Common use of Cashless Net Exercise Clause in Contracts

Cashless Net Exercise. In lieu of exercising the Warrant or any portion thereof for cash, the Holder shall have the right to convert the Warrant, or any portion thereof, into Warrant Shares by executing and delivering to the Company, at its principal executive office, a duly executed Subscription Form, specifying the number of Warrant Shares as to which the Warrant is being exercised, and accompanied by the surrender of the Warrant. The number of Warrant Shares to be issued shall be computed using the following formula: X = [y•(A-B)]/A X = the number of Warrant Shares to be issued to such Holder Y = the total number of Warrant Shares then issuable upon exercise of the Warrant in full A = the Fair Value (as defined below) of one Warrant Share B = the Exercise Price (as adjusted) on the date of conversion