EXHIBIT 4.13
WARRANT
THE SECURITIES EVIDENCED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE
U.S. SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT"), OR ANY OTHER
APPLICABLE SECURITIES LAWS AND HAVE BEEN ISSUED IN RELIANCE UPON AN EXEMPTION
FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND SUCH OTHER
SECURITIES LAWS. NEITHER THIS SECURITY NOR ANY INTEREST OR PARTICIPATION HEREIN
MAY BE REOFFERED, SOLD, ASSIGNED, TRANSFERRED, PLEDGED, ENCUMBERED, HYPOTHECATED
OR OTHERWISE DISPOSED OF, EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT
UNDER THE SECURITIES ACT OR PURSUANT TO A TRANSACTION WHICH IS EXEMPT FROM, OR
NOT SUBJECT TO, SUCH REGISTRATION.
September 18, 2000
Warrant to Purchase up to 557 Shares of Common Stock of FiberCore,
Inc. (hereinafter, the "Warrant").
FiberCore, Inc., an entity organized and existing under the laws of
the State of Nevada (the "Company"), hereby agrees that Guido Roennefahrt
("Warrant Holder") is entitled, on the terms and conditions set forth below, to
purchase from the Company at any time during the Exercise Period (hereinafter
defined) up to 557 fully paid and nonassessable shares of Common Stock, par
value $0.001 per share, of the Company (the "Common Stock"), as the same may be
adjusted from time to time pursuant to Section 5 hereof, at the Exercise Price
(hereinafter defined), as the same may be adjusted pursuant to Section 5 hereof.
Section 1. Definitions.
"Aggregate Exercise Price" shall mean, with respect to any exercise
(in whole or in part) of this Warrant the Exercise Price multiplied by the total
number of shares of Common Stock for which this Warrant is being exercised.
"Capital Shares" shall mean the Common Stock, and any shares of any
other class of common stock whether now or hereafter authorized, having the
right to participate in the distribution of dividends (as and when declared) and
assets (upon liquidation of the Company).
"Exercise Date" shall mean, with respect to any exercise (in whole
or in part) of this Warrant either (i) the date this Warrant, the Exercise
Notice and the Aggregate Exercise Price are received by the Company or (ii) the
date a copy of the Exercise Notice is sent by facsimile to the Company, provided
that this Warrant, the original Exercise Notice, and the Aggregate Exercise
Price are received by the Company within five Trading Days thereafter and
provided further that if this Warrant, the original Exercise Notice and the
Aggregate Exercise Price are not received within five Trading Days in accordance
with clause (ii) above, the Exercise Date for this clause (ii) shall be the date
this Warrant, the original Exercise Notice and the Aggregate Exercise Price are
received by the Company.
"Exercise Notice" shall mean, with respect to any exercise (in whole
or in part) of this Warrant the exercise form attached hereto as Exhibit A, duly
executed by the Warrant Holder.
"Exercise Period" shall mean the period beginning on the September
18, 2000 and continuing until September 17, 2005, inclusive.
"Exercise Price" as of the date hereof shall mean $7.179 per share
of Common Stock, subject to the adjustments provided for in Section 5 of this
Warrant.
"Outstanding" when used with reference to Common Stock or Capital
Shares (collectively, the "Shares"), shall mean, at any date as of which the
number of such Shares is to be determined, all issued and outstanding Shares,
and shall include all such Shares issuable in respect of outstanding scrip or
any certificates representing fractional interests in such Shares; provided,
however, that "Outstanding" shall not refer to any such Shares then directly or
indirectly owned or held by or for the account of the Company.
"Per Share Warrant Value" shall mean, with respect to any exercise
(in whole or in part) of this Warrant the difference resulting from subtracting
the Exercise Price from the Trade Price of one share of Common Stock on the
Trading Day immediately preceding the Exercise Date.
"Principal Market" shall mean the Nasdaq National Market, the
Nasdaq SmallCap Market, the American Stock Exchange, the Electronic Bulletin
Board or the New York Stock Exchange, whichever is at the time the principal
trading exchange or market for the Common Stock.
"Trading Day" shall mean any day during which the Principal Market
shall be open for business.
"Trade Price" shall mean the volume-weighted average price as
reported by Bloomberg L.P. using the Average Quote Recap function.
