Exhibit
10.15


 


EMPLOYMENT AGREEMENT


 


This EMPLOYMENT AGREEMENT (this
“Agreement”), entered into on October 22, 2020 with the commencement of employment to begin as of December
1, 2020 (the “Commencement Date”), is by and between MATINAS BIOPHARMA HOLDINGS, INC., a Delaware corporation (the
“Company”) and Dr. Hui Liu (the “Executive”).


 


W I T N E S S E T H:


 


WHEREAS, the Company desires
to employ the Executive as its Senior Vice President and Chief Technology Officer and the Executive desires to accept such employment,
on the terms and conditions set forth in this Agreement; and


 


WHEREAS, the Company and
the Executive have mutually agreed that, as of the Commencement Date, this Agreement shall govern the terms of employment between the
Executive and the Company.


 


NOW, THEREFORE, in consideration
of the promises and the mutual covenants and agreements contained herein and other good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, the parties hereto, intending to be legally bound hereby, agree as follows:


 


ARTICLE
1

Employment;TERM OF AGREEMENT


 


Section 1.1. Employment and
Acceptance. During the Term (as defined in Section 1.2), the Company shall employ the Executive, and the Executive shall accept
such employment and serve the Company, in each case, subject to the terms and conditions of this Agreement.


 


Section 1.2. Term. The
employment relationship hereunder shall be for the period commencing on the Commencement Date and continue until it is terminated by either
the Company or the Executive in accordance with ARTICLE 4 (the “Term”). In the event that the Executive’s
employment with the Company terminates, the Company’s obligation to continue to pay, after the Termination Date (as defined in Section
4.2(b)), Base Salary (as defined in Section 3.1(a)), Annual Bonus (as defined in Section 3.1(c)) and other unaccrued
benefits shall terminate, except as may be provided for in ARTICLE 4.


 


ARTICLE
2

TITLE; DUTIES AND OBLIGATIONS; LOCATION


 


Section 2.1. Title. The
Company shall employ the Executive to render exclusive and full-time services to the Company. The Executive shall serve in the capacity
of Chief Technology Officer.


 




    	 



     


    

 


Section 2.2. Duties. The
Executive shall report to the Company’s Chief Executive Officer (“CEO”). The Executive agrees to perform to the
best of his ability, experience and talent those acts and duties, consistent with his position as the CEO shall from time to time direct.
During the Term, the Executive also shall serve in such other executive-level positions or capacities as may, from time to time, be reasonably
requested by the Company including, without limitation (subject to election, appointment, re-election or re-appointment, as applicable)
as (a) an officer of any of the Company’s subsidiaries or other Affiliates, and/or (b) a member of any committee of the Company
and/or any of its subsidiaries or other Affiliates, in each case, for no additional compensation. As used in this Agreement, “Affiliate”
of any individual or entity means any other individual or entity that directly or individual controls, is controlled by, or is under common
control with, the individual or entity.


 


Section 2.3. Compliance with
Policies, etc. During the Term, the Executive shall be bound by, and comply fully with, all of the Company’s policies and procedures
for employees and officers in place from time to time, including, but not limited to, all terms and conditions set forth in the Company’s
employee handbook, compliance manual, codes of conduct and any other memoranda and communications applicable to the Executive pertaining
to the policies, procedures, rules and regulations, as currently in effect and as may be amended from time to time. These policies and
procedures include, among other things and without limitation, the Executive’s obligations to comply with the Company’s rules
regarding confidential and proprietary information and trade secrets.


 


Section 2.4. Time Commitment.
During the Term, the Executive shall use his best efforts to promote the interests of the Company (including its subsidiaries and other
Affiliates) and shall devote all of his business time, ability and attention to the performance of his duties for the Company and shall
not, directly or indirectly, render any services to any other person or organization, whether for compensation or otherwise, except with
the Board’s prior written consent or as specified on Exhibit C of the Covenants Agreement (as defined in Section 5.1), provided
that the foregoing shall not prevent the Executive from (i) participating in charitable, civic, educational, professional, community or
industry affairs, or (ii) managing the Executive’s passive personal investments, so long as, in each case, such activities individually
or in the aggregate do not materially interfere or conflict with the Executive’s duties hereunder or create a potential business
or fiduciary conflict (in each case, as determined by the Board).


 


Section 2.5. Location.
The Executive’s principal place of business for the performance of his duties under this Agreement shall be at the principal executive
office of the Company, currently located in Bedminster, NJ. Notwithstanding, the foregoing, the Executive shall be required to travel
as necessary to perform his duties hereunder.


 


ARTICLE
3

COMPENSATION AND BENEFITS; EXPENSES


 


Section 3.1. Compensation and
Benefits. For all services rendered by the Executive in any capacity during the Term (including, without limitation, serving as an
officer, director or member of any committee of the Company or any of its subsidiaries or other Affiliates), the Executive shall be compensated
as follows (subject, in each case, to the provisions of Article 4 below):


 


(a)
Base Salary. The Company shall pay the Executive a base salary (the “Base Salary”) at the annualized rate of $350,000, which
shall be subject to customary withholdings and authorized deductions and be payable in equal installments in accordance with the Company’s
customary payroll practices in place from time to time. The Executive’s Base Salary shall be subject to periodic adjustments as
the Board and/or the Compensation Committee of the Board (the “Compensation Committee”) shall in its/their discretion deem
appropriate. As used in this Agreement, the term “Base Salary” shall refer to Base Salary as may be adjusted from time to
time.


