Document:

exv10w1

 

Exhibit 10.1

SECURITIES PURCHASE AGREEMENT

     This
Securities Purchase Agreement (this “Agreement”) is dated September 14, 2005 by and
between _________ (“Purchaser”) and Spectrum Pharmaceuticals, Inc. (“Company”). The
parties hereto agree as follows:

     The Purchaser shall buy and the Company agrees to sell ______ shares (“Shares”) of the
Company’s Common Stock (the “Common Stock”) at a price of $5.25 per share for a total amount of
$______. The Purchaser shall also receive a warrant, in the form of Exhibit A
attached hereto, to purchase up to a number of shares equal to 50% of the Shares (or ______
Warrant Shares), at an exercise price equal to $6.62 per Warrant Share and a term of exercise equal
to six years from the date of issuance (the “Warrant”). The Shares, the Warrant and the Warrant
Shares (collectively, the “Securities”) have been registered on a registration statement on Form
S-3, File No. 333-121612 (the “Registration Statement”), which has been declared effective by the
Securities and Exchange Commission, and remains effective as of the date hereof, and the Shares and
the Warrants Shares shall be freely tradeable after the closing of the transactions contemplated
hereby. A final prospectus supplement will be delivered prior to funding regarding the issuance
and sale of the Shares and Warrant, a copy of which is attached hereto as Exhibit B (the
"Prospectus Supplement”). The Shares, Warrant and Warrant Shares when issued, will be free of
restrictive legends and are free of any resale restrictions other than the right of first refusal
set forth in Section 4 (a) of the Warrant. Within five (5) business days after the closing
hereunder the Company shall deliver to the Purchaser an opinion of counsel reasonably satisfactory
to the Purchaser with respect to the existence of the Company, the authorization of the
transactions contemplated hereby and the effectiveness of the Registration Statement.

     Execution and delivery of this Agreement by the Purchaser shall constitute a binding offer to
purchase the Shares and the Warrants at the Purchase Price, subject only to acceptance and delivery
of this Agreement by the Company, together with delivery of the Prospectus Supplement to the
Purchaser. The Shares, the Warrants, and the Warrant Shares when issued, will be free of
restrictive legends and are free of any resale restrictions.

     1. Representations and Warranties of the Company. Except as set forth in the SEC Reports (as
defined below), the Company hereby makes the following representations and warranties as of the
date hereof and as of the Closing Date to the Purchaser:

     (a) Organization and Qualification. Each of the Company and its subsidiaries (the
“Subsidiaries”) is an entity duly incorporated or otherwise organized, validly
existing and in good standing under the laws of the jurisdiction of its incorporation or
organization (as applicable), with the requisite power and authority to own and use its
properties and assets and to carry on its business as currently conducted. Neither the
Company nor any Subsidiary is in violation of any of the provisions of its respective
certificate or articles of incorporation, bylaws or other organizational or charter
documents. Each of the Company and the Subsidiaries is duly qualified to conduct business
and is in good standing as a foreign corporation or other entity in each jurisdiction in
which the nature of the business conducted or property owned by it makes such qualification
necessary, except where the failure to be so qualified or in good standing, as the case may
be, would not have or reasonably be expected to result in (i) a material adverse effect on
the legality, validity or enforceability of any Transaction Document, (ii) a material
adverse effect on the results of operations, assets, business or financial condition of the
Company and the Subsidiaries, taken as a whole, or (iii) adversely impair the Company’s
ability to perform in any material respect on a timely basis its obligations under any
Transaction Document (any of (i), (ii) or (iii), a “Material Adverse Effect”).

     (b) Authorization; Enforcement. The Company has the requisite corporate power and
authority to enter into and to consummate the transactions contemplated by each of the
transaction documents contemplated hereby (the “Transaction Documents”) and
otherwise to carry out its obligations thereunder. Other than the filings, consents and
approvals set forth under Section 1 (d) below, the execution and delivery of each of the
Transaction Documents by the Company and the consummation by it of the transactions
contemplated thereby have been duly authorized by all necessary action on the part of the

 

 

Company and no further action is required by the Company or its stockholders in connection
therewith. Each Transaction Document has been (or upon delivery will have been) duly
executed by the Company and, when delivered in accordance with the terms hereof, will
constitute the valid and binding obligation of the Company enforceable against the Company
in accordance with its terms except (i) as limited by applicable bankruptcy, insolvency,
reorganization, moratorium and other laws of general application affecting enforcement of
creditors’ rights generally and (ii) as limited by laws relating to the availability of
specific performance, injunctive relief or other equitable remedies.

