Document:

THE SECURITIES ISSUABLE UPON EXERCISE OF
THIS WARRANT HAVE NOT BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION OR THE SECURITIES COMMISSION OF ANY STATE IN
RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), AND,
ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT
TO AN AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT AND IN
ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS AS EVIDENCED BY A LEGAL OPINION OF COUNSEL TO THE TRANSFEROR TO SUCH EFFECT, THE
SUBSTANCE OF WHICH SHALL BE REASONABLY ACCEPTABLE TO THE COMPANY.

 

MANDALAY DIGITAL GROUP, INC. 

 

COMMON STOCK WARRANT 

 

Effective Date: March 19, 2012

Documentation Date: May 16, 2012

 

Mandalay Digital Group,
Inc., a Delaware corporation (the “Company”) hereby certifies that, for value received,           (together
with his/its registered assigns, “Holder”), is entitled to purchase from the Company up to          shares of
Common Stock (each such share, a “Warrant Share” and all such shares, the “Warrant Shares”),
at any time and from time to time from and after March 19, 2013 (the “First Exercise Date”), through and including
March 19, 2017 (the “Expiration Date”), subject to the following terms and conditions set forth below.

 

The parties agree and
acknowledge that this Warrant (i) is being documented and signed on the Documentation Date listed above but is effective and issued
as of the Effective Date listed above and (ii) fully satisfies all agreements between the parties that called for the issuance
of a warrant in connection with equity and/or debt investments made by the Holder in the Company.

 

1.           Definitions.
As used in this Warrant, the following terms shall have the respective definitions set forth in this Section 1.

 

“Business
Day” means any day except Saturday, Sunday and any day that is a federal legal holiday in the United States or a day
on which banking institutions in the State of California are authorized or required by law or other government action to close.

 

“California
Courts” means the state and federal courts sitting in Los Angeles County, California.

 

“Common Stock”
means the common stock of the Company, par value $0.0001 per share, and any securities into which such common stock may hereafter
be reclassified.

 

“Exercise
Price” means $0.70, subject to adjustment in accordance with Section 9.

 

    	 

    	 

    

 

“Fundamental
Transaction” means any of the following: (1) the Company effects any merger or consolidation of the Company with or into
another Person, (2) the Company effects any sale of all or substantially all of its assets in one or a series of related transactions,
(3) any tender offer or exchange offer (whether by the Company or another Person) is completed pursuant to which holders of Common
Stock are permitted to tender or exchange their shares for other securities, cash or property, or (4) the Company effects any reclassification
of the Common Stock or any compulsory share exchange pursuant to which the Common Stock is effectively converted into or exchanged
for other securities, cash or property.

 

“Person”
means any entity, corporation, company, association, joint venture, joint stock company, partnership (whether general, limited
or limited liability), trust, limited liability company, real estate investment trust, organization, individual (including any
personal representative, executor or heir of a deceased individual), nation, state, government (including any agency, department,
bureau, board, division or instrumentality thereof), trustee, receiver or liquidator.

 

“Trading Day”
means (i) a day on which the Common Stock is traded on a Trading Market (other than the OTC Bulletin Board), or (ii) if the
Common Stock is not listed on a Trading Market (other than the OTC Bulletin Board), a day on which the Common Stock is traded in
the over-the-counter market, as reported by the OTC Bulletin Board, or (iii) if the Common Stock is not quoted on any Trading Market,
a day on which the Common Stock is quoted in the over-the-counter market as reported by the highest tier of the OTC Markets on
which the Common Stock is then quoted (or any similar organization or agency succeeding to its functions of reporting prices);
provided, that in the event that the Common Stock is not listed or quoted as set forth in (i), (ii) and (iii) hereof, then Trading
Day shall mean a Business Day.

 

“Trading Market”
means any of the following markets or exchanges on which the

 

Common Stock is listed or quoted for trading
on the date in question: the NYSE AMEX, the Nasdaq Capital Market, the Nasdaq Global Market, the Nasdaq Global Select Market, the
New York Stock Exchange or the OTC Bulletin Board (or any successors to any of the foregoing).

