Net Issuance. In lieu of payment of the Purchase Price described in Section 3.1 above, the Holder may elect to receive, without the payment by the Holder of any additional consideration, Shares equal to the value of this Warrant or any portion hereof, by the surrender of this Warrant or such portion to the Company, with the Exercise Notice duly executed and so signifying the net issuance election, to the secretary of the Company at its principal office. Thereupon, the Company shall issue to the Holder such number of fully paid and nonassessable Shares as is computed using the following formula: where: X = Y (A-B) A X = the number of Shares to be issued to the Holder. Y = the number of Shares covered by this Warrant in respect of which the net issuance election is made. A = the “fair market value” of one Share, as determined in accordance with the provisions of this Section 3 as of the date of calculation. B = the Exercise Price in effect under this Warrant at the time the net issuance election is made. For purposes of this Section 3, the “fair market value” per Share shall be determined as follows: (a) if traded on a securities exchange, the fair market value shall be deemed to be the average of the closing prices of the Shares on such exchange over the 30-day period ending three days prior to the closing of such transaction; (b) if actively traded over-the-counter, the fair market value shall be deemed to be the average of the closing bid prices of the Shares over the 30-day period ending three days prior to the closing of such transaction; or (c) if there is no active public market for the Shares, the fair market value shall be determined in good faith by the Board of Directors of the Company.
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Sources: Common Stock Warrant (Inari Medical, Inc.), Common Stock Warrant (Inari Medical, Inc.)
Net Issuance. In lieu of payment of the Purchase Price described in Section 3.1 above, the Holder may elect to receive, without the payment by the Holder of any additional consideration, Shares equal to the value of this Warrant or any portion hereof, by the surrender of this Warrant or such portion to the Company, with the Exercise Notice duly executed and so signifying the net issuance election, to the secretary of the Company at its principal office. Thereupon, the Company shall issue to the Holder such number of fully paid and nonassessable Shares as is computed using the following formula: where: X = Y (A-B) A X = the number of Shares to be issued to the Holder. Y = the number of Shares covered by this Warrant in respect of which the net issuance election is made. A = the “fair market value” of one Share, as determined in accordance with the provisions of this Section 3 as of the date of calculation. B = the Exercise Price in effect under this Warrant at the time the net issuance election is made. For purposes of this Section 3, the “fair market value” per Share shall be determined as follows:
(a) if traded on a securities exchange, the fair market value shall be deemed to be the average of the closing prices of the Shares on such exchange over the 30-day period ending three days prior to the closing of such transaction;
(b) if actively traded over-the-counter, the fair market value shall be deemed to be the average of the closing bid prices of the Shares over the 30-day period ending three days prior to the closing of such transaction; or
(c) if there is no active public market for the Shares, the fair market value shall be determined in good faith by the Board of Directors of the Company.
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