SEC Contract Filing

Filing Date: 2017-03-16

Document Content:
<DOCUMENT>
<TYPE>EX-10.34
<SEQUENCE>3
<FILENAME>cnat-ex1034_767.htm
<DESCRIPTION>EX-10.34
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<p style="text-align:right;margin-bottom:0pt;margin-top:0pt;text-indent:0%;font-family:Times New Roman;font-size:10pt;">&nbsp;</p>
<p style="text-align:right;margin-bottom:12pt;margin-top:0pt;text-indent:0%;font-weight:bold;font-size:12pt;font-family:Times New Roman;font-style:normal;text-transform:none;font-variant: normal;">Exhibit 10.34</p>
<p style="text-align:center;margin-bottom:12pt;margin-top:0pt;text-indent:0%;font-weight:bold;font-size:12pt;font-family:Times New Roman;font-style:normal;text-transform:none;font-variant: normal;">CONATUS PHARMACEUTICALS INC.</p>
<p style="text-align:center;margin-bottom:12pt;margin-top:0pt;text-indent:0%;font-weight:bold;font-size:12pt;font-family:Times New Roman;font-style:normal;text-transform:none;font-variant: normal;">INVESTMENT AGREEMENT</p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:7.69%;font-size:12pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">This Investment Agreement (this &#8220;<font style="font-weight:bold;font-style:italic;">Agreement</font>&#8221;) is made as of December 19, 2016 by and among Conatus Pharmaceuticals Inc., a Delaware corporation (the &#8220;<font style="font-weight:bold;font-style:italic;">Company</font>&#8221;), and Novartis Pharma AG, a Swiss corporation (the &#8220;<font style="font-weight:bold;font-style:italic;">Investor</font>&#8221;).</p>
<p style="margin-top:6pt;text-align:center;margin-bottom:12pt;text-indent:0%;font-weight:bold;font-size:12pt;font-family:Times New Roman;font-style:normal;text-transform:none;font-variant: normal;">RECITALS</p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:7.69%;font-size:12pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">WHEREAS, the Investor desires to purchase from the Company, and the Company desires to issue to the Investor Convertible Promissory Notes in one or more Closings (as defined below) pursuant to the terms and conditions hereunder, each of which shall be in the form attached hereto as <font style="font-weight:bold;">Exhibit A</font> (individually, a &#8220;<font style="font-weight:bold;font-style:italic;">Note</font>&#8221; and together, the &#8220;<font style="font-weight:bold;font-style:italic;">Notes</font>&#8221;) for an aggregate principal amount of up to Fifteen Million Dollars ($15,000,000).</p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:7.69%;font-weight:bold;font-size:12pt;font-family:Times New Roman;font-style:normal;text-transform:none;font-variant: normal;">WHEREAS, <font style="font-weight:normal;">simultaneously with the execution of this Agreement, the Company and the Investor are entering into an Option, Collaboration and License Agreement (the &#8220;</font><font style="font-style:italic;">License Agreement</font><font style="font-weight:normal;">&#8221;).</font></p>
<p style="text-align:center;margin-bottom:12pt;margin-top:0pt;text-indent:0%;font-weight:bold;font-size:12pt;font-family:Times New Roman;font-style:normal;text-transform:none;font-variant: normal;">AGREEMENT</p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:7.69%;font-variant: small-caps;font-size:12pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;">NOW, THEREFORE<font style="font-variant: normal;">, in consideration of the mutual covenants and agreements set forth herein and for good and valuable consideration, the receipt and adequacy of which are hereby acknowledged, the parties hereby agree as follows:</font></p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:7.69%;font-size:12pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;">1. <font style="font-weight:bold;">Purchase and Sale of Notes</font>.</p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:15.38%;font-size:12pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;"><a name="_cp_text_1_30"></a>1.1 <font style="font-style:italic;">Purchase and Sale</font><a name="_cp_text_1_30"></a>.&nbsp;&nbsp;Subject to the terms and conditions of this Agreement, the Company shall sell to the Investor, and the Investor shall purchase from the Company, a Note in the principal amount of up to Fifteen Million Dollars ($15,000,000), which sale and issuance shall take place in a First Closing or in two Closings. The purchase price for each Note at each of the Closings, as applicable, shall be an amount equal to 100% of the principal amount thereof.</p>
<p style="text-align:justify;margin-bottom:12pt;margin-top:0pt;text-indent:23.08%;font-size:12pt;font-family:Times New Roman;font-weight:normal;font-style:normal;text-transform:none;font-variant: normal;"><a name="_AEIOULastRenderedPageBreakAEIOU2"></a>1.1.1 <font style="font-style:italic;">First Closing</font>.&nbsp;&nbsp;At the First Closing (as defined below), the Company shall sell to the Investor, and the Investor shall purchase from the Company, a Note in the principal amount set forth in the First Closing Notice (as defined below).&nbsp;&nbsp;The First Closing shall take place at the offices of Latham &amp; Watkins LLP, 12670 High Bluff Drive, San Diego, CA 92130, at such date and time as the Company may designate<font style="color:#auto;"> </font>after the conditions to closing set forth in Section 4 are satisfied or waived (other than those conditions that by their nature are to be satisfied or waived at the Closing) or at such other place, tim