 




    	-2-



     


    

 


(b) Signing Bonus. The
Company agrees to pay the Executive a signing bonus of $50,000, payable in the first pay period following the Commencement Date.


 


(c) Annual Bonus. For each
calendar year ending during the Term, the Executive shall be eligible to receive an annual bonus (the “Annual Bonus”)
with a target amount equal to forty percent (40%) of the Base Salary earned by the Executive for such calendar year (the “Target
Annual Bonus”). The actual amount of each Annual Bonus will be based upon the level of achievement of the Company’s corporate
objectives and the Executive’s individual objectives, in each case, as established by the Board or the Compensation Committee for
the calendar year with respect to which such Annual Bonus relates. The determination of the level of achievement of the corporate objectives
and the Executive’s individual performance objectives for a year shall be made by the Board or the Compensation Committee, in its
sole discretion. Each Annual Bonus for a calendar year, to the extent earned, will be paid in a lump sum in the following calendar year,
within the first 75 days of such following year. The Annual Bonus shall not be deemed earned until the date that it is paid. Accordingly,
in order for the Executive to receive an Annual Bonus, the Executive must be actively employed by the Company at the time of such payment.


 


(d) Equity Compensation.
Subject to the approval of the Board, the Company will recommend a grant to the Executive of options to purchase up to 350,000 shares
of the Company’s common stock pursuant to the Company’s 2013 Equity Compensation Plan, as amended and restated (the “2013
Plan”), on the terms and conditions determined by the Compensation Committee (the “Option”). The Option shall
vest over four (4) years as follows: 25% of the shares subject to the Option shall vest on the one-year anniversary of the Commencement
Date, and the remaining 75% of the shares subject to the Option will vest in equal monthly installments over the following thirty-six
(36) months. During the Term, subject to the terms and conditions established within the 2013 Plan or any successor equity compensation
plan as may be in place from time to time and separate Award Agreements (as defined in the 2013 Plan), the Executive also shall be eligible
to receive from time to time additional Stock Options, Stock Unit Awards, Performance Shares, Performance Units, Incentive Bonus Awards,
Other Cash-Based Awards and/or Other Stock-Based Awards (as such capitalized terms are defined in the 2013 Plan), in amounts, if any,
to be approved by the Board or the Compensation Committee in its discretion.


 


(e) Benefit Plans. The
Executive shall be entitled to participate in all employee benefit plans and programs (excluding severance plans, if any) generally made
available by the Company to senior executives of the Company, to the extent permissible under the general terms and provisions of such
plans or programs and in accordance with the provisions thereof. The Company may amend, modify or rescind any employee benefit plan or
program and/or change employee contribution amounts to benefit costs without notice in its discretion.


 




    	-3-



     


    

 


(f) Paid Vacation. The
Executive shall be entitled to paid vacation days in accordance with the Company’s vacation policies in effect from time to time
for its executive team; provided, however, that the Executive shall be entitled to no less than fifteen (15) paid vacation days per calendar
year during the Term.


 


(g) Relocation Benefits.
The Company agrees to pay the Executive a relocation expense payment of $50,000 (“Relocation Expense Payment”), payable
in the first pay period following the Commencement Date, which is intended to be used towards the following: (a) reimbursement of the
Executive’s existing rental obligations in Massachusetts, (b) a portion of the down payment for purchase of the Executive’s
new home in New Jersey and (c) closing costs associated with the purchase of the home in New Jersey. If and to the extent that the Relocation
Expense Payment is subject to income and/or employment taxes, then the Executive will be entitled to receive an additional payment (a
“Gross-Up Payment”) such that, after payment by Executive of all such taxes thereon, including any income and/or employment
taxes imposed upon the Gross-Up Payment, the Executive retains an amount equal to the Relocation Expense Payment amount. In the event
that the Executive terminates his employment with the Company prior to the two-year anniversary of the Commencement Date, the Executive
shall promptly repay in cash to the Company the full amount paid to the Executive in respect of the Relocation Expense Payment.


 


Section 3.2. Expense Reimbursement.
The Company shall reimburse the Executive during the Term, in accordance with the Company’s expense reimbursement policies in place
from time, for all reasonable out-of-pocket business expenses incurred by the Executive in the performance of his duties hereunder. In
order to receive such reimbursement, the Executive shall furnish to the Company documentary evidence of each such expense in the form
required to comply with the Company’s policies in place from time to time.


 


ARTICLE
4

TERMINATION OF EMPLOYMENT


 


Section 4.1. Termination
Without Cause or Resignation for Good Reason.