     (c) No Conflicts. The execution, delivery and performance of the Transaction
Documents by the Company and the consummation by the Company of the transactions
contemplated thereby do not and will not (i) conflict with or violate any provision of the
Company’s or any Subsidiary’s certificate or articles of incorporation, bylaws or other
organizational or charter documents, or (ii) conflict with, or constitute a default (or an
event that with notice or lapse of time or both would become a default) under, or give to
others any rights of termination, amendment, acceleration or cancellation (with or without
notice, lapse of time or both) of, any agreement, credit facility, debt or other instrument
(evidencing a Company or Subsidiary debt or otherwise) or other understanding to which the
Company or any Subsidiary is a party or by which any property or asset of the Company or any
Subsidiary is bound or affected, or (iii) result in a violation of any law, rule,
regulation, order, judgment, injunction, decree or other restriction of any court or
governmental authority to which the Company or a Subsidiary is subject (including federal
and state securities laws and regulations), or by which any property or asset of the Company
or a Subsidiary is bound or affected; except in the case of clause (iii), such as would not
have or reasonably be expected to result in a Material Adverse Effect.

     (d) Filings, Consents and Approvals. The Company is not required to obtain any
consent, waiver, authorization or order of, give any notice to, or make any filing or
registration with, any court or other federal, state, local or other governmental authority
or other Person (including, without limitation, the Company’s stockholders) in connection
with the execution, delivery and performance by the Company of the Transaction Documents,
other than the filing with the Commission of the prospectus supplement to the Registration
Statement, the application(s) to each Trading Market for the listing of the Shares and
Warrant Shares for trading thereon in the time and manner required thereby, and applicable
Blue Sky filings. The Company has filed a Notification Form: Listing of Additional Shares
with the Nasdaq National Market and hereby represents and warrants and agrees that it will
take any other necessary action in accordance with the rules of the Nasdaq National Market
to enable the Shares and the Warrant Shares to trade on the Nasdaq National Market.

     (e) Issuance of the Securities. The Securities are duly authorized and the Shares
and Warrant Shares, when issued and paid for in accordance with the Transaction Documents,
and the Warrants as of the Closing will be duly and validly issued, fully paid and
nonassessable, free and clear of all Liens. The Company has reserved from its duly
authorized capital stock, the maximum number of shares of Common Stock issuable pursuant to
this Agreement and the Warrants.

     (f) Capitalization. The capitalization of the Company is as described in the
Company’s most recent periodic report filed with the Commission as updated by any current
report filed with the Commission thereafter.

     (g) SEC Reports; Financial Statements. The Company has filed all reports required
to be filed by it under the Securities Act and the Exchange Act, including without
limitation pursuant to Section 13(a) or 15(d) thereof, for the three years preceding the
date hereof (or such shorter period as the Company was required by law to file such
material) (the foregoing materials, including the exhibits thereto and incorporated by
reference therein, being collectively referred to herein as the “SEC Reports”, the
“Disclosure Materials”) on a timely basis or has received a valid extension of such
time of filing and has filed any such SEC Reports prior to the expiration of any such
extension. As of their respective dates, the SEC Reports complied in all material respects
with the requirements of the Securities Act and the Exchange Act and the rules and
regulations of the Commission promulgated thereunder, and none of the SEC Reports, when
filed or deemed filed through incorporation by reference, contained any untrue statement of
a material fact or omitted to state a material fact required to be stated therein or
necessary in

2

 

order to make the statements therein, in light of the circumstances under which they were
made, not misleading. The financial statements of the Company included in the SEC Reports
comply in all material respects with applicable accounting requirements and the rules and
regulations of the Commission with respect thereto as in effect at the time of filing. Such
financial statements have been prepared in accordance with United States generally accepted
accounting principles applied on a consistent basis during the periods involved
(“GAAP”), except as may be otherwise specified in such financial statements or the
notes thereto and except that unaudited financial statements may not contain all footnotes
required by GAAP, and fairly present in all material respects the financial position of the
Company and its consolidated subsidiaries as of and for the dates thereof and the results of
operations and cash flows for the periods then ended, subject, in the case of unaudited
statements, to normal year-end audit adjustments.

