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Document Preview Registration Rights Agreement |
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Title: |
Registration Rights Agreement |
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Entities: |
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Date: |
2000 |
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Preview shows 7KB of 64KB total |
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Price: |
$41 |
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ID: |
#968108 |
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<SEQUENCE>3
<FILENAME>0003.txt
<DESCRIPTION>REGISTRATION RIGHTS AGREEMENT
<TEXT>
REGISTRATION RIGHTS AGREEMENT
This REGISTRATION RIGHTS AGREEMENT (this "Agreement"), dated as of June 9,
2000, is made and entered into by and between FiberCore, Inc., a Nevada
corporation (the "Company"), and Crescent International Ltd., an entity
organized and exiting under the laws of Bermuda (the "Investor").
WHEREAS, the Company and the Investor have entered into that certain
Securities Purchase Agreement, dated as of the date hereof (the "Securities
Purchase Agreement"), pursuant to which the Company will issue, from time to
time, to the Investor up to $30,000,000 worth of securities which will include
shares of common stock, par value $0.001 per share, of the Company (the "Common
Stock"), and convertible notes in the aggregate amount of up to $7,500,000 (the
"Convertible Notes");
WHEREAS, pursuant to the terms of, and in partial consideration for, the
Investor entering into the Securities Purchase Agreement, the Company has issued
to the Investor an incentive warrant dated as of the date hereof, exercisable
from time to time within five (5) years following the date of issuance (the
"Incentive Warrant") for the purchase of an aggregate of up to 500,000 shares of
Common Stock at a price specified in such Incentive Warrant;
WHEREAS, pursuant to the terms of, and in partial consideration for, the
Investor entering into the Securities Purchase Agreement, the Company has issued
to the Investor an early put warrant, which may become exercisable from time to
time as described in the Securities Purchase Agreement (the "Early Put Warrant"
and together with the Incentive Warrant, the "Warrants") for the purchase of a
number of shares of Common Stock and at a price to be determined as described in
such Early Put Warrant;
WHEREAS, pursuant to the terms of, and in partial consideration for, the
Investor's agreement to enter into the Securities Purchase Agreement, the
Company has agreed to provide the Investor with certain registration rights as
described herein;
NOW, THEREFORE, in consideration of the premises, the representations,
warranties, covenants and agreements contained herein, in the Warrants, in the
Convertible Notes and in the Securities Purchase Agreement, and for other good
and valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, intending to be legally bound hereby, the parties hereto agree as
follows (capitalized terms used herein and not defined herein shall have the
respective meanings ascribed to them in the Securities Purchase Agreement):
<PAGE>
ARTICLE I
REGISTRATION RIGHTS
Section 1.1. REGISTRATION STATEMENTS.
a. Filing of Registration Statements. The Company shall register for
resale all Put Shares and Note Conversion Shares issued or issuable to the
Investor pursuant to the Securities Purchase Agreement and all Warrant Shares
issued or issuable upon full exercise of the Warrants. Subject to the terms and
conditions of this Agreement, the Company shall file with the SEC on or before
the end of a twenty (20) calendar day period immediately following the
Subscription Date, and subject to the provisions of Section 2.1(c) hereof, a
registration statement (the "Initial Registration Statement") on such form
promulgated by the SEC for which the Company qualifies, that counsel for the
Company shall deem appropriate and which form shall be available for the sale of
the Early Put Shares, the Warrant Shares and the Note Conversion Shares. The
aggregate number of shares to be registered under the Initial Registration
Statement shall be 12,000,000 shares. Prior to any subsequent Put, the Company
shall provide the Investor with written notice of the result (the "Result")
obtained from the following calculation: (W+X+Y)-Z, where W is the number of
shares to be issued pursuant to such subsequent Put, X is the number of Warrant
Shares which have not been previously registered, Y is the number of shares
which could, at the Conversion Price (as such term is defined in the applicable
Convertible Note) on the date such calculation is made, be issued pursuant to
conversion of the unconverted principal balance of the Convertible Notes, and Z
is the number of shares previously registered under the Initial Registration
Statement but not yet issued. If the Result is a number greater than zero, the
Company shall file with the SEC a registration statement covering a number of
shares equal to or greater than the Result (the "Subsequent Registration
Statement" and together with the Initial Registration Statement, the
"Registration Statements") on such form promulgated by the SEC for which the
Company qualifies, that counsel for the Company shall deem appropriate and which
form shall be available for the sale of the shares of Common Stock to be
purchased by the Investor and any Warrant Shares which have not previously been
registered.
b. Effectiveness of the Registration Statements. The Company shall,
subject to the provisions of Section 2.1(c) hereof, use its best efforts to have
the Initial Registration Statement declared effective by the SEC in no event
later than ninety (90) calendar days after the Subscription Date and to have the
Subsequent Registration Statement declared effective by the SEC prior to any
subsequent Put. The Company shall ensure that all Registration Statements remain
in effect for a period ending 180 days following the earlier of termination of
the Commitment Period and termination of the Investor's obligations pursuant to
Section 2.5 of the Securities Purchase Agreement; provided that such period
shall be extended one day for each day after the applicable Effective Date that
any Registration Statement covering Registrable Securities is not effective
during the period such Registration Statement is required to be effective
pursuant to this Agreement; and provided further that the Company shall not be
required to ensure that any Registration Statement covering Registrable
Securities remain in effect for such 180 day period if the shares registered
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