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Subsequent Events
9 Months Ended
Sep. 30, 2011
Notes to Financial Statements 
Subsequent Events

NOTE 13 - SUBSEQUENT EVENTS 

 

On October 31, 2011, the stockholders approved the authorization of the board of directors, in its discretion, to amend the Amended and Restated Certificate of Incorporation of the Company to effect a reverse stock split of the Company’s common stock at a ratio of one-for-two to one-for-four, such ratio to be determined by the board of directors (the “Reverse Stock Split”), which approval will allow the board of directors to effect the Reverse Stock Split any time prior to the Company’s annual meeting of stockholders in 2012.

 

On October 31, 2011, the stockholders approved the amendment of the Umbrella Plan to increase the number of shares of the Company’s common stock availabe for issuance pursuant to awards under the Umbrella Plan by 5,531,900 shares to a total of 15,000,000 shares, which would provide an incentive to attract and retain employees, consultants, and service providers.

 

On November 13th, 2011, a previous finder of InspireMD Ltd. (the "Subsidiary") submitted to the Magister Court in Tel Aviv a claim against the Company , the Subsidiary and the Company's President and CEO for a declaratory ruling that it is entitled to convert 13,650 options to purchase the Subsidiary's ordinary shares in an exercise price of USD3.67 per option into 110,785 of the Company's common stock at an exercise price of $0.45 per option, and to convert 4,816 options to purchase the Subsidiary's ordinary shares in an exercise price of USD10 per option into 39,087 of common stock at an exercise price of $1.23 per option. The statement of claims in such proceedings was served to the Company today, the 14th of November, 2011. After consulting with its legal advisor and due to the lack of time to review all the materials related to this claim the Company is unable to assess the probable outcome of this claim.