Document:

Exhibit 4.6

 

EXECUTION VERSION

 

MILLENDO THERAPEUTICS, INC.

 

SECOND AMENDED AND RESTATED
 INVESTOR RIGHTS AGREEMENT

 

THIS SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT (the “Agreement”) is entered into as of the 19th day of December, 2017, by and among MILLENDO THERAPEUTICS, INC., a Delaware corporation (formerly known as Atterocor, Inc.) (the “Company”), the persons or entities listed on Exhibit A hereto, referred to hereinafter as the “Investors” and each individually as an “Investor”.

 

RECITALS

 

WHEREAS, certain of the Investors (the “Existing Investors”) hold shares of the Company’s Series A Preferred Stock, par value $0.001 per share (the “Series A Preferred Stock”), Series B Preferred Stock, par value $0.001 per share (the “Series B Preferred Stock”), and/or shares of Common Stock issued upon conversion thereof and possess registration rights, information rights, rights of first offer and other rights pursuant to that certain Amended and Restated Investor Rights Agreement dated as of December 18, 2015 by and among the Company and such Existing Investors (the “Prior Agreement”);

 

WHEREAS, the Prior Agreement may be amended, and any provision therein waived, with the consent of the Company and the holders of a majority of the outstanding Registrable Securities (as such term is defined in the Prior Agreement);

 

WHEREAS, the Existing Investors as holders of a majority of the outstanding Registrable Securities (as such term is defined in the Prior Agreement) of the Company desire to terminate the Prior Agreement and to accept the rights created pursuant hereto in lieu of the rights granted to them under the Prior Agreement;

 

WHEREAS, certain Investors are acquiring shares of the Company’s Series A-1 Preferred Stock, par value $0.001 per share (the “Series A-1 Preferred Stock”) and Series B-1 Preferred Stock, par value $0.001 per share (the “Series B-1 Preferred Stock”) pursuant to that certain Share Sale and Contribution Agreement, by and among the Company, the shareholders of Alizé Pharma SAS (“Alizé”), Alizé, the Manager (as defined therein), the Contributing Holder Representative (as defined therein) and Eumedix FR S.À. R.L. (the “Share Contribution Agreement”) of even date herewith (the “Transaction”);

 

WHEREAS, the obligations in the Share Contribution Agreement are conditioned upon the execution and delivery of this Agreement; and

 

WHEREAS, in connection with the consummation of the Transaction, the parties desire to enter into this Agreement in order to grant registration rights, information rights and other rights to the Investors as set forth below.

 

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NOW, THEREFORE, in consideration of these premises and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree as follows:

 

AGREEMENT

 

SECTION 1.                         GENERAL.

 

1.1          Definitions.  As used in this Agreement the following terms shall have the following respective meanings:

 

(a)           “Affiliate” means, with respect to any specified Person, any other Person who, directly or indirectly, controls, is controlled by, or is under common control with such Person, including without limitation any general partner, managing member, officer or director of such Person or any venture capital fund now or hereafter existing that is controlled by one or more general partners or managing members of, or shares the same management company with, such Person.

 

(b)           “Anti-Corruption Laws” means, in the case of U.S. persons or entities, the U.S. Foreign Corrupt Practices Act of 1977, as amended, and any foreign laws or regulations with an extraterritorial scope relating to anti-bribery applicable to such persons or entities, and, in the case of French persons or entities, any applicable French legislation relating to anti-bribery including but not limited to provisions of Titles III and IV, Book IV of the French Criminal Code, as amended, and any foreign laws or regulations with an extraterritorial scope relating to anti-bribery applicable to such persons or entities.

 

(c)           “Anti-Money Laundering Laws” means, in the case of U.S. persons or entities, any US and foreign laws or regulations with an extraterritorial scope relating to anti-money laundering applicable to such persons or entities, and, in the case of French persons or entities, any applicable French legislation relating to anti-money laundering including but not limited to provisions of Title VI, Book V of the French Monetary and Financial Code, as amended, and any foreign laws or regulations with an extraterritorial scope relating to anti- money laundering applicable to such persons or entities.

 

(d)           “Class Common-1 Stock” shall have the meaning ascribed to such term in the Charter.

 

(e)           “Common Shares” shall have the meaning ascribed to such term in the Charter.

 

(f)            “Common Stock” shall have the meaning ascribed to such term in the Charter.

 

(g)           “Convertible Stock” shall have the meaning ascribed to such term in the Charter.

 

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

 

(i)            “Form S-3” means such form under the Securities Act as in effect on the date hereof or any successor or similar registration form under the Securities Act subsequently adopted by the SEC which permits inclusion or incorporation of substantial information by reference to other documents filed by the Company with the SEC.

 

(j)            “Holder” means any person owning of record Registrable Securities that have not been sold to the public or any assignee of record of such Registrable Securities in accordance with Section 2.9 hereof.

 

(k)           “Initial Offering” means the Company’s first firm commitment underwritten public offering of its Common Stock registered under the Securities Act.

 

(l)            “New Preferred Stock” means, collectively, the Series A-1 Preferred Stock and the Series B-1 Preferred Stock.

 

(m)          “Preferred Stock” means, collectively, the Series A Preferred Stock, the Series A-1 Preferred Stock, the Series B Preferred Stock and the Series B-1 Preferred Stock.

 

(n)           “Register,” “registered,” and “registration” refer to a registration effected by preparing and filing a registration statement in compliance with the Securities Act, and the declaration or ordering of effectiveness of such registration statement or document.

 

(o)           “Registrable Securities” means (a) Common Stock of the Company issuable or issued upon conversion of the Shares and (b) any Common Stock of the Company issued as (or issuable upon the conversion or exercise of any warrant, right or other security which is issued as) a dividend or other distribution with respect to, or in exchange for or in replacement of, such above-described securities.  Notwithstanding the foregoing, Registrable Securities shall not include any securities (i) sold by a person to the public either pursuant to a registration statement or Rule 144 or (ii) sold in a private transaction in which the transferor’s rights under Section 2 of this Agreement are not assigned.

 

(p)           “Registrable Securities then outstanding” shall be the number of shares of the Company’s Common Stock that are Registrable Securities and either (a) are then issued and outstanding or (b) are issuable pursuant to then exercisable or convertible securities.

 

(q)           “Registration Expenses” shall mean all expenses incurred by the Company in complying with Sections 2.2, 2.3 and 2.4 hereof, including, without limitation, all registration and filing fees, printing expenses, fees and disbursements of counsel for the Company, reasonable fees and disbursements not to exceed thirty-seven thousand five hundred dollars ($37,500) of a single special counsel for the Holders, blue sky fees and expenses and the expense of any special audits incident to or required by any such registration (but excluding the compensation of regular employees of the Company which shall be paid in any event by the Company).

 

(r)           “SEC” or “Commission” means the Securities and Exchange Commission.

 

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(s)            “Securities Act” shall mean the Securities Act of 1933, as amended.

 

(t)            “Selling Expenses” means all underwriting discounts, selling commissions, and stock transfer taxes applicable to the sale of Registrable Securities, and fees and disbursements of counsel for any Holder, except for the fees and disbursements of the Selling Holder Counsel borne and paid by the Company as provided in Section 2.5.

 

(u)           “Shares” shall mean the Series A Preferred Stock, Series A-1 Preferred Stock, Series B Preferred Stock, Series B-1 Preferred Stock, the Class Common-1 Stock and any other Common Stock held from time to time by the Investors listed on Exhibit A hereto and their permitted assigns.

 

(v)           “Special Registration Statement” shall mean (i) a registration statement relating to any employee benefit plan or (ii) with respect to any corporate reorganization or transaction under Rule 145 of the Securities Act, any registration statements related to the issuance or resale of securities issued in such a transaction or (iii) a registration related to stock issued upon conversion of debt securities.

 

SECTION 2.                         REGISTRATION; RESTRICTIONS ON TRANSFER.

 

2.1          Restrictions on Transfer.

 

(a)           Each Holder agrees not to make any disposition of all or any portion of the Shares or Registrable Securities unless and until:

 

(i)            there is then in effect a registration statement under the Securities Act covering such proposed disposition and such disposition is made in accordance with such registration statement; or

 

(ii)           (A) the transferee has agreed in writing to be bound by the terms of this Agreement, (B) such Holder shall have notified the Company of the proposed disposition and shall have furnished the Company with a detailed statement of the circumstances surrounding the proposed disposition, and (C) if reasonably requested by the Company, such Holder shall have furnished the Company with an opinion of counsel, reasonably satisfactory to the Company, that such disposition will not require registration of such shares under the Securities Act.  It is agreed that the Company will not require opinions of counsel for transactions made pursuant to Rule 144, except in unusual circumstances.  After its Initial Offering, the Company will not require any transferee pursuant to Rule 144 to be bound by the terms of this Agreement if the shares so transferred do not remain Registrable Securities hereunder following such transfer.

 

(b)           Notwithstanding the provisions of subsection (a) above, no such restriction shall apply to a transfer by a Holder that is (i) a partnership transferring to its partners or former partners in accordance with partnership interests, (ii) a partnership transferring to one or more affiliated partnerships or funds managed by it or any of its respective directors, officers or partners, (iii) a corporation transferring to a wholly-owned subsidiary or a parent corporation that owns all of the capital stock of the Holder, (iv) a limited liability company transferring to its members or former members in accordance with their interest in the limited liability company, or (v) an individual transferring to the Holder’s family member or trust for the benefit of an individual

 

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Holder; provided that in each case the transferee will agree in writing to be subject to the terms of this Agreement to the same extent as if he were an original Holder hereunder.

 

(c)           Each certificate representing Shares or Registrable Securities shall be stamped or otherwise imprinted with legends substantially similar to the following (in addition to any legend required under applicable state securities laws):

 

THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 (THE “ACT”) AND MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED, ASSIGNED, PLEDGED OR HYPOTHECATED UNLESS AND UNTIL REGISTERED UNDER THE ACT OR UNLESS THE COMPANY HAS RECEIVED AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY AND ITS COUNSEL THAT SUCH REGISTRATION IS NOT REQUIRED.

 

THE SALE, PLEDGE, HYPOTHECATION OR TRANSFER OF THE SECURITIES REPRESENTED BY THIS CERTIFICATE IS SUBJECT TO THE TERMS AND CONDITIONS OF A CERTAIN INVESTOR RIGHTS AGREEMENT BY AND BETWEEN THE STOCKHOLDER AND THE COMPANY.  COPIES OF SUCH AGREEMENT MAY BE OBTAINED UPON WRITTEN REQUEST TO THE SECRETARY OF THE COMPANY.

 

(d)           The Company shall be obligated to reissue promptly unlegended certificates at the request of any Holder thereof if the Company has completed its Initial Offering and the Holder shall have obtained an opinion of counsel (which counsel may be counsel to the Company) reasonably acceptable to the Company to the effect that the securities proposed to be disposed of may lawfully be so disposed of without registration, qualification and legend, provided that the second legend listed above shall be removed only at such time as the Holder of such certificate is no longer subject to any restrictions hereunder.

 

(e)           Any legend endorsed on an instrument pursuant to applicable state securities laws and the stop-transfer instructions with respect to such securities shall be removed upon receipt by the Company of an order of the appropriate blue sky authority authorizing such removal.