     (h) Material Changes. Since the date of the latest audited financial statements
included within the SEC Reports, (i) there has been no event, occurrence or development that
has had or that could reasonably be expected to result in a Material Adverse Effect, (ii)
the Company has not incurred any liabilities (contingent or otherwise) other than (A) trade
payables and accrued expenses incurred in the ordinary course of business consistent with
past practice and (B) liabilities not required to be reflected in the Company’s financial
statements pursuant to GAAP or required to be disclosed in filings made with the Commission,
(iii) the Company has not altered its method of accounting, (iv) the Company has not
declared or made any dividend or distribution of cash or other property to its stockholders
or purchased, redeemed or made any agreements to purchase or redeem any shares of its
capital stock, except for the repurchase of certain warrants aggregating less than 500,000
shares; (v) the Company has not issued any equity securities to any officer, director or
Affiliate, except pursuant to existing Company stock option plans; and (vi) the Company has
not had any disagreement with its independent auditors that would require public disclosure.

     (i) Litigation. There is no action, suit, inquiry, notice of violation, proceeding
or investigation pending or, to the knowledge of the Company, threatened against or
affecting the Company, any Subsidiary or any of their respective properties before or by any
court, arbitrator, governmental or administrative agency or regulatory authority (federal,
state, county, local or foreign) or any other Person (collectively, an “Action”)
which (i) adversely affects or challenges the legality, validity or enforceability of any of
the Transaction Documents or the Securities or (ii) could, if there were an unfavorable
decision, have or reasonably be expected to result in a Material Adverse Effect. Except as
set forth in Schedule 13D filings by Xmark Funds, neither the Company nor any Subsidiary,
nor any director or officer thereof, is or has been the subject of any Action involving a
claim of violation of or liability under federal or state securities laws or a claim of
breach of fiduciary duty. There has not been, and to the knowledge of the Company, there is
not pending or contemplated, any investigation by the Commission involving the Company or
any current or former director or officer of the Company. The Commission has not issued any
stop order or other order suspending the effectiveness of any registration statement filed
by the Company or any Subsidiary under the Exchange Act or the Securities Act.

     (j) Certain Fees. Other than fees to Rodman and Renshaw, LLC, no brokerage or
finder’s fees or commissions are or will be payable by the Company to any broker, financial
advisor or consultant, finder, placement agent, investment banker, bank or other Person with
respect to the transactions contemplated by this Agreement. The Purchasers shall have no
obligation with respect to any fees or with respect to any claims made by or on behalf of
other Persons for fees of a type contemplated in this Section that may be due in connection
with the transactions contemplated by this Agreement.

     (k) Disclosure. The Company confirms that, except as provided for herein, neither
the Company nor any other Person acting on its behalf has provided any of the Purchasers or
their agents or counsel with any information that constitutes or might constitute material,
non-public information. The Company understands and confirms that the Purchasers will rely
on the foregoing representations and covenants in effecting transactions in securities of
the Company. This Agreement and any Exhibit attached hereto provided to the Purchasers
regarding the Company, its business and the transactions contemplated hereby, furnished by
or on behalf of the Company is true and correct and do not contain any untrue statement of a
material fact or omit to state any material fact necessary in order to make the statements
made therein, in light of the circumstances under which they were made, not misleading.

3

 

     2. The Purchaser represents and warrants to the Company:

     (a) The Purchaser is a corporation or other legal entity duly organized, validly
existing and in good standing under the laws of its jurisdiction of organization.

     (b) The Purchaser has the requisite corporate (or other entity) power and authority to
enter into and perform this Agreement and to purchase the Shares in accordance with the
terms hereof. This Agreement constitutes a valid and binding obligation of the Purchaser
enforceable against the Purchaser in accordance with its terms, except as such
enforceability may be limited by applicable bankruptcy, insolvency or similar laws relating
to, or affecting generally, the enforcement of creditor’s rights and remedies or by other
equitable principles of general application.

