Item 3.02 Unregistered Sales of Equity Securities.
As consideration for the services provided to InVivo Therapeutics Holdings Corp.
(the "Company") by H.C. Wainwright & Co., LLC ("Wainwright") as placement agent
for its November 2019 public offering (the "2019 Offering") of Common Stock,
$0.00001 par value per share (the "Common Stock"), the Company agreed, subject
to the approval by its stockholders of an increase to the authorized number of
shares of Common Stock, to issue to Wainwright, or its designees, placement
agent warrants (the "Placement Agent Warrants") to purchase an aggregate of
455,000 shares of Common Stock. On January 21, 2020, the Company's stockholders
approved an increase to the Company's authorized shares of Common Stock and
subsequently issued the Placement Agent Warrants. The Placement Agent Warrants
have an exercise price of $0.15 per share, are immediately exercisable and
expire 5 years from the date of the 2019 Offering. The Company's agreement to
issue the Placement Agent Warrants was made, and the Placement Agent Warrants
were issued, in reliance on the exemption provided by Section 4(a)(2) of the
Securities Act of 1933, as amended, relative to transactions by an issuer not
involving any public offering, to the extent an exemption from such registration
was required. No underwriters were involved in such transaction. This
description of the Placement Agent Warrants is qualified in its entirety by
reference to the complete text of the Form of Placement Agent Warrant, a copy of
which is filed as Exhibit 4.1 to this Current Report on Form 8-K and is
incorporated herein by reference.
Item 5.02. Departure of Directors or Certain Officers; Election of Directors;
Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.
On January 21, 2020, the Company held its 2019 Annual Meeting of Stockholders
(the "Annual Meeting"). At the Annual Meeting, the Company's stockholders
approved an amendment to the Company's 2015 Equity Incentive Plan (as so
amended, the "Incentive Plan") to increase the number of shares available for
issuance thereunder by 800,000 to a total of 960,000 shares plus (i) the number
of shares that remained available for issuance under the Company's 2010 Equity
Incentive Plan, as amended (the "Prior Plan") as of the date that the Incentive
Plan became effective and (ii) the number of shares that were subject to
outstanding awards under the Prior Plan the date the Incentive Plan became
effective that become available in the future due to cancellation, forfeiture or
expiration of such outstanding awards and corresponding adjustments that will be
reflected in various share limitations. This description of the Incentive Plan
is qualified in its entirety by reference to the complete text of the Incentive
Plan, a copy of which is filed as Exhibit 99.1 to this Current Report on Form
8-K and is incorporated herein by reference.
Item 5.03. Amendments to Articles of Incorporation or Bylaws; Change in Fiscal
Year.
At the Annual Meeting, the Company's stockholders approved an amendment to the
Company's Articles of Incorporation to increase the number of shares of
authorized common stock from 25,000,000 to 500,000,000 shares (the "Common Stock
Amendment"). Following stockholder approval of the Common Stock Amendment, a
Certificate of Amendment to the Company's Articles of Incorporation was filed
with the Secretary of State of Nevada on January 21, 2020, at which time the
Common Stock Amendment became effective. This description of the Certificate of
Amendment is qualified in its entirety by reference to the complete text of the
Certificate of Amendment, a copy of which is filed as Exhibit 3.1 to this
Current Report on Form 8-K and is incorporated herein by reference.
Item 5.07. Submission of Matters to a Vote of Security Holders.
Set forth below is a summary of the matters voted on at the Annual Meeting.
Election of Directors
The Company's stockholders elected Christina Morrison and Daniel Marshak as
Class II directors, each to serve for a three-year term expiring at the 2022
Annual Meeting of Stockholders or until his or her successor is duly elected and
qualified. The results of the stockholders' vote with respect to the election of
such Class II directors were as follows:
For Withheld Broker Non-Votes
Christina Morrison 7,354,915 978,798 2,335,809
Daniel Marshak 7,337,222 996,491 2,335,809
Approval of Common Stock Amendment
The Company's stockholders approved the Common Stock Amendment. The results of
the stockholders' vote with respect to such amendment were as follows:
For: 9,937,169
Against: 671,009
Abstain: 61,344
Approval of Preferred Stock Amendment
The Company's stockholders did not approve the Preferred Stock Amendment. The
results of the stockholders' vote with respect to such amendment were as
follows:
For: 6,714,933
Against: 788,843
Abstain: 829,937
Broker Non-Votes 2,335,809
Approval of Amendment to 2015 Equity Incentive Plan
The Company's stockholders approved an amendment to the Company's 2015 Equity
Incentive Plan to increase the shares available for issuance thereunder by
800,000 shares. The results of the stockholders' vote with respect to such
amendment were as follows:
For: 7,086,697
Against: 418,990
Abstain: 828,026
Broker Non-Votes: 2,335,809
Advisory Vote on Named Executive Officer Compensation
The Company's stockholders approved, on an advisory basis, the compensation paid
by the Company to its named executive officers. The results of the stockholders'
vote with respect to such advisory vote were as follows:
For: 7,182,064
Against: 313,601
Abstain: 838,048
Broker Non-Votes: 2,335,809
Advisory Vote on Frequency of Future Advisory Votes on Named Executive Officer
Compensation
The Company's stockholders approved, on an advisory basis, to hold future
advisory votes on named executive officer compensation three years. The results
of the stockholders' vote with respect to such advisory vote were as follows:
One Year: 951,186
Two Years: 359,301
Three Years: 6,153,455
Abstain: 869,771
Broker Non-Votes: 2,335,809
Ratification of the Appointment of RSM US, LLP as the Company's Independent
Registered Public Accounting Firm for the Fiscal Year Ending December 31, 2019
The Company's stockholders ratified the appointment of RSM US, LLP as the
Company's independent registered public accounting firm for the fiscal year
ending December 31, 2019. The results of the stockholders' vote with respect to
such ratification were as follows:
For: 9,183,432
Against: 134,844
Abstain: 1,351,246
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits
Exhibit No. Description
3.1 Certificate of Amendment to Articles of Incorporation filed with the
Nevada Secretary of State, dated January 21, 2020.
4.1 Form of Placement Agent Warrant.
99.1 InVivo Therapeutics Holdings Corp. 2015 Equity Incentive Plan
(incorporated by reference to Appendix C to the Company's Definitive
Proxy Statement, as filed with the SEC on November 27, 2019).
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