Document:

Exhibit 10.2

 

THIS WARRANT AND THE SHARES ISSUABLE HEREUNDER HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”), OR THE SECURITIES LAWS OF ANY STATE AND, EXCEPT AS SET FORTH IN SECTIONS 5.3 AND 5.4 BELOW, MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED UNLESS AND UNTIL REGISTERED UNDER SAID ACT AND LAWS OR, IN THE OPINION OF LEGAL COUNSEL IN FORM AND SUBSTANCE SATISFACTORY TO THE ISSUER, SUCH OFFER, SALE, PLEDGE OR OTHER TRANSFER IS EXEMPT FROM SUCH REGISTRATION.

 

WARRANT TO PURCHASE STOCK

 

Company: Editas Medicine, Inc., a Delaware corporation

Number of Shares: 60,000, subject to adjustment

Type/Series of Stock: Series A-1 Preferred Stock, $0.0001 par value per share

Warrant Price: $1.00 per Share, subject to adjustment

Issue Date: May 29, 2014

Expiration Date: May 28, 2024                 See also Section 5.1(b).

Credit Facility:  This Warrant to Purchase Stock (“Warrant”) is issued in connection with that certain Loan and Security Agreement of even date herewith between Silicon Valley Bank and the Company (as amended and/or modified and in effect from time to time, the “Loan Agreement”).

 

THIS WARRANT CERTIFIES THAT, for good and valuable consideration, SILICON VALLEY BANK (together with any successor or permitted assignee or transferee of this Warrant or of any shares issued upon exercise hereof, “Holder”) is entitled to purchase up to the number of fully paid and non-assessable shares (the “Shares”) of the above-stated Type/Series of Stock (the “Class”) of the above-named company (the “Company”) at the above-stated Warrant Price, all as set forth above and as adjusted pursuant to Section 2 of this Warrant, subject to the provisions and upon the terms and conditions set forth in this Warrant.  Reference is made to Section 5.4 of this Warrant whereby Silicon Valley Bank shall transfer this Warrant to its parent company, SVB Financial Group.

 

SECTION 1. EXERCISE.

 

1.1                               Method of Exercise.  Holder may at any time and from time to time exercise this Warrant, in whole or in part, by delivering to the Company the original of this Warrant together with a duly executed Notice of Exercise in substantially the form attached hereto as Appendix 1 and, unless Holder is exercising this Warrant pursuant to a cashless exercise set forth in Section 1.2, a check, wire transfer of same-day funds (to an account designated by the Company), or other form of payment acceptable to the Company for the aggregate Warrant Price for the Shares being purchased.

 

1.2                               Cashless Exercise.  On any exercise of this Warrant, in lieu of payment of the aggregate Warrant Price in the manner as specified in Section 1.1 above, but otherwise in accordance with the requirements of Section 1.1, Holder may elect to receive Shares equal to the value of this Warrant, or portion hereof as to which this Warrant is being exercised.  Thereupon, the Company shall issue to the Holder such number of fully paid and non-assessable Shares as are computed using the following formula:

 

X = Y(A-B)/A

 

 

where:

 

X =                             the number of Shares to be issued to the Holder;

 

Y =                             the number of Shares with respect to which this Warrant is being exercised (inclusive of the Shares surrendered to the Company in payment of the aggregate Warrant Price);

 

A =                             the Fair Market Value (as determined pursuant to Section 1.3 below) of one Share; and

 

B =                             the Warrant Price.

 

1.3                               Fair Market Value.  If the Company’s common stock is then traded or quoted on a nationally recognized securities exchange, inter-dealer quotation system or over-the-counter market (a “Trading Market”) and the Class is common stock, the fair market value of a Share shall be the closing price or last sale price of a share of common stock reported for the Business Day immediately before the date on which Holder delivers this Warrant together with its Notice of Exercise to the Company.  If the Company’s common stock is then traded in a Trading Market and the Class is a series of the Company’s convertible preferred stock, the fair market value of a Share shall be the closing price or last sale price of a share of the Company’s common stock reported for the Business Day immediately before the date on which Holder delivers this Warrant together with its Notice of Exercise to the Company multiplied by the number of shares of the Company’s common stock into which a Share is then convertible.  If the Company’s common stock is not traded in a Trading Market, the Board of Directors of the Company shall determine the fair market value of a Share in its reasonable good faith judgment.

 

1.4                               Delivery of Certificate and New Warrant.  Within a reasonable time after Holder exercises this Warrant in the manner set forth in Section 1.1 or 1.2 above, the Company shall deliver to Holder a certificate representing the Shares issued to Holder upon such exercise and, if this Warrant has not been fully exercised and has not expired, a new warrant of like tenor representing the Shares not so acquired.

 

1.5                               Replacement of Warrant.  On receipt of evidence reasonably satisfactory to the Company of the loss, theft, destruction or mutilation of this Warrant and, in the case of loss, theft or destruction, on delivery of an indemnity agreement reasonably satisfactory in form, substance and amount to the Company or, in the case of mutilation, on surrender of this Warrant to the Company for cancellation, the Company shall, within a reasonable time, execute and deliver to Holder, in lieu of this Warrant, a new warrant of like tenor and amount.

 

1.6                               Treatment of Warrant Upon Acquisition of Company.

 

(a)                                 Acquisition.  For the purpose of this Warrant, “Acquisition” means any transaction or series of related transactions involving: (i) the sale, lease, exclusive license, or other disposition of all or substantially all of the assets of the Company (ii) any merger or consolidation of the Company into or with another person or entity (other than a merger or consolidation effected exclusively to change the Company’s domicile), or any other corporate reorganization, in which the stockholders of the Company in their capacity as such immediately prior to such merger, consolidation or reorganization, own less than a majority of the Company’s (or the surviving or successor entity’s) outstanding voting power immediately after such merger, consolidation or reorganization (or, if such

 

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Company stockholders beneficially own a majority of the outstanding voting power of the surviving or successor entity as of immediately after such merger, consolidation or reorganization, such surviving or successor entity is not the Company); or (iii) any sale or other transfer by the stockholders of the Company of shares representing at least a majority of the Company’s then-total outstanding combined voting power.

 

(b)                                 Treatment of Warrant at Acquisition.  In the event of an Acquisition in which the consideration to be received by the Company’s stockholders consists solely of cash, solely of Marketable Securities (as defined below) or of a combination of cash and Marketable Securities (a “Cash/Public Acquisition”), and the fair market value of one Share as determined in accordance with Section 1.3 above would be greater than the Warrant Price in effect on such date immediately prior to such Cash/Public Acquisition, and Holder has not previously exercised this Warrant pursuant to Sections 1.1 and/or 1.2 above as to all Shares, then this Warrant shall automatically be deemed to be Cashless Exercised pursuant to Section 1.2 above as to all Shares for which it shall not previously have been exercised effective immediately prior to and contingent upon the consummation of a Cash/Public Acquisition.  In connection with such Cashless Exercise, Holder shall be deemed to have restated each of the representations and warranties in Section 4 of the Warrant as the date thereof and the Company shall promptly notify the Holder of the number of Shares (or such other securities) issued upon exercise.  In the event of a Cash/Public Acquisition where the fair market value of one Share as determined in accordance with Section 1.3 above would be less than the Warrant Price in effect immediately prior to such Cash/Public Acquisition, then this Warrant will expire immediately prior to the consummation of such Cash/Public Acquisition.

 

(c)                                  Upon the closing of any Acquisition other than a Cash/Public Acquisition, the acquiring, surviving or successor entity shall assume the obligations of this Warrant, and this Warrant shall thereafter be exercisable for the same securities and/or other property as would have been paid for the Shares issuable upon exercise of the unexercised portion of this Warrant as if such Shares were outstanding on and as of the closing of such Acquisition, subject to further adjustment from time to time in accordance with the provisions of this Warrant.

 

(d)                                 As used in this Warrant, “Marketable Securities” means securities meeting all of the following requirements: (i) the issuer thereof is then subject to the reporting requirements of Section 13 or Section 15(d) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and is then current in its filing of all required reports and other information under the Act and the Exchange Act; (ii) the class and series of shares or other security of the issuer that would be received by Holder in connection with the Acquisition were Holder to exercise this Warrant on or prior to the closing thereof is then traded in a Trading Market, and (iii) following the closing of such Acquisition, Holder would not be restricted from publicly re-selling all of the issuer’s shares and/or other securities that would be received by Holder in such Acquisition were Holder to exercise this Warrant in full on or prior to the closing of such Acquisition, except to the extent that any such restriction (x) arises solely under federal or state securities laws, rules or regulations, and (y) does not extend beyond six (6) months from the closing of such Acquisition.

 

SECTION 2. ADJUSTMENTS TO THE SHARES AND WARRANT PRICE.

 

2.1                               Stock Dividends, Splits, Etc.  If the Company declares or pays a dividend or distribution on the outstanding shares of the Class payable in common stock or other securities or property (other than cash), then upon exercise of this Warrant, for each Share acquired, Holder shall receive, without additional cost to Holder, the total number and kind of securities and property which

 

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Holder would have received had Holder owned the Shares of record as of the date the dividend or distribution occurred.  If the Company subdivides the outstanding shares of the Class by reclassification or otherwise into a greater number of shares, the number of Shares purchasable hereunder shall be proportionately increased and the Warrant Price shall be proportionately decreased.  If the outstanding shares of the Class are combined or consolidated, by reclassification or otherwise, into a lesser number of shares, the Warrant Price shall be proportionately increased and the number of Shares shall be proportionately decreased.

 

2.2                               Reclassification, Exchange, Combinations or Substitution.  Upon any event whereby all of the outstanding shares of the Class are reclassified, exchanged, combined, substituted, or replaced for, into, with or by Company securities of a different class and/or series, then from and after the consummation of such event, this Warrant will be exercisable for the number, class and series of Company securities that Holder would have received had the Shares been outstanding on and as of the consummation of such event, and subject to further adjustment thereafter from time to time in accordance with the provisions of this Warrant.  The provisions of this Section 2.2 shall similarly apply to successive reclassifications, exchanges, combinations, substitutions, replacements or other similar events.

