SEC Filing Document

Company: BIOVENTRIX, INC.
Ticker: 
CIK: 1283259
Filing Type: S-1
Document Type: EX-3.7
Date Filed: 2026-02-12
Accession Number: 0001493152-26-006407
Exchange: 
SIC Code: 3841
SIC Description: Surgical & Medical Instruments & Apparatus
URL: https://www.sec.gov/Archives/edgar/data/1283259/000149315226006407/ex3-7.htm

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Preferred Stock. 2.2 Payments to Holders of Common Stock. In the event of any voluntary or involuntary liquidation, dissolution or winding up of the Corporation or Deemed Liquidation Event, after the payment of all preferential amounts required to be paid to the holders of shares of Series A-1 Preferred Stock and the holders of shares of Series A Preferred Stock, the remaining assets of the Corporation available for distribution to its stockholders shall be distributed among the holders of shares of Common Stock, pro rata based on the number of shares held by each such holder. 2.3 Deemed Liquidation Events. 2.3.1 Definition. Each of the following events shall be considered a “Deemed Liquidation Event”: merger or consolidation in which (i) the Corporation is a constituent party or subsidiary of the Corporation is a constituent party and the Corporation issues shares of its capital stock pursuant to such merger or consolidation,

except
any such merger or consolidation involving the Corporation or a subsidiary in which the shares of capital stock of the Corporation outstanding
immediately prior to such merger or consolidation continue to represent, or are converted into or exchanged for shares of capital stock
that represent, immediately following such merger or consolidation, at least a majority, by voting power, of the capital stock of (1)
the surviving or resulting corporation; or (2) if the surviving or resulting corporation is a wholly owned subsidiary of another corporation
immediately following such merger or consolidation, the parent corporation of such surviving or resulting corporation; or

the sale, lease, transfer, exclusive license or other disposition, in a single transaction or series of related transactions, by the
Corporation or any subsidiary of the Corporation of all or substantially all the assets of the Corporation and its subsidiaries taken
as a whole, or the sale or disposition (whether by merger, consolidation or otherwise) of one or more subsidiaries of the Corporation
if substantially all of the assets of the Corporation and its subsidiaries taken as a whole are held by such subsidiary or subsidiaries,
except where such sale, lease, transfer, exclusive license or other disposition is to a wholly owned subsidiary of the Corporation.

2.3.2 Effecting
a Deemed Liquidation Event.

(a) The
Corporation shall not have the power to effect a Deemed Liquidation Event referred to in Subsection 2.3.1(a)(i) unless the agreement
or plan of merger or consolidation for such transaction (the “Merger Agreement”) provides that the consideration payable
to the stockholders of the Corporation shall be allocated among the holders of capital stock of the Corporation in accordance with Subsections
2.1 and 2.2.

the event of a Deemed Liquidation Event referred to in Subsection 2.3.1(a)(ii) or 2.3.1(b), if the Corporation does not
effect a dissolution of the Corporation under the DGCL within ninety (90) days after such Deemed Liquidation Event, then (i) the Corporation
shall send a written notice to each holder of Series A-1 Preferred Stock no later than the ninetieth (90th) day after the
Deemed Liquidation Event advising such holders of their right (and the requirements to be met to secure such right) pursuant to the terms
of the following clause; (ii) to require the redemption of such shares of Series A-1 Preferred Stock, and (iii) if the holders of at
least a majority of the then outstanding shares of Series A-1 Preferred Stock so request in a written instrument delivered to the Corporation
not later than one hundred twenty (120) days after such Deemed Liquidation Event, the Corporation shall use the consideration received
by the Corporation for such Deemed Liquidation Event (net of any retained liabilities associated with the assets sold or technology licensed,
as determined in good faith by the Board of Directors of the Corporation), together with any other assets of the Corporation available
for distribution to its stockholders, all to the extent permitted by Delaware law governing distributions to stockholders (the “Available
Proceeds”), on the one hundred fiftieth (150th) day after such Deemed Liquidation Event, to redeem all outstanding
shares of Series A-1 Preferred Stock (on a pari passu basis with the Series A Preferred Stock) at a price per share equal to the Series
A-1 Liquidation Amount. Notwithstanding the foregoing, in the event of a redemption pursuant to the preceding sentence, if the Available
Proceeds are not sufficient to redeem all outstanding shares of Series A-1 Preferred Stock, the Corporation shall ratably redeem each
holder’s shares of Series A-1 Preferred Stock to the fullest extent of such Available Proceeds, and shall redeem the remaining
shares as soon as it may lawfully do so under Delaware law governing distributions to stockholders. Prior to the distribution or redemption
provided for in this Subsection 2.3.2(b), the Corporation shall not expend or dissipate the consideration received for such Deemed
Liquidation Event, except to discharge expenses incurred in connection with such Deemed Liquidation Event or in the ordinary course of
business.