 

2.           Registration
of Warrant. The Company shall register this Warrant upon records to be maintained by the Company for that purpose (the “Warrant
Register”), in the name of the record Holder hereof from time to time. The Company may deem and treat the registered
Holder of this Warrant as the absolute owner hereof for the purpose of any exercise hereof or any distribution to the Holder, and
for all other purposes, absent actual notice to the contrary.

 

3.           Registration
of Transfers. The Company shall register the transfer of any portion of this Warrant in the Warrant Register, upon surrender
of this Warrant, with the Form of Assignment attached hereto duly completed and signed, to the Company at its address specified
herein. Upon any such registration or transfer, a new Warrant to purchase Common Stock, in substantially the form of this Warrant
(any such new Warrant, a “New Warrant”), evidencing the portion of this Warrant so transferred shall be issued
to the transferee and a New Warrant evidencing the remaining portion of this Warrant not so transferred, if any, shall be issued
to the transferring Holder. The acceptance of the New Warrant by the transferee thereof shall be deemed the acceptance by such
transferee of all of the rights and obligations of a holder of a Warrant.

 

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4.           Exercise
and Duration of Warrants. This Warrant shall be exercisable by the registered Holder at any time and from time to time from
and after the First Exercise Date through and including the Expiration Date. At 5:00 p.m., Los Angeles time on the Expiration Date,
the portion of this Warrant not exercised prior thereto shall be and become void and of no value. The Company may not call or redeem
any portion of this Warrant without the prior written consent of the affected Holder.

 

5.           Delivery
of Warrant Shares.

 

(a)          To
effect exercises hereunder, the Holder shall not be required to physically surrender this Warrant unless the aggregate Warrant
Shares represented by this Warrant is being exercised. Upon delivery of the Exercise Notice (in the form attached hereto) to the
Company (with the attached Warrant Shares Exercise Log) at its address for notice set forth herein and upon payment of the Exercise
Price multiplied by the number of Warrant Shares that the Holder intends to purchase hereunder, the Company shall promptly issue
and deliver to the Holder, a certificate for the Warrant Shares issuable upon such exercise, which shall bear a restricted stock
legend under the Securities Act, similar to the one on the face of this Warrant, unless (i) such exercise is pursuant to Section
10(b) and (ii) as of the Date of Exercise the Holder is not, and has not been for the previous 90 days, an “affiliate”
of the Company (as defined in Rule 144 under the Securities Act). A “Date of Exercise” means the date on which
the Holder shall have delivered to the Company: (i) the Exercise Notice (with the Warrant Exercise Log attached to it), appropriately
completed and duly signed and (ii) if such Holder is not utilizing the cashless exercise provisions set forth in the Warrant, payment
of the Exercise Price for the number of Warrant Shares so indicated by the Holder to be purchased.

 

(b)          The
Company’s obligations to issue and deliver Warrant Shares in accordance with the terms hereof are absolute and unconditional,
irrespective of any action or inaction by the Holder to enforce the same, any waiver or consent with respect to any provision hereof,
the recovery of any judgment against any Person or any action to enforce the same, or any setoff, counterclaim, recoupment, limitation
or termination, or any breach or alleged breach by the Holder or any other Person of any obligation to the Company or any violation
or alleged violation of law by the Holder or any other Person, and irrespective of any other circumstance which might otherwise
limit such obligation of the Company to the Holder in connection with the issuance of Warrant Shares. Nothing herein shall limit
a Holder’s right to pursue any other remedies available to it hereunder, at law or in equity including, without limitation,
a decree of specific performance and/or injunctive relief with respect to the Company’s failure to timely deliver certificates
representing Warrant Shares upon exercise of the Warrant as required pursuant to the terms hereof.

 

6.           Charges,
Taxes and Expenses. Issuance and delivery of Warrant Shares upon exercise of this Warrant shall be made without charge to the
Holder for any issue or transfer tax, withholding tax, transfer agent fee or other incidental tax or expense in respect of the
issuance of such certificates, all of which taxes and expenses shall be paid by the Company; provided, however, that the Company
shall not be required to pay any tax which may be payable in respect of any transfer involved in the registration of any certificates
for Warrant Shares or Warrants in a name other than that of the Holder. The Holder shall be responsible for all other tax liability
that may arise as a result of holding or transferring this Warrant or receiving Warrant Shares upon exercise hereof.

