Form of Warrant between the Company and CIB
THIS WARRANT AND THE SECURITIES ISSUABLE UPON THE EXERCISE HEREOF HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED. THEY MAY NOT BE SOLD, OFFERED FOR SALE, PLEDGED, HYPOTHECATED, OR OTHERWISE TRANSFERRED EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933, AS AMENDED OR AN OPINION OF COUNSEL SATISFACTORY TO THE COMPANY THAT REGISTRATION IS NOT REQUIRED.
PURSUANT TO THE TERMS OF THIS WARRANT, ALL OR A PORTION OF THIS WARRANT MAY HAVE BEEN EXERCISED, AND THEREFORE THE ACTUAL NUMBER OF SECURITIES REPRESENTED BY THIS WARRANT MAY BE LESS THAN THE AMOUNT SET FORTH ON THE FACE HEREOF.
THIS WARRANT IS VOID AFTER 11:59 PM, PACIFIC TIME, ON [November 24] , 2020.
US-CHINA BIOMEDICAL TECHNOLOGY, INC.
Warrant To Purchase Common Stock
Warrant No.: [2019- 01 ]
认股权证号 No.: [2019- 01]
Number of Shares of Common Stock: [10,725,000]
Date of Issuance: [ May 24], 2019 (“Issuance Date”)
US-China Biomedical Technology, Inc., a Nevada corporation (the “Company”), certifies that, for good and valuable consideration, the receipt and sufficiency of which are acknowledged, [China-Israel Biological Technology Co., Ltd ] , the registered holder hereof or its permitted assigns (the “Holder”), is entitled, subject to the terms set forth below, to purchase from the Company shares of common stocks as set forth herein. This Warrant was issued as part of a unit, each unit consisting of one (1) share of Common Stock and two and one half (2.5) Warrants. The purchase price of one share of Common Stock under this Warrant shall be equal to $0.05.
1. Purchase of Shares. Subject to the terms and conditions hereinafter set forth, the holder of this Warrant is entitled, upon surrender of this Warrant at the principal office of the Company (or at such other place as the Company shall notify the holder hereof in writing), to purchase from the Company up to 10,725,000 fully paid and nonassessable shares of the Company’s Common Stock (each a “Share” and collectively the “Shares”) at an exercise price of $ 0.05 per Share (such price, as adjusted from time to time, is herein referred to as the “Exercise Price”).
2. Exercise Period. This Warrant shall be exercisable, in whole or in part, during the term commencing on the Issuance Date of this Warrant and ending at 11:59p.m. California time on [November 24th] , 2020 (the “Exercise Period”).
3. Method of Exercise. While this Warrant remains outstanding and exercisable in accordance with Section 2 above, the holder may exercise from time to time, in whole or in part, the purchase rights evidenced hereby. Such exercise shall be effected by:
|(i)||the surrender of the Warrant, together with a notice of exercise to the Secretary of the Company at its principal offices; and|
|(ii)||the payment to the Company of an amount equal to the aggregate Exercise Price for the number of Shares being purchased.|
4. Certificates for Shares; Amendments of Warrants. Upon the exercise of the purchase rights evidenced by this Warrant, one or more certificates for the number of Shares so purchased shall be issued as soon as practicable thereafter, and in any event within thirty (30) days of the delivery of the subscription notice. Upon partial exercise, the Company shall promptly issue an amended Warrant representing the remaining number of Shares purchasable thereunder. All other terms and conditions of such amended Warrant shall be identical to those contained herein.
5. Issuance of Shares. The Company covenants that (i) the Shares, when issued pursuant to the exercise of this Warrant, will be duly and validly issued, fully paid and nonassessable and free from all taxes, liens, and charges with respect to the issuance thereof, (ii) during the Exercise Period the Company will reserve from its authorized and unissued Common Stock sufficient Shares in order to perform its obligations under this warrant.
6. Adjustment of Exercise Price and Number of Shares. The number of and kind of securities purchasable upon exercise of this Warrant and the Exercise Price shall be subject to adjustment from time to time as follows:
6. 行权价格、股份数量调整 。本认股权证所载可购买的股份，在行权时，其数量、种类和行权价格应不时按如下进行调整：
(a) Subdivisions, Combinations and Other Issuances. If the Company shall at any time before the expiration of this Warrant subdivide the Shares, by split-up or otherwise, or combine its Shares, or issue additional shares of its Shares as a dividend, the number of Shares issuable on the exercise of this Warrant shall forthwith be proportionately increased in the case of a subdivision or stock dividend, or proportionately decreased in the case of a combination. Appropriate adjustments shall also be made to the purchase price payable per share, but the aggregate purchase price payable for the total number of Shares purchasable under this Warrant (as adjusted) shall remain the same. Any adjustment under this Section 6(a) shall become effective at the close of business on the date the subdivision or combination becomes effective, or as of the record date of such dividend, or in the event that no record date is fixed, upon the making of such dividend.
