being manufactured, packaged, labeled, tested,
distributed, sold and/or marketed by the Company in compliance with all applicable requirements
under FDCA and similar laws, rules and regulations relating to registration, investigational use,
premarket clearance, licensure, or application approval, good manufacturing practices, good
laboratory practices, good clinical practices, product listing, quotas, labeling, advertising,
record keeping and filing of reports, except where the failure to be in compliance would not have a
Material Adverse Effect. There is no pending, completed or, to the Company’s knowledge, threatened
action (including any lawsuit, arbitration, or legal or administrative or regulatory proceeding,
charge, complaint, or investigation) against the Company or any of its Subsidiaries, and neither
the Company nor any of its Subsidiaries has received any notice, warning letter or other
communication from the FDA or any other governmental entity, which (i) contests the premarket
clearance, licensure, registration, or approval of, the uses of, the distribution of, the
manufacturing or packaging of, the testing of, the sale of, or the labeling and promotion of any
Medical Device, (ii) withdraws its approval of, requests the recall, suspension, or seizure of, or
withdraws or orders the withdrawal of advertising or sales promotional materials relating to, any
Medical Device, (iii) imposes a clinical hold on any clinical investigation by the Company or any
of its Subsidiaries, (iv) enjoins production at any facility of the Company or any of its
Subsidiaries, (v) enters or proposes to enter into a consent decree of permanent injunction with
the Company or any of its Subsidiaries, or (vi) otherwise alleges any violation of any laws, rules
or regulations by the Company or any of its Subsidiaries. The properties, business and operations
of the Company have been and are being conducted in all material respects in accordance with all
applicable laws, rules and regulations of the FDA.  The Company has not been informed by the FDA
that the FDA will prohibit the marketing, sale, license or use in the United States of any product
proposed to be developed, produced or marketed by the Company nor has the FDA expressed any concern
as to approving or clearing for marketing any product being developed or proposed to be developed
by the Company.

4.31. Material Contracts. All material documents, contracts or other agreements of
the Company required to be filed with the SEC have been filed with the SEC and are included in the
exhibits to the SEC Filings. The description of the contracts, documents or other agreements
contained in the SEC Filings (as the case may be) reflect in all material respects the terms of
each underlying contract, document or other agreement. Each such contract, document or other
agreement is in full force and effect and is valid and enforceable by and against the Company in
accordance with its terms. Except as set forth in Schedule 4.31, the Company is not in default in
the observance or performance of any term or obligation to be performed by it under any such
agreement, and no event has occurred which with notice or lapse of time or both would constitute
such a default, in any such case which default or event, individually or in the aggregate, would
result in a Material Adverse Effect.

4.32. S-3 Eligibility. To the Company’s knowledge, there is no reason why the Company
would not be eligible to file with the Securities and Exchange Commission a registration statement
on Form S-3 and otherwise comply with the Company’s obligations under the Registration Rights
Agreement.

5. Representations and Warranties of the Investors. Each of the Investors hereby,
severally and not jointly, represents and warrants to the Company (provided that such
representations and warranties should not lessen or obviate the representations and warranties of
the Company set forth in Section 4 hereof) that:

5.1. Organization and Existence. Such Investor is a validly existing corporation,
limited partnership or limited liability company and has all requisite corporate, partnership or
limited liability company power and authority to invest in the Securities pursuant to this
Agreement and to enter into and to consummate the transactions contemplated by the Transaction
Documents and otherwise to carry out its obligations hereunder and thereunder.

5.2. Authorization. The execution, delivery and performance by such Investor of the
Transaction Documents have been duly authorized, and the Transaction Documents constitute the valid
and legally binding obligations of such Investor, enforceable against such Investor in accordance
with their respective terms, (i) subject to bankruptcy, insolvency, fraudulent transfer,
reorganization, moratorium and similar laws of general applicability, relating to or affecting
creditors’ rights generally, (ii) as limited by general principles of equity that restrict the
availability of equitable remedies, and (iii) to the extent that the enforceability of the
indemnification provisions of the Registration Rights Agreement may be limited by applicable laws.

5.3. Purchase Entirely for Own Account. The Securities to be received by such
Investor hereunder will be acquired for such Investor’s own account, not as nominee or agent, and
not with a view to the resale or distribution of any part thereof in violation of the Securities
Act, and such Investor has no present intention of selling, granting any participation in, or
otherwise distributing the same in violation of the Securities Act. Such Investor is not a
broker-dealer registered with the SEC under the Exchange Act or an entity engaged in a business
that would require it to be so registered. Such Investor is acquiring the Securities in the
ordinary course of business.

5.4. Investment Experience. Such Investor acknowledges that it can bear the economic
risk and complete loss of its investment in the Securities and has such knowledge and experience in
financial or business matters that it is capable of evaluating the merits and risks of the
investment in the Securities contemplated hereby.

5.5. Disclosure of Information. Such Investor has had an opportunity to receive all
information related to the Company requested by it and to ask questions of and receive answers from
the Company regarding the Company, its business and the terms and conditions of the offering of the
Securities. Such Investor acknowledges receipt of copies of the SEC Filings.

5.6. Restricted Securities. Such Investor understands that the Securities are
characterized as “restricted securities” under the U.S. federal securities laws inasmuch as they
are being acquired from the Company in a transaction not involving a public offering and that under
such laws and applicable regulations such securities may be resold without registration under the
Securities Act only in certain limited circumstances. 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 such Investor, Investor understands that 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 an Investor under
this Agreement and the Registration Rights Agreement.

5.7. Legends. It is understood that, except as provided below, certificates
evidencing the Securities may bear the following or any similar legend:

(a) “The securities represented hereby have not been registered under the Securities Act of
1933, as amended (the “Securities Act”), or any state securities laws. The securities represented
hereby may not be transferred unless (i) such securities have been registered for sale pursuant to
the Securities Act, (ii) such securities may be sold pursuant to Rule 144, or (iii) the Company has
received an opinion of counsel reasonably satisfactory to it that such transfer may lawfully be
made without registration under the Securities Act or qualification under applicable state
securities laws.”

(b) If required by the authorities of any state in connection with the issuance of sale of the
Securities, the legend required by such state authority.

5.8. Accredited Investor. Such Investor is an accredited investor as defined in Rule
501(a) of Regulation D, as amended, under the Securities Act.