 

2.2          Demand Registration.

 

(a)           Subject to the conditions of this Section 2.2, if the Company shall receive a written request from the Holders of at least twenty percent (20%) of the Registrable Securities (the “Initiating Holders”) that the Company file a registration statement under the Securities Act covering the registration of at least forty percent (40%) of the Registrable Securities then outstanding (or a lesser percent if the anticipated aggregate offering price, net of underwriting discounts and commissions, would exceed $10,000,000), then the Company shall, within fifteen (15) days of the receipt thereof, give written notice of such request to all Holders, and subject to

 

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the limitations of this Section 2.2, as soon as practicable, and in any event within sixty (60) days after the date such request is given by the Initiating Holders, file a registration statement under the Securities Act covering all Registrable Securities that the Initiating Holders requested to be registered and any additional Registrable Securities requested to be included in such registration by any other Holders, and effect, as expeditiously as reasonably possible, the registration under the Securities Act of all Registrable Securities that all Holders request to be registered.

 

(b)           If the Initiating Holders intend to distribute the Registrable Securities covered by their request by means of an underwriting, they shall so advise the Company as a part of their request made pursuant to this Section 2.2 or any request pursuant to Section 2.4 and the Company shall include such information in the written notice referred to in Section 2.2(a) or Section 2.4(a), as applicable.  In such event, the right of any Holder to include its Registrable Securities in such registration shall be conditioned upon such Holder’s participation in such underwriting and the inclusion of such Holder’s Registrable Securities in the underwriting to the extent provided herein.  All Holders proposing to distribute their securities through such underwriting shall enter into an underwriting agreement in customary form with the underwriter or underwriters selected for such underwriting by the Holders of a majority of the Registrable Securities held by all Initiating Holders (which underwriter or underwriters shall be reasonably acceptable to the Company).  Notwithstanding any other provision of this Section 2.2 or Section 2.4, if the underwriter advises the Company in writing that marketing factors require a limitation of the number of securities to be underwritten (including Registrable Securities) then the Company shall so advise all Holders of Registrable Securities that would otherwise be underwritten pursuant hereto, and the number of shares that may be included in the underwriting shall be allocated to the Holders of such Registrable Securities on a pro rata basis based on the number of Registrable Securities held by all such Holders (including the Initiating Holders); provided, however, that the number of shares of Registrable Securities to be included in such underwriting and registration shall not be reduced unless all other securities of the Company are first entirely excluded from the underwriting and registration.  Any Registrable Securities excluded or withdrawn from such underwriting shall be withdrawn from the registration.

 

(c)           The Company shall not be required to effect a registration pursuant to this Section 2.2:

 

(i)            prior to the earlier of (A) the fifth (5th) anniversary of the date of this Agreement or (B) the expiration of the restrictions on transfer set forth in Section 2.11 following the Initial Offering;

 

(ii)           after the Company has effected one (1) registration pursuant to this Section 2.2, and such registration have been declared or ordered effective;

 

(iii)         during the period starting with the date of filing of, and ending on the date one hundred eighty (180) days following the effective date of the registration statement pertaining to the Initial Offering (or such longer period as may be determined pursuant to Section 2.11 hereof); provided that the Company makes reasonable good faith efforts to cause such registration statement to become effective;

 

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(iv)          if within thirty (30) days of receipt of a written request from Initiating Holders pursuant to Section 2.2(a), the Company gives notice to the Holders of the Company’s intention to file a registration statement for its Initial Offering within ninety (90) days;

 

(v)           if the Company shall furnish to Holders requesting a registration statement pursuant to this Section 2.2 a certificate signed by the Chairman of the Board stating that in the good faith judgment of the Board of Directors of the Company (the “Board”), such registration would (i) materially interfere with a significant acquisition, corporate reorganization, or other similar transaction involving the Company; (ii) require premature disclosure of material information that the Company has a bona fide business purpose for preserving as confidential; or (iii) render the Company unable to comply with requirements under the Securities Act or Exchange Act, in which event the Company shall have the right to defer such filing for a period of not more than one hundred twenty (120) days after receipt of the request of the Initiating Holders; provided that such right to delay a request shall be exercised by the Company not more than once in any twelve (12) month period;

 

(vi)          if the Initiating Holders propose to dispose of shares of Registrable Securities that may be immediately registered on Form S-3 pursuant to a request made pursuant to Section 2.4 below; or

 

(vii)        in any particular jurisdiction in which the Company would be required to qualify to do business or to execute a general consent to service of process in effecting such registration, qualification or compliance.

 

2.3          Piggyback Registrations.  The Company shall notify all Holders of Registrable Securities in writing at least fifteen (15) days prior to the filing of any registration statement under the Securities Act for purposes of a public offering of securities of the Company (including, but not limited to, registration statements relating to secondary offerings of securities of the Company, but excluding Special Registration Statements) and will afford each such Holder an opportunity to include in such registration statement all or part of such Registrable Securities held by such Holder.  Each Holder desiring to include in any such registration statement all or any part of the Registrable Securities held by it shall, within fifteen (15) days after the above-described notice from the Company, so notify the Company in writing.  Such notice shall state the intended method of disposition of the Registrable Securities by such Holder.  If a Holder decides not to include all of its Registrable Securities in any registration statement thereafter filed by the Company, such Holder shall nevertheless continue to have the right to include any Registrable Securities in any subsequent registration statement or registration statements as may be filed by the Company with respect to offerings of its securities, all upon the terms and conditions set forth herein.

 

(a)           Underwriting.  If the registration statement of which the Company gives notice under this Section 2.3 is for an underwritten offering, the Company shall so advise the Holders of Registrable Securities.  In such event, the right of any such Holder to include Registrable Securities in a registration pursuant to this Section 2.3 shall be conditioned upon such Holder’s participation in such underwriting and the inclusion of such Holder’s Registrable Securities in the underwriting to the extent provided herein.  All Holders proposing to distribute their Registrable Securities through such underwriting shall enter into an underwriting agreement in customary form with the underwriter or underwriters selected for such underwriting by the

 

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Company.  Notwithstanding any other provision of this Agreement, if the Company determines in good faith, based on consultation with the underwriter, that marketing factors require a limitation of the number of shares to be underwritten, the number of shares that may be included in the underwriting shall be allocated, first, to the Company; second, to the Holders on a pro rata basis based on the total number of Registrable Securities held by the Holders; and third, to any stockholder of the Company (other than a Holder) on a pro rata basis; provided, however, that no such reduction shall reduce the amount of securities of the selling Holders included in the registration below thirty percent (30%) of the total amount of securities included in such registration, unless such offering is the Initial Offering and such registration does not include shares of any other selling stockholders, in which event any or all of the Registrable Securities of the Holders may be excluded in accordance with the immediately preceding clause.  In no event will shares of any other selling stockholder be included in such registration that would reduce the number of shares which may be included by Holders without the written consent of Holders of a majority of the Registrable Securities proposed to be sold in the offering.  If any Holder disapproves of the terms of any such underwriting, such Holder may elect to withdraw therefrom by written notice to the Company and the underwriter, delivered at least ten (10) business days prior to the effective date of the registration statement.  Any Registrable Securities excluded or withdrawn from such underwriting shall be excluded and withdrawn from the registration.  For any Holder which is a partnership, limited liability company or corporation, the partners, retired partners, members, retired members and stockholders of such Holder, or the estates and family members of any such partners, retired partners, members and retired members and any trusts for the benefit of any of the foregoing person shall be deemed to be a single “Holder,” and any pro rata reduction with respect to such “Holder” shall be based upon the aggregate amount of shares carrying registration rights owned by all entities and individuals included in such “Holder,” as defined in this sentence.

 

(b)           Right to Terminate Registration.  The Company shall have the right to terminate or withdraw any registration initiated by it under this Section 2.3 whether or not any Holder has elected to include securities in such registration, and shall promptly notify any Holder that has elected to include shares in such registration of such termination or withdrawal.  The Registration Expenses of such withdrawn registration shall be borne by the Company in accordance with Section 2.5 hereof.

 

2.4          Form S-3 Registration.  If at any time when it is eligible to use a Form S-3 registration statement, the Company shall receive from the Initiating Holders a written request or requests that the Company effect a registration on Form S-3 (or any successor to Form S-3) or any similar short-form registration statement and any related qualification or compliance with respect to all or a part of the Registrable Securities owned by such Holder or Holders, the Company will:

 

(a)           promptly give written notice of the proposed registration, and any related qualification or compliance, to all other Holders of Registrable Securities; and

 

(b)           as soon as practicable, and in any event within sixty (60) days after the date such request is given by the Initiating Holders, effect such registration and all such qualifications and compliances as may be so requested and as would permit or facilitate the sale and distribution of all or such portion of such Holder’s or Holders’ Registrable Securities as are specified in such request, together with all or such portion of the Registrable Securities of any other Holder or

 

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Holders joining in such request as are specified in a written request given within fifteen (15) days after receipt of such written notice from the Company; provided, however, that the Company shall not be obligated to effect any such registration, qualification or compliance pursuant to this Section 2.4:

 

(i)            if Form S-3 is not available for such offering by the Holders, or

 

(ii)           if the Holders, together with the holders of any other securities of the Company entitled to inclusion in such registration, propose to sell Registrable Securities and such other securities (if any) at an aggregate price to the public of less than one million dollars ($1,000,000), or

 

(iii)         if within thirty (30) days of receipt of a written request from any Holder or Holders pursuant to this Section 2.4, the Company gives notice to such Holder or Holders of the Company’s intention to make a public offering within ninety (90) days, other than pursuant to a Special Registration Statement, or

 

(iv)          if the Company shall furnish to the Holders a certificate signed by the Chairman of the Board stating that in the good faith judgment of the Board, such registration would (i) materially interfere with a significant acquisition, corporate reorganization, or other similar transaction involving the Company; (ii) require premature disclosure of material information that the Company has a bona fide business purpose for preserving as confidential; or (iii) render the Company unable to comply with requirements under the Securities Act or Exchange Act, in which event the Company shall have the right to defer the filing of the Form S-3 registration statement for a period of not more than one hundred twenty (120) days after receipt of the request of the Holder or Holders under this Section 2.4; provided, that such right to delay a request shall be exercised by the Company not more than once in any twelve (12) month period, or

 

(v)           if the Company has, within the twelve (12) month period preceding the date of such request, already effected two (2) registrations on Form S-3 for the Holders pursuant to this Section 2.4, or

 

(vi)          in any particular jurisdiction in which the Company would be required to qualify to do business or to execute a general consent to service of process in effecting such registration, qualification or compliance.

 

(c)           Subject to the foregoing, the Company shall file a Form S-3 registration statement covering the Registrable Securities and other securities so requested to be registered as soon as practicable after receipt of the requests of the Holders.  Registrations effected pursuant to this Section 2.4 shall not be counted as demands for registration or registrations effected pursuant to Section 2.2.

