SC 13D
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
(Amendment No. )*
Replidyne, Inc.
Common Stock, $0.001
(Title of Class of Securities)
76028W-107
Laurence L. Betterley
Cardiovascular Systems, Inc.
651 Campus Drive
St. Paul, MN 55112
(877) 274-0360
(Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications)
November 3, 2008
(Date of Event which Requires Filing of this Statement)
If the filing person has previously filed a statement on Schedule 13G to report the acquisition
that is the subject of this Schedule 13D, and is filing this schedule because of §240.13d-1(e),
240.13d-1(f) or 240.13d-1(g), check the following box. o
Note: Schedules filed in paper format shall include a signed original and five copies of the
schedule, including all exhibits. See Rule 13d-7 for other parties to whom copies are to be sent.
*The remainder of this cover page shall be filled out for a reporting persons initial filing on
this form with respect to the subject class of securities, and for any subsequent amendment
containing information which would alter disclosures provided in a prior cover page.
The information required on the remainder of this cover page shall not be deemed to be filed for
the purpose of Section 18 of the Securities Exchange Act of 1934 (Act) or otherwise subject to
the liabilities of that section of the Act but shall be subject to all other provisions of the Act
(however, see the Notes).
SCHEDULE 13D
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CUSIP No. |
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76028W-107 |
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Page 2 of 10 Pages |
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1 |
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NAMES OF REPORTING PERSONS
Cardiovascular Systems, Inc. |
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CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS)*
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(a) o |
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(b) o |
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3 |
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SEC USE ONLY |
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SOURCE OF FUNDS (SEE INSTRUCTIONS) |
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OO (See Item 3) |
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5 |
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CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) |
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þ |
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CITIZENSHIP OR PLACE OF ORGANIZATION |
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Minnesota
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SOLE VOTING POWER |
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NUMBER OF |
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SHARES |
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SHARED VOTING POWER |
BENEFICIALLY |
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OWNED BY |
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9,505,829 shares of Common Stock (See Items 4 and 5) |
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EACH |
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SOLE DISPOSITIVE POWER |
REPORTING |
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PERSON |
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WITH |
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SHARED DISPOSITIVE POWER |
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0 |
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11 |
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AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON |
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9,505,829 shares of Common Stock |
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12 |
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CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (SEE INSTRUCTIONS) |
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13 |
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PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) |
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35.1% shares of Common Stock* |
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14 |
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TYPE OF REPORTING PERSON (SEE INSTRUCTIONS) |
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CO |
* Calculated based on 27,109,545 shares outstanding at November 3, 2008, as represented by Replidyne in the Merger Agreement described in Item 3 and attached hereto as Exhibit 1.
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Item 1. Security and Issuer
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(A) |
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Title of Security: |
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Common Stock, $0.001 par value per share (the Shares). |
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(b) |
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Name of the Issuer: |
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Replidyne, Inc., a Delaware corporation (Replidyne). |
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(c) |
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The Replidynes principal executive office: |
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1450 Infinite Drive
Louisville, CO 80027 |
Item 2. Identity and Background
Pursuant to Instruction C of Schedule 13D, the information required regarding CSIs officers,
directors and significant shareholders is set forth on Schedule A and incorporated herein
by reference.
(a) This statement on Schedule 13D is filed by Cardiovascular Systems, Inc., a Minnesota
corporation (CSI).
(b) The principal business offices of CSI are located at 651 Campus Drive, St. Paul, Minnesota
55112.
(c) CSI is a medical device company focused on developing and commercializing interventional
treatment systems for vascular disease. CSIs initial product, the Diamondback 360° Orbital
Atherectomy System, is a minimally invasive catheter system for the treatment of peripheral
arterial disease. CSI is headquartered in St. Paul, Minnesota.
(d) During the last five years, neither CSI nor, to the best of its knowledge, any of its executive
officers or directors, has been convicted in a criminal proceeding (excluding traffic violations or
similar misdemeanors).
(e) During the last five years, neither CSI nor, to the best of its knowledge, any of its executive
officers or directors, except as herein provided, has been a party to a civil proceeding of a
judicial or administrative body of competent jurisdiction and as a result of such proceeding was or
is subject to a judgment, decree or final order enjoining future violations of, or prohibiting or
mandating activities subject to, federal or state securities laws or finding any violation with
respect to such laws.