(b) Reclassification, Reorganization and Consolidation. In case of any reclassification, capital reorganization, or change in the capital stock (including because of a change of control) of the Company (other than as a result of a subdivision, combination, or stock dividend provided for in Section 6(a) above), then the Company shall make appropriate provision so that the holder of this Warrant shall have the right at any time before the expiration of this Warrant to purchase, at a total price equal to that payable upon the exercise of this Warrant, the kind and amount of shares of stock and other securities and property receivable in connection with such reclassification, reorganization, or change by a holder of the same number of Shares as were purchasable by the holder of this Warrant immediately before such reclassification, reorganization, or change. In any such case appropriate provisions shall be made with respect to the rights and interest of the holder of this Warrant so that the provisions hereof shall thereafter be applicable with respect to any shares of stock or other securities and property deliverable upon exercise hereof, and appropriate adjustments shall be made to the purchase price per share payable hereunder, provided the aggregate purchase price shall remain the same.
(c) Notice of Adjustment. When any adjustment is required to be made in the number or kind of shares purchasable upon exercise of the Warrant, or in the Exercise Price, the Company shall promptly notify the holder of such event and of the number of Shares or other securities or property thereafter purchasable upon exercise of this Warrant.
7. No Fractional Shares or Scrip. No fractional shares or scrip representing fractional shares shall be issued upon the exercise of this Warrant, but in lieu of such fractional shares the Company shall make a cash payment therefor on the basis of the Exercise Price then in effect.
8. Representations of the Company. The Company represents that all corporate actions on the part of the Company, its officers, directors and stockholders necessary for the sale and issuance of this Warrant have been taken.
9. Representations and Warranties by the Holder. The Holder represents and warrants to the Company as follows:
(a) This Warrant and the Shares issuable upon exercise thereof are being acquired for its own account, for investment and not with a view to, or for resale in connection with, any distribution or public offering thereof within the meaning of the Securities Act of 1933, as amended (the “Act”). Upon exercise of this Warrant, the Holder shall, if so requested by the Company, confirm in writing, in a form satisfactory to the Company, that the securities issuable upon exercise of this Warrant are being acquired for investment and not with a view toward distribution or resale.
(b) The Holder understands that the Warrant and the Shares have not been registered under the Act by reason of their issuance in a transaction exempt from the registration and prospectus delivery requirements of the Act pursuant to Section 4(2) thereof, and that they must be held by the Holder indefinitely, and that the Holder must therefore bear the economic risk of such investment indefinitely, unless a subsequent disposition thereof is registered under the Act or is exempted from such registration. The Holder further understands that the Warrant Shares have not been qualified under any state Blue Sky laws.
(c) The Holder has such knowledge and experience in financial and business matters that it is capable of evaluating the merits and risks of the purchase of this Warrant and the Shares purchasable pursuant to the terms of this Warrant and of protecting its interests in connection therewith.
(d) The Holder is able to bear the economic risk of the purchase of the Shares pursuant to the terms of this Warrant.
(e) The Holder is an “accredited investor” as such term is defined in Rule 501 of Regulation D promulgated under the Act.
10. Restrictive Legend.
The Shares (unless registered under the Act) shall be stamped or imprinted with a legend in substantially the following form:
(i) THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”). SUCH SECURITIES MAY NOT BE TRANSFERRED UNLESS A REGISTRATION STATEMENT UNDER THE ACT IS IN EFFECT AS TO SUCH TRANSFER OR SUCH TRANSFER MAY BE MADE PURSUANT TO RULE 144 OR IN THE OPINION OF COUNSEL FOR THE COMPANY, REGISTRATION UNDER THE ACT IS UNNECESSARY IN ORDER FOR SUCH TRANSFER TO COMPLY WITH THE ACT.
