Common use of Conversion of Warrants Clause in Contracts

Conversion of Warrants. At the Effective Time (except as set forth under Section 2.6.5), each of the then outstanding Warrants ("BIZ Warrants") to purchase BIZ Common Stock will, by virtue of the Merger and without any further action on the part of any holder, be converted into a Warrant (collectively, the "Assumed Warrants") to purchase that number of shares of Litronic Common Stock determined by multiplying the number of shares of BIZ Common Stock subject to the BIZ Warrants at the Effective Time by the Exchange Ratio, at an exercise price per share of Litronic Common Stock equal to the exercise price per share of the BIZ Warrant immediately prior to the Effective Time divided by the Exchange Ratio and rounded up to the nearest whole cent. If the foregoing calculation results in an Assumed Warrant being exercisable for a fraction of a share of Litronic Common Stock, then the number of shares of Litronic Common Stock subject to that warrant will be rounded to the nearest whole number of shares.