 

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7.           Replacement
of Warrant. If this Warrant is mutilated, lost, stolen or destroyed, the Company shall issue or cause to be issued in exchange
and substitution for and upon cancellation hereof, or in lieu of and substitution for this Warrant, a New Warrant, but only upon
receipt of evidence reasonably satisfactory to the Company of such loss, theft or destruction and customary and reasonable indemnity
(which shall not include a surety bond), if requested. Applicants for a New Warrant under such circumstances shall also comply
with such other reasonable regulations and procedures and pay such other reasonable third-party costs as the Company may prescribe.
If a New Warrant is requested as a result of a mutilation of this Warrant, then the Holder shall deliver such mutilated Warrant
to the Company as a condition precedent to the Company’s obligation to issue the New Warrant.

 

8.           Reservation
of Warrant Shares. The Company covenants that it will at all times reserve and keep available out of the aggregate of its authorized
but unissued and otherwise unreserved Common Stock, solely for the purpose of enabling it to issue Warrant Shares upon exercise
of this Warrant as herein provided, the number of Warrant Shares which are then issuable and deliverable upon the exercise of this
entire Warrant (taking into account the adjustments and restrictions of Section 9). The Company covenants that all Warrant Shares
so issuable and deliverable shall, upon issuance and the payment of the applicable Exercise Price in accordance with the terms
hereof, be duly and validly authorized, issued and fully paid and nonassessable.

 

9.           Certain
Adjustments. The Exercise Price and number of Warrant Shares issuable upon exercise of this Warrant are subject to adjustment
from time to time as set forth in this Section 9.

 

(a)          Stock
Dividends and Splits. If the Company (i) pays a stock dividend on its Common Stock or otherwise makes a distribution on any
class of capital stock that is payable in shares of Common Stock, (ii) subdivides outstanding shares of Common Stock into a larger
number of shares, or (iii) combines outstanding shares of Common Stock into a smaller number of shares, then in each such case
the Exercise Price shall be multiplied by a fraction of which the numerator shall be the number of shares of Common Stock outstanding
immediately before such event and of which the denominator shall be the number of shares of Common Stock outstanding immediately
after such event. Any adjustment made pursuant to clause (i) of this paragraph shall become effective immediately after the record
date for the determination of stockholders entitled to receive such dividend or distribution, and any adjustment pursuant to clause
(ii) or (iii) of this paragraph shall become effective immediately after the effective date of such subdivision or combination.

 

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(b)          Fundamental
Transactions. If, at any time while this Warrant is outstanding there is a Fundamental Transaction, then the Holder shall have
the right thereafter to receive, upon exercise of this Warrant, the same amount and kind of securities, cash or property as it
would have been entitled to receive upon the occurrence of such Fundamental Transaction if it had been, immediately prior to such
Fundamental Transaction, the holder of the number of Warrant Shares then issuable upon exercise in full of this Warrant (the “Alternate
Consideration”). For purposes of any such exercise, the determination of the Exercise Price shall be appropriately adjusted
to apply to such Alternate Consideration based on the amount of Alternate Consideration issuable in respect of one share of Common
Stock in such Fundamental Transaction, and the Company shall apportion the Exercise Price among the Alternate Consideration in
a reasonable manner reflecting the relative value of any different components of the Alternate Consideration. If holders of Common
Stock are given any choice as to the securities, cash or property to be received in a Fundamental Transaction, then the Holder
shall be given the same choice as to the Alternate Consideration it receives upon any exercise of this Warrant following such Fundamental
Transaction. The terms of any agreement pursuant to which a Fundamental Transaction is effected shall include terms requiring any
such successor or surviving entity to comply with the provisions of this paragraph (b) and insuring that the Warrant (or any such
replacement security) will be similarly adjusted upon any subsequent transaction analogous to a Fundamental Transaction.

 

(c)          Number
of Warrant Shares. Simultaneously with any adjustment to the Exercise Price pursuant to this Section 9, the number of Warrant
Shares that may be purchased upon exercise of this Warrant shall be increased or decreased proportionately, so that after such
adjustment the aggregate Exercise Price payable hereunder for the adjusted number of Warrant Shares shall be the same as the aggregate
Exercise Price in effect immediately prior to such adjustment.