11. Warrants Transferable. Subject to compliance with the terms and conditions of this Section 11, this Warrant and all rights hereunder are transferable, without charge to the holder hereof (except for transfer taxes), upon surrender of this Warrant properly endorsed or accompanied by written instructions of transfer. With respect to any offer, sale or other disposition of this Warrant or any Shares acquired pursuant to the exercise of this Warrant before registration of such Warrant or Shares, the holder hereof agrees to give written notice to the Company prior thereto, describing briefly the manner thereof, together with a written opinion of such holder’s counsel, or other evidence, if requested by the Company, to the effect that such offer, sale or other disposition may be effected without registration or qualification (under the Act as then in effect or any federal or state securities law then in effect) of this Warrant or the Shares and indicating whether or not under the Act certificates for this Warrant or the Shares to be sold or otherwise disposed of require any restrictive legend as to applicable restrictions on transferability in order to ensure compliance with such law. Upon receiving such written notice and reasonably satisfactory opinion or other evidence, if so requested, the Company, as promptly as practicable, shall notify such holder that such holder may sell or otherwise dispose of this Warrant or such Shares, all in accordance with the terms of the notice delivered to the Company. If a determination has been made pursuant to this Section 11 that the opinion of counsel for the holder or other evidence is not reasonably satisfactory to the Company, the Company shall so notify the holder promptly with details thereof after such determination has been made. Each certificate representing this Warrant or the Shares transferred in accordance with this Section 11 shall bear a legend as to the applicable restrictions on transferability in order to ensure compliance with such laws, unless in the aforesaid opinion of counsel for the holder, such legend is not required. In order to ensure compliance with such laws, the Company may issue stop transfer instructions to its transfer agent in connection with such restrictions.
11. 认股权证可转让。在遵守本协议第11条的条款和条件的前提下，本认股权证及本协议项下的所有权利均可转让，无需收取认股权证持有人费用（转让税除外），只需对本认股权证适当背书或附有书面转让说明后交付即可。对于在登记该认股权证或股份之前由于行使本认股权证而获得的任何股份的任何要约、出售或其他处置，本协议持有人同意在此之前向公司发出书面通知，并简要描述所采取方式，并且如果本公司提出要求的话，可以提供该持有人法律顾问的书面意见或其他证据，以证明此类要约、出售或其他处置可以在没有对本认股权证或股份进行登记或认证（根据现行有效的法案或任何现行有效的联邦或州证券法）的情况下生效，并指明根据法案，待出售或以其他方式处置的认股权证或股份的证书是否需要对可转让性的适用限制进行任何限制性的说明，以确保遵守此类法律。在收到所要求的此类书面通知和合理且令人满意的意见或其他证据后，公司应在切实可行的范围内尽快通知该持有人可根据公司发布的通知条款出售或以其他方式处置本认股权证或此类股份。如果本公司已根据第11条作出决定，认为持有人法律顾问的意见或其他证据对公司而言并不合理且不令人满意的话，则公司应在作出此类决定后及时通知持有 人并提供详细信息。根据第11条转让的本认股权证或股份的每份证书上应包含关于可转让性的适用限制的说明，以确保遵守此类法律，除非在上述持有人法律顾问的意见中，对此类说明没有要求。为确保遵守此类法律，公司可以就此类限制向其转让代理人发出停止转让的指示。
12. Rights of Stockholders. No holder of this Warrant shall be entitled, as a Warrant holder, to vote or receive dividends or be deemed the holder of the Shares or any other securities of the Company which may at any time be issuable on the exercise hereof for any purpose, nor shall anything contained herein be construed to confer upon the holder of this Warrant, as such, any of the rights of a stockholder of the Company or any right to vote for the election of directors or upon any matter submitted to stockholders at any meeting thereof, or to give or withhold consent to any corporate action (whether upon any recapitalization, issuance of stock, reclassification of stock, change of par value, consolidation, merger, conveyance, or otherwise) or to receive notice of meetings, or to receive dividends or subscription rights or otherwise until the Warrant shall have been exercised and the Shares purchasable upon the exercise hereof shall have become deliverable, as provided herein.
13. Notices. All notices and other communications required or permitted hereunder shall be in writing, shall be effective when given, and shall in any event be deemed to be given upon receipt or, if earlier, (a) five (5) days after deposit with the U.S. Postal Service or other applicable postal service, if delivered by first class mail, postage prepaid, (b) upon delivery, if delivered by hand, (c) one business day after the business day of deposit with Federal Express or similar overnight courier, freight prepaid or (d) one business day after the business day of facsimile transmission, if delivered by facsimile transmission with copy by first class mail, postage prepaid, and shall be addressed (i) if to the Holder, at the Holder’s address as set forth on the signature line hereto, and (ii) if to the Company, at the address of its principal corporate offices (attention: President), with a copy to Horwitz + Armstrong, A Professional Law Corporation 14 Orchard, Suite 200 Lake Forest, CA 92630 (which copy shall not be deemed to constitute notice to the Company) or at such other address as a party may designate by ten days advance written notice to the other party pursuant to the provisions above.
