Document:

Exhibit
10.1

 

second
AMENDMENT TO LOAN AND GUARANTY AGREEMENT

AND
AFFIRMATION OF PLEDGE AND SECURITY AGREEMENT 

 

This
SECOND AMENDMENT TO LOAN AND GUARANTY AGREEMENT (this “Amendment”) is entered into as of September 14, 2022 (the “Second
Amendment Effective Date”), by and among VARIATION BIOTECHNOLOGIES INC., a Canadian federal corporation (“Borrower
Representative”), VBI VACCINES INC., a British Columbia corporation (“Parent”, and together with
Borrower Representative, collectively, “Borrowers”, and each, a “Borrower”), each of the parties
set forth on the signature page hereto as guarantors (“Guarantors” and each, a “Guarantor”), K2
HEALTHVENTURES LLC and any other lenders party hereto (collectively, “Lenders”, and each, a “Lender”)
constituting Required Lenders (as defined in the Loan Agreement (as defined below)), and K2 HEALTHVENTURES LLC, as administrative
agent for Lenders (in such capacity, together with its successors, “Administrative Agent”).

 

Recitals

 

WHEREAS,
(i) the parties previously entered into that certain Loan and Guaranty Agreement, dated as of May 22, 2020 (as amended by that certain
First Amendment to Loan and Guaranty Agreement and Affirmation of Pledge And Security Agreement, dated as of May 17, 2021 and as further
amended, restated, supplemented or otherwise modified prior to the date hereof, the “Existing Agreement”; the Existing
Agreement, as amended by this Amendment, the “Agreement”) by and among Borrowers, Guarantors, Lenders, Administrative
Agent and, and ANKURA TRUST COMPANY, LLC, as collateral trustee for Lenders (in such capacity, together with its successors, “Collateral
Trustee”); and (ii) certain of the parties previously entered into that certain Pledge and Security Agreement, dated as of
May 22, 2020, by and among Parent, VBI VACCINES (DELAWARE) INC., a Delaware corporation, VARIATION BIOTECHNOLOGIES (US), INC., a Delaware
corporation (collectively “US Loan Parties”), Administrative Agent and Collateral Trustee (the “Pledge and
Security Agreement”).

 

WHEREAS,
the parties desire to amend the terms of the Existing Agreement in accordance with this Amendment to, among other things, refinance,
expand and extend the Term Loan facility thereunder.

 

AGREEMENT

 

Now,
Therefore, in
consideration of the foregoing recitals and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged,
and intending to be legally bound, the parties hereto agree as follows:

 

1.
Definitions. Capitalized terms used but not defined in this Amendment shall have the respective meanings given to them in the Agreement.

 

2.
Amendment. The Existing Agreement is hereby amended as set forth in Exhibit A hereto, including to delete the stricken text
(indicated textually in the same manner as the following example: stricken text) and
to add the double-underlined text (indicated textually in the same manner as the following example: double-underlined
text).

 

3.
Limitation of Amendments. The Amendments set forth in Section 2 above, are effective for the purposes set forth herein and
shall be limited precisely as written and shall not be deemed to (a) establish a course of dealing with respect to any other amendment,
modification or waiver of any term or condition of any Loan Document or otherwise obligate Administrative Agent or any Lender to waive
any future Event of Default, or (b) otherwise prejudice any right or remedy any Secured Party may now have or may have in the future
under or in connection with any Loan Document.

 

    	 

    	 

    

 

4.
Representations. To induce Administrative Agent and Required Lenders to enter into this Amendment, each Loan Party hereby represent
and warrant as follows:

 

4.1
The representations and warranties contained in the Agreement and in other Loan Documents are true and correct in all material respects
as of the date of this Amendment (except for such representations and warranties referring to another date, which representations and
warranties are true and correct in all material respects as of such date).

 

4.2
Prior to and upon execution and delivery of this Amendment, no Event of Default has occurred and is continuing.

 

4.3
Each Loan Party has the power and authority to execute and deliver this Amendment and to perform its obligations under the Agreement
and other Loan Documents to which it is a party, in each case, as amended by this Amendment (as applicable).

 

4.4
The execution and delivery by each Loan Party of this Amendment and the performance by each Loan Party of their respective obligations
under the Agreement and the other Loan Documents to which it is a party, in each case, as amended by this Amendment (as applicable),
(a) have been duly authorized by all necessary action on the part of such Loan Party, and (b) do not and will not contravene (i) any
material Requirement of Law, (ii) any material contractual restriction in any material agreement with a Person binding on such Loan Party,
(iii) any order, judgment or decree of any Governmental Authority binding on such Loan Party, or (iv) the Operating Documents operating
of such Loan Party.

 

4.5
The execution and delivery by each Loan Party of this Amendment and the performance by each Loan Party of their respective obligations
under the Agreement and the other Loan Documents to which it is a party, in each case, as amended by this Amendment (as applicable),
do not require any order, consent, approval, license, authorization or validation of, or filing, recording or registration with, or exemption
by, Governmental Authority, except as already has been obtained or made.

 

4.6
This Amendment has been duly executed and delivered by each Loan Party and is the binding obligation of each Loan Party, enforceable
against such Loan Party in accordance with its terms, except as such enforceability may be limited by bankruptcy, insolvency, reorganization,
liquidation, moratorium or other similar laws of general application relating to or affecting creditors’ rights and by general
equitable principles.

 

5.
Conditions. As a condition to the effectiveness of this Amendment, Administrative Agent shall have received, in form and substance
satisfactory to Administrative Agent in its sole discretion, the following:

 

(a)
this Amendment, duly executed by the Loan Parties;

 

(b)
the documents and certificates set forth on Schedule 1 hereto;

 

(c)
the Amended and Restated Fee Letter, duly executed by Borrowers;

 

(d)
an updated Perfection Certificate, duly executed by Parent;

 

(e)
a disbursement letter with respect to the Term Loan to be advanced on or about the Second Amendment Effective Date;

 

(f)
a certificate of each Loan Party, duly executed by a Responsible Officer, certifying and attaching (i) the Operating Documents (certified
by the Secretary of State (or equivalent agency) on a date that is no earlier than thirty (30) days prior to the date hereof), (ii) resolutions
duly approved by the Board, (iii) any resolutions, consent or waiver duly approved by the requisite holders of each such Loan Party’s
Equity Interests, if applicable (or certifying that no such resolutions, consent or waiver is required), and (iv) a schedule of incumbency;

 

(g)
a legal opinion of US counsel to the Loan Parties, Canadian counsel to the Loan Parties and Israeli counsel to the Loan Parties; and

 

(h)
payment of all fees and Lender Expenses due on the Second Amendment Effective Date in accordance with the Amended and Restated Fee Letter
and the Agreement, as amended.

 

    	 

    	 

    

 

6.
Affirmations.

 

6.1
The Agreement, as amended hereby is reaffirmed by the Loan Parties and the Loan Parties agree and acknowledge that the Agreement,
as modified by this Amendment, remains in full force and effect and that the same is hereby ratified and confirmed in all respects.

 

6.2
The US Loan Parties agree and acknowledge that the security interest as granted pursuant to the Pledge and Security Agreement continues
to secure the Obligations from the Closing Date without novation, and this Amendment is not intended to be, and shall not constitute,
a novation.

 

6.3
The Guarantors agree and acknowledge the terms of this Amendment and confirm that the guaranty pursuant to Section 13 of the Agreement
remains in full force and effect as of the date hereof with respect to the Obligations (as modified this Amendment).

 

7.
Governing Law. Section 11 of the Agreement is incorporated herein, provided that references to the “Agreement”
shall be understood to refer to this Amendment.

 

8.
General Provisions.

 

8.1
This Amendment and the Loan Documents represent the entire agreement with respect to this subject matter and supersede prior negotiations
or agreements. All prior agreements, understandings, representations, warranties, and negotiations between the parties about the subject
matter of this Amendment and the Loan Documents merge into this Amendment and the Loan Documents.

 

8.2
This Amendment may be executed in any number of counterparts and by different parties on separate counterparts, each of which, when
executed and delivered, is an original, and all taken together, constitute one agreement. The words “execution,” “signed,”
“signature” and words of like import herein shall be deemed to include electronic signatures or the keeping of records in
electronic form, each of which shall be of the same legal effect, validity and enforceability as a manually executed signature or the
use of a paper-based recordkeeping systems, as the case may be, to the extent and as provided for in any applicable law, including, without
limitation, any state law based on the Uniform Electronic Transactions Act. Delivery of an executed counterpart of a signature page of
this Amendment or any document delivered in connection therewith by electronic means including by email delivery of a “.pdf”
format data file shall be effective as delivery of an original executed counterpart thereof.

 

8.3
This Amendment shall constitute a Loan Document.

 

[remainder
of page intentionally left blank]

 

    	 

    	 

    

 

[signature
page to second AMENDMENT TO LOAN AND GUARANTY AGREEMENT

AND
AFFIRMATION OF PLEDGE AND SECURITY AGREEMENT]

 

In
Witness Whereof, the
parties hereto have caused this Amendment to be duly executed and delivered as of the date first set forth above.

 

	 	BORROWERS:
	 	 	 
	 	Variation Biotechnologies Inc., a Canadian

                                                                                federal corporation

	 	 	 
	 	By	 /s/
    Jeffrey R. Baxter 
	 	Name:
    	 Jeffrey
    Baxter 
	 	Title:
    	 President
    and Chief Executive Officer 
	 	 	 
	 	VBI
    Vaccines Inc., a British Columbia corporation
	 	 	 
	 	By	 /s/
    Jeffrey R. Baxter 
	 	Name:
    	 Jeffrey
    R. Baxter 
	 	Title:
    	 President
    and Chief Executive Officer 
	 	 	 
	 	GUARANTORS:
	 	 	 
	 	SciVac
    Ltd., an Israeli corporation
	 	 	 
	 	By	 /s/
    Jeffrey R. Baxter 
	 	Name:
    	 Jeffrey
    R. Baxter 
	 	Title:
    	 President
    and Chief Executive Officer 
	 	 	 
	 	VBI VACCINES (DELAWARE) INC., a Delaware

                                                                                corporation

	 	 	 
	 	By	 /s/
    Jeffrey R. Baxter 
	 	Name:
    	 Jeffrey
    R. Baxter 
	 	Title:
    	 President
    and Chief Executive Officer 
	 	 	 
	 	VARIATION BIOTECHNOLOGIES (US), INC., a

                                                                                Delaware corporation

	 	 	 
	 	By	 /s/
    Jeffrey R. Baxter 
	 	Name:
    	 Jeffrey
    R. Baxter 
	 	Title:
    	 President
    and Chief Executive Officer 

 

    	 

    	 

    

 

[signature
page to second AMENDMENT TO LOAN AND GUARANTY AGREEMENT

AND
AFFIRMATION OF PLEDGE AND SECURITY AGREEMENT]

 

	ADMINISTRATIVE
    AGENT: 	 
	 	 
	K2
    HEALTHVENTURES LLC	 
	 	 	 
	By	 /s/
    Anup Arora 	 
	Name:
    	 Anup Arora 	 
	Title:
    	 Managing Director and
    Chief Investment Officer 	 
	 	 	 
	LENDER:	 
	 	 
	K2
    HEALTHVENTURES LLC	 
	 	 	 
	By	 /s/ Anup Arora 	 
	Name:
    	 Anup Arora 	 
	Title:
    	 Managing Director and
    Chief Investment Officer 	 

 

    	 

    	 

    

 

Exhibit
A

 

Conformed
loan and security agreement 

 

    	Exhibit A

    	 

    

 

LOAN
AND guaranty AGREEMENT

 

This
LOAN AND guaranty AGREEMENT (as amended, restated, supplemented or otherwise modified
from time to time, this “Agreement”) dated as of May 22, 2020 (the “Closing Date”) is entered into
among Variation Biotechnologies Inc., a Canadian federal corporation (“Borrower
Representative”), VBI Vaccines Inc., a British Columbia corporation (“Parent”,
and together with each other Person from time to time party hereto as a borrower, collectively, “Borrowers”, and each,
a “Borrower”), each of the parties set forth on the signature page hereto as guarantors (together with each other
party from time to time party hereto as a guarantor or otherwise acting as a guarantor with respect to the Obligations, collectively,
“Guarantors” and each, a “Guarantor”), K2 HEALTHVENTURES LLC and any other lender from time
to time party hereto (collectively, “Lenders”, and each, a “Lender”), K2 HEALTHVENTURES LLC,
as administrative agent for Lenders (in such capacity, together with its successors, “Administrative Agent”), and
ANKURA TRUST COMPANY, LLC, as collateral trustee for Lenders (in such capacity, together with its successors, “Collateral
Trustee”).

 

AGREEMENT

 

The
parties hereto hereby agree as follows: 

 

1.
ACCOUNTING AND OTHER TERMS

 

Accounting
terms not defined in this Agreement shall be construed in accordance with GAAP, and calculations and determinations shall be made following
GAAP, consistently applied. Capitalized terms not otherwise defined in this Agreement shall have the meanings set forth on Exhibit
A. All other terms contained in this Agreement, unless otherwise indicated, shall have the meaning provided by the Code to the extent
such terms are defined therein. As used in the Loan Documents, the word “shall” is mandatory, the word “may”
is permissive, the word “or” is not exclusive, the words “includes” and “including” are not limiting,
the singular includes the plural, and numbers denoting amounts that are set off in brackets are negative. Unless otherwise specified,
all references in this Agreement or any Annex or Schedule hereto to a “Section,” “subsection,” “Exhibit,”
“Annex,” or “Schedule” shall refer to the corresponding Section, subsection, Exhibit, Annex, or Schedule in or
to this Agreement. For purposes of the Loan Documents, whenever a representation or warranty is made to a Person’s knowledge or
awareness, knowledge or awareness means the actual knowledge, after reasonable investigation, of any Responsible Officer of such Person.
As appropriate, amounts specified herein as amounts in dollars shall be or include any relevant Dollar Equivalent amount.

 

2.
LOAN AND TERMS OF PAYMENT

 

2.1
Promise to Pay. Each Borrower hereby unconditionally promises to pay each Lender, ratably, the outstanding principal amount of all
Loans, accrued and unpaid interest, fees and charges thereon and to pay all Obligations as and when due in accordance with this Agreement.

 

2.2
Availability and Repayment or Conversion of the Loans.

 

(a)
Availability.

 

(i)
Subject to the terms and conditions of this Agreement, each Lender agrees, severally and not jointly, to make to Borrowers an
initial advance on or about the Second Amendment Effective Date in principal amount of $50,000,000 of the Restatement First
Tranche Term Loan Commitment (the “Restatement First Tranche Term Loan”). Lenders’ commitments to make
Restatement First Tranche Advance shall terminate upon the funding of the Restatement First Tranche Term Loan on or about the Second Amendment Effective Date.

 

(ii)
Subject to submission of a Loan Request, the Liquidity Requirement and the terms and conditions of this Agreement, each Lender agrees,
severally and not jointly, to make to Borrowers an advance during the Restatement Second Tranche Availability Period, (A) if at least
two Restatement Second Tranche Milestones have been achieved, in principal amount of $10,000,000 of the Restatement Second Tranche Term
Loan Commitment, or (B) if all three Restatement Second Tranche Milestones have been achieved, in principal amount equal to its Restatement
Second Tranche Term Loan Commitment (such advance, the “Initial Restatement Second Tranche Advance”), provided
that if the Initial Restatement Second Tranche Advance was made pursuant to subparagraph (A) and Borrowers subsequently achieve all
three Restatement Second Tranche Milestones, subject to submission of an additional Loan Request, the Liquidity Requirement, and the
terms and conditions of this Agreement, each Lenders agrees, severally and not jointly, to make to Borrowers an additional advance, prior
to the expiration of the Restatement Second Tranche Availability Period, in an amount equal the balance of the Restatement Second Tranche
Term Loan Commitment (the “Additional Restatement Second Tranche Advance”, and together with the Initial Restatement
Second Tranche Advance, the “Restatement Second Tranche Term Loan”). Lenders’ commitments to make the Restatement
Second Tranche Term Loan shall terminate on the earlier of (A) the end of the Restatement Second Tranche Availability Period, or (B)
the date the Restatement Second Tranche Term Loan in an amount equal to the Restatement Second Tranche Term Loan Commitment has been
funded by each Lender in accordance with the this subsection (ii).