 

2.5          Expenses of Registration.  All expenses (other than Selling Expenses) incurred in connection with registrations, filings, or qualifications pursuant to Section 2, including all registration, filing, and qualification fees; printers’ and accounting fees; fees and disbursements of counsel for the Company; and the reasonable fees and disbursements, not to exceed thirty-five thousand dollars ($35,000), of one counsel for the selling Holders (“Selling Holder Counsel”), shall be borne and paid by the Company.  All Selling Expenses incurred in connection with any

 

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registrations hereunder, shall be borne by the holders of the securities so registered pro rata on the basis of the number of shares so registered; provided, however, the Company shall not be required to pay for expenses of any registration proceeding begun pursuant to Section 2.2 or 2.4, the request of which has been subsequently withdrawn by the Initiating Holders unless (a) the withdrawal is based upon material adverse information concerning the Company of which the Initiating Holders were not aware at the time of such request or (b) the Holders of a majority of Registrable Securities agree to deem such registration to have been effected as of the date of such withdrawal for purposes of determining whether the Company shall be obligated pursuant to Section 2.2(c) or 2.4(b)(v), as applicable, to undertake any subsequent registration, in which event such right shall be forfeited by all Holders).  If the Holders are required to pay the Registration Expenses, such expenses shall be borne by the holders of securities (including Registrable Securities) requesting such registration in proportion to the number of shares for which registration was requested.  If the Company is required to pay the Registration Expenses of a withdrawn offering pursuant to clause (a) above, then such registration shall not be deemed to have been effected for purposes of determining whether the Company shall be obligated pursuant to Section 2.2(c) or 2.4(b)(v), as applicable, to undertake any subsequent registration.

 

2.6          Obligations of the Company.  Whenever required to effect the registration of any Registrable Securities, the Company shall, as expeditiously as reasonably possible:

 

(a)           prepare and file with the SEC a registration statement with respect to such Registrable Securities and use all reasonable efforts to cause such registration statement to become effective, and, upon the request of the Holders of a majority of the Registrable Securities registered thereunder, keep such registration statement effective for up to one hundred and twenty (120) days or, if earlier, until the Holder or Holders have completed the distribution related thereto; provided, however, that at any time, upon written notice to the participating Holders and for a period not to exceed sixty (60) days thereafter (the “Suspension Period”), the Company may delay the filing or effectiveness of any registration statement or suspend the use or effectiveness of any registration statement (and the Initiating Holders hereby agree not to offer or sell any Registrable Securities pursuant to such registration statement during the Suspension Period) if the Company reasonably believes that there is or may be in existence material nonpublic information or events involving the Company, the failure of which to be disclosed in the prospectus included in the registration statement could result in a Violation (as defined below).  In the event that the Company shall exercise its right to delay or suspend the filing or effectiveness of a registration hereunder, the applicable time period during which the registration statement is to remain effective shall be extended by a period of time equal to the duration of the Suspension Period.  The Company may extend the Suspension Period for an additional consecutive thirty (30) days with the consent of the holders of at least a majority of the Registrable Securities registered under the applicable registration statement, which consent shall not be unreasonably withheld.  No more than two such Suspension Periods shall occur in any twelve (12) month period.  If so directed by the Company, all Holders registering shares under such registration statement shall (i) not offer to sell any Registrable Securities pursuant to the registration statement during the period in which the delay or suspension is in effect after receiving notice of such delay or suspension; and (ii) use their reasonable efforts to deliver to the Company (at the Company’s expense) all copies, other than permanent file copies then in such Holders’ possession, of the prospectus relating to such Registrable Securities current at the time of receipt of such notice.  Notwithstanding the foregoing, the Company shall not be required to file, cause to become effective or maintain the effectiveness

 

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of any registration statement other than a registration statement on Form S-3 that contemplates a distribution of securities on a delayed or continuous basis pursuant to Rule 415 under the Securities Act.

 

(b)           Prepare and file with the SEC such amendments and supplements to such registration statement and the prospectus used in connection with such registration statement as may be necessary to comply with the provisions of the Securities Act with respect to the disposition of all securities covered by such registration statement for the period set forth in subsection (a) above.

 

(c)           Furnish to the Holders such number of copies of a prospectus, including a preliminary prospectus, in conformity with the requirements of the Securities Act, and such other documents as they may reasonably request in order to facilitate the disposition of Registrable Securities owned by them.

 

(d)           Use its commercially reasonable efforts to register and qualify the securities covered by such registration statement under such other securities or Blue Sky laws of such jurisdictions as shall be reasonably requested by the Holders; provided that the Company shall not be required in connection therewith or as a condition thereto to qualify to do business or to file a general consent to service of process in any such states or jurisdictions.

 

(e)           In the event of any underwritten public offering, enter into and perform its obligations under an underwriting agreement, in usual and customary form, with the managing underwriter(s) of such offering.  Each Holder participating in such underwriting shall also enter into and perform its obligations under such an agreement.

 

(f)            Notify each Holder of Registrable Securities covered by such registration statement at any time when a prospectus relating thereto is required to be delivered under the Securities Act of the happening of any event as a result of which the prospectus included in such registration statement, as then in effect, includes an untrue statement of a material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein not misleading in the light of the circumstances then existing.  The Company will use reasonable efforts to amend or supplement such prospectus in order to cause such prospectus not to include any untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading in the light of the circumstances then existing.

 

(g)           Use its reasonable efforts to furnish, on the date that such Registrable Securities are delivered to the underwriters for sale, if such securities are being sold through underwriters, (i) an opinion, dated as of such date, of the counsel representing the Company for the purposes of such registration, in form and substance as is customarily given to underwriters in an underwritten public offering, addressed to the underwriters, if any, and (ii) a letter, dated as of such date, from the independent certified public accountants of the Company, in form and substance as is customarily given by independent certified public accountants to underwriters in an underwritten public offering addressed to the underwriters.

 

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2.7          Delay of Registration; Furnishing Information.

 

(a)           No Holder shall have any right to obtain or seek an injunction restraining or otherwise delaying any such registration as the result of any controversy that might arise with respect to the interpretation or implementation of this Section 2.

 

(b)           It shall be a condition precedent to the obligations of the Company to take any action pursuant to Sections 2.2, 2.3 or 2.4 that the selling Holders shall furnish to the Company such information regarding themselves, the Registrable Securities held by them and the intended method of disposition of such securities as shall be required to effect the registration of their Registrable Securities.

 

(c)           The Company shall have no obligation with respect to any registration requested pursuant to Section 2.2 or Section 2.4 if the number of shares or the anticipated aggregate offering price of the Registrable Securities to be included in the registration does not equal or exceed the number of shares or the anticipated aggregate offering price required to originally trigger the Company’s obligation to initiate such registration as specified in Section 2.2 or Section 2.4, whichever is applicable.

 

2.8          Indemnification.  In the event any Registrable Securities are included in a registration statement under Sections 2.2, 2.3 or 2.4:

 

(a)           To the extent permitted by law, the Company will indemnify and hold harmless each Holder, the partners, members, officers and directors of each Holder; any underwriter (as defined in the Securities Act) for such Holder and each person, if any, who controls such Holder or underwriter within the meaning of the Securities Act or the Exchange Act, against any losses, claims, damages, or liabilities (joint or several) to which they may become subject under the Securities Act, the Exchange Act or other federal or state law, insofar as such losses, claims, damages or liabilities (or actions in respect thereof) arise out of or are based upon any of the following statements, omissions or violations (collectively a “Violation”) by the Company: (i) any untrue statement or alleged untrue statement of a material fact contained in such registration statement or incorporated reference therein, including any preliminary prospectus or final prospectus contained therein or any amendments or supplements thereto, (ii) the omission or alleged omission to state therein a material fact required to be stated therein, or necessary to make the statements therein not misleading, or (iii) any violation or alleged violation by the Company of the Securities Act, the Exchange Act, any state securities law or any rule or regulation promulgated under the Securities Act, the Exchange Act or any state securities law in connection with the offering covered by such registration statement; and the Company will reimburse each such Holder, partner, member, officer, director, underwriter or controlling person for any legal or other expenses reasonably incurred by them in connection with investigating or defending any such loss, claim, damage, liability or action; provided, however, that the indemnity agreement contained in this Section 2.8(a) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or action if such settlement is effected without the consent of the Company, which consent shall not be unreasonably withheld, nor shall the Company be liable in any such case for any such loss, claim, damage, liability or action to the extent that it arises out of or is based upon a Violation which occurs in reliance upon and in conformity with written information furnished expressly for use in connection with such registration by such Holder, partner, member, officer, director, underwriter or controlling person of such Holder.

 

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(b)           To the extent permitted by law, each Holder will, if Registrable Securities held by such Holder are included in the securities as to which such registration qualifications or compliance is being effected, indemnify and hold harmless the Company, each of its directors, its officers and each person, if any, who controls the Company within the meaning of the Securities Act, any underwriter and any other Holder selling securities under such registration statement or any of such other Holder’s partners, directors or officers or any person who controls such Holder, against any losses, claims, damages or liabilities (joint or several) to which the Company or any such director, officer, controlling person, underwriter or other such Holder, or partner, director, officer or controlling person of such other Holder may become subject under the Securities Act, the Exchange Act or other federal or state law, insofar as such losses, claims, damages or liabilities (or actions in respect thereto) arise out of or are based upon any of the following statements: (i) any untrue statement or alleged untrue statement of a material fact contained in such registration statement or incorporated reference therein, including any preliminary prospectus or final prospectus contained therein or any amendments or supplements thereto, (ii) the omission or alleged omission to state therein a material fact required to be stated therein, or necessary to make the statements therein not misleading, or (iii) any violation or alleged violation by the Company of the Securities Act (collectively, a “Holder Violation”), in each case to the extent (and only to the extent) that such Holder Violation occurs in reliance upon and in conformity with written information furnished by such Holder under an instrument duly executed by such Holder and stated to be specifically for use in connection with such registration; and each such Holder will reimburse any legal or other expenses reasonably incurred by the Company or any such director, officer, controlling person, underwriter or other Holder, or partner, officer, director or controlling person of such other Holder in connection with investigating or defending any such loss, claim, damage, liability or action if it is judicially determined that there was such a Holder Violation; provided, however, that the indemnity agreement contained in this Section 2.8(b) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability or action if such settlement is effected without the consent of the Holder, which consent shall not be unreasonably withheld; provided further, that in no event shall any indemnity under this Section 2.8 exceed the net proceeds from the offering received by such Holder.

 

(c)           Promptly after receipt by an indemnified party under this Section 2.8 of notice of the commencement of any action (including any governmental action), such indemnified party will, if a claim in respect thereof is to be made against any indemnifying party under this Section 2.8, deliver to the indemnifying party a written notice of the commencement thereof and the indemnifying party shall have the right to participate in, and, to the extent the indemnifying party so desires, jointly with any other indemnifying party similarly noticed, to assume the defense thereof with counsel mutually satisfactory to the parties; provided, however, that an indemnified party shall have the right to retain its own counsel, with the fees and expenses thereof to be paid by the indemnifying party, if representation of such indemnified party by the counsel retained by the indemnifying party would be inappropriate due to actual or potential differing interests between such indemnified party and any other party represented by such counsel in such proceeding.  The failure to deliver written notice to the indemnifying party within a reasonable time of the commencement of any such action shall relieve such indemnifying party of any liability to the indemnified party under this Section 2.8 to the extent, and only to the extent, prejudicial to its ability to defend such action, but the omission so to deliver written notice to the indemnifying party will not relieve it of any liability that it may have to any indemnified party otherwise than under this Section 2.8.