CSIs Chief Administrative Officer and Secretary, James E. Flaherty, previously served as Chief
Financial Officer of Zomax Incorporated from 1997 to 2001. On June 9, 2005, the Securities and
Exchange Commission filed a civil injunctive action charging Zomax Incorporated with violations of
federal securities law by filing a materially misstated Form 10-Q for the period ended June 30,
2000. The SEC further charged that in a conference call with analysts, certain of
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Zomaxs executive officers, including Mr. Flaherty, misrepresented or omitted to state material
facts regarding Zomaxs prospects of meeting quarterly revenue and earnings targets, in violation
of federal securities law. Without admitting or denying the SECs charges, Mr. Flaherty consented
to the entry of a court order enjoining him from any violation of certain provisions of federal
securities law. In addition, Mr. Flaherty agreed to disgorge $16,770 plus prejudgment interest and
pay a $75,000 civil penalty.
Item 3. Source and Amount of Funds or Other Consideration
On November 3, 2008, Replidyne entered into an Agreement and Plan of Merger and Reorganization (the
Merger Agreement) with CSI and Responder Merger Sub, Inc., a Minnesota corporation and wholly
owned subsidiary of Replidyne (Merger Sub), pursuant to which, on the terms and subject to the
conditions set forth in the Merger Agreement, Merger Sub will be merged with and into CSI, the
separate existence of Merger Sub shall cease, and CSI will be the surviving corporation (the
Merger). Upon the terms and subject to the conditions set forth in the Merger Agreement,
Replidyne will issue, and holders of CSI capital stock will receive, shares of common stock of
Replidyne, such that following the consummation of the transactions contemplated by the Merger
Agreement, current stockholders of Replidyne, together with holders of Replidyne options and
warrants, are expected to own approximately 17% of the common stock of the combined company and
current CSI stockholders, together with holders of CSI options and warrants, are expected to own or
have the right to acquire approximately 83% of the common stock of the combined company, both on a
fully diluted basis using the treasury stock method.
Following consummation of the Merger, Replidyne will be renamed Cardiovascular Systems, Inc. and
its headquarters will be located in St. Paul, Minnesota, at CSIs headquarters. A copy of the
Merger Agreement is attached hereto as Exhibit 1 and is incorporated herein by reference.
The consummation of the Merger and the transactions contemplated by the Merger Agreement are
subject to approval by the stockholders of Replidyne and of CSI, and the satisfaction or waiver of
certain other conditions as more fully described in the Merger Agreement.
As an inducement for CSI to enter into the Merger Agreement, contemporaneously with the execution
of the Merger Agreement, certain stockholders of Replidyne (the Voting Agreement Stockholders),
who together with their respective affiliates beneficially own approximately 52% of the outstanding
common stock of Replidyne, entered into voting agreements (the Voting Agreements) and irrevocable
proxies (the Irrevocable Proxies) in favor of CSI agreeing, among other things, to vote shares
representing approximately 35.1% of the outstanding common stock of Replidyne in favor of the
adoption of the Merger Agreement and approval of the Merger and certain other matters. No capital
of CSI is expected to be expended by CSI in connection with the exercise of its rights with respect
to the 9,505,829 shares of the Replidynes common stock covered by the Voting Agreements. The form
of the Voting Agreement is attached hereto as Exhibit 2 and is incorporated herein by
reference.