     (c) In making its investment decision in this offering, the Purchaser and its advisors,
if any, have relied solely on the Company’s public filings as filed with the Securities and
Exchange Commission, including the base prospectus filed as part of the Registration
Statement when it was declared effective, and all documents incorporated therein by
reference.

     (d) Purchaser is not a registered broker-dealer or an affiliate of a registered
broker-dealer.

     (e) Purchaser represents, warrants and covenants that neither Purchaser nor any
affiliate of such Purchaser which (i) had knowledge of the transactions contemplated hereby,
(ii) has or shares discretion relating to such Purchaser’s investments or trading or
information concerning such Purchaser’s investments, including in respect of the Securities;
or (iii) is subject to such Purchaser’s review or input concerning such affiliate’s
investments or trading, has or will, directly or indirectly, during the period beginning on
the date on which the Company or a financial advisor to the Company, first contacted such
Purchaser regarding the transactions contemplated by this Agreement and ending on the
Closing Date, engage in: (1) any “short sales” (as such term is defined in Rule 200
promulgated under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)) of
the Common Stock, including, without limitation, the maintaining of any short position with
respect to, establishing or maintaining a “put equivalent position” (within the meaning of
Rule 16a-1(h) under the Exchange Act) with respect to, entering into any swap, derivative
transaction or other arrangement (whether any such transaction is to be settled by delivery
of Common Stock, other securities, cash or other consideration) that transfers to another,
in whole or in part, any economic consequences or ownership, or otherwise dispose of, any
Common Stock by Purchaser; or (2) any hedging transaction which establishes a net short
position with respect to the Common Stock.

     3. Certain other Covenants and Provisions:

     (a) Indemnification of Purchasers. The Company will indemnify and hold the Purchasers and
their directors, managers, officers, shareholders, members, partners, employees and agents (each, a
“Purchaser Party”) harmless from any and all losses, liabilities, obligations, claims,
contingencies, damages, costs and expenses, including all judgments, amounts paid in settlements,
court costs and reasonable attorneys’ fees and costs of investigation that any such Purchaser Party
may suffer or incur as a result of or relating to any misrepresentation, breach or inaccuracy, or
any allegation by a third party that, if true, would constitute a breach or inaccuracy, of any of
the representations, warranties, covenants or agreements made by the Company in this Agreement or
in the other Transaction Documents, except as a result of written information provided to the
Company by the Purchaser Party for inclusion in the Registration Statement. The Company will
reimburse such Purchaser for its reasonable legal and other expenses (including the cost of any
investigation, preparation and travel in connection therewith) incurred in connection therewith, as
such expenses are incurred.

     (b) Listing of Common Stock. The Company hereby agrees to use its commercially reasonable
efforts to maintain the listing of its Common Stock on the Trading Market, and as soon as
reasonably practicable following the Closing (but not later than the earlier of the Effective Date
and the first anniversary of the Closing Date) to list the applicable Shares and Warrant Shares on
the Trading Market. The Company further agrees, if the Company applies to have the Common Stock
traded on any other Trading Market, it will include in such application the Shares and the Warrant
Shares, and will take such other action as is necessary or desirable in the

4

 

opinion of the Purchasers to cause the Shares and Warrant Shares to be listed on such other Trading
Market as promptly as possible. The Company will take all action reasonably necessary to continue
the listing and trading of its Common Stock on a Trading Market and will comply in all respects
with the Company’s reporting, filing and other obligations under the bylaws or rules of the Trading
Market.

     (c) Effectiveness. The Registration Statement is currently effective, and the Company will
file the prospectus supplement within one business day of the Closing and will provide a copy of
such filing to the Purchasers promptly following such filing. The Company will maintain the
effectiveness of the Registration Statement until the earlier of when all the Shares are sold or
the maximum time period permitted by the Commission and shall file such amendments to the
Registration Statement in order to permit the resale by the Purchasers of the Warrant Shares.