5.9. No General Solicitation. Such Investor did not learn of the investment in the
Securities as a result of any public advertising or general solicitation.

5.10. Brokers and Finders. No Person will have, as a result of the transactions
contemplated by the Transaction Documents, any valid right, interest or claim against or upon the
Company or an Investor for any commission, fee or other compensation pursuant to any agreement,
arrangement or understanding entered into by or on behalf of such Investor.

5.11. Short Sales Prior To The Date Hereof. Such Investor has not, nor has any Person
acting on behalf of or pursuant to any understanding with such Investor, directly or indirectly
executed any short sales of the securities of the Company during the period commencing from the
time that such Investor was first contacted by the Company with respect to the transactions
contemplated hereunder until the date hereof (“Discussion Time”). Notwithstanding the foregoing, in
the case of an Investor that is a multi-managed investment vehicle whereby separate portfolio
managers manage separate portions of such Investor’s assets and the portfolio managers have no
direct knowledge of the investment decisions made by the portfolio managers managing other portions
of such Investor’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 the Transaction Documents.

6. Conditions to Closing.

6.1. Conditions to the Investors’ Obligations. The obligation of each Investor to
purchase the Shares and the Warrants at the Closing is subject to the satisfaction, on or prior to
the Closing Date, of the following conditions, any of which may be waived by such Investor (as to
itself only):

(a) The representations and warranties made by the Company in Section 4 hereof qualified as to
materiality shall be true and correct on the date hereof and on the Closing Date (except to the
extent any such representation or warranty expressly speaks as of a specific date, in which case
such representation or warranty shall be true and correct as of such date), and the representations
and warranties made by the Company in Section 4 hereof not qualified as to materiality shall be
true and correct in all material respects on the date hereof and on the Closing Date (except to the
extent any such representation or warranty expressly speaks as of a specific date, in which case
such representation or warranty shall be true and correct in all material respects as of such
specific date). The Company shall have performed all obligations and covenants herein required to
be performed by it on or prior to the Closing Date. The Company shall have delivered a certificate,
executed on behalf of the Company by its Chief Executive Officer or its Chief Financial Officer,
dated as of the Closing Date, certifying to the fulfillment of the condition specified in this
Section 6.1(a).

(b) The Company shall have obtained any and all consents, permits, approvals, registrations
and waivers necessary or appropriate for consummation of the purchase and sale of the Securities
and the consummation of the other transactions contemplated by the Transaction Documents to be
consummated on or prior to the Closing Date, all of which shall be in full force and effect.

(c) The Company shall have executed and delivered the Transaction Documents.

(d) No judgment, writ, order, injunction, award or decree of or by any court, or judge,
justice or magistrate, including any bankruptcy court or judge, or any order of or by any
governmental authority, shall have been issued, and no action or proceeding shall have been
instituted by any governmental authority, enjoining or preventing the consummation of the
transactions contemplated by the Transaction Documents.

(e) The Company shall have delivered a certificate, executed on behalf of the Company by its
Secretary, dated as of the Closing Date, certifying the resolutions adopted by the Board of
Directors of the Company approving the transactions contemplated by the Transaction Documents,
certifying the current versions of the Articles of Incorporation and Bylaws of the Company and
certifying as to the signatures and authority of Persons signing the Transaction Documents and
related documents on behalf of the Company.

(f) The Investors shall have received an opinion from Dorsey & Whitney LLP, the Company’s
counsel, dated as of the Closing Date, in the form attached hereto as Exhibit D .

(g) No stop order or suspension of trading shall have been imposed by Nasdaq, the SEC or any
other governmental or regulatory body with respect to public trading in the Common Stock. The
Company shall not have received notice of any delisting on Nasdaq or that it is violation of any
Nasdaq rule, regulation or interpretation which could lead to delisting.

(h) The Company’s delivery (i) to its transfer agent of irrevocable instructions to issue and
deliver to each Investor (or in such nominee name(s) as designated by such Investor in writing)
certificates evidencing such number of Shares as set forth on the signature pages to this
Agreement, and (ii) duly executed copies of the Warrants to the Investor.

(i) All due diligence shall have been completed to the satisfaction of the Investors in their
reasonable discretion.

(j) Martin P. Sutter, or such other individual as may be designated in writing by the
Investors, shall have been elected to the Company’s Board of Directors effective as of the Closing.

6.2. Conditions to Obligations of the Company. The Company’s obligation to sell and
issue the Shares and the Warrants at the Closing is subject to the satisfaction on or prior to the
Closing Date of the following conditions, any of which may be waived by the Company:

(a) The representations and warranties made by the Investors in Section 5 hereof shall be true
and correct in all material respects when made and as of the Closing Date with the same force and
effect as if they had been made on and as of said date (except to the extent any such
representation or warranty expressly speaks as of a specific date, in which case such
representation or warranty shall be true and correct in all material respects as of such specific
date).

(b) The Investors shall have executed and delivered this Agreement and the Registration Rights
Agreement.

(c) No judgment, writ, order, injunction, award or decree of or by any court, or judge,
justice or magistrate, including any bankruptcy court or judge, or any order of or by any
governmental authority, shall have been issued, and no action or proceeding shall have been
instituted by any governmental authority, enjoining or preventing the consummation of the
transactions contemplated by the Transaction Documents.

(d) The Investors shall have delivered the Purchase Price for the Shares and the Warrants to
the Company.

6.3. Termination of Obligations to Effect Closing; Effects. The obligation of the
Company, on the one hand, and the Investors, on the other hand, to effect the Closing shall
terminate as follows:

(a) Upon the mutual written consent of the Company and the Investors;

(b) By the Company if any of the conditions set forth in Section 6.2 shall have become
incapable of fulfillment, and shall not have been waived by the Company;

(c) By an Investor (with respect to itself only) if any of the conditions set forth in Section
6.1 shall have become incapable of fulfillment, and shall not have been waived by the Investor; or

(d) By either the Company or any Investor (with respect to itself only) if the Closing has not
occurred on or prior to December 23, 2008;

provided, however, that, except in the case of clause (a) above, the party seeking to terminate its
obligation to effect the Closing shall not then be in breach of any of its representations,
warranties, covenants or agreements contained in this Agreement if such breach has resulted in the
circumstances giving rise to such party’s seeking to terminate its obligation to effect the
Closing.