 

2.3                               Conversion of Preferred Stock.  If the Class is a class and series of the Company’s convertible preferred stock, in the event that all outstanding shares of the Class are converted, automatically or by action of the holders thereof, into common stock pursuant to the provisions of the Company’s Certificate of Incorporation, including, without limitation, in connection with the Company’s initial, underwritten public offering and sale of its common stock pursuant to an effective registration statement under the Act (the “IPO”), then from and after the time at which all outstanding shares of the Class have been so converted, this Warrant shall be exercisable for such number of shares of common stock into which the Shares would have been converted had the Shares been outstanding on the date of such conversion, and the Warrant Price shall equal the Warrant Price in effect as of immediately prior to such conversion divided by the number of shares of common stock into which one Share would have been converted, all subject to further adjustment thereafter from time to time in accordance with the provisions of this Warrant.

 

2.4                               Adjustments for Diluting Issuances.  Without duplication of any adjustment otherwise provided for in this Section 2, the number of shares of common stock issuable upon conversion of the Shares shall be subject to anti-dilution adjustment from time to time in the manner set forth in the Company’s Certificate of Incorporation as if the Shares were issued and outstanding on and as of the date of any such required adjustment.

 

2.5                               No Fractional Share.  No fractional Share shall be issuable upon exercise of this Warrant and the number of Shares to be issued shall be rounded down to the nearest whole Share.  If a fractional Share interest arises upon any exercise of the Warrant, the Company shall eliminate such fractional Share interest by paying Holder in cash the amount computed by multiplying the fractional interest by (i) the fair market value (as determined in accordance with Section 1.3 above) of a full Share, less (ii) the then-effective Warrant Price.

 

2.6                               Notice/Certificate as to Adjustments.  Upon each adjustment of the Warrant Price, Class and/or number of Shares, the Company, at the Company’s expense, shall notify Holder in writing within a reasonable time setting forth the adjustments to the Warrant Price, Class and/or number of Shares and facts upon which such adjustment is based.  The Company shall, upon written request from Holder, furnish Holder with a certificate of its Chief Financial Officer or other officer performing

 

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similar duties, including computations of such adjustment and the Warrant Price, Class and number of Shares in effect upon the date of such adjustment.

 

2.7                               Pay to Play Adjustments.       Notwithstanding the definition of Class herein, if Pay to Play Provisions are at any time during the term of this Warrant applied to the outstanding shares of the Class, then from and after such application, “Class” shall mean that class and series of the Company’s securities that a holder of outstanding shares of the Class as of immediately prior to such application would have received or retained had such holder participated in the manner necessary to receive or retain the class and series of the Company’s securities having the relative rights, powers, privileges and preferences more favorable to the holder.  As used herein, “Pay to Play Provisions” means provisions set forth in the Company’s Certificate of Incorporation or elsewhere that require holders of the outstanding shares of the Class to participate in a subsequent round of equity financing of the Company or lose all or a portion of the benefit of anti-dilution protection or any other right, power, privilege or preference applicable to such shares or have such shares automatically convert to common stock or another class or series of Company capital stock.

 

SECTION 3. REPRESENTATIONS AND COVENANTS OF THE COMPANY.

 

3.1                               Representations and Warranties.  The Company represents and warrants to, and agrees with, the Holder as follows:

 

(a)                                 The initial Warrant Price referenced on the first page of this Warrant is not greater than the price per share at which shares of the Class were last sold and issued prior to the Issue Date hereof in an arms-length transaction in which at least $500,000 of such shares were sold.

 

(b)                                 All Shares which may be issued upon the exercise of this Warrant, and all securities, if any, issuable upon conversion of the Shares, shall, upon issuance, be duly authorized, validly issued, fully paid and non-assessable, and free of any liens and encumbrances except for restrictions on transfer provided for herein or under applicable federal and state securities laws.  The Company covenants that it shall at all times cause to be reserved and kept available out of its authorized and unissued capital stock such number of shares of the Class, common stock and other securities as will be sufficient to permit the exercise in full of this Warrant and the conversion of the Shares into common stock or such other securities.

 

(c)                                  The Company’s capitalization table attached hereto as Schedule 1 is true and complete, in all material respects, as of the Issue Date.

 

3.2                               Notice of Certain Events.  If the Company proposes at any time to:

 

(a) declare any dividend or distribution upon the outstanding shares of the Class or common stock, whether in cash, property, stock, or other securities and whether or not a regular cash dividend;

 

(b) offer for subscription or sale pro rata to the holders of the outstanding shares of the Class any additional shares of any class or series of the Company’s stock (other than pursuant to contractual pre-emptive rights);

 

(c) effect any reclassification, exchange, combination, substitution, reorganization or recapitalization of the outstanding shares of the Class;

 

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(d) effect an Acquisition or to liquidate, dissolve or wind up the Company; or

 

(e) effect an IPO;

 

then, in connection with each such event, the Company shall give Holder:

 

(1) in the case of the matters referred to in (a) and (b) above, at least seven (7) Business Days prior written notice of the earlier to occur of the effective date thereof or the date on which a record will be taken for such dividend, distribution, or subscription rights (and specifying the date on which the holders of outstanding shares of the Class will be entitled thereto) or for determining rights to vote, if any;

 

(2) in the case of the matters referred to in (c) and (d) above at least seven (7) Business Days prior written notice of the date when the same will take place (and specifying the date on which the holders of outstanding shares of the Class will be entitled to exchange their shares for the securities or other property deliverable upon the occurrence of such event and such reasonable information as Holder may reasonably require regarding the treatment of this Warrant in connection with such event giving rise to the notice); and

 

(3) with respect to the IPO, at least seven (7) Business Days prior written notice of the date on which the Company proposes to file its registration statement in connection therewith.

 

The Company will also provide information requested by Holder that is reasonably necessary to enable Holder to comply with Holder’s accounting or reporting requirements; provided, however, that the Company shall not be obligated pursuant to this Section 3.2 to provide access to any information the disclosure of which, according to written advice given by the Company’s counsel, could adversely affect the attorney-client privilege between the Company and its counsel; and provided further, that all information received by Holder under this Section 3.2 shall be treated and held by Holder in confidence in accordance with the terms of the confidentiality provisions of the Loan Agreement.

 

SECTION 4. REPRESENTATIONS, WARRANTIES OF THE HOLDER.

 

The Holder represents and warrants to the Company as follows:

 

4.1                                      Purchase for Own Account.  This Warrant and the securities to be acquired upon exercise of this Warrant by Holder are being acquired for investment for Holder’s account, not as a nominee or agent, and not with a view to the public resale or distribution within the meaning of the Act.  Holder also represents that it has not been formed for the specific purpose of acquiring this Warrant or the Shares.

 

4.2                                      Disclosure of Information.  Holder is aware of the Company’s business affairs and financial condition and has received or has had full access to all the information it considers necessary or appropriate to make an informed investment decision with respect to the acquisition of this Warrant and its underlying securities.  Holder further has had an opportunity to ask questions and receive answers from the Company regarding the terms and conditions of the offering of this Warrant and its underlying securities and to obtain additional information (to the extent the Company possessed

 

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such information or could acquire it without unreasonable effort or expense) necessary to verify any information furnished to Holder or to which Holder has access.

 

4.3                                      Investment Experience.  Holder understands that the purchase of this Warrant and its underlying securities involves substantial risk.  Holder has experience as an investor in securities of companies in the development stage and acknowledges that Holder can bear the economic risk of such Holder’s investment in this Warrant and its underlying securities and has such knowledge and experience in financial or business matters that Holder is capable of evaluating the merits and risks of its investment in this Warrant and its underlying securities and/or has a preexisting personal or business relationship with the Company and certain of its officers, directors or controlling persons of a nature and duration that enables Holder to be aware of the character, business acumen and financial circumstances of such persons.

 

4.4                                      Accredited Investor Status.  Holder is an “accredited investor” within the meaning of Regulation D promulgated under the Act.

 

4.5                                      The Act.  Holder understands that this Warrant and the Shares issuable upon exercise hereof have not been registered under the Act in reliance upon a specific exemption therefrom, which exemption depends upon, among other things, the bona fide nature of the Holder’s investment intent as expressed herein.  Holder understands that this Warrant and the Shares issued upon any exercise hereof must be held indefinitely unless subsequently registered under the Act and qualified under applicable state securities laws, or unless exemption from such registration and qualification are otherwise available.  Holder is aware of the provisions of Rule 144 promulgated under the Act.

 

4.6                                       Market Stand-off Agreement.  The Holder agrees that the Shares shall be subject to the Market Standoff provisions in Section 2.11 of the Company’s Investors’ Rights Agreement dated as of November 21, 2013, as may be amended and/or restated and in effect from time to time, which provisions are incorporated herein by reference.

 

4.7                                       No Voting Rights.  Holder, as a Holder of this Warrant, will not have any voting rights until the exercise of this Warrant.

 

SECTION 5. MISCELLANEOUS.

 

5.1                               Term; Automatic Cashless Exercise Upon Expiration.

 

(a)                                 Term. Subject to the provisions of Section 1.6 above, this Warrant is exercisable in whole or in part at any time and from time to time on or before 2:00 PM, Pacific time, on the Expiration Date and shall be void thereafter.

 

(b)                              Automatic Cashless Exercise upon Expiration.  In the event that, upon the Expiration Date, the fair market value of one Share (or other security issuable upon the exercise hereof) as determined in accordance with Section 1.3 above is greater than the Warrant Price in effect on such date, then this Warrant shall automatically be deemed on and as of such date to be exercised pursuant to Section 1.2 above as to all Shares (or such other securities) for which it shall not previously have been exercised, and the Company shall, within a reasonable time, deliver a certificate representing the Shares (or such other securities) issued upon such exercise to Holder.