Item 4. Purpose of Transaction
As further described in Item 3 above, this statement relates to the merger of Merger Sub with and
into CSI, in a statutory merger pursuant to the provisions of the Minnesota Business Corporation
Act. At the effective time of Merger, the separate existence of Merger Sub will cease and CSI
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will continue as the surviving corporation and as a wholly-owned subsidiary of Replidyne. Each
share of CSI common stock issued and outstanding immediately prior to the Merger will be canceled,
extinguished and automatically converted into the right to receive that number of shares of
Replidyne common stock as determined pursuant to the exchange ratio described in the Merger
Agreement. In addition, Replidyne will assume options and warrants to purchase shares of CSI common
stock which will become exercisable for shares of Replidyne common stock, adjusted in accordance
with the same exchange ratio. The exchange ratio will be based on the number of outstanding shares
of capital stock of Replidyne and CSI, and any outstanding options and warrants to purchase shares
of capital stock of Replidyne and CSI, and Replidynes net assets, in each case calculated in
accordance with the terms of the Merger Agreement as of immediately prior to the effective time of
the Merger, and will not be calculated until such time. Following the Merger, the combined company
expects to continue to be publicly traded under the name Cardiovascular Systems, Inc. The foregoing
summary is qualified in its entirety by reference to the copy of the Merger Agreement attached as
Exhibit 1 to this Schedule 13D, and incorporated herein by reference.
As an inducement for CSI to enter into the Merger Agreement, contemporaneously with the execution
of the Merger Agreement, the Voting Agreement Stockholders entered into Voting Agreements and
Irrevocable Proxies in favor of CSI agreeing, among other things, to vote shares representing
approximately 35.1% of the outstanding common stock of Replidyne: (a) in favor of the adoption of
the Merger Agreement and approval of the Merger, and in favor of each of the other actions
contemplated by the Merger Agreement; and (b) generally against any action or agreement that is
intended, or would reasonably be expected, to delay, prevent or adversely affect the Merger. In
addition, each Voting Agreement Stockholder has agreed to (a) be subject to certain restrictions on
the transfer of its shares of Replidynes common stock and (b) irrevocably waive any rights to
demand appraisal of any shares of Replidynes common stock which may arise with respect to the
Merger or any related transaction. Nothing in the Voting Agreements limit or restrict the Voting
Agreement Stockholders from acting in such Voting Agreement Stockholders capacity as a director of
Replidyne, if applicable.
The Voting Agreements terminate on the earliest to occur of (i) the date on which Merger is
consummated, (ii) April 30, 2009, (iii) the date of any modification, waiver or amendment to the
Merger Agreement in a manner that reduces the amount and form of consideration payable to the
Voting Agreement Stockholder, and (iv) the termination of the Merger Agreement.
Pursuant to the Irrevocable Proxies contained in the Voting Agreements, each Voting Agreement
Stockholder also irrevocably appointed certain executive officers of CSI to act as exclusive
attorneys and proxies, with full power of substitution and resubstitution, as such Voting Agreement
Stockholders lawful attorney and proxy. Such Irrevocable Proxies give the proxy holders the
limited right to vote any shares of Replidynes common stock that are subject to the Voting
Agreements in favor of the approval and adoption of the Merger Agreement and approval of the Merger
and certain other matters. The Voting Agreement Stockholders retain the right to vote such shares
in their discretion with respect to matters other than those identified in the Voting Agreements.
The names of the Voting Agreement Stockholders and the number of shares of Replidynes common stock
and the percentage ownership that are subject to the Voting Agreements is set forth in Schedule
B hereto which is hereby incorporated by reference. The foregoing summary is
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qualified in its entirety by reference to the copy of the form of Voting Agreement attached as
Exhibit 2 to this Schedule 13D, which is incorporated herein by reference.
Under the terms of the Merger Agreement, Replidyne shall take all necessary action to cause each of
the individuals identified by CSI to be appointed as a director of Replidyne effective after the
closing of the Merger. It is intended that CSI will assume a majority of the positions on
Replidynes board of directors. Current Replidyne directors, Edward Brown and Augustine Lawlor, are
expected to continue as directors of Replidyne after the closing of the Merger. The foregoing
summary is qualified in its entirety by reference to Section 5.10 of the Merger Agreement attached
as Exhibit 1 to this Schedule 13D, and incorporated herein by reference.