7. Covenants and Agreements.

7.1. No Conflicting Agreements. The Company will not take any action, enter into any
agreement or make any commitment that would conflict or interfere in any material respect with the
Company’s obligations to the Investors under the Transaction Documents.

7.2. Insurance. The Company shall not materially reduce the insurance coverages
described in Section 4.19.

7.3. Compliance with Laws. The Company will comply in all material respects with all
applicable laws, rules, regulations, orders and decrees of all governmental authorities.

7.4. Listing of Underlying Shares and Related Matters. Promptly following the date
hereof, the Company shall take all necessary action to cause the Shares and the Warrant Shares to
be listed on the Nasdaq Global Market. The Company will use commercially reasonable efforts to
continue the listing and trading of its Common Stock on the Nasdaq Global Market and, in
accordance, therewith, will use commercially reasonable efforts to comply in all respects with the
Company’s reporting, filing and other obligations under the bylaws or rules of such market or
exchange, as applicable.

7.5. Termination of Covenants. The provisions of Sections 7.1 through 7.4 shall
terminate and be of no further force and effect on the date on which the Company’s obligations
under the Registration Rights Agreement to register or maintain the effectiveness of any
registration covering the Registrable Securities (as such term is defined in the Registration
Rights Agreement) shall terminate.

7.6. Removal of Legends. Upon the earlier of (i) the sale pursuant to the
Registration Statement and receipt by the Company or its agents of the Investor’s written
confirmation that such Shares or the Warrant Shares were disposed of in compliance with the
prospectus delivery requirements of the Securities Act or (ii) the last sentence of Rule
144(b)(1)(i) under the Securities Act becoming available for the resale of the Investor’s Shares or
the Warrant Shares, the Company shall within three (3) Business Days of an Investor’s written
request, cause certificates evidencing the Investor’s Shares or Warrant Shares to be replaced with
certificates which do not bear such restrictive legends.

7.7. Information Rights. The Company shall provide to the Investor the same
information required to be delivered to Silicon Valley Bank pursuant to Section 6.2 of that certain
Loan and Security Agreement, dated as of July 28, 2004 (as amended through the date hereof), by and
between the Company and Silicon Valley Bank.

8. Survival and Indemnification.

8.1. Survival. The representations, warranties, covenants and agreements contained in
this Agreement shall survive the Closing of the transactions contemplated by this Agreement for a
period of two years, except as otherwise expressly provided in this Agreement.

8.2. Indemnification. The Company agrees to indemnify and hold harmless each Investor
and its Affiliates and their respective directors, officers, employees and agents and each person
who controls an Investor within the meaning of the Securities Act from and against any and all
losses, claims, damages, liabilities and expenses (including without limitation reasonable
attorneys’ fees and disbursements and other expenses incurred in connection with investigating,
preparing or defending any action, claim or proceeding, pending or threatened and the costs of
enforcement thereof) (collectively, “Losses”) to which such Person may become subject as a
result of any breach of representation, warranty, covenant or agreement made by or to be performed
on the part of the Company under the Transaction Documents. Each Investor agrees, severally and not
jointly, to indemnify and hold harmless the Company and its directors, officers, employees and
agents from and against any and all Losses to which such Person may become subject as a result of
any breach of representation, warranty, covenant or agreement made by or to be performed on the
part of such Investor under the Transaction Documents.

8.3. Conduct of Indemnification Proceedings. Any Person entitled to indemnification
hereunder shall (i) give prompt notice to the indemnifying party of any claim with respect to which
it seeks indemnification and (ii) permit such indemnifying party to assume the defense of such
claim with counsel reasonably satisfactory to the indemnified party; provided that any
Person entitled to indemnification hereunder shall have the right to employ separate counsel and to
participate in the defense of such claim, but the fees and expenses of such counsel shall be at the
expense of such Person unless (a) the indemnifying party has agreed to pay such fees or expenses,
or (b) the indemnifying party shall have failed to assume the defense of such claim within five (5)
Business Days after written notice thereof and employ counsel reasonably satisfactory to such
Person or (c) in the reasonable judgment of any such Person, considering the advice of counsel, a
conflict of interest exists between such Person and the indemnifying party with respect to such
claims (in which case, if the Person notifies the indemnifying party in writing that such Person
elects to employ separate counsel at the expense of the indemnifying party, the indemnifying party
shall not have the right to assume the defense of such claim on behalf of such Person); and
provided, further , that the failure of any indemnified party to give notice as provided herein
shall not relieve the indemnifying party of its obligations hereunder, except to the extent that
such failure to give notice shall materially adversely affect the indemnifying party in the defense
of any such claim or litigation, but the omission so to deliver notice to the indemnifying party
will not relieve it of any liability that it may have to any indemnified party otherwise than under
this Section 8. It is understood that the indemnifying party shall not, in connection with any
proceeding in the same jurisdiction, be liable for fees or expenses of more than one additional
firm of attorneys at any time for all such indemnified parties. No indemnifying party will, except
with the consent of the indemnified party, consent to entry of any judgment or enter into any
settlement that does not include as an unconditional term thereof the giving by the claimant or
plaintiff to such indemnified party of a release from all liability in respect of such claim or
litigation.

9. Miscellaneous.

9.1. Successors and Assigns. This Agreement may not be assigned by a party hereto
without the prior written consent of the Company or the Investors, as applicable, provided,
however, that an Investor may assign its rights and delegate its duties hereunder in whole or in
part to an Affiliate acquiring some or all of its Shares or Warrant Shares after notice duly given
by such Investor to the Company, provided that no such assignment or obligation shall
affect the obligations of such Investor hereunder. The provisions of this Agreement shall inure to
the benefit of and be binding upon the respective permitted successors and assigns of the parties.
Nothing in this Agreement, express or implied, is intended to confer upon any party other than the
parties hereto or their respective successors and assigns any rights, remedies, obligations, or
liabilities under or by reason of this Agreement, except as expressly provided in this Agreement.

9.2. Counterparts; Faxes. This Agreement may be executed in two or more counterparts,
each of which shall be deemed an original, but all of which together shall constitute one and the
same instrument. This Agreement may also be executed via facsimile, which shall be deemed an
original.