 

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(d)           If the indemnification provided for in this Section 2.8 is held by a court of competent jurisdiction to be unavailable to an indemnified party with respect to any loses, claims, damages or liabilities referred to herein, the indemnifying party, in lieu of indemnifying such indemnified party thereunder, shall to the extent permitted by applicable law contribute to the amount paid or payable by such indemnified party as a result of such loss, claim, damage or liability in such proportion as is appropriate to reflect the relative fault of the indemnifying party on the one hand and of the indemnified party on the other in connection with the Violation(s) or Holder Violation(s) that resulted in such loss, claim, damage or liability,as well as any other relevant equitable considerations.  The relative fault of the indemnifying party and of the indemnified party shall be determined by a court of law by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission to state a material fact relates to information supplied by the indemnifying party or by the indemnified party and the parties’ relative intent, knowledge, access to information and opportunity to correct or prevent such statement or omission; provided that in no event shall any contribution by a Holder hereunder exceed the proceeds from the offering received by such Holder.

 

(e)           The obligations of the Company and Holders under this Section 2.8 shall survive completion of any offering of Registrable Securities in a registration statement and, with respect to liability arising from an offering to which this Section 2.8 would apply that is covered by a registration filed before termination of this Agreement, such termination.  No indemnifying party, in the defense of any such claim or litigation, shall, except with the consent of each indemnified party, consent to entry of any judgment or enter into any settlement which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect to such claim or litigation.

 

2.9          Assignment of Registration Rights.  The rights to cause the Company to register Registrable Securities pursuant to this Section 2 may be assigned by a Holder to a transferee or assignee of Registrable Securities (for so long as such shares remain Registrable Securities) that (a) is a subsidiary, parent, general partner, limited partner, retired partner, member or retired member, or stockholder of a Holder that is a corporation, partnership or limited liability company, (b) is a Holder’s family member or trust for the benefit of an individual Holder, (c) acquires at least five hundred thousand (500,000) shares of Registrable Securities (as adjusted for stock splits and combinations), or (d) is an entity affiliated by common control (or other related entity) with such Holder; provided, however, (i) the transferor shall, within ten (10) days after such transfer, furnish to the Company written notice of the name and address of such transferee or assignee and the securities with respect to which such registration rights are being assigned and (ii) such transferee shall agree to be subject to all restrictions set forth in this Agreement.

 

2.10        Limitation on Subsequent Registration Rights.  Other than as provided in Section 5.10, after the date of this Agreement, the Company shall not enter into any agreement with any holder or prospective holder of any securities of the Company that would grant such holder rights to demand the registration of shares of the Company’s capital stock, or to include such shares in a registration statement that would reduce the number of shares includable by the Holders.

 

2.11        Market Stand-Off Agreement.  To the extent required (and such requirement is made in writing to the Holders) by the Company or the underwriters, each Holder hereby agrees

 

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that such Holder shall not sell, dispose of, transfer, make any short sale of, grant any option for the purchase of, or enter into any hedging or similar transaction with the same economic effect as a sale, any shares of Common Stock (or other securities) of the Company held by such Holder (other than those included in the registration) (i) during the 180-day period following the effective date of the Initial Offering (or such longer period, not to exceed 34 days after the expiration of the 180-day period, as the underwriters or the Company shall request in order to facilitate compliance with NASD Rule 2711 or NYSE Member Rule 472 or any successor or similar rule or regulation); provided that all officers and directors of the Company and holders of at least one percent (1%) of the Company’s voting securities are bound by and have entered into similar agreements, and provided that, such agreements shall provide that any discretionary waiver or termination of the restrictions of such agreements by the Company or the underwriters shall apply to all Holders equally on a pro rata basis (as such term is defined in Section 4.1).  The foregoing provisions of this Section 2.11 shall not apply to the sale of any shares to an underwriter pursuant to an underwriting agreement.

 

2.12        Agreement to Furnish Information.  Each Holder agrees to execute and deliver such other agreements as may be reasonably requested by the Company or the managing underwriters that are consistent with the Holder’s obligations under Section 2.11 or that are necessary to give further effect thereto.  In addition, if reasonably requested by the Company or the representative of the underwriters of Common Stock (or other securities) of the Company, each Holder shall provide, within ten (10) days of such request, such information as may be required by the Company or such representative in connection with the completion of any public offering of the Company’s securities pursuant to a registration statement filed under the Securities Act.  The obligations described in Section 2.11 and this Section 2.12 shall not apply to a Special Registration Statement.  In order to enforce the foregoing covenant, the Company may impose stop-transfer instructions with respect to such shares of Common Stock (or other securities) subject to the foregoing restriction until the end of such period.  Each Holder agrees that any transferee of any shares of Registrable Securities shall be bound by Sections 2.11 and 2.12.  The underwriters of the Company’s stock are intended third party beneficiaries of Sections 2.11 and 2.12 and shall have the right, power and authority to enforce the provisions hereof as though they were a party hereto.

 

2.13        Rule 144 Reporting.  With a view to making available to the Holders the benefits of certain rules and regulations of the SEC which may permit the sale of the Registrable Securities to the public without registration, the Company agrees to use its best efforts to:

 

(a)           Make and keep public information available, as those terms are understood and defined in SEC Rule 144 or any similar or analogous rule promulgated under the Securities Act, at all times after the effective date of the first registration filed by the Company for an offering of its securities to the general public;

 

(b)           File with the SEC, in a timely manner, all reports and other documents required of the Company under the Exchange Act; and

 

(c)           So long as a Holder owns any Registrable Securities, furnish to such Holder forthwith upon request:  a written statement by the Company as to its compliance with the reporting requirements of said Rule 144 of the Securities Act, and of the Exchange Act (at any time after it has become subject to such reporting requirements); a copy of the most recent annual or quarterly

 

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report of the Company filed with the Commission; and such other reports and documents as a Holder may reasonably request in connection with availing itself of any rule or regulation of the SEC allowing it to sell any such securities without registration.

 

2.14        Termination of Registration Rights.  The right of any Holder to request registration or inclusion of Registrable Securities in any registration pursuant to Section 2.2, Section 2.3, or Section 2.4 hereof shall terminate upon the earlier of: (i) the date three (3) years following an initial public offering that results in the conversion of all outstanding shares of Preferred stock; or (ii) such time as such Holder, holds less than one percent (1%) of the Company’s outstanding Common Stock (treating all shares of Preferred Stock on an as converted basis), the Company has completed its Initial Offering and all Registrable Securities of the Company issuable or issued upon conversion of the Shares held by and issuable to such Holder (and its Affiliates) may be sold pursuant to Rule 144 during any ninety (90) day period.  Upon such termination, such shares shall cease to be “Registrable Securities” hereunder for all purposes.

 

SECTION 3.                         COVENANTS OF THE COMPANY.

 

3.1          Basic Financial Information and Reporting.

 

(a)           The Company will maintain true books and records of account in which full and correct entries will be made of all its business transactions pursuant to a system of accounting established and administered in accordance with generally accepted accounting principles consistently applied (except as noted therein), and will set aside on its books all such proper accruals and reserves as shall be required under generally accepted accounting principles consistently applied.

 

(b)           So long as an Investor (with its Affiliates) shall own not less than two hundred fifty thousand (250,000) shares of Preferred Stock (as adjusted for stock splits and combinations) (a “Major Investor”), the Company will furnish each Major Investor, as soon as practicable after the end of each fiscal year of the Company, and in any event within one hundred twenty (120) days thereafter, an unaudited balance sheet of the Company, as at the end of such fiscal year, and an unaudited statement of income and a statement of cash flows of the Company, for such year, all prepared in accordance with generally accepted accounting principles consistently applied (except as noted therein) and setting forth in each case in comparative form the figures for the previous fiscal year, all in reasonable detail.

 

(c)           The Company will furnish each Major Investor, as soon as practicable after the end of the first, second and third quarterly accounting periods in each fiscal year of the Company, and in any event within forty-five (45) days thereafter, an unaudited balance sheet of the Company as of the end of each such quarterly period, and an unaudited statement of income and a statement of cash flows of the Company for such period and for the current fiscal year to date, prepared in accordance with generally accepted accounting principles consistently applied (except as noted therein), with the exception that no notes need be attached to such statements and year-end audit adjustments may not have been made, as well as an up-to-date capitalization table of the Company.

 

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(d)           The Company will furnish each Major Investor, as soon as practicable, but in any event within thirty (30) days of the end of each month, a balance sheet of the Company as of the end of each such month, and a statement of income and a statement of cash flows of the Company for such month and for the current fiscal year to date, including a comparison to plan figures for such period, prepared in accordance with generally accepted accounting principles consistently applied (except as noted thereon), with the exception that no notes need be attached to such statements and year-end audit adjustments may not have been made.

 

(e)           The Company will furnish each such Major Investor to the extent requested by such Major Investor no earlier than thirty (30) days after the beginning of each fiscal year an annual budget for such fiscal year (and as soon as available, any subsequent written revisions thereto).

 

3.2          Inspection Rights.  Each Major Investor shall have the right to visit and inspect any of the properties of the Company or any of its subsidiaries, and to discuss the affairs, finances and accounts of the Company or any of its subsidiaries with its officers, and to review such information as is reasonably requested all at such reasonable times and as often as may be reasonably requested; provided, however, that the Company shall not be obligated under this Section 3.2 with respect to a competitor of the Company or with respect to information which the Board reasonably determines in good faith is confidential or attorney-client privileged and should not, therefore, be disclosed.

 

3.3          Confidentiality of Records.  Each Investor agrees to use the same degree of care as such Investor uses to protect its own confidential information to keep confidential any information furnished to such Investor hereof that the Company identifies as being confidential or proprietary (so long as such information is not in the public domain), except that such Investor may disclose such proprietary or confidential information (i) to any former partners who retained an economic interest in such Investor, current or prospective partner of the partnership or any subsequent partnership under common investment management, limited partner, general partner, member or management company of such Investor, employee or representative of such Investor having a need to know the contents of such information, such Investor’s legal counsel, accountants or other professional advisors, subsidiary or parent of such Investor, in each case as long as such party is advised of and agrees or has agreed to be bound by the confidentiality provisions of this Section 3.3 or comparable restrictions; (ii) at such time as it enters the public domain through no fault of such Investor; (iii) that is communicated to it free of any obligation of confidentiality; (iv) that is developed by such Investor or its agents independently of and without reference to any confidential information communicated by the Company; or (v) as required by applicable law.

 

3.4          Reservation of Common Stock.  The Company will at all times reserve and keep available, solely for issuance and delivery upon the conversion of the Preferred Stock, all Common Stock issuable from time to time upon such conversion.

 

3.5          Stock Vesting.  Unless otherwise approved by the Board (including a majority of the Preferred Directors, as defined in that certain Second Amended and Restated Voting Agreement dated as of the date hereof, as the same may be amended from time to time), all stock options and other stock equivalents issued after the date of this Agreement to employees, directors, consultants and other service providers (“Stock Awards”) shall be subject to vesting as follows:

 

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(a) twenty-five percent (25%) of such stock shall vest at the end of the first year following the earlier of the date of issuance or such person’s services commencement date with the Company, and (b) the remaining seventy-five percent (75%) of such stock shall vest monthly over the remaining three (3) years.  All unvested stock subject to such Stock Awards shall be subject to repurchase at cost by the Company upon termination of employment or service of such director, officer, employee or consultant for any reason.  No transfer of unvested stock subject to such Stock Awards shall be allowed.  The Company shall have a right of first refusal on all transfers of vested stock, which right of first refusal shall terminate upon a Qualified IPO (as defined in the Company’s Amended and Restated Certificate of Incorporation (as may be amended from time to time, the “Charter”)).

