Common use of Exercise Upon Acquisition Clause in Contracts

Exercise Upon Acquisition. Upon the closing of any Acquisition in which the consideration to be received by the Company’s stockholders consists of cash, marketable securities, or a combination of both cash and marketable securities, this warrant shall be deemed to have been automatically converted pursuant to Section 1.2, and thereafter Holder shall participate in the Acquisition on the same terms as other holders of the same class of securities of the Company; provided that if the Fair Market Value of the Shares immediately prior to such Acquisition is less than the Warrant Price, then this warrant will expire immediately prior to such Acquisition.