 

    	 

    	 

    

 

(iii)
Subject to satisfaction of the Restatement Third Tranche Milestone, submission of a Loan Request, the Liquidity Requirement and the terms
and conditions of this Agreement, each Lender agrees, severally and not jointly, to make to Borrowers an advance during the Restatement
Third Tranche Availability Period in principal amount equal to the Restatement Third Tranche Term Loan Commitment (the “Restatement
Third Tranche Term Loans”). Lenders’ commitments to make the Restatement Third Tranche Term Loans shall terminate upon
the earlier of (i) the end of the Restatement Third Tranche Availability Period, and (ii) the date the Restatement Third Tranche Term
Loans in an aggregate amount equal to the total Restatement Third Tranche Term Loan Commitments have been funded.

 

(iv)
Subject to the satisfactory review by Administrative Agent of the Loan Parties’ clinical, financial and operating plan, approval
by Lenders’ investment committee, submission of a Loan Request, and the terms and conditions of this Agreement, each Lender may,
severally and not jointly, make to Borrowers an advance during the Restatement Fourth Tranche Availability Period in principal amount
up to its Restatement Fourth Tranche Term Loan Commitment (the “Restatement Fourth Tranche Term Loans”, and together
with the Restatement First Tranche Term Loan, the Restatement Second Tranche Term Loans and the Restatement Third Tranche Term Loans,
collectively, the “Restatement Term Loans”, and each, a “Restatement Term Loan”).

 

Borrowers
shall use the proceeds of the Restatement Term Loans (i) to refinance the Refinanced Loan Balance, (ii) with respect to the Restatement
Fourth Tranche Term Loans, to support additional programs and/or business development opportunities, and (ii) for working capital. Once
repaid, the Term Loans may not be reborrowed.

 

For
the avoidance of doubt, other than the incurrence of the Restatement First Tranche Term Loan on or about the Second
Amendment Effective Date, Borrowers are not under any obligation to request or borrow any other Restatement Term Loan from
Lenders.

 

(b)
Repayment. Commencing on the Amortization Date, and continuing thereafter on the each Payment Date through the Restatement Term
Loan Maturity Date, Borrowers shall make consecutive monthly payments of equal principal and interest, which would fully amortize the
principal amount of the Restatement Term Loans and accrued interest thereon by the Restatement Term Loan Maturity Date, provided that
if the Applicable Rate is adjusted, in accordance with its terms, the amortization schedule and the required monthly installment shall
be recalculated based on the adjusted Applicable Rate. Any and all unpaid Obligations, including principal and accrued and unpaid interest
in respect of the Restatement Term Loans, the fees pursuant to the Fee Letter and any other fees and other sums due hereunder, if any,
shall be due and payable in full on the Restatement Term Loan Maturity Date. The Restatement Term Loans may only be prepaid in accordance
with Sections 2.2(c) or (d).

 

(c)
Mandatory Prepayment Upon an Acceleration. If the Loans are accelerated following the occurrence and during the continuance of
an Event of Default, Borrowers shall immediately pay to Lenders, an amount equal to the sum of:

 

(i)
all outstanding principal plus accrued and unpaid interest thereon, plus

 

(ii)
all amounts then due in accordance with the Fee Letter, plus

 

(iii)
all other sums, if any, that shall have become due and payable, including interest at the Default Rate with respect to any past due amounts.

 

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(d)
Permitted Prepayment of Loans. Borrowers shall have the option to prepay all, but not less than all, of the Loans, provided Borrowers
provide written notice to Administrative Agent of its election to prepay the Loans at least thirty (30) days prior to such prepayment,
and pay, on the date of such prepayment, to Lenders, ratably, an amount equal to the sum of:

 

(i)
all outstanding principal plus accrued and unpaid interest thereon, plus

 

(ii)
all amounts then due in accordance with the Fee Letter, plus

 

(iii)
all other sums, if any, that shall have become due and payable, including interest at the Default Rate with respect to any past due amounts.

 

(e)
Conversion at Lenders’ Election.

 

(i)
Conversion Election. Lenders may jointly elect at any time and from time to time after the Second Amendment Effective Date prior
to the payment in full of the Loans to convert any portion of the principal amount of the Loans then outstanding (the “Conversion
Amount”) into shares of Common Stock (“Conversion Shares”) at the applicable Conversion Price pursuant to
a Conversion Election Notice, to be delivered at the direction of Lenders by the Administrative Agent to Parent, provided that the aggregate
principal amount converted to Common Stock in accordance with this Section 2.2(e) shall not exceed $7,000,000, and consist of
(A) up to $2,000,0000 converted at the Original Conversion Price, and (B) up to $5,000,000 converted at the Second Amendment Conversion
Price. A Conversion Election Notice, once delivered, shall be irrevocable unless otherwise agreed in writing by Parent. On the third
trading day after a Conversion Election Notice has been duly delivered in accordance with the foregoing, Parent shall credit to each
Designated Holder a number of Conversion Shares equal to (x) the Conversion Amount indicated in the applicable Conversion Election Notice
divided by (y) the applicable Conversion Price. For the avoidance of doubt, no premium or penalty shall apply to principal amounts converted
pursuant to this Section 2.2(e). Subject to the maximum amounts outlined herein, Lenders shall have the full discretion to elect
to convert either at the Original Conversion Price or the Second Amendment Conversion Price up to the respective Conversion Amounts,
in any order or combination.

 

(ii)
Reservation of Shares. Parent shall reserve from its duly authorized capital stock not less than the number of shares of Common
Stock that may be issuable pursuant to this Section 2.2(e). Upon issuance of Conversion Shares pursuant to this Section 2.2(e),
such shares shall be validly issued, fully paid and non-assessable and free from all preemptive or similar rights, taxes, liens and charges
with respect to the issue thereof, and, following the Effective Time, shall be free of any restrictions on transfer (including any volume
limitation) under Federal or state securities laws, pursuant to Rule 144 under the Securities Act or an effective registration statement
and will not contain or be subject to a legend or stop transfer order restricting the resale or transferability of thereof.

 

(iii)
Rule 144. With a view to making available to Designated Holders the benefits of Rule 144 (or its successor rule) and any other
rule or regulation of the Securities and Exchange Commission (the “SEC”) that may at any time permit Designated Holders
to sell shares of Common Stock issued pursuant to a Conversion Election Notice to the public without registration, Parent covenants and
agrees to: (i) make and keep public information available, as those terms are understood and defined in Rule 144, until six (6) months
after such date as all of Conversion Shares issued may be sold without restriction by Designated Holders pursuant to Rule 144 or any
other rule of similar effect; (ii) file with the SEC in a timely manner (or obtain extensions in respect thereof and file within the
applicable grace period) all reports and other documents required of Parent under the 1934 Act; and (iii) furnish to Designated Holders,
upon request, as long as Designated Holders own any shares of Common Stock issued pursuant to a Conversion Election Notice, such information
as may be reasonably requested in order to avail Designated Holders of any rule or regulation of the SEC that permits the selling of
any Conversion Shares issued without registration.

 

(iv)
Registration Rights. In connection with the option to convert in accordance with this Section 2.2(e), Parent hereby grants
to each Designated Holder registration rights on the terms set forth on Schedule 4.

 

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(v)
Authorization. For so long as Designated Holders hold any shares of Common Stock issued pursuant to this Section 2.2(e),
Parent shall maintain the Common Stock’s authorization for listing on the NASDAQ Global Select Market, the NASDAQ Global Market
or the NASDAQ Capital Market (or on another national securities exchange) and Parent shall not take any action which could reasonably
be expected to result in the delisting or suspension of the Common Stock on such national securities exchange on which the Common Stock
is listed. Notwithstanding the foregoing, but without limiting Section 7.2, the Parent may enter into a Change in Control transaction
that results in the delisting of the Common Stock from any such national securities exchange, so long as the consideration received by
the holders of the Common Stock in connection therewith is in the form of cash or marketable securities.

 

(vi)
Limitations on Conversion.

 

(1)
Beneficial Ownership. Notwithstanding anything herein to the contrary, Parent shall not issue a number of Conversion Shares pursuant
to this Section 2.2(e) to the extent that, upon such issuance, the number of shares of Common Stock then beneficially owned by
each Designated Holder and its Affiliates and any group of other persons or entities whose beneficial ownership of Common Stock would
be aggregated with such Designated Holder’s for purposes of Section 13(d) of the Exchange Act would exceed 9.985% of the total
number of shares of Common Stock then issued and outstanding (the “9.985% Cap”); provided that the 9.985% Cap shall
only apply to the extent that the Common Stock is deemed to constitute an “equity security” pursuant to Rule 13d-1(i) promulgated
under the Exchange Act, provided further that Lenders shall have the right, upon 61 days’ prior written notice to Parent, to waive
the 9.985% Cap.

 

(2)
Principal Market Regulation. Parent shall not issue a number of Conversion Shares pursuant to this Section 2.2(e), if the
issuance of such shares together with any previously issued Conversion Shares, would result in (A) the issuance of more than 19.99% of
the Common Stock outstanding as of the date of this Agreement or (B) Lenders, together with their Affiliates and any group of other Persons
or entities whose beneficial ownership of Common Stock would be aggregated with such Designated Holder’s for purposes of Section
13(d) of the Exchange Act, beneficially owning in excess of 19.99% of the then outstanding Common Stock.

 

(3)
Beneficial Ownership Determination. For purposes of this Section 2.2(e), “group” has the meaning set forth
in Section 13(d) of the Exchange Act and applicable regulations of the SEC, and the percentage held by each Designated Holder shall be
determined in a manner consistent with the provisions of Section 13(d) of the Exchange Act. Upon the written request of Administrative
Agent, Parent shall, within two (2) trading days, confirm to the Administrative Agent the number of Shares then outstanding. As used
herein, beneficial ownership shall be determined in accordance with Section 13(d) of the Exchange Act.

 

2.3
Payment of Interest.

 

(a)
Interest Rate. Subject to Section 2.3(b), the outstanding principal amount of the Loans shall accrue interest from and
after its Funding Date, at the Applicable Rate, and Borrowers shall pay such interest monthly in arrears on each Payment Date commencing
on October 1, 2022.

 

(b)
Default Rate. Immediately upon the occurrence and during the continuance of an Event of Default, the Applicable Rate shall be
increased by five percentage points (5.0%) above the rate that is otherwise applicable thereto (the “Default Rate”).
Fees and expenses which are required to be paid by Borrowers pursuant to the Loan Documents (including, without limitation, Lender Expenses)
but are not paid when due shall bear interest until paid at a rate equal to the highest rate applicable at such time to any of the Loans.
Payment or acceptance of the increased interest rate provided in this Section 2.3(b) is not a permitted alternative to timely payment
and shall not constitute a waiver of any Event of Default or otherwise prejudice or limit any rights or remedies pursuant to the Loan
Documents. Each Borrower agrees that interest at the Default Rate is a reasonable calculation of Lenders’ lost profits in view
of the difficulties and impracticality of determining actual damages resulting from an Event of Default.

 

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(c)
Payment; Interest Computation. Interest is payable monthly in arrears on the Payment Date of the following month and shall be
computed on the basis of a 360-day year for the actual number of days elapsed. In computing interest, (i) all payments received after
4:00 p.m. Eastern Time on any day shall be deemed received at the opening of business on the next Business Day, and (ii) the date of
the making of any Loan shall be included and the date of payment shall be excluded. Changes to the Applicable Rate based on changes to
the Prime Rate, shall be effective as of the date, and to the extent, of such change.

 

(d)
Maximum Interest. Notwithstanding any provision in this Agreement or any other Loan Document, it is the parties’ intent
not to contract for, charge or receive interest at a rate that is greater than the maximum rate permissible by law that a court of competent
jurisdiction shall deem applicable hereto (the “Maximum Rate”). If a court of competent jurisdiction shall finally
determine that a Borrower has actually paid to or for the benefit of Lenders an amount of interest in excess of the amount that would
have been payable if all of the Obligations had at all times borne interest at the Maximum Rate, then such excess interest actually paid
by Borrowers shall be applied as follows: first, to the payment of principal outstanding in respect of the Loans; second, after all principal
is repaid, to the payment of accrued interest, third, to the payment of Lender Expenses and any other Obligations; and fourth, after
all Obligations are repaid, the excess (if any) shall be refunded to Borrowers or paid to whomsoever may be legally entitled thereto,
provided that amounts payable to Lenders, shall be paid ratably.

 

(e)
Interest Act (Canada). For the purpose of the Interest Act (Canada), where in
this Agreement a rate of interest is to be calculated on the basis of a year of 360, 365 or 366 days, the yearly rate of interest to
which the rate is equivalent is the rate multiplied by the number of days in the year for which the calculation is made and divided by
360, 365 or 366, as applicable. Further, in this Agreement all interest shall be calculated using the nominal rate method and not the
effective rate method and the “deemed re investment principle” shall not apply to such calculations.

 

(f)
Criminal Code (Canada). If any provision of the Loan Documents would oblige any Borrower
or Guarantor to make any payment of interest or other amount payable to the Administrative Agent or any Lender in an amount or calculated
at a rate which would be prohibited by law or would result in a receipt by that person of “interest” at a “criminal
rate” (as such terms are construed under the Criminal Code (Canada)), then, notwithstanding such provision, such
amount or rate shall be deemed to have been adjusted with retroactive effect to the maximum amount or rate of interest, as the case may
be, that would not be so prohibited by applicable law or so result in a receipt by that person of “interest” at a “criminal
rate”, such adjustment to be effected, to the extent necessary (but only to the extent necessary), as follows: (i) first by reducing
the amount or rate of interest required to be paid; and (ii) thereafter, by reducing any fees, commissions, costs, expenses, premiums
and other amounts required to be paid which would constitute interest for purposes of section 347 of the Criminal Code (Canada).
Any amount or rate of interest referred to in this Section shall be determined in accordance with generally accepted actuarial practices
and principles as an effective annual rate of interest over the term that the applicable Loan remains outstanding on the assumption that
any charges, fees or expenses that fall within the meaning of “interest” (as defined in the Criminal Code (Canada))
shall, if they relate to a specific period of time, be pro-rated over that period of time and otherwise be pro-rated over the period
from the Closing Date to the Restatement Term Loan Maturity Date and, in the event of a dispute, a certificate of a Fellow of the Canadian
Institute of Actuaries appointed by Administrative Agent shall be conclusive for the purposes of such determination.

 

2.4
Fees and Charges. Borrowers shall pay to Administrative Agent, for the ratable benefit of Lenders:

 

(a)
Fees. The fees and charges as and when due in accordance with the Fee Letter; and

 

(b)
Expenses. All Lender Expenses (including reasonable attorneys’ fees and expenses for documentation and negotiation of this
Agreement and the other Loan Documents) incurred through and after the Closing Date, when due (or, if no stated due date, within two
(2) Business Days after demand by Administrative Agent), provided that the deposit in the amount of $50,000 previously paid shall be
applied towards Lender Expenses incurred through the Closing Date (other than legal fees and expenses).

 

2.5
Payments; Application of Payments; Automatic Payment Authorization; Withholding.

 

(a)
All payments to be made by Loan Parties under any Loan Document, including payments of principal and interest and all fees, charges,
expenses, indemnities and reimbursements, shall be made in immediately available funds in Dollars, without setoff, recoupment or counterclaim,
before 4:00 p.m. Eastern Time on the date when due. Payments of principal and/or interest received after 4:00 p.m. Eastern Time are considered
received at the opening of business on the next Business Day. When a payment is due on a day that is not a Business Day, the payment
shall be due the next Business Day, and additional fees or interest, as applicable, shall continue to accrue until paid.

 

    	5

    	 

    

 

(b)
No Loan Party shall have a right to specify the order or the loan accounts to which a Lender shall allocate or apply any payments made
by a Loan Party to or for the benefit of such Lender or otherwise received by such Lender under this Agreement when any such allocation
or application is not expressly specified elsewhere in this Agreement.