 

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5.2                               Legends.                                                Each certificate evidencing Shares (and each certificate evidencing securities issued upon conversion of any Shares, if any) shall be imprinted with a legend in substantially the following form:

 

THE SHARES EVIDENCED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”), OR THE SECURITIES LAWS OF ANY STATE AND, EXCEPT AS SET FORTH IN THAT CERTAIN WARRANT TO PURCHASE STOCK ISSUED BY THE ISSUER TO SILICON VALLEY BANK DATED MAY   , 2014, MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED UNLESS AND UNTIL REGISTERED UNDER SAID ACT AND LAWS OR, IN THE OPINION OF LEGAL COUNSEL IN FORM AND SUBSTANCE SATISFACTORY TO THE ISSUER, SUCH OFFER, SALE, PLEDGE OR OTHER TRANSFER IS EXEMPT FROM SUCH REGISTRATION.

 

5.3                               Compliance with Securities Laws on Transfer.  This Warrant and the Shares issued upon exercise of this Warrant (and the securities issuable, directly or indirectly, upon conversion of the Shares, if any) may not be transferred or assigned in whole or in part except in compliance with applicable federal and state securities laws by the transferor and the transferee (including, without limitation, the delivery of investment representation letters and legal opinions reasonably satisfactory to the Company, as reasonably requested by the Company).  The Company shall not require Holder to provide an opinion of counsel if the transfer is to SVB Financial Group (Silicon Valley Bank’s parent company) or any other affiliate of Holder, provided that any such transferee is an “accredited investor” as defined in Regulation D promulgated under the Act.  Additionally, the Company shall also not require an opinion of counsel if there is no material question as to the availability of Rule 144 promulgated under the Act.

 

5.4 Transfer Procedure.  After receipt by Silicon Valley Bank of the executed Warrant, Silicon Valley Bank will transfer all of this Warrant to its parent company, SVB Financial Group.  By its acceptance of this Warrant, SVB Financial Group hereby makes to the Company each of the representations and warranties set forth in Section 4 hereof as of the date of such transfer and agrees to be bound by all of the terms and conditions of this Warrant as if the original Holder hereof.  Subject to the provisions of Section 5.3 and upon providing the Company with written notice, SVB Financial Group and any subsequent Holder may transfer all or part of this Warrant or the Shares issued upon exercise of this Warrant (or the securities issued upon conversion of the Shares, if any) to any transferee, provided, however, in connection with any such transfer, SVB Financial Group or any subsequent Holder will give the Company notice of the portion of the Warrant and/or Shares (and/or securities issued upon conversion of the Shares, if any) being transferred with the name, address and taxpayer identification number of the transferee and Holder will surrender this Warrant to the Company for reissuance to the transferee(s) (and Holder if applicable); and provided further, that any subsequent transferee other than SVB Financial Group shall agree in writing with the Company to be bound by all of the terms and conditions of this Warrant.  Notwithstanding any contrary provision herein, at all times prior to the IPO, Holder may not, without the Company’s prior written consent, transfer this Warrant or any portion hereof, or any Shares issued upon any exercise hereof, or any shares or other securities issued upon any conversion of any Shares issued upon any exercise hereof, to any person or entity who directly competes with the Company, except in connection with an Acquisition of the Company by such a direct competitor.

 

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5.5                               Notices.  All notices and other communications hereunder from the Company to the Holder, or vice versa, shall be deemed delivered and effective (i) when given personally, (ii) on the third (3rd) Business Day after being mailed by first-class registered or certified mail, postage prepaid, (iii) upon actual receipt if given by facsimile or electronic mail and such receipt is confirmed in writing by the recipient, or (iv) on the first Business Day following delivery to a reliable overnight courier service, courier fee prepaid, in any case at such address as may have been furnished to the Company or Holder, as the case may be, in writing by the Company or such Holder from time to time in accordance with the provisions of this Section 5.5.  All notices to Holder shall be addressed as follows until the Company receives notice of a change of address in connection with a transfer or otherwise:

 

SVB Financial Group

Attn:  Treasury Department

3003 Tasman Drive, HC 215

Santa Clara, CA 95054

Telephone: (408) 654-7400

Facsimile:  (408) 988-8317

Email address:  derivatives@svb.com

 

Notice to the Company shall be addressed as follows until Holder receives notice of a change in address:

 

Editas Medicine, Inc.

Attn: President

300 Third Street, First Floor

Cambridge, MA 02142

Telephone:

Facsimile:

Email: Sandra.glucksmann@editasmed.com

 

With a copy (which shall not constitute notice) to:

 

Wilmer Cutler Pickering Hale and Dorr LLP

Attn: Rosemary G. Reilly, Esq.

60 State Street

Boston, MA 02109

Telephone: (617) 526-6633

Facsimile: (617) 526-5000

Email: rosemary.reilly@wilmerhale.com

 

5.6                               Waiver.  This Warrant and any term hereof may be changed, waived, discharged or terminated (either generally or in a particular instance and either retroactively or prospectively) only by an instrument in writing signed by the party against which enforcement of such change, waiver, discharge or termination is sought.

 

5.7                               Attorneys’ Fees.  In the event of any dispute between the parties concerning the terms and provisions of this Warrant, the party prevailing in such dispute shall be entitled to collect from the other party all costs incurred in such dispute, including reasonable attorneys’ fees.

 

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5.8                               Counterparts; Facsimile/Electronic Signatures.  This Warrant may be executed in counterparts, all of which together shall constitute one and the same agreement.  Any signature page delivered electronically or by facsimile shall be binding to the same extent as an original signature page with regards to any agreement subject to the terms hereof or any amendment thereto.

 

5.9                               Governing Law.  This Warrant shall be governed by and construed in accordance with the laws of the State of California, without giving effect to its principles regarding conflicts of law.

 

5.10                        Headings.  The headings in this Warrant are for purposes of reference only and shall not limit or otherwise affect the meaning of any provision of this Warrant.

 

5.11                        Business Days.  “Business Day” is any day that is not a Saturday, Sunday or a day on which Silicon Valley Bank is closed.

 

[Remainder of page left blank intentionally]

[Signature page follows]

 

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IN WITNESS WHEREOF, the parties have caused this Warrant to Purchase Stock to be executed by their duly authorized representatives effective as of the Issue Date written above.

 

	
“COMPANY”
    	
 
    
	
 
    	
 
    
	
EDITAS   MEDICINE, INC.
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
By:   
    	
/s/   Alexandra Glucksmann
    	
 
    
	
 
    	
 
    	
 
    
	
Name:   
    	
Alexandra Glucksmann 
    	
 
    
	
 
    	
(Print)   
    	
 
    
	
Title:
    	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
“HOLDER”
    	
 
    
	
 
    	
 
    
	
SILICON   VALLEY BANK
    	
 
    
	
 
    	
 
    
	
 
    	
 
    	
 
    
	
By:   
    	
/s/   Christina M. Zorzi
    	
 
    
	
 
    	
 
    	
 
    
	
Name:   
    	
Christina   M. Zorzi
    	
 
    
	
 
    	
(Print)
    	
 
    
	
Title:
    	
Vice   President
    	
 
    

 

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APPENDIX 1

 

NOTICE OF EXERCISE

 

1.                                      The undersigned Holder hereby exercises its right to purchase             shares of the Common/Series        Preferred [circle one] Stock of                     (the “Company”) in accordance with the attached Warrant To Purchase Stock, and tenders payment of the aggregate Warrant Price for such shares as follows:

 

o                                                                                    check in the amount of $         payable to order of the Company enclosed herewith

 

o                                                                                    Wire transfer of immediately available funds to the Company’s account

 

o                                                                                    Cashless Exercise pursuant to Section 1.2 of the Warrant

 

o                                                                                    Other [Describe]

 

2.                                      Please issue a certificate or certificates representing the Shares in the name specified below:

 

	
 
    	
 
    
	
Holder’s Name
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
(Address)
    	
 
    

 

3.   By its execution below and for the benefit of the Company, Holder hereby restates each of the representations and warranties in Section 4 of the Warrant to Purchase Stock as of the date hereof.

 

	
 
    	
HOLDER:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By:
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
Title:
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
(Date):
    	
 
    

 

Appendix 1

 

 

SCHEDULE 1

 

Company Capitalization Table

 

See attached

 

Schedule 1Exhibit 10.3

 

 

LOAN AND SECURITY AGREEMENT

 

	
BORROWER:
    	
EDIT AS MEDICINE, INC.
    	
DATE:
    	
MAY 29, 2014
    

 

This LOAN AND SECURITY AGREEMENT (this “Agreement”) is entered into as of the date set forth above (the “Effective Date”) by and between SILICON VALLEY BANK (“Bank”), and the borrower named above (“Borrower”).  Capitalized terms used but not otherwise defined herein shall have the meanings given them on Schedule C, The parties agree as follows:

 

1.  Loans.  Bank will make extensions of credit or other financial accommodations for Borrower’s benefit (each, a “Loan” and collectively, “Loans”), and Borrower promises to pay Bank the amount of all Loans and other debts, principal, interest, Bank Expenses (as defined in Section 8.2), the Prepayment Premium, the Final Payment, and other amounts Borrower owes Bank now or later and interest accruing after insolvency proceedings begin and debts, liabilities, or obligations of Borrower assigned to Bank (collectively, “Obligations”) pursuant to the terms and conditions of this Agreement or the other Loan Documents, and as set forth on Schedule A.  Bank’s obligation to make any Loan is subject to its receipt of the agreements, documents and fees it reasonably requires.

 

2.  Security Interest.  As security for all present and future Obligations and for Borrower’s performance for each of its duties hereunder, Borrower grants Bank a continuing security interest in all of Borrower’s interest in the Collateral (as defined in Schedule B).

 

3.  Representations, Warranties and Covenants of Borrower.  Except as set forth under Item 12 of Schedule D attached hereto, Borrower represents, warrants and covenants to Bank as follows, as of the Effective Date and with respect to covenants, for so long as this Agreement is in effect or any Obligations remain outstanding:

 

3.1  Corporate Existence; Authority.  Each of Borrower and its Subsidiaries is and will continue to be, duly existing and in good standing in its state of formation and qualified and licensed to do business in, and in good standing in, any state where such qualification is necessary, except for jurisdictions in which failure to do so would not have a material adverse effect on Borrower.  The execution, delivery and performance by Borrower of this Agreement and all other related documents have been duly and validly authorized, do not conflict with Borrower’s formation documents, and do not constitute an event of default under any material agreement by which Borrower is bound.  “Subsidiaries” means any entity of which more than 50% of the voting stock or other equity interests is owned or controlled, directly or indirectly, by Borrower.

