Common use of Conversion Upon Qualified Equity Financing Clause in Contracts

Conversion Upon Qualified Equity Financing. Upon consummation of a Qualified Equity Financing during the term this Note remains outstanding, the outstanding principal amount of and all accrued but unpaid interest under this Note shall automatically convert into shares of Preferred Stock (“Preferred Securities”) at a price per share equal to seventy-five percent (75%) of the price per share paid by the investors (other than the Holders) participating in the Qualified Equity Financing and otherwise on the same terms as the Qualified Equity Financing.