 

(c)
Administrative Agent, on behalf of Lenders, may initiate debit entries to any Deposit Accounts as authorized on the Automatic Payment
Authorization for principal and interest payments or any other Obligations when due. These debits shall not constitute a set-off. If
the ACH payment arrangement is terminated for any reason, Loan Parties shall make all payments due hereunder at the applicable address
specified in Section 10, or as otherwise notified by Administrative Agent in writing.

 

(d)
The parties hereto hereby agree to the terms and conditions set forth on Schedule 3 hereto.

 

2.6
Promissory Notes. Borrowers agree that: (a) upon written notice by or on behalf of any Lender to Borrowers that a promissory note
or other evidence of indebtedness is requested by such Lender to evidence the Loans and other Obligations owing or payable to such Lender,
Borrowers shall promptly (and in any event within three (3) Business Days of any such request) execute and deliver to such Lender an
appropriate promissory note, in substantially the form attached hereto as Exhibit E, and (b) upon any Lender’s written request,
and in any event within three (3) Business Days of any such request, the Borrowers shall execute and deliver to such Lender new notes
and/or divide the notes in exchange for then existing notes in such smaller amounts or denominations as such Lender shall specify in
its sole and absolute discretion; provided, that the aggregate principal amount of such new notes shall not exceed the aggregate
outstanding principal amount of the applicable Loans made by such Lender; provided, further, that such promissory notes
that are to be replaced shall then be deemed no longer outstanding hereunder and replaced by such new notes and returned to the Borrowers
promptly upon Lender’s receipt of the replacement notes. Regardless whether or not any such promissory notes are issued, this Agreement
shall evidence the Loans and other Obligations owing or payable by Borrowers to each Lender.

 

3.
CONDITIONS OF LOANS

 

3.1
Conditions Precedent to Initial Loan. Each Lender’s obligation to make the First Tranche Term Loan is subject to the condition
precedent that Lender shall have received, in form and substance satisfactory to Administrative Agent, such documents, and completion
of such other matters, as Administrative Agent may reasonably deem necessary or appropriate, including, without limitation:

 

(a)
duly executed signatures to this Agreement;

 

(b)
duly executed signatures to the Pledge and Security Agreement;

 

(c)
duly executed signatures to the Canadian Security Documents;

 

(d)
duly executed signatures to the Israeli Security Documents;

 

(e)
duly executed signatures to the Warrant;

 

(f)
duly executed signatures to the Fee Letter;

 

(g)
duly executed signatures to the Collateral Access Agreement(s) for such locations as Administrative Agent may require;

 

(h)
a certificate of each Loan Party, duly executed by a Responsible Officer, certifying and attaching (i) the Operating Documents, (ii)
resolutions duly approved by the Board, (iii) any resolutions, consent or waiver duly approved by the requisite holders of such Loan
Party’s Equity Interests, if applicable, and (iv) a schedule of incumbency;

 

    	6

    	 

    

 

(i)
a payoff letter with respect to Indebtedness outstanding as of the Closing Date to Perceptive Credit Holdings, LP, together with all
documents reasonably required in connection with the payoff and release of security interests;

 

(j)
the Perfection Certificate of Borrower Representative, together with the duly executed signature thereto;

 

(k)
a legal opinion of US counsel to the Loan Parties, Canadian counsel to the Loan Parties and Israeli counsel to the Loan Parties, in each
case, in form and substance satisfactory to Administrative Agent;

 

(l)
the Guaranty and Security Documents, duly executed by the Loan Parties party thereto; and

 

(m)
payment of the fees in accordance with the Fee Letter and Lender Expenses then due as specified in Section 2.4(a).

 

3.2
Conditions Precedent to all Loans. Each Lender’s obligations to make each Loan is subject to the following conditions precedent:

 

(a)
except for Term Loan made on the Closing Date or the Restatement First Tranche Term Loan made on or about the Second Amendment
Effective Date, timely receipt of an executed Loan Request by Administrative Agent;

 

(b)
the representations and warranties in this Agreement and the other Loan Documents shall be true, accurate, and complete in all material
respects on the date of the Loan Request and on the Funding Date of each Loan; provided, however, that such materiality
qualifier shall not be applicable to any representations and warranties that already are qualified or modified by materiality in the
text thereof; and provided, further that those representations and warranties expressly referring to a specific date shall
be true, accurate and complete in all material respects as of such date;

 

(c)
no Default or Event of Default shall have occurred and be continuing or result from the Loan; and

 

(d)
there has not been any event or circumstance that has had or could reasonably be expected to have a Material Adverse Effect, or any material
adverse deviation by Loan Parties from the most recent business plan of Loan Parties presented to and accepted by Administrative Agent,
as determined by Administrative Agent in Administrative Agent’s reasonable business judgment.

 

3.3
Covenant to Deliver.

 

(a)
Each Loan Party agrees to deliver each item required to be delivered under this Agreement as a condition precedent to any Loan. Each
Loan Party expressly agrees that a Loan made prior to the receipt of any such item shall not constitute a waiver by Administrative Agent
of any Loan Party’s obligation to deliver such item, and the making of any Loan in the absence of a required item shall be in Administrative
Agent’s sole discretion.

 

(b)
Each Loan Party agrees to deliver the items set forth on Schedule 2 hereto within the timeframe set forth therein (or by such
other date as Administrative Agent may approve in writing), in each case, in form and substance reasonably acceptable to Administrative
Agent.

 

3.4
Procedures for Borrowing. To obtain a Loan, Borrower Representative shall deliver a completed Loan Request to Administrative Agent
(which may be delivered by email) no later than 3:00 p.m. Eastern Time, ten (10) Business Days prior to the date such Loan is requested
to be made. On the Funding Date, each applicable Lender shall fund the applicable Loan in the manner requested by the Loan Request, provided
that each of the conditions precedent to such Loan is satisfied.

 

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4.
[Reserved]

 

5.
REPRESENTATIONS AND WARRANTIES

 

Each
Loan Party represents and warrants as follows:

 

5.1
Due Organization, Authorization; Power and Authority.

 

(a)
Each Loan Party and each of its Subsidiaries are duly existing and in good standing as a Registered Organization in their respective
jurisdictions of formation and are qualified and licensed to do business and are in good standing in any other jurisdiction in which
the conduct of their respective business or ownership of property require that they be qualified except where the failure to do so could
not reasonably be expected to have a Material Adverse Effect. In connection with this Agreement, Borrower Representative has delivered
to Administrative Agent a completed certificate signed by Borrower Representative entitled “Perfection Certificate”.
Except to the extent Borrower Representative has provided notice of a legal name change in accordance with Section 7.2, (i) each
Loan Party’s exact legal name is that indicated on the Perfection Certificate and on the signature page hereof; (ii) each Loan
Party is an organization of the type and is organized in the jurisdiction set forth in the Perfection Certificate; (iii) the Perfection
Certificate accurately sets forth each Loan Party’s organizational identification number or accurately states that such Loan Party
has none; (iv) the Perfection Certificate accurately sets forth each Loan Party’s place of business, or, if more than one, its
chief executive office, domicile (for Quebec purposes) or principal place of business as well as such Loan Party’s mailing address
(if different than its chief executive office or principal place of business); (v) except as set forth in the Perfection Certificate,
each Loan Party (and each of its predecessors) has not, in the past five (5) years, changed its jurisdiction of formation, organizational
structure or type, or any organizational number assigned by its jurisdiction; and (vi) all other information set forth on the Perfection
Certificate pertaining to each Loan Party and each of its Subsidiaries is accurate and complete in all material respects (it being understood
and agreed that Borrower Representative may from time to time update certain information in the Perfection Certificate after the Closing
Date to the extent permitted by one or more specific provisions in this Agreement).

 

(b)
The execution, delivery and performance by each Loan Party of the Loan Documents to which it is a party have been duly authorized, and
do not (i) conflict with such Loan Party’s Operating Documents or other organizational documents, (ii) contravene, conflict with,
constitute a default under or violate any material Requirement of Law, (iii) contravene, conflict or violate any applicable order, writ,
judgment, injunction, decree, determination or award of any Governmental Authority by which such Loan Party or any of its Subsidiaries
or any of their property or assets may be bound or affected, (iv) require any action by, filing, registration, or qualification with,
or Governmental Approval from, any Governmental Authority (except such Governmental Approvals which have already been obtained and are
in full force and effect), or (v) conflict with, contravene, constitute a default or breach under, or result in or permit the termination
or acceleration of, any material agreement by which such Loan Party is bound. No Loan Party is in default under any agreement to which
it is a party or by which it is bound in which the default could reasonably be expected to have a Material Adverse Effect.

 

(c)
No order, ruling or decision granted by a securities commission, court of competent jurisdiction or regulatory or administrative body
or other Governmental Authority having jurisdiction is in effect, pending or threatened that restricts any trades in any securities of
Parent including any cease trade orders and, to the knowledge of Parent, no facts or circumstances exist which would reasonably be expected
to give rise to any such order, ruling or decision or other similar claims or investigations. Parent has authorized share capital consisting
of an unlimited number of shares of Common Stock, of which, as of the date hereof, there are 230,648,396 shares of Common Stock issued
and outstanding. The currently issued and outstanding shares of Common Stock are listed and posted for trading on the Nasdaq Capital
Market and Parent is in compliance in all material respects with all of the listing conditions on the Nasdaq Capital Market. At all times
prior to the full exercise of the conversion rights pursuant to the Conversion Election Notice, Parent will be in a position to issue
such number of shares of Common Stock in accordance with the terms of the Conversion Election Notice and will be permitted to do so under
applicable rules and regulations of the Nasdaq Stock Market.

 

    	8

    	 

    

 

(d)
Parent is a reporting issuer in each of the Provinces of Canada with the exception of the Province of Québec. Parent is in compliance
in all material respects with applicable securities laws and is not on the list of defaulting reporting issuers maintained by the Canadian
securities regulatory authorities of the relevant Canadian jurisdictions. Parent is in compliance in all material respects with its continuous
disclosure obligations under Canadian securities laws, and, without limiting the generality of the foregoing, there has been no material
change that has occurred which has not been publicly disclosed. The information and statements in Parent’s publicly available documents
were true and correct in all material respects as of the respective dates of such information and statements and at the time that any
such documents were filed on System for Electronic Document Analysis and Retrieval and, as of the respective dates filed (or, if amended
or superseded by a subsequent filing prior to the date of this Agreement, on the date of such filing), did not contain an untrue statement
of a material fact and did not omit to state any material fact that was required to be stated or necessary to prevent a statement that
is made from being false or misleading in the circumstances in which it was made. Parent has not filed any confidential material change
reports which remain confidential as at the date hereof.

 

5.2
Collateral.

 

(a)
Each Loan Party has good title to, rights in, and the power to transfer each item of the Collateral upon which it purports to grant a
Lien pursuant to the applicable Loan Documents to which it is a party, free and clear of any and all Liens except Permitted Liens.

 

(b)
Except for the Collateral Accounts described in the Perfection Certificate or in a notice timely delivered pursuant to Section 6.6,
no Loan Party has any Collateral Accounts at or with any bank, broker or other financial institution, and each Loan Party has taken such
actions as are necessary to give the applicable Collateral Agent a perfected security interest therein as required pursuant to the terms
of the applicable Loan Documents. The Accounts are bona fide, existing obligations of the Account Debtors.

 

(c)
The Collateral is located only at the locations identified in the Perfection Certificate and other Permitted Locations. The Collateral
is not in the possession of any third party bailee (such as a warehouse) except as otherwise provided in the Perfection Certificate or
as disclosed in writing pursuant to Section 3.3 of the Pledge and Security Agreement.

 

(d)
Each Loan Party is the sole owner of the Intellectual Property which it owns or purports to own except for (i) licenses constituting
“Permitted Transfers”, (ii) open-source software, (iii) over-the-counter software that is commercially available to the public,
(iv) material Intellectual Property licensed to such Loan Party and noted on the Perfection Certificate or as disclosed pursuant to Section
6.7(b), (v) Intellectual Property which is co-owned by a Loan Party and a collaboration partner, and (vi) immaterial Intellectual
Property licensed to such Loan Party. Each Patent (other than patent applications) which it owns, co-owns or purports to own and which
is material to such Loan Party’s business is, to the knowledge of the Loan Parties, valid and enforceable, and no part of the Intellectual
Property which a Loan Party owns, co-owns or purports to own and which is material to the Loan Parties’ business has been judged
by any court to be invalid or unenforceable, in whole or in part. To the best of the Loan Parties’ knowledge, no claim has been
made that any part of the Intellectual Property violates the rights of any third party except to the extent such claim could not reasonably
be expected to have a Material Adverse Effect. Except as noted on the Perfection Certificate or as disclosed pursuant to Section 6.7(b),
no Loan Party is a party to, nor is it bound by, any Restricted License. No Subsidiary which is not a Loan Party owns any material Intellectual
Property. It will not be necessary to use any inventions of any of such Loan Party’s employees or consultants (or Persons it currently
intends to hire) made prior to their employment by such Loan Party. Each current and prior employee or consultant of a Loan Party has
entered into an invention assignment agreement or similar agreement with such Loan Party with respect to all intellectual property rights
he or she owns that are related to such Loan Party’s business.

 

5.3
Accounts; Material Agreements. The Accounts are bona fide existing obligations. The property or services giving rise to such Accounts
have been delivered or rendered. No Loan Party has received any written notice of actual or imminent insolvency of an Account Debtor.
The material licenses and agreements to which any Loan Party or any of its Subsidiaries is a party is in good standing and in full force
and effect and no Loan Party is in material breach with respect thereto. No material customer or supplier has terminated or significantly
reduced its business with any Loan Party or communicated its intent to do so to any Loan Party or any of its Subsidiaries.

 

    	9

    	 

    

 

5.4
Litigation and Proceedings. Except as set forth in the Perfection Certificate or as disclosed in writing pursuant to Section 6.2,
there are no actions, suits, litigations or proceedings, at law or in equity, pending, or, to the knowledge of any Responsible Officer,
threatened in writing, by or against any Loan Party or any of its Subsidiaries, officers or directors involving more than, individually
or in the aggregate for all related proceedings, Two Hundred and Fifty Thousand ($250,000) or in which any adverse decision has had or
could reasonably be expected to have any Material Adverse Effect.

 

5.5
Financial Statements; Financial Condition. All consolidated and consolidating financial statements for the Loan Parties and each
of their Subsidiaries delivered to Administrative Agent fairly present in all material respects the consolidated and consolidating financial
condition and results of operations of the Loan Parties and each of their Subsidiaries as of the respective dates and for the respective
periods then ended, and there are no material liabilities (including any contingent liabilities) which are not reflected in such financial
statements. There has not been any material deterioration in the consolidated and consolidating financial condition of the Loan Parties
and each of its Subsidiaries or the Collateral since the date of the most recent financial statements submitted to Administrative Agent.

 

5.6
Solvency. The fair salable value of the assets (including goodwill minus disposition costs) of the Loan Parties and each of their
Subsidiaries, on a consolidated basis, exceeds the fair value of liabilities of the Loan Parties’ and each of their Subsidiaries,
on a consolidated basis; no Loan Party is left with unreasonably small capital after the transactions in this Agreement; and each Loan
Party is able to pay its debts (including trade debts) as they mature.

 

5.7
Consents; Approvals. Each Loan Party and each of its Subsidiaries have obtained all third party consents, approvals, waivers, made
all declarations or filings with, given all notices to, and obtained all consents, licenses, permits or other approvals from all Governmental
Authorities that are necessary (i) to enter into the Loan Documents and consummate the transactions contemplated thereby, and (ii) to
continue their respective businesses as currently conducted, except (with respect to this clause (ii)) where failure to do so
could not reasonably be expected to result in a Material Adverse Effect.

 

5.8
Subsidiaries; Investments. No Loan Party has any Subsidiaries, except as noted on the Perfection Certificate or as disclosed to Administrative
Agent pursuant to Section 6.11 below. No Loan Party owns any stock, partnership, or other ownership interest or other Equity Interests
except for Permitted Investments.