 


(a) The Company may terminate
the Executive’s employment hereunder at any time without Cause (other than by reason of death or Disability) upon five (5) days
prior written notice to the Executive. Executive may terminate his employment hereunder for Good Reason upon written notice to the Company
in accordance with the provisions set forth in Section 4.1(c).


 


(b) As used in this Agreement,
“Cause” means: (i) a material act, or act of fraud, committed by the Executive that is intended to result in the Executive’s
personal enrichment to the detriment or at the expense of the Company or any of its Affiliates; (ii) the Executive is convicted of a felony;
(iii) gross negligence or willful misconduct by the Executive, or failure by the Executive to perform the duties or obligations reasonably
assigned to the Executive by the Board or the CEO from time to time, which is not cured upon ten (10) days prior written notice (unless
such negligence, misconduct or failure is not susceptible to cure, as determined in the reasonable discretion of the Board); or (iv) the
Executive violates the Covenants Agreement (as defined in Section 5.1 below).


 




    	-4-



     


    

 


(c) As used in this Agreement,
“Good Reason” means the occurrence of any of the following: (1) a material breach by the Company of the terms of this
Agreement; (2) a material reduction in the Executive’s Base Salary; or (3) a material change in the geographic location at which
the Executive performs services for the Company; provided, however, that the Executive must notify the Company within ninety (90) days
of the occurrence of any of the foregoing conditions that he considers it to be a “Good Reason” condition and provide the
Company with at least thirty (30) days in which to cure the condition. If the Executive fails to provide this notice and cure period prior
to his resignation, or resigns more than six (6) months after the initial existence of the condition, his resignation will not be deemed
to be for “Good Reason.”


 


(d) If the Executive’s
employment is terminated pursuant to Section 4.1(a) other than during the Post-Change in Control Period (as defined in Section
4.1(e)), the Executive shall, in full discharge of all of the Company’s obligations to the Executive, be entitled to receive,
and the Company’s sole obligation to the Executive under this Agreement or otherwise shall be to pay or provide to the Executive,
the following:


 


(i) the Accrued Obligations
(as defined in Section 4.2(b)); and


 


(ii) subject to Section
4.4 and Section 4.5:


 


(A) payments equal
to twelve (12) months of the Executive’s Base Salary (at the rate in effect immediately prior to the Termination Date) (less applicable
withholdings and authorized deductions), to be paid in equal installments bimonthly in accordance with the Company’s customary payroll
practices, commencing sixty (60) days following the Termination Date (the “Pre-CIC Severance Payments”); and


 


(B) if the Executive
then participates in the Company’s medical and/or dental plans and the Executive timely elects to continue and maintain group health
plan coverage pursuant to the Consolidated Omnibus Budget Reconciliation Act of 1985, as amended (“COBRA”), the Company
will pay monthly, on the Executive’s behalf, a portion of the cost of such coverage for the twelve (12) months after the Termination
Date, which payments will be equal to the amount of the monthly premium for such coverage, less the amount that the Executive would have
been required to pay if the Executive had remained an active employee of the Company (the “Pre-CIC COBRA Assistance”);
provided, however, that if and to the extent that the Company may not provide such Pre-CIC COBRA Assistance without incurring tax
penalties or violating any requirement of the law, the Company shall use its commercially reasonable best efforts to provide substantially
similar assistance in an alternative manner provided that the cost of doing so does not exceed the cost that the Company would have incurred
had the Pre-CIC COBRA Assistance been provided in the manner described above or cause a violation of Section 409A (as defined in Section
5.16).


 


(e) If the Executive’s
employment is terminated pursuant to Section 4.1(a) during the twelve (12) months immediately following a Change in Control (as
defined below) (the “Post-Change in Control Period”), the Executive shall, in full discharge of all of the Company’s
obligations to the Executive (and in lieu of any payments and benefits set forth in Section 4.1(d)), be entitled to receive, and
the Company’s sole obligation to the Executive under this Agreement or otherwise shall be to pay or provide to the Executive, the
following:


 


(i) the Accrued Obligations;


 




    	-5-



     


    

 


(ii) full accelerated
vesting of all of the Executive’s outstanding stock options, restricted stock and other equity incentive awards; and


 


(iii) subject to Section
4.4 and Section 4.5:


 


(A) payments equal
to twelve (12) months of the Executive’s Base Salary (at the rate in effect immediately prior to the Termination Date) (less applicable
withholdings and authorized deductions), to be paid in equal installments bimonthly in accordance with the Company’s customary payroll
practices, commencing sixty (60) days following the Termination Date (the “Post-CIC Base Severance”);


 


(B) if the Executive
then participates in the Company’s medical and/or dental plans and the Executive timely elects to continue and maintain group health
plan coverage pursuant to COBRA, the Company will pay monthly, on the Executive’s behalf, a portion of the cost of such coverage
for twelve (12) months after the Termination Date, which payments will be equal to the amount of the monthly premium for such coverage,
less the amount that the Executive would have been required to pay if the Executive had remained an active employee of the Company (the
“Post-CIC COBRA Assistance”); provided, however, that if and to the extent that the Company may not provide
such Post-CIC COBRA Assistance without incurring tax penalties or violating any requirement of the law, the Company shall use its commercially
reasonable best efforts to provide substantially similar assistance in an alternative manner provided that the cost of doing so does not
exceed the cost that the Company would have incurred had the Post-CIC COBRA Assistance been provided in the manner described above or
cause a violation of Section 409A; and


 


(C) a payment equal
to the Executive’s Target Annual Bonus for the calendar year in which the Termination Date occurs, payable in a lump sum on the
60th day following the Termination Date (such payment, together with the Post-CIC Base Severance, the “Post-CIC Severance
Payments”).