 

(d)          Calculations.
All calculations under this Section 9 shall be made to the nearest cent or the nearest 1/100th of a share, as applicable.
The number of shares of Common Stock outstanding at any given time shall not include shares owned or held by or for the account
of the Company, and the disposition of any such shares shall be considered an issue or sale of Common Stock.

 

(e)          Notice
of Adjustments. Upon the occurrence of each adjustment pursuant to this Section 9, the Company at its expense will promptly
compute such adjustment in accordance with the terms of this Warrant and prepare a certificate setting forth such adjustment, including
a statement of the adjusted Exercise Price and adjusted number or type of Warrant Shares or other securities issuable upon exercise
of this Warrant (as applicable), describing the transactions giving rise to such adjustments and showing in detail the facts upon
which such adjustment is based. Upon written request, the Company will promptly deliver a copy of each such certificate to the
Holder and to the Company’s Transfer Agent.

 

(f)          Notice
of Corporate Events. If the Company (i) declares a dividend or any other distribution of cash, securities or other property
in respect of its Common Stock, including without limitation any granting of rights or warrants to subscribe for or purchase any
capital stock of the Company or any subsidiary of the Company, (ii) authorizes or approves, enters into any agreement contemplating
or solicits stockholder approval for any Fundamental Transaction or (iii) authorizes the voluntary dissolution, liquidation or
winding up of the affairs of the Company, then the Company shall deliver to the Holder a notice describing the material terms and
conditions of such transaction (but only to the extent such disclosure would not result in the dissemination of material, non-public
information to the Holder) at least 10 calendar days prior to the applicable record or effective date on which a Person would need
to hold Common Stock in order to participate in or vote with respect to such transaction, and the Company will take all steps reasonably
necessary in order to insure that the Holder is given the practical opportunity to exercise this Warrant prior to such time so
as to participate in or vote with respect to such transaction; provided, however, that the failure to deliver such notice or any
defect therein shall not affect the validity of the corporate action required to be described in such notice.

 

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10.         Payment
of Exercise Price. The Holder may pay the Exercise Price in one of the following manners:

 

(a)          Cash
Exercise. The Holder may deliver immediately available funds; or

 

(b)          Cashless
Exercise. If an Exercise Notice is delivered at a time when a registration statement permitting the Holder to resell the Warrant
Shares is not then effective or the prospectus forming a part thereof is not then available to the Holder for the resale of the
Warrant Shares, then the Holder may notify the Company in an Exercise Notice of its election to utilize cashless exercise, in which
event the Company shall issue to the Holder the number of Warrant Shares determined as follows:

 

X = Y [(A-B)/A]

 

where:

 

X = the number of Warrant Shares to be issued to
the Holder.

 

Y = the number of Warrant Shares with respect to
which this Warrant is being exercised.

 

A = the average of the closing prices for the 30
Trading Days immediately prior to (but not including) the Date of Exercise.

 

B = the Exercise Price.

 

For purposes of Rule 144 promulgated under
the Securities Act, it is intended, understood and acknowledged that the Warrant Shares issued in a cashless exercise transaction
shall be deemed to have been acquired by the Holder, and the holding period for the Warrant Shares shall be deemed to have commenced,
on the date this Warrant was originally issued.

 

11.         No
Fractional Shares. No fractional shares of Warrant Shares will be issued in connection with any exercise of this Warrant. In
lieu of any fractional shares which would, otherwise be issuable, the Company shall pay cash equal to the product of such fraction
multiplied by the closing price of one Warrant Share as reported by the applicable Trading Market on the Date of Exercise.

 

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12.         Notices.
Any and all notices or other communications or deliveries hereunder (including, without limitation, any Exercise Notice) shall
be in writing and shall be deemed given and effective on the earliest of (i) the date of transmission, if such notice or communication
is delivered via facsimile at the facsimile number specified in this Section prior to 5:00 p.m. (Los Angeles time) on a Trading
Day, (ii) the next Trading Day after the date of transmission, if such notice or communication is delivered via facsimile at the
facsimile number specified in this Section on a day that is not a Trading Day or later than 5:00 p.m. (Los Angeles time) on any
Trading Day, (iii) the Trading Day following the date of mailing, if sent by nationally recognized overnight courier service, or
(iv) upon actual receipt by the party to whom such notice is required to be given. The addresses for such communications shall
be: (i) if to the Company, to Mandalay Digital Group, Inc., 4751 Wilshire Blvd., 3rd Floor, Los Angeles, California 90010, Attn:
Chief Executive Officer, or to Facsimile No.: (323) 549-9824 (or such other address as the
Company shall indicate in writing in accordance with this Section), or (ii) if to the Holder, to the address or facsimile number
appearing on the Warrant Register or such other address or facsimile number as the Holder may provide to the Company in accordance
with this Section.

