EFTA01961275.pdf

CONFIDENTIAL DRAFT FOR PURPOSES OF SETTLEMENT DISCUSSIONS ONLY September 3, 2013 William H. Gates Dear Bill: RE: Letter of Agreement Regarding Purchase of Partnership Interest This letter sets forth the agreement by and between you, William H. Gates ("Gates"), and me, Dr. Boris Nikolic ("Dr. Nikolic"), with respect to the purchase by Gates from Dr. Nikolic of Dr. Nikolic's interest in a partnership, under the terms of which we discussed potential investment in a range up to $100 Million in certain investments discovered and researched by Dr. Nikolic (the "Investment Entity"). Only two of such investments, totaling Twenty Million Dollars, as detailed below, were ever made. The partnership was formed effective April 1, 2013. We now agree to dissolve and wind up the Investment Entity and Gates shall purchase from Dr. Nikolic Dr. Nikolic's interest in the Investment Entity. Gates and Dr. Nikolic have agreed as follows: Dissolution and Winding Up the Partnership SE251912 vl EFTA_R1_00438087 EFTA01961275 - 2- EFTA_R1_00436088 EFTA01961276 - 3- EFTA_R1_00436089 EFTA01961277 - 4- EFTA_R1_00436090 EFTA01961278 Sale and Purchase of Interest in Investment Entity -5- EFTA_R1_00438091 EFTA01961279 -6- EFTA_R1_00436092 EFTA01961280 - 7- EFTA_R1_00436093 EFTA01961281 - 8- EFTA_R1_00436094 EFTA01961282  1 I ( 1 t 1 1 t 1 1 — 9— EFTA_R1_00436095 EFTA01961283 - 10 - EFTA_R1_00436096 EFTA01961284  I ( EFTA_R1_00436097 EFTA01961285 - 12 - EFTA_R1_00436098 EFTA01961286 - 13 - EFTA_R1_00436099 EFTA01961287 - 14 - EFTA_R1_00436100 EFTA01961288 - IS - EFTA_R1_00436101 EFTA01961289 - 16 - EFTA_R1_00436102 EFTA01961290 - 17 - EFTA_R1_00436103 EFTA01961291 - Is - EFTA_R1_00436104 EFTA01961292 - 19 - EFTA_R1_00436105 EFTA01961293 Advance 1 I - 20 - EFTA_R1_00436106 EFTA01961294  t 1 ( I ( 1 - 21 - EFTA_R1_00436107 EFTA01961295 - 22 - EFTA_R1_00436108 EFTA01961296 - 23 - EFTA_R1_00436109 EFTA01961297 - 24 - EFTA_R1_00436110 EFTA01961298 - 25 - EFTA_R1_00436111 EFTA01961299 - 26 - EFTA_R1_00436112 EFTA01961300 - 27 - EFTA_R1_00436113 EFTA01961301 - 28 - EFTA_R1_00436114 EFTA01961302  I - 29 - EFTA_R1_00436115 EFTA01961303 - 30 - EFTA_R1_00436116 EFTA01961304 - 31 - EFTA_R1_00436117 EFTA01961305 - 32 - EFTA_R1_00436118 EFTA01961306 - 33 - EFTA_R1_00436119 EFTA01961307 - 34 - EFTA_R1_00436120 EFTA01961308 - 35 - EFTA_R1_00436121 EFTA01961309 - 36 - EFTA_R1_00436122 EFTA01961310 - 37 - EFTA_R1_00436123 EFTA01961311 - 38 - EFTA_R1_00436124 EFTA01961312 - 39 - EFTA_R1_00436125 EFTA01961313 - 40 - EFTA_R1_00436126 EFTA01961314  t ( 1 ( -41- EFTA_R1_00436127 EFTA01961315 - 41 - EFTA_R1_00436128 EFTA01961316 Foundation Medicine, Inc. and ResearchGate GmbH - 43 - EFTA_R1_00436129 EFTA01961317 44 EFTA_R1_00436130 EFTA01961318 - 45 - EFTA_R1_00436131 EFTA01961319 - 46 - EFTA_R1_00436132 EFTA01961320 - 47 - EFTA_R1_00436133 EFTA01961321 - 48 - EFTA_R1_00436134 EFTA01961322 - 49 - EFTA_R1_00436135 EFTA01961323  ( t - 50 - EFTA_R1_00436136 EFTA01961324 -51- EFTA_R1_00436137 EFTA01961325 - 52 - EFTA_R1_00436138 EFTA01961326 - 53 - EFTA_R1_00436139 EFTA01961327 - 54 - EFTA_R1_00436140 EFTA01961328 - 55 - EFTA_R1_00436141 EFTA01961329 - 56 - EFTA_R1_00436142 EFTA01961330 - 57 - EFTA_R1_00436143 EFTA01961331 - 58 - EFTA_R1_00436144 EFTA01961332 - 59 - EFTA_R1_00436145 EFTA01961333 - 60 - EFTA_R1_00436146 EFTA01961334 -61- EFTA_R1_00436147 EFTA01961335 - 62 - EFTA_R1_00436148 EFTA01961336 Investment Entity At any time and from time to time commencing on the date hereof and Payment Demands continuing through and including September 3, 2016 (the "Payment Period"), Dr. Nikolic shall have the right, exercisable by written notice to Gates, to demand payment of the increase in value in respect of all or a portion of the Foundation Medicine Investment and/or up to fifty percent (50%) or a portion of fifty percent (50%) of the ResearchGate Investment (an "Investment Entity Payment Demand"). Dr. Nikolic may deliver to Gates up to an aggregate of four (4) Investment Entity Payment Demands during the Payment Period. The amount of each Investment Entity Payment Demand shall be equal to the sum of: I. The portion of the Foundation Medicine Investment, expressed as a percentage, as to which Dr. Nikolic in his sole discretion elects to make such Investment Entity Payment Demand (provided it is equal to or smaller than any percentage remaining after any prior partial percentage Investment Entity Payment Demands), multiplied by the difference of (a) the fair market value of the Foundation Medicine Investment (including all dividends, payments, distributions, securities and other items of value at any time previously or hereafter distributed or paid by Foundation Medicine in respect of such investment) as of the date of such Investment Entity Payment Demand, less (b) Ten Million Dollars (510,000,000) and less any prior payments, including the Advances; and 2. The portion of the ResearchGate Investment, expressed as a percentage, as to which Dr. Nikolic in his sole discretion elects to make such Investment Entity Payment Demand (provided it is equal to or smaller than any percentage remaining after any prior partial percentage Investment Entity Payment Demands), multiplied by the difference of (a) the fair market value of the ResearchGate Investment (including all dividends, payments, distributions, securities and other items of value at any time previously or hereafter distributed or paid by ResearchGate in - 63 - EFTA_R1_00438149 EFTA01961337  3. respect of such investment) as of the date of such Investment Entity Payment Demand, less (b) Ten Million Dollars ($10,000,000) and any prior payments, including the Advances. The portion of the Foundation Medicine Investment as to which any Investment Entity Payment Demand may be made at any given time may not exceed the difference of 100% less the aggregate percentage of the Foundation Medicine Investment as to which all then prior Investment Entity Payment Demands were paid by Gates to Dr. Nikolic. The portion of the ResearchGate Investment as to which any Investment Entity Payment Demand may be made at any given time may not exceed the difference of 50% less the aggregate percentage of the ResearchGate Investment as to which all then prior Investment Entity Payment Demands were paid by Gates to Dr. Nikolic. In the event that all of the shares of Foundation Medicine or ResearchGate are acquired