 


(f) As used in this Agreement,
“Change in Control” means (x) a change in ownership of the Company under clause (i) below or (y) a change in the ownership
of a substantial portion of the assets of the Company under clause (ii) below:


 


(i) Change in the
Ownership of the Company. A change in the ownership of the Company shall occur on the date that any one person, or more than one person
acting as a group (as defined in clause (iii) below), acquires ownership of capital stock of the Company that, together with capital stock
held by such person or group, constitutes more than 50 percent of the total fair market value or total voting power of the capital stock
of the Company. However, if any one person or more than one person acting as a group, is considered to own more than 50 percent of the
total fair market value or total voting power of the capital stock of the Company, the acquisition of additional capital stock by the
same person or persons shall not be considered to be a change in the ownership of the Company. An increase in the percentage of capital
stock owned by any one person, or persons acting as a group, as a result of a transaction in which the Company acquires capital stock
in the Company in exchange for property will be treated as an acquisition of stock for purposes of this paragraph.


 




    	-6-



     


    

 


(ii) Change in the
Ownership of a Substantial Portion of the Company’s Assets. A change in the ownership of a substantial portion of the Company’s
assets shall occur on the date that any one person, or more than one person acting as a group (as defined in clause (iii) below), acquires
(or has acquired during the 12-month period ending on the date of the most recent acquisition by such person or persons) assets from the
Company that have a total gross fair market value equal to or more than 80 percent of the total gross fair market value of all of the
assets of the Company immediately prior to such acquisition or acquisitions. For this purpose, gross fair market value means the value
of the assets of the Company, or the value of the assets being disposed of, determined without regard to any liabilities associated with
such assets. There is no Change in Control under this clause (ii) when there is a transfer to an entity that is controlled by the shareholders
of the Company immediately after the transfer, as provided below in this clause (ii). A transfer of assets by the Company is not treated
as a change in the ownership of such assets if the assets are transferred to (a) a shareholder of the Company (immediately before the
asset transfer) in exchange for or with respect to its capital stock, (b) an entity, 50 percent or more of the total value or voting power
of which is owned, directly or indirectly, by the Company, (c) a person, or more than one person acting as a group, that owns, directly
or indirectly, 50 percent or more of the total value or voting power of all the outstanding capital stock of the Company, or (d) an entity,
at least 50 percent of the total value or voting power of which is owned, directly or indirectly, by a person described in clause (ii)(c)
of this paragraph. For purposes of this clause (ii), a person’s status is determined immediately after the transfer of the assets.


 


(iii) Persons Acting
as a Group. For purposes of clauses (i) and (ii) above, persons will not be considered to be acting as a group solely because they
purchase or own capital stock or purchase assets of the Company at the same time. However, persons will be considered to be acting as
a group if they are owners of a corporation that enters into a merger, consolidation, purchase or acquisition of assets or capital stock,
or similar business transaction with the Company. If a person, including an entity, owns stock in both corporations that enter into a
merger, consolidation, purchase or acquisition of assets or capital stock, or similar transaction, such shareholder is considered to be
acting as a group with other shareholders in a corporation only with respect to the ownership in that corporation before the transaction
giving rise to the change and not with respect to the ownership interest in the other corporation. For purposes of this paragraph, the
term “corporation” shall have the meaning assigned such term under Treasury Regulation section 1.280G-1, Q&A-45.


 


(iv) Each of clauses
(i) through (iii) above shall be construed and interpreted consistent with the requirements of Section 409A and any Treasury Regulations
or other guidance issued thereunder.


 




    	-7-



     


    

 


Section 4.2. Termination for
Cause; Voluntary Termination.


 


(a) The Company may terminate
the Executive’s employment hereunder at any time for Cause upon written notice to the Executive. The Executive may voluntarily terminate
his employment hereunder at any time without Good Reason upon sixty (60) days prior written notice to the Company; provided, however,
the Company reserves the right, upon written notice to the Executive, to accept the Executive’s notice of resignation and to accelerate
such notice and make the Executive’s resignation effective immediately, or on such other date prior to Executive’s intended
last day of work as the Company deems appropriate. It is understood and agreed that the Company’s election to accelerate Executive’s
notice of resignation shall not be deemed a termination by the Company without Cause for purposes of Section 4.1 of this Agreement
or otherwise or constitute Good Reason (as defined in Section 4.1) for purposes of Section 4.1 of this Agreement or otherwise.