 

5.9
Tax Returns and Payments. Each Loan Party and each of its Subsidiaries have timely filed all required Tax returns and reports (or
appropriate extensions therefor), and such Loan Party and each of its Subsidiaries has timely paid all foreign, federal, state, provincial,
territorial and local Taxes, assessments, deposits and contributions owed by such Loan Party or such Subsidiary, as applicable, except
(a) to the extent such Taxes are being contested in good faith by appropriate proceedings promptly instituted and diligently conducted,
so long as such reserve or other appropriate provision, if any, as shall be required in conformity with GAAP shall have been made therefor,
or (b) if such Taxes, assessments, deposits and contributions do not, individually or in the aggregate, exceed Ten Thousand Dollars ($10,000).
No Loan Party is aware of any claims or adjustments proposed for any prior tax years of any Loan Party or any of its Subsidiaries which
could result in a material amount of additional Taxes becoming due and payable by a Loan Party or any of its Subsidiaries.

 

5.10
Shares. Such Loan Party has full power and authority to create a first lien on the Shares and no disability or contractual obligation
exists that would prohibit such Loan Party from pledging the Shares pursuant to this Agreement. There are no subscriptions, warrants,
rights of first refusal or other restrictions on transfer relative to, or options exercisable with respect to the Shares. The Shares
have been and will be duly authorized and validly issued, and are fully paid and non-assessable. The Shares are not the subject of any
present or threatened suit, action, arbitration, administrative or other proceeding, and such Loan Party knows of no reasonable grounds
for the institution of any such proceedings.

 

5.11
Compliance with Laws.

 

(a)
No Loan Party or Subsidiary of a Loan Party is an “investment company” or an “affiliated person” of, or “promoter”
or “principal underwriter” for, an “investment company”, as such terms are defined in the Investment Company
Act of 1940 as amended.

 

    	10

    	 

    

 

(b)
No Loan Party or Subsidiary of a Loan Party is engaged, nor will it engage, principally or as one of its important activities, in the
business of extending credit for the purpose of “purchasing” or “carrying” any “margin security”
as such terms are defined in Regulation U of the Federal Reserve Board as now and from time to time hereafter in effect (such securities
being referred to herein as “Margin Stock”). None of the proceeds of the Loans or other extensions of credit under
this Agreement have been (or will be) used, directly or indirectly, for the purpose of purchasing or carrying any Margin Stock, for the
purpose of reducing or retiring any Indebtedness which was originally incurred to purchase or carry any Margin Stock or for any other
purpose which might cause any of the Loans or other extensions of credit under this Agreement to be considered a “purpose credit”
within the meaning of Regulation T, U or X of the Federal Reserve Board. Further and for the avoidance of doubt, no Loan Party or Subsidiary
of a Loan Party currently owns any Margin Stock

 

(c)
Neither the making of the Loans hereunder nor Loan Parties’ use of the proceeds thereof will violate the Trading with the Enemy
Act, as amended, or any of the foreign assets control regulations of the United States Treasury Department (31 CFR, Subtitle B, Chapter
V, as amended) or any enabling legislation or executive order relating thereto. No Loan Party, nor any of its Subsidiaries, nor any Affiliate
of any Loan Party or of any Subsidiary, nor any controlling holder of Equity Interests of any of the foregoing (i) is a Person described
or designated in the Specially Designated Nationals and Blocked Persons List of the Office of Foreign Assets Control of the United States
Department of Treasury (“OFAC”) or in Section 1 of the Anti-Terrorism Order or similar sanctions laws of any other
Governmental Authority including of any other applicable jurisdiction, (ii) is a resident of any country that is subject to embargo or
trade sanctions enforced by OFAC, (iii) is, or will become, a Person whose property or interest in property is blocked or subject to
blocking pursuant to Section 1 of the Anti-Terrorism Order, or (iv) engages in any dealings or transactions, or is otherwise associated,
with any such Person.

 

(d)
Each Loan Party and its Subsidiaries are in compliance, in all material respects, with the USA Patriot Act and CAML. No part of the proceeds
from the Loans made hereunder has been (or will be) used, directly or indirectly, for any payments to any governmental official or employee,
political party, official of a political party, candidate for political office, or anyone else acting in an official capacity, in order
to obtain, retain or direct business or obtain any improper advantage, in violation of the United States Foreign Corrupt Practices Act
of 1977, as amended or similar laws (including CAML) of any other Governmental Authority including of any other applicable jurisdiction.

 

(e)
The Loan Parties do not have Canadian Pension Plans which are Canadian Defined Benefit Pension Plans. Any Canadian Pension Plans which
require registration pursuant to the Income Tax Act (Canada) are duly registered under the Income Tax Act (Canada) and
all other applicable laws which require registration. Each Loan Party and each of their respective Subsidiaries has complied with and
performed all of its obligations under and in respect of any Canadian Pension Plans and the Canadian Benefit Plans under the terms thereof,
any funding agreements and all applicable laws (including any fiduciary, funding, investment and administration obligations). All employer
and employee payments, contributions or premiums to be remitted, paid to or in respect of any Canadian Pension Plan or the Canadian Benefit
Plan have been paid in a timely fashion in accordance with the terms thereof, any funding agreement and all applicable laws. There have
been no improper withdrawals or applications of the assets of any Canadian Pension Plans or the Canadian Benefit Plans. There has been
no termination of any Canadian Pension Plan, and to the knowledge of Loan Parties, no facts or circumstances have occurred or existed
that could result, or be reasonably anticipated to result, in the declaration of a termination of any Canadian Pension Plan by any Governmental
Authority under applicable law. No Reportable Event or Prohibited Transaction, as defined in ERISA has occurred or is reasonably expected
to occur, and no Loan Party has failed to meet the minimum funding requirements of ERISA. No Loan Party has violated any applicable environmental
laws in any material respect, maintains any properties or assets which have been designated in any manner pursuant to any environmental
protection statute as a hazardous materials disposal site, or has received any notice, summons, citation or directive from the Environmental
Protection Agency or any other similar Governmental Authority.

 

5.12
Products. A complete and accurate list of the Products, is set forth on the Perfection Certificate, as updated from time to time
pursuant to the Compliance Certificate. The Loan Parties and each of its Subsidiaries hold all required Governmental Approvals, a list
of which is set forth on the Perfection Certificate, and all Governmental Approvals are in full force and effect. There
are no proceedings in progress, pending or, to such Loan Party’s knowledge, threatened,
that may result in revocation, cancellation, suspension, rescission or any adverse modification of any of any Governmental Approval nor,
to the best of the knowledge, information and belief of such Loan Party, after due inquiry,
are there any facts upon which proceedings could reasonably be based. Without limitation of the foregoing:

 

    	11

    	 

    

 

(a)
With respect to any Product being tested or manufactured, each Loan Party and each of its
Subsidiaries has received or is in the process of obtaining, and such Product is the subject of, all Governmental Approvals needed in
connection with the testing or manufacture of such Product as such testing is currently being conducted by or on behalf of a
Loan Party or any of its Subsidiaries, and neither any Loan Party nor any of its
Subsidiaries has received any notice from any applicable Governmental Authority, that such Governmental Authority is conducting an investigation
or review of (i) any Loan Party’s or any of its Subsidiary’s manufacturing facilities
and processes for such Product which have disclosed any material deficiencies or violations of any Requirement of Law or the Governmental
Approvals related to the manufacture of such Product, or (ii) any such Governmental Approval or that any such Governmental Approval has
been revoked or withdrawn, nor has any such Governmental Authority issued any order or recommendation stating that the development, testing
and/or manufacturing of such Product should cease.

 

(b)
With respect to any Product marketed or sold by a Loan Party or any of its Subsidiaries,
such Loan Party or such Subsidiary, as applicable, has received, and such Product is the
subject of, all Governmental Approvals needed in connection with the marketing and sales of such Product as currently being marketed
or sold, and no Loan Party nor any of its Subsidiary has received any notice from any applicable
Governmental Authority, that such Governmental Authority is conducting an investigation or review of any such Governmental Approval or
that any such Governmental Approval has been revoked or withdrawn, nor has any such Governmental Authority issued any order or recommendation
stating that such marketing or sales of such Product cease or that such Product be withdrawn from the marketplace;

 

(c)
There have been no adverse clinical test results in connection with a Product which have or could reasonably be expected to have a Material
Adverse Effect; and

 

(d)
There have been no Product recalls or voluntary Product withdrawals from any market, except for SciVac Ltd.’s voluntary recall
of Sci-B-Vac in 2015.

 

5.13
Full Disclosure. No written representation, warranty or other statement of a Loan Party or any of its Subsidiaries in any certificate
or written statement by or on behalf of a Loan Party or any of its Subsidiaries in connection with this Agreement, as of the date such
representation, warranty, or other statement was made, taken together with all such written certificates and written statements given,
contains any untrue statement of a material fact or omits to state a material fact necessary to make the statements contained in the
certificates or statements not misleading in light of the circumstances under which they were made (it being recognized that the projections
and forecasts provided by any Loan Party in good faith and based upon reasonable assumptions are not viewed as facts and that actual
results during the period or periods covered by such projections and forecasts may differ from the projected or forecasted results).

 

6.
AFFIRMATIVE COVENANTS 

 

Each
Loan Party shall do all of the following:

 

6.1
Government Compliance. Maintain its and all its Subsidiaries’ legal existence and good standing in their respective jurisdictions
of formation and maintain qualification in each jurisdiction in which the failure to so qualify could reasonably be expected to have
a Material Adverse Effect; comply, and cause each Subsidiary to comply, with all laws, ordinances and regulations to which it is subject
except where a failure to do so could not reasonably be expected to have a Material Adverse Effect; obtain all of the Governmental Approvals
required in connection with such Loan Party’s business and for the performance by each Loan Party of its obligations under the
Loan Documents to which it is a party and the grant of a security interest in accordance therewith, and comply with all terms and conditions
with respect to such Governmental Approvals.

 

    	12

    	 

    

 

6.2
Financial Statements, Reports, Certificates. Provide Administrative Agent with the following:

 

(a)
Monthly Financial Statements. Within thirty (30) days after the last day of each month, a company prepared unaudited consolidated
and consolidating balance sheet, income statement and statement of cash flows covering the Loan Parties and each of their Subsidiaries’
operations for such month, in form acceptable to Administrative Agent, certified by a Responsible Officer as having been prepared in
accordance with GAAP, consistently applied, except for the absence of footnotes, and subject to normal year-end adjustments.

 

(b)
Quarterly Financial Statements. Within forty-five (45) days after the last day of each fiscal quarter, in the event Parent has
not otherwise filed its Quarterly Report on Form 10Q, a company prepared unaudited consolidated and consolidating balance sheet, income
statement and statement of cash flows covering the Loan Parties and each of their Subsidiaries’ operations for such fiscal quarter,
in form acceptable to Administrative Agent, certified by a Responsible Officer as having been prepared in accordance with GAAP, consistently
applied, except for the absence of footnotes, and subject to normal year-end adjustments.

 

(c)
Compliance Certificates. Together with the monthly financial statements, a duly completed Compliance Certificate signed by a Responsible
Officer.

 

(d)
Annual Operating Budget and Financial Projections. Within forty-five (45) days after the end of each fiscal year of Parent (and
within five (5) days of any material modification thereto), an annual operating budget, on a consolidated and consolidating basis (including
income statements, balance sheets and cash flow statements, by month) for the upcoming fiscal year of Parent, together with any related
business forecasts used in the preparation thereof

 

(e)
Annual Audited Financial Statements. As soon as available, but no later than ninety (90) days after the last day of Parent’s
fiscal year, in the event Parent has not otherwise filed its Annual Report on Form 10K, audited consolidated financial statements prepared
in accordance with GAAP, consistently applied, together with an unqualified opinion on the financial statements from an independent certified
public accounting firm reasonably acceptable to Administrative Agent, together with any management letter with respect thereto.

 

(f)
Other Statements. Within five (5) days of delivery, copies of all statements, reports and notices generally made available to
all stockholders or to any holders of Subordinated Debt unless such statements, reports and notices are filed with the Securities and
Exchange Commission and a link to such filing is posted on Parent’s website.

 

(g)
SEC Filings. Within five (5) days of filing, copies of all periodic and other reports, proxy statements and other materials filed
by Parent with the Securities and Exchange Commission, provided that such filings shall be deemed to have been delivered on the date
on which Parent posts such documents on Parent’s website.

 

(h)
Legal Action Notice. A prompt report of any legal actions pending or threatened in writing against any Loan Party or any of its
Subsidiaries that could result in damages or costs to any Loan Party or any of its Subsidiaries, individually or in the aggregate for
all related proceedings, of Two Hundred and Fifty Thousand ($250,000) or more, or of any Loan Party or any of its Subsidiaries taking
or threatening legal action against any third person with respect to a material claim, and with respect to any pending action or threatened
action, a prompt report of any material development with respect thereto.

 

(i)
Intellectual Property Report. Together with the Compliance Certificate delivered at the end of each calendar quarter, a report
in form reasonably acceptable to Administrative Agent, listing any applications or registrations that any Loan Party or any of its Subsidiaries
has made or filed in respect of any Patents, Copyrights or Trademarks and the status of any outstanding applications or registrations,
as well as any material change in any Loan Party or any of its Subsidiaries’ Intellectual Property.

 

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(j)
Aging Reports; Other Reports and Information. Together with the monthly financial reports, reports as to the following, in form
acceptable to Administrative Agent: accounts receivable and accounts payable aging;

 

(k)
Bank Account Statements. Together with the monthly financial statements delivered in accordance with subsection (a) above,
a copy of the most recent account statement, with transaction detail, for each Deposit Account or Securities Account of a Loan Party
or any of its Subsidiaries, or within three (3) days, upon Administrative Agent’s request, evidence satisfactory to Administrative
Agent of the balance maintained in any such Deposit Account or Securities Account.

 

(l)
Board and Committee Materials. At the same time and in the same manner as it gives to the members of any Loan Party’s Board,
or any committee or subcommittee or scientific advisory board, copies of all materials that Parent provides to its Board (or such committee,
subcommittee or advisory board) in connection with meetings of any Loan Party’s Board (or such committee, subcommittee or advisory
board), including any reports with respect to Loan Parties’ operations or performance, and after receiving the requisite internal
approvals, approved minutes of such meetings; provided, however, the foregoing may be subject to such exclusions and redactions as necessary
in order to (A) preserve the confidentiality of (i) highly sensitive proprietary information and (ii) other information that if disclosed
would reasonably be expected to result in a conflict of interest between Loan Parties and a Secured Party, or (B) prevent impairment
of the attorney client privilege with respect to pending or threatened litigation.

 

(m)
Product Related. Within three (3) Business Days of receipt, copies of all material correspondence, reports, documents and other
filings with any Governmental Authority that could reasonably be expected to have a material adverse effect on any Governmental Approvals
required for the manufacturing, marketing, testing or sale of Products or which could have a Material Adverse Effect.

 

6.3
Inventory; Returns. Keep all Inventory in good and marketable condition, free from material defects. Returns and allowances between
a Loan Party and its Account Debtors shall follow such Loan Party’s customary practices as they exist at the Closing Date. Borrower
Representative shall promptly notify Administrative Agent of all returns, recoveries, disputes and claims that involve more than Two
Hundred and Fifty Thousand ($250,000).

 

6.4
Taxes; Pensions. Timely file, and cause each of its Subsidiaries to timely file, all required Tax returns and reports and timely
pay, and require each of its Subsidiaries to timely pay, all foreign, federal, state, provincial, territorial and local Taxes, assessments,
deposits and contributions owed by such Loan Party and each of its Subsidiaries, except for deferred payment of any Taxes contested pursuant
to the terms of Section 5.9, except to the extent such failure to timely file or pay relates to Taxes in an aggregate amount not
to exceed Fifty Thousand Dollars ($50,000) and shall deliver to Administrative Agent, on demand, appropriate certificates attesting to
such payments, and pay all amounts necessary to fund all present pension, profit sharing and deferred compensation plans in accordance
with their terms.

 

6.5
Insurance. Keep, and cause each Subsidiary to keep, its business and the Collateral insured for risks and in amounts standard for
companies in the Loan Parties’ industry and location and as Administrative Agent may reasonably request. Insurance policies shall
be in a form, with financially sound and reputable insurance companies that are not Affiliates of any Loan Party, and in amounts that
are reasonably satisfactory to Administrative Agent.