Pursuant to the terms of the Merger Agreement, prior to the effective time of the Merger, Replidyne
shall recommend that its stockholders amend its certificate of incorporation, whereby each share of
Replidynes common stock issued and outstanding immediately prior to the filing of the amendment to
Replidynes certificate of incorporation shall be automatically combined into and become a
fractional number of fully paid and non-assessable shares of Replidyne common stock to be
determined by Replidyne and CSI by mutual agreement (the Reverse Stock Split), and (ii) any
shares of Replidyne common stock held as treasury stock or held or owned by Replidyne immediately
prior to the filing of the amendment to Replidynes certificate of incorporation shall each be
converted into and become an identical fractional number of shares of Replidyne common stock as
provided in the Reverse Stock Split. Replidynes bylaws shall be amended and restated in a form
reasonably acceptable to Replidyne and CSI. In addition, Replidyne shall use commercially
reasonable efforts to submit to its stockholders a proposal that Replidyne assume CSIs stock
option plans from and after the effective time of the Merger, with such amendments as CSI may deem
reasonably necessary and an increase in the number of shares reserved for issuance under CSIs 2007
Equity Incentive Plan in an amount mutually agreed upon by Replidyne and CSI. The foregoing summary
is qualified in its entirety by reference to Sections 1.5 and 5.5 of the Merger Agreement attached
as Exhibit 1 to this Schedule 13D, and incorporated herein by reference.
Other than as described above, CSI currently has no plans or proposals that relate to, or may
result in, any of the matters listed in Items 4 (a) (j) of Schedule 13D (although CSI reserves
the right to develop such plans or proposals).
Item 5. Interest in Securities of the Issuer
As a result and subject to the terms of the Voting Agreements and the Irrevocable Proxies granted
pursuant thereto, CSI may be deemed to have the power to vote an aggregate of 9,505,829 shares of
Replidynes common stock, in each case for the limited purposes described in Item 4 above. Such
shares constitute approximately 35.1% of the issued and outstanding shares of Replidynes common
stock based on the number of shares outstanding at November 3, 2008. Other than with respect to the
voting rights granted to CSI pursuant to the Voting Agreements and the Irrevocable Proxies, CSI
does not have the right to vote such shares on any other matters. CSI shares such voting power with
the executives of CSI identified in the Irrevocable Proxies. CSI does not have any power to dispose
or direct the disposition of any shares of Replidynes common stock.
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Except as described herein, CSI has not effected any transaction in Replidynes common stock during
the past 60 days.
Item 6. Contracts, Arrangements, Understandings or Relationships with Respect to Securities of the
Issuer
The information provided and incorporated by reference in Items 3, 4 and 5 is hereby incorporated
by reference.
Other than as described in this Schedule 13D there are no other contracts, arrangements,
understandings or relationships (legal or otherwise) between CSI and any person with respect to any
securities of Replidyne including but not limited to the transfer or voting of any securities of
Replidyne, finders fees, joint ventures, loan or option arrangements, puts or calls, guarantees of
profits, division of profits or loss, or the giving or withholding of proxies.
Item 7. Material to Be Filed as Exhibits
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Exhibit 1:
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Agreement and Plan of Merger and Reorganization, dated
November 3, 2008, by and among Replidyne, Inc., Responder
Merger Sub, Inc. and Cardiovascular Systems, Inc. (Incorporated
by reference to Exhibit 2.1 to Replidynes Current Report on
Form 8-K filed on November 4, 2008 (SEC File No. 000-52082)). |
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Exhibit 2:
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Form of Voting Agreement, dated November 3, 2008, by and
between Cardiovascular Systems, Inc. and certain stockholders
of Replidyne, Inc. |
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SIGNATURE
After reasonable inquiry and to the best of my knowledge and belief, I certify that the
information set forth in this statement is true, complete and correct.
Dated: November 13, 2008
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CARDIOVASCULAR SYSTEMS, INC.
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By: |
/s/ James E. Flaherty
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James E. Flaherty |
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Chief Administrative Officer and Secretary |
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8
SCHEDULE A
DIRECTORS, EXECUTIVE OFFICERS AND SIGNIFICANT SHAREHOLDERS
OF CARDIOVASCULAR SYSTEMS, INC.
The following table sets forth the name, residence or business address and present principal
occupation or employment of each director and executive officer of CSI and each person, or group of
affiliated persons, known to CSI to beneficially own more than 10% of CSIs common stock or
preferred stock.
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Name and Address* |
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Office |
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Present Principal Occupation or Employment and Citizenship** |
David L. Martin
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President, Chief
Executive Officer
and Director
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Mr. Martin has been CSIs President and Chief Executive Officer since
February 2007, and a director since August 2006. |
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Laurence L.