     (d) Ongoing Compliance of the Prospectus. If, at any time when a prospectus relating to the
Shares is required to be delivered under the Act, the Company becomes aware of the occurrence of
any event as a result of which the prospectus, as then amended or supplemented, would, in the
reasonable judgment of counsel to the Company, include any untrue statement of a material fact or
omit to state a material fact necessary in order to make the statements therein, in the light of
the circumstances under which they were made, not misleading, or the Registration Statement, as
then amended or supplemented, would, in the reasonable judgment of counsel to the Company, include
any untrue statement of a material fact or omit to state a material fact necessary to make the
statements therein not misleading, or if for any other reason it is necessary, in the reasonable
judgment of counsel to the Company, at any time to amend or supplement the prospectus or the
Registration Statement to comply with the Act or the Rules and Regulations, the Company will
promptly notify the Purchasers and will promptly prepare and file with the Commission, at the
Company’s expense, an amendment to the Registration Statement or an amendment or supplement to the
prospectus that corrects such statement or omission or effects such compliance and will deliver to
each Purchaser one copy thereof.

     4. Miscellaneous

     Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the
parties and their successors and permitted assigns. The Company may not assign this Agreement or
any rights or obligations hereunder without the prior written consent of the Purchaser. The
Purchaser may assign any or all of its rights under this Agreement to any Person to whom such
Purchaser assigns or transfers any Securities, provided such transferee agrees in writing to be
bound, with respect to the transferred Securities, by the provisions hereof that apply to the
“Purchasers”.

     The closing is expected to occur on or about September 15, 2005 (the “Closing Date”).

     The Purchaser and the Company acknowledge and agree that the Company will not issue additional
shares of its Common Stock with respect to this transaction under circumstances that would require
the approval of its stockholders pursuant to applicable Nasdaq rules without obtaining such
approval, but the Company does not believe such approval is necessary.

     Neither the Company nor any of its officers or agents shall disclose any material non-public
information about the Company to the Purchaser and neither the Purchaser nor any of its affiliates,
officers or agents will solicit any material non-public information from the Company in connection
with the offer and sale of the Shares by the Company to the Purchaser.

     The Purchaser shall wire the purchase amount to the Company to the account set forth below.

Company Wire Transfer Instructions:

	 	 	 	 	 	 	 
	 

	 	Bank:
	 	 

	 

	 	Routing Number (ABA):
	 	 
	 

	 	Credit to Account:
	 	 

	 

	 	 	 	 

5

 

     The Company shall cause its transfer agent to transmit the Shares electronically to the
Purchaser by crediting the account set forth on the signature page through the Deposit Withdrawal
Agent Commission system, and shall deliver the Warrant certificates to the address specified by the
Purchaser on the signature pages hereto.

     All communications hereunder shall be in writing and shall be deemed to have been given on the
date delivered by hand, sent by facsimile transmission, or mailed certified mail, return receipt
requested, if to the Purchaser, to the address set forth on the signature page of this Agreement,
and if to the Company, to 157 Technology Drive, Irvine, California, 92618, Facsimile (949)
788-6706, Attention: Chief Financial Officer Either party to this Agreement may change such
address for notices by sending to the other party written notice of a new address for such purpose.

     This Agreement shall be governed and construed in accordance with the laws of the State of New
York, without giving effect to conflict of law principles. Each of the Company and the Purchaser
irrevocably submits to the jurisdiction of the United States District Court sitting in New York,
New York for the purposes of any suit, action or proceeding arising out of or relating to this
Agreement and hereby waives any claim that it is not personally subject to the jurisdiction of such
court, that the suit, action or proceeding is brought in an inconvenient forum or that the venue of
the suit, action or proceeding is improper.

     Following the date hereof, the Company shall promptly issue a press release disclosing the
material terms of the transaction contemplated hereby and shall file the Prospectus Supplement with
the SEC within the time required by Rule 424.

     This Agreement may be executed in one or more counterparts, all of which taken together shall
constitute one and the same instrument.

[Remainder of this page intentionally left blank.]

6

 

AGREED AND ACCEPTED, as of the date first written above:

	 	 	 
	 

	 	SPECTRUM PHARMACEUTICALS, INC.
	 
