Document:

Warrant

 Exhibit 10.3 

 
 Execution Version 

THE WARRANT PROVIDED FOR IN THIS AGREEMENT AND THE SECURITIES ISSUABLE UPON EXERCISE OF SUCH WARRANT HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF
1933, AS AMENDED, OR ANY STATE SECURITIES LAWS. THEY MAY NOT BE SOLD, OFFERED FOR SALE, PLEDGED, OR HYPOTHECATED IN THE ABSENCE OF AN EFFECTIVE REGISTRATION STATEMENT RELATED THERETO OR AN OPINION OF COUNSEL REASONABLY SATISFACTORY TO THE COMPANY
THAT SUCH REGISTRATION IS NOT REQUIRED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY APPLICABLE STATE SECURITIES LAWS. 

WARRANT AGREEMENT 

To Purchase Shares of Common Stock of 

AVEO PHARMACEUTICALS, INC. 

Dated as of June 2, 2010 (the “Effective Date”) 

WHEREAS, AVEO Pharmaceuticals, Inc., a Delaware corporation (the “Company”), has entered into a Loan and Security
Agreement dated as of May 28, 2010 (the “Loan Agreement”) with Hercules Technology III, L.P., a Delaware limited partnership (the “Warrantholder”) and Hercules Technology II, L.P., a Delaware limited
partnership; 
 WHEREAS, the Company desires to grant to Warrantholder, in consideration for, among other things, the financial
accommodations provided for in the Loan Agreement, the right to purchase shares of its Common Stock (as defined below), pursuant to this Warrant Agreement (the “Agreement”); 

NOW, THEREFORE, in consideration of the Warrantholder executing and delivering the Loan Agreement and providing the financial
accommodations contemplated therein, and in consideration of the mutual covenants and agreements contained herein, the Company and Warrantholder agree as follows: 

SECTION 1. GRANT OF THE RIGHT TO PURCHASE COMMON STOCK. 

For value received, the Company hereby grants to the Warrantholder, and the Warrantholder is entitled, upon the terms and subject to the
conditions hereinafter set forth, to subscribe for and purchase, from the Company, up to Seventy Thousand Four Hundred Eighty Eight (70,488) fully paid and non-assessable shares of the Common Stock (as defined below) at the Exercise Price (as
defined below) effective upon the Effective Date. As used herein, the following terms shall have the following meanings: 

“1934 Act” has the meaning given to it in Section 10(d). 

“Acknowledgment of Exercise” has the meaning given to it in Section 3(a). 

“Act” means the Securities Act of 1933, as amended. 

“Agreement” has the meaning given to it in the preamble to this Agreement. 

“Charter” means the Company’s Certificate of Incorporation or other constitutional document, as the same may be
amended and/or restated from time to time. 
 “Claims” has the meaning given to it in Section 12(p).

 “Common Stock” means the Company’s common stock, $.001 par value per share. 

 “Company” has the meaning given to it in the preamble to this Agreement.

 “Effective Date” has the meaning given to it in the preamble to this Agreement. 

“Exercise Price” means $7.98. 

“Lender” has the meaning given to it in the Loan Agreement. 

“Loan Agreement” has the meaning given to it in the preamble to this Agreement. 

“Merger Event” means a merger or consolidation involving the Company in which (x) the Company is not the surviving
entity, or (y) the outstanding shares of the Company’s capital stock are otherwise converted into or exchanged for shares of capital of another entity. 

“Net Issuance” has the meaning given to it in Section 3(a). 

“Notice of Exercise” has the meaning given to it in Section 3(a). 

“Purchase Price” means, with respect to any exercise of the Warrant provided for in this Agreement, an amount equal to
the Exercise Price as of the relevant time multiplied by the number of shares of Common Stock to be acquired under this Agreement pursuant to such exercise. 

“Registration Statement” has the meaning given to it in Section 9(k). 

“Rules” has the meaning given to it in Section 12(q). 

“SEC” means the Securities and Exchange Commission. 

“Transfer Notice” has the meaning given to it in Section 11. 

“Warrant” has the meaning given to it in Section 2. 

“Warrant Term” has the meaning given to it in Section 2. 

“Warrantholder” has the meaning given to it in the preamble to this Agreement. 

In addition, capitalized terms used herein but not otherwise defined herein shall have the meaning assigned to such terms in the Loan Agreement.

 SECTION 2. TERM OF THE AGREEMENT. 

Except as otherwise provided for herein, the term of this Agreement (the “Warrant Term”) and the right to purchase
Common Stock as granted herein (the “Warrant”) shall commence on the Effective Date and shall be exercisable for a period ending seven (7) years from the Effective Date. 

SECTION 3. EXERCISE OF THE PURCHASE RIGHTS. 

(a) Exercise. The purchase rights set forth in this Agreement are exercisable by the Warrantholder, in whole or in part, at any
time, or from time to time, during the Warrant Term, by tendering to the Company at its principal office a notice of exercise in the form attached hereto as Exhibit I (the “Notice of Exercise”), duly completed and executed.
Promptly upon receipt of the Notice of Exercise and the payment of the Purchase Price in accordance with the terms set forth below, and in no event later than three (3) business days thereafter, the Company shall issue to the Warrantholder a
certificate for the number of shares of Common Stock purchased and shall execute the acknowledgment of exercise in the form attached hereto as Exhibit II (the “Acknowledgment of Exercise”) indicating the number of shares
which remain subject to future purchases, if any. 
  

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 The Purchase Price may be paid at the Warrantholder’s election either (i) by cash
or check, or (ii) by surrender of all or a portion of the Warrant for shares of Common Stock to be exercised under this Agreement and, if applicable, an amended Agreement representing the remaining number of shares purchasable hereunder, as
determined below (“Net Issuance”). If the Warrantholder elects the Net Issuance method, the Company will issue Common Stock in accordance with the following formula: 

 

							
		 		 	X =     Y(A-B)	  	
		 		 	                A	  	
			
	Where:	 	X =	 	the number of shares of Common Stock to be issued to the Warrantholder.
			
		 		 	 Y = the number of shares of Common Stock requested to be exercised under this Agreement (including the number of shares to be
cancelled in payment of the Purchase Price).

			
		 		 	 A = the fair market value of one (1) share of Common Stock at the time of issuance of such shares of Common
Stock.

			
		 	B =	 	the Exercise Price.

 For
purposes of the above calculation, the fair market value per share of Common Stock shall mean: 
 (i) if the
Common Stock is traded on the New York Stock Exchange, the American Stock Exchange, any exchange operated by The NASDAQ Stock Market LLC or any other securities exchange, the fair market value shall be deemed to be the average of the closing prices
over a five (5) day period ending three (3) days before the day the fair market value of the Common Stock is being determined; or 

(ii) if at any time the Common Stock is not listed on the New York Stock Exchange, the American Stock Exchange, any
exchange operated by The NASDAQ Stock Market LLC or any other securities exchange, the fair market value of such Common Stock shall be fair market value of Common Stock as determined in good faith by the Company’s Board of Directors (provided,
that if Warrantholder disagrees with the fair market value determined by the Company’s Board of Directors Warrantholder may solicit, from an appraiser reasonably acceptable to the Company, an independent appraisal of the fair market value of
the Common Stock and, if such valuation is higher, Warrantholder may substitute the Board of Directors’ fair market value determination with that of the independent appraiser), unless the Company shall consummate a Merger Event pursuant to
which the Company is not the surviving party, in which case the fair market value of Common Stock shall be deemed to be the per share value received by the holders of the Company’s Common Stock on a Common Stock-equivalent basis pursuant to
such Merger Event. 
 Upon partial exercise by either cash or Net Issuance, the Company shall promptly issue an amended
Agreement representing the remaining number of shares purchasable hereunder. All other terms and conditions of such amended Agreement shall be identical to those contained herein, including, but not limited to the Effective Date hereof. 

(b) Exercise Prior to Expiration. To the extent that the Warrantholder has not exercised its purchase rights under this Agreement
to all Common Stock subject hereto, and if the fair market value of one share of the Common Stock is greater than the Exercise Price then in effect, this Agreement shall be deemed automatically exercised pursuant to Section 3(a) (even if not

  

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surrendered) immediately before the expiration of the Warrant Term. For purposes of such automatic exercise, the fair market value of one share of the Common Stock upon such expiration shall be
determined pursuant to Section 3(a). To the extent this Agreement or any portion thereof is deemed automatically exercised pursuant to this Section 3(b), the Company agrees to promptly notify the Warrantholder of the number of shares of
Common Stock, if any, the Warrantholder is to receive by reason of such automatic exercise. 
 SECTION 4. RESERVATION OF
SHARES. 
 From and after the Effective Date, the Company will at all times have authorized and reserved a sufficient number of
shares of its Common Stock to provide for the exercise of the rights to purchase Common Stock as provided for herein. 