 

3.2  Collateral.  Bank has and will at all times continue to have a first-priority perfected security interest in all of the Collateral.  Borrower has, and will continue to have, good title to the Collateral, free of any liens except Permitted Liens.  Borrower will immediately advise Bank in writing of any material loss or damage to the Collateral.

 

3.3  Financial Matters.  All financial statements (including notes and schedules) now or in the future delivered to Bank, (i) have presented, and will present, fairly in all material respects Borrower’s financial condition and its results of operations, and (ii) have been, and will be, prepared in conformity with generally accepted accounting principles (“GAAP”), except for the absence of footnotes and subject to year end adjustments.  Since the last date covered by any such statement, there has been no material impairment in the financial condition or business of Borrower.  Borrower will provide Bank with all financial reports as set forth on Schedule A attached hereto, as well as any other financial information reasonably requested by Bank from time to time, including budgets, projections and plans.

 

3.4  Taxes; Legal Compliance.  Borrower has filed, and will file, when due, all tax returns and reports required by applicable law.  Borrower has paid, and will pay when due, all taxes, assessments, deposits and contributions now or in the future owed (except for taxes and assessments being contested in good faith with adequate reserves under GAAP).  Borrower has complied, and will comply, in all material respects, with all applicable laws, rules and regulations.

 

3.5  Insurance.  Borrower shall at all times insure all of the tangible personal property Collateral and carry such other business insurance as is customary for companies similarly situated to Borrower.  Within thirty (30) days after the Effective Date, all property policies will have a lender’s loss payable endorsement showing

 

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Bank as a lender loss payee and provide that the insurer must give Bank at least twenty (20) days’ notice before canceling its policy (except ten (10) days’ notice in the case of cancellation for non-payment).

 

3.6  Access.  Upon one (1) Business Day’s prior notice, Bank or its agents shall have the right to inspect the Collateral and to audit and copy Borrower’s books and records during Borrower’s regular business hours.  A “Business Day” is any day that is not a Saturday, Sunday or a day on which the Bank is closed.  Notwithstanding the foregoing, (i) if an Event of Default has occurred and is continuing, Bank shall not be required to provide written notice to Borrower of any inspection or audit, and (ii) unless an Event of Default had occurred and is continuing, Bank shall not inspect or audit the Collateral or Borrower’s books and records more than once per year.

 

3.7  Banking Matters.  Borrower shall at all times maintain its banking relationship with Bank in a manner as set forth on Schedule A.

 

3.8  Statement of Borrower’s Information.  All of Borrower’s information set forth on Schedule D is true and correct as of the Effective Date, and Borrower shall provide written notice to Bank of any material changes within the prescribed periods of time set forth therein.

 

3.9  Insolvency.  Borrower is able, and will continue to be able, to pay its debts (including trade debts) as they mature.

 

3.10  Additional Agreements.  Borrower will not, and will not permit any of its Subsidiaries to, without Bank’s prior written consent (which shall be a matter of Bank’s good faith business judgment), do any of the following: (i) convey, sell, lease, transfer or otherwise dispose of (“Transfer”) any property other than Permitted Transfers; (ii) engage in any business other than the business currently engaged in by Borrower or reasonably related thereto; (iii) permit or suffer to exist a change in its ownership existing as of the Effective Date in excess of the Ownership Threshold, except for the sale of capital stock to venture or strategic investors, provided that Bank receives at least five (5) Business Days’ prior written notice of such sale and such sale does not otherwise result in an Event of Default (as defined in Section 5); (iv) merge or consolidate with any party, or acquire all or substantially all of the capital stock or assets of another party; (v) incur or become liable for any indebtedness other than Permitted Indebtedness; (vi) [reserved]; (vii) make any investments except for Permitted Investments; (viii) pay or declare any dividends on Borrower’s stock; (ix) redeem, retire, purchase or otherwise acquire, directly or indirectly, any of Borrower’s stock other than stock repurchased in connection with the termination of employment or service as a consultant or director; (x) directly or indirectly enter into any material transaction with any affiliate except in the ordinary course of business upon reasonable terms no less favorable than those in an arm’s-length transaction with a non-affiliate and except in connection with an equity financing not prohibited under this Agreement; or (xi) make any payment on, or materially change any term relating to, any indebtedness which is subordinated to any indebtedness owed to Bank by Borrower.  Borrower shall not, without at least thirty (30) days’ prior written notice to Bank, relocate its principal offices from Borrower’s address set forth on the signature page hereof or change its state of formation.  Borrower shall take or authorize any further actions (including Bank’s filing of financing statements to perfect Bank’s security interest in the Collateral) and execute any further instruments as Bank reasonably requests to perfect or continue Bank’s security interests or to effect the purposes of this Agreement.

 

3.11  Full Disclosure.  No written representation, warranty or other statement of Borrower in any certificate or written statement given to Bank, in the aggregate, contains any untrue statement of a material fact or omits to state a material fact necessary to make the statement contained in such certificates or statements not misleading.

 

4.  Term.  This Agreement shall continue in effect until the maturity date set forth on Schedule A (the “Maturity Date”).  On the Maturity Date or on any earlier effective date of termination of this Agreement, Borrower shall pay in cash all Obligations in full, whether or not such Obligations are otherwise then due and payable.  No termination shall in any way affect or impair any security interest or other right or remedy of Bank, nor shall any such termination relieve Borrower of any obligation to Bank, until all of the Obligations have been paid and performed in full.

 

5.  Events of Default The occurrence of any of the following events shall constitute an “Event of Default” hereunder: (i) Borrower fails to deliver the financial statements and other information pursuant to Section 3.3 above within the prescribed period of time; (ii) Borrower fails to pay when due any Loan or other monetary Obligation within three (3) Business Days after the due date (during which time no additional Loans shall be made by Bank); (iii) Borrower fails to perform any obligation (other than payment of any Loan or other Obligations or those pursuant to Section 3.3 above) or covenant hereunder, which, if such default can be reasonably cured, is not cured within ten (10) days after the date due (or a later date, as approved in writing by

 

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Bank); (iv) a Material Adverse Change; (v) any representation, or written statement given to Bank by or on behalf of Borrower, now or in the future, is untrue or misleading in a material respect; (vi) a default in any agreement between Borrower and a third party that gives the third party the right to accelerate any indebtedness exceeding the Contract Threshold Amount or that could reasonably be expected to cause any material impairment in the Borrower’s business, operations or financial or other condition of the Borrower; (vii) the attachment, seizure, levy or possession by a trustee or receiver of any material portion of Borrower’s assets which is not removed within ten (10) days from its occurrence; (viii) the enjoinment, restraint or prevention by court order from conducting a material part of Borrower’s business, which is not terminated within ten (10) days of its occurrence; (ix) the dissolution, winding up, or insolvency of Borrower; or (x) the appointment of a receiver, trustee or custodian, for all or part of the property of, assignment for the benefit of creditors by, or commencement of any proceeding by or against, Borrower under any reorganization, bankruptcy, insolvency, arrangement, readjustment of debt, dissolution or liquidation law or statute of any jurisdiction, now or in the future in effect, provided that no default shall occur with respect to an involuntary proceeding unless forty-five (45) days has lapsed without such proceeding being dismissed or stayed.

 

6.  Rights and Remedies.  If an Event of Default occurs and continues, Bank may, without notice or demand do any or all of the following: (i) accelerate and declare all of the Loans and other Obligations to be immediately due and payable (but if an Event of Default described in Sections 5(ix) or 5(x) occurs, all Obligations are immediately due and payable without any action by Bank); (ii) stop advancing money or extending credit for Borrower’s benefit under this Agreement or any other agreement between Borrower and Bank; (iii) make any payments and do any acts it considers necessary or reasonable to protect its security interest in the Collateral (and Borrower will reasonably cooperate with Bank accordingly); (iv) apply to the Obligations any balances and deposits of Borrower that Bank holds or any amount held by Bank owing to or for the credit or the account of Borrower; (v) increase the then-existing interest rate to the Default Rate; (vi) ship, reclaim, recover, store, finish, maintain, repair, prepare for sale, advertise for sale and sell or otherwise dispose of the Collateral; and/or (vii) exercise any other rights and remedies permitted by applicable law.  Effective only when an Event of Default occurs and continues, Borrower irrevocably appoints Bank as its lawful attorney to: (a) make, settle, and adjust all claims under Borrower’s insurance policies; and (b) transfer the Collateral into the name of Bank or a third party as the Massachusetts Uniform Commercial Code permits.  Bank may exercise the power of attorney to sign Borrower’s name on any documents necessary to perfect or continue the perfection of any security interest regardless of whether an Event of Default has occurred.  Bank’s appointment as Borrower’s attorney in fact, and all of Bank’s rights and powers, coupled with an interest, are irrevocable until all Obligations have been fully repaid and performed.  All of Bank’s rights and remedies under this Agreement or any other agreement between Bank and Borrower are cumulative.  Borrower waives demand, notice of default or dishonor, notice of payment and nonpayment, notice of any default, nonpayment at maturity, release, compromise, settlement, extension, or renewal of accounts, documents, instruments, chattel paper, and guarantees held by Bank on which Borrower is liable.

 

7.  Indemnification.  Borrower will indemnify, defend and hold harmless Bank and its affiliates, and each of their officers, directors, employees, attorneys, accountants and agents against: (i) all obligations, demands, claims, and liabilities asserted by any other party in connection with the transactions contemplated hereunder; and (ii) all losses and expenses incurred, or paid by Bank arising from transactions between Bank and Borrower (including reasonable attorneys’ fees and expenses), except, as to both “(i)” and “(ii)” in this Section 7, for losses caused by Bank’s gross negligence or willful misconduct.  This Section 7 shall survive termination of this Agreement.

 

8.  General.

 

8.1  No Waivers; Amendments.  The failure of Bank at any time to require Borrower to comply strictly with any of the provisions of this Agreement shall not waive Bank’s right to later demand and receive strict compliance.  Any waiver of a default shall not waive any other default.  None of the provisions of this Agreement may be waived except by a specific written waiver signed by Bank and delivered to Borrower.  The provisions of this Agreement may not be amended except in a writing signed by Borrower and Bank.