 

13.         Warrant
Agent. The Company shall serve as warrant agent under this Warrant. Upon 10 days’ notice to the Holder, the Company may
appoint a new warrant agent. Any corporation into which the Company or any new warrant agent may be merged or any corporation resulting
from any consolidation to which the Company or any new warrant agent shall be a party or any corporation to which the Company or
any new warrant agent transfers substantially all of its corporate trust or shareholders services business shall be a successor
warrant agent under this Warrant without any further act. Any such successor warrant agent shall promptly cause notice of its succession
as warrant agent to be mailed (by first class mail, postage prepaid) to the Holder at the Holder’s last address as shown
on the Warrant Register.

 

14.         Investor
Representations.

 

(a)          Holder
hereby confirms that this Warrant and any shares of Common Stock or other securities of the Company issued upon exercise hereof
(collectively, “Securities”) are or will be acquired for investment for the Holder’s own account, not
as a nominee or agent, and not with a view to the resale or distribution of any part thereof, and that the Holder has no present
intention of selling, granting any participation in, or otherwise distributing the same. The Holder further represents that it
does not presently have any contract, undertaking, agreement or arrangement with any person to sell, transfer or grant participations
to such person or to any third person, with respect to any of the Securities.

 

(b)          Holder
is, and upon any issuance of Securities will be, an “accredited investor” as defined in Rule 501(a) of Regulation D
promulgated under the Securities Act.

 

(c)          Holder
has the requisite knowledge and experience in financial and business matters to assess the relative merits and risks of investment
in the Securities and has had a full opportunity to discuss with the Company all material aspects of investment in the Securities,
including the opportunity to ask, and to receive answers to its full satisfaction, regarding such questions as it has deemed necessary
to evaluate such investment.

 

(d)          Except
to the extent specifically set forth herein, the Company is making no representations and warranties with respect to the Company
or the Securities.

 

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15.         Miscellaneous.

 

(a)          This
Warrant shall be binding on and inure to the benefit of the parties hereto and their respective successors and assigns. Subject
to the preceding sentence, nothing in this Warrant shall be construed to give to any Person other than the Company and the Holder
any legal or equitable right, remedy or cause of action under this Warrant. This Warrant may be amended only in writing signed
by the Company and the Holder and their successors and assigns.

 

(b)          All
questions concerning the construction, validity, enforcement and interpretation of this Warrant shall be governed by and construed
and enforced in accordance with the internal laws of the State of California, without regard to the principles of conflicts of
law thereof. Each party agrees that all legal proceedings concerning the interpretations, enforcement and defense of this Warrant
and the transactions herein contemplated (“Proceedings”) (whether brought against a party hereto or its respective
affiliates, employees or agents) shall be commenced exclusively in the California Courts. Each party hereto hereby irrevocably
submits to the exclusive jurisdiction of the California Courts for the adjudication of any dispute hereunder or in connection herewith
or with any transaction contemplated hereby or discussed herein, and hereby irrevocably waives, and agrees not to assert in any
Proceeding, any claim that it is not personally subject to the jurisdiction of any California Court, or that such Proceeding has
been commenced in an improper or inconvenient forum. Each party hereto hereby irrevocably waives personal service of process and
consents to process being served in any such Proceeding by mailing a copy thereof via registered or certified mail or overnight
delivery (with evidence of delivery) to such party at the address in effect for notices to it under this Warrant and agrees that
such service shall constitute good and sufficient service of process and notice thereof. Nothing contained herein shall be deemed
to limit in any way any right to serve process in any manner permitted by law. Each party hereto hereby irrevocably waives, to
the fullest extent permitted by applicable law, any and all right to trial by jury in any legal proceeding arising out of or relating
to this Warrant or the transactions contemplated hereby. If either party shall commence a Proceeding to enforce any provisions
of this Warrant, then the prevailing party in such Proceeding shall be reimbursed by the other party for its attorney’s fees
and other costs and expenses incurred with the investigation, preparation and prosecution of such Proceeding.