	 	 
	 

	 	By:
	 

	 	 
	 

	 	Name: Rajesh C. Shrotriya, M.D.
	 

	 	Title: Chairman, CEO & President
	 
	 	 
	 

	 	PURCHASER:
	 
	 	 
	 

	 	By:
	 

	 	 
	 

	 	Name:
	 

	 	Title:
	 
	 	 
	 

	 	By:
	 

	 	 
	 

	 	Name:
	 

	 	Title:
	 
	 	 
	 

	 	Street Address:
	 
	 	 
	 

	 	 

	 
	 	 
	 

	 	 

	 
	 	 
	 

	 	 

	 
	 	 
	 

	 	Facsimile #  

	 
	 	 
	 

	 	Purchaser DWAC Instructions:
	 
	 	 
	 

	 	DTC #  

	 
	 	 
	 

	 	Account #  

	 
	 	 
	 

	 	Reference #  

	 
	 	 
	 

	 	Address for delivery of Warrants (if different):
	 
	 	 
	 

	 	 

	 
	 	 
	 

	 	 

	 
	 	 
	 

	 	 

	 
	 	 
	 

	 	EIN #  

7

 

Schedule

to

Securities Purchase Agreement

Purchasers and Shares of Common Stock and Warrants Purchased

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	Shares of Common	 	 	 	 
	 	 	Shares of	 	 	Stock Acquirable	 	 	Total Purchase	 
	Name of Purchaser	 	Common Stock	 	 	under Warrants	 	 	Price	 
	OrbiMed Advisors, LLC
	 	 	 	 	 	 	 	 	 	 	 	 
	Caduceus Capital Master Fund Limited
	 	 	589,062	 	 	 	294,531	 	 	$	3,092,575.50	 
	Caduceus Capital II, L.P.
	 	 	306,000	 	 	 	153,000	 	 	$	1,606,500.00	 
	UBS Eucalyptus Fund, L.L.C.
	 	 	500,000	 	 	 	250,000	 	 	$	2,625,000.00	 
	PW Eucalyptus Fund, Ltd.
	 	 	50,000	 	 	 	25,000	 	 	$	262,500.00	 
	HFR SHC Aggressive Master Fund
	 	 	117,000	 	 	 	58,500	 	 	$	614,250.00	 
	Knightsbridge Post Venture IV L.P.
	 	 	71,000	 	 	 	35,500	 	 	$	372,750.00	 
	Knightsbridge Integrated
Holdings, V, LP
	 	 	79,000	 	 	 	39,500	 	 	$	414,750.00	 
	Knightsbridge Netherlands II, L.P.
	 	 	20,000	 	 	 	10,000	 	 	$	105,000.00	 
	Knightsbridge Integrated
Holdings IV Post Venture, LP
	 	 	30,000	 	 	 	15,000	 	 	$	157,500.00	 
	Knightsbridge Post Venture III, LP
	 	 	19,500	 	 	 	9,750	 	 	$	102,375.00	 
	Knightsbridge Netherland I LP
	 	 	18,800	 	 	 	9,400	 	 	$	98,700.00	 
	Knightsbridge Netherlands III - LP
	 	 	19,300	 	 	 	9,650	 	 	$	101,325.00	 
	Knightsbridge Integrated
Holdings II Limited
	 	 	24,500	 	 	 	12,250	 	 	$	128,625.00	 
	Knightsbridge Venture
Capital IV, L.P.
	 	 	19,200	 	 	 	9,600	 	 	$	100,800.00	 
	Knightsbridge Venture
Capital III LP
	 	 	13,600	 	 	 	6,800	 	 	$	71,400.00	 
	Knightsbridge Venture
Capital VI LP Series
	 	 	20,300	 	 	 	10,150	 	 	$	106,575.00	 
	Knightsbridge Venture
Completion 2005
	 	 	7,500	 	 	 	3,750	 	 	$	39,375.00	 
	 
	 	 	 	 	 	 	 	 	 
	Total
	 	 	1,904,762	 	 	 	952,381	 	 	$	10,000,000.50	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	Knott Partners
	 	 	 	 	 	 	 	 	 	 	 	 