SECTION 5. NO FRACTIONAL SHARES OR SCRIP. 

No fractional shares or scrip representing fractional shares shall be issued upon the exercise of the Warrant provided for in this
Agreement, but in lieu of such fractional shares the Company shall make a cash payment therefor upon the basis of the fair market value of the share, as determined in accordance with Section 3. 

SECTION 6. NO RIGHTS AS SHAREHOLDER/STOCKHOLDER. 

This Agreement does not entitle the Warrantholder to any voting rights or other rights as a shareholder/stockholder of the Company prior
to the exercise of the Warrant. 
 SECTION 7. WARRANTHOLDER REGISTRY. 

The Company shall maintain a registry showing the name and address of the registered holder of the Warrant. Warrantholder’s initial
address, for purposes of such registry, is set forth in Section 12(g). Warrantholder may change such address by giving written notice of such changed address to the Company. 

SECTION 8. ADJUSTMENT RIGHTS. 

The Exercise Price and the number of shares of Common Stock purchasable hereunder are subject to adjustment, as follows: 

(a) Merger Event. If at any time there shall be a Merger Event, then, as a part of such Merger Event, lawful provision shall be
made so that the Warrantholder shall thereafter be entitled to receive, upon exercise of the Warrant, the kind, amount and value of shares of common stock or other securities or property of the successor, surviving or purchasing corporation
resulting from, or participating in, such Merger Event that would have been issuable if Warrantholder had exercised the Warrant immediately prior to the Merger Event. In any such case, appropriate adjustment (as determined in good faith by the
Company’s Board of Directors) shall be made in the application of the provisions of this Agreement with respect to the rights and interests of the Warrantholder after the Merger Event to the end that the provisions of this Agreement (including
adjustments of the Exercise Price) shall be applicable in their entirety, and to the greatest extent possible. Without limiting the foregoing, in connection with any Merger Event, upon the closing thereof, the successor, surviving or purchasing
entity shall assume the obligations of this Agreement. The provisions of this Section 8(a) shall similarly apply to successive Merger Events. In connection with a Merger Event and upon Warrantholder’s written election to the Company, the
Company shall cause the Warrant to be exchanged for the consideration that Warrantholder would have received if Warrantholder chose to exercise its right to have shares issued pursuant to the Net Issuance provisions of this Agreement without
actually exercising such right, acquiring such shares and exchanging such shares for such consideration. 
  

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 (b) Reclassification of Shares. Except as set forth in Section 8, if the Company
at any time shall, by combination, reclassification, exchange or subdivision of securities or otherwise, change any of the securities as to which purchase rights under this Agreement exist into the same or a different number of securities of any
other class or classes, this Agreement shall thereafter represent the right to acquire such number and kind of securities as would have been issuable as the result of such change with respect to the securities which were subject to the purchase
rights under this Agreement immediately prior to such combination, reclassification, exchange, subdivision or other change. 

(c) Subdivision or Combination of Shares. If the Company at any time shall combine or subdivide its Common Stock purchasable
hereunder, (i) in the case of a subdivision, the Exercise Price shall be proportionately decreased, or (ii) in the case of a combination, the Exercise Price shall be proportionately increased. 

(d) Stock Dividends. If the Company at any time while the Warrant is outstanding and unexpired shall: 

(i) pay a dividend with respect to the Common Stock payable in Common Stock, then the Exercise Price shall be adjusted,
from and after the date of determination of stockholders entitled to receive such dividend or distribution, to that price determined by multiplying the Exercise Price in effect immediately prior to such date of determination by a fraction
(A) the numerator of which shall be the total number of shares of Common Stock outstanding immediately prior to such dividend or distribution, and (B) the denominator of which shall be the total number of shares of Common Stock outstanding
immediately after such dividend or distribution; or 
 (ii) make any other distribution with respect to the
Common Stock, except any distribution specifically provided for in any other clause of this Section 8, then, in each such case, provision shall be made by the Company such that the Warrantholder shall receive upon exercise of the Warrant a
proportionate share of any such distribution as though it were the holder of the Common Stock as of the record date fixed for the determination of the stockholders of the Company entitled to receive such distribution. 

(e) Antidilution Rights. Antidilution rights applicable to the Common Stock purchasable hereunder, if any, are as set forth in the
Charter. The Company shall promptly provide the Warrantholder with a copy of any restatement, amendment, modification or waiver of the Charter; provided, that no such restatement, amendment, modification or waiver shall impair or reduce the
antidilution rights, if any, applicable to the Common Stock unless such restatement, amendment, modification or waiver affects the rights of Warrantholder with respect to the Common Stock purchasable hereunder in the same manner as it affects all
other holders of the Common Stock. The Company shall, within ten (10) business days of the end of each fiscal quarter following the Effective Date in which an antidilution adjustment with respect to the Common Stock purchasable hereunder
occurred pursuant to the Charter, provide Warrantholder with written notice of any issuance of its stock or other equity security during such fiscal quarter that triggered such an antidilution adjustment, which notice shall include (a) the
price at which such stock or security was sold, (b) the number of shares issued, and (c) such other information as reasonably necessary for Warrantholder to verify that such antidilution adjustment occurred and the amount of any such
adjustment. For the avoidance of doubt, there shall be no duplicate antidilution adjustment pursuant to this subsection (e), the forgoing subsection (d) and the Charter. 

(f) Notice of Adjustments. If (i) the Company shall declare any dividend or distribution upon its Common Stock, whether in
stock, cash, property or other securities (assuming Warrantholder consents to a dividend involving cash, property or other securities under the Loan 

 

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Agreement, if such consent is then required by the terms of the Loan Agreement); (ii) the Company shall offer for subscription pro rata to the holders of Common Stock any additional shares
of stock of any class or other rights; (iii) there shall be any Merger Event or the Company shall sell, lease, license or otherwise transfer all or substantially all of its assets; or (iv) there shall be any voluntary dissolution,
liquidation or winding up of the Company; then, in connection with each such event, the Company shall send to the Warrantholder: (A) at least fifteen (15) days’ prior written notice of the date on which the books of the Company shall
close or a record shall be taken for such dividend, distribution, subscription rights (specifying the date on which the holders of Common Stock shall be entitled thereto) or for determining rights to vote in respect of such Merger Event,
dissolution, liquidation or winding up; and (B) in the case of any such Merger Event, sale, lease, license or other transfer of all or substantially all of the Company’s assets, dissolution, liquidation or winding up, at least fifteen
(15) days’ prior written notice of the date when the same shall take place (and specifying the date on which the holders of Common Stock shall be entitled to exchange their Common Stock for securities or other property deliverable upon
such Merger Event, dissolution, liquidation or winding up). 
 Each such written notice shall set forth, in reasonable detail,
(i) the event requiring the notice, and (ii) if any adjustment is required to be made, (A) the amount of such adjustment, (B) the method by which such adjustment was calculated, (C) the adjusted Exercise Price (if the
Exercise Price has been adjusted), and (D) the number of shares subject to purchase hereunder after giving effect to such adjustment, and shall only be provided in the manner set forth in Section 12(g)(i). 

(g) Timely Notice. Failure to timely provide such notice required by subsection (f) above shall entitle Warrantholder to
retain the benefit of the applicable notice period notwithstanding anything to the contrary contained in any insufficient notice received by Warrantholder. 

SECTION 9. REPRESENTATIONS, WARRANTIES AND COVENANTS OF THE COMPANY. 

(a) Reservation of Common Stock. The Common Stock issuable upon exercise of the Warrantholder’s rights has been, or in
accordance with Section 4, will be duly and validly reserved and, when issued in accordance with the provisions of this Agreement, will be validly issued, fully paid and non-assessable, and will be free of any taxes, liens, charges or
encumbrances of any nature whatsoever; provided, that the Common Stock issuable pursuant to this Agreement may be subject to restrictions on transfer under state and/or federal securities laws or in this Agreement. The Company has made
available to the Warrantholder true, correct and complete copies of its Charter and current bylaws. The issuance of certificates for shares of Common Stock upon exercise of the Warrant and payment of the Purchase Price shall be made without charge
to the Warrantholder for any issuance tax in respect thereof, or other cost incurred by the Company in connection with such exercise and the related issuance of shares of Common Stock; provided, that the Company shall not be required to pay
any tax which may be payable in respect of any transfer and the issuance and delivery of any certificate in a name other than that of the Warrantholder. 