Betterley
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Chief Financial
Officer
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Mr. Betterley joined CSI in April 2008 as its Chief Financial Officer. |
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James E. Flaherty
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Chief
Administrative
Officer and
Secretary
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Mr. Flaherty has been CSIs Chief Administrative Officer since January 14,
2008. |
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Michael J.
Kallok, Ph.D.
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Chief Scientific
Officer and
Director
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Dr. Kallok has been CSIs Chief Scientific Officer since February 2007 and a
director since December 2002. Dr. Kallok is also founder and president of
his own consulting business, Medical Device Consulting, Inc. |
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John Borrell
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Vice President of
Sales
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Mr. Borrell joined CSI in July 2006 as Vice President of Sales and Marketing. |
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Brian Doughty
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Vice President of
Marketing
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Mr. Doughty joined CSI in December 2006 and was named Vice President of
Marketing in August 2007. |
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Robert J. Thatcher
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Vice President of
Operations
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Mr. Thatcher joined CSI in October 2005 and became CSIs Vice President of
Operations in September 2006. |
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Paul Tyska
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Vice President of
Business
Development
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Mr. Tyska joined CSI in August 2006 as Vice President of Business
Development. |
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Paul Koehn
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Vice President of
Manufacturing
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Mr. Koehn joined CSI in March 2007 and was promoted to Vice President of
Manufacturing in October 2007. |
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Glen D. Nelson, M.D.
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Director and
Chairman
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Dr. Nelson has been a member of CSIs board of directors since 2003 and
CSIs Chairman since August 2007. |
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Brent G. Blackey
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Director
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Mr. Blackey has been a member of CSIs board of directors since 2007. Since
2004, Mr. Blackey has served as the President and Chief Operating Officer
for Holiday Companies. |
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John H. Friedman
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Director
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Mr. Friedman has been a member of CSIs board of directors since 2006.
Mr. Friedman is the Managing Partner of the Easton Capital Investment Group,
a private equity firm. |
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Geoffrey O.
Hartzler, M.D.
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Director
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Dr. Hartzler is a cardiologist and has been a member of CSIs board of
directors since 2002. |
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Roger J. Howe,
Ph.D.
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Director
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Dr. Howe has been a member of CSIs board of directors since 2002. |
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Name and Address* |
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Office |
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Present Principal Occupation or Employment and Citizenship** |
Gary M. Petrucci
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Director
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Mr. Petrucci has been a member of CSIs board of directors since 1992.
Since August 2006, Mr. Petrucci has been Senior Vice President Investments
at UBS Financial Services, Inc. |
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Christy Wyskiel
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Director
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Ms. Wyskiel has been a member of CSIs board of directors since 2006. Since
2004, Ms. Wyskiel has served as a Managing Director in the healthcare group
of Maverick Capital, Ltd., where she has worked since 2002. |
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Easton Capital
Investment Group,
767 Third Avenue,
7th Floor, New
York, NY 10017.
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Shareholder
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Easton Capital Investment Group manages several venture capital and private
equity funds. As of October 28, 2008, Easton Capital Investment Group
beneficially owned 1,644,059 shares or 17.5% of CSIs common stock and
1,400,000 or 15.1% of CSIs preferred stock. Such beneficial ownership
consists of (i) 612,960 shares of CSIs Series A convertible preferred stock
convertible into 616,197 shares of CSIs common stock, exercisable warrants
to acquire a total of 166,667 shares of CSIs common stock and exercisable
warrants to purchase 87,040 shares of CSIs Series A convertible preferred
stock convertible into 87,499 shares of CSIs common stock, held by Easton
Hunt Capital Partners, L.P., (ii) 612,960 shares of Series A convertible
preferred stock convertible into 616,197 shares of CSIs common stock, and
exercisable warrants to purchase 87,040 shares of CSIs Series A convertible
preferred stock convertible into 87,499 shares of CSIs common stock, held
by Easton Capital Partners, LP, and (iii) options to acquire a total of
70,000 shares of CSIs common stock exercisable or exercisable within
60 days after September 30, 2008 held by Mr. Friedman, one of CSIs
directors. Investment decisions of Easton Hunt Capital Partners, L.P. are
made by EHC GP, LP through its general partner, EHC, Inc. Mr. Friedman is
the President and Chief Executive Officer of EHC, Inc. Investment decisions
of Easton Capital Partners, LP are made by its general partner, ECP GP, LLC,
through its manager, ECP GP, Inc. Mr. Friedman is the President and Chief
Executive Officer of EHC, Inc. and ECP GP, Inc. Mr. Friedman shares voting
and investing power over the shares owned by Easton Hunt Capital Partners,
L.P. and Easton Capital Partners, LP. Mr. Friedman disclaims beneficial
ownership of the shares held by entities affiliated with Easton Capital
Investment Group, except to the extent of his pecuniary interest therein. |
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Maverick Capital,
Ltd.,
300 Crescent Court,
18th Floor, Dallas,
TX 75201.