 

(c)          The
headings herein are for convenience only, do not constitute a part of this Warrant and shall not be deemed to limit or affect any
of the provisions hereof.

 

(d)          In
case any one or more of the provisions of this Warrant shall be invalid or unenforceable in any respect, the validity and enforceability
of the remaining terms and provisions of this Warrant shall not in any way be affected or impaired thereby and the parties will
attempt in good faith to agree upon a valid and enforceable provision which shall be a commercially reasonable substitute therefor,
and upon so agreeing, shall incorporate such substitute provision in this Warrant.

 

(e)          Prior
to exercise of this Warrant, the Holder hereof shall not, by reason of being a Holder, be entitled to any rights of a stockholder
with respect to the Warrant Shares.

 

[REMAINDER OF PAGE INTENTIONALLY LEFT BLANK,

SIGNATURE PAGE FOLLOWS]

 

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IN WITNESS WHEREOF,
the Company has caused this Warrant to be duly executed by its authorized officer as of the date first indicated above.

 

	 	MANDALAY DIGITAL GROUP, INC.
	 	 	 
	 	By:	/s/ Peter Adderton
	 	Name:	Peter Adderton
	 	Title:	CEO

 

	AGREED AND ACKNOWLEDGED:	 
	 	 
	 	 
	 	 

 

Signature Page to Warrant

 

    	 

    	 

    

 

EXERCISE NOTICE

MANDALAY DIGITAL GROUP, INC.

WARRANT EFFECTIVE MARCH 19, 2012

 

The undersigned Holder hereby irrevocably
elects to purchase _____________ shares of Common Stock pursuant to the above referenced Warrant. Capitalized terms used herein
and not otherwise defined have the respective meanings set forth in the Warrant.

 

(1)         The
undersigned Holder hereby exercises its right to purchase _________________ Warrant Shares pursuant to the Warrant.

 

(2)         The
Holder intends that payment of the Exercise Price shall be made as (check one):

 

 ̈  “Cash
Exercise” under Section 10

 

 ̈  “Cashless
Exercise” under Section 10

 

(3)         If
the holder has elected a Cash Exercise, the holder shall pay the sum of $____________ to the Company in accordance with the terms
of the Warrant.

 

(4)         Pursuant
to this Exercise Notice, the Company shall deliver to the holder _______________ Warrant Shares in accordance with the terms of
the Warrant.

 

	Dated: ___________, ____	 	Name of Holder:
	 	 	 	 
	 	 	(Print)	 
	 	 	 	 
	 	 	By:	 
	 	 	Name:	 
	 	 	Title:	 
	 	 	 	 
	 	 	(Signature must conform in all respects to name of holder as specified on the face of the Warrant)

 

    	 

    	 

    

 

Warrant Shares Exercise Log

 

	 	 	 	 	 	 	Number of
	 	 	Number of Warrant	 	 	 	Warrant Shares
	 	 	Shares Available to be	 	Number of Warrant Shares	 	Remaining to
	Date	 	Exercised	 	Exercised	 	be Exercised
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 
	 	 	 	 	 	 	 

 

    	 

    	 

    

 

MANDALAY DIGITAL GROUP, INC.

WARRANT ORIGINALLY ISSUED MARCH 19, 2012

WARRANT

 

FORM OF ASSIGNMENT

 

[To be completed and signed only
upon transfer of Warrant]

 

FOR VALUE RECEIVED,
the undersigned hereby sells, assigns and transfers unto ________________________________ the right represented by the above-captioned
Warrant to purchase ____________ shares of Common Stock to which such Warrant relates and appoints ________________ attorney to
transfer said right on the books of the Company with full power of substitution in the premises.

 

Dated: _______________, ____

 

	 	 	 
	 	 	(Signature must conform in all respects to name of
	 	 	holder as specified on the face of the Warrant)
	 	 	 
	 	 	 
	 	 	Address of Transferee
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	In the presence of:AMENDED AND RESTATED WARRANT ISSUE
AGREEMENT

 

THIS AGREEMENT
(the “Agreement”) is made and effective as of January 1, 2011 (“Effective Date”) by and between
NEUMEDIA, INC. (f/k/a Mandalay Media, Inc.), a Delaware corporation, with its principal office located at 2121 Avenue of
the Stars, Suite 250, Los Angeles California (“NeuMedia”) and VIVID ENTERTAINMENT, LLC, a California limited
liability company, with its principal office located at 3599 Cahuenga Boulevard, 4th Floor, Los Angeles, California
(“Vivid”). Neumedia and Vivid may be collectively referred to herein as the “Parties” or individually
as a “Party.”