 

6.6
Deposit and Securities Accounts. Maintain Collateral Accounts only at the banks and other financial institutions identified in the
Perfection Certificate or as disclosed pursuant to a notice timely delivered. Borrowers shall further maintain an ACH payment structure
in favor of Administrative Agent or otherwise designate a Collateral Account for payment of amounts due in respect of the Obligations
as set forth in Section 2.5(c), satisfactory to Administrative Agent, which may be .

 

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6.7
Intellectual Property.

 

(a)
Use commercially reasonable efforts to protect, defend and maintain the validity and enforceability of its Intellectual Property material
to its business; promptly advise Administrative Agent in writing of material infringements or any other event that could reasonably be
expected to materially and adversely affect the value of its Intellectual Property material to its business; use commercially reasonable
efforts to resolve any material claim of infringement that could reasonably be expected to have a Material Adverse Effect unless such
claim is dismissed within thirty (30) days from initiation thereof or Borrower Representative has demonstrated to Administrative Agent’s
satisfaction that such proceedings are without merit and adequate reserves have been taken; and not allow any Intellectual Property material
to the Loan Parties’ business to be abandoned, forfeited or dedicated to the public without Administrative Agent’s written
consent.

 

(b)
Provide written notice to Administrative Agent at least thirty (30) days prior to any Loan Party entering or becoming bound by any Restricted
License (other than off the shelf software and services that are commercially available to the public), and obtain, or cause such Loan
Party to obtain, the consent of, or waiver in form satisfactory to Administrative Agent from any person whose consent or waiver is necessary
for the applicable Loan Party to dispose of such Restricted License in a sale of all or substantially all assets of such Loan Party or
the affected business line.

 

6.8
Litigation Cooperation. From the Closing Date and continuing through the termination of this Agreement, make available to Administrative
Agent, any Collateral Agent and any Lender, without expense to Administrative Agent or any Collateral Agent or Lender, as applicable,
each Loan Party and its officers, employees and agents and each Loan Party’s books and records, to the extent that Administrative
Agent, or any Collateral Agent or Lender may deem them reasonably necessary to prosecute or defend any third-party suit or proceeding
instituted by or against Administrative Agent, or any Collateral Agent or Lender with respect to any Collateral or relating to any Loan
Party.

 

6.9
Access to Collateral; Books and Records. Allow Administrative Agent, the applicable Collateral Agent, or its respective agents, to
inspect the Collateral and audit and copy such Loan Party’s Books, in accordance with Section 6.13 or as set forth in the
applicable Loan Documents. Such inspections or audits shall be conducted upon reasonable notice, during normal business hours and no
more often than once every twelve (12) months unless an Event of Default has occurred and is continuing in which case such inspections
and audits shall occur as often as Administrative Agent shall determine is necessary. The reasonable costs associated with a third party
retained to conduct the foregoing inspections and audits shall be at Borrowers’ expense, provided that, prior to each third party
inspection and audit, Administrative Agent shall, at the request of Borrower Representative, notify Borrower Representative of the estimated
fees to be incurred in connection therewith.

 

6.10
Financial Covenant – Minimum Net Revenue. Achieve Net Revenue for each measurement period specified in the table set forth
on Schedule 5 not less than the amount of Net Revenue set forth opposite each period, as such Schedule 5 may be updated
from time to time as set forth therein, except that if during the fiscal quarter ending on the last day of such measurement period, either
(i) Parent maintained Market Capitalization of at least $500,000,000 at all times during such fiscal quarter, or (ii) Borrowers maintained
at all times during such fiscal quarter unrestricted cash and Cash Equivalents equal to or in excess of 150% of the Obligations outstanding
as of such date of determination, compliance with the foregoing covenant shall be deemed waived with respect to such fiscal quarter.

 

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6.11
Joinder of Subsidiaries.

 

(a)
No later than fifteen (15) days after such time as a Loan Party or any of its Subsidiaries forms any direct or indirect Subsidiary or
acquires any direct or indirect Subsidiary after the Closing Date, or is the subject of a Division, or at any time upon request of Administrative
Agent with respect to any Subsidiary whether existing as of the Closing Date or thereafter created or acquired: (a) promptly, and in
any event within five (5) days of creation, acquisition, Division or request, as applicable, provide written notice to Administrative
Agent together with certified copies of the Operating Documents for such Subsidiary (or in case of a Division, the Person(s) resulting
from such Division), and (b) promptly, and in any event within ten (10) days of formation or creation, or upon Administrative Agent’s
request, as applicable: (i) take all such action as may be reasonably required by Administrative Agent to cause the applicable Subsidiary
(or in case of a Division, the Person(s) resulting from such Division) to either: (A) provide a joinder to this Agreement pursuant to
which such Subsidiary or Person resulting from a Division becomes a Loan Party hereunder, or (B) guarantee the Obligations of Borrowers
under the Loan Documents and grant a security interest in and to substantially all assets of such Subsidiary or Person resulting from
a Division (excluding its Intellectual Property and other exclusions consistent with applicable exclusions in favor of other Loan Parties
pursuant to the Loan Documents), in each case together with such Account Control Agreements and other documents, instruments and agreements
reasonably requested by Administrative Agent, all in form and substance satisfactory to Administrative Agent (including being sufficient
to grant the applicable Collateral Agent a first priority Lien, subject to Permitted Liens in and to the assets of such Subsidiary or
Person resulting from a Division), and (ii) and to pledge all of the direct or beneficial Equity Interests in such Subsidiary or Person
resulting from a Division. Any document, agreement, or instrument executed or issued pursuant to this Section 6.11 shall be a
Loan Document.

 

(b)
Loan Parties shall not permit Subsidiaries which are not Loan Parties, in the aggregate to maintain (i) cash and other assets with an
aggregate value for all such Subsidiaries in excess of 5.0% of consolidated assets, (ii) revenue in excess of 5.0% of consolidated revenues
for any twelve month period then ended, (iii) any Intellectual Property which is material to the business of Loan Parties and their Subsidiaries
as a whole, or (iv) any contracts which are material to the business of Loan Parties and their Subsidiaries as a whole, without causing
one or more of such Subsidiaries to enter into a joinder or guaranty in form satisfactory to Administrative Agent with respect to the
Obligations as Administrative Agent may request within fifteen days (or such other period as Administrative Agent may agree in writing),
such that compliance with clauses (i) through (iv) shall be restored.

 

6.12
Management Rights. Any representative of Administrative Agent shall have the right to meet with management and officers of Loan Parties
to discuss such books of account and records. In addition, Administrative Agent shall be entitled at reasonable times and intervals to
consult with and advise the management and officers of Loan Parties concerning significant business issues affecting Loan Parties. Such
consultations shall not unreasonably interfere with any Loan Party’s business operations.

 

6.13
Canadian Pension Plans and Canadian Benefit Plans. Each Loan Party shall use its best efforts to ensure that each Canadian Pension
Plan and Canadian Benefit Plan is administered in a timely manner in all respects in accordance with the applicable pension plan text,
funding agreement, the Income Tax Act (Canada) and all other applicable laws.

 

6.14
Parent as Holding Company. Parent shall not incur any liabilities (other than liabilities arising under the Loan Documents), own
or acquire any assets (other than the Equity Interests of Borrowers or cash and Cash Equivalents) or engage itself in any operations
or business, except in connection with the maintenance of legal existence, the ownership of Equity Interest of Loan Parties and other
Subsidiaries, its rights and obligations under the Loan Documents and the maintaining of accounts, service agreements, regulatory registrations,
permits and all other obligations necessary to sustain business operations.

 

6.15
Right to Invest. In connection with any Qualified Financings consummated after the Closing Date, Designated Holders shall have the
right, in their respective discretion to participate in any such Qualified Financing, provided that with respect to any public offering
of Parent, Parent agrees to use commercially reasonable efforts to provide Designated Holders with the opportunity to invest in each
such Qualified Financing if it is lawful to do so (or if the Qualified Financing is an underwritten public offering pursuant to a registration
statement under the Securities Act of 1933, as amended, to use commercially reasonable efforts to cause the underwriters for such offering
to offer Designated Holders an allocation of securities in such offering), on the same terms, conditions and pricing afforded to other
investors participating in such Qualified Financing; provided that the maximum aggregate investment amount by Designated Holders for
all participation in Qualified Financings pursuant to this Section 6.15 shall be $5,000,000. Parent shall provide written notice
to Administrative Agent not later than the date upon which potential investors are notified of a Qualified Financing, and if Designated
Holders desire to exercise its right to participate in such Qualified Financing, Designated Holders shall cooperate to consummate its
investment in such closing promptly upon receipt of documentation with respect thereto. Parent shall not take any action to avoid or
seek to avoid the observance or performance of any of the obligations pursuant to this Section 6.15, but will at all times in
good faith assist in the carrying out the same and take all such action as may be necessary or appropriate, but only to the extent permitted
by law, to protect the rights of Designated Holders hereunder against impairment.

 

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6.16
Further Assurances. Execute any further instruments and take further action as Administrative Agent may reasonably request to effect
the purposes of this Agreement.

 

7.
NEGATIVE COVENANTS

 

No
Loan Party shall, or shall cause or permit any of its Subsidiaries to, do any of the following:

 

7.1
Dispositions. Convey, sell, lease, transfer, assign, or otherwise dispose of (collectively, “Transfer”) all or
any part of its business or property, except for Permitted Transfers.

 

7.2
Changes in Business, Management, Ownership, or Business Locations. (a) Engage in any business other than the businesses currently
engaged in by such Person, as applicable, or reasonably related thereto; (b) cease doing business, or liquidate or dissolve; (c) permit
or suffer a Change in Control; or (d) without at least thirty (30) days prior written notice to Administrative Agent (i) change its jurisdiction
of organization, (ii) change its organizational structure or type, (iii) change its legal name, (iv) change its organizational number
(if any) assigned by its jurisdiction of organization, or (v) change its chief executive office, domicile (for purposes of Quebec) or
principal place of business.

 

7.3
Amalgamations, Mergers or Acquisitions.

 

(a)
Amalgamate, merge or consolidate with any other Person (except if concurrently with, and as a condition to the effectiveness of, the
closing of such amalgamation, merger or consolidation, the Obligations shall be repaid in full, in cash), or acquire all or substantially
all of the capital stock or property of another Person or business line of another Person (including, without limitation, by the formation
of any Subsidiary) or enter into any agreement to do any of the same, provided that a Subsidiary may amalgamate, merge or consolidate
into another Subsidiary or into a Borrower, provided that in any merger or consolidation involving Borrower Representative, a Borrower
or a Guarantor, Borrower Representative or such Borrower or Guarantor, respectively, shall be the surviving entity.

 

7.4
Indebtedness. Create, incur, assume, or be liable for any Indebtedness, other than Permitted Indebtedness.

 

7.5
Encumbrance. Create, incur, allow, or suffer any Lien on any of its property, or assign or convey any right to receive income, including
the sale of any Accounts, except for Permitted Liens, or otherwise permit any Collateral not to be subject to the first priority security
interest granted herein, except in connection with Permitted Liens permitted to have priority over the Lien pursuant to the Loan Documents
or deemed to have priority over the Lien pursuant to applicable law, or enter into any agreement, document, instrument or other arrangement
with any Person which directly or indirectly prohibits or has the effect of prohibiting any Loan Party or Subsidiary from assigning,
mortgaging, pledging, granting a security interest in or upon, or encumbering any of such Loan Party’s or Subsidiary’s Intellectual
Property, except (i) pursuant to the Loan Documents, (ii) in connection with restrictions in the Ordinary Course of Business in connection
with licenses of Intellectual Property constituting a Permitted Transfer with respect to the Intellectual Property subject to such license,
and (iii) with respect to financed Equipment subject to a Lien described in clause (c) of the defined term “Permitted Liens”.

 

7.6
Maintenance of Collateral Accounts. Maintain any Collateral Account except in compliance with requirements of applicable Loan Documents.

 

7.7
Distributions; Investments. (a) Pay any dividends or make any distribution or payment on any capital stock of a Loan Party or redeem,
retire or purchase any Equity Interests of a Loan Party provided that (i) Parent may convert any of its convertible Equity Interests
(including warrants) into other Equity Interests issued by Parent pursuant to the terms of such convertible securities or otherwise in
exchange thereof, (ii) Parent may convert Subordinated Debt issued by Parent into Equity Interests issued by Parent pursuant to the terms
of such Subordinated Debt and to the extent permitted under the terms of the applicable subordination or intercreditor agreement; (iii)
any Borrower or Subsidiary thereof may pay dividends solely in Equity Interests of such Borrower or Subsidiary; (iv) Parent may make
cash payments in lieu of fractional shares; and (v) Parent may repurchase the Equity Interests issued by Parent pursuant to stock repurchase
agreements approved by Parent’s Board so long as an Event of Default does not exist at the time of such repurchase and would not
exist after giving effect to such repurchase, provided that the aggregate amount of all such repurchases does not exceed Two Hundred
and Fifty Thousand ($250,000) per fiscal year; or (b) directly or indirectly make any Investment (including, without limitation, by the
formation of any Subsidiary), other than Permitted Investments. Notwithstanding the foregoing, Loan Parties shall be permitted to make
the repurchases, payments or distributions expressly permitted above only if, at such time, and immediately after giving effect thereto:
(i) no Default or Event of Default, exists or could reasonably be expected to occur, (ii) each Loan Party is solvent, and (iii) such
payment or distribution is permitted under and is made in compliance with all applicable laws.

 

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7.8
Transactions with Affiliates. Directly or indirectly enter into or permit to exist any material transaction with any Affiliate of
a Loan Party, except for (a) transactions that are in the Ordinary Course of Business and on fair and reasonable terms that are no less
favorable to such Person than would be obtained in an arm’s length transaction with a non-affiliated Person; (b) bona fide rounds
of Subordinated Debt or equity financing by existing investors in Parent for capital raising purposes, and (c) reasonable and customary
director, officer and employee compensation and other customary benefits including retirement, health, stock option and other benefit
plans and indemnification arrangements approved by Parent’s Board.

 

7.9
Subordinated Debt. (a) Make or permit any payment on any Subordinated Debt, except as permitted pursuant to the terms of the subordination,
intercreditor, or other similar agreement to which such Subordinated Debt is subject, or (b) amend any provision in any document relating
to the Subordinated Debt which would increase the amount thereof, provide for earlier or greater principal, interest, or other payments
thereon, or adversely affect the subordination thereof to the Obligations.

 

7.10
Compliance. Become an “investment company” or a company controlled by an “investment company”, under the
Investment Company Act of 1940, as amended, or undertake as one of its important activities extending credit to purchase or carry margin
stock (as defined in Regulation U of the Board of Governors of the Federal Reserve System), or use the proceeds of any Loan for that
purpose; take any action or fail to take any action (or suffer any other Person to do so), to the extent the same would cause the representations
set forth in Section 5.11(c) to be untrue; fail to meet the minimum funding requirements of ERISA, permit a Reportable Event or
Prohibited Transaction, as defined in ERISA, to occur; fail to comply with the Federal Fair Labor Standards Act or violate any other
law or regulation, if the violation could reasonably be expected to have a Material Adverse Effect; withdraw from participation in, permit
partial or complete termination of, or permit the occurrence of any other event with respect to, any present pension, profit sharing
and deferred compensation plan which could reasonably be expected to result in any liability of a Loan Party or any of its Subsidiaries,
including any liability to the Pension Benefit Guaranty Corporation or its successors or any other governmental agency.

 

7.11
Canadian Defined Benefits Plans. No Loan Party shall (a) contribute to or assume an obligation to contribute to or have any liability
under any Canadian Defined Benefit Pension Plan, without the prior written consent of Administrative Agent, (b) acquire an interest in
any Person if such Person sponsors, maintains or contributes to, or at any time in the five-year period preceding such acquisition has
sponsored, maintained, or contributed to a Canadian Defined Benefit Pension Plan, without the prior written consent of Administrative
Agent; or (c) wind-up any Canadian Defined Benefit Pension Plan, in whole or in part, unless it has obtained written advice from the
actuary for such plan that the plan (or part thereof in the case of a partial windup) is fully funded or has no unfunded liability at
the effective date of the windup, without the prior written consent of Administrative Agent.