 


(b) If the Executive’s
employment is terminated pursuant to Section 4.2(a), the Executive shall, in full discharge of all of the Company’s obligations
to the Executive, be entitled to receive, and the Company’s sole obligation under this Agreement or otherwise shall be to pay or
provide to the Executive, the following (collectively, the “Accrued Obligations”):


 


(i) the Executive’s
earned, but unpaid, Base Salary through the final date of the Executive’s employment by the Company (the “Termination Date”),
payable in accordance with the Company’s standard payroll practices;


 


(ii) the Executive’s
accrued, but unused, vacation (in accordance with the Company’s policies);


 


(iii) expenses reimbursable
under Section 3.2 above incurred on or prior to the Termination Date but not yet reimbursed; and


 


(iv) any amounts or
benefits that are vested amounts or vested benefits or that the Executive is otherwise entitled to receive under any plan, program, policy
or practice (with the exception of those, if any, relating to severance) on the Termination Date, in accordance with such plan, program,
policy, or practice.


 


Section 4.3. Termination
Resulting from Death or Disability.


 


(a) As the result of any Disability
suffered by the Executive, the Company may, upon five (5) days prior notice to the Executive, terminate the Executive’s employment
under this Agreement. The Executive’s employment shall automatically terminate upon his death.


 


(b) “Disability”
means a determination by the Company in accordance with applicable law that as a result of a physical or mental injury or illness, the
Executive is unable to perform the essential functions of his job with or without reasonable accommodation for a period of (i) ninety
(90) consecutive days; or (ii) one hundred twenty (120) days during any twelve (12) month period.


 


(c) If the Executive’s
employment is terminated pursuant to Section 4.3(a), the Executive or the Executive’s estate, as the case may be, shall be
entitled to receive, and the Company’s sole obligation under this Agreement or otherwise shall be to pay or provide to the Executive
or the Executive’s estate, as the case may be, the Accrued Obligations.


 




    	-8-



     


    

 


Section 4.4. Release Agreement.
In order to receive the Pre-CIC Severance Payments or the Post-CIC Severance Payments (collectively referred to herein as the “Severance
Payments”) or the Pre-CIC COBRA Assistance or the Post-CIC COBRA Assistance (collectively referred to herein as the “COBRA
Assistance”) set forth in Section 4.1 (if eligible), the Executive must timely execute (and not revoke) a separation
agreement and general release (the “Release Agreement”) in a form as is determined to be necessary by the Company in
its discretion. If the Executive is eligible for Severance Payments and COBRA Assistance pursuant to Section 4.1, the Company will
deliver the Release Agreement to the Executive within seven (7) calendar days following the Termination Date. The Severance Payments and
COBRA Assistance are subject to the Executive’s execution of such Release Agreement within 21 days of the Executive’s receipt
of the Release Agreement and the Executive’s non-revocation of such Release Agreement.


 


Section 4.5. Post-Termination
Breach. Notwithstanding anything to the contrary contained in this Agreement, the Company’s obligations to provide the Severance
Payments and the COBRA Assistance will immediately cease if the Executive breaches any of the provisions of the Covenants Agreement, the
Release Agreement or any other agreement the Executive has with the Company.


 


Section 4.6. Removal from any
Boards and Position. If the Executive’s employment is terminated for any reason under this Agreement, he shall be deemed (without
further action, deed or notice) to resign (i) if a member, from the Board or board of directors (or similar governing body) of any Affiliate
of the Company or any other board to which he has been appointed or nominated by or on behalf of the Company and (ii) from all other positions
with the Company or any subsidiary or other Affiliate of the Company, including, but not limited to, as an officer of the Company and
any of its subsidiaries or other Affiliates.


 


ARTICLE
5

GENERAL PROVISIONS


 


Section 5.1. Company Non-Disclosure
and Invention Assignment Agreement. The Executive agrees to sign and be bound by the Company’s Non-Disclosure and Invention
Assignment Agreement signed contemporaneously with this Agreement (the “Covenants Agreement”), the terms of which are
incorporated herein by reference. The Covenants Agreement shall survive the termination of this Agreement and the Executive’s employment
by the Company for the applicable period(s) set forth therein.


 


Section 5.2. Expenses.
Each of the Company and the Executive shall bear its/his own costs, fees and expenses in connection with the negotiation, preparation
and execution of this Agreement.


 




    	-9-



     


    

 


Section 5.3. Entire Agreement.
This Agreement and the Covenants Agreement contain the entire agreement of the parties hereto with respect to the terms and conditions
of the Executive’s employment during the Term and activities following termination of this Agreement and the Executive’s employment
with the Company and supersede any and all prior agreements and understandings, whether written or oral, between the parties hereto with
respect to the subject matter of this Agreement or the Covenants Agreement. Each party hereto acknowledges that no representations, inducements,
promises or agreements, whether oral or in writing, have been made by any party, or on behalf of any party, which are not embodied herein
or in the Covenants Agreement. The Executive acknowledges and agrees that the Company has fully satisfied, and has no further, obligations
to the Executive arising under, or relating to, any other employment or consulting arrangement or understanding (including, without limitation,
any claims for compensation or benefits of any kind) or otherwise. No agreement, promise or statement not contained in this Agreement
or the Covenants Agreement shall be valid and binding, unless agreed to in writing and signed by the parties sought to be bound thereby.