"Warrant Shares" means shares of Common Stock issuable upon exercise
of this Warrant.
Section 2. Exercise;
(a) Method of Exercise. This Warrant may be exercised in whole or in
part (but not as to a fractional share of Common Stock), at any time and from
time to time during the Exercise Period, by the Warrant Holder by (i) the
surrender of this Warrant, the Exercise Notice and the Aggregate Exercise Price
to the Company at the address set forth in Section 10 hereof or (ii) the
delivery by facsimile of an executed and completed Exercise Notice to the
Company and delivery to the Company within five Trading Days thereafter of this
Warrant, the original Exercise Notice and the Aggregate Exercise Price.
(b) Payment of Aggregate Exercise Price. Subject to paragraph (c)
below, payment of the Aggregate Exercise Price shall be made by check or bank
draft payable to the order of the Company or by wire transfer to an account
designated by the Company. If the amount of the payment received by the Company
is less than the Aggregate Exercise Price, the Warrant Holder will be notified
of the deficiency and shall make payment in that amount within five Trading Days
of such notice. In the event the payment exceeds the Aggregate Exercise Price,
the Company will refund the excess to the Warrant Holder within three Trading
Days of both the receipt of such payment and the knowledge of such excess.
(c) Replacement Warrant. In the event that the Warrant is not
exercised in full, the number of Warrant Shares shall be reduced by the number
of such Warrant Shares for which this Warrant is exercised, and the Company, at
its expense, shall forthwith issue and deliver to the Warrant Holder a new
Warrant of like tenor in the name of the Warrant Holder or as the Warrant Holder
may request, reflecting such adjusted number of Warrant Shares.
Section 3. Delivery of Stock Certificates.
(a) Subject to the terms and conditions of this Warrant, as soon as
practicable after the exercise of this Warrant in full or in part, and in any
event within five Trading Days thereafter, the Company at its expense
(including, without limitation, the payment by it of any applicable issue taxes)
will cause to be issued in the name of and delivered to the Warrant Holder, or
as the Warrant Holder may lawfully direct, a certificate or certificates for the
number of validly issued, fully paid and non-assessable Warrant Shares to which
the Warrant Holder shall be entitled on such exercise, together with any other
stock or other securities or property (including cash, where applicable) to
which the Warrant Holder is entitled upon such exercise in accordance with the
provisions hereof; provided, however, that any such delivery to a location
outside of the United States shall also be made within five Trading Days after
the exercise of this Warrant in full or in part.
(b) This Warrant may not be exercised as to fractional shares of
Common Stock. In the event that the exercise of this Warrant, in full or in
part, would result in the right to acquire any fractional share of Common Stock,
then in such event such fractional share shall be considered a whole share of
Common Stock and shall be added to the number of Warrant Shares issuable to the
Warrant Holder upon exercise of this Warrant.
Section 4. Representations, Warranties and Covenants of the Company.
(a) The Company shall take all necessary action and proceedings as
may be required and permitted by applicable law, rule and regulation for the
legal and valid issuance of this Warrant and the Warrant Shares to the Warrant
Holder.
(b) At all times during the Exercise Period, the Company shall take
all steps reasonably necessary and within its control to insure that the Common
Stock remains listed or quoted on the Principal Exchange.
(c) The Warrant Shares, when issued in accordance with the terms
hereof, will be duly authorized and, when paid for or issued in accordance with
the terms hereof, shall be validly issued, fully paid and non-assessable.
(d) The Company has authorized and reserved for issuance to the
Warrant Holder the requisite number of shares of Common Stock to be issued
pursuant to this Warrant. The Company shall at all times reserve and keep
available, solely for issuance and delivery as Warrant Shares hereunder, such
shares of Common Stock as shall from time to time be issuable as Warrant Shares,
and shall accordingly adjust the number of such shares of Common Stock promptly
upon the occurrence of any of the events specified in Section 4 hereof.