 

RECITALS

 

Whereas, Vivid
and The WAAT Corp. are parties to that certain Addendum No. 1 to Exclusive License Agreement dated January 1, 2003, as amended
by two letters dated as of November 3, 2004 (collectively, the “2003 Agreement”);

 

Whereas, in
or about October 2006, The WAAT Corp. (d/b/a WAAT Media Corporation), a California corporation, merged into and became Twistbox
Entertainment, Inc., a Delaware corporation (“Twistbox”) and, contemporaneous therewith, Twistbox formed WAAT,
a wholly-owned subsidiary, to which all right, title and interest under the Prior Agreement was assigned or otherwise transferred;
and

 

Whereas, on
July 1, 2009, WAAT, Twistbox, AMV Holding Limited (“AMV”) and Vivid entered into an Amended and restated Content License and
Output Agreement concerning the licensing and distribution of adult content accessible on the mobile web from a wireless device
(the “2009 Agreement”); and

 

Whereas, WAAT,
Twistbox and AMV are indebted to Vivid under the 2009 Agreement (the “Debt”); and

 

Whereas,
Twistbox is a direct wholly owned subsidiary of NeuMedia; and

 

Whereas, Vivid
had agreed to forbear collection of certain claims under the 2003 Agreement in exchange for a warrant to acquire One Million Two
Hundred Thousand (1,200,000) shares of the common stock of NeuMedia at an exercise price of One Dollar Twenty-Five Cents ($1.25)
per share (the “2009 Warrant”); and

 

Whereas, NeuMedia
issued the 2009 Warrant to Vivid; and

 

Whereas, Vivid
has agreed to forbear collection of Five Hundred Fifty Thousand ($550,000) Dollars of the Debt provided NeuMedia amends the 2009
Warrant by granting Vivid the right to acquire One Million Five Hundred Thousand (1,500,000) shares of the common stock of NeuMedia
at an exercise price of Twenty-Five Cents ($0.25) per share.

 

NOW, THEREFORE,
in consideration of the mutual promises made herein, and other good and valuable consideration, the receipt and sufficiency
of which is hereby acknowledged, the Parties agree as follows:

 

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1.          Warrant.          On
or before March 15, 2011, NeuMedia shall issue to Vivid (or its designees) an amended warrant (the “Amended Warrant”)
increasing the number of shares to 1,500,000 shares of Common Stock, par value $0.0001 per share, of NeuMedia and reducing the
purchase price per share to amount equal to $0.25 per share based on the terms and conditions set forth in the Amended Warrant.

 

2.          Counterparts.
This Agreement and any amendment hereto or any other agreement (or document) delivered pursuant hereto may be executed in
one or more counterparts and by different parties in separate counterparts. All of such counterparts will constitute one and the
same agreement (or other document) and will become effective (unless otherwise provided therein) when one or more counterparts
have been signed by each party and delivered to the other party.

 

3.          Governing
Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California. Any action,
suit, or other legal proceeding that is commenced to resolve any matter arising under or relating to any provision of this Agreement
shall be commenced only in a court of the State of California (or, if appropriate, a federal court located within California,
and Vivid and NeuMedia each consents to the jurisdiction of such a court.

 

IN WITNESS WHEREOF,
each of the parties hereto has executed this Agreement or caused this Agreement to be executed by its duly authorized officers
as of the day and year first above written.

 

	NEUMEDIA, INC.	 	 	VIVID ENTERTAINMENT, LLC
	 	 	 	 	 
	By:	[ILLEGIBLE]	 	By:	[ILLEGIBLE]
	 	 	 	 	 
	Name:	[ILLEGIBLE]	 	Name:	[ILLEGIBLE]
	 	 	 	 	 
	Title:	CFO	 	Title:	CEO

 

    	2

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00205-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00205-of-00352.parquet"}]]