9.3. Titles and Subtitles. The titles and subtitles used in this Agreement are used
for convenience only and are not to be considered in construing or interpreting this Agreement.

9.4. Notices. Unless otherwise provided, any notice required or permitted under this
Agreement shall be given in writing and shall be deemed effectively given as hereinafter described
(i) if given by personal delivery, then such notice shall be deemed given upon such delivery, (ii)
if given by telex or telecopier, then such notice shall be deemed given upon receipt of
confirmation of complete transmittal, (iii) if given by mail, then such notice shall be deemed
given upon the earlier of (A) receipt of such notice by the recipient or (B) three days after such
notice is deposited in first class mail, postage prepaid, and (iv) if given by an internationally
recognized overnight air courier, then such notice shall be deemed given one Business Day after
delivery to such carrier. All notices shall be addressed to the party to be notified at the address
as follows, or at such other address as such party may designate by ten days’ advance written
notice to the other party:

If to the Company:

ATS Medical, Inc.

3905 Annapolis Lane North, Suite 105

Minneapolis, MN 55447

Attn: Chief Executive Officer

With a copy to:

Timothy S. Hearn, Esq.

Dorsey & Whitney LLP

50 S. 6 th Street, Suite 1500

Minneapolis, MN 55402

If to the Investors:

21 Waterway Avenue, Suite 225

The Woodlands, Texas 77380

Attn: Martin Sutter

With a copy to:

24 Waterway Avenue, Suite 500

The Woodlands, Texas 77380

Attn: Jeffrey R. Harder

9.5. Expenses. The parties hereto shall pay their own costs and expenses in
connection herewith, provided that the Company shall pay the reasonable fees and expenses,
not to exceed $100,000 in the aggregate, of Winstead PC as counsel to the Investors. In the event
that legal proceedings are commenced by any party to this Agreement against another party to this
Agreement in connection with this Agreement or the other Transaction Documents, the party or
parties which do not prevail in such proceedings shall severally, but not jointly, pay their pro
rata share of the reasonable attorneys’ fees and other reasonable out-of-pocket costs and expenses
incurred by the prevailing party in such proceedings.

9.6. Amendments and Waivers. Any term of this Agreement may be amended and the
observance of any term of this Agreement may be waived (either generally or in a particular
instance and either retroactively or prospectively), only with the written consent of the Company
and the Investors. Any amendment or waiver effected in accordance with this paragraph shall be
binding upon each holder of any Securities purchased under this Agreement at the time outstanding,
each future holder of all such Securities, and the Company.

9.7. Publicity. Except as set forth below, no public release or announcement
concerning the transactions contemplated hereby shall be issued by the Company or the Investors
without the prior consent of the Company (in the case of a release or announcement by the
Investors) or the Investors (in the case of a release or announcement by the Company) (which
consents shall not be unreasonably withheld), except as such release or announcement may be
required by law or the applicable rules or regulations of Nasdaq, any securities exchange or other
securities market. On the trading day immediately following the date hereof, the Company shall
issue a press release disclosing the transactions contemplated by this Agreement. No later than the
fourth trading day following the date hereof, the Company will file a Current Report on Form 8-K
describing the Transaction Documents and attaching the press release described in the foregoing
sentence. In addition, the Company will make such other filings (including filing the Transaction
Documents with the SEC) and notices in the manner and time required by the SEC or Nasdaq.

9.8. Severability. Any provision of this Agreement that is prohibited or
unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of
such prohibition or unenforceability without invalidating the remaining provisions hereof but shall
be interpreted as if it were written so as to be enforceable to the maximum extent permitted by
applicable law, and any such prohibition or unenforceability in any jurisdiction shall not
invalidate or render unenforceable such provision in any other jurisdiction. To the extent
permitted by applicable law, the parties hereby waive any provision of law which renders any
provision hereof prohibited or unenforceable in any respect.

9.9. Entire Agreement. This Agreement, including the exhibits and the Disclosure
Schedules, and the other Transaction Documents constitute the entire agreement among the parties
hereof with respect to the subject matter hereof and thereof and supersede all prior agreements and
understandings, both oral and written, between the parties with respect to the subject matter
hereof and thereof.

9.10. Further Assurances. The parties shall execute and deliver all such further
instruments and documents and take all such other actions as may reasonably be required to carry
out the transactions contemplated hereby and to evidence the fulfillment of the agreements herein
contained.

9.11. Governing Law; Consent to Jurisdiction; Waiver of Jury Trial. This Agreement
shall be governed by, and construed in accordance with, the internal laws of the State of New York
without regard to the choice of law principles thereof. Each of the parties hereto irrevocably
submits to the exclusive jurisdiction of the courts of the State of New York located in New York
County and the United States District Court for the Southern District of New York for the purpose
of any suit, action, proceeding or judgment relating to or arising out of this Agreement and the
transactions contemplated hereby. Service of process in connection with any such suit, action or
proceeding may be served on each party hereto anywhere in the world by the same methods as are
specified for the giving of notices under this Agreement. Each of the parties hereto irrevocably
consents to the jurisdiction of any such court in any such suit, action or proceeding and to the
laying of venue in such court. Each party hereto irrevocably waives any objection to the laying of
venue of any such suit, action or proceeding brought in such courts and irrevocably waives any
claim that any such suit, action or proceeding brought in any such court has been brought in an
inconvenient forum. EACH OF THE PARTIES HERETO WAIVES ANY RIGHT TO REQUEST A TRIAL BY JURY IN ANY
LITIGATION WITH RESPECT TO THIS AGREEMENT AND REPRESENTS THAT COUNSEL HAS BEEN CONSULTED
SPECIFICALLY AS TO THIS WAIVER.

9.12. Director Expenses. For so long as a designee of the Investors is a member of
the Company’s Board of Directors, the Company shall reimburse the reasonable out-of-pocket expenses
of such director incurred in connection with attendance of meetings of the Company’s Board of
Directors and other events at the request of the Company.

[Remainder of Page Intentionally Left Blank]

1

IN WITNESS WHEREOF, the parties have executed this Common Stock Purchase Agreement as of the
date first above written.

The Company: ATS MEDICAL, INC.