	Anno, LP
	 	 	11,200	 	 	 	5,600	 	 	$	58,800.00	 
	Shoshone Partners, LP
	 	 	178,500	 	 	 	89,250	 	 	$	937,125.00	 
	Good Steward Trading Company
	 	 	12,800	 	 	 	6,400	 	 	$	67,200.00	 
	CommonFund Hedged Equity Company
	 	 	45,100	 	 	 	22,550	 	 	$	236,775.00	 
	Matterhorn Offshore Fund Ltd.
	 	 	393,400	 	 	 	196,700	 	 	$	2,065,350.00	 
	Knott Partners, LP
	 	 	359,000	 	 	 	179,500	 	 	$	1,884,750.00	 
	 
	 	 	 	 	 	 	 	 	 
	Total
	 	 	1,000,000	 	 	 	500,000	 	 	$	5,250,000.00	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	Smithfield
Fiduciary LLC
	 	 	1,000,000	 	 	 	500,000	 	 	$	5,250,000.00	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	Radcliffe SPC, Ltd. for and on
behalf of the Class A Convertible
Crossover Segregated Portfolio
	 	 	952,381	 	 	 	476,190	 	 	$	5,000,000.00	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	Iroquois
Master Fund, Ltd.
	 	 	700,953	 	 	 	350,477	 	 	$	3,680,003.25	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	SDS
Capital Group SPC, Ltd.
	 	 	550,000	 	 	 	275,000	 	 	$	2,887,500.00	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	Quogue
Capital LLC
	 	 	500,000	 	 	 	250,000	 	 	$	2,625,000.00	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	Oliveira
Capital, LLC
	 	 	500,000	 	 	 	250,000	 	 	$	2,625,000.00	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	Paramount Bio Capital
	 	 	 	 	 	 	 	 	 	 	 	 
	RAQ, LLC
	 	 	190,476	 	 	 	95,238	 	 	$	1,000,000.00	 
	Aries Domestic Fund, LP
	 	 	108,571	 	 	 	54,285	 	 	$	569,997.75	 
	Aries Domestic Fund II, LP
	 	 	19,048	 	 	 	9,524	 	 	$	100,002.00	 
	Aries Master Fund II
	 	 	62,857	 	 	 	31,429	 	 	$	329,999.25	 
	 
	 	 	 	 	 	 	 	 	 
	Total
	 	 	380,952	 	 	 	190,476	 	 	$	1,999,999.00	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	JG
Consulting
	 	 	190,476	 	 	 	95,238	 	 	$	1,000,000.00	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	ProMed Management LLC
	 	 	 	 	 	 	 	 	 	 	 	 
	ProMed Partners, L.P.
	 	 	34,598	 	 	 	17,299	 	 	$	181,639.50	 
	ProMed Partners II, L.P.
	 	 	8,314	 	 	 	4,157	 	 	$	43,648.50	 
	ProMed Offshore Fund, Ltd.
	 	 	5,746	 	 	 	2,873	 	 	$	30,166.50	 
	ProMed Offshore Fund II, Ltd.
	 	 	141,818	 	 	 	70,909	 	 	$	744,544.50	 
	 
	 	 	 	 	 	 	 	 	 
	Total
	 	 	190,476	 	 	 	95,238	 	 	$	999,999.00	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	TMW
Capital, LLC
	 	 	130,000	 	 	 	65,000	 	 	$	682,500.00	 
	 
	 	 	 	 	 	 	 	 	 
	 
	 	 	 	 	 	 	 	 	 	 	 	 
	 
	 	 	8,000,000	 	 	 	4,000,000	 	 	$	42,000,001.75exv10w2

 

EXHIBIT 10.2

	 	 	 
	Rajesh Shrotriya, M.D.

	 	September 14, 2005
	Chairman, CEO & President
	 	 
	Spectrum Pharmaceuticals, Inc.
	 	 