 

3.6          Directors’ Liability and Indemnification; Director and Officer Insurance.  The Charter and bylaws shall provide (a) for elimination of the liability of directors to the maximum extent permitted by law and (b) for indemnification of directors for acts on behalf of the Company to the maximum extent permitted by law; provided that such insurance coverage shall be in an amount no less than $4,000,000 (inclusive of main and “Side A” policies).  In addition, the Company shall enter into and use its best efforts to at all times maintain indemnification agreements with each of its directors to indemnify such directors to the maximum extent permissible under applicable law.  Further, in the event the Company merges with another entity and is not the surviving corporation, or transfers all of its assets, the Company shall use its best effort to provide that successors of the Company shall assume the Company’s obligations with respect to indemnification of the directors.  The Company will use its best efforts to obtain promptly after the date hereof and maintain in full force and effect director and officer liability insurance in an amount to be determined and approved by the Board, including the Preferred Directors.

 

3.7          Observer Rights.

 

(a)           The Company shall allow (i) one (1) representative designated by New Enterprise Associates 15, L.P., or its Affiliates (“NEA”), who shall initially be Sara Nayeem, (ii) one (1) representative designated by Osage University Partners I, L.P., or its Affiliates (“Osage”), who shall initially be Bill Harrington, (iii) one (1) representative designated by Frazier Healthcare VI, L.P., or its Affiliates (“Frazier”), who shall initially be Dan Estes, (iv) one (1) representative designated by Altitude Life Science Ventures, or its Affiliates (“Altitude”), who shall initially be Dave Maki, (v) one (1) representative designated by Roche Finance Ltd., or its Affiliates (“Roche”), who shall initially be Carole Nuetcherlein, (vi) one (1) representative designated by Adams Street Partners, LLC, or its Affiliates (“Adams Street”), who shall initially be Elisha P. Gould III and (vii) one (1) representative from Longwood Fund III GP, LLC, or its Affiliates (“Longwood”), who shall initially be David Donabedian, to attend all meetings of the Board in a nonvoting capacity, so long such designating entity is a Major Investor.  The Company shall give such representative copies of all notices, minutes, consents and other materials, financial or otherwise, which the Company provides to its Board; provided, however, that the Company reserves the right to exclude such representative from access to any material or meeting or portion thereof if the Company in good faith believes, with advice of counsel, that such exclusion is reasonably necessary to preserve the attorney-client privilege, to protect highly confidential information or for other similar reasons.  The decision of the Board with respect to the privileged or confidential nature of such information shall be final and binding.

 

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(b)           The Company shall allow one (1) representative designated by AstraZeneca AB who shall initially be Kumar Srinivasan, to attend all meetings of the Board in a nonvoting capacity.  The Company shall give such representative copies of all notices, minutes, consents and other materials, financial or otherwise, which the Company provides to its Board; provided, however, that the Company reserves the right to exclude such representative from access to any material or meeting or portion thereof if the Company in good faith believes, with advice of counsel, that such exclusion is reasonably necessary to preserve the attorney-client privilege, to protect highly confidential information or for other similar reasons (including actual or potential conflicts of interest).  The decision of the Board with respect to the privileged or confidential nature of such information shall be final and binding.  Notwithstanding any other provision contained herein, this Section 3.7(b) shall expire and terminate as to AstraZeneca AB upon the earliest of (i) AstraZeneca AB’s disposition of fifty percent (50%) or more of the Series B Preferred Stock issued to AstraZeneca AB pursuant to that certain License Agreement between the Company and AstraZeneca AB dated August 25, 2015, (ii) the effective date of the Company’s initial public offering of its Common Stock or any other transaction that results in the Company or any successor being a publicly traded company, (iii) upon an Acquisition (as defined in the Charter) or (iv) at such time AstraZeneca AB holds less than one percent (1%) of the Company’s outstanding Common Stock (treating all shares of Convertible Stock on an as converted basis).

 

(c)           For so long as any shares of New Preferred Stock remain outstanding, the Company shall allow two (2) representatives designated by the holders of a majority of shares of New Preferred Stock, who shall initially be Gilles Alberici and Olivier Martinez, to attend all meetings of the Board in a nonvoting capacity.  The Company shall give such representative copies of all notices, minutes, consents and other materials, financial or otherwise, which the Company provides to its Board; provided, however, that the Company reserves the right to exclude such representative from access to any material or meeting or portion thereof if the Company in good faith believes, with advice of counsel, that such exclusion is reasonably necessary to preserve the attorney-client privilege, to protect highly confidential information or for other similar reasons (including actual or potential conflicts of interest).  The decision of the Board with respect to the privileged or confidential nature of such information shall be final and binding.  Notwithstanding any other provision contained herein, this Section 3.7(c) shall expire and terminate as to the holders of New Preferred Stock upon the earliest of (i) at such time as the holders of New Preferred Stock collectively hold less than five percent (5%) of the Company’s outstanding Common Stock (treating all shares of Convertible Stock on an as converted basis), (ii) the effective date of the Company’s initial public offering of its Common Stock or any other transaction that results in the Company or any successor being a publicly traded company or (iii) upon an Acquisition (as defined in the Charter).

 

3.8          Board Meetings.  The Company will use its best efforts to hold at least four (4) meetings of the Board each year or as otherwise approved by the Board.

 

3.9          Compensation Committee.  The Company shall establish a compensation committee of the Board (“Compensation Committee”) consisting of at least two (2) directors designated by the holders of Preferred Stock, for the purpose of, among other things, reviewing and determining the compensation of the Company’s executive officers.

 

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3.10        Reimbursement of Expenses.  The Company shall reimburse each director of the Company for all reasonable travel or other out-of-pocket expenses incurred in connection with attending meetings of the Board.

 

3.11        Proprietary Information and Inventions Agreement.  The Company shall require all employees and consultants to execute and deliver a Proprietary Information and Inventions Agreement substantially in a form approved by the Board.

 

3.12        Qualified Small Business.  For so long as any of the Shares are held by an Investor (or a transferee in whose hands such Shares are eligible to qualify as “Qualified Small Business Stock” as defined in Section 1202(c) of the Internal Revenue Code of 1986, as amended (the “Code”)), the Company will use its reasonable efforts to comply with the reporting and recordkeeping requirements of Section 1202 of the Code, any regulations promulgated thereunder and any similar state laws and regulations.

 

3.13        Non-Competition and Non-Solicitation Agreement.  The Company shall require that all key employees and key consultants (as determined by the Board or the Compensation Committee) execute and deliver a Non-Competition and Non-Solicitation Agreement substantially in a form approved by the Board.

 

3.14        Investor Covenants on Anti Money Laundering and Anti-Corruption.

 

(a)           Each Investor represents and warrants, for purposes of all applicable Anti-Money Laundering Laws, that:

 

i.      the origin and source of the funds that it/he/she paid to the Company to acquire or subscribe for any Shares or make any shareholder’s loan to the Company do not result from any activity in breach of any applicable Anti-Money Laundering Laws.

 

(b)           Until the consummation of a Qualified IPO, the Company will use its best efforts to inform the Investors of any new shareholder of the Company (with indication of its identity and, for closely-held legal entities, of its shareholders or beneficial owners) before the relevant individual or entity becomes a shareholder of the Company and to use its best efforts to cause any new shareholder of the Company to comply with the parties’ undertakings set forth in this Section.  In particular, in the event of issuance of equity or other voting securities, the Company will use its best efforts to obtain appropriate representations and warranties or other reasonably sufficient evidence from the relevant subscribing third party that such third party complies with all applicable Anti-Money Laundering Laws.

 

3.15        Company Covenants on Anti Money Laundering and Anti-Corruption.

 

(a)           The Company represents and warrants that it does not participate and has never participated in any transactions in violation of applicable Anti-Money Laundering Laws.

 

(b)           The Company undertakes to comply with all applicable Anti-Corruption Laws and not to participate in any activities in violation of applicable Anti-Corruption Laws.  The

 

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Company has adopted and implemented appropriate internal policies and/or rules in order to prevent the violation of applicable Anti-Corruption Laws.

 

3.16        Additional Undertakings and Acknowledgements on Anti Money Laundering and Anti-Corruption.

 

(a)           The parties hereto acknowledge that InnoBio and its management company (société de gestion), Bpifrance Investissement, are subject to certain filing and reporting obligations to prevent money laundering activities and financing of terrorism provided for in sections 2 to 7 of Chapter 1 of Title VI, Book V of the French Monetary and Financial Code and of the provisions of the General Rules (Réglement Général) of the French Stock Market Regulator (Autorité des Marchés Financiers) and, in particular, are required to report to competent regulatory authorities: (i) any transaction involving money transfers which they are aware, assume or have good reasons to believe that: (a) relates to the commission of an crime or offence which can result in the imprisonment of its authors for a duration exceeding one year or (b) participates to the financing of terrorism, as well as (ii) any transaction for which the identity of the relevant instructing party, the effective beneficiary, the settlor in a trust or any other asset management vehicle involved in the relevant transaction remains unclear despite all investigations InnoBio and its management company have to carry out.  Under applicable French laws, InnoBio and its management company also have to refrain from carrying out any operation they believe is linked to money laundering activities or financing of terrorism.

 

3.17        Termination of Covenants.  All covenants of the Company contained in Section 3 of this Agreement (other than the provisions of Section 3.3 and 3.6) shall expire and terminate as to each Investor upon the earlier of (i) the effective date of a Qualified IPO (as defined in the Charter) or (ii) upon an Acquisition (as defined in the Charter).

 

SECTION 4.                         RIGHTS OF FIRST REFUSAL.

 

4.1          Subsequent Offerings.  Subject to applicable securities laws, each Major Investor shall have a right of first refusal to purchase its pro rata share of all Equity Securities, as defined below, that the Company may, from time to time, propose to sell and issue after the date of this Agreement, other than the Equity Securities excluded by Section 4.6 hereof.  Each Major Investor’s pro rata share is equal to the ratio of (a) the number of Common Shares (including all shares of Common Stock issuable or issued upon conversion of the Shares or upon the exercise of outstanding warrants or options) of which such Major Investor is deemed to be a holder immediately prior to the issuance of such Equity Securities to (b) the total number of the Company’s outstanding Common Shares (including all shares of Common Stock issued or issuable upon conversion of the Shares or upon the exercise of any outstanding warrants or options) immediately prior to the issuance of the Equity Securities.  The term “Equity Securities” shall mean (i) any Common Stock, Preferred Stock or other security of the Company, (ii) any security convertible into or exercisable or exchangeable for, with or without consideration, any Common Stock, Preferred Stock or other security (including any option to purchase such a convertible security), (iii) any security carrying any warrant or right to subscribe to or purchase any Common Stock, Preferred Stock or other security, or (iv) any such warrant or right.

