Common use of Conversion at Maturity Clause in Contracts

Conversion at Maturity. If this Bond is not earlier repaid in accordance with Section 2 or converted in accordance with Section 3.1.1 and the Company issues and sells shares of its Equity Securities (defined below) to venture capital, institutional or other investors on or before the Maturity Date in an equity financing resulting in gross proceeds to the Company of at least USD 10,000,000 (whether in a single or multiple closings, and excluding the conversion of this Bond) (a “Qualified Transaction”), then at any time on or after the Maturity Date, the Company shall have the option to (a) repay all outstanding principal and accrued unpaid interest of the Bond or (b) convert all or any portion of the outstanding principal and accrued unpaid interest into such number of Common Shares equal to the principal amount and all accrued unpaid interest thereon to be converted hereunder divided by the Conversion Price. “Equity Securities” means the Company’s capital stock or any securities conferring the right to purchase the Company’s capital stock or securities convertible into, or exchangeable for (with or without additional consideration), the Company’s capital stock.