I mean you are both blatantly wrong.
Read the very end if you can handle the entire body of the plan.
The use of this plan was specifically to raise money for the company while providing employees with discount shares for their services.
Our 2013 Equity Plan is administered by our board of directors or a committee appointed by the Board, which determines the persons to whom awards will be granted, the type of award to be granted, the number of awards to be granted and the specific terms of each grant, including the vesting thereof, subject to the provisions of the 2013 Equity Incentive Plan.
The 2013 Equity Incentive Plan provides that the exercise price of each incentive stock option may not be less than the fair market value of our common stock on the date of grant (or 110% of the fair market value in the case of a grantee holding more than 10% of our outstanding stock). The exercise price of a non-qualified stock option shall be no less than the fair market value of the common stock on the date of grant.
The 2013 Equity Incentive Plan also permits the grant of freestanding stock appreciation rights or in tandem with option awards. The grant price of a stock appreciation right shall be no less than the fair market value of a share on the date of grant of the stock appreciation right. No stock appreciation right shall be exercisable later than the tenth anniversary of its grant. Upon the exercise of a stock appreciation right, a participant shall be entitled to receive common stock at a fair market value equal to the benefit to be received by the exercise.
The 2013 Equity Incentive Plan also provides us with the ability to grant or sell shares of common stock that are subject to certain transferability, forfeiture, repurchase or other restrictions, or without restrictions. The type of restriction, if any, the number of shares of stock granted and other such provisions shall be determined by our board of directors or its committee.
Unless otherwise determined by our board of directors or its committee, awards granted under the 2013 Equity Incentive Plan are not transferable other than by will or by the laws of descent and distribution.
The 2013 Equity Incentive Plan provides that, except as set forth in an individual award agreement, upon the occurrence of a corporate transaction: (i) our board of directors or its committee shall notify each participant at least 30 days prior to the consummation of the corporate transaction or as soon as may be practicable and (ii) all options and stock appreciation rights shall terminate and all restricted stock shall be forfeited immediately prior to the consummation of such corporate transaction unless the committee determines otherwise in its sole discretion. A “corporate transaction” means (i) a liquidation or dissolution of the Company; (ii) a merger or consolidation of the Company with or into another corporation or entity (other than a merger with a wholly-owned subsidiary); (iii) a sale of all or substantially all of the assets of the Company; or (iv) a purchase or other acquisition of more than 50% of the outstanding stock of the Company by one person or by more than one person acting in concert.
Our board of directors may amend, alter, suspend or discontinue the 2013 Equity Incentive Plan in any respect at any time, but no amendment, alteration, suspension or discontinuous may adversely affect any award previously granted under the 2013 Equity Incentive Plan, without the written consent of the participant holding such award.
***We have filed a registration statement on Form S-8 under the Securities Act registering all shares of common stock subject to outstanding stock options and common stock issued or issuable under our 2011 Equity Incentive Plan and our 2013 Equity Incentive Plan. Accordingly, the resale of such shares by non-affiliates are permitted in the public market without restriction under the Securities Act and the sale by affiliates in the public market are permitted subject to compliance with the resale provisions of Rule 144.***
Rule 144: Selling Restricted and Control Securities
Jan. 16, 2013
When you acquire restricted securities or hold control securities, you must find an exemption from the SEC's registration requirements to sell them in a public marketplace. Rule 144 allows public resale of restricted and control securities if a number of conditions are met.
We may choose to raise additional capital through the sale of equity or convertible debt securities due to market conditions or strategic considerations even if we believe we have sufficient funds for our current or future operating plans. New investors will experience further dilution if any of our outstanding options or warrants are exercised, new options are issued and exercised under our equity incentive plan or we issue additional shares of common stock, other equity securities or convertible debt securities in the future.
News 
Market Data 
Discover 
AI