 

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4.2          Exercise of Rights.  If the Company proposes to issue any Equity Securities, it shall give each Major Investor written notice of its intention, describing the Equity Securities, the price and the terms and conditions upon which the Company proposes to issue the same.  Each Major Investor shall have fifteen (15) days from the giving of such notice to agree to purchase its pro rata share of the Equity Securities for the price and upon the terms and conditions specified in the notice by giving written notice to the Company and stating therein the quantity of Equity Securities to be purchased.  Notwithstanding the foregoing, the Company shall not be required to offer or sell such Equity Securities to any Major Investor if such offer or sale would cause the Company to be in violation of applicable federal securities laws by virtue of such offer or sale.

 

4.3          Issuance of Equity Securities to Other Persons.  If not all of the Major Investors elect to purchase their pro rata share of the Equity Securities, then the Company shall promptly notify in writing the Major Investors who do so elect and shall offer such Major Investors the right to acquire such unsubscribed shares on a pro rata basis.  The Major Investors shall have five (5) days after receipt of such notice to notify the Company of its election to purchase all or a portion thereof of the unsubscribed shares.  The Company shall have ninety (90) days thereafter to sell the Equity Securities in respect of which the Major Investor’s rights were not exercised, at a price not lower and upon general terms and conditions not materially more favorable to the purchasers thereof than specified in the Company’s notice to the Major Investors pursuant to Section 4.2 hereof.  If the Company has not sold such Equity Securities within ninety (90) days of the notice provided pursuant to Section 4.2, the Company shall not thereafter issue or sell any Equity Securities, without first offering such securities to the Major Investors in the manner provided above.

 

4.4          Termination of Rights of First Refusal.  The rights of first refusal established by this Section 4 shall not apply to, and shall terminate upon the earlier of (i) the effective date of a Qualified IPO or (ii) upon a Liquidation Event (as defined in the Charter).

 

4.5          Assignment of Rights of First Refusal.  The rights of first refusal of each Major Investor under this Section 4 may be assigned to the same parties, subject to the same restrictions as any transfer of registration rights pursuant to Section 2.9; provided further that Regents of the University of Michigan shall also have the right to apportion its right of first refusal among itself and any Osage University Partners, including any investment fund managed by Osage University Partners that is an “accredited investor” with the meaning of Regulation D under the Securities Act.

 

4.6          Excluded Securities.  The rights of first refusal established by this Section 4 shall have no application to any of the following Equity Securities:

 

(a)           any Equity Securities that fall within one of the enumerated exceptions to the definition of Excluded Securities (as defined in the Charter);

 

(b)           any Equity Securities issued pursuant to the Share Contribution Agreement; and

 

22

 

(c)           any Equity Securities that are specifically deemed not to be subject to the rights of first refusal in this Section 4 by the written consent or affirmative vote of the Major Investors holding a majority of the Preferred Stock then held by all Major Investors.

 

SECTION 5.                         MISCELLANEOUS.

 

5.1          Governing Law.  This Agreement shall be governed by and construed under the laws of the State of Delaware in all respects as such laws are applied to agreements among Delaware residents entered into and performed entirely within Delaware, without giving effect to conflict of law principles thereof.

 

5.2          Successors and Assigns.  Except as otherwise expressly provided herein, the provisions hereof shall inure to the benefit of, and be binding upon, the parties hereto and their respective successors, assigns, heirs, executors, and administrators and shall inure to the benefit of and be enforceable by each person who shall be a holder of Registrable Securities from time to time; provided, however, that prior to the receipt by the Company of adequate written notice of the transfer of any Registrable Securities specifying the full name and address of the transferee, the Company may deem and treat the person listed as the holder of such shares in its records as the absolute owner and holder of such shares for all purposes, including the payment of dividends or any redemption price.

 

5.3          Entire Agreement.  This Agreement, the Exhibits and Schedules hereto, the Share Contribution Agreement and the other documents delivered pursuant thereto constitute the full and entire understanding and agreement between the parties with regard to the subjects hereof and no party shall be liable or bound to any other in any manner by any oral or written representations, warranties, covenants and agreements except as specifically set forth herein and therein.  Each party expressly represents and warrants that it is not relying on any oral or written representations, warranties, covenants or agreements outside of this Agreement.

 

5.4          Severability.  In the event one or more of the provisions of this Agreement should, for any reason, be held to be invalid, illegal or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect any other provisions of this Agreement, and this Agreement shall be construed as if such invalid, illegal or unenforceable provision had never been contained herein.

 

5.5          Amendment and Waiver.

 

(a)           Except as otherwise expressly provided, this Agreement may be amended or modified, and the obligations of the Company and the rights of the Holders under this Agreement may be waived, only upon the written consent of the Company and the holders of a majority of the then-outstanding Registrable Securities.  Notwithstanding the foregoing, this Agreement may not be amended or terminated and the observance of any term hereof may not be waived with respect to any Investor without the written consent of such Investor, unless such amendment, termination, or waiver applies to all Investors in the same fashion (it being agreed that a waiver of the provisions of Section 4 with respect to a particular transaction shall be deemed to apply to all Investors in the same fashion if such waiver does so by its terms, notwithstanding the fact that certain Investors may nonetheless, by agreement with the Company, purchase

 

23

 

securities in such transaction).  The Company shall give prompt notice of any amendment or termination hereof or waiver hereunder to any party hereto that did not consent in writing to such amendment, termination, or waiver.  Any amendment, termination, or waiver effected in accordance with this Section 5.5 shall be binding on all parties hereto, regardless of whether any such party has consented thereto provided, however, that notwithstanding the foregoing, (i) Section 3.7(a) of this Agreement shall not be amended or waived without the written consent of any of NEA, Osage, Frazier, Altitude, Roche, Longwood or Adams Street so long as such party is entitled to designate an observer pursuant to Section 3.7(a), (ii) Section 3.7(b) shall not be amended or waived without the written consent of AstraZeneca so long as such party is entitled to designate an observer pursuant to Section 3.7(b) and (iii) Section 3.7(c) shall not be amended or waived without the written consent of the holders of a majority of the shares of New Preferred Stock so long as such holders are entitled to designate an observer pursuant to Section 3.7(c).  No waivers of or exceptions to any term, condition, or provision of this Agreement, in any one or more instances, shall be deemed to be or construed as a further or continuing waiver of any such term, condition, or provision.

 

(b)           For the purposes of determining the number of Holders or Investors entitled to vote or exercise any rights hereunder, the Company shall be entitled to rely solely on the list of record holders of its stock as maintained by or on behalf of the Company.

 

5.6          Delays or Omissions.  It is agreed that no delay or omission to exercise any right, power, or remedy accruing to any party, upon any breach, default or noncompliance by another party under this Agreement shall impair any such right, power, or remedy, nor shall it be construed to be a waiver of any such breach, default or noncompliance, or any acquiescence therein, or of any similar breach, default or noncompliance thereafter occurring.  It is further agreed that any waiver, permit, consent, or approval of any kind or character on any party’s part of any breach, default or noncompliance under this Agreement or any waiver on such party’s part of any provisions or conditions of this Agreement must be in writing and shall be effective only to the extent specifically set forth in such writing.  All remedies, either under this Agreement, by law, or otherwise afforded to any party, shall be cumulative and not alternative.

 

5.7          Notices.  All notices required or permitted hereunder shall be in writing and shall be deemed effectively given: (a) upon personal delivery to the party to be notified, (b) when sent by confirmed electronic mail or facsimile if sent during normal business hours of the recipient; if not, then on the next business day, (c) five (5) days after having been sent by registered or certified mail, return receipt requested, postage prepaid, or (d) two (2) days after deposit with a nationally recognized overnight courier, specifying next day delivery, with written verification of receipt.  All communications shall be sent to the party to be notified at the address as set forth on the signature pages hereof or Exhibit A hereto or at such other address or electronic mail address as such party may designate by ten (10) days advance written notice to the other parties hereto.

 

5.8          Attorneys’ Fees.  In the event that any suit or action is instituted under or in relation to this Agreement, including without limitation to enforce any provision in this Agreement, the prevailing party in such dispute shall be entitled to recover from the losing party all fees, costs and expenses of enforcing any right of such prevailing party under or with respect to this Agreement, including without limitation, such reasonable fees and expenses of attorneys and accountants, which shall include, without limitation, all fees, costs and expenses of appeals.

 

24

 

5.9          Titles and Subtitles.  The titles of the sections and subsections of this Agreement are for convenience of reference only and are not to be considered in construing this Agreement.

 

5.10        Additional Investors.  Notwithstanding anything to the contrary contained herein, if the Company shall issue additional shares of its Preferred Stock pursuant to the Share Contribution Agreement, any purchaser of such shares of Preferred Stock shall become a party to this Agreement by executing and delivering an additional counterpart signature page to this Agreement and shall be deemed an “Investor,” a “Holder” and a party hereunder.

 

5.11        Counterparts.  This Agreement may be executed in any number of counterparts, each of which shall be an original, but all of which together shall constitute one instrument.

 

5.12        Aggregation of Stock.  All shares of Registrable Securities held or acquired by Affiliates shall be aggregated together for the purpose of determining the availability of any rights under this Agreement.

 

5.13        Pronouns.  All pronouns contained herein, and any variations thereof, shall be deemed to refer to the masculine, feminine or neutral, singular or plural, as to the identity of the parties hereto may require.

 

5.14        Termination.  This Agreement shall terminate and be of no further force or effect upon the earlier of (i) a Liquidation Event; or (ii) the date three (3) years following the effective date of a Qualified IPO.

 

5.15        Right to Conduct Activities.  The Company hereby agrees and acknowledges that NEA, 5AM Co-Investors III, L.P., 5AM Ventures III, L.P., Adams Street, Roche, Longwood, Frazier, Osage,Altitude, CEMA Inc. (“CEMA”), Otannale SAS (“Otannale”), SHAM Innovation Sante SAS (“SHAM”) and InnoBio FPCI (“InnoBio”) (such Investors, collectively, the “Fund Investors”) are professional investment funds, and as such invest in numerous portfolio companies, some of which may be deemed competitive with the Company’s business (as currently conducted or as currently propose to be conducted).  The Company hereby agrees that, to the extent permitted under applicable law, no Fund Investor shall be liable to the Company for any claim arising out of, or based upon, (i) the investment by such Fund Investor in any entity competitive with the Company, or (ii) actions taken by any partner, officer or other representative of such Fund Investor to assist any such competitive company, whether or not such action was taken as a member of the board of directors of such competitive company or otherwise, and whether or not such action has a detrimental effect on the Company; provided, however, that the foregoing shall not relieve (x) any of the Investors from liability associated with the unauthorized disclosure of the Company’s confidential information obtained pursuant to this Agreement, or (y) any director or officer of the Company from any liability associated with his or her fiduciary duties to the Company.

 

5.16        Amendment of Prior Agreement.  The Prior Agreement is hereby amended and superseded in its entirety and restated herein.  Such amendment and restatement is effective upon the execution of this Agreement by the Company and the parties required for an amendment pursuant to Section 5.5 of the Prior Agreement.  Upon such execution, all provisions of, rights

 

25

 

granted and covenants made in the Prior Agreement are hereby waived, released and superseded in their entirety by the provisions hereof and shall have no further force or effect.