 

8.
EVENTS OF DEFAULT

 

Any
one of the following shall constitute an event of default (an “Event of Default”) under this Agreement:

 

8.1
Payment Default. Any Loan Party fails to pay any Obligations after such Obligations are due and payable.

 

8.2
Covenant Default.

 

(a)
A Loan Party fails or neglects to perform any obligation in Section 3.3(b), Sections 6.4, 6.5, 6.6, 6.8 or 6.10 or violates
any covenant in Section 7; or

 

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(b)
A Loan Party defaults on any obligation in Section 6.2, and as to any such default has failed to cure such default within ten (10) days
after the earlier of: (i) notice of the occurrence thereof has been given to Borrower Representative by Administrative Agent (which may
be in the form of an email request for missing, incomplete or late reports or financial statements), or (ii) the date which a Loan Party
knew thereof; provided, however, if a Loan Party defaults on any obligation in Section 6.2 more than three (3) times in any calendar
year, the foregoing cure period shall not apply to any subsequent default due to a failure to comply with Section 6.2 during such
calendar year; or

 

(c)
A Loan Party fails or neglects to perform, keep, or observe any other term, provision, condition, covenant or agreement contained in
this Agreement or any Loan Documents, and as to any default (other than those specified in this Section 8) under such other term,
provision, condition, covenant or agreement that can be cured, has failed to cure the default within fifteen (15) days after the earlier
of: (i) notice of the occurrence thereof has been given to the Borrower Representative by the Administrative Agent or (ii) the date which
a Loan Party knew or would reasonably be expected to have known thereof.

 

8.3
Material Adverse Effect. An event or circumstance has occurred which could be expected to have a Material Adverse Effect.

 

8.4
Attachment; Levy; Restraint on Business.

 

(a)
(i) The service of process seeking to attach, by trustee or similar process, any funds of a Loan Party or of any of its Subsidiaries,
or (ii) a notice of Lien or levy is filed against the assets of any Loan Party or any of its Subsidiaries by any Governmental Authority,
and the same under clauses (i) and (ii) hereof are not, within ten (10) days after the occurrence thereof, discharged or stayed
(whether through the posting of a bond or otherwise); provided, however, no Loans shall be made during any ten (10) day cure period;
or

 

(b)
(i) Any material portion of the assets of a Loan Party or any of its Subsidiaries is attached, seized, levied on, or comes into possession
of a trustee or receiver, or (ii) any court order enjoins, restrains, or prevents a Loan Party or any of its Subsidiaries from conducting
all or any material part of its business.

 

8.5
Insolvency. (a) A Loan Party or any of its Subsidiaries, as a whole, is unable to pay its debts (including trade debts) as they become
due or otherwise becomes insolvent, the realizable value of the Loan Parties’ assets is less than the aggregate sum of the liabilities
of the Loan Parties; (b) a Loan Party or any of its Subsidiaries begins an Insolvency Proceeding; or (c) an Insolvency Proceeding is
begun against a Loan Party or any of its Subsidiaries and is not dismissed or stayed within forty-five (45) days (but no Loans shall
be made while any of the conditions described in this Section 8.5 exist and/or until any Insolvency Proceeding is dismissed).

 

8.6
Other Agreements. There is, under any agreement to which a Loan Party or any of its Subsidiaries is a party with a third party or
parties, (a) any default resulting in a right by such third party or parties, whether or not exercised, to accelerate the maturity of
any Indebtedness in an amount individually or in the aggregate in excess of Five Hundred Thousand ($500,000) (except if such third party
is restricted from accelerating the maturity of such Indebtedness, including pursuant to the terms of a subordination or similar agreement
entered into with respect to the Obligations and subject to any applicable cure period); or (b) any breach or default by a Loan Party
or a Subsidiary of such Loan Party, the result of which could reasonably be expected to have a Material Adverse Effect.

 

8.7
Judgments; Penalties. One or more fines, penalties or final judgments, orders or decrees for the payment of money in an amount, individually
or in the aggregate, in excess of (a) One Million ($1,000,000) or, (b) to the extent amounts in excess of One Million ($1,000,000) are
covered by insurance and the insurer has acknowledged its responsibility to cover such amounts, Five Million ($5,000,000) shall be rendered
against a Loan Party or any of its Subsidiaries by any Governmental Authority, and the same are not, within twenty (20) days after the
entry, assessment or issuance thereof, vacated, or after execution thereof, stayed or bonded pending appeal, (provided that no Loans
will be made prior to the vacation, stay, or bonding of such fine, penalty, judgment, order or decree).

 

8.8
Misrepresentations. Any Loan Party or any Person acting for such Loan Party makes any representation, warranty, or other statement
now or later in this Agreement, any Loan Document or in any writing delivered to Administrative Agent, or any Collateral Agent or Lender
or to induce Administrative Agent, or any Collateral Agent or Lender to enter this Agreement or any Loan Document, and such representation,
warranty, or other statement is incorrect in any material respect when made.

 

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8.9
Subordinated Debt. Any Subordination Agreement governing any Subordinated Debt shall for any reason be revoked or invalidated or
otherwise cease to be in full force and effect, any party thereto shall be in breach thereof or contest in any manner the validity or
enforceability thereof or deny that it has any further obligation thereunder, or any Liens securing the Obligations shall for any reason
not have the priority contemplated by this Agreement.

 

8.10
Governmental Approval. Any Governmental Approval shall have been revoked, rescinded, suspended, modified in an adverse manner or
not renewed for a full term, and such revocation, rescission, suspension, modification or non-renewal has, or could reasonably be expected
to have, a Material Adverse Effect.

 

8.11
Guaranty. Any guaranty of any Obligations terminates or ceases for any reason to be in full force and effect.

 

9.
Acceleration

 

9.1
Acceleration. Upon the occurrence and during the continuance of an Event of Default, Administrative Agent, is entitled, to declare
all Obligations immediately due and payable (but if an Event of Default described in Section 8.5 occurs all Obligations are immediately
due and payable without any action by Administrative Agent), and to stop advancing money or extending credit for any Borrower’s
benefit under this Agreement (and each Lender’s Commitment shall be deemed terminated as long as an Event of Default has occurred
and is continuing).

 

10.
NOTICES

 

All
notices, consents, requests, approvals, demands, or other communication by any party to this Agreement or any other Loan Document must
be in writing and shall be deemed to have been validly served, given, or delivered: (a) upon the earlier of actual receipt and three
(3) Business Days after deposit in the U.S. mail, first class, registered or certified mail return receipt requested, with proper postage
prepaid; (b) upon confirmation of receipt, when sent by electronic mail transmission; (c) one (1) Business Day after deposit with a reputable
overnight courier with all charges prepaid; or (d) when delivered, if hand-delivered by messenger, all of which shall be addressed to
the party to be notified and sent to the address, or email address indicated below. Administrative Agent, Lenders and Loan Parties may
change their respective mailing or electronic mail addresses by giving the other party written notice thereof in accordance with the
terms of this Section 10.

 

	 	If
    to Loan Parties:	c/o
                                            Variation Biotechnologies Inc. 

    310
    Hunt Club Road East, Suite 201

    Ottawa
    Ontario Canada K1V 1C1

    Attention:
    Chris McNulty

    Email:
    cmcnulty@vbivaccines.com

     

	 	With
    a copy, not constituting notice, to: 	Haynes
                                            Boone

    30
    Rockefeller Plaza, 26th Floor

    New
    York, NY 10112

    Attn:
    Rick Werner; Jayun Koo

    Email:
    Rick.Werner@haynesboone.com; Jayun.Koo@haynesboone.com

     

	 	If
    to Collateral Trustee:	ANKURA
                                            TRUST COMPANY, LLC

    140
    Sherman Street, Fourth Floor

    Fairfield,
    CT 06824

    Attention:
    Beth Micena

    Email:
    Beth.Micena@ankura.com

 

    	20

    	 

    

 

	 	If
                                            to Administrative Agent or Lenders:

     

     
	K2
                                            HEALTHVENTURES LLC

    855
    Boylston Street, 10th Floor

    Boston,
    MA 02116

     

    For
    Loan Requests, monthly reporting, Compliance Certificates, and other regular reporting deliverables:

     

    Attention:
    Finance

     

    Email:
    finance@k2hv.com; anup@k2hv.com; derek@k2hv.com, ben@k2hv.com

     

    For
    all other notices:

     

    Attention:
    Legal Notices

    Email:
    legal@k2hv.com

     

	 	With
    a copy to (but not constituting notice, and excluding Loan Requests and regular reporting):	SIDLEY
                                            AUSTIN LLP

    1001
    Page Mill Road Building 1

    Palo
    Alto, California 94304

    Attention:
    Cynthia Bai

    Email:
    cbai@sidley.com

 

11.
CHOICE OF LAW, VENUE AND JURY TRIAL WAIVER

 

Except
as otherwise expressly provided in any of the Loan Documents, this Agreement and the other Loan Documents shall be governed by, and construed
in accordance with, the laws of the State of New York without regard to principles of conflicts of law. Each Loan Party hereby submits
to the exclusive jurisdiction of the State and Federal courts in New York County, City of New York, New York; provided, however,
that nothing in this Agreement shall be deemed to operate to preclude Administrative Agent or any Collateral Agent from enforcing a judgment
or other court order in favor of Administrative Agent, or any Collateral Agent or Lender. Each Loan Party expressly submits and consents
in advance to such jurisdiction in any action or suit commenced in any such court, and each Loan Party hereby waives any objection that
it may have based upon lack of personal jurisdiction, improper venue, or forum non conveniens and hereby consents to the granting of
such legal or equitable relief as is deemed appropriate by such court. Each Loan Party hereby waives personal service of the summons,
complaints, and other process issued in such action or suit and agrees that service of such summons, complaints, and other process may
be made by registered or certified mail addressed to such Loan Party at the address set forth in, or subsequently provided by such Loan
Party in accordance with, Section 10 and that service so made shall be deemed completed upon the earlier to occur of Loan Parties’
actual receipt thereof or three (3) Business Days after deposit in the U.S. mails, proper postage prepaid. Each Loan Party hereby expressly
waives any claim to assert that the laws of any other jurisdiction govern this Agreement.

 

TO
THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, EACH OF THE PARTIES HERETO EACH WAIVE THEIR RIGHT TO A JURY TRIAL OF ANY CLAIM OR CAUSE
OF ACTION ARISING OUT OF OR BASED UPON THIS AGREEMENT, THE LOAN DOCUMENTS OR ANY CONTEMPLATED TRANSACTION, INCLUDING CONTRACT, TORT,
BREACH OF DUTY AND ALL OTHER CLAIMS. THIS WAIVER IS A MATERIAL INDUCEMENT FOR THE PARTIES TO ENTER INTO THIS AGREEMENT. NOTWITHSTANDING
ANYTHING TO THE CONTRARY CONTAINED IN THIS AGREEMENT OR ANYWHERE ELSE, EACH Loan Party AGREES THAT IT SHALL NOT SEEK FROM Administrative
Agent, or any COLLATERAL agENT OR lender UNDER ANY THEORY OF LIABILITY (INCLUDING ANY THEORY IN TORTS), ANY SPECIAL, INDIRECT, CONSEQUENTIAL
OR PUNITIVE DAMAGES. EACH PARTY HAS REVIEWED THIS WAIVER WITH ITS COUNSEL.

 

    	21

    	 

    

 

This
Section 11 shall survive the termination of this Agreement.

 

12.
GENERAL PROVISIONS

 

12.1
Termination Prior to Restatement Term Loan Maturity Date; Survival. All covenants, representations and warranties made in this Agreement
continue in full force until this Agreement has terminated pursuant to its terms and all Obligations (other than contingent indemnification
obligations as to which no claim has been asserted or is known to exist and any other obligations which, by their terms, are to survive
the termination of this Agreement) have been satisfied in full, in cash and all commitments to extend credit pursuant to this Agreement
have terminated. So long as Loan Parties have satisfied the Obligations (other than contingent indemnification obligations as to which
no claim has been asserted or is known to exist and any other obligations which, by their terms, are to survive the termination of this
Agreement), this Agreement and any remaining commitments to extend credit may be terminated prior to the Restatement Term Loan Maturity
Date by Loan Parties, by written notice of termination to Lenders. Those obligations that are expressly specified in this Agreement as
surviving this Agreement’s termination shall continue to survive notwithstanding this Agreement’s termination.

 

12.2
Successors and Assigns.

 

(a)
Successors and Assigns Generally. This Agreement binds and is for the benefit of the successors and permitted assigns of each
party. No Loan Party may assign this Agreement or any rights or obligations under it without Lenders’ prior written consent (which
may be granted or withheld in each Lender’s discretion). Each Lender has the right, without the consent of or notice to Loan Parties,
to sell, transfer, assign, negotiate, or grant participation in all or any part of, or any interest in, such Lender’s obligations,
rights, and benefits under this Agreement and the other Loan Documents (other than the Warrant, as to which assignment, transfer and
other such actions are governed by the terms thereof).

 

(b)
Assignment by Lenders. Each Lender may at any time assign to one or more eligible assignees all or a portion of its rights and
obligations under this Agreement (including all or a portion of its commitment and the Loans at the time owing to it), subject to any
restrictions on such assignment set forth in the other Loan Documents. Each such Lender shall notify the Administrative Agent of such
assignment and deliver to the Administrative Agent a copy of any assignment and assumption agreement entered into in connection thereto.

 

(c)
Register; Participant Register. Administrative Agent, acting solely for this purpose as
an agent of the Loan Parties, shall maintain at one of its offices in the United States a register for the recordation of the names and
addresses of Lenders, and the Commitments of, and principal amounts (and stated interest) of the Restatement Term
Loans owing to each Lender pursuant to the terms hereof from time to time (the “Register”). The entries in the Register
shall be conclusive absent manifest error, and the Loan Parties, Administrative Agent and Lenders shall treat each Person whose name
is recorded in the Register pursuant to the terms hereof as Lender hereunder for all purposes of this Agreement. The Register shall be
available for inspection by the Loan Parties, any Lender and Collateral Agent at any reasonable time and from time to time upon reasonable
prior notice. Each Lender that sells a participation shall, acting solely for this purpose as a non-fiduciary agent of the Loan Parties,
maintain a register on which it enters the name and address of each participant and the principal amounts (and stated interest) of each
participant’s interest in the Restatement Term Loans or other obligations under the
Loan Documents (the “Participant Register”); provided that no Lender shall have any obligation to disclose all or
any portion of the Participant Register (including the identity of any participant or any information relating to a participant’s
interest in any commitments, loans or its other obligations under any Loan Document) to any Person except to the extent that such disclosure
is necessary to establish that such commitment, loan or other obligation is in registered form under Section 5f.103-1(c) of the United
States Treasury Regulations. The entries in the Participant Register shall be conclusive absent manifest error, and such Lender shall
treat each Person whose name is recorded in the Participant Register as the owner of such participation for all purposes of this Agreement
notwithstanding any notice to the contrary. For the avoidance of doubt, Administrative Agent (in its capacity as Administrative Agent)
shall have no responsibility for maintaining a Participant Register.

 

    	22

    	 

    

 

12.3
Indemnification. Each Loan Party agrees to indemnify, defend and hold Administrative Agent, and each Collateral Agent and Lender
and their respective directors, officers, employees, agents, attorneys, or any other Person affiliated with or representing Lender (each,
an “Indemnified Person”) harmless against all obligations, demands, claims, and liabilities (including such claims,
costs, expenses, damages and liabilities based on liability in tort, including strict liability in tort) (collectively, “Claims”)
claimed or asserted by any third party in connection with the transactions contemplated by the Loan Documents, except for Claims and/or
losses to the extent directly caused by such Indemnified Person’s gross negligence or willful misconduct. This Section 12.3
shall survive until all statutes of limitation with respect to the Claims, losses, and expenses for which indemnity is given shall
have run and, for the avoidance of doubt, shall survive the resignation or replacement of Administrative Agent or any Collateral Agent.
This Section 12.3 shall not apply with respect to Taxes other than any Taxes that represent losses, claims, damages, etc. arising
from any non-Tax claim.