 

8.2  Bank Expenses; Attorneys’ Fees.  Borrower shall reimburse Bank for all audit fees and expenses and reasonable costs and expenses (including reasonable attorneys’ fees and expenses) for preparing, negotiating, administering, defending and enforcing this Agreement and the other Loan Documents with Bank (including appeals or insolvency proceedings) (collectively, “Bank Expenses”).  If, subject to the foregoing, Bank or Borrower files any lawsuit against the other predicated on a breach of this Agreement, the prevailing party shall

 

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be entitled to recover its costs and reasonable attorneys’ fees from the non-prevailing party.

 

8.3  Binding Effect; Assignment This Agreement is binding upon and for the benefit of the successors and permitted assignees of each party.  Borrower may not assign any rights under this Agreement without Bank’s prior written consent.  Bank has the right, without the consent of or notice to Borrower, to sell transfer, assign, negotiate, or grant participation in all or any part of, or any interest in, Bank’s obligations, rights, and benefits under this Agreement and the other Loan Documents.

 

8.4  Notices.  All notices by any party required or permitted under this Agreement or any other related agreement must be in writing and be personally delivered or sent by overnight delivery, certified mail (postage prepaid and return receipt requested), or facsimile to the addresses and numbers below.

 

8.5  Governing Law; Jurisdiction.  This Agreement shall be governed by the laws of the Commonwealth of Massachusetts without regard to principles of conflicts of law.  Borrower and Bank each submit to the exclusive jurisdiction of the federal and state courts in Boston, Massachusetts; provided that if for any reason Bank cannot avail itself of such courts in the Commonwealth of Massachusetts, Borrower accepts jurisdiction of the courts and venue in Santa Clara County, California.

 

8.6  Other.  If any provision hereof is unenforceable, the remainder of this Agreement shall continue in full force and effect.  This Agreement (including schedules hereto) and any other written agreements and, documents executed in connection herewith are the complete agreement between Borrower and Bank and supersede all prior and contemporaneous negotiations and oral representations and agreements, all of which are merged and integrated herein.  This Agreement may be executed in one or more counterparts, all of which when taken together will constitute one agreement.

 

9.  Confidentiality.  In handling any confidential information, Bank will exercise the same degree of care that it exercises for its own proprietary information, but disclosure of information may be made: (i) to Bank’s Subsidiaries or affiliates (provided that such Subsidiaries or affiliates are bound by the terms of this provision); (ii) to prospective transferees or purchasers of any interest in the Loans (provided that Bank shall use commercially reasonable efforts in obtaining such transferee’s or purchaser’s agreement to the terms of this provision); (iii) as required by law, regulation, subpoena, or other order; (iv) as required in connection with Bank’s examinations and audits; or (v) as Bank considers appropriate in exercising remedies under this Agreement.  Confidential information does not include information that is either: (a) in the public domain or in Bank’s possession when disclosed to Bank or becomes part of the public domain after disclosure to Bank; or (b) disclosed to Bank by a third party, if Bank does not know that the third party is prohibited from disclosing the information.

 

10.  Mutual Waiver of Jury Trial.  BORROWER AND BANK EACH WAIVE THEIR RIGHT TO A JURY TRIAL OF ANY CLAIM OR CAUSE OF ACTION ARISING OUT OF THIS AGREEMENT OR ANY RELATED DOCUMENT OR ANY TRANSACTION CONTEMPLATED HEREBY OR THEREBY, INCLUDING CONTRACT, TORT, BREACH OF DUTY AND ALL OTHER CLAIMS.  THIS WAIVER IS A MATERIAL INDUCEMENT FOR BOTH PARTIES TO ENTER INTO THIS AGREEMENT.  EACH PARTY HAS REVIEWED THIS WAIVER WITH ITS COUNSEL.

 

11.  Right of Set Off.  Borrower hereby grants to Bank, a right of set off for all Obligations to Bank, whether now existing or hereafter arising upon and against all deposits, credits, collateral and property, now or hereafter in the possession, custody, safekeeping or control of Bank or any entity under the control of Bank (including a Bank subsidiary) or in transit to any of them.  At any time after the occurrence and during the continuance of an Event of Default, without demand or notice, Bank may set off the same or any part thereof and apply the same to any liability or obligation of Borrower even though unmatured and regardless of the adequacy of any other collateral securing the Obligations.  ANY AND ALL RIGHTS TO REQUIRE BANK TO EXERCISE ITS RIGHTS OR REMEDIES WITH RESPECT TO ANY OTHER COLLATERAL WHICH SECURES THE OBLIGATIONS, PRIOR TO EXERCISING ITS RIGHT OF SETOFF WITH RESPECT TO SUCH DEPOSITS, CREDITS OR OTHER PROPERTY OF BORROWER ARE HEREBY KNOWINGLY, VOLUNTARILY AND IRREVOCABLY WAIVED.

 

[Signature page follows.]

 

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IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as a sealed instrument under the laws of the Commonwealth of Massachusetts as of the date initially set forth above.

 

	
BORROWER:
    	
 
    
	
 
    	
 
    
	
EDITAS MEDICINE, INC.
    	
 
    
	
 
    	
 
    
	
By: 
    	
/s/ Alexandra Glucksmann
    	
 
    
	
Name: 
    	
Alexandra Glucksmann
    	
 
    
	
Title: 
    	
COO
    	
 
    

 

	
Address:
    	
300 Third Street, First Floor
    	
 
    
	
 
    	
Cambridge, Massachusetts 02142
    	
 
    
	
 
    	
Attn: 
    	
Alexandra Glucksmann
    	
 
    
	
 
    	
Facsimile:
    	
 
    	
 
    
	
 
    	
Email: 
    	
sglucksmann@editasmed.com
    	
 
    

 

	
BANK:
    	
 
    
	
 
    	
 
    
	
BANK:
    	
 
    
	
 
    	
 
    
	
SILICON VALLEY BANK
    	
 
    
	
 
    	
 
    
	
By: 
    	
/s/ Christina M.   Zorzi
    	
 
    
	
Name: 
    	
Christina M. Zorzi
    	
 
    
	
Title: 
    	
VP
    	
 
    

 

	
Address:
    	
275 Grove Street, Suite 2-200
    	
 
    
	
 
    	
Newton, Massachusetts 02466
    	
 
    
	
 
    	
Attn: Christina Zorzi
    	
 
    
	
 
    	
Email: CZorzi@svb.com
    	
 
    

 

 

 

SCHEDULE A
 LOAN TERMS

 

BORROWER:      EDITAS MEDICINE INC.

 

	
EQUIPMENT LOANS
    
	
 
    	
 
    	
 
    
	
Equipment Loan A Amount:
    	
 
    	
Five Hundred Thousand Dollars ($500,000.00) (the “Equipment Loan A Amount”)
    
	
 
    	
 
    	
 
    
	
Equipment Loan A Draw Period:
    	
 
    	
The period of time commencing upon the Effective Date and ending   on the earlier to occur of (a) July 31, 2014, or (b) an Event   of Default (the “Equipment Loan A Draw   Period”)
    
	
 
    	
 
    	
 
    
	
Equipment Loan B Amount:
    	
 
    	
One Million Five Hundred Thousand Dollars ($1,500,000.00) (the “Equipment Loan B Amount”)
    
	
 
    	
 
    	
 
    
	
Equipment Loan B Draw Period:
    	
 
    	
The period of time commencing upon the occurrence of the Equity   Event and ending on the earlier to occur of (a) March 31, 2015, or   (b) an Event of Default (the “Equipment Loan B Draw   Period”)
    
	
 
    	
 
    	
 
    
	
Maturity Date:
    	
 
    	
For each Loan, the Payment Date that is thirty-five (35) months   after the applicable Amortization Date for such Loan (the “Maturity Date”).
    
	
 
    	
 
    	
 
    
	
Equipment Loans:
    	
 
    	
Subject to the terms and conditions of this Agreement, during   Equipment Loan A Draw Period, from time to time and upon the delivery to Bank   by Borrower of a completed and executed irrevocable LOAN PAYMENT/ADVANCE   REQUEST FORM (in a form acceptable to Bank), and any additional   information as Bank may reasonably request (including copies of the invoices   for the equipment to be financed) at least five (5) Business Days before   the proposed funding date, Bank will make Loans, each in a minimum amount of   One Hundred Thousand Dollars ($100,000.00) (unless there is less than   $100,000 of the Equipment Loan A Amount available to be borrowed), the   aggregate of which will not exceed the Equipment Loan A Amount. Subject to   the terms and conditions of this Agreement, during Equipment Loan B Draw   Period, from time to time and upon the delivery to Bank by Borrower of a   completed and executed irrevocable LOAN PAYMENT/ADVANCE REQUEST FORM (in a   form acceptable to Bank), and any additional information as Bank may   reasonably request (including copies of the invoices for the equipment to be   financed) at least five (5) Business Days before the proposed funding   date, Bank will make Loans, each in a minimum amount of One Hundred Thousand   Dollars ($100,000.00) (unless there is less than $100,000 of the Equipment   Loan B Amount available to be borrowed), the aggregate of which will not   exceed the Equipment Loan B Amount.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
The Loans may only be used to finance Eligible Equipment   purchased on or after ninety (90) days before the date of each Loan and may   not exceed one hundred percent (100%) of the equipment invoice, excluding   taxes, shipping, warranty charges, freight discounts and installation   expense. Notwithstanding the foregoing, the initial Loan hereunder may be   used to reimburse Borrower for Eligible Equipment purchased on or after the   date 
    

 

 

	
 
    	
 
    	
which is six (6) months prior to the Effective Date,   provided such Loan is made on the Effective Date and in a minimum amount of   One Hundred Thousand Dollars ($100,000.00). Transferable software licenses,   leasehold improvements or other soft costs (including sales tax, freight,   architects’ fees and installation expenses) may constitute up to twenty-five   percent (25%) percent of each Loan.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
In addition to the LOAN PAYMENT/ADVANCE REQUEST FORM, Borrower   shall provide Bank with (a) a UCC financing statement covering the   Eligible Equipment, and (b) an opportunity to confirm that upon filing   the UCC financing statement covering the Eligible Equipment Bank shall have a   first priority perfected security interest in such Eligible Equipment.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Once repaid, Loans may not be re-borrowed.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Bank will be obligated to make a Loan, so long as (i) each   of the representations and warranties in Section 3 of the Agreement is   materially true on the date the LOAN PAYMENT/ADVANCE REQUEST FORM is   submitted and on the effective date of such Loan (except to the extent they   relate specifically to an earlier date, in which case such representation and   warranties shall continue to have been true and accurate as of such specified   date), and (ii) no Event of Default shall have occurred and be   continuing or result from such Loan.
    