(b) Due Authority. The execution and delivery by the Company of this Agreement and the performance of all obligations of the
Company hereunder, including the issuance to Warrantholder of the right to acquire the shares of Common Stock, have been duly authorized by all necessary corporate action on the part of the Company. The execution and delivery by the Company of this
Agreement: (1) does not violate the Company’s Charter or current bylaws; (2) does not contravene any law or governmental rule, regulation or order applicable to it; and (3) does not and will not contravene any provision of, or
constitute a default under, any indenture, 
  

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mortgage, contract or other instrument to which it is a party or by which it is bound. This Agreement constitutes the legal, valid and binding agreement of the Company, enforceable in accordance
with its terms. 
 (c) Consents and Approvals. No consent or approval of, giving of notice to, registration with, or
taking of any other action in respect of, any state, federal or other governmental authority or agency is required on the part of the Company with respect to the execution, delivery and performance by the Company of its obligations under this
Agreement, except for the filing of notices pursuant to Regulation D under the Act and any filing required by applicable state securities law, which filings will be made by the time required thereby. 

(d) Issued Securities. All issued and outstanding shares of Common Stock have been duly authorized and validly issued and are
fully paid and nonassessable. All outstanding shares of Common Stock and any other outstanding securities were issued in full compliance with all federal and state securities laws. In addition, as of May 25, 2010 in the case of each of clause
(i) and clause (ii) below and as of the date immediately preceding the Effective Date in the case of clause (iii) below: 

(i) The authorized capital stock of the Company consists of (A) 100,000,000 shares of Common Stock, of which
30,875,528 shares are issued and outstanding, and (B) 5,000,000 shares of Preferred Stock, $0.001 par value per share, none of which are issued or outstanding. 

(ii) The Company has reserved 6,402,500 shares of Common Stock for issuance under its stock incentive plan(s), under which
options to purchase 3,373,016 shares of Common Stock are outstanding. Other than the options referred to in the prior sentence and warrants to purchase 182,200 shares of Common Stock, there are no other options, warrants, conversion privileges or
other rights presently outstanding to purchase or otherwise acquire any authorized but unissued shares of the Company’s capital stock or other securities of the Company. 

(iii) Pursuant to the Company’s Charter, no stockholder of the Company has preemptive rights to purchase new
issuances of the Company’s capital stock that have not been properly waived in connection with the issuance of the Warrant or the Common Stock to be issued upon the exercise of the Warrant. 

(e) Insurance. The Company has in full force and effect insurance policies, with extended coverage, insuring the Company and its
property and business against such losses and risks, and in such amounts, as are customary for corporations engaged in a similar business and similarly situated and as otherwise may be required pursuant to the terms of any other contract or
agreement. 
 (f) Other Commitments to Register Securities. Except as set forth in this Agreement, the Charter and the
Fourth Amended and Restated Investor Rights Agreement dated as of March 18, 2009, as amended, by and among the Company and the other parties thereto, there is no agreement between the Company and any holders of its securities under which the
Company has any obligation to register under the Act any of its presently outstanding securities or any of its securities which may hereafter be issued. 

(g) Exempt Transaction. Subject to the accuracy of the Warrantholder’s representations in Section 10, the issuance of
the Common Stock upon exercise of the Warrant will constitute a transaction exempt from (i) the registration requirements of the Act and (ii) the qualification requirements of the applicable state securities laws. 

 

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 (h) Compliance with Rule 144. If the Warrantholder proposes to sell Common Stock
issuable upon the exercise of this Agreement in compliance with Rule 144 promulgated by the SEC, then, upon Warrantholder’s written request to the Company, the Company shall furnish to the Warrantholder, within ten days after receipt of such
request, a written statement confirming the Company’s compliance with the filing requirements of the SEC as set forth in such Rule, as such Rule may be amended from time to time. 

(i) Information Rights. During the Warrant Term, Warrantholder shall be entitled to the information rights contained in
Section 7.1 of the Loan Agreement, and Section 7.1 of the Loan Agreement is hereby incorporated into this Agreement by this reference as though fully set forth herein, provided, however, that the Company shall not be required to deliver a
Compliance Certificate once all Indebtedness (as defined in the Loan Agreement) owed by the Company to Warrantholder has been repaid. 

(j) Listing of Shares. The Common Stock is listed for trading on The NASDAQ Global Market as of the Effective Date and the Company
shall maintain such listing through the Warrant Term. 
 (k) SEC Registration of Shares. The Company shall comply with
Section 8.2(f) of the Loan Agreement for the purpose of providing registration rights for the Common Stock issuable upon exercise of the Warrantholder’s rights contained herein pursuant to a registration rights agreement to be delivered in
accordance with such Section 8.2(f) of the Loan Agreement. 
 SECTION 10. REPRESENTATIONS AND COVENANTS OF THE
WARRANTHOLDER. 
 This Agreement has been entered into by the Company in reliance upon the following representations and
covenants of the Warrantholder: 
 (a) Investment Purpose. The right to acquire Common Stock or the Common Stock issuable
upon exercise of the Warrantholder’s rights contained herein has been, and such shares will be, acquired for investment and not with a view to, or for sale in connection with, the distribution of any part thereof, and the Warrantholder has no
present intention of selling or engaging in, or any agreement, undertaking or commitment with respect to, any public distribution of the same. 

(b) Private Issue. The Warrantholder understands (i) that the Common Stock issuable upon exercise of this Agreement is not
registered under the Act or qualified under applicable state securities laws on the ground that the issuance contemplated by this Agreement will be exempt from the registration and qualifications requirements thereof, and (ii) that the
Company’s reliance on such exemption is predicated on the representations set forth in this Section 10. 
 (c)
Financial Risk. The Warrantholder has sufficient knowledge and experience in financial and business matters as to be capable of evaluating the merits and risks of its investment, and has the ability to bear the economic risks of its
investment, in the Company. Such Warrantholder has made detailed inquiry concerning the Company, its business and its personnel and the officers of the Company have made available to such Warrantholder any and all written information which it has
requested and have answered to such Warrantholder’s satisfaction all inquiries made by such Warrantholder. 
 (d) Risk
of No Registration. Without prejudice to Section 9(k), the Warrantholder understands that if the Company does not register shares of its capital stock with the SEC pursuant to Section 12 of the Securities Exchange Act of 1934 (the
“1934 Act”), or file reports pursuant to Section 15(d) of the 1934 Act, or if a registration statement covering shares of its capital stock under the Act covering the Warrant granted pursuant to this Agreement and the

  

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shares of Common Stock issuable upon exercise of the Warrant granted pursuant to this Agreement is not in effect when it desires to sell (i) the Warrant granted pursuant to this Agreement or
(ii) the shares of Common Stock issuable upon exercise of such Warrant, it may be required to hold such securities for an indefinite period. The Warrantholder also understands that any sale of (A) such Warrant or (B) the shares
of Common Stock issued or issuable hereunder which might be made by it in reliance upon Rule 144 under the Act may be made only in accordance with the terms and conditions of that Rule. 

(e) Accredited Investor. Warrantholder is an “accredited investor” within the meaning of Rule 501 of Regulation D, as
presently in effect, under the Act. 
 (f) No Short Sales. The Warrantholder has not engaged, and will not engage, in
“short sales” of the Common Stock of the Company. The term “short sale” shall mean any sale of a security which the seller does not own or any sale which is consummated by the delivery of a security borrowed by, or for the
account of, the seller. 
 SECTION 11. TRANSFERS. 