Section 5. Adjustment of the Exercise Price. The Exercise Price and,
accordingly, the number of Warrant Shares issuable upon exercise of the Warrant,
shall be subject to adjustment from time to time upon the happening of certain
events as follows:
(a) Reclassification, Consolidation, Merger; Mandatory Share
Exchange; Sale Transfer or Lease of Assets. If the Company, at any time while
this Warrant is unexpired and not exercised in full, (i) reclassifies or changes
its Outstanding Capital Shares (other than a change in par value, or from par
value to no par value per share, or from no par value per share to par value or
as a result of a subdivision or combination of outstanding securities issuable
upon exercise of the Warrant) or (ii) consolidates, merges or effects a
mandatory share exchange with another corporation (other than a merger or
mandatory share exchange with another corporation in which the Company is a
continuing corporation and that does not result in any reclassification or
change, other than a change in par value, or from par value to no par value per
share, or from no par value per share to par value, or (iii) sells, transfers or
leases all or substantially all of its assets, then in any such event the
Company, or such successor or purchasing corporation, as the case may be, shall,
without payment by the Warrant Holder of any additional consideration therefor,
amend this Warrant or issue a new Warrant providing that the Warrant Holder
shall have rights not less favorable to the Warrant Holder than those then
applicable to this Warrant and to receive upon exercise under such amendment of
this Warrant or new Warrant, in lieu of each share of Common Stock theretofore
issuable upon exercise of the Warrant hereunder, the kind and amount of shares
of stock, other securities, money or property receivable upon such
reclassification, change, consolidation, merger, mandatory share exchange,
lease, sale or transfer by the holder of one share of Common Stock issuable upon
exercise of the Warrant had the Warrant been exercised immediately prior to such
reclassification, change, consolidation, merger, mandatory share exchange or
sale or transfer, and an appropriate provision for the foregoing shall be made
by the Company as part of any such event. Such amended Warrant or new Warrant
shall provide for adjustments that shall be as nearly equivalent as may be
practicable to the adjustments provided for in this Section 5. The provisions of
this Section 5(a) shall similarly apply to successive reclassifications,
changes, consolidations, mergers, mandatory share exchanges, sales, transfers
and leases.
(b) Subdivision or Combination of Shares; Stock Dividends. If the
Company, at any time while this Warrant is unexpired and not exercised in full,
shall (x) subdivide its Common Stock, (y) combine its Common Stock or (z) pay a
dividend or other distribution in its Capital Shares, then the Exercise Price
shall be adjusted, as of the date the Company shall take a record of the holders
of its Capital Shares for the purpose of effecting such subdivision, combination
or dividend or other distribution (or if no such record is taken, as of the
effective date of such subdivision, combination, dividend or other
distribution), to that price determined by multiplying the Exercise Price in
effect immediately prior to such subdivision, combination, dividend or other
distribution by a fraction:
(i) the numerator of which shall be the total number of Outstanding
Capital Shares immediately prior to such subdivision, combination,
dividend or other distribution, and
(ii) the denominator of which shall be the total number of
Outstanding Capital Shares immediately after such subdivision,
combination, dividend or other distribution. The provisions of this
Section 5(b) shall not apply under any of the circumstances for which a
adjustment is made pursuant to Section 5(a).
(c) Liquidating Dividends, Etc. If the Company, at any time while
this Warrant is unexpired and not exercised in full, makes a distribution of its
assets or evidences of indebtedness to the holders of its Capital Shares as a
dividend in liquidation or by way of return of capital or other than as a
dividend payable out of earnings or surplus legally available for dividends
under applicable law or any distribution to such holders made in respect of the
sale of all or substantially all of the Company's assets (other than under the
circumstances provided for in the foregoing subsections (a) and (b) while an
exercise is pending, then the Warrant Holder shall be entitled to receive upon
such exercise of the Warrant in addition to the Warrant Shares receivable in
connection therewith, and without payment of any consideration other than the
Exercise Price, an amount in cash equal to the value of such distribution per
Capital Share multiplied by the number of Warrant Shares that, on the record
date for such distribution, are issuable upon such exercise of the Warrant, and
an appropriate provision therefor shall be made by the Company as part of any
such distribution. No further adjustment shall be made following any event that
causes a subsequent adjustment in the number of Warrant Shares issuable. The
value of a distribution that is paid in other than cash shall be determined in
good faith by the Board of Directors of the Company.