	
 
    	
 
    	
 
    
	
Repayment:
    	
 
    	
Commencing on the first Payment Date of the month following the   month in which the Funding Date of a Loan occurs, and continuing on each   Payment Date thereafter until the applicable Amortization Date, Borrower   shall make monthly payments of interest, in arrears, on the principal amount   of each Loan at the rate set forth below.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Commencing on the applicable Amortization Date, and continuing   on each Payment Date thereafter, Borrower shall repay each Loan in   (i) thirty-six (36) equal monthly installments of principal, plus   (ii) monthly payments of accrued interest at the rate set forth below. The   final payment due on the applicable Maturity Date shall include all   outstanding principal and all accrued and unpaid interest under each Loan and   all other outstanding Obligations with respect to each Loan.
    
	
 
    	
 
    	
 
    
	
Interest Rate:
    	
 
    	
Loans accrue interest on the outstanding principal balance at a   per annum rate of two and three quarters of one percent (2.75%) above the   Prime Rate, fixed at the time of the advance for each Loan. Interest is   computed on a 360 day year for the actual number of days elapsed.
    
	
 
    	
 
    	
 
    
	
Default Rate:
    	
 
    	
Any amounts outstanding during the continuance of an Event of   Default shall bear additional interest at the rate of five percent (5.0%) per   annum (the “Default Rate”).
    
	
 
    	
 
    	
 
    
	
Prepayment Upon an Event of Loss:
    	
 
    	
Borrower shall bear the risk of any loss, theft, destruction, or   damage of or to the Financed Equipment. If, during the term of this   Agreement, any item of Financed Equipment becomes obsolete or is lost,   stolen, destroyed, damaged beyond repair, rendered permanently unfit for use,   or seized by a governmental authority for any reason for a period ending   beyond the Maturity Date with respect to such Financed Equipment (an “Event of Loss”), then, within fifteen (15) days following   such Event of Loss, Borrower shall (i) pay to Bank on account of the   Obligations all accrued 
    

 

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interest to the date of the prepayment, plus all outstanding   principal owing with respect to the Financed Equipment subject to the Event   of Loss, plus the Prepayment Premium and the Final Payment; or (ii) if   no Event of Default has occurred and is continuing, at Borrower’s option,   repair or replace any Financed Equipment subject to an Event of Loss provided   the repaired or replaced Financed Equipment is of equal or like value to the   Financed Equipment subject to an Event of Loss and provided further that Bank   has a first priority perfected security interest in such repaired or replaced   Financed Equipment. Any partial prepayment of Loan paid by Borrower on   account of an Event of Loss shall be applied to prepay amounts owing for such   Loan in inverse order of maturity.
    
	
 
    	
 
    	
 
    
	
Mandatory Prepayment:
    	
 
    	
If the Loans are accelerated following the occurrence of an   Event of Default or otherwise, Borrower shall immediately pay to Bank an   amount equal to the sum of: (i) all outstanding principal and accrued   interest under the Loans, (ii) the Prepayment Premium, (iii) the   Final Payment, and (iv) all other sums, if any, that shall have become due   and payable, including interest at the Default Rate with respect to any past   due amounts.
    
	
 
    	
 
    	
 
    
	
Permitted Prepayment:
    	
 
    	
Borrower shall have the option to prepay all (but not less than   all) of the Loans provided Borrower (i) provides written notice to Bank   of its election to prepay the Loans at least five (5) days prior to such   prepayment, and (ii) pays, on the date of such prepayment (A) all   outstanding principal and accrued interest under the Loans, (B) the   Prepayment Premium, (C) the Final Payment, and (D) all other sums,   if any, that shall have become due and payable, including interest at the   Default Rate with respect to any past due amounts.
    
	
 
    	
 
    	
 
    
	
Request to Debit Accounts:
    	
 
    	
Bank may debit any of Borrower’s deposit accounts (including   account number(s):
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
                                                          )   for principal and interest payments or any amounts Borrower owes Bank when   due. Bank will notify Borrower when it debits Borrower’s accounts. Such   debits are not a set-off. Payments received after 12:00 noon Eastern time are   considered received at the opening of business on the next Business Day. When   a payment is due on a day that is not a Business Day, the payment is due the   next Business Day and additional interest shall accrue.
    
	
 
    	
 
    	
 
    
	
LIMITATION TO   BANK’S OBLIGATIONS
    
	
 
    	
 
    	
 
    
	
Limitation:
    	
 
    	
Bank’s obligation to lend the undisbursed portion of the Loan   will terminate if, in Bank’s reasonable discretion, there has been any   material impairment in the general affairs, results of operation, condition   (financial or otherwise) or the prospect of repayment of the Obligations, or   there has been any material adverse deviation by Borrower from the most   recent business plan of Borrower presented to and accepted by Bank prior to   the execution of this Agreement.
    
	
 
    	
 
    	
 
    
	
FEES
    
	
 
    	
 
    	
 
    
	
Final Payment:
    	
 
    	
Borrower will pay the Final Payment, when due hereunder.
    
	
 
    	
 
    	
 
    
	
Prepayment Premium:
    	
 
    	
Borrower will pay the Prepayment Premium, when due hereunder.
    
	
 
    	
 
    	
 
    
	
Commitment Fee:
    	
 
    	
Borrower will pay to Bank on the Effective Date a fully earned, non-refundable   commitment fee of Seven Thousand Five Hundred Dollars ($7,500.00).
    

 

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WARRANT
    
	
 
    	
 
    	
 
    
	
Warrant:
    	
 
    	
Concurrently on the Effective   Date, Borrower will execute, deliver and issue to Bank a warrant to purchase   stock (the “Warrant”), pursuant to Bank’s   standard form of warrant.
    
	
 
    	
 
    	
 
    
	
BANKING MATTERS
    
	
 
    	
 
    	
 
    
	
Banking Matters:
    	
 
    	
Borrower shall maintain all of   its and all of its Subsidiaries’ (if any) operating, depository, and   securities accounts with Bank and Bank’s affiliates.
    
	
 
    	
 
    	
 
    
	
FINANCIAL REPORTING REQUIREMENTS
    
	
 
    	
 
    	
 
    
	
Financial Reports:
    	
 
    	
Borrower shall provide Bank:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
·                       Monthly Financial Statements.  Within thirty (30) days after the   end of each month, monthly financial statements prepared by Borrower in   accordance with GAAP, together with a Compliance Certificate signed by a   Responsible Officer in the form of Schedule E;
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
·                       Annual Audited Financial Statements.  Within one hundred eighty (180)   days following the end of Borrower’s fiscal year, annual, audited,   consolidated financial statements prepared under GAAP, consistently applied,   together with an unqualified opinion in the financial statements from independent public   accountants reasonably acceptable to Bank; and
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
·                       Board Approved Projections.  As soon as available, but no   later than forty-five (45) days after the last day of Borrower’s fiscal year,   and promptly after any material updates or changes thereto, Board-approved   projections (reflecting projections on a quarterly or monthly basis) as to   the then-current fiscal year in a form of presentation reasonably acceptable   to Bank.
    

 

4

 

 

SCHEDULE B
 COLLATERAL

 

The Collateral consists of all right, title and interest of Borrower in and to the following:

 

Each item of equipment, or personal property financed with a “Loan” pursuant to that certain Loan and Security Agreement, dated as of                (the “Loan Agreement”), by and between Borrower and Bank, including, without limitation, the property described in Annex A hereto, whether now owned or hereafter acquired, together with all substitutions, renewals or replacements of and additions, improvements, and accessions to any and all of the foregoing, and all proceeds from sales, renewals, releases or other dispositions thereof.

 

 

ANNEX “A”

 

	
Description of Equipment
    	
 
    	
Make
    	
 
    	
Model
    	
 
    	
Serial #
    	
 
    	
Invoice #
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    	
 
    

 

2

 

 

SCHEDULE C
 DEFINITIONS

 

As used in this Agreement, the following words shall have the following meanings:

 

“Agreement” is defined in the preamble hereof.

 

“Amortization Date” is, for each Loan, the first Payment Date following the nine (9) month anniversary of the Funding Date of such Loan.

 

“Bank” is defined in the preamble hereof.

 

“Bank Expenses” is defined in Section 8.2.

 

“Board” means Borrower’s board of directors.

 

“Borrower” is defined in the preamble hereof.

 

“Business Day” is defined in Section 3.6.

 

“Collateral” is any and all properties, rights and assets of Borrower described on Schedule B.

 

“Compliance Certificate” is that certain certificate in the form attached hereto as Schedule E.

 

“Contract Threshold Amount” means One Hundred Thousand Dollars ($100,000.00).

 

“Default Rate” is defined on Schedule A.

 

“Effective Date” is defined in the preamble hereof.

 

“Eligible Equipment” is the following to the extent it complies with all of Borrower’s representations and warranties to Bank, is reasonably acceptable to Bank in all respects, is located at 300 Third Street, First Floor, Cambridge, Massachusetts 02142 or such other location of which Bank has approved in writing, and is subject to a first priority lien in favor of Bank: new and used general purpose equipment, computer equipment, office equipment, test and laboratory equipment, furnishings, subject to the limitations set forth herein.

 

“Equipment Loan A Amount” is defined on Schedule A.

 

“Equipment Loan A Draw Period” is defined on Schedule A.

 

“Equipment Loan B Amount” is defined on Schedule A.

 

“Equipment Loan B Draw Period” is defined on Schedule A.