By: /s/ Michael Dale

Name: Michael Dale

Title: Chairman, CEO and President

The Investors:

ESSEX WOODLANDS HEALTH VENTURES FUND VIII, L.P.

By: Essex Woodlands Health Ventures VIII, L.P.

Its General Partner

By: Essex Woodlands Health Ventures VIII, LLC

Its General Partner

By: /s/ Martin Sutter

Title: Manager

Purchase Price: $ 18,107,800.45

Number of Shares: 7,705,447

Number of shares of Common Stock underlying Warrant: 2,311,635

ESSEX WOODLANDS HEALTH VENTURES FUND VIII-A, L.P.

By: Essex Woodlands Health Ventures VIII, L.P.

Its General Partner

By: Essex Woodlands Health Ventures VIII, LLC

Its General Partner

By: /s/ Martin Sutter

Title: Manager

Purchase Price: $ 1,318,808.25

Number of Shares: 561,195

Number of shares of Common Stock underlying Warrant: 168,358.00

IN WITNESS WHEREOF, the parties have executed this Common Stock Purchase Agreement as of the
date first above written.

ESSEX WOODLANDS HEALTH VENTURES FUND VIII-B, L.P.

By: Essex Woodlands Health Ventures VIII, L.P.

Its General Partner

By: Essex Woodlands Health Ventures VIII, LLC

Its General Partner

By: /s/ Martin Sutter

Title: Manager

Purchase Price: $ 573,392.95

Number of Shares: 243,997

Number of shares of Common Stock underlying Warrant: 73,199.00

2EX-10.2

EXHIBIT 10.2

THIS WARRANT AND THE UNDERLYING SECURITIES HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF
1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES LAWS. THIS WARRANT AND THE
UNDERLYING SECURITIES MAY NOT BE TRANSFERRED UNLESS (I) THIS WARRANT AND THE UNDERLYING SECURITIES
HAVE BEEN REGISTERED FOR SALE PURSUANT TO THE SECURITIES ACT, (II) THIS WARRANT AND THE UNDERLYING
SECURITIES MAY BE SOLD PURSUANT TO RULE 144 OR (III) THE COMPANY HAS RECEIVED AN OPINION OF COUNSEL
REASONABLY SATISFACTORY TO IT THAT SUCH TRANSFER MAY LAWFULLY BE MADE WITHOUT REGISTRATION UNDER
THE SECURITIES ACT OR QUALIFICATION UNDER APPLICABLE STATE SECURITIES LAWS.

WARRANT

THIS CERTIFIES THAT, for value received,      (the “Holder”) is hereby
granted a warrant to purchase      fully paid and nonassessable shares (the
“Shares”) of common stock, par value $0.01 per share (the “Common Stock”), of ATS
Medical, Inc., a Minnesota corporation (the “Company”), at a price per share equal to $2.35
plus (i) $0.125 if the warrant is being exercised within one year of the Date of Grant (as defined
below), (ii) $0.50 if the warrant is being exercised after the expiration of one year following the
Date of Grant but prior to the expiration of two (2) years following the Date of Grant, and (iii)
$0.75 if the warrant is being exercised after the expiration of two (2) years following the Date of
Grant (such price and such other price as shall result, from time to time, from the adjustments
specified in Section 4 hereof is herein referred to as the “Warrant Price”), upon the terms
and subject to the conditions hereinafter set forth. This warrant is being issued on this
19th day of December, 2008 (the “Date of Grant”).

1. Term. The right represented by this warrant is exercisable, in whole or in part, at any
time and from time to time from the Date of Grant until the seven (7) year anniversary of the Date
of Grant.

2. Method of Exercise; Payment; Issuance of New Warrant. Subject to Section 1 hereof, the
purchase right represented by this warrant may be exercised by the Holder hereof, in whole or in
part and from time to time, at the election of the Holder hereof, after the Date of Grant, in the
manner described below:

The Holder shall (i) surrender this warrant (with the notice of exercise substantially in the form
attached hereto as Exhibit A-1 duly completed and executed) at the principal office of the Company
and by the payment to the Company, by certified or bank check, or by wire transfer to an account
designated by the Company (a “Wire Transfer”) of an amount equal to the then applicable
Warrant Price multiplied by the number of Shares then being purchased; or (ii) exercise the “net
issuance” right provided for in Section 9 hereof. In the event of any exercise of the rights
represented by this warrant pursuant to this Section 2, certificates for the shares of stock so
purchased shall be delivered to the Holder hereof as soon as practicable and in any event within
three (3) business days after such exercise and, unless this warrant has been fully exercised or
expired, a new warrant representing the portion of the Shares, if any, with respect to which this
warrant shall not then have been exercised shall also be issued to the Holder hereof as soon as
practicable and in any event within such thirty-day period; provided, however, if requested by the
Holder of this warrant, the Company shall use reasonable efforts to cause its transfer agent to
deliver the certificate representing Shares issued upon exercise of this warrant to a broker or
other person (as directed by the Holder exercising this warrant) within the time period required to
settle any trade made by the Holder after exercise of this warrant.

The person or persons in whose name(s) any certificate(s) representing shares of Common Stock shall
be issuable upon exercise of this warrant shall be deemed to have become the holder(s) of record
of, and shall be treated for all purposes as the record holder(s) of, the shares represented
thereby (and such shares shall be deemed to have been issued) immediately prior to the close of
business on the date or dates upon which this warrant is exercised.

3. Stock Fully Paid; Reservation of Shares. All Shares that may be issued upon the
exercise of the rights represented by this warrant will, upon issuance pursuant to the terms and
conditions herein, be fully paid and nonassessable, and free from all preemptive rights and taxes,
liens and charges with respect to the issue thereof. During the period within which the rights
represented by this warrant may be exercised, the Company will at all times have authorized, and
reserved for the purpose of the issue upon exercise of the purchase rights evidenced by this
warrant, a sufficient number of shares of Common Stock to provide for the exercise of the rights
represented by this warrant. If at any time during the term of this warrant the number of
authorized but unissued shares of Common Stock shall not be sufficient to permit exercise of this
warrant, the Company will take such corporate action as may, in the opinion of its counsel, be
necessary to increase its authorized but unissued shares of Common Stock to such number of shares
as shall be sufficient for such purposes.