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Shareholder
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Maverick Capital, Ltd. manages private investment funds and is an investment
adviser registered under Section 203 of the Investment Advisers Act of 1940.
As of October 28, 2008, Maverick Capital, Ltd. beneficially owned 2,640,882
shares or 25.5% of CSIs common stock and 2,343,501 or 25.1% of CSIs
preferred stock. Such beneficial ownership consists of (i) 770,212 shares
of Series A convertible preferred stock convertible into 774,280 shares of
CSIs common stock, 103,524 shares of Series A-1 convertible preferred stock
convertible into 106,790 shares of CSIs common stock, 47,545 shares of
Series B convertible preferred stock convertible into 48,012 shares of CSIs
common stock, exercisable warrants to acquire a total of 91,623 shares of
CSIs common stock, and exercisable warrants to purchase 109,370 shares of
CSIs Series A convertible preferred stock convertible into 109,947 shares
of CSIs common stock, held by Maverick Fund, L.D.C., (ii) 310,952 shares of
Series A convertible preferred stock convertible into 312,594 shares of
CSIs common stock, 41,795 shares of Series A-1 convertible preferred stock
convertible into 43,113 shares of CSIs common stock, 19,195 shares of
Series B convertible preferred stock convertible into 19,383 shares of CSIs
common stock, exercisable warrants to acquire a total of 36,990 shares of
CSIs common stock, and exercisable warrants to purchase 44,155 shares of
CSIs Series A convertible preferred stock convertible into 44,388 shares of
CSIs common stock, held by Maverick Fund USA, Ltd., (iii) 670,149 shares of
Series A convertible preferred stock convertible into 673,688 shares of
CSIs common stock, 90,075 shares of Series A-1 convertible preferred stock
convertible into 92,917 shares of CSIs common stock, 41,368 shares of
Series B convertible preferred stock convertible into 41,774 shares of CSIs
common stock, exercisable warrants to acquire a |
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Name and Address* |
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Office |
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Present Principal Occupation or Employment and Citizenship** |
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total of 79,720 shares of
CSIs common stock, and exercisable warrants to purchase 95,161 shares of
CSIs Series A convertible preferred stock convertible into 95,663 shares of
CSIs common stock, held by Maverick Fund II, Ltd., and (iv) options to
acquire a total of 70,000 shares of CSIs common stock currently exercisable
or exercisable within 60 days after September 30, 2008 held by Ms. Wyskiel,
one of CSIs directors. These options are held for the benefit of Maverick
Fund II, Ltd., Maverick Fund, L.D.C. and Maverick Fund USA, Ltd. Maverick
Capital, Ltd. is an investment adviser registered under Section 203 of the
Investment Advisers Act of 1940 and, as such, may be deemed to have
beneficial ownership of the shares held by Maverick Fund II, Ltd., Maverick
Fund, L.D.C. and Maverick Fund USA, Ltd. through the investment discretion
it exercises over these accounts. Maverick Capital Management, LLC is the
general partner of Maverick Capital, Ltd. Lee S. Ainslie III is the manager
of Maverick Capital Management, LLC who possesses sole investment discretion
pursuant to Maverick Capital Management, LLCs regulations. |
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Mitsui & Co.
Venture Partners
II, L.P., 200 Park
Avenue, New York,
NY 10166.