 

12.4
Borrower Liability. Each Borrower hereunder shall be jointly and severally obligated to repay all Loans made hereunder, regardless
of which Borrower actually receives said Loan, as if each Borrower hereunder directly received all Loans. Each Borrower waives (a) any
suretyship defenses available to it under the Code, the PPSA or any other applicable law, and (b) any right to require any applicable
Collateral Agent to: (i) proceed against any Borrower or any other person; (ii) proceed against or exhaust any security; or (iii) pursue
any other remedy. Each applicable Collateral Agent may exercise or not exercise any right or remedy it has against any Borrower or any
security it holds (including the right to foreclose by judicial or non-judicial sale) without affecting any Borrower’s liability.
Notwithstanding any other provision of this Agreement or other related document, each Borrower irrevocably waives all rights that it
may have at law or in equity (including, without limitation, any law subrogating Borrower to the rights of any Collateral Agent under
this Agreement) to seek contribution, indemnification or any other form of reimbursement from any other Borrower, or any other Person
now or hereafter primarily or secondarily liable for any of the Obligations, for any payment made by such Borrower with respect to the
Obligations in connection with this Agreement or otherwise and all rights that it might have to benefit from, or to participate in, any
security for the Obligations as a result of any payment made by such Borrower with respect to the Obligations in connection with this
Agreement or otherwise. Any agreement providing for indemnification, reimbursement or any other arrangement prohibited under this Section
shall be null and void. If any payment is made to a Borrower in contravention of this Section, such Borrower shall hold such payment
in trust for Lenders and such payment shall be promptly delivered to Administrative Agent, for the ratable benefit of Lenders, for application
to the Obligations, whether matured or unmatured.

 

12.5
Time of Essence. Time is of the essence for the performance of all Obligations in this Agreement.

 

12.6
Severability of Provisions. Each provision of this Agreement is severable from every other provision in determining the enforceability
of any provision.

 

12.7
Correction of Loan Documents. Administrative Agent may correct patent errors and fill in any blanks in the Loan Documents consistent
with the agreement of the parties with ten (10) day prior written notice to Borrower Representative, provided that if Borrower Representative
objects to such correction, such change may be made only pursuant to an Amendment in accordance with Section 12.9.

 

12.8
Amendments in Writing; Waiver; Integration. No purported amendment or modification of any Loan Document, or waiver, discharge or
termination of any obligation under any Loan Document, shall be effective except, pursuant to an agreement in writing by the parties
thereto, and in case of this Agreement, pursuant to an agreement in writing entered into by Loan Parties, Administrative Agent, the Required
Lenders and if applicable, any Collateral Agent party to such Loan Document, provided that Collateral Trustee’s approval shall
not be required for any amendment or supplement that has the effect solely of (i) adding or maintaining Collateral, securing additional
Obligations that are otherwise permitted by the terms of this Agreement to be secured by the Collateral or preserving, perfecting or
establishing the priority of the Liens thereon or the rights of Collateral Trustee therein; (ii) curing any ambiguity, defect or inconsistency;
(iii) providing for the assumption of a Borrower’s or Guarantor’s Obligations under any Loan Document in the case of a merger
or consolidation or sale of all or substantially all of the assets of a Borrower or Guarantor, as applicable; (iv) making any change
that would provide any additional rights or benefits to the Administrative Agent, any Lender or Collateral Trustee or that does not adversely
affect the legal rights under this Agreement or any other Loan Document of Collateral Trustee; or (v) to the extent the Collateral Trust
Agreement does not require Collateral Trustee’s approval to such amendment or modification. Without limiting the generality of
the foregoing, no oral promise or statement, nor any action, inaction, delay, failure to require performance or course of conduct shall
operate as, or evidence, an amendment, supplement or waiver or have any other effect on any Loan Document. Any waiver granted shall be
limited to the specific circumstance expressly described in it, and shall not apply to any subsequent or other circumstance, whether
similar or dissimilar, or give rise to, or evidence, any obligation or commitment to grant any further waiver. Notwithstanding the foregoing,
it is agreed that any change to the definition of “Designated Holder” or the rights of Designated Holder pursuant to Section
6.15 other than any change to the amount of the permitted investment by Designated Holder, the timing, or other terms and conditions
of a participation by Designated Holder in any equity offering (and any change to this Agreement that would modify the consent required
pursuant to this sentence) shall require the consent of the Collateral Trustee. The Loan Documents represent the entire agreement about
this subject matter and supersede prior negotiations or agreements. All prior agreements, understandings, representations, warranties,
and negotiations among the parties about the subject matter of the Loan Documents merge into the Loan Documents.

 

    	23

    	 

    

 

12.9
Counterparts; Electronic Execution of Documents. This Agreement and any other Loan Documents, except to the extent otherwise required
pursuant to the terms thereof, may be executed in any number of counterparts and by different parties on separate counterparts, each
of which, when executed and delivered, is of the same force and effect as an original, and all taken together, constitute one Agreement.
The words “execution,” “signed,” “signature” and words of like import in any Loan Document shall
be deemed to include electronic signatures or the keeping of records in electronic form, each of which shall be of the same legal effect,
validity and enforceability as a manually executed signature or the use of a paper-based recordkeeping systems, as the case may be, to
the extent and as provided for in any applicable law, including, without limitation, any state law based on the Uniform Electronic Transactions
Act. Delivery of an executed counterpart of a signature page of any Loan Document by electronic means including by email delivery of
a “.pdf” format data file shall be as effective as delivery of an original executed counterpart of such Loan Document.

 

12.10
Confidentiality; Publicity.

 

(a)
In handling any confidential information, Administrative Agent and each Lender agree, to exercise the same degree of care that it exercises
for its own proprietary information, but disclosure of information may be made: (a) to its Subsidiaries or Affiliates; (b) to prospective
transferees or purchasers of any interest in the Loans; (c) as required by law, regulation, subpoena, or other order and in connection
with reporting obligations applicable to Administrative Agent, any Collateral Agent or such Lender, including pursuant to the Exchange
Act, (d) to Administrative Agent, or any Collateral Agent or Lender’s regulators or as otherwise required in connection with any
examination or audit; (e) as Administrative Agent, or any Collateral Agent or Lender considers appropriate in connection with the exercise
of remedies with respect to the Obligations; and (f) to third-party service providers of Administrative Agent, or any Collateral Agent
or Lender so long as such prospective transferees or purchasers or service providers are bound by confidentiality terms not more permissive
than the terms hereof. Confidential information does not include information that is either: (i) in the public domain or in Administrative
Agent, or any Collateral Agent or Lender’s possession when disclosed to Administrative Agent, or such Collateral Agent or Lender,
as applicable, or becomes part of the public domain (other than as a result of its disclosure by Administrative Agent, or such Collateral
Agent or Lender or any of the Persons to whom confidential information was transferred pursuant to this Section 12.10(a) in violation
of this Agreement) after disclosure to Administrative Agent or such Collateral Agent or Lender, as applicable; or (ii) disclosed to Administrative
Agent, or such Collateral Agent or Lender by a third party, if Administrative Agent, or such Collateral Agent or Lender, as applicable,
does not know that the third party is prohibited from disclosing the information. The provisions of this paragraph shall survive the
termination of this Agreement.

 

(b)
Neither the Loan Parties nor the Lenders shall publicize or use the other’s name or logo, or hyperlink to the other’s website,
describe the relationship of the Loan Parties to the Lenders or the transaction contemplated by this Agreement, in written and oral presentations,
advertising, promotional and marketing materials, client lists, public relations materials or on its web site (together, the “Publicity
Materials”) without such Loan Party or Lender, as applicable, providing prior written notice to the other that is the subject
of the proposed Publicity Materials, together with a draft (or, if Publicity Materials are not proposed to be delivered in written form,
an outline of the content to be included) so as to provide the recipient a reasonable opportunity to review prior to publication, and
each party agrees, in connection with any Publicity Materials proposed by a party to reasonably consider requested changes or corrections
requested by the party that is the subject of such Publicity Materials in good faith, and upon request, to provide the final form prior
to publication or other dissemination.

 

    	24

    	 

    

 

12.11
Borrower Representative. Each of the Borrowers hereby appoints Borrower Representative to act as its exclusive agent for all purposes
under the Loan Documents (including, without limitation, with respect to all matters related to the borrowing and repayment of any Loan).
Each of the Borrowers acknowledges and agrees that (a) Borrower Representative may execute such documents on behalf of any Borrower as
Borrower Representative deems appropriate in its sole discretion and each Borrower shall be bound by and obligated by all of the terms
of any such document executed by Borrower Representative on its behalf, (b) any notice or other communication delivered hereunder to
Borrower Representative shall be deemed to have been delivered to each Borrower and (c) Administrative Agent, and any Collateral Agent
and Lender shall accept (and shall be permitted to rely on) any document or agreement executed by Borrower Representative on behalf of
Borrowers (or any of them). Borrower must act through the Borrower Representative for all purposes under this Agreement and the other
Loan Documents. Notwithstanding anything contained herein to the contrary, to the extent any provision in this Agreement requires any
Borrower to interact in any manner with Administrative Agent, or any Collateral Agent or Lender, such Borrower shall do so through Borrower
Representative.

 

12.12
Captions. The headings used in this Agreement are for convenience only and shall not affect the interpretation of this Agreement.

 

12.13
Construction of Agreement. The parties mutually acknowledge that they and their attorneys have participated in the preparation and
negotiation of this Agreement. In cases of uncertainty this Agreement shall be construed without regard to which of the parties caused
the uncertainty to exist.

 

12.14
Relationship. The relationship of the parties to this Agreement is determined solely by the provisions of this Agreement. The parties
do not intend to create any agency, partnership, joint venture, trust, fiduciary or other relationship with duties or incidents different
from those of parties to an arm’s-length contract.

 

12.15
Third Parties. Nothing in this Agreement, whether express or implied, is intended to: (a) confer any benefits, rights or remedies
under or by reason of this Agreement on any persons other than the express parties to it and their respective permitted successors and
assigns; (b) relieve or discharge the obligation or liability of any person not an express party to this Agreement; or (c) give any person
not an express party to this Agreement any right of subrogation or action against any party to this Agreement.

 

12.16
Appointment of Administrative Agent.

 

(a)
Each Lender hereby appoints Administrative Agent to act on behalf of Lenders as administrative agent under this Agreement and the other
Loan Documents and appoints CAD Collateral Agent and ISR Collateral Agent to act on behalf of Lenders as collateral agent pursuant to
the CAD Security Documents and the ISR Security Documents, respectively, and to hold and enforce any and all Liens on the Collateral
granted pursuant thereto by the applicable Loan Parties to secure the Obligations (the Administrative Agent, CAD Collateral Agent and
ISR Collateral Agent, collectively, “K2 Agent”). The provisions of this Section 12.16 are solely for the benefit
of each K2 Agent and Lenders and no Loan Party nor any other Person shall have any rights as a third party beneficiary of any of the
provisions hereof. In performing its functions and duties under this Agreement, each K2 Agent does not assume and shall not be deemed
to have assumed any obligation toward or relationship of agency or trust with or for any Loan Party or any other Person. Each K2 Agent
shall not have any duties or responsibilities except for those expressly set forth in this Agreement and the other Loan Documents, together
with such powers as are reasonably related thereto. The duties of each K2 Agent shall be mechanical and administrative in nature and
no K2 Agent shall have, or be deemed to have, by reason of this Agreement, any other Loan Document or otherwise a fiduciary relationship
in respect of any Lender.

 

(b)
If any K2 Agent shall request instructions from Lenders with respect to any act or action (including failure to act) in connection with
this Agreement or any other Loan Document, then such K2 Agent shall be entitled to refrain from such act or taking such action unless
and until it shall have received instructions from the Required Lenders, and such K2 Agent shall incur no liability to any Person by
reason of so refraining. Each K2 Agent shall be fully justified in failing or refusing to take any action hereunder or under any other
Loan Document for any reason. Without limiting the foregoing, no Lender shall have any right of action whatsoever against any K2 Agent
as a result of such K2 Agent’s acting or refraining from acting hereunder or under any other Loan Document in accordance with the
instructions of Lenders.

 

    	25

    	 

    

 

(c)
Each K2 Agent may perform any and all of its duties and exercise its rights and powers hereunder by or through any one or more sub-agents
appointed by such K2 Agent. Each K2 Agent and any such sub-agent may perform any and all of its duties and exercise its rights and powers
by or through their respective related parties. The exculpatory provisions of this Section 12.16 shall apply to any such sub-agent
and to the related parties of such K2 Agent and any such sub-agent. No K2 Agent shall be responsible for the negligence or misconduct
of any sub-agent except to the extent that a court of competent jurisdiction determines in a final and non-appealable judgment that such
K2 Agent acted with gross negligence or willful misconduct in the selection of such sub-agents.

 

(d)
Neither a K2 Agent nor any of its Affiliates nor any of their respective directors, officers, agents or employees shall be liable for
any action taken or omitted to be taken by it or them under or in connection with this Agreement or the other Loan Documents, except
for damages solely caused by its or their own gross negligence or willful misconduct as finally determined by a court of competent jurisdiction.
Without limitation of the generality of the foregoing, each K2 Agent: (i) may consult with legal counsel, independent chartered accountants
and other experts and consultants selected by it and shall not be liable for any action taken or omitted to be taken in good faith by
it in accordance with the advice of such counsel, accountants, experts or consultants; (ii) makes no warranty or representation to any
Lender and shall not be responsible to any Lender for any statements, warranties or representations made in or in connection with this
Agreement or the other Loan Documents; (iii) shall not have any duty to ascertain or to inquire as to the performance or observance of
any of the terms, covenants or conditions of this Agreement or the other Loan Documents on the part of any Loan Party or to inspect the
Collateral (including the books and records) of any Loan Party; (iv) shall not be responsible to any Lender for the due execution, legality,
validity, enforceability, genuineness, sufficiency or value of this Agreement or the other Loan Documents or any other instrument or
document furnished pursuant hereto or thereto; and (v) shall incur no liability under or in respect of this Agreement or the other Loan
Documents by acting upon any notice, consent, certificate or other instrument or writing (which may be by email) believed by it to be
genuine and signed or sent by the proper party or parties.

 

(e)
With respect to its Commitments and Loans hereunder, each K2 Agent shall have the same rights and powers under this Agreement and the
other Loan Documents as any other Lender and may exercise the same as though it were not a K2 Agent; and the term “Lender”
or “Lenders” shall, unless otherwise expressly indicated, include each K2 Agent in its individual capacity (to the extent
it holds any Obligations owing to Lenders or Commitments hereunder). Each K2 Agent and each of its Affiliates may lend money to, invest
in, and generally engage in any kind of business with, any Loan Party, any of their Affiliates and any Person who may do business with
or own securities of any Loan Party or any such Affiliate, all as if such K2 Agent was not a K2 Agent and without any duty to account
therefor to Lenders. Each K2 Agent and its Affiliates may accept fees and other consideration from any Loan Party for services in connection
with this Agreement or otherwise without having to account for the same to Lenders.

 

(f)
Each Lender acknowledges that it has, independently and without reliance upon a K2 Agent or any other Lender, made its own credit and
financial analysis of the Loan Parties and its own decision to enter into this Agreement. Each Lender also acknowledges that it will,
independently and without reliance upon a K2 Agent or any other Lender and based on such documents and information as it shall deem appropriate
at the time, continue to make its own credit decisions in taking or not taking action under this Agreement. Each Lender acknowledges
the potential conflict of interest of each other Lender as a result of Lenders holding disproportionate interests in the Loans, and expressly
consents to, and waives any claim based upon, such conflict of interest.

 

(g)
Each Lender agrees to indemnify each K2 Agent (to the extent not reimbursed by Loan Parties and without limiting the obligations of Loan
Parties hereunder), ratably according to its respective Pro Rata Share, from and against any and all liabilities, obligations, losses,
damages, penalties, actions, judgments, suits, costs, expenses or disbursements of any kind or nature whatsoever which may be imposed
on, incurred by, or asserted against a K2 Agent in any way relating to or arising out of this Agreement or any other Loan Document or
any action taken or omitted by a K2 Agent in connection therewith; provided, however, that no Lender shall be liable for
any portion of such liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses or disbursements
resulting solely from a K2 Agent’s gross negligence or willful misconduct as finally determined by a court of competent jurisdiction.
Without limiting the foregoing, each Lender agrees to reimburse the applicable K2 Agent promptly upon demand for its ratable share of
any out-of-pocket expenses (including reasonable and documented counsel fees) incurred by such K2 Agent in connection with the preparation,
execution, delivery, administration, modification, amendment or enforcement (whether through negotiations, legal proceedings or otherwise)
of, or legal advice in respect of rights or responsibilities under, this Agreement and each other Loan Document, to the extent that the
applicable K2 Agent is not reimbursed for such expenses by the Loan Parties.