4. Adjustment of Warrant Price and Number of Shares. The number of shares of Common Stock
purchasable upon the exercise of this warrant and the Warrant Price shall be subject to adjustment
from time to time upon the occurrence of certain events, as follows:

	 	(a)	 	Reclassification or Merger. In case of any reclassification or
change of securities of the class issuable upon exercise of this warrant (other than a
change in par value, or from par value to no par value, or from no par value to par
value, or as a result of a subdivision or combination), or in case of any merger of
the Company with or into another corporation (other than a merger with another
corporation in which the Company is the acquiring and the surviving corporation and
which does not result in any reclassification or change of outstanding securities
issuable upon exercise of this warrant), the Company, or such successor or purchasing
corporation, as the case may be, shall (i) in the case of a merger described above,
execute and deliver to the Holder a new warrant (in form and substance reasonably
satisfactory to the Holder), so that the Holder shall have the right to receive upon
exercise of this warrant, at a total purchase price equal to that payable upon the
exercise of the unexercised portion of this warrant, and in lieu of the shares of
Common Stock theretofore issuable upon exercise of this warrant, the kind and amount
of shares of stock, other securities, money and property receivable upon such merger
or sale by a Holder of the number of shares of Common Stock then purchasable under
this warrant and (ii) in the case of a reclassification or change in the securities
issuable upon exercise of this warrant described above, the Holder shall have the
right to receive, upon exercise of this warrant, at a total purchase price equal to
that payable upon the exercise of the unexercised portion of this warrant, and (A) in
lieu of the shares of Common Stock theretofore issuable upon exercise of this warrant,
the number of shares of Common Stock then purchasable under this warrant upon such
reclassification or other change in the securities issuable upon exercise of this
warrant or (B) in lieu of cash theretofore issuable upon exercise of this warrant, the
amount of cash then issuable under this warrant upon such reclassification or other
change in the securities issuable upon exercise of this warrant. Any new warrant shall
provide for adjustments that shall be as nearly equivalent as may be practicable to
the adjustments provided for in this Section 4. The provisions of this Section 4(a)
shall similarly apply to successive reclassifications, changes, mergers and sales.

	 	(b)	 	Subdivision or Combination of Shares. If the Company at any time
while this warrant remains outstanding and unexpired shall subdivide or combine its
outstanding shares of Common Stock, the Warrant Price shall be proportionately
decreased and the number of Shares issuable hereunder shall be proportionately
increased in the case of a subdivision and the Warrant Price shall be proportionately
increased and the number of Shares issuable hereunder shall be proportionately
decreased in the case of a combination.

	 	(c)	 	Stock Dividends and Other Distributions. If the Company at any time
while this warrant is outstanding and unexpired shall (i) pay a dividend with respect
to Common Stock payable in Common Stock, then the Warrant Price shall be adjusted,
from and after the date of determination of shareholders entitled to receive such
dividend or distribution, to that price determined by multiplying the Warrant Price in
effect immediately prior to such date of determination by a fraction (A) the numerator
of which shall be the total number of shares of Common Stock outstanding immediately
prior to such dividend or distribution, and (B) the denominator of which shall be the
total number of shares of Common Stock outstanding immediately after such dividend or
distribution; or (ii) make any other distribution with respect to Common Stock (except
any distribution specifically provided for in Sections 4(a) and 4(b)), then, in each
such case, provision shall be made by the Company such that the Holder of this warrant
shall receive upon exercise of this warrant a proportionate share of any such dividend
or distribution as though it were the holder of the Common Stock as of the record date
fixed for the determination of the shareholders of the Company entitled to receive
such dividend or distribution.

	 	(d)	 	Adjustment of Number of Shares. Upon each adjustment in the Warrant
Price, the number of shares of Common Stock purchasable hereunder shall be adjusted,
rounded up to the nearest whole share, to the product obtained by multiplying the
number of Shares purchasable immediately prior to such adjustment in the Warrant Price
by a fraction, the numerator of which shall be the Warrant Price immediately prior to
such adjustment and the denominator of which shall be the Warrant Price immediately
thereafter.

5. Notice of Adjustments. Whenever the Warrant Price or the number of Shares purchasable
hereunder shall be adjusted pursuant to Section 4 hereof, the Company shall make a certificate
signed by its acting chief financial officer setting forth, in reasonable detail, the event
requiring the adjustment, the amount of the adjustment, the method by which such adjustment was
calculated, and the Warrant Price and the number of Shares purchasable hereunder after giving
effect to such adjustment, and shall cause copies of such certificate to be mailed to the Holder of
this warrant.

6. Fractional Shares. No fractional shares of Common Stock will be issued in connection
with any exercise hereunder, but in lieu of such fractional shares the Company shall make a cash
payment therefor based on the product resulting from multiplying the then fair market value of the
Common Stock on the date of exercise as determined in good faith by the Company’s Board of
Directors by such fraction.

7. Compliance with Act; Disposition of Warrant or Shares of Common Stock.

	 	(a)	 	Compliance with Act. The Holder of this warrant, by acceptance
hereof, agrees that this warrant, and the shares of Common Stock to be issued upon
exercise hereof are being acquired for investment and that such Holder will not offer,
sell or otherwise dispose of this warrant, or any shares of Common Stock except under
circumstances which will not result in a violation of the Securities Act of 1933, as
amended (the “Securities Act”), or any applicable state securities laws. Upon
exercise of this warrant, unless the Shares being acquired are registered under the
Securities Act and any applicable state securities laws or an exemption from such
registration is available, the Holder hereof shall confirm in writing that the shares
of Common Stock so purchased are being acquired for investment and not with a view
toward distribution or resale in violation of the Securities Act and shall confirm
such other matters related thereto as may be reasonably requested by the Company. This
warrant and all shares of Common Stock issued upon exercise of this warrant (unless
registered under the Securities Act and any applicable state securities laws) shall be
stamped or imprinted with a legend in substantially the following form:

THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT
OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR ANY STATE SECURITIES LAWS. THE
SECURITIES REPRESENTED HEREBY MAY NOT BE TRANSFERRED UNLESS (I) SUCH SECURITIES
HAVE BEEN REGISTERED FOR SALE PURSUANT TO THE SECURITIES ACT, (II) SUCH SECURITIES
MAY BE SOLD PURSUANT TO RULE 144 OR (III) THE COMPANY HAS RECEIVED AN OPINION OF
COUNSEL REASONABLY SATISFACTORY TO IT THAT SUCH TRANSFER MAY LAWFULLY BE MADE
WITHOUT REGISTRATION UNDER THE SECURITIES ACT OR QUALIFICATION UNDER APPLICABLE
STATE SECURITIES LAWS.