Subject to compliance with the provisions of this Agreement and applicable federal and state securities laws, this Agreement and all
rights hereunder are transferable, in whole or in part, without charge to the holder hereof (except for transfer taxes) upon surrender of this Agreement properly endorsed. Subject to such compliance, each taker and holder of this Agreement, by
taking or holding the same, consents and agrees that this Agreement, when endorsed in blank, shall be deemed negotiable, and that the holder hereof, when this Agreement shall have been so endorsed and its transfer recorded on the Company’s
books, shall be treated by the Company and all other persons dealing with this Agreement as the absolute owner hereof for any purpose and as the person entitled to exercise the rights represented by this Agreement. The transfer of this Agreement
shall be recorded on the books of the Company upon receipt by the Company of a notice of transfer in the form attached hereto as Exhibit III (the “Transfer Notice”), at its principal offices and the payment to the Company of all
transfer taxes and other governmental charges imposed on such transfer. Until the Company receives such Transfer Notice, the Company may treat the registered owner hereof as the owner for all purposes. 

Each certificate representing shares acquired upon exercise of such Warrant shall bear a legend substantially in the following form: 

“The securities represented by this certificate have not been registered under the Securities Act of 1933, as amended, and may not be
offered, sold or otherwise transferred, pledged or hypothecated unless and until such securities are registered under such Act or an opinion of counsel satisfactory to the Company is obtained to the effect that such registration is not
required.” 
 SECTION 12. MISCELLANEOUS. 

(a) Effective Date. The provisions of this Agreement shall be construed and shall be given effect in all respects as if it had
been executed and delivered by the Company on the date hereof. This Agreement shall be binding upon any successors or assigns of the Company. 

(b) Remedies. In the event of any default hereunder, the non-defaulting party may proceed to protect and enforce its rights either
by suit in equity and/or by action at law, including but not limited to an action for damages as a result of any such default, and/or an action for specific performance for any default where the non-defaulting party will not have an adequate remedy
at law and where damages will not be readily ascertainable. Each party hereto expressly agrees that it shall not oppose an application by the other party or any other person entitled to the benefit of this Agreement requiring specific performance of
any or all provisions hereof or enjoining a party from continuing to commit any such breach of this Agreement. 
  

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 (c) No Impairment of Rights. The Company will not, by amendment of its Charter or
through any other means, avoid or seek to avoid the observance or performance of any of the terms of this Agreement, but will at all times in good faith assist in the carrying out of all such terms and in the taking of all such actions as may be
necessary or appropriate in order to protect the rights of the Warrantholder against impairment. 
 (d) Additional
Documents. The Company, upon execution of this Agreement, shall provide the Warrantholder with a certificate of an officer of the Company to the effect that the representations, warranties and covenants set forth in Sections 9(a) through 9(d),
9(f) and 9(g) are true and correct as of the date of execution of this Agreement. The Company shall also supply such other documents as the Warrantholder may from time to time reasonably request. 

(e) Attorney’s Fees. In any litigation, arbitration or court proceeding between the Company and the Warrantholder relating
hereto, the prevailing party shall be entitled to reasonable attorneys’ fees and expenses and all costs of proceedings incurred in enforcing this Agreement. For the purposes of this Section 12(e), attorneys’ fees shall include without
limitation fees incurred in connection with the following: (i) contempt proceedings; (ii) discovery; (iii) any motion, proceeding or other activity of any kind in connection with an insolvency proceeding; (iv) garnishment, levy,
and debtor and third party examinations; and (v) post-judgment motions and proceedings of any kind, including without limitation any activity taken to collect or enforce any judgment. 

(f) Severability. In the event any one or more of the provisions of this Agreement shall for any reason be held invalid, illegal
or unenforceable, the remaining provisions of this Agreement shall be unimpaired, and the invalid, illegal or unenforceable provision shall be replaced by a mutually acceptable valid, legal and enforceable provision, which comes closest to the
intention of the parties underlying the invalid, illegal or unenforceable provision. 
 (g) Notices. Except as otherwise
provided herein, any notice, demand, request, consent, approval, declaration, service of process or other communication that is required, contemplated, or permitted under this Agreement or with respect to the subject matter hereof shall be in
writing, and shall be deemed to have been validly served, given, delivered, and received upon the earlier of: (i) the first business day after transmission by facsimile or hand delivery or deposit with an overnight express service or overnight
mail delivery service; or (ii) the third calendar day after deposit in the United States mails, with proper first class postage prepaid, and shall be addressed to the party to be notified as follows: 

If to Warrantholder: 

HERCULES TECHNOLOGY III, L.P. 

Legal Department 

Attention: Chief Legal Officer and Manuel Henriquez 

400 Hamilton Avenue, Suite 310 

Palo Alto, CA 94301 

Facsimile: 650-473-9194 

Telephone: 650-289-3060 

With a copy to: 

BINGHAM MCCUTCHEN 

Attn: John Connolly 

Three Embarcadero Center 

San Francisco, CA 94111 

Facsimile: 415-393-2286 

Telephone: 415-393-2560 
  

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	 	(i)	If to the Company: 

  

	 	  	AVEO PHARMACEUTICALS, INC. 

	 	  	Attention: President 

	 	  	75 Sidney Street 

	 	  	Fourth Floor 

	 	  	Cambridge, MA 02139 

	 	  	Facsimile: 617-995-4995 

	 	  	Telephone: 617-299-5000 

  

	 	  	With a copy to: 

  

	 	  	WILMER CUTLER PICKERING HALE AND DORR LLP 

	 	  	Attention: Steven D. Singer, Esq. 

	 	  	60 State Street 

	 	  	Boston, MA 02109 

	 	  	Facsimile: 617-526-5000 

	 	  	Telephone: 617-526-6000 

 or to such other
address as each party may designate for itself by like notice. 
 (h) Entire Agreement; Amendments. This Agreement
constitutes the entire agreement and understanding of the parties hereto in respect of the subject matter hereof, and supersedes and replaces in their entirety any prior proposals, term sheets, letters, negotiations or other documents or agreements,
whether written or oral, with respect to the subject matter hereof (including the proposal letter dated May 7, 2010 between the Warrantholder and the Company). None of the terms of this Agreement may be amended except by an instrument executed
by each of the parties hereto. 
 (i) Headings. The various headings in this Agreement are inserted for convenience only
and shall not affect the meaning or interpretation of this Agreement or any provisions hereof. 
 (j) Advice of Counsel.
Each of the parties represents to each other party hereto that it has discussed (or had an opportunity to discuss) with its counsel this Agreement and, specifically, the provisions of Sections 12(n), 12(o), 12(p), 12(q) and 12(r). 

(k) No Strict Construction. The parties hereto have participated jointly in the negotiation and drafting of this Agreement. In the
event an ambiguity or question of intent or interpretation arises, this Agreement shall be construed as if drafted jointly by the parties hereto and no presumption or burden of proof shall arise favoring or disfavoring any party by virtue of the
authorship of any provisions of this Agreement. 
 (l) No Waiver. No omission or delay by either party at any time to
enforce any right or remedy reserved to it, or to require performance of any of the terms, covenants or provisions hereof by the other party at any time designated, shall be a waiver of any such right or remedy to which such party is entitled, nor
shall it in any way affect the right of such party to enforce such provisions thereafter. 
  

 11 

 (m) Survival. All agreements, representations and warranties contained in this
Agreement or in any document delivered pursuant hereto shall be for the benefit of Warrantholder and shall survive the execution and delivery of this Agreement and the expiration or other termination of this Agreement. 

(n) Governing Law. This Agreement has been negotiated and delivered to Warrantholder in the State of California, and shall have
been accepted by Warrantholder in the State of California. Delivery of Common Stock to Warrantholder by the Company under this Agreement is due in the State of California. This Agreement shall be governed by, and construed and enforced in accordance
with, the laws of the State of California, excluding conflict of laws principles that would cause the application of laws of any other jurisdiction. 