by a third party entity, not affiliated with either of the parties to this Agreement, then the remaining interest of Dr. Nikolic under this Agreement, in the acquired company, shall be calculated immediately following the date on which the final interest of the Gates Purchaser is known and such amount shall be paid out by Gates to Dr. Nikolic and Dr. Nikolic shall have no further claim under this Agreement as to that particular investment. Fair Market Values - 64 - EFTA_R1_00436150 EFTA01961338 - 65 - EFTA_R1_00436151 EFTA01961339 - 66 - EFTA_R1_00436152 EFTA01961340 - 67 - EFTA_R1_00436153 EFTA01961341 - 68 - EFTA_R1_00436154 EFTA01961342 - 69 - EFTA_R1_00436155 EFTA01961343 - 70 - EFTA_R1_00436156 EFTA01961344 - 71 - EFTA_R1_00436157 EFTA01961345 - 72 - EFTA_R1_00436158 EFTA01961346 - 73 - EFTA_R1_00436159 EFTA01961347 - 74 - EFTA_R1_00436160 EFTA01961348 - 75 - EFTA_R1_00436161 EFTA01961349 - 76 - EFTA_R1_00436162 EFTA01961350 - 77 - EFTA_R1_00436163 EFTA01961351 - 78 - EFTA_R1_00436164 EFTA01961352 - 79 - EFTA_R1_00436165 EFTA01961353 - 80 - EFTA_R1_00436166 EFTA01961354 _g1 - EFTA_R1_00436167 EFTA01961355 - 82 - EFTA_R1_00436168 EFTA01961356 - 83 - EFTA_R1_00436169 EFTA01961357 - 84 - EFTA_R1_00436170 EFTA01961358 - 85 - EFTA_R1_00436171 EFTA01961359 - 86 - EFTA_R1_00436172 EFTA01961360 - 87 - EFTA_R1_00436173 EFTA01961361 - 88 - EFTA_R1_00436174 EFTA01961362 - 89 - EFTA_R1_00436175 EFTA01961363 - 90 - EFTA_R1_00436176 EFTA01961364 - 91 - EFTA_R1_00436177 EFTA01961365 - 92 - EFTA_R1_00436178 EFTA01961366 - 93 - EFTA_R1_00436179 EFTA01961367 - 94 - EFTA_R1_00436180 EFTA01961368 - 95 - EFTA_R1_00436181 EFTA01961369 - 96 - EFTA_R1_00436182 EFTA01961370 - 97 - EFTA_R1_00436183 EFTA01961371 - 98 - EFTA_R1_00436184 EFTA01961372 - 99 - EFTA_R1_00436185 EFTA01961373 - 100 - EFTA_R1_00436186 EFTA01961374 - 101 - EFTA_R1_00436187 EFTA01961375 - 102 - EFTA_R1_00436188 EFTA01961376 - 103 - EFTA_R1_00436189 EFTA01961377 - 104 - EFTA_R1_00436190 EFTA01961378 - 105 - EFTA_R1_00436191 EFTA01961379 - 106 - EFTA_R1_00436192 EFTA01961380 - 107 - EFTA_R1_00436193 EFTA01961381 - 108 - EFTA_R1_00436194 EFTA01961382 - 109 - EFTA_R1_00436195 EFTA01961383 - 110 - EFTA_R1_00436196 EFTA01961384 EFTA_R1_00436197 EFTA01961385 - 112 - EFTA_R1_00436198 EFTA01961386 EFTA_R1_00436199 EFTA01961387 - 114 - EFTA_R1_00436200 EFTA01961388 - 115 - EFTA_R1_00436201 EFTA01961389 - 116 - EFTA_R1_00436202 EFTA01961390 - 117 - EFTA_R1_00436203 EFTA01961391 - 118 - EFTA_R1_00436204 EFTA01961392 - 119 - EFTA_R1_00436205 EFTA01961393 - 120 - EFTA_R1_00436206 EFTA01961394 - 121 - EFTA_R1_00436207 EFTA01961395 - 122 - EFTA_R1_00436208 EFTA01961396 - 123 - EFTA_R1_00436209 EFTA01961397 - 124 - EFTA_R1_00436210 EFTA01961398 - 125 - EFTA_R1_00436211 EFTA01961399 Payment of Investment Entity Payment Demands 1 1 1 1 - 126 - EFTA_R1_00436212 EFTA01961400 - 127 - EFTA_R1_00436213 EFTA01961401 - 128 - EFTA_R1_00436214 EFTA01961402  i - 129 - EFTA_R1_00436215 EFTA01961403 - 130 - EFTA_R1_00436216 EFTA01961404  i 1 - 131 - EFTA_R1_00436217 EFTA01961405 - 132 - EFTA_R1_00436218 EFTA01961406 - 133 - EFTA_R1_00436219 EFTA01961407 - 134 - EFTA_R1_00436220 EFTA01961408 - 135 - EFTA_R1_00438221 EFTA01961409 