Said legend shall be removed by the Company, upon the request of a Holder, at such
time as the restrictions on the transfer of the applicable security have
terminated.

	 	(b)	 	Disposition of Warrant or Shares. This warrant and any shares of
Common Stock acquired pursuant to the exercise or conversion of this warrant may be
transferred only pursuant to a registration statement filed under the Securities Act
or an exemption from such registration. Subject to such restrictions, the Company
shall transfer this warrant from time to time upon the books to be maintained by the
Company for that purpose, upon surrender thereof for transfer properly endorsed or
accompanied by appropriate instructions for transfer and such other documents as may
be reasonably required by the Company, including, if required by the Company, an
opinion of counsel to the effect that such transfer is exempt from the registration
requirements of the Securities Act to establish that such transfer is being made in
accordance with the terms hereof, and a new warrant shall be issued to the transferee
and the surrendered warrant shall be cancelled by the Company. Each certificate
representing this warrant or the shares of Common Stock thus transferred (except a
transfer pursuant to Rule 144 or 144A) shall bear a legend as to the applicable
restrictions on transferability in order to ensure compliance with such laws, unless
such legend is not required in order to ensure compliance with such laws. The Company
may issue stop transfer instructions to its transfer agent in connection with such
restrictions.

	 	(c)	 	Applicability of Restrictions. Neither any restrictions of any
legend described in this warrant nor the requirements of Section 7(b) above shall
apply to any transfer of, or grant of a security interest in, this warrant (or the
Common Stock obtainable upon exercise hereof) or any part hereof (i) to a partner of
the Holder if the Holder is a partnership or to a member of the Holder if the Holder
is a limited liability company, (ii) to a partnership of which the Holder is a partner
or to a limited liability company of which the Holder is a member, or (iii) to any
affiliate of the Holder if the Holder is a corporation; provided, however, in any such
transfer, if applicable, the transferee shall on the Company’s request agree in
writing to be bound by the terms of this warrant as if an original Holder hereof.

8. Rights as Shareholders; Information. No Holder of this warrant, as such, shall be
entitled to vote or receive dividends or be deemed the holder of Common Stock issuable upon the
exercise hereof for any purpose, nor shall anything contained herein be construed to confer upon
the Holder of this warrant, as such, any of the rights of a shareholder of the Company or any right
to vote for the election of directors or upon any matter submitted to shareholders at any meeting
thereof, or to receive notice of meetings, or to receive dividends or subscription rights or
otherwise until this warrant shall have been exercised and the Shares purchasable upon the exercise
hereof shall have become deliverable, as provided herein.

9. Right to Convert Warrant into Stock: Net Issuance.

	 	(a)	 	Right to Convert. In addition to and without limiting the rights of
the Holder under the terms of this warrant, the Holder shall have the right to convert
this warrant or any portion thereof (the “Conversion Right”) into shares of
Common Stock as provided in this Section 9 at any time or from time to time during the
term of this warrant. Upon exercise of the Conversion Right with respect to a
particular number of shares subject to this warrant (the “Converted Warrant
Shares”), the Company shall deliver to the Holder (without payment by the Holder
of any exercise price or any cash or other consideration) that number of shares of
fully paid and nonassessable Common Stock as is determined according to the following
formula:

X = (B – A) divided by Y

Where: X = the number of shares of Common Stock that shall be issued to Holder

Y = the fair market value of one share of Common Stock

A = the aggregate Warrant Price of the specified number of Converted Warrant Shares
immediately prior to the exercise of the Conversion Right (i.e. , the number of
Converted Warrant Shares multiplied by the Warrant Price)

B = the aggregate fair market value of the specified number of Converted Warrant
Shares (i.e., the number of Converted Warrant Shares multiplied by the fair market
value of one Converted Warrant Share)

If shares of Common Stock are issuable pursuant to this Section 9, no fractional
            shares shall be issuable upon exercise of the Conversion Right, and, if the number
of shares to be issued determined in accordance with the foregoing formula is other
than a whole number, the Company shall pay to the Holder an amount in cash equal to
the fair market value of the resulting fractional share on the Conversion Date (as
hereinafter defined).

	 	(b)	 	Method of Exercise. The Conversion Right may be exercised by the
Holder by the surrender of this warrant at the principal office of the Company
together with a written statement (which may be in the form of Exhibit A-1) specifying
that the Holder thereby intends to exercise the Conversion Right and indicating the
number of shares subject to this warrant which are being surrendered (referred to in
Section 9(a) hereof as the Converted Warrant Shares) in exercise of the Conversion
Right. Such conversion shall be effective upon receipt by the Company of this warrant
together with the aforesaid written statement, or on such later date as is specified
therein (the “Conversion Date”). Certificates for the shares issuable upon
exercise of the Conversion Right and, if applicable, a new warrant evidencing the
balance of the shares remaining subject to this warrant, shall be issued as of the
Conversion Date and shall be delivered to the Holder within thirty (30) days following
the Conversion Date.

	 	(c)	 	Determination of Fair Market Value. For purposes of this Section 9,
“fair market value” of a share of Common Stock as of a particular date (the
“Determination Date”) shall mean: (i) if traded on a securities exchange, the
fair market value of the Common Stock shall be deemed to be the average of the closing
prices of the Common Stock on such exchange over the five trading days immediately
prior to the Determination Date as reported by Bloomberg Financial Markets (or a
comparable reporting service of national reputation selected by the Company and
reasonably acceptable to the Holder if Bloomberg Financial Markets is not then
reporting sales prices of such security) (collectively, “Bloomberg”); (ii) if
traded on the Nasdaq Stock Market or other over-the-counter system, the fair market
value of the Common Stock shall be deemed to be the average of the closing bid prices
of the Common Stock over the five trading days immediately prior to the Determination
Date as reported by Bloomberg; and (iii) if there is no public market for the Common
Stock, then fair market value shall be determined by the Board of Directors of the
Company in good faith.