(o) Consent to Jurisdiction and Venue. All judicial proceedings arising in or under or related to this Agreement may be brought in
any state or federal court of competent jurisdiction located in the State of California. By execution and delivery of this Agreement, each party hereto generally and unconditionally: (a) consents to personal jurisdiction in San Mateo County,
State of California; (b) waives any objection as to jurisdiction or venue in San Mateo County, State of California; (c) agrees not to assert any defense based on lack of jurisdiction or venue in the aforesaid courts; and
(d) irrevocably agrees to be bound by any judgment rendered thereby in connection with this Agreement. Service of process on any party hereto in any action arising out of or relating to this Agreement shall be effective if given in accordance
with the requirements for notice set forth in Section 12(g), and shall be deemed effective and received as set forth in Section 12(g). Nothing herein shall affect the right to serve process in any other manner permitted by law or shall
limit the right of either party to bring proceedings in the courts of any other jurisdiction. 
 (p) Mutual Waiver of Jury
Trial. Because disputes arising in connection with complex financial transactions are most quickly and economically resolved by an experienced and expert person and the parties wish applicable state and federal laws to apply (rather than
arbitration rules), the parties desire that their disputes be resolved by a judge applying such applicable laws. EACH OF THE COMPANY AND WARRANTHOLDER SPECIFICALLY WAIVES ANY RIGHT IT MAY HAVE TO TRIAL BY JURY OF ANY CAUSE OF ACTION, CLAIM,
CROSS-CLAIM, COUNTERCLAIM, THIRD PARTY CLAIM OR ANY OTHER CLAIM (COLLECTIVELY, “CLAIMS”) ASSERTED BY THE COMPANY AGAINST WARRANTHOLDER OR ITS ASSIGNEE OR BY WARRANTHOLDER OR ITS ASSIGNEE AGAINST THE COMPANY. This waiver extends to
all such Claims, including Claims that involve Persons other than the Company and Warrantholder; Claims that arise out of or are in any way connected to the relationship between the Company and Warrantholder; and any Claims for damages, breach of
contract, specific performance, or any equitable or legal relief of any kind, arising out of this Agreement. 
 (q)
Arbitration. If the Mutual Waiver of Jury Trial set forth in Section 12(p) is ineffective or unenforceable, the parties agree that all Claims shall be submitted to binding arbitration in accordance with the commercial arbitration rules
of JAMS (the “Rules”), such arbitration to occur before one arbitrator, which arbitrator shall be a retired California state judge or a retired Federal court judge. Such proceeding shall be conducted in California with California
rules of evidence and discovery applicable to such arbitration. The decision of the arbitrator shall be binding on the parties, and shall be final and non-appealable to the maximum extent permitted by law. Any judgment rendered by the arbitrator may
be entered in a court of competent jurisdiction and enforced by the prevailing party as a final judgment of such court. 
 (r)
Prearbitration Relief. In the event Claims are to be resolved by arbitration, either party may seek from a court of competent jurisdiction identified in Section 12(o), any 

 

 12 

 
prejudgment order, writ or other relief and have such prejudgment order, writ or other relief enforced to the fullest extent permitted by law notwithstanding that all Claims are otherwise subject
to resolution by binding arbitration. 
 (s) Counterparts. This Agreement and any amendments, waivers, consents or
supplements hereto may be executed in any number of counterparts, and by different parties hereto in separate counterparts, each of which when so delivered shall be deemed an original, but all of which counterparts shall constitute but one and the
same instrument. 
 (t) Specific Performance. The parties hereto hereby declare that it is impossible to measure in money
the damages which will accrue to a party hereto by reason of the other party’s failure to perform any of the obligations under this Agreement and agree that the terms of this Agreement shall be specifically enforceable by either party hereto.
If a party hereto institutes any action or proceeding to specifically enforce the provisions hereof, any person against whom such action or proceeding is brought hereby waives the claim or defense therein that such party has an adequate remedy at
law, and such person shall not offer in any such action or proceeding the claim or defense that such remedy at law exists. 

[Remainder of Page Intentionally Left Blank] 
  

 13 

 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by its
officers thereunto duly authorized as of the Effective Date. 
  

					
	COMPANY:	 	AVEO PHARMACEUTICALS, INC.
			
		 	By:	 	 /s/ Tuan Ha-Ngoc

			
		 	Print Name:	 	Tuan Ha-Ngoc
			
		 	Title:	 	President and CEO
		
	WARRANTHOLDER:	 	HERCULES TECHNOLOGY III, L.P.
			
		 	By:	 	 Hercules Technology SBIC Management, LLC,

its General Partner

			
		 	By:	 	 Hercules Technology Growth Capital, Inc.,

its Manager

			
		 	By:	 	 /s/ K. Nicholas Martitsch

			
		 	Print Name:	 	K. Nicholas Martitsch
			
		 	Title:	 	Associate General Counsel

  

 14 

 EXHIBIT I 

NOTICE OF EXERCISE 
  

	To:	AVEO Pharmaceuticals, Inc. (the “Company”) 

  

	(1)	The undersigned Warrantholder hereby elects to purchase [            ] shares of the
[            ] Common Stock of the Company, pursuant to the terms of that certain Warrant Agreement, dated as of [            ],
2010, between the Company and the Warrantholder (the “Agreement”), and [CASH PAYMENT: tenders herewith payment of the Purchase Price in full, together with all applicable transfer taxes, if any.] [NET ISSUANCE: elects pursuant to
Section 3(a) of the Agreement to effect a Net Issuance.] 

  

	(2)	In exercising its rights to purchase the [            ] Common Stock of the Company, the undersigned, as
representative for the Warrantholder, hereby confirms and acknowledges the investment representations and warranties made in Section 10 of the Agreement. 

 

	(3)	Please issue a certificate or certificates representing said shares of [            ] Common Stock in the
name of the Warrantholder or in such other name as is specified below. 

  

							
	WARRANTHOLDER:	 	HERCULES TECHNOLOGY III, L.P.
				
		 		 	By:	 	  

				
		 		 	Name:	 	  

				
		 		 	Title:	 	  

				
		 		 	Date:	 	  

				
		 		 	Address:	 	
				
		 		 		 	400 Hamilton Avenue, Suite 310
		 		 		 	Palo Alto, CA 94301
		 		 		 	Facsimile: 650-473-9194
		 		 		 	Telephone: 650-289-3060

  

 15 

 EXHIBIT II 

ACKNOWLEDGMENT OF EXERCISE 
 The
undersigned, as representative of AVEO Pharmaceuticals, Inc. (the “Company”), hereby acknowledges receipt of the “Notice of Exercise” from Hercules Technology III, L.P. (the “Warrantholder”), to purchase
[            ] shares of the Common Stock of the Company, pursuant to the terms of that certain Warrant Agreement, dated as of
[            ], 2010, between the Company and the Warrantholder (the “Agreement”), and further acknowledges that
[            ] shares remain subject to purchase under the terms of the Agreement. 
  

							
		 	COMPANY:	 	AVEO PHARMACEUTICALS, INC.
				
		 		 	By:	  	  

				
		 		 	Title:	  	  

				
		 		 	Date:	  	  

  

 16 

 EXHIBIT III 

TRANSFER NOTICE 
 FOR VALUE
RECEIVED, that certain Warrant Agreement, dated as of [            ], 2010, between AVEO Pharmaceuticals, Inc. and Hercules Technology III, L.P., as the Warrantholder (the
“Agreement”), and all rights evidenced thereby are hereby transferred and assigned to 
  

					
	  
	  	
	(Please Print)	 		  	
			
	whose address is	 	  
	  	
		
	  
	  	

  

							
		 	Dated:	 	  
	 	

							
				
		 	Holder’s Signature:	 	  
	 	
				
		 	Holder’s Address:	 	  
	 	
			
		 	  
	 	
			
	Signature Guaranteed:	 	  
	 	

 The signature should be guaranteed by an eligible guarantor institution (banks, stockbrokers, savings and loan
associations and credit unions with membership in an approved signature guarantee medallion program) pursuant to Rule 17Ad-15 under the Securities Exchange Act of 1934. 

NOTE: The signature to this Transfer Notice must correspond with the name as it appears on the face of the Agreement, without alteration or enlargement
or any change whatever. Officers of corporations and those acting in a fiduciary or other representative capacity should file proper evidence of authority to assign the foregoing Agreement. 

 

 17SurgiVision, Inc. Amended and Restated Key Personnel Incentive Program

 Exhibit 10.3 

SURGIVISION, INC. 

AMENDED AND RESTATED 

KEY PERSONNEL INCENTIVE PROGRAM 

INTRODUCTION 

The SurgiVision, Inc. Amended and Restated Key Personnel Incentive Program (the “Program”) provides eligible key
personnel of the Company (as defined herein) with the opportunity to receive incentive bonus payments (“Incentive Payments”) upon providing a number of years of service to the Company or upon consummation of a Triggering Event (as defined
herein) in accordance with the terms and conditions set forth herein. 
 The purpose of the Program is to
provide designated key employees and consultants with financial rewards in the event of a Triggering Event in order to incentivize such personnel to increase the value of the Company, to secure their continued commitment and dedication to the
Company, and to strengthen the mutuality of interests between the key personnel and the stockholders of the Company. 
 1.
DEFINITIONS 
 Whenever used herein, the following words and phrases shall have the meanings
set forth below: 
 “AAA” shall have the meaning as set forth in Section 6.5 herein. 