 


Section 5.4. No Other Contracts.
The Executive represents and warrants to the Company that neither the execution and delivery of this Agreement by the Executive nor the
performance by the Executive of the Executive’s obligations hereunder, shall constitute a default under or a breach of the terms
of any other agreement, contract or other arrangement, whether written or oral, to which the Executive is a party or by which the Executive
is bound, nor shall the execution and delivery of this Agreement by the Executive nor the performance by the Executive of his duties and
obligations hereunder give rise to any claim or charge against either the Executive, the Company or any Affiliate, based upon any other
contract or other arrangement, whether written or oral, to which the Executive is a party or by which the Executive is bound. The Executive
further represents and warrants to the Company that he is not a party to or subject to any restrictive covenants, legal restrictions or
other agreement, contract or arrangement, whether written or oral, in favor of any entity or person which would in any way preclude, inhibit,
impair or limit the Executive’s ability to perform his obligations under this Agreement, including, but not limited to, non-competition
agreements, non-solicitation agreements or confidentiality agreements. The Executive shall defend, indemnify and hold the Company harmless
from and against all claims, actions, losses, liabilities, damages, costs and expenses (including reasonable attorney’s fees and
amounts paid in settlement in good faith) arising from or relating to any breach of the representations and warranties made by the Executive
in this Section 5.4.


 


Section 5.5. Notices. Any
notice or other communication required or permitted hereunder shall be in writing and shall be delivered personally or sent by nationally
recognized overnight courier service (with next business day delivery requested). Any such notice or communication shall be deemed given
and effective, in the case of personal delivery, upon receipt by the other party, and in the case of a courier service, upon the next
business day, after dispatch of the notice or communication. Any such notice or communication shall be addressed as follows:


 


If to the Company,
to:


 


Matinas BioPharma Holdings,
Inc.


1545 Route 206 South,
Suite 302


Bedminster NJ 07921


Attn: Chief Executive
Officer


 






    	-10-



     


    

 


With a copy to:


 


Lowenstein Sandler LLP


1251 Avenue of the Americas


New York, New York 10020


Attn: Michael J. Lerner,
Esq.


 


If to the Executive,
to:


 


Dr. Hui Liu


 _________________________




 _________________________




 


With a copy to:


 


 ___________________




 ____________________




 


Any
person named above may designate another address or fax number by giving notice in accordance with this Section to the other persons named
above.


 


Section 5.6. Governing Law;
Jurisdiction. This Agreement shall be governed by, and construed in accordance with, the laws of the State of New Jersey, without
regard to principles of conflicts of law. Any and all actions arising out of this Agreement or Employee’s employment by Company
or termination therefrom shall be brought and heard in the state and federal courts of the State of New Jersey and the parties hereto
hereby irrevocably submit to the exclusive jurisdiction of any such courts. The Company and the
Executive HEREBY WAIVE THEIR RESPECTIVE RIGHT TO TRIAL BY JURY IN ANY ACTION CONCERNING THIS AGREEMENT OR ANY AND ALL MATTERS ARISING
DIRECTLY OR INDIRECTLY HEREFROM AND REPRESENT THAT THEY HAVE CONSULTED WITH COUNSEL OF THEIR CHOICE OR HAVE CHOSEN VOLUNTARILY NOT TO
DO SO SPECIFICALLY WITH RESEPCT TO THIS WAIVER.


 


Section 5.7. Waiver. Either
party hereto may waive compliance by the other party with any provision of this Agreement. The failure of a party to insist on strict
adherence to any term of this Agreement on any occasion shall not be considered a waiver or deprive that party of the right thereafter
to insist upon strict adherence to that term or any other term of this Agreement. No waiver of any provision shall be construed as a waiver
of any other provision. Any waiver must be in writing.


 


Section 5.8. Severability.
If any one or more of the terms, provisions, covenants and restrictions of this Agreement shall be determined by a court of competent
jurisdiction to be invalid, void or unenforceable, the remainder of the terms, provisions, covenants and restrictions of this Agreement
shall remain in full force and effect and shall in no way be affected, impaired or invalidated and the parties will attempt to agree upon
a valid and enforceable provision which shall be a reasonable substitute for such invalid and unenforceable provision in light of the
tenor of this Agreement, and, upon so agreeing, shall incorporate such substitute provision in this Agreement. In addition, if any one
or more of the provisions contained in this Agreement shall for any reason be determined by a court of competent jurisdiction to be excessively
broad as to duration, geographical scope, activity or subject, it shall be construed, by limiting or reducing it, so as to be enforceable
to the extent compatible with then applicable law.