No Sale of Investments Required - B6 - EFTA_R1_00436222 EFTA01961410 - 137- EFTA_R1_00436223 EFTA01961411 - 138 - EFTA_R1_00436224 EFTA01961412 - 139 - EFTA_R1_00436225 EFTA01961413 - 140 - EFTA_R1_00436226 EFTA01961414 - 141 - EFTA_R1_00436227 EFTA01961415 - 142 - EFTA_R1_00436228 EFTA01961416 - 143 - EFTA_R1_00436229 EFTA01961417 - 144 - EFTA_R1_00436230 EFTA01961418 - 145 - EFTA_R1_00436231 EFTA01961419  t - 146 - EFTA_R1_00436232 EFTA01961420 - 147 - EFTA_R1_00436233 EFTA01961421 - 148 - EFTA_R1_00436234 EFTA01961422 - 149 - EFTA_R1_00436235 EFTA01961423 - 150 - EFTA_R1_00436236 EFTA01961424 - 151 - EFTA_R1_00436237 EFTA01961425 - 152 - EFTA_R1_00436238 EFTA01961426 Notices - 153 - EFTA_R1_00436239 EFTA01961427 - 154 - EFTA_R1_00436240 EFTA01961428 - 155 - EFTA_R1_00436241 EFTA01961429 - 156 - EFTA_R1_00436242 EFTA01961430 -157- EFTA_R1_00436243 EFTA01961431  1 ( 1 - 158 - EFTA_R1_00436244 EFTA01961432  i z I N - 159 - EFTA_R1_00436245 EFTA01961433 - 160 - EFTA_R1_00436246 EFTA01961434 - 161 - EFTA_R1_00436247 EFTA01961435 - 162 - EFTA_R1_00436248 EFTA01961436 - 163 - EFTA_R1_00436249 EFTA01961437 - 164 - EFTA_R1_00436250 EFTA01961438 - 165 - EFTA_R1_00436251 EFTA01961439 - 166 - EFTA_R1_00436252 EFTA01961440  1 - 167 - EFTA_R1_00436253 EFTA01961441 - 168 - EFTA_R1_00436254 EFTA01961442 - 169 - EFTA_R1_00436255 EFTA01961443 - 170 - EFTA_R1_00436256 EFTA01961444 - 171 - EFTA_R1_00436257 EFTA01961445  t — 172 - EFTA_R1_00436258 EFTA01961446  t 1 ( - 173 - EFTA_R1_00436259 EFTA01961447  1 - 174 - EFTA_R1_00436260 EFTA01961448  1 1 1 I i 1 1 I - 175 - EFTA_R1_00436261 EFTA01961449  ( ( 1 - 176 - EFTA_R1_00436262 EFTA01961450  < I I I I I I 5 5 I - 177 - EFTA_R1_00436263 EFTA01961451 - 178 - EFTA_R1_00436264 EFTA01961452 - 179 - EFTA_R1_00436265 EFTA01961453 - 180 - EFTA_R1_00436266 EFTA01961454 Governing Law - 181 - EFTA_R1_00436267 EFTA01961455  ( - 182 - EFTA_R1_00436268 EFTA01961456 - 183 - EFTA_R1_00436269 EFTA01961457 Expenses Release - 184 - EFTA_R1_00436270 EFTA01961458 - 185 - EFTA_R1_00436271 EFTA01961459 - 186 - EFTA_R1_00436272 EFTA01961460 - 187 - EFTA_R1_00436273 EFTA01961461 - 188 - EFTA_R1_00436274 EFTA01961462 - 189 - EFTA_R1_00436275 EFTA01961463  I - 190 - EFTA_R1_00436276 EFTA01961464  ( - 191 - EFTA_R1_00436277 EFTA01961465  I t r - 192 - EFTA_R1_00436278 EFTA01961466 - 193 - EFTA_R1_00436279 EFTA01961467 - 194 - EFTA_R1_00436280 EFTA01961468 - 195 - EFTA_R1_00436281 EFTA01961469 - 196 - EFTA_R1_00436282 EFTA01961470 - 197 - EFTA_R1_00436283 EFTA01961471 - 198 - EFTA_R1_00436284 EFTA01961472 - 199 - EFTA_R1_00436285 EFTA01961473 - 200 - EFTA_R1_00436286 EFTA01961474 - 201 - EFTA_R1_00436287 EFTA01961475 - 202 - EFTA_R1_00436288 EFTA01961476  I - 203 - EFTA_R1_00436289 EFTA01961477 - 204 - EFTA_R1_00436290 EFTA01961478 - 205 - EFTA_R1_00436291 EFTA01961479 - 206 - EFTA_R1_00436292 EFTA01961480 - 207 - EFTA_R1_00436293 EFTA01961481 - 208 - EFTA_R1_00436294 EFTA01961482 - 209 - EFTA_R1_00436295 EFTA01961483 - 210 - EFTA_R1_00436296 EFTA01961484 - 211 - EFTA_R1_00436297 EFTA01961485  1 ( - 212 - EFTA_R1_00436298 EFTA01961486 - 213 - EFTA_R1_00436299 EFTA01961487 - 214 - EFTA_R1_00436300 EFTA01961488 - 215 - EFTA_R1_00436301 