(d) Adjustment of Number of Shares. Upon each adjustment of the
Exercise Price pursuant to any provisions of this Section 5, the number of
Warrant Shares issuable hereunder at the option of the Warrant Holder shall be
calculated, to the nearest one hundredth of a whole share, multiplying the
number of Warrant Shares issuable prior to an adjustment by a fraction:
(i) the numerator of which shall be the Exercise Price before any
adjustment pursuant to this Section 5; and
(ii) the denominator of which shall be the Exercise Price after such
adjustment.
(e) Notice of Certain Actions; Notice of Adjustments.
(i) In the event the Company shall, at a time while the Warrant is
unexpired and outstanding, take any action pursuant to subsections (a)
through (d) of this Section 5 that may result in an adjustment of the
Exercise Price, the Company shall notify the Warrant Holder of such action
10 days in advance of its effective date in order to afford to the Warrant
Holder an opportunity to exercise the Warrant prior to such action
becoming effective.
(ii) Notice of Adjustments. Whenever the Exercise Price or number of
Warrant Shares shall be adjusted pursuant to Section 5 hereof, the Company
shall promptly deliver by facsimile, with the original delivered by
express courier service in accordance with Section 10 hereof, a
certificate, which shall be signed by the Company's President or a Vice
President and by its Treasurer or Assistant Treasurer or its Secretary or
Assistant Secretary, setting forth in reasonable detail the event
requiring the adjustment, the amount of the adjustment, the method by
which such adjustment was calculated (including a description of the basis
on which the Company's Board of Directors made any determination
hereunder), and the Exercise Price and number of Warrant Shares
purchasable at that Exercise Price after giving effect to such adjustment.
Section 6. No Impairment. The Company will not, by amendment of its
Articles of Incorporation or By-Laws or through any reorganization, transfer of
assets, consolidation, merger, dissolution, issue or sale of securities or any
other voluntary action, avoid or seek to avoid the observance or performance of
any of the terms of this Warrant, but will at all times in good faith assist in
the carrying out of all such terms and in the taking of all such action as may
be necessary or appropriate in order to protect the rights of the Warrant Holder
hereunder. Without limiting the generality of the foregoing, the Company (a)
will not increase the par value of any Warrant Shares above the amount payable
therefor on such exercise, and (b) will take all such action as may be
reasonably necessary or appropriate in order that the Company may validly and
legally issue fully paid and nonassessable Warrant Shares on the exercise of
this Warrant.
Section 7. Rights As Stockholder. Prior to exercise of this Warrant
and except as provided in Section 5 hereof, the Warrant Holder shall not be
entitled to any rights as a stockholder of the Company with respect to the
Warrant Shares, including (without limitation) the right to vote such shares,
receive dividends or other distributions thereon or be notified of stockholder
meetings. However, in the event of any taking by the Company of a record of the
holders of any class of securities for the purpose of determining the holders
thereof who are entitled to receive any dividend (other than a cash dividend) or
other distribution, any right to subscribe for, purchase or otherwise acquire
any shares of stock of any class or any other securities or property, or to
receive any other right, the Company shall mail to each Warrant Holder, at least
ten days prior to the date specified therein, a notice specifying the date on
which any such record is to be taken for the purpose of such dividend,
distribution or right, and the amount and character of such dividend,
distribution or right.
Section 8. Replacement of Warrant. Upon receipt of evidence
reasonably satisfactory to the Company of the loss, theft, destruction or
mutilation of the Warrant and, in the case of any such loss, theft or
destruction of the Warrant, upon delivery of an indemnity agreement or security
reasonably satisfactory in form and amount to the Company or, in the case of any
such mutilation, on surrender and cancellation of such Warrant, the Company at
its expense will execute and deliver, in lieu thereof, a new Warrant of like
tenor.
Section 9. Restricted Securities.
(a) Registration or Exemption Required. This Warrant has been issued
in a transaction exempt from the registration requirements of the Securities Act
in reliance upon the provisions of Section 4(2) promulgated by the SEC under the
Securities Act. This Warrant and the Warrant Shares issuable upon exercise of
this Warrant may not be resold except pursuant to an effective registration
statement or an exemption to the registration requirements of the Securities Act
and applicable state laws.
(b) Legend. Any replacement Warrants issued pursuant to Section 2
hereof and any Warrant Shares issued upon exercise hereof, shall bear the legend
set forth at the head of this Warrant:
Such legend shall only be removed in the event that the security which would
otherwise bear such legend is registered pursuant to the Securities Act and the
party seeking to remove such legend provides the Company with an opinion of
counsel, which opinion shall be satisfactory to the Company, stating the removal
of such legend is appropriate.