13. 通知。本协议项下要求或许可的所有通知和其他通信都应为书面形式，在发出时生效，并且在任何情况下都应被视为在收到时已发出，或者认为在以下的较早时间收到：(a)在美国邮政总局或其他适用的邮政局存放五 (5) 天（如果通过第一类邮件交付，且邮资预付）； (b) 邮件交付时（如果专人交付）；(c) 在联邦快递公司或类似隔夜快递公司存放之营业日后一个营业日（条件是运费预付）或 (d) 传真发送之营业日后一个营业日（如果通过传真发送），副本以第一类邮件邮寄，邮资预付，并且邮寄至 (i)持有人，其地址为在此签名行指明的持有人地址，以及 (ii) 发送给公司，地址为公司总部（收件人：总裁），并且将副本发送给专业的法律公司：Horwitz + Armstrong，地址：14 Orchard, Suite 200 Lake Forest, CA 92630。（该副本不应被视为构成对公司的通知）或邮寄至一方根据上述规定提前十天书面通知另一方其指定的其他地址。
14. Governing Law. This Warrant and all actions arising out of or in connection with this Agreement shall be governed by and construed in accordance with the laws of Nevada, without regard to the conflicts of law provisions of Nevada or of any other state.
15. Rights and Obligations Survive Exercise of Warrant. Unless otherwise provided herein, the rights and obligations of the Company, of the holder of this Warrant and of the holder of the Shares issued upon exercise of this Warrant, shall survive the exercise of this Warrant.
[Signature Page Follows]
IN WITNESS WHEREOF, the Company has caused this Warrant to Purchase Common Stock to be duly executed as of the Issuance Date set out above.
|US- CHINA BIOMEDICAL, INC.|
|By:||/s/ Qingxi Huang|
|Qingxi Huang, Chief Executive Officer|
US-CHINA BIOMEDICAL TECHNOLOGY INC.
2 Park Plaza Suite 400
Irvine CA 92614
1. The undersigned hereby elects to purchase shares of Common Stock of US-China Biomedical Technology, Inc. (the “Shares”) pursuant to the terms of the attached Warrant.
1. 以下签字人在此选择根据所附认股权证的条款购买美中生物医疗科技有限公司（以下简称“股份”）的 普通股。
2. The undersigned elects to exercise the attached Warrant by means of a cash payment, and tenders herewith payment in full for the purchase price of the shares being purchased, together with all applicable transfer taxes, if any.
3. Please issue a certificate or certificates representing said Shares in the name of the undersigned or in such other name as is specified below:
4. The undersigned hereby represents and warrants that the aforesaid Shares are being acquired for the account of the undersigned for investment and not with a view to, or for resale, in connection with the distribution thereof, and that the undersigned has no present intention of distributing or reselling such shares and all representations and warranties of the undersigned set forth in Section 9 of the attached Warrant (including Section 9(e) thereof) are true and correct as of the date hereof.
4. 签署人在此声明并保证，上述股份是为下面签署人获得的用于投资的利益，而不是为了分发相关的转售, 并且签名人目前无意分发或转售此类股份，并且所附认股权证第9条（包括其第9（e）条）中所述签署人的所有陈述和保证在本协议签署日起是真实无误的。
FORM OF TRANSFER
(To be signed only upon transfer of Warrant)
FOR VALUE RECEIVED, the undersigned hereby sells, assigns and transfers unto the right represented by the attached Warrant to purchase shares of Common Stock of US-China Biomedical Technology, Inc. to which the attached Warrant relates, and appoints Attorney to transfer such right on the books of US-China Biomedical Technology, Inc., with full power of substitution in the premises.
以下签署人特此向 公司出售、转让和转移随认股权证所代表的权利，以购买所附认股权证所涉及的 股美中生物医疗科技有限公司股票，并委托 律师在美中生物医疗科技有限公司的档案上转让该权利。
|(Signature must conform in all respects to name of Holder as specified on the face of the Warrant)（签名必须与认股权证规定的持有人姓名完全一致）|
|Signed in the presence of:|