EFTA01961489 - 216 - EFTA_R1_00436302 EFTA01961490 - 217 - EFTA_R1_00436303 EFTA01961491 - 218 - EFTA_R1_00436304 EFTA01961492 Miscellaneous - 219 - EFTA_R1_00436305 EFTA01961493 - 220 - EFTA_R1_00436306 EFTA01961494 - 221 - EFTA_R1_00436307 EFTA01961495 - 222 - EFTA_R1_00436308 EFTA01961496 - 223 - EFTA_R1_00436309 EFTA01961497 - 224 - EFTA_R1_00436310 EFTA01961498 - 225 - EFTA_R1_00436311 EFTA01961499 - 226 - EFTA_R1_00436312 EFTA01961500 - 227 - EFTA_R1_00436313 EFTA01961501 - 228 - EFTA_R1_00436314 EFTA01961502 - 229 - EFTA_R1_00436315 EFTA01961503 - 230 - EFTA_R1_00436316 EFTA01961504 - 231 - EFTA_R1_00436317 EFTA01961505 - 232 - EFTA_R1_00436318 EFTA01961506 - 233 - EFTA_R1_00436319 EFTA01961507 - 234 - EFTA_R1_00436320 EFTA01961508 - 235 - EFTA_R1_00436321 EFTA01961509 - 236 - EFTA_R1_00436322 EFTA01961510 - 237 - EFTA_R1_00436323 EFTA01961511 - 238 - EFTA_R1_00436324 EFTA01961512 - 239 - EFTA_R1_00436325 EFTA01961513 - 240 - EFTA_R1_00436326 EFTA01961514 - 241 - EFTA_R1_00436327 EFTA01961515 - 242 - EFTA_R1_00436328 EFTA01961516 - 243 - EFTA_R1_00436329 EFTA01961517 - 244 - EFTA_R1_00436330 EFTA01961518 - 245 - EFTA_R1_00436331 EFTA01961519 - 246 - EFTA_R1_00436332 EFTA01961520 - 247 - EFTA_R1_00436333 EFTA01961521 - 248 - EFTA_R1_00436334 EFTA01961522 - 249 - EFTA_R1_00436335 EFTA01961523 - 250 - EFTA_R1_00436336 EFTA01961524 - 251 - EFTA_R1_00436337 EFTA01961525 - 252 - EFTA_R1_00436338 EFTA01961526 - 253 - EFTA_R1_00436339 EFTA01961527 - 254 - EFTA_R1_00436340 EFTA01961528 - 255 - EFTA_R1_00436341 EFTA01961529 - 256 - EFTA_R1_00436342 EFTA01961530 - 257 - EFTA_R1_00436343 EFTA01961531 - 258 - EFTA_R1_00436344 EFTA01961532 - 259 - EFTA_R1_00436345 EFTA01961533 - 260 - EFTA_R1_00436346 EFTA01961534 - 261 - EFTA_R1_00436347 EFTA01961535 - 262 - EFTA_R1_00436348 EFTA01961536 - 263 - EFTA_R1_00436349 EFTA01961537 - 264 - EFTA_R1_00436350 EFTA01961538 - 265 - EFTA_R1_00436351 EFTA01961539 - 266 - EFTA_R1_00436352 EFTA01961540 - 267 - EFTA_R1_00436353 EFTA01961541 - 268 - EFTA_R1_00436354 EFTA01961542 - 269 - EFTA_R1_00436355 EFTA01961543 - 270 - EFTA_R1_00436356 EFTA01961544 - 271 - EFTA_R1_00436357 EFTA01961545 - 272 - EFTA_R1_00436358 EFTA01961546 - 273 - EFTA_R1_00436359 EFTA01961547 - 274 - EFTA_R1_00436360 EFTA01961548 - 275 - EFTA_R1_00436361 EFTA01961549 - 276 - EFTA_R1_00436362 EFTA01961550 - 277 - EFTA_R1_00436363 EFTA01961551 - 278 - EFTA_R1_00436364 EFTA01961552 - 279 - EFTA_R1_00436365 EFTA01961553 - 280 - EFTA_R1_00436366 EFTA01961554 - 281 - EFTA_R1_00436367 EFTA01961555 - 282 - EFTA_R1_00436368 EFTA01961556 - 283 - EFTA_R1_00436369 EFTA01961557 - 284 - EFTA_R1_00436370 EFTA01961558 - 285 - EFTA_R1_00436371 EFTA01961559 - 286 - EFTA_R1_00436372 EFTA01961560 - 287 - EFTA_R1_00436373 EFTA01961561 - 288 - EFTA_R1_00436374 EFTA01961562 - 289 - EFTA_R1_00436375 EFTA01961563 - 290 - EFTA_R1_00436376 EFTA01961564 - 291 - EFTA_R1_00436377 EFTA01961565 - 292 - EFTA_R1_00436378 EFTA01961566 - 293 - EFTA_R1_00436379 EFTA01961567 - 294 - EFTA_R1_00436380 EFTA01961568 - 295 - EFTA_R1_00436381 EFTA01961569 Sincerely, Boris Nikolic AGREED TO AND ACCEPTED THIS 3rd day of September, 2013 by: By: William H. Gates - 296 - EFTA_R1_00436382 EFTA01961570