 

5.17        Dispute Resolution.  The parties (a) hereby irrevocably and unconditionally submit to the jurisdiction of the state courts of Delaware and to the jurisdiction of the United States District Court for the District of Delaware for the purpose of any suit, action or other proceeding arising out of or based upon this Agreement, (b) agree not to commence any suit, action or other proceeding arising out of or based upon this Agreement except in the state courts of Delaware or the United States District Court for the District of Delaware, and (c) hereby waive, and agree not to assert, by way of motion, as a defense, or otherwise, in any such suit, action or proceeding, any claim that it is not subject personally to the jurisdiction of the above-named courts, that its property is exempt or immune from attachment or execution, that the suit, action or proceeding is brought in an inconvenient forum, that the venue of the suit, action or proceeding is improper or that this Agreement or the subject matter hereof may not be enforced in or by such court.

 

WAIVER OF JURY TRIAL: EACH PARTY HEREBY WAIVES ITS RIGHTS TO A JURY TRIAL OF ANY CLAIM OR CAUSE OF ACTION BASED UPON OR ARISING OUT OF THIS AGREEMENT, THE OTHER TRANSACTION DOCUMENTS, THE SECURITIES OR THE SUBJECT MATTER HEREOF OR THEREOF.  THE SCOPE OF THIS WAIVER IS INTENDED TO BE ALL-ENCOMPASSING OF ANY AND ALL DISPUTES THAT MAY BE FILED IN ANY COURT AND THAT RELATE TO THE SUBJECT MATTER OF THIS TRANSACTION, INCLUDING, WITHOUT LIMITATION, CONTRACT CLAIMS, TORT CLAIMS (INCLUDING NEGLIGENCE), BREACH OF DUTY CLAIMS, AND ALL OTHER COMMON LAW AND STATUTORY CLAIMS.  THIS SECTION HAS BEEN FULLY DISCUSSED BY EACH OF THE PARTIES HERETO AND THESE PROVISIONS WILL NOT BE SUBJECT TO ANY EXCEPTIONS.  EACH PARTY HERETO HEREBY FURTHER WARRANTS AND REPRESENTS THAT SUCH PARTY HAS REVIEWED THIS WAIVER WITH ITS LEGAL COUNSEL, AND THAT SUCH PARTY KNOWINGLY AND VOLUNTARILY WAIVES ITS JURY TRIAL RIGHTS FOLLOWING CONSULTATION WITH LEGAL COUNSEL.

 

5.18        Acknowledgment.  The Company acknowledges that the Investors are in the business of venture capital investing and therefore review the business plans and related proprietary information of many enterprises, including enterprises which may have products or services which compete directly or indirectly with those of the Company.  Nothing in this Agreement shall preclude or in any way restrict the Investors from investing or participating in any particular enterprise whether or not such enterprise has products or services which compete with those of the Company.

 

[SIGNATURE PAGE FOLLOWS]

 

26

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
COMPANY:
    
	
 
    	
 
    
	
 
    	
MILLENDO   THERAPEUTICS, INC.
    
	
 
    	
 
    	
 
    
	
 
    	
Signature:
    	
/s/ Julia Owens
    
	
 
    	
 
    	
 
    
	
 
    	
Print Name:
    	
Julia Owens
    
	
 
    	
 
    	
 
    
	
 
    	
Title:
    	
President and CEO
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
NEW ENTERPRISE ASSOCIATES 15, L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ Louis Citron
    
	
 
    	
 
    	
Louis Citron
    
	
 
    	
 
    	
Chief Legal Officer
    
	
 
    	
 
    	
 
    
	
 
    	
NEA VENTURES 2015, L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ Louis Citron
    
	
 
    	
 
    	
Louis Citron
    
	
 
    	
 
    	
Vice President
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
FRAZIER   HEALTHCARE VI, L.P.
    
	
 
    	
BY: FHM VI, LP, its   general partner
    
	
 
    	
BY: FHM VI, LLC, its   general partner
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
Signature:
    	
/s/ James Topper
    
	
 
    	
 
    	
 
    
	
 
    	
Print Name:
    	
James Topper
    
	
 
    	
 
    	
 
    
	
 
    	
Title:
    	
Authorized   Representative
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
5AM   VENTURES III, L.P.
    
	
 
    	
By: 5AM Partners III,   LLC, its General Partner
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Andrew J. Schwab
    
	
 
    	
 
    	
Andrew J. Schwab,
    
	
 
    	
 
    	
Managing Member
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
5AM CO-INVESTORS III, L.P.
    
	
 
    	
By: 5AM Partners III,   LLC, its General Partner
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Andrew J. Schwab
    
	
 
    	
 
    	
Andrew J. Schwab,
    
	
 
    	
 
    	
Managing Member
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
GALLAGHER REVOCABLE TRUST
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Carol Gallagher
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Carol Gallagher
    
	
 
    	
 
    	
 
    
	
 
    	
Title:
    	
Trustee
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
OSAGE UNIVERSITY PARTNERS I,   L.P.
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
By: Osage University   GP, LP, its general partner
    
	
 
    	
By: Osage Partners,   LLC, its general partner
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ William Harrington
    
	
 
    	
William Harrington
    
	
 
    	
Authorized Signer
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
ALTITUDE LIFE SCIENCE VENTURES
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Dave Maki
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Dave Maki
    
	
 
    	
 
    	
 
    
	
 
    	
Title:
    	
Managing Member
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
ASTRAZENECA AB
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Anders Holmen
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Anders Holmen
    
	
 
    	
 
    	
 
    
	
 
    	
Title:
    	
VP Pharm Sci
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
ADAMS   STREET 2012 DIRECT FUND LP
    
	
 
    	
By: ASP 2012 Direct Management LP its   General Partner
    
	
 
    	
By: ASP 2012 Direct Management LLC its   General Partner
    
	
 
    	
By: Adams Street Partners, LLC its   Managing Member
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Terry P. Gould
    
	
 
    	
Name:
    	
Elisha (Terry) P. Gould   III
    
	
 
    	
Title:
    	
Partner
    
	
 
    	
 
    
	
 
    	
ADAMS   STREET 2013 DIRECT FUND LP
    
	
 
    	
By: ASP 2013 Direct Management LP its   General Partner
    
	
 
    	
By: ASP 2013 Direct Management LLC its   General Partner
    
	
 
    	
By: Adams Street Partners, LLC its   Managing Member
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Terry P. Gould
    
	
 
    	
Name:
    	
Elisha (Terry) P. Gould   III
    
	
 
    	
Title:
    	
Partner
    
	
 
    	
 
    
	
 
    	
ADAMS   STREET 2014 DIRECT FUND LP
    
	
 
    	
By: ASP 2014 Direct Management LP its   General Partner
    
	
 
    	
By: ASP 2014 Direct Management LLC its   General Partner
    
	
 
    	
By: Adams Street Partners, LLC its   Managing Member
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Terry P. Gould
    
	
 
    	
Name:
    	
Elisha (Terry) P. Gould   III
    
	
 
    	
Title:
    	
Partner
    
	
 
    	
 
    
	
 
    	
ADAMS   STREET 2015 DIRECT VENTURE/GROWTH FUND LP
    
	
 
    	
By: ASP 2015 Direct Management LP its   General Partner
    
	
 
    	
By: ASP 2015 Direct Management LLC its   General Partner
    
	
 
    	
By: Adams Street Partners, LLC its   Managing Member
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Terry P. Gould
    
	
 
    	
Name:
    	
Elisha (Terry) P. Gould   III
    
	
 
    	
Title:
    	
Partner
    
	
 
    	
 
    
	
 
    	
ADAMS   STREET VENTURE/GROWTH FUND VI LP
    
	
 
    	
By: ASP VG Management VI LP its General   Partner
    
	
 
    	
By: ASP VG Management VI LLC its General   Partner
    
	
 
    	
By: Adams Street Partners, LLC its Managing   Member
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Terry P. Gould
    
	
 
    	
Name:
    	
Elisha (Terry) P. Gould   III
    
	
 
    	
Title:
    	
Partner
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
RENAISSANCE VENTURE CAPITAL   FUND I, LP
    
	
 
    	
 
    
	
 
    	
By: Renaissance Venture   Partners GP, LLC
    
	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Christopher Riznik
    
	
 
    	
Name:
    	
Christopher Riznik
    
	
 
    	
Title:
    	
CEO
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
RANDALL WHITCOMB
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
/s/ Randall Whitcomb
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Roche Finance Ltd
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Carole Nuechterlein
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Carole Nuechterlein
    
	
 
    	
 
    	
 
    
	
 
    	
Title:
    	
Authorized Signatory
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Andreas Knierzinger
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Andreas Knierzinger
    
	
 
    	
 
    	
 
    
	
 
    	
Title:
    	
Authorized Signatory
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
PURCHASERS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
Longwood Fund III GP, LLC
    
	
 
    	
General Partner of Longwood Fund III LP
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Rob Hadfield
    
	
 
    	
Name:
    	
Rob Hadfield
    
	
 
    	
Title:
    	
General Counsel and Partner
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
ANN ARBOR SPARK
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Skip Simms
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Skip Simms
    
	
 
    	
 
    	
 
    
	
 
    	
Title:
    	
Sr. Vice President
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
OTONNALE SAS
    
	
 
    	
represented by Mr. Thierry Abribat
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Thierry Abribat
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Thierry Abribat
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
CEMA Inc.
    
	
 
    	
represented by Mr. Thierry Abribat
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Thierry Abribat
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Thierry Abribat
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
SHAM INNOVATION SANTÈ SAS
    
	
 
    	
represented by Mrs. Mounia   Chaoui
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Mounia Chaoui
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Mounia   Chaoui
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
INNOBIO FPCI
    
	
 
    	
represented   by Mr. Olivier Martinez
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Olivier Martinez
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Olivier Martinez
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
TAB CONSULTING SARL
    
	
 
    	
represented   by its Gérant Mr. Thierry   Abribat
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Thierry Abribat
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Thierry   Abribat
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
EUMEDIX FR S.À. R.L.
    
	
 
    	
represented   by Mr. Thierry Abribat
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Thierry Abribat
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Thierry   Abribat
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
DR. EZIO GIACOMO GIOVANNI GHIGO
    
	
 
    	
represented   by Mr. Thierry Abribat
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Thierry Abribat
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Thierry   Abribat
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
DR. AART JOHANNES VAN DER LELIJ
    
	
 
    	
represented   by Mr. Thierry Abribat
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Thierry Abribat
    
	
 
    	
 
    	
 
    
	
 
    	
Name:
    	
Thierry   Abribat
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

IN WITNESS WHEREOF, the parties hereto have executed this SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT as of the date set forth in the first paragraph hereof.

 

 

	
 
    	
INVESTORS:
    
	
 
    	
 
    
	
 
    	
 
    
	
 
    	
LEERINK PARTNERS LLC
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
By:
    	
/s/ Gabriel Cavazos
    
	
 
    	
Name:
    	
Gabriel   Cavazos
    
	
 
    	
Title:
    	
Managing Director
    

 

SIGNATURE PAGE TO SECOND AMENDED AND RESTATED INVESTOR RIGHTS AGREEMENT

 

 

EXHIBIT A

 

SCHEDULE OF INVESTORS

 

New Enterprise Associates 15, L.P.

NEA Ventures 2015, L.P.

5AM Co-Investors III, L.P.

5AM Ventures III, L.P.

Ann Arbor SPARK

Frazier Healthcare VI, L.P.

Gallagher Revocable Trust

Osage University Partners I, L.P.

Regents of the University of Michigan

Altitude Life Science Ventures II, L.P.

Altitude Life Science Ventures Side Fund II, L.P.