 




    	-11-



     


    

 


Section 5.9. Counterparts.
This Agreement may be executed in any number of counterparts and each such duplicate counterpart shall constitute an original, any one
of which may be introduced in evidence or used for any other purpose without the production of its duplicate counterpart. Moreover, notwithstanding
that any of the parties did not execute the same counterpart, each counterpart shall be deemed for all purposes to be an original, and
all such counterparts shall constitute one and the same instrument, binding on all of the parties hereto.


 


Section 5.10. Advice of Counsel.
This Agreement was prepared by Lowenstein Sandler LLP in its capacity as legal counsel to the Company. Both parties hereto acknowledge
that they have had the opportunity to seek and obtain the advice of counsel before entering into this Agreement and have done so to the
extent desired, and have fully read the Agreement and understand the meaning and import of all the terms hereof.


 


Section 5.11. Assignment.
This Agreement shall inure to the benefit of the Company and its successors and assigns (including, without limitation, the purchaser
of all or substantially all of its assets) and shall be binding upon the Company and its successors and assigns. This Agreement is personal
to the Executive, and the Executive shall not assign or delegate his rights or duties under this Agreement, and any such assignment or
delegation shall be null and void.


 


Section 5.12. Agreement to
Take Actions. Each party to this Agreement shall execute and deliver such documents, certificates, agreements and other instruments,
and shall take all other actions, as may be reasonably necessary or desirable in order to perform his or its obligations under this Agreement.


 


Section 5.13. No Attachment.
Except as required by law, no right to receive payments under this Agreement shall be subject to anticipation, commutation, alienation,
sale, assignment, encumbrance, charge, pledge, or hypothecation or to execution, attachment, levy or similar process or assignment by
operation of law, and any attempt, voluntary or involuntary, to effect any such action shall be null, void and of no effect; provided,
however, that nothing in this Section 5.13 shall preclude the assumption of such rights by executors, administrators
or other legal representatives of the Executive or the Executive’s estate and their assigning any rights hereunder to the person
or persons entitled thereto.


 


Section 5.14. Source of Payment.
Except as otherwise provided under the terms of any applicable employee benefit plan, all payments provided for under this Agreement shall
be paid in cash from the general funds of Company. The Company shall not be required to establish a special or separate fund or other
segregation of assets to assure such payments, and, if the Company shall make any investments to aid it in meeting its obligations hereunder,
the Executive shall have no right, title or interest whatever in or to any such investments except as may otherwise be expressly provided
in a separate written instrument relating to such investments. Nothing contained in this Agreement, and no action taken pursuant to its
provisions, shall create or be construed to create a trust of any kind, or a fiduciary relationship, between Company and the Executive
or any other person. To the extent that any person acquires a right to receive payments from Company hereunder, such right, without prejudice
to rights which employees may have, shall be no greater than the right of an unsecured creditor of Company. The Executive shall not look
to the owners of the Company for the satisfaction of any obligations of the Company under this Agreement.


 




    	-12-



     


    

 


Section 5.15. Tax Withholding.
The Company or other payor is authorized to withhold from any benefit provided or payment due hereunder, the amount of withholding taxes
due any federal, state or local authority in respect of such benefit or payment and to take such other action as may be necessary in the
opinion of the Board to satisfy all obligations for the payment of such withholding taxes. The Executive will be solely responsible for
all taxes assessed against him with respect to the compensation and benefits described in this Agreement, other than typical employer-paid
taxes such as FICA, and the Company makes no representations as to the tax treatment of such compensation and benefits.


 


Section 5.16. 409A Compliance.
All payments under this Agreement are intended to comply with or be exempt from the requirements of Section 409A of the Code and regulations
promulgated thereunder (“Section 409A”). As used in this Agreement, the “Code” means the Internal
Revenue Code of 1986, as amended. To the extent permitted under applicable regulations and/or other guidance of general applicability
issued pursuant to Section 409A, the Company reserves the right to modify this Agreement to conform with any or all relevant provisions
regarding compensation and/or benefits so that such compensation and benefits are exempt from the provisions of 409A and/or otherwise
comply with such provisions so as to avoid the tax consequences set forth in Section 409A and to assure that no payment or benefit shall
be subject to an “additional tax” under Section 409A. To the extent that any provision in this Agreement is ambiguous as to
its compliance with Section 409A, or to the extent any provision in this Agreement must be modified to comply with Section 409A, such
provision shall be read in such a manner so that no payment due to the Executive shall be subject to an “additional tax” within
the meaning of Section 409A(a)(1)(B) of the Code. If necessary to comply with the restriction in Section 409A(a)(2)(B) of the Code concerning
payments to “specified employees,” any payment on account of the Executive’s separation from service that would otherwise
be due hereunder within six (6) months after such separation shall be delayed until the first business day of the seventh month following
the Termination Date and the first such payment shall include the cumulative amount of any payments (without interest) that would have
been paid prior to such date if not for such restriction. Each payment in a series of payments hereunder shall be deemed to be a separate
payment for purposes of Section 409A. In no event may the Executive, directly or indirectly, designate the calendar year of payment. All
reimbursements provided under this Agreement shall be made or provided in accordance with the requirements of Section 409A, including,
where applicable, the requirement that (i) any reimbursement is for expenses incurred during the Executive’s lifetime (or during
a shorter period of time specified in this Agreement), (ii) the amount of expenses eligible for reimbursement during a calendar year may
not affect the expenses eligible for reimbursement in any other calendar year, (iii) the reimbursement of an eligible expense will be
made on or before the last day of the calendar year following the year in which the expense is incurred, and (iv) the right to reimbursement
is not subject to liquidation or exchange for another benefit. Notwithstanding anything contained herein to the contrary, the Executive
shall not be considered to have terminated employment with the Company for purposes of Section 4.1 unless the Executive would be
considered to have incurred a “termination of employment” from the Company within the meaning of Treasury Regulation §1.409A-1(h)(1)(ii).
In no event whatsoever shall the Company be liable for any additional tax, interest or penalty that may be imposed on the Executive by
Section 409A or damages for failing to comply with Section 409A.