 

“Equity Event” is confirmation by Bank that Borrower has received, on or after April 15, 2014, but prior to December 31, 2014, unrestricted and unencumbered net cash proceeds in an amount of at least Seventeen Million Dollars ($17,000,000.00) from the issuance of new equity in connection with Borrower’s second Series A equity tranche.

 

“Event of Default” is defined in Section 5.

 

“Event of Loss” is defined in Schedule A.

 

 

“Final Payment” is, for each Loan, a payment (in addition to and not a substitution for the regular monthly payments of principal plus accrued interest) equal to the original principal amount of such Loan extended by Bank multiplied by the Final Payment Percentage, due on the earliest to occur of (a) the applicable Maturity Date, (b) the acceleration of any Loan, or (c) the prepayment of a Loan pursuant to this Agreement.

 

“Final Payment Percentage” is, for each Loan, four percent (4.0%).

 

“Financed Equipment” is all present and future Eligible Equipment in which Borrower has any interest which is financed by a Loan.

 

“Funding Date” is any date on which a Loan is made to or for the account of Borrower which shall be a Business Day.

 

“GAAP” is generally accepted accounting principles set forth in the opinions and pronouncements of the Accounting Principles Board of the American Institute of Certified Public Accountants and statements and pronouncements of the Financial Accounting Standards Board or in such other statements by such other Person as may be approved by a significant segment of the accounting profession, which are applicable to the circumstances as of the date of determination.

 

“Intellectual Property” means any copyright rights, copyright applications, copyright registrations and like protections in each work of authorship and derivative work, whether published or unpublished, any patents, patent applications and like protections, including improvements, divisions, continuations, renewals, reissues, extensions, and continuations-in-part of the same, trademarks, service marks and applications therefor, whether registered or not, and the goodwill of the business of Borrower connected with and symbolized thereby, know-how, operating manuals, trade secret rights, rights to unpatented inventions, and any claims for damage by way of any past, present, or future infringement of any of the foregoing.

 

“Loan” and “Loans” are defined in Section 1.

 

“Loan Documents” are, collectively, this Agreement, any subordination agreement, any note, or notes or guaranties executed by Borrower, and any other present or future agreement between Borrower and/or for the benefit of Bank in connection with this Agreement, all as amended, extended or restated.

 

“Material Adverse Change” means the occurrence of (a) any material impairment in the business, operations, or financial condition of the Borrower, (b) a material impairment of the prospect of repayment of any portion of the Obligations; or (c) a material impairment in the perfection or priority of Bank’s security interest in the Collateral or in the value of such Collateral (other than normal depreciation) which is not covered by adequate insurance.

 

“Maturity Date” is defined in Schedule A.

 

“Obligations” is defined in Section 1.

 

“Ownership Threshold” means forty-nine percent (49.0%).

 

“Payment Date” is the first (1st) Business Day of each calendar month.

 

“Permitted Indebtedness” means (a) Borrower’s indebtedness to Bank or Bank’s affiliates; (b) indebtedness existing on the Effective Date and shown on Schedule D; (c) indebtedness incurred by Borrower owed to a third-party subordinated to Borrower’s indebtedness owed to Bank which subordination is reflected in a written agreement as accepted and approved by the Bank prior to the incurrence of such third-party indebtedness; (d) indebtedness to trade creditors incurred in the ordinary course of business; (e) indebtedness secured by Permitted Liens; (f) indebtedness arising from the endorsement of instruments in the ordinary course of business; and (g) extensions, refinancings, modifications, amendments and restatements of any items of Permitted Indebtedness described in (a) through (f) above, provided that the principal amount thereof is not increased or the terms thereof are not modified to impose materially more burdensome terms upon Borrower or its Subsidiaries, as the case may be.

 

2

 

“Permitted Investments” means (a) investments shown on Schedule D and existing on the Effective Date; (b) (i) marketable direct obligations issued or unconditionally guaranteed by the United States or its agency or any State maturing within one (1) year from its acquisition, (ii) commercial paper maturing no more than one (1) year after its creation and having the highest rating from either Standard & Poor’s Ratings Service or Moody’s Investors Service, Inc., (iii) Bank’s certificates of deposit issued maturing no more than one (1) year after issue, (iv) investments permitted by Borrower’s investment policy, as amended from time to time, provided that such investment policy (and such amendments thereto) has been approved by Bank in writing (which approval shall not be unreasonably withheld, conditioned or delayed); (c) investments consisting of the endorsement of negotiable instruments for deposit or collection or similar transactions in the ordinary course of business; (d) investments consisting of (i) travel advances and employee relocation loans and other employee loans and advances in the ordinary course of business, and (ii) loans to employees, officers or directors relating to the purchase of equity securities of Borrower or its Subsidiaries pursuant to employee stock purchase plans or agreements approved by Borrower’s Board; (e) deposit and investment accounts of Borrower in which Bank has a lien prior to any other lien (other than liens securing customary fees and expenses (but no credit/debt relationship or margin account) of the depository or investment intermediary); and (f) investments not otherwise permitted in an aggregate amount of not more than Twenty-Five Thousand Dollars ($25,000.00) in each fiscal year.

 

“Permitted Liens” means (a) liens in favor of Bank or Bank’s affiliates; (b) liens for taxes, fees, assessments or other government charges or levies, either not delinquent or being contested in good faith and for which Borrower maintains adequate reserves on its books, if they have no priority over any of Bank’s security interests; (c) statutory liens securing claims or demands of materialmen, mechanics, carriers, warehousemen, landlords and other Persons imposed without action of such parties, provided, they have no priority over any of Bank’s security interests and the aggregate amount of such liens does not at any time exceed Fifty Thousand Dollars ($50,000.00); and (d) liens to secure payment of workers’ compensation, employment insurance, old-age pensions, social security and other like obligations incurred in the ordinary course of business.

 

“Permitted Transfer” means Transfers of (a) inventory in the ordinary course of business; (b) non-exclusive licenses and similar arrangements for the use of the property of Borrower or its Subsidiaries in the ordinary course of business and other licenses that may be exclusive in some respects, such as, by way of example, with respect to field of use or geographic territory, but that do not result, under applicable law, in a sale of all of Borrower’s or any of its Subsidiaries’ interest in the property that is the subject of the license; and (c) worn-out or obsolete equipment (that does not constitute Financed Equipment).

 

“Person” is any individual, sole proprietorship, partnership, limited liability company, joint venture, company association, trust, unincorporated organization, association, corporation, institution, public benefit corporation, firm, joint stock company, estate, entity or government agency.

 

“Prepayment Premium” shall be an additional fee payable to Bank in amount equal to: (a) for a prepayment made on or prior to the first (1st) anniversary of the Funding Date of such Loan, two percent (2.0%) of the then outstanding principal amount of such Loan as of the date immediately and prior to such prepayment, and (b) for a prepayment made after the first (1st) anniversary of the Funding Date of such Loan, one percent (1.0%) of the then outstanding principal amount of such Loan as of the date immediately and prior to such prepayment.

 

“Prime Rate” is the greater of (a) the rate of interest per annum from time to time published in the money rates section of The Wall Street Journal or any successor publication thereto as the “prime rate” then in effect; provided that if such rate of interest, as set forth from time to time in the money rates section of The Wall Street Journal, becomes unavailable for any reason as determined by Bank, the “Prime Rate” shall mean the rate of interest per annum announced by Bank as its prime rate in effect at its principal office in the State of California (such Bank announced Prime Rate not being intended to be the lowest rate of interest charged by Bank in connection with extensions of credit to debtors), and (b) three and one quarter of one percent (3.25%).

 

“Responsible Officer” is each of the Chief Executive Officer, the President, the Chief Operating Officer, the Chief Financial Officer and the Controller of Borrower, and any person duly appointed to act on an interim basis in such capacity, and any person duly appointed by the Board to execute agreements and documents under the Agreement.

 

“Subsidiaries” is defined in Section 3.1.

 

3

 

“Transfer” is defined in Section 3.10.

 

“Warrant” is defined on Schedule A.

 

4

 

 

SCHEDULE D
 STATEMENT OF BORROWER’S INFORMATION

 

Borrower hereby represents and warrants, as of the date of the Agreement, subject to any updates provided to Bank as required under the Agreement: (If none, please indicate so.  Attach additional pages, if necessary.)

 

*1. The exact legal name of Borrower, as set forth in its formation documents, is: Editas Medicine, Inc..

 

*2. Borrower currently operates and has operated during the previous five years under only the following names: Editas Medicine, Inc. and Gengine, Inc. .

 

*3. Borrower is organized in the State of Delaware and is qualified to do business in the following states: the Commonwealth of Massachusetts.

 

*4. The following are all of Borrower’s Subsidiaries and their respective states (or countries, if other than the U.S.) and dates of formation, as well as the percentage of total capital stock owned by Borrower:
  None.

 

**5. The following are all actions, suits, proceedings and investigations pending, or to Borrower’s knowledge, currently threatened by or against Borrower, in which a likely adverse decision could reasonably be expected to cause a Material Adverse Change in Borrower’s business, operations or financial condition:
  None.

 

**6. The following is a description of all returns, recoveries, disputes and claims with respect to inventory of at least $50,000 each, received by Borrower within the last thirty (30) days:
  None.

 

***7. The following are all of Borrower’s copyrights or mask works registered with the United States Copyright Office:
  None.

 

****8. The following are all of Borrower’s patents, trademarks and service marks registered with the United States Patent and Trademark Office, and all applications filed by Borrower in the United States Patent & Trademark Office for a patent or to register a trademark or service mark:

 

Patent Applications

 

	
Ref.
    	
 
    	
Appin No.
    	
 
    	
Filing Date
    	
 
    	
Status
    
	
EM001P1
    	
 
    	
61/883925
    	
 
    	
Sep 27, 2013
    	
 
    	
Pending
    
	
EM001P2
    	
 
    	
61/898043
    	
 
    	
Oct 31, 2013
    	
 
    	
Pending
    
	
EM001P3
    	
 
    	
61/901215
    	
 
    	
Nov 7, 2013
    	
 
    	
Pending
    
	
EM002P
    	
 
    	
61/884528
    	
 
    	
Sep 30, 2013
    	
 
    	
Pending
    
	
EM003P
    	
 
    	
61/943288
    	
 
    	
Feb 21, 2014
    	
 
    	
Pending
    
	
EM004P
    	
 
    	
61/948520
    	
 
    	
Mar 5, 2014
    	
 
    	
Pending
    

 

 

	
Ref.
    	