(c) No Other Legend or Stock Transfer Restrictions. No legend other
than the one specified in Section 9(b) has been or shall be placed on the share
certificates representing the Warrant Shares and no instructions or "stop
transfer orders," so called, "stock transfer restrictions" or other restrictions
have been or shall be given to the Company's transfer agent with respect thereto
other than as expressly set forth in this Section 9.
(d) Assignment. The Warrant Holder may not sell, transfer, assign,
pledge or otherwise dispose of this Warrant, in whole or in part.
(e) Warrant Holder's Compliance. Nothing in this Section 9 shall
affect in any way The Warrant Holder's obligations under any agreement to comply
with all applicable securities laws upon resale of the Common Stock.
Section 10. Notices. All notices, demands, requests, consents,
approvals, and other communications required or permitted hereunder shall be in
writing and shall be deemed duly given (i) upon delivery if hand delivered at
the address designated below (if delivered on a business day during normal
business hours where such notice is to be received), or the first business day
following such delivery (if delivered other than on a business day during normal
business hours where such notice is to be received), (ii) on the fifth business
day after deposit into the mail, if deposited in the mail, registered or
certified, return receipt requested, postage prepaid, addressed to the address
designated below, (iii) upon delivery if delivered by reputable express courier
service to the address designated below, or (iv) upon confirmation of
transmission if transmitted by facsimile to the facsimile number designated
below (if delivered on a business day during normal business hours where such
notice is to be received), or the first business day following such delivery (if
delivered other than on a business day during normal business hours where such
notice is to be received). The addresses and facsimile numbers for such
communications shall be:
if to the Company:
FiberCore, Inc.
253 Worcester Rd.
P.O. Box 180
Charlton, MA 01507
Attention: Chief Financial Officer
Telephone: (508) 248-3900
Facsimile: (508) 248-5588
if to the Warrant Holder:
Guido Roennefahrt
Juliusstrasse 10
D 60487 Frankfurt, Germany
Attention: ______________
Telephone: ______________
Facsimile: ______________
Either party hereto may from time to time change its address or
facsimile number for notices under this Section 10 by giving at least 10 days'
prior written notice of such changed address or facsimile number to the other
party hereto.
Section 11. Miscellaneous. This Warrant and any term hereof may be
changed, waived, discharged or terminated only by an instrument in writing
signed by the party against which enforcement of such change, waiver, discharge
or termination is sought. The headings in this Warrant are for purposes of
reference only, and shall not limit or otherwise affect any of the terms hereof.
The invalidity or unenforceability of any provision hereof shall in no way
affect the validity or enforceability of any other provision.
IN WITNESS WHEREOF, this Warrant was duly executed by the
undersigned, thereunto duly authorized, as of the date first set forth above.
FiberCore, Inc.
By: ____________________________________
Name:
Title:
Attested:
By: ___________________________________
Name:
Title:
EXHIBIT A TO THE WARRANT
EXERCISE FORM
FIBERCORE, INC.
The undersigned (the "Registered Holder") hereby irrevocably
exercises the right to purchase __________________ shares of Common Stock of
FiberCore, Inc., an entity organized and existing under the laws of the State of
Nevada (the "Company"), evidenced by the attached Warrant, and herewith makes
payment of the Exercise Price with respect to such shares in full in the form of
(check the appropriate box) (i) by cash or certified check in the amount of
$________; or (ii) by wire transfer to the Company's account at _______________,
_________, _________ (Account No.: _________).
By delivering this notice, the undersigned agrees to be subject to
the terms and conditions of the attached Warrant.
The undersigned requests that stock certificates for such Warrant
Shares be issued, and any Warrant representing any unexercised portion hereof be
issued, pursuant to this Warrant in the name of the Registered Holder and
delivered to the undersigned at the address set forth below.
Dated:_________________________________
_______________________________________
Signature of Registered Holder
_______________________________________
Name of Registered Holder (Print)
_______________________________________
Address
NOTICE
The signature to the foregoing Exercise Form must correspond to the
name as written upon the face of the attached Warrant in every particular,
without alteration or enlargement or any change whatsoever.