“Affiliate” of a Person shall mean any other Person that controls, is controlled by, or is under common control
with, such Person. 
 “Aggregate Incentive Award” shall mean an aggregate positive amount, if any,
equal to the Applicable Percentage of the Surplus Amount; provided, however, that in no event shall the Aggregate Incentive Award exceed the Maximum Program Amount. 

“Applicable Percentage” shall mean six percent (6%). 

“Board” shall mean the Board of Directors of the Company. 

“Bonus Pool” has the meaning set forth in Section 3.2 herein. 

“Cause” shall mean, as applicable to each Participant, (a) such Participant’s commission of an act of
fraud, embezzlement, theft or other criminal act against the Company constituting a felony; (b) such Participant’s willful or wanton disregard of the rules or policies of the Company which results in a material loss, damage or injury to
the Company; (c) the repeated failure of a Participant to perform duties consistent with his or her position or to follow or comply with the reasonable directives of the Board or the Participant’s superior(s) after having been given notice
thereof; (d) the material breach of any provision contained in a written non-competition, confidentiality or non-disclosure agreement between the Company and the Participant; or (e) any

 
other event that allows the Company or its subsidiaries to terminate the employment or consultancy of the Participant for “Cause” pursuant to a written employment agreement or
consulting agreement. 
 “Committee” shall mean the Compensation Committee of the Board or such other
committee of directors appointed by the Board to administer the Program; provided, however, that to the extent the Board has not appointed any such committee, all references in the Program to the “Committee” shall be deemed to be
references to the Board. 
 “Common Shares” shall mean the shares of the Company’s common stock
on a fully diluted basis (i.e., giving effect to the issuance of all shares issuable upon exercise of options and conversions of convertible securities, etc.) on the date of the consummation of a Triggering Event. For purposes of any determination,
the number of Common Shares shall be determined in good faith by the Committee, which determination shall be final and binding on all Persons. 

“Company” shall mean SurgiVision, Inc., a Delaware corporation, including its successor in interest by merger,
consolidation or otherwise. 
 “Disability” shall mean a Participant (a) is determined to be
unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment that can be expected to last for a continuous period of not less than twelve (12) months, or (b) is, by reason of
any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months, receiving income replacement benefits for a period of not
less than three (3) months under an accident and health plan sponsored by the Company. 

“Dispute” shall have the meaning as set forth in Section 6.5 herein. 

“Future Payments Provision” shall mean any provision relating to a Sale Transaction that provides for
(a) the payment of proceeds of, or from, such Sale Transaction in one or more installments after the consummation of the Sale Transaction, (b) the deposit of any proceeds of, or from, such Sale Transaction into an escrow account (whether
such escrow account is established by the Company or any Purchaser), or (c) any earnout, contingent payment, deferred payment or post-closing adjustment payment pursuant to which any proceeds of, or from, such Sale Transaction will be paid in
one or more installments after the consummation of such Sale Transaction. 
 “Hurdle Amount” shall
mean Fifty Million Dollars ($50,000,000). 
 “Incentive Award Agreements” shall mean those certain
letter agreements, or any of them, from time to time entered into between the Company and Participants pursuant to the Program, as described in Section 3.4 below, as the same may be amended or modified. 

“Incentive Payments” shall have the meaning as set forth in the Introduction herein. 

“Individual Share” shall have the meaning set forth in Section 3.3(b) herein. The sum of the Individual
Shares for all Participants, in the aggregate, may be less than, but shall not exceed, one hundred percent (100%). 
  

 2 

 “Involuntary Termination” shall mean the termination of a
Participant’s employment or consultancy by the Company other than for Cause. 
 “Maximum Incentive
Payment” shall mean the positive amount calculated by multiplying the Maximum Program Amount by a Participant’s Individual Share. 

“Maximum Program Amount” shall mean Three Million Dollars ($3,000,000). 

“Net Proceeds” shall mean the portion of the aggregate cash and non-cash consideration paid or payable in
connection with the consummation of a Sale Transaction that is distributed, or otherwise available for distribution, to holders of Common Shares. The fair market value of any securities issued, and any other non-cash consideration and any future
payments or consideration to be paid or delivered, in connection with a Sale Transaction will be valued in good faith by the Committee, which determination shall be final and binding on all Persons. 

“Participant” shall mean an individual who (a) is an employee or bona fide consultant of the Company or
any of its subsidiaries, (b) is designated by the Committee for an award under the Program, and (c) enters into an Incentive Award Agreement with the Company. The Participants shall be identified on Exhibit A attached hereto, which may be
amended from time to time by the Committee to reflect the addition/removal of Participants pursuant to the Program. 

“Person” shall mean an individual, a partnership, a corporation, a limited liability company, an association, a
joint stock company, a trust, a joint venture, an unincorporated organization and a governmental entity or any department, agency or political subdivision thereof. 

“Post-Closing Adjustment Provision” shall mean any provision relating to a Sale Transaction that potentially
requires the Company and/or its stockholders to reimburse or repay any portion of the proceeds from such Sale Transaction or any other amount to the Purchaser, or to indemnify the Purchaser in any respect. 

“Program” shall have the meaning set forth in the introduction herein. 

“Purchaser” shall mean any Person(s) that acquire(s) the Company pursuant to a Sale Transaction. 

“Rules” shall have the meaning as set forth in Section 6.5 herein. 

“Sale Transaction” shall mean the following: (a) the Company is merged, consolidated or reorganized into
or with another corporation or other Person, or securities of the Company are exchanged for securities of another corporation or other Person, and immediately after such merger, consolidation, reorganization or exchange less than a majority of the
combined voting power of the then-outstanding securities of such corporation or other Person immediately after such transaction are held, directly or indirectly, in the aggregate by the holders of securities entitled to vote generally in the
election of directors of the Company immediately prior to such transaction, or (b) the Company, in any transaction or series of related transactions, sells a substantial portion of its assets to any other corporation or other Person and less
than a majority of the combined voting power of the then-outstanding securities of such corporation or other 
  

 3 

 
Person immediately after such sale or sales are held, directly or indirectly, in the aggregate by the holders of securities entitled to vote generally in the election of directors of the Company
immediately prior to such sale. For purposes of this definition, a sale of a substantial portion of the Company’s assets shall mean the Company’s sale of assets having a total gross fair market value equal to or more than 40% of the total
gross fair market value of all of the Company’s assets immediately prior to such sale. 
 “Service
Payment” shall have the meaning as set forth in Section 3.1 herein. 
 “Special Individual
Payment” shall mean any payment (whether in cash or in kind) made, or agreed to be made, to any Participant in connection with the consummation of a Sale Transaction that is (a) reasonably characterized as being compensation primarily for
a non-compete or similar agreement with, or for the benefit of, the Purchaser, or (b) a consulting or similar fee that is not reasonably commensurate with the services actually to be performed by the Participant. Notwithstanding the foregoing
to the contrary, Special Individual Payments shall not include reasonable salary, bonus, stock options or equity compensation, fringe benefit payments or other compensation payable to a Participant following consummation of a Sale Transaction for
services actually to be rendered or performed. 
 “Special Payment Reduction” shall have the meaning
as set forth in Section 3.3(b) herein. 
 “Surplus Amount” shall mean the aggregate positive
amount, if any, by which the Net Proceeds from a Triggering Event exceed the Hurdle Amount. 
 “Triggering
Event” shall mean a Sale Transaction that is consummated during the term of the Program. 

“Unallocated Portion” shall have the meaning as set forth in Section 3.3(b) herein. 

“Withheld Amount” shall have the meaning as set forth in Section 3.5(c)(ii) herein. 

2. ADMINISTRATION 

The Program shall be administered by the Committee. The Committee shall have the authority to award and grant Incentive
Payments, pursuant to the terms of the Program, to employees and bona fide consultants of the Company determined by the Committee to be eligible to participate in the Program. In particular, the Committee shall have the authority, consistent with
the terms of the Program: (a) to select the employees and consultants of the Company and its subsidiaries to whom Incentive Payments may be granted from time to time; provided, however, that the Committee shall not grant Incentive Payments to
any member of the Committee without the prior approval of the Board; (b) to determine whether a Triggering Event has occurred; (c) to calculate and determine the amount of the Net Proceeds; (d) to determine the amount of Incentive
Payments to be granted to Participants; provided however, that the amount of any Incentive Payment shall comply with the limitations set forth in Section 280G of the Internal Revenue Code; (v) to calculate and determine the amount of any
Special Individual Payments; (vi) to interpret the terms and provisions of the Program and any award issued under the Program (and any agreements relating thereto); and (vii) to supervise the administration of the Program as described
herein or otherwise. Subject to the foregoing, all decisions made by 
  

 4 

 
the Committee pursuant to the provisions of the Program shall be made in the Committee’s sole discretion and in good faith and shall be final and binding on all Persons. 