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Shareholder
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Mitsui & Co. Venture Partners II, L.P. manages and invests venture capital
in early stage companies. As of October 28, 2008, Mitsui & Co. Venture
Partners II, L.P. beneficially owned 896,449 shares or 10.4% of CSIs common
stock and 888,666 or 9.7% of CSIs preferred stock. Such beneficial
ownership consists of 675,148 shares of CSIs Series A convertible preferred
stock convertible into 678,713 shares of CSIs common stock, 117,647 shares
of CSIs Series A-1 convertible preferred stock convertible into 121,359
shares of CSIs common stock, and exercisable warrants to purchase 95,871
shares of CSIs Series A convertible preferred stock convertible into 96,377
shares of CSIs common stock held by Mitsui & Co. Venture Partners II, L.P.
Koichi Ando, President and Chief Executive Officer of Mitsui & Co. Venture
Partners, Inc., the general partner of Mitsui & Co. Venture Partners II
L.P., may be deemed to have voting and investment power over the shares held
by Mitsui & Co. Venture Partners II L.P. |
|
|
|
|
|
Whitebox Hedged
High Yield
Partners, LP, 3033
Excelsior Blvd.,
Suite 300,
Minneapolis, MN
55416.
|
|
Shareholder
|
|
Whitebox Hedged High Yield Partners, LP (Whitebox) is a hedge fund
operating as a limited partnership formed under the laws of the British
Virgin Islands. As of October 28, 2008, Whitebox beneficially owned 948,748
shares or 10.9% of CSIs common stock and 939,517 or 10.3% of CSIs
preferred stock. Such beneficial ownership consists of 939,517 shares of
CSIs Series B convertible preferred stock convertible into 948,748 shares
of CSIs common stock held by Whitebox Andrew J. Redleaf is the managing
member of the general partner and has voting and investment power over the
shares held by Whitebox. |
|
|
|
* |
|
Unless otherwise noted above, each person or entity has the business address of 651 Campus Drive,
St. Paul, MN 55112. |
|
** |
|
Unless otherwise noted above, each person or entity is a U.S. citizen or entity formed in the
United States, as applicable. |
11
SCHEDULE B
VOTING AGREEMENT STOCKHOLDERS
|
|
|
|
|
|
|
|
|
|
|
Replidyne Common Stock Subject to Voting Agreement |
Name of Voting Agreement Stockholder |
|
Number of Shares |
|
Percentage Ownership |
HealthCare Investment Partners Holdings II LLC |
|
|
716,028 |
|
|
|
2.6 |
% |
Kenneth J. Collins |
|
|
360,520 |
|
|
|
1.3 |
% |
TPG Biotechnology Partners, L.P.; TPG
Ventures, L.P. |
|
|
1,871,982 |
|
|
|
6.9 |
% |
HealthCare Ventures VI, L.P.; HealthCare
Ventures VIII, L.P. |
|
|
2,964,167 |
|
|
|
10.9 |
% |
Sequel Limited Partnership III; Sequel
Entrepreneurs Fund III, L.P. |
|
|
986,887 |
|
|
|
3.6 |
% |
The Daniel J. Mitchell Trust |
|
|
11,336 |
|
|
|
* |
|
Morgenthaler Partners VII, L.P. |
|
|
1,583,200 |
|
|
|
5.8 |
% |
Perseus-Soros Biopharmaceutical Fund, LP |
|
|
1,011,709 |
|
|
|
3.7 |
% |
|
|
|
* |
|
Less than 1% of the outstanding shares. |
12
EXHIBIT INDEX
|
|
|
Exhibit 1:
|
|
Agreement and Plan of Merger and Reorganization, dated
November 3, 2008, by and among Replidyne, Inc., Responder
Merger Sub, Inc. and Cardiovascular Systems, Inc. (Incorporated
by reference to Exhibit 2.1 to Replidynes Current Report on
Form 8-K filed on November 4, 2008 (SEC File No. 000-52082)). |
|
|
|
Exhibit 2:
|
|
Form of Voting Agreement, dated November 3, 2008, by and
between Cardiovascular Systems, Inc. and certain stockholders
of Replidyne, Inc. |
13