 
    	
Appin No.
    	
 
    	
Filing Date
    	
 
    	
Status
    
	
EM005P
    	
 
    	
61/949120
    	
 
    	
Mar 6, 2014
    	
 
    	
Pending
    
	
EM006P
    	
 
    	
61/948521
    	
 
    	
Mar 5, 2014
    	
 
    	
Pending
    
	
EM007P
    	
 
    	
61/950733
    	
 
    	
Mar 10, 2014
    	
 
    	
Pending
    
	
EM008P
    	
 
    	
61/974327
    	
 
    	
Apr 2, 2014
    	
 
    	
Pending
    
	
EM010P
    	
 
    	
61/979954
    	
 
    	
Apr 15, 2014
    	
 
    	
Pending
    
	
EM011P
    	
 
    	
61/979967
    	
 
    	
Apr 15, 2014
    	
 
    	
Pending
    
	
EM013P
    	
 
    	
61/970237
    	
 
    	
Mar 25, 2014
    	
 
    	
Pending
    
	
EM014P
    	
 
    	
61/970588
    	
 
    	
Mar 26, 2014
    	
 
    	
Pending
    
	
EM015P
    	
 
    	
61/970834
    	
 
    	
Mar 26, 2014
    	
 
    	
Pending
    
	
EM016P
    	
 
    	
61/970842
    	
 
    	
Mar 26, 2014
    	
 
    	
Pending
    
	
EM017P
    	
 
    	
61/970836
    	
 
    	
Mar 26, 2014
    	
 
    	
Pending
    
	
EM018P
    	
 
    	
61/970873
    	
 
    	
Mar 26, 2014
    	
 
    	
Pending
    
	
EM021P
    	
 
    	
61/970585
    	
 
    	
Mar 26, 2014
    	
 
    	
Pending
    
	
EM022P
    	
 
    	
61/970871
    	
 
    	
Mar 26, 2014
    	
 
    	
Pending
    
	
EM023P
    	
 
    	
61/970579
    	
 
    	
Mar 26, 2014
    	
 
    	
Pending
    
	
EM024P
    	
 
    	
61/972052
    	
 
    	
Mar 28, 2014
    	
 
    	
Pending
    
	
EM027P
    	
 
    	
61/977488
    	
 
    	
Apr 9, 2014
    	
 
    	
Pending
    
	
EM031P
    	
 
    	
61/981135
    	
 
    	
Apr 17, 2014
    	
 
    	
Pending
    
	
EM032P
    	
 
    	
61/973793
    	
 
    	
Apr 1, 2014
    	
 
    	
Pending
    
	
EM033P
    	
 
    	
61/973792
    	
 
    	
Apr 1, 2014
    	
 
    	
Pending
    
	
EM034P
    	
 
    	
61/981636
    	
 
    	
Apr 18,2014
    	
 
    	
Pending
    

 

Trademark Applications:

 

	
Mark (Jurisdiction)
    	
 
    	
Filed
    	
 
    	
Application Number
    
	
Editas (USA)
    	
 
    	
11/14/13
    	
 
    	
86/119062
    
	
Editas (USA)
    	
 
    	
12/22/13
    	
 
    	
86/150453
    
	
Editas Logo (USA)
    	
 
    	
12/22/13
    	
 
    	
86/150456
    

 

2

 

9.                                      The following is all of the Borrower’s indebtedness existing as of the date of the Agreement:
  None.

 

10.                               The following is all of the Borrower’s investments (other than Subsidiaries) existing as of the date of the Agreement:
  None.

 

11.                               The following are all liens to which Borrower’s assets and property are subject as of the date of the Agreement:
  None.

 

12.                               Other exceptions to representations and warranties under Section 3 of the Agreement:
  None.

 

Borrower must update Bank of any material change to information:

 

	
*
    	
 
    	
at least thirty (30) days prior to the date of occurrence of the   event necessitating such update.
    
	
**
    	
 
    	
within five (5) days of the date of occurrence of the event   necessitating such update.
    
	
***
    	
 
    	
at least 15 days prior to the date of filing of any application   with the United States Copyright Office.
    
	
****
    	
 
    	
at least 30 days after the date of filing of any application   with the United States Patent and Trademark Office.
    

 

3

 

SCHEDULE E
 COMPLIANCE CERTIFICATE

 

	
TO:
    	
SILICON VALLEY BANK
    	
 
    
	
 
    	
 
    	
 
    
	
FROM:
    	
EDITAS MEDICINE, INC.
    	
 
    

 

The undersigned authorized officer of EDITAS MEDICINE, INC. (“Borrower”) certifies that under the terms and conditions of the Loan and Security Agreement between Borrower and Bank (the “Agreement”), (i) Borrower is in complete compliance for the period ending            with all required covenants except as noted below and (ii) all representations and warranties in the Agreement are true and correct in all material respects on this date (except any representations and warranties made as of a specific prior date).  In addition, the undersigned authorized officer of Borrower certifies that Borrower and each Subsidiary has timely filed all required tax returns and paid, or made adequate provision to pay, all material taxes, except those being contested in good faith with adequate reserves under GAAP.  Attached are the required documents supporting the certification.  The Officer certifies that these are prepared in accordance with Generally Accepted Accounting Principles (GAAP) consistently applied from one period to the next except as explained in an accompanying letter or footnotes, and except for the absence of footnotes and subject to year end adjustments.  The Officer acknowledges that no borrowings may be requested at any time or date of determination that Borrower is not in compliance with any of the terms of the Agreement, and that compliance is determined not just at the date this certificate is delivered.

 

Please indicate compliance status by circling Yes/No under “Complies” column.

 

	
Reporting Covenant
    	
 
    	
Required
    	
 
    	
Complies
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
Monthly financial statements + CC
    	
 
    	
Monthly within 30 days
    	
 
    	
Yes No
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
Annual (Audited) financial statements
    	
 
    	
FYE within 180 days
    	
 
    	
Yes No 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
Board-approved projections
    	
 
    	
FYE within 45 days
    	
 
    	
Yes No 
    

 

Borrower only has deposit accounts located at the following institutions:               .

 

Comments Regarding Exceptions: See Attached.

 

	
 
    	
 
    	
BANK USE ONLY
    
	
Sincerely,
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Received by:
    	
 
    
	
EDITAS MEDICINE, INC.
    	
 
    	
 
    	
AUTHORIZED   SIGNER
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Date:
    	
 
    
	
Signature
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Verified:
    	
 
    
	
 
    	
 
    	
 
    	
AUTHORIZED   SIGNER
    
	
Title
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Date:
    	
 
    
	
 
    	
 
    	
 
    
	
Date
    	
 
    	
Compliance Status:
    	
Yes            No
    
					

 

 

LOAN PAYMENT/ADVANCE REQUEST FORM
  DEADLINE FOR SAME DAY PROCESSING IS 12:00 NOON EASTERN TIME

 

	
Fax To:
    	
Date:
    	
 
    

 

	
·  LOAN   PAYMENT   :                             EDITAS   MEDICINE, INC. (Borrower)
    
	
 
    
	
From Account #                                        To   Account #                                
    
	
 
    
	
(Deposit   Account   #)                             (Loan   Account #)
    
	
 
    
	
Principal   $                           and/or Interest $                                              
    
	
 
    
	
All Borrower’s representations   and warranties in the Loan and Security Agreement are true, correct and   complete in all material respects up to and including the date of the   transfer request for a loan payment, but those representations and warranties   expressly referring to another date shall be true, correct and complete in   all material respects as of that date:
    

 

	
Authorized   Signature:
    	
 
    	
 
    	
Phone Number:
    	
 
    	
 
    

 

	
·  LOAN ADVANCE:
    
	
 
    
	
Complete Outgoing Wire Request section below if   all or a portion of the funds from this loan advance are for an outgoing wire.
    
	
 
    
	
From Account #                                                        To   Account #
    
	
                                    (Loan   Account #)                                                    (Deposit   Account #)
    
	
 
    
	
Amount of Advance   $                              
    
	
 
    
	
All Borrower’s representations   and warranties in the Loan and Security Agreement are true, correct and   complete in all material respects up to and including the date of the   transfer request for an advance, but those representations and warranties   expressly referring to another date shall be true, correct and complete in   all material respects as of that date:
    

 

	
Authorized   Signature:
    	
 
    	
 
    	
Phone Number:
    	
 
    	
 
    

 

	
·  OUTGOING WIRE REQUEST
    
	
 
    
	
Complete only if   all or a portion of funds from the loan   advance above are to be wired.
    
	
 
    
	
Deadline for same day processing   is 12:00 noon, Eastern Time.
    
	
 
    
	
Beneficiary Name:                              Amount   of Wire: $                  
    
	
 
    
	
Beneficiary Bank:                             Account   Number:                      
    
	
 
    
	
City and State:                                    
    
	
 
    
	
Beneficiary Rank Transit (ABA)   #:                                   Beneficiary   Bank Code (Swift. Sort. Chip, etc.):
    
	
 
    
	
(For International Wire Only)
    
	
 
    
	
Intermediary Bank:                                                           Transit   (ABA) #:              
    
	
 
    
	
For Further Credit to:                                                             
    
	
 
    
	
Special Instruction:                                                               
    
	
 
    
	
By signing   below, I (we) acknowledge and agree that my (our) funds transfer request   shall be processed in accordance with and subject to the terms and conditions   set forth in the agreements (s) covering funds transfer service(s),   which agreements(s) were previously received and executed by me (us).
    

 

	
Authorized Signature:  
    	
 
    	
 
    	
2nd Signature (If Required):
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Print Name/Title: 
    	
 
    	
 
    	
Print Name/Title:
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
Telephone # 
    	
 
    	
 
    	
Telephone #
    	
 
    	
 
    
										

 

 

ENDNOTE ANNOTATIONS FOR INTERNAL SVB USE ONLY

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