3. INCENTIVE PAYMENT AMOUNTS 

3.1 Payments Upon Completion of Service Requirements. Each Incentive Award Agreement may provide for all or a
portion of the Participant’s Incentive Payment to be paid upon the completion of specified services as an employee or consultant of the Company (a “Service Payment”). 

3.2 Participant Bonus Pool. In the event the Company consummates a Triggering Event, the Company shall allocate
the Aggregate Incentive Award to a bonus pool for the Participants (the “Bonus Pool”). 
 3.3
Participant’s Share of Bonus Pool. 
  

	 	(a)	 Eligibility for Bonus. A Participant shall be eligible to receive payment of his or her Incentive Payment with respect to a Triggering Event
as provided in this Section 3.3 if, and only if, the Triggering Event is consummated while the Participant is serving as an employee or consultant of the Company or one of its subsidiaries. 

 

	 	(b)	 Individual Share. Each Participant’s Incentive Payment with respect to a Triggering Event shall be specified in the Participant’s
Incentive Award Agreement as a percentage (the “Individual Share”) of either (i) the Bonus Pool or (ii) the Maximum Program Amount. In either case, the Participant’s Incentive Payment with respect to a Triggering Event shall
be reduced, on a dollar-for-dollar basis, by the amount of Service Payments previously paid to the Participant, if any, so that in no event shall the aggregate amount of all payments of all kinds to Participant exceed his Maximum Incentive Payment.
If the aggregate Service Payments already paid to the Participant equal or exceed the amount of the Incentive Payment otherwise payable to the Participant with respect to the Triggering Event (before reduction as described in this Section), then
such Incentive Payment shall be zero. Any portion of the Bonus Pool not awarded to Participants pursuant to Incentive Award Agreements as of the date of a Triggering Event (the “Unallocated Portion”) shall be retained by the Company, and
no Participant shall have any right to or claim against such Unallocated Portion. Notwithstanding the foregoing to the contrary, in the event any Participant receives any Special Individual Payment, such Participant’s Incentive Payment from the
Bonus Pool shall be reduced, on a dollar-for-dollar basis, by the corresponding amount of any such Special Individual Payment (the “Special Payment Reduction”). 

3.4 Incentive Award Agreements. Awards made pursuant to the Program, and any Incentive Payments made pursuant to
such awards, shall be made in accordance with, and subject to the terms and conditions of, individual Incentive Award Agreements entered into between the Company and each Participant. Each Incentive Award Agreement must be satisfactory to the

  

 5 

 
Committee in both form and substance. 
 3.5 Payment of
Incentive Payments. 
  

	 	(a)	 In-Kind Payment. Notwithstanding any provision herein to the contrary, if the Company and/or holders of Common Shares receive (or are to
receive) non-cash consideration in connection with a Triggering Event, then the Company may, without obligation, fund the Bonus Pool with cash consideration and non-cash consideration in the same proportion that the Company and/or holders of Common
Shares receive (or are to receive) such consideration in connection with the Triggering Event. The fair market value of any securities or other non-cash consideration will be valued in good faith by the Committee, which determination shall be final
and binding on all Persons. 

  

	 	(b)	 No Future Payments Provision or Post-Closing Adjustment Provision. In the event a Triggering Event does not include any Future Payments
Provision or Post-Closing Adjustment Provision, then, subject to Section 3.3(b) herein, the Company shall pay (in cash and/or non-cash consideration as described above) each eligible Participant the amount of such Participant’s Incentive
Payment within thirty (30) days following the closing of such Triggering Event and the distribution of the proceeds thereof. 

  

	 	(c)	 Future Payments Provision and/or Post-Closing Adjustment Provision. In the event the Triggering Event transaction includes any Future
Payments Provision and/or Post-Closing Adjustment Provision, then, subject to Section 3.3(b) herein, the Company shall pay the Incentive Payments according to the terms of this Section 3.5(c). 

 

	 	(i)	 In the event the Triggering Event transaction includes a Future Payments Provision, the Company shall pay (in cash and/or non-cash consideration as
described above) each eligible Participant, within thirty (30) days following the closing of such Triggering Event and the distribution of the proceeds thereof, the portion of such Participant’s Incentive Payment equal to the product
obtained by multiplying (A) such Participant’s Individual Share, by (B) the Aggregate Incentive Award, by (C) the percentage of the total Net Proceeds paid, distributed or delivered to the Company and/or holders of the Common
Shares, as applicable, on or about the closing date of the Triggering Event. Thereafter, within thirty (30) days after any additional portion of the Net Proceeds is paid, distributed or delivered to the Company and/or holders of the Common
Shares, as applicable, the Company shall pay to such Participant the portion(s) of such Participant’s remaining Incentive Payment in an amount equal to the product obtained by multiplying (A) such Participant’s Individual Share, by
(B) the Aggregate Incentive Award, by (C) the percentage that such additional portion of the Net Proceeds bears to the total Net Proceeds. 

 

 6 

	 	(ii)	 In the event the Triggering Event transaction includes a Post-Closing Adjustment Provision, within thirty (30) days following the closing of
such Triggering Event, the Company shall pay (in cash and/or non-cash consideration as described above) each eligible Participant the amount of such Participant’s Incentive Payment, less an amount that shall take into account the potential
adjustment that is the subject of the Post-Closing Adjustment Provision (the “Withheld Amount”), which amount shall be determined in good faith by the Committee. As soon as practicable after the amount of such adjustment, if any, is known
with certainty (as determined by the Committee), the Company shall pay each Participant the Participant’s prorated portion of the Withheld Amount, less the amount actually reimbursed or paid pursuant to the Post-Closing Adjustment Provision.

  

	 	(iii)	 Notwithstanding the foregoing, no payment shall be made under this Section 3.5(c) if the Participant’s Incentive Award Agreement has been
terminated under Section 4.1, Section 4.2 or Section 4.3 herein before the date of such payment or if a payment would otherwise be due after March 15 of the year following any termination of the Participant’s employment or
consultancy. 

 4. TERMINATION OF EMPLOYMENT OR
CONSULTANCY; LOSS OF ELIGIBILITY 
 4.1
Termination for Cause and Voluntary Termination. A Participant’s Incentive Award Agreement shall immediately and automatically terminate in the event (a) such Participant’s employment or consultancy is terminated by the Company
(or any of its subsidiaries) for Cause, or (b) such Participant voluntarily terminates his or her employment or consultancy or voluntarily reduces the level of his or her employment or consultancy such that Participant is no longer rendering
substantial services within the meaning of Treasury Regulation §1.409A-1(d)(1). Upon termination of the Incentive Award Agreement, such Participant shall no longer be eligible to receive any Incentive Payment. For purposes of this
Section 4.1, a Participant’s employment or consultancy shall not be deemed to have been voluntarily terminated by the Participant simply because of a change in the capacity in which the Participant renders services (i.e., a change from
employee to consultant, and vice versa), provided the Participant continues to render substantial services within the meaning of Treasury Regulation §1.409A-1(d)(1). 

4.2 Involuntary Termination. In the event a Participant’s employment or consultancy is terminated due
to an Involuntary Termination, the Company shall pay to Participant any remaining Service Payments (as set forth in the Participant’s Incentive Award Agreement) on the earlier of (a) the specified due date thereof or (b) March 15
of the year following the calendar year in which such Involuntary Termination occurred, whereupon such Participant’s Incentive Award Agreement shall terminate. For purposes of this Section 4.2, a Participant’s employment or
consultancy shall not be deemed to have been terminated due to an Involuntary Termination because of a change in the capacity in which the Participant renders services (i.e., a change from employee to consultant, and vice versa). 

 

 7 

 4.3 Death or Disability. In the event a Participant’s employment
or consultancy is terminated due to death or Disability, the Company shall pay to the Participant any remaining Service Payments (as set forth in the Participant’s Incentive Award Agreement) on the earlier of (a) the specified due date
thereof or (b) March 15 of the year following the calendar year in which such death or Disability occurred, whereupon such Participant’s Incentive Award Agreement shall terminate. 