2.3.3 Amount
Deemed Paid or Distributed. The amount deemed paid or distributed to the holders of capital stock of the Corporation upon any such
merger, consolidation, sale, transfer, exclusive license, other disposition or redemption shall be the cash or the value of the property,
rights or securities paid or distributed to such holders by the Corporation or the acquiring person, firm or other entity. The value
of such property, rights or securities shall be determined in good faith by the Board of Directors of the Corporation.

2.3.4 Allocation
of Escrow and Contingent Consideration. In the event of a Deemed Liquidation Event pursuant to Subsection 2.3.1(a)(i), if
any portion of the consideration payable to the stockholders of the Corporation is payable only upon satisfaction of contingencies (the
“Additional Consideration”), the Merger Agreement shall provide that (a) the portion of such consideration that is
not Additional Consideration (such portion, the “Initial Consideration”) shall be allocated among the holders of capital
stock of the Corporation in accordance with Subsections 2.1 and 2.2 as if the Initial Consideration were the only consideration
payable in connection with such Deemed Liquidation Event; and (b) any Additional Consideration which becomes payable to the stockholders
of the Corporation upon satisfaction of such contingencies shall be allocated among the holders of capital stock of the Corporation in
accordance with Subsections 2.1 and 2.2 after taking into account the previous payment of the Initial Consideration as
part of the same transaction. For the purposes of this Subsection 2.3.4, consideration placed into escrow or retained as holdback
to be available for satisfaction of indemnification or similar obligations in connection with such Deemed Liquidation Event shall be
deemed to be Initial Consideration.

3. Voting.

3.1 General.
On any matter presented to the stockholders of the Corporation for their action or consideration at any meeting of stockholders of the
Corporation (or by written consent of stockholders in lieu of meeting), each holder of outstanding shares of Series A-1 Preferred Stock
shall be entitled to cast the number of votes equal to the number of whole shares of Common Stock into which the shares of Series A-1
Preferred Stock held by such holder are convertible as of the record date for determining stockholders entitled to vote on such matter.
Except as provided by applicable law, holders of Series A-1 Preferred Stock shall vote together with the holders of Series A Preferred
Stock and the holders of Common Stock as a single class.

3.2 Election
of Directors. The holders of record of the shares of Series A-1 Preferred Stock, the holders of record of Series A Preferred Stock
and the holders of record of shares of Common Stock (voting together as a single class) shall be entitled to elect the directors of the
Corporation.

4. Optional
Conversion.

The
holders of the Series A-1 Preferred Stock shall have conversion rights as follows (the “Conversion Rights”):

4.1 Right
to Convert.

4.1.1 Conversion
Ratio. Each share of Series A-1 Preferred Stock shall be convertible, at the option of the holder thereof, at any time and from time
to time, and without the payment of additional consideration by the holder thereof, into such number of fully paid and non-assessable
shares of Common Stock as is determined by dividing the Series A-1 Original Issue Price by the Series A-1 Conversion Price (as defined
below) in effect at the time of conversion. The “Series A-1 Conversion Price” shall initially be equal to $7.50. Such
initial Series A-1 Conversion Price, and the rate at which shares of Series A-1 Preferred Stock may be converted into shares of Common
Stock, shall be subject to adjustment as provided below.

4.1.2 Termination
of Conversion Rights. In the event of a liquidation, dissolution or winding up of the Corporation or a Deemed Liquidation Event,
the Conversion Rights shall terminate at the close of business on the last full day preceding the date fixed for the payment of any such
amounts distributable on such event to the holders of Series A-1 Preferred Stock.