AstraZeneca AB

Adams Street 2012 Direct Fund LP

Adams Street 2013 Direct Fund LP

Adams Street 2014 Direct Fund LP

Adams Street 2015 Direct Venture/Growth Fund LP

Adams Street Venture/Growth Fund VI LP

Renaissance Venture Capital Fund I, LP

Longwood Fund III, LP

Randall Whitcomb

Roche Finance Ltd.

Leerink Partners LLC

TAB Consulting SARL

SHAM Innovation Santé SAS

InnoBio FPCI

Otonnale SAS

CEMA Inc.

Eumedix FR S.À R.L.

Dr. Ezio Giacomo Giovanni Ghigo

Dr. Aart Johannes Van Der LelijExhibit 4.7

 

CONFIDENTIAL

 

MILLENDO THERAPEUTICS, INC.

FIRST AMENDMENT TO

SECOND AMENDED AND RESTATED

INVESTOR RIGHTS AGREEMENT

 

This First Amendment to the Second Amended and Restated Investor Rights Agreement (the “Amendment”), dated as of October 24, 2018 is by and between MILLENDO THERAPEUTICS, INC., a Delaware corporation (the “Company”) and the persons or entities listed on Exhibit A hereto, referred to hereinafter as the “Investors” and each individually as an “Investor.” The Company and the Investors are sometimes referred to herein as a “Party” and, collectively, as the “Parties”.

 

RECITALS

 

WHEREAS, the Parties have entered into a Shareholders and Option Agreement, dated as of December 19, 2017 (the “Original Agreement”).

 

WHEREAS, pursuant to Section 5.5(a) of the Original Agreement, the Original Agreement may be amended by the written consent of the Company and the holders of a majority of the then-outstanding Registrable Securities.

 

NOW, THEREFORE, in consideration of the foregoing, and the mutual agreements set forth herein and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged, the Parties, intending to be legally bound, hereby agree as follows:

 

1.1                               Definitions. Capitalized terms used and not defined in this Amendment have the respective meanings assigned to them in the Original Agreement.

 

1.2                               Amendments to the Original Agreement. As of the Effective Date (defined below), the Original Agreement is hereby amended or modified as follows:

 

1.2.1                     The following definitions are added to Section 1.1 of the Original Agreement:

 

(a)                                 “Company Reverse Merger” means a merger of the Company with and into another Person, pursuant to which the Capital Stock is exchanged for stock in a publicly traded company.

 

(b)                                 “Exchanged Stock” means the stock received by holders of the Capital Stock upon a reclassification, exchange, substitution or other event that results in a change of the number and/or class of the Capital Stock, including in the event of a Company Reverse Merger.

 

1.2.2                     The following definitions appearing in Section 1.1 of the Original Agreement are hereby deleted in their entirety and replaced with the following:

 

(a)                                 “Class Common-1 Stock” shall have the meaning ascribed to such term in the Charter, provided, however, that if the Company Reverse Merger has occurred, then “Class Common-1 Stock” shall mean the Exchanged Stock.

 

(b)                                 “Common Shares” shall have the meaning ascribed to such term in the Charter, provided, however, that if the Company Reverse Merger has occurred, then “Common Shares” shall mean the Exchanged Stock.

 

(c)                                  “Common Stock” shall have the meaning ascribed to such term in the Charter, provided, however, that if the Company Reverse Merger has occurred, then “Common Stock” shall mean the Exchanged Stock.

 

 

(d)                                 “Convertible Stock” shall have the meaning ascribed to such term in the Charter, provided, however, that if the Company Reverse Merger has occurred, then “Convertible Stock” shall mean the Exchanged Stock.

 

(e)                                  “Initial Offering” means the first to occur of (1) Company’s first firm commitment underwritten public offering of its Capital Stock registered under the Securities Act and (2) the Company Reverse Merger.

 

(f)                                   “New Preferred Stock” means, collectively, the Series A-1 Preferred Stock and the Series B-1 Preferred Stock, provided, however that if the Company Reverse Merger has occurred, then “New Preferred Stock” shall mean the Exchanged Stock.

 

(g)                                  “Preferred Stock” means, collectively, the Series A Preferred Stock, the Series A-1 Preferred Stock, the Series B Preferred Stock and the Series B-1 Preferred Stock, provided, however that if the Company Reverse Merger has occurred, then “Preferred Stock” shall mean the Exchanged Stock.

 

(h)                                 “Registrable Securities” means (a) (i) prior to the occurrence of the Company Reverse Merger, the Capital Stock of the Company issuable or issued upon conversion of the Shares and (ii) following the Company Reverse Merger, the Exchanged Stock and (b) any Common Stock of the Company issued as (or issuable upon the conversion or exercise of any warrant, right or other security which is issued as) a dividend or other distribution with respect to, or in exchange for or in replacement of, such above-described securities. Notwithstanding the foregoing, Registrable Securities shall not include any securities (i) sold by a person to the public either pursuant to a registration statement or Rule 144 or (ii) sold in a private transaction in which the transferor’s rights under Section 2 of this Agreement are not assigned.

 

1.2.3                     Section 2.14 of the Original Agreement is hereby amended by inserting immediately following the words “(i) the date three (3) years following an initial public offering that results in the conversion of all outstanding shares of Preferred stock” the words “or the consummation of the Company Reverse Merger”.

 

1.2.4                     Section 3.7(b) is hereby amended by inserting immediately following the words “the effective date of the Company’s initial public offering of its Common Stock” the words “or the consummation of the Company Reverse Merger”.

 

1.2.5                     Section 3.7(c) is hereby amended by inserting immediately following the words “the effective date of the Company’s initial public offering of its Common Stock” the words “or the consummation of the Company Reverse Merger”.

 

1.2.6                     Section 3.14(b) is hereby amended by inserting immediately following the words “Until the consummation of a Qualified IPO” the words “or the consummation of the Company Reverse Merger”.

 

1.2.7                     Section 3.17 is hereby amended by inserting immediately following the words “(i) the effective date of a Qualified IPO (as defined in the Charter)” the words “or the consummation of the Company Reverse Merger”.

 

1.2.8                     Section 4.4 of the Original Agreement is hereby amended by inserting immediately following the words “(i) the effective date of a Qualified IPO” the words “or the consummation of the Company Reverse Merger.”

 

1.2.9                     Section 5.14 of the Original Agreement is hereby amended by inserting immediately following the words “(ii) the date three (3) years following the effective date of a Qualified IPO” the words “or the consummation of the Company Reverse Merger.”

 

1.2.10              This Amendment will become effective on the date first written above (the “Effective Date”). Except as expressly provided in this Amendment, all of the terms and provisions of each Original Agreement are and will remain in full force and effect and are hereby ratified and confirmed by

 

 

the Parties. Without limiting the generality of the foregoing, the amendments contained herein will not be construed as an amendment to or waiver of any other provision of each Original Agreement or as a waiver of or consent to any further or future action on the part of either Party that would require the waiver or consent of the other Party. On and after the Effective Date, each reference in the Original Agreement to “this Agreement,” “the Agreement,” “hereunder,” “hereof,” “herein,” or similar words will mean and be a reference to the Original Agreement as amended by this Amendment.

 

1.3                               Miscellaneous.

 

1.3.1                     This Amendment shall be governed by and construed under the laws of the State of Delaware in all respects as such laws are applied to agreements among Delaware residents entered into and performed entirely within Delaware, without giving effect to conflict of law principles thereof.

 

1.3.2                     This Amendment shall inure to the benefit of and be binding upon each of the Parties and each of their respective successors and assigns.

 

1.3.3                     The headings in this Amendment are for reference only and do not affect the interpretation of this Amendment.

 

1.3.4                     This Amendment may be executed in counterparts, each of which is deemed an original, but all of which constitute one and the same agreement.

 

1.3.5                     This Amendment constitutes the sole and entire agreement between the Parties with respect to the subject matter contained herein, and supersedes all prior and contemporaneous understandings, agreements, representations, and warranties, both written and oral, with respect to such subject matter.

 

[Signature pages follow.]

 

 

IN WITNESS WHEREOF, the Parties have executed this Amendment as of the date first written above.

 

 

	
 
    	
 
    	
 
    	
 
    	
COMPANY
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
MILLENDO THERAPEUTICS INC.
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
 
    	
/s/ Julia C.   Owens
    
	
 
    	
 
    	
Name:
    	
 
    	
Julia C. Owens
    
	
 
    	
 
    	
Title:
    	
 
    	
President and CEO
    

 

Signature Page to First Amendment to Second Amended and Restated Investor Rights Agreement

 

 

	
 
    	
 
    	
INVESTORS:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
NEW ENTERPRISE ASSOCIATES 15, L.P.
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ Louis Citron
    
	
 
    	
 
    	
 
    	
Louis Citron
    
	
 
    	
 
    	
 
    	
Chief Legal Officer
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
NEA VENTURES 2015, L.P.
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ Louis Citron
    
	
 
    	
 
    	
 
    	
Louis Citron
    
	
 
    	
 
    	
 
    	
Vice President
    

 

Signature Page to First Amendment to Second Amended and Restated Investor Rights Agreement

 

 

	
 
    	
 
    	
INVESTORS:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
FRAZIER HEALTHCARE VI, L.P.
   BY: FHM VI, LP, its general partner
   BY: FHM VI, LLC, its general partner
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Signature:
    	
/s/ James Topper
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Print Name:
    	
James Topper
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Title:
    	
Authorized Representative
    

 

Signature Page to First Amendment to Second Amended and Restated Investor Rights Agreement

 

 

	
 
    	
 
    	
INVESTORS:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
GALLAGHER REVOCABLE TRUST
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ Carol Gallagher
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Name:
    	
Carol Gallagher
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Title:
    	
Trustee
    

 

Signature Page to First Amendment to Second Amended and Restated Investor Rights Agreement

 

 

	
 
    	
 
    	
INVESTORS:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
Roche Finance Ltd
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ Carole Nuechterlein
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Name:
    	
Carole   Nuechterlein
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ Andreas   Knierzinger
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Name:
    	
Andreas   Knierzinger
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Title:
    	
Authorized   Signatory
    

 

Signature Page to First Amendment to Second Amended and Restated Investor Rights Agreement

 

 

	
 
    	
 
    	
INVESTORS:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
OTONNALE SAS
    represented by   Mr. Thierry Abribat
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ Thierry   Abribat
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Name:
    	
Thierry Abribat
    

 

Signature Page to First Amendment to Second Amended and Restated Investor Rights Agreement

 

 

	
 
    	
 
    	
INVESTORS:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
FONDS INNOBIO FPCI
 represented by its management   company, Bpifrance Invesstissement,
 Itself represented by Olivier   Martinez
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ Olivier Martinez
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Name:
    	
Olivier Martinez
    

 

Signature Page to First Amendment to Second Amended and Restated Investor Rights Agreement

 

 

	
 
    	
 
    	
INVESTORS:
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
TAB CONSULTING SARL
 represented by its Gérant Mr. Thierry Abribat
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
 
    
	
 
    	
 
    	
By:
    	
/s/ Thierry Abribat
    
	
 
    	
 
    	
 
    	
 
    
	
 
    	
 
    	
Name:
    	
Thierry Abribat
    

 

Signature Page to First Amendment to Second Amended and Restated Investor Rights Agreement

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