	 	(d)	 	Automatic Exercise: If this Warrant would terminate or expire but for
the application of this Section 9(d), then if the fair market value of one share of
Common Stock exceeds the Warrant Price this Warrant shall be deemed automatically
converted pursuant to this Section 9 immediately prior to such termination or
expiration.

10. Representations and Warranties. The Company represents and warrants to the Holder of
this warrant as follows:

	 	(a)	 	This warrant has been duly authorized and executed by the Company and is a
valid and binding obligation of the Company enforceable in accordance with its terms,
subject to laws of general application relating to bankruptcy, insolvency and the
relief of debtors and the rules of law or principles at equity governing specific
performance, injunctive relief and other equitable remedies.

	 	(b)	 	The Shares have been duly authorized and reserved for issuance by the Company
and, when issued in accordance with the terms hereof, will be validly issued, fully
paid and nonassessable and free from preemptive rights.

	 	(c)	 	The execution and delivery of this warrant are not, and the issuance of the
Shares upon exercise of this warrant in accordance with the terms hereof will not be,
inconsistent with the Company’s articles of incorporation or bylaws, do not and will
not contravene any law, governmental rule or regulation, judgment or order applicable
to the Company, and do not and will not conflict with or contravene any provision of,
or constitute a default under, any indenture, mortgage, contract or other instrument
of which the Company is a party or by which it is bound or require the consent or
approval of, the giving of notice to, the registration or filing with or the taking of
any action in respect of or by, any federal, state or local government authority or
agency or other person, except for the filing of notices pursuant to federal and state
securities laws, which filings will be effected by the time required thereby.

11. Modification and Waiver. This warrant and any provision hereof may be changed, waived,
discharged or terminated only by an instrument in writing signed by the party against which
enforcement of the same is sought.

12. Notices. Any notice, request, communication or other document required or permitted to
be given or delivered to the Holder hereof or the Company shall be delivered, or shall be sent by
certified or registered mail, postage prepaid, to each such Holder at its address as shown on the
books of the Company or to the Company at the address indicated therefore on the signature page of
this warrant.

13. Binding Effect on Successors. This warrant shall be binding upon any corporation
succeeding the Company by merger, consolidation or acquisition of all or substantially all of the
Company’s assets, and all of the obligations of the Company relating to the Common Stock issuable
upon the exercise or conversion of this warrant shall survive the exercise, conversion and
termination of this warrant and all of the covenants and agreements of the Company shall inure to
the benefit of the successors and assigns of the Holder hereof.

14. Lost Warrants or Stock Certificates. The Company covenants to the Holder hereof that,
upon receipt of evidence reasonably satisfactory to the Company of the loss, theft, destruction or
mutilation of this warrant or any stock certificate and, in the case of any such loss, theft or
destruction, upon receipt of an indemnity reasonably satisfactory to the Company, or in the case of
any such mutilation upon surrender and cancellation of such warrant or stock certificate, the
Company will make and deliver a new warrant or stock certificate, of like tenor, in lieu of the
lost, stolen, destroyed or mutilated warrant or stock certificate.

15. Descriptive Headings. The descriptive headings of the various sections of this warrant
are inserted for convenience only and do not constitute a part of this warrant. The language in
this warrant shall be construed as to its fair meaning without regard to which party drafted this
warrant.

16. Governing Law. This warrant shall be construed and enforced in accordance with, and
the rights of the parties shall be governed by, the laws of the State of Minnesota.

17. Remedies. In case any one or more of the covenants and agreements contained in this
warrant shall have been breached, the Holder hereof (in the case of a breach by the Company), or
the Company (in the case of a breach by the Holder), may proceed to protect and enforce their or
its rights either by suit in equity and/or by action at law, including, but not limited to, an
action for damages as a result of any such breach and/or an action for specific performance of any
such covenant or agreement contained in this warrant.

18. No Impairment of Rights. The Company will not, by amendment of its articles of
incorporation or through any other means, avoid or seek to avoid the observance or performance of
any of the terms of this warrant, but will at all times in good faith assist in the carrying out of
all such terms and in the taking of all such action as may be necessary or appropriate in order to
protect the rights of the Holder of this warrant against impairment.

19. Severability. The invalidity or unenforceability of any provision of this warrant in
any jurisdiction shall not affect the validity or enforceability of such provision in any other
jurisdiction, or affect any other provision of this warrant, which shall remain in full force and
effect.

20. Recovery of Litigation Costs. If any legal action or other proceeding is brought for
the enforcement of this warrant, or because of an alleged dispute, breach, default, or
misrepresentation in connection with any of the provisions of this warrant, the successful or
prevailing party or parties shall be entitled to recover reasonable attorneys’ fees and other costs
incurred in that action or proceeding, in addition to any other relief to which it or they may be
entitled.

21. Entire Agreement; Modification. This warrant constitutes the entire agreement between
the parties pertaining to the subject matter contained in it and supersedes all prior and
contemporaneous agreements, representations, and undertakings of the parties, whether oral or
written, with respect to such subject matter.

[Remainder of Page Intentionally Left Blank]

1

The Company has caused this Warrant to be duly executed and delivered as of the Date of Grant
specified above.

ATS MEDICAL, INC.

By: /s/ Michael R. Kramer

Name: Michael R. Kramer

Title: Chief Financial Officer

Address: 3905 Annapolis Lane North, Suite 105

Minneapolis, MN 55447

EXHIBIT A-1

NOTICE OF EXERCISE

To: ATS MEDICAL, INC. (the “Company”)

1. The undersigned hereby:

	 	(a)	 	elects to purchase              shares of common stock of the Company
pursuant to the terms of the attached warrant, and tenders herewith payment of the
purchase price of such shares in full, or

	 	(b)	 	elects to exercise its net issuance rights pursuant to Section 9 of the
attached warrant with respect to              shares of common stock.

2. Please issue a certificate or certificates representing              shares in the name of
the undersigned or in such other name or names as are specified below:

Name:

Address:

3. The undersigned represents that any aforesaid shares are being acquired for the account of the
undersigned for investment and not with a view to, or for resale in connection with, the
distribution thereof and that the undersigned has no present intention of distributing or reselling
such shares, all except as in compliance with applicable securities laws.

By:

Date:

2

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00151-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00151-of-00352.parquet"}]]