5. AMENDMENT 

At any time prior to the consummation of a Triggering Event, the Committee may amend or alter (a) this Program and/or
(b) any or all individual Incentive Award Agreements issued under this Program. Notwithstanding the foregoing, no amendment or alteration of this Program or any individual Incentive Award Agreement shall impair any Participant’s rights
under any Incentive Award Agreement theretofore issued under this Program, without the prior consent of such Participant(s). 
 6.
MISCELLANEOUS 
 6.1 Taxes. Incentive Payments (including, without limitation, any
portion thereof that may be paid as Service Payments) are subject to applicable federal, state and local withholding taxes. The Company shall withhold from Incentive Payments payable under the Program all income, employment and payroll taxes which,
by applicable federal, state or local law, the Company is required to withhold. 
 6.2 Employment or
Consultancy Status Not Conferred. The adoption of this Program or the receipt of an Incentive Award under this Program shall not confer upon any employee or consultant of the Company or its subsidiaries any right to continued employment or
consultancy with the Company or its subsidiaries, as the case may be, nor shall it interfere in any way with the right of Company or its subsidiaries to terminate the employment or consultancy of any of its employees or consultants at any time.

 6.3 Governing Law. The Program and all awards made and actions taken thereunder shall be governed by
and construed in accordance with the laws of the State of Delaware. 
 6.4 Successors. In the event of
any merger, consolidation or other similar event involving the Company, the provisions of the Program shall be binding upon the surviving or resulting entity of such transaction. 

6.5 Arbitration. Any controversy, claim or dispute arising out of, in connection with or relating to this Program
or any Incentive Award Agreement (“Dispute”), which cannot otherwise be resolved through good faith negotiations between the parties, may be submitted by either the Company or the relevant Participant(s) to binding arbitration in
accordance with the then prevailing Commercial Arbitration Rules of the American Arbitration Association (the “AAA”), except as such rules conflict with the provisions of this Section, in which case the provisions of this Section shall
control. The Dispute shall be submitted to binding arbitration before three (3) arbitrators in Memphis, Tennessee under the AAA’s Commercial Arbitration Rules (the “Rules”) as modified or supplemented hereby. Within ten
(10) days after commencement of any arbitration proceeding, as provided herein, the Company shall choose an 
  

 8 

 
arbitrator, and the relevant Particpant(s) shall choose an arbitrator. Thereafter, a third neutral arbitrator shall be selected by the two (2) arbitrators chosen by the parties. If the
arbitrators chosen by the parties cannot agree upon the neutral arbitrator within ten (10) business days after their appointment, then, in any such event, the neutral arbitrator shall be selected, pursuant to the Rules. The costs of the
arbitration, including the fees and expenses of the arbitrators, shall be shared equally by the parties, but each party shall be responsible for its own costs, including attorneys and witness fees, incurred by that party in the arbitration
proceedings. In rendering an award, the parties agree that the arbitrators shall not have any power or authority to modify any provisions of the Program or any Incentive Award Agreement, and in no event shall the arbitrator have the power or
authority to make awards that provide for damages expressly excluded or limited by the same. The arbitration award shall be in writing and shall specify the factual or legal basis for the award. A judgment upon the award rendered by the arbitrators
may be entered in any court having jurisdiction thereof. Nothing in this Section shall be construed to prevent any party from instituting legal proceedings to seek a temporary restraining order or other temporary or preliminary injunctive relief to
prevent immediate and irreparable harm to such party, and for which monetary damages would be inadequate, pending final resolution of a Dispute pursuant to this Section. Except as necessary in court proceedings to enforce this arbitration provision
or an award rendered hereunder or to obtain interim relief, and except as reasonably necessary to comply with any applicable law, rule, regulation of any governmental authority or securities exchange, neither party may, nor may the arbitrator,
disclose the existence, content or results of any arbitration hereunder without the prior written consent of both parties. The Federal Arbitration Act, 9 U.S.C. Sections 1 through 14, except as modified hereby, shall govern the interpretation and
enforcement of this Section. THE PARTIES ACKNOWLEDGE AND AGREE THAT IN AGREEING TO SUBMIT ALL DISPUTES TO BINDING ARBITRATION, THEY ARE IRREVOCABLY WAIVING ANY AND ALL RIGHTS THEY MAY HAVE TO A TRIAL BY JURY IN ANY JUDICIAL PROCEEDING INVOLVING ANY
CLAIM RELATING TO THIS AGREEMENT. 
 6.6 No Trust. The amounts to be paid in respect of the Program shall
not constitute or be treated as a trust of any kind. The Company shall not be required to fund or otherwise segregate assets to be used for the payment of Incentive Payments under the Program. The Company shall make such payments only out of its
general assets, and, therefore, the Company’s obligation to make such payments shall be subject to any claims of its other creditors having priority as to its assets. The Participants’ rights under the Program are solely those of general
unsecured creditors of the Company and are subject to forfeiture under the terms hereof and under the Participant’s Incentive Award Agreement. If the Company designates any assets to pay its liabilities hereunder, such assets shall at all times
remain the property of the Company, and the Participants shall not have any property interest in such assets. 

6.7 Interpretation. The Committee acting in good faith, shall have discretion to interpret the Program and the
Incentive Award Agreements. The Committee’s interpretation and actions hereunder, if made in the exercise of good faith discretion and not in an arbitrary and capricious manner, shall be conclusive and binding upon all Persons for all purposes.
Neither the Company nor any of its directors, officers or employees (including members of the Committee) shall be liable to the Participants or any other Person for any action taken in connection with the interpretation of the Program or the
Incentive Award Agreement. 
  

 9 

 6.8 No Right of Equity Ownership. Neither the Program nor any
Incentive Award Agreement grants to any Participant any right or privilege of equity ownership in the Company. 

6.9 Section 409A Compliance. The provisions of this Program are intended to cause the Program to conform with
the requirements of a plan providing only for short-term deferrals as provided in Treasury Regulation §1.409A-1(b)(4), as amended from time to time or to any successor provision, and the provisions of this Program shall be construed in
accordance with that intention. If any provision of this Program shall be inconsistent or in conflict with any applicable requirements for a short-term deferral plan, then such requirement shall be deemed to override and supersede the inconsistent
or conflicting provision, and any required provision of a short-term deferral plan that is omitted from this Program shall be incorporated herein by reference and shall apply retroactively, if necessary, and be deemed to be a part of this Program to
the same extent as though expressly set forth herein. To the extent permissible under Treasury Regulation §1.409A-1(b)(4)(ii), the payments may be delayed within the discretion of the Committee on the following grounds: (a) it is
administratively impracticable to make the payment by the regular payment date due to unforeseeable reasons; (b) the payment would jeopardize the Company’s ability to continue as a going concern; (c) the payment is reasonably
anticipated not to be deductible under Section 162(m) of the Internal Revenue Code due to circumstances that a reasonable person would not have anticipated; or (d) such other grounds as may be from time to time permissible under the
foregoing regulation; provided, however, any delayed payment shall be made within the period required under the foregoing regulation. 
 7.
EFFECTIVENESS OF PROGRAM, PROGRAM TERMINATION 

This Program shall become effective on September 14, 2006, and shall expire and terminate upon the earlier to occur
of (a) December 31, 2015, or (b) the consummation of a Triggering Event; provided, however, that upon any such termination, the terms of the Program (and any Incentive Award Agreements) shall survive to the extent, but only to the
extent, necessary for the Company to satisfy its obligations to eligible Participants hereunder that result from such Triggering Event or any unpaid Service Payments. 

 

 10 

 Exhibit A 

Participants 

The following individuals are “Participants” under the Amended and Restated SurgiVision, Inc. Key Personnel
Incentive Program, whose “Individual Shares” are set forth opposite their names: 
 As of May 15, 2007 

 

					
		 	Participant Name	  	Individual Share
			
		 	Paul A. Bottomley	  	33.33%
			
		 	Parag Karmarker	  	33.33%
			
		 	Unallocated	  	33.33%

 As of June 2,
2010, a portion of the above unallocated Individual Share has been allocated as follows: 
  

					
		 	Participant Name	  	Individual Share
			
		 	Paul A. Bottomley	  	23.33%
			
		 	Left unallocated	  	10.00%

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