(a) A warrant as to 22,500 shares of common stock of the Company at an exercise price per share of $0.82; and
(b) A warrant as to 32,500 shares of common stock of the Company at an exercise price per share of $1.00.
Both Warrants expire on August 29, 2017 and provide Vencore the ability to perform a cashless exercise. Further, each of the Warrants contains the following provision: “For purposes of Rule 144 and sub-section (d)(3)(ii) thereof, it is intended, understood and acknowledged that the Common Stock issued upon Exercise of this Warrant in a Cashless Exercise transaction shall be deemed to have been acquired at the time this Warrant was issued.”
The consideration for the Warrants is the second payment moratorium, and various relief provisions therein provided by Vencore to the Company in connection with $307,661.83 related to lease agreements for capital equipment. The Warrants were issued in a private placement pursuant to exemption from the registration requirements of the Securities Act of 1933, as amended.