 




    	-13-



     


    

 


Section 5.17. 280G Modified
Cutback.


 


(a) If any payment, benefit or
distribution of any type to or for the benefit of the Executive, whether paid or payable, provided or to be provided, or distributed or
distributable pursuant to the terms of this Agreement or otherwise (collectively, the “Parachute Payments”) would subject
the Executive to the excise tax imposed under Section 4999 of the Code (the “Excise Tax”), the Parachute Payments shall
be reduced so that the maximum amount of the Parachute Payments (after reduction) shall be one dollar ($1.00) less than the amount which
would cause the Parachute Payments to be subject to the Excise Tax; provided that the Parachute Payments shall only be reduced to the
extent the after-tax value of amounts received by the Executive after application of the above reduction would exceed the after-tax value
of the amounts received without application of such reduction. For this purpose, the after-tax value of an amount shall be determined
taking into account all federal, state, and local income, employment and excise taxes applicable to such amount. Unless the Executive
shall have given prior written notice to the Company to effectuate a reduction in the Parachute Payments if such a reduction is required,
which notice shall be consistent with the requirements of Section 409A to avoid the imputation of any tax, penalty or interest thereunder,
then the Company shall reduce or eliminate the Parachute Payments by first reducing or eliminating accelerated vesting of stock options
or similar awards, then reducing or eliminating any cash payments (with the payments to be made furthest in the future being reduced first),
then by reducing or eliminating any other remaining Parachute Payments; provided, that no such reduction or elimination shall apply to
any non-qualified deferred compensation amounts (within the meaning of Section 409A) to the extent such reduction or elimination would
accelerate or defer the timing of such payment in manner that does not comply with Section 409A.


 


(b) An initial determination
as to whether (x) any of the Parachute Payments received by the Executive in connection with the occurrence of a change in the ownership
or control of the Company or in the ownership of a substantial portion of the assets of the Company shall be subject to the Excise Tax,
and (y) the amount of any reduction, if any, that may be required pursuant to the previous paragraph, shall be made by an independent
accounting firm selected by the Company (the “Accounting Firm”) prior to the consummation of such change in the ownership
or effective control of the Company or in the ownership of a substantial portion of the assets of the Company. The Executive shall be
furnished with notice of all determinations made as to the Excise Tax payable with respect to the Executive’s Parachute Payments,
together with the related calculations of the Accounting Firm, promptly after such determinations and calculations have been received
by the Company.


 


(c) For purposes of this Section
5.17, (i) no portion of the Parachute Payments the receipt or enjoyment of which the Executive shall have effectively waived in writing
prior to the date of payment of the Parachute Payments shall be taken into account; (ii) no portion of the Parachute Payments shall be
taken into account which in the opinion of the Accounting Firm does not constitute a “parachute payment” within the meaning
of Section 280G(b)(2) of the Code; (iii) the Parachute Payments shall be reduced only to the extent necessary so that the Parachute Payments
(other than those referred to in the immediately preceding clause (i) or (ii)) in their entirety constitute reasonable compensation for
services actually rendered within the meaning of Section 280G(b)(4) of the Code or are otherwise not subject to disallowance as deductions,
in the opinion of the auditor or tax counsel referred to in such clause (ii); and (iv) the value of any non-cash benefit or any deferred
payment or benefit included in the Parachute Payments shall be determined by the Company’s independent auditors based on Sections
280G and 4999 of the Code and the regulations for applying those sections of the Code, or on substantial authority within the meaning
of Section 6662 of the Code.


 


[Signature Page Follows]


 




    	-14-



     


    

 


IN WITNESS WHEREOF, the
parties hereto have executed this Agreement as of the day and year first above written.


 


	 	COMPANY
	 	 
	 	Matinas
    BioPharma Holdings, Inc.
	 	 	 
	 	By:	/s/
                                            Jerome D. Jabbour

	 	Name: 	Jerome
    D. Jabbour
	 	Title:
    	Chief
    Executive Officer
	 	 	 
	 	EXECUTIVE
	 	 	 
	 	 	 /s/
    Dr. Hui Liu
	 		 Dr.
    Hui Liu


 


[Signature
Page to Employment Agreement]