	157 Technology Drive
	 	 
	Irvine, CA 92618
	 	 

Dear Dr. Shrotriya:

     The purpose of this letter agreement (the “Agreement”) is to set forth the terms and
conditions pursuant to which Rodman & Renshaw, LLC (“R&R”) shall introduce Spectrum
Pharmaceuticals, Inc. (the “Company”) to one or more investors in connection with the proposed
public offering (the “Offering”) of securities (the “Securities”) of the Company which are
registered on the Company’s Form S-3 Shelf Registration Statement, File No. 333-121612, which was
declared effective by the Securities and Exchange Commission on January 24, 2005. The terms of
such Offering and the Securities shall be mutually agreed upon by the Company and the investor(s).
R&R’s engagement under this Agreement shall be non-exclusive. Unless the Company has prior
knowledge of the existence of such investors, the identities of the investors to which R&R
introduces the Company shall be proprietary information of R&R and shall not be divulged to third
parties by the Company, nor shall such information be used by the Company outside the scope of
R&R’s engagement as described herein.

     In consideration of the services rendered by R&R under this Agreement, the Company agrees to
pay R&R the following fees and other compensation:

	 	(a)	 	A cash fee payable immediately upon the closing of the Offering (which may have
more than one closing) and equal to 6% of the aggregate capital raised from the
investors introduced by R&R to the Company during the term of this agreement in such
portion of the Offering; provided, however, that in the event that the Securities
include warrants to purchase shares of the Company’s common stock, the aggregate
capital raised shall not include, and no fee shall be payable in respect of, the
exercise price of such warrants, whether or not exercised.
	 
	 	(b)	 	1% reasonable accountable expense allowance payable only upon the closing of
the Offering, with a cap of $25,000.

     This Agreement shall be governed by and construed in accordance with the laws of the State of
New York, without regard to conflicts of law principles. Any dispute arising out of this Agreement
shall be adjudicated in the courts of the State of New York or in the federal courts sitting in the
Southern District of New York, and each of the parties hereto agrees that service of process upon
it by registered or certified mail at its address set forth herein shall be deemed adequate and
lawful. The Company shall indemnify R&R against any liabilities arising under the Securities Act
of 1933, as amended, attributable to any information supplied or omitted to be supplied to any
investor by the Company pursuant to this Agreement, except any liabilities that arise from (i) the
gross negligence or willful misconduct of R&R or (ii) the distribution by R&R of any information
regarding the Company after such time as the Company shall have notified R&R in writing that such
information may be inaccurate or misleading. In no event shall the Company be liable for any
settlement entered into without the Company’s prior written consent, such consent not to be
unreasonably withheld. The Company acknowledges and agrees that R&R is not and shall not be
construed as a fiduciary of the Company and shall have no duties or liabilities to the equity
holders or the creditors of the Company or any other person by virtue of this Agreement or the
retention of R&R hereunder, all of which are hereby expressly waived.

     Other than the Confidentiality Agreement dated March 25, 2003 between the parties, this
Agreement constitutes the entire understanding and agreement between the parties hereto with
respect to its subject matter and there are no agreements or understandings with respect to the
subject matter hereof which are not contained in this Agreement. This Agreement may be modified
only in writing signed by the party to be charged hereunder.

     This Agreement shall terminate thirty (30) days from the date of this Agreement, unless
extended in writing by both parties.

     If the foregoing correctly sets forth our agreement, please confirm this by signing and
returning to us the duplicate copy of this letter.

[Signature page follows]

330 Madison Avenue, 27th Floor

New York, NY 10017

 

 

	 	 	 	 	 	 	 
	Agreed to and accepted as of the date first written above:	 	 	 	 
	 
	 	 	 	 	 	 
	SPECTRUM PHARMACEUTICALS, INC.	 	RODMAN & RENSHAW, LLC
	 
	 	 	 	 	 	 
	By:

	 	/s/ Rajesh C. Shrotriya
	 	By:	 	/s/ John Borer
	 

	 	 
	 	 	 	 
	 

	 	Rajesh C. Shrotriya, M.D.	 	 	 	John Borer
	 
	 	 	 	 	 	 
	Its:

	 	Chairman, CEO & President
	 	Its:	 	President
	 

	 	 
	 	 	 	 
	 
	 	 	 	 	 	 
	Date:

	 	September 14, 2005
	 	Date:
	 	September 14, 2005

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00090-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00090-of-00352.parquet"}]]