 

    	26

    	 

    

 

(h)
Each K2 Agent may resign at any time by giving not less than thirty (30) days’ prior written notice thereof to Lenders and Borrowers.
Upon any such resignation, Lenders shall have the right to appoint a successor K2 Agent. If no successor K2 Agent shall have been so
appointed by Lenders and shall have accepted such appointment within thirty (30) days after the applicable K2 Agent’s giving notice
of resignation, then such K2 Agent may, on behalf of Lenders, appoint a successor K2 Agent, which shall be a Lender, if a Lender is willing
to accept such appointment, or otherwise shall be a commercial bank or financial institution or a subsidiary of a commercial bank or
financial institution if such commercial bank or financial institution has combined capital of at least $300,000,000. If no successor
K2 Agent has been appointed pursuant to the foregoing, by the 30th day after the date such notice of resignation was given
by the resigning K2 Agent, such resignation shall become effective and Lenders shall thereafter perform all the duties of the applicable
K2 Agent hereunder until such time, if any, as Lenders appoint a successor K2 Agent as provided above. Upon the acceptance of any appointment
as K2 Agent hereunder by a successor K2 Agent, such successor K2 Agent shall succeed to and become vested with all the rights, powers,
privileges and duties of the resigning K2 Agent. Upon the earlier of the acceptance of any appointment as K2 Agent hereunder by a successor
K2 Agent or the effective date of the resigning K2 Agent’s resignation, the resigning K2 Agent shall be discharged from its duties
and obligations under this Agreement and the other Loan Documents, except that any indemnity, expense reimbursement or other rights in
favor of such resigning K2 Agent shall continue. After any resigning K2 Agent’s resignation hereunder, the provisions of this Section
12.16 shall inure to its benefit as to any actions taken or omitted to be taken by it while it was K2 Agent under this Agreement
and the other Loan Documents. Notwithstanding the foregoing, as long as K2 HealthVentures LLC is a Lender pursuant to this Agreement,
K2 HealthVentures LLC shall not resign as K2 Agent unless a successor K2 Agent is appointed concurrently with such resignation, which
successor K2 Agent shall have the wherewithal to perform, and shall succeed to and become vested with all the rights, powers, privileges
and duties of the resigning K2 Agent under this Agreement and the other Loan Documents.

 

(i)
In addition to any rights now or hereafter granted under applicable law and not by way of limitation of any such rights, upon the occurrence
and during the continuance of any Event of Default, with the prior written consent of any K2 Agent, each Lender and each holder of any
Obligation is hereby authorized at any time or from time to time, without notice to any Loan Party or to any other Person, any such notice
being hereby expressly waived, to set off and to appropriate and to apply any and all balances held by it at any of its offices for the
account of any Loan Party or any Subsidiary of a Loan Party (regardless of whether such balances are then due to such Loan Party or such
Subsidiary) and any other properties or assets any time held or owing by that Lender or that holder to or for the credit or for the account
of any Loan Party or any Subsidiary of a Loan Party against and on account of any of the Obligations which are not paid when due. Any
Lender or holder of any Obligation exercising a right to set off or otherwise receiving any payment on account of the Obligations in
excess of its Pro Rata Share thereof in accordance with the terms of this Agreement relating to the priority of the repayment of the
Obligations shall purchase for cash (and the other Lenders or holders shall sell) such participations in each such other Lender’s
or holder’s Pro Rata Share of the Obligations as would be necessary to cause such Lender to share the amount so set off or otherwise
received with each other Lender or holder in accordance with their respective Pro Rata Shares and in accordance with the terms of this
Agreement relating to the priority of the repayment of the Obligations. Each Loan Party agrees, to the fullest extent permitted by law,
that (i) any Lender or holder may exercise its right to set off with respect to amounts in excess of its Pro Rata Share of the Obligations
and may sell participations in such amount so set off to other Lenders and holders and (ii) any Lender or holders so purchasing a participation
in the Loans made or other Obligations held by other Lenders or holders may exercise all rights of set-off, bankers’ Lien, counterclaim
or similar rights with respect to such participation as fully as if such Lender or holder were a direct holder of the Loans and the other
Obligations in the amount of such participation. Notwithstanding the foregoing, if all or any portion of the set-off amount or payment
otherwise received is thereafter recovered from Lender that has exercised the right of set-off, the purchase of participations by that
Lender shall be rescinded and the purchase price restored without interest.

 

    	27

    	 

    

 

(j)
Nothing in this Agreement or the other Loan Documents shall be deemed to require any K2 Agent to advance funds on behalf of any Lender
or to relieve any Lender from its obligation to fulfill its Commitments hereunder or to prejudice any rights that Borrowers may have
against any Lender as a result of any default by such Lender hereunder. To the extent that a K2 Agent advances funds to Borrowers on
behalf of any Lender and is not reimbursed therefor on the same Business Day as such advance is made, such K2 Agent shall be entitled
to retain for its account all interest accrued on such advance until reimbursed by the applicable Lender.

 

(k)
If a K2 Agent pays an amount to a Lender under this Agreement in the belief or expectation that a related payment has been or will be
received by such K2 Agent from Borrowers and such related payment is not received thereby, then such K2 Agent will be entitled to recover
such amount from such Lender on demand without set-off, counterclaim or deduction of any kind.

 

(l)
If a K2 Agent determines at any time that any amount received thereby under this Agreement shall be returned to Borrowers or paid to
any other Person pursuant to any insolvency law or otherwise, then, notwithstanding any other term or condition of this Agreement or
any other Loan Document, such K2 Agent will not be required to distribute any portion thereof to any Lender. In addition, each Lender
will repay to the applicable K2 Agent on demand any portion of such amount that such has distributed to such Lender, together with interest
at such rate, if any, as such K2 Agent is required to pay to Borrowers or such other Person, without set-off, counterclaim or deduction
of any kind.

 

(m)
Each K2 Agent will use reasonable efforts to provide Lenders with any written notice of Event of Default received by such K2 Agent from,
or delivered by such K2 Agent to, any Loan Party; provided, however, that such K2 Agent shall not be liable to any Lender
for any failure to do so, except to the extent that such failure is attributable solely to such K2 Agent’s gross negligence or
willful misconduct as finally determined by a court of competent jurisdiction.

 

(n)
Anything in this Agreement or any other Loan Document to the contrary notwithstanding, each Lender hereby agrees with each other Lender
and with each K2 Agent that no Lender shall take any action to protect or enforce its rights arising out of this Agreement or any other
Loan Document (including exercising any rights of set-off) without first obtaining the prior written consent of the Required Lenders,
it being the intent of Lenders that any such action to protect or enforce rights under this Agreement and the other Loan Documents shall
be taken in concert and at the direction or with the consent of the applicable K2 Agent at the request of Required Lenders.

 

13.
GUARANTY

 

13.1
Guaranty. Each Guarantor, who has executed this Agreement as of the date hereof, together with each Loan Party who accedes to this
Agreement as a Guarantor after the date hereof pursuant to Section 6.11 hereby, jointly and severally, unconditionally and irrevocably,
guarantees the prompt and complete payment and performance by Borrowers and the other Loan Parties when due (whether at the stated maturity,
by acceleration or otherwise) of the Obligations. In furtherance of the foregoing, and without limiting the generality thereof, each
Guarantor agrees as follows:

 

(a)
each Guarantor’s liability hereunder shall be the immediate, direct, and primary obligation of such Guarantor and shall not be
contingent upon any exercise or enforcement of any remedy of any Secured Party or that any Secured Party may have against a Borrower,
or any other Guarantor or other Person liable in respect of the Obligations, or all or any portion of the Collateral; and

 

(b)
Administrative Agent, on behalf of Lenders, may enforce this guaranty notwithstanding the existence of any dispute between any Secured
Party and any Loan Party with respect to the existence of any Event of Default.

 

13.2
Maximum Liability. Anything herein or in any other Loan Document to the contrary notwithstanding, the maximum liability of each Guarantor
shall in no event exceed the amount which can be guaranteed by such Guarantor under applicable federal, state, provincial or territorial
laws relating to the insolvency of debtors (after giving effect to the right of contribution established in Section 13.5).

 

    	28

    	 

    

 

13.3
Termination. The guaranty pursuant to this Section 13 shall remain in full force and effect until the date the Obligations
have been paid in full in cash, and all commitments to extend credit have been terminated.

 

13.4
Unconditional Nature of Guaranty. No payment made by a Borrower, Guarantor, any other guarantor or any other Person or received or
collected by any Secured Party from a Borrower, Guarantor, any other guarantor or any other Person by virtue of any action or proceeding
or any set-off or appropriation or application at any time or from time to time in reduction of or in payment of the Obligations shall
be deemed to modify, reduce, release or otherwise affect the liability of any Guarantor hereunder which shall, notwithstanding any such
payment (other than any payment made by such Guarantor in respect of the Obligations or any payment received or collected from such Guarantor
in respect of the Obligations), remain liable for the Obligations up to the maximum liability of such Guarantor hereunder until the date
the Obligations are paid in full in cash .

 

13.5
Right of Contribution

 

(a)
If in connection with any payment made by any Guarantor hereunder any rights of contribution arise in favor of such Guarantor against
one or more other Guarantors, such rights of contribution shall be subject to the terms and conditions of Section 13.6. The provisions
of this Section 13.5 shall in no respect limit the obligations and liabilities of any Guarantor pursuant to the Loan Documents,
and each Guarantor shall remain liable for the full amount guaranteed by such Guarantor hereunder.

 

(b)
Notwithstanding any payment made by any Guarantor hereunder or any set-off or application of funds of any Guarantor by any Secured Party,
no Guarantor shall be entitled to be subrogated to any of the rights of any Secured Party against any Loan Party or any collateral security
or guarantee or right of offset held by any Secured Party for the payment of the Obligations, nor shall any Guarantor seek or be entitled
to seek any contribution or reimbursement from any Loan Party in respect of payments made by such Guarantor hereunder, in each case,
until the Obligations are paid in full and all commitments to extend credit have been terminated. If any amount shall be paid to any
Guarantor on account of such subrogation rights at any time prior to the time that the Obligations are paid in full and all commitments
to extend credit have been terminated, such amount shall be held by such Guarantor in trust for the ratable benefit of the Secured Parties,
shall be segregated from other funds of such Guarantor, and shall, forthwith upon receipt by such Guarantor, be turned over to Administrative
Agent in the exact form received by such Guarantor (duly indorsed by such Guarantor to Administrative Agent, if required), to be applied
to the Obligations, irrespective of the occurrence or the continuance of any Event of Default.

 

13.6
Amendments, etc. with respect to the Obligations. Each Guarantor shall remain obligated hereunder notwithstanding that, without any
reservation of rights against any Guarantor and without notice to or further assent by any Guarantor, any demand for payment of any of
the Obligations made by any Secured Party may be rescinded and any of the Obligations continued, and the Obligations, or the liability
of any other Person upon or for any part thereof, or any collateral security or guarantee therefor or right of offset with respect thereto,
may, from time to time, in whole or in part, be renewed, extended, amended, modified, accelerated, compromised, waived, surrendered or
released by any Secured Party, and this Agreement, the other Loan Documents and any other documents executed and delivered in connection
therewith may be amended, modified, supplemented or terminated, in whole or in part, in accordance with their respective terms, and any
collateral security, guarantee or right of offset at any time held by any Secured Party for the payment of the Obligations may be sold,
exchanged, waived, surrendered or released. No Secured Party shall have any obligation to protect, secure, perfect or insure any Lien
at any time held by it as security for the Obligations or for the guarantee pursuant to this Section 13 or any property subject
thereto.

 

13.7
Guarantee Absolute and Unconditional; Guarantor Waivers; Guarantor Consent. Each Guarantor waives any and all notice of the creation,
renewal, extension or accrual of any of the Obligations and notice of or proof of reliance by any Secured Party upon the guaranty contained
in this Section 13 or acceptance of this guaranty. The Obligations shall conclusively be deemed to have been created, contracted
or incurred, or renewed, extended, amended or waived, in reliance upon this guaranty. All dealings between Borrowers, Guarantors and
any Secured Party shall be conclusively presumed to have been had or consummated in reliance upon this guaranty. Each Guarantor further
waives:

 

(a)
diligence, presentment, protest, demand for payment and notice of default or nonpayment to or upon any Borrower or any of the other Guarantors
with respect to the Obligations;

 

    	29

    	 

    

 

(b)
the defense of the statute of limitations in any action hereunder or for the collection or performance of the Obligations;

 

(c)
any defense arising by reason of any lack of corporate or other authority or any other defense of any Borrower, such Guarantor or any
other Person;

 

(d)
any defense based upon errors or omissions by any Secured Party in the administration of the Obligations;

 

(e)
any rights to set-offs and counterclaims;

 

(f)
any defense based upon an election of remedies (including, if available, an election to proceed by nonjudicial foreclosure) which destroys
or impairs the subrogation rights of such Guarantor or the right of such Guarantor to proceed against any Borrower or any other obligor
of the Obligations for reimbursement;

 

(g)
without limiting the generality of the foregoing, to the fullest extent permitted by law, any defenses or benefits that may be derived
from or afforded by applicable law that limit the liability of or exonerate guarantors or sureties, or which may conflict with the terms
of this Agreement; and

 

(h)
without limiting the generality of the foregoing, to the fullest extent permitted by law, any Israeli Loan Party which is a Guarantor
herein, hereby further waive any right or claim under Section 8(1) of the Israeli Guaranty Law, 5727-1967.

 

Each
Guarantor understands and agrees that the guarantee contained in this Section 13 shall be construed as a continuing, absolute
and unconditional guarantee of payment without regard to (i) the validity or enforceability of this Agreement or any other Loan Document,
any of the Obligations or any other collateral security therefor or guaranty or right of offset with respect thereto at any time or from
time to time held by any Secured Party, (ii) any defense, set-off or counterclaim (other than a defense of payment or performance) which
may at any time be available to or be asserted by any Borrower or any other Person against any Secured Party, or (iii) any other circumstance
whatsoever (with or without notice to or knowledge of any Loan Party) which constitutes, or might be construed to constitute, an equitable
or legal discharge of any Borrower for the Obligations, or of such Guarantor under this guaranty, in bankruptcy or in any other instance,
(iv) any Insolvency Proceeding with respect to any Loan Party or any other Person, (v) any amalgamation, merger, acquisition, consolidation
or change in structure of any Loan Party or any other Person, or any sale, lease, transfer or other disposition of any or all of the
assets or Equity Interests of any Loan Party or any other Person, (vi) any assignment or other transfer, in whole or in part, of Secured
Parties’ interests in and rights under this Agreement or the other Loan Documents, including the right to receive payment of the
Obligations, or any assignment or other transfer, in whole or in part, of any Secured Party’s interests in and to any of the Collateral,
(vii) any Secured Party’s vote, claim, distribution, election, acceptance, action or inaction in any Insolvency Proceeding related
to any of the Obligations, and (viii) any other guaranty, whether by such Guarantor or any other Person, of all or any part of the Obligations
or any other indebtedness, obligations or liabilities of any Guarantor to Secured Parties. When making any demand hereunder or otherwise
pursuing its rights and remedies hereunder against any Guarantor, Secured Parties may, but shall be under no obligation to, make a similar
demand on or otherwise pursue such rights and remedies as it may have against any Loan Party or any other Person or against any collateral
security or guarantee for the Obligations or any right of offset with respect thereto. Any failure by any Secured Party to make any such
demand, to pursue such other rights or remedies or to collect any payments from any Loan Party or any other Person or to realize upon
any such collateral security or guarantee or to exercise any such right of offset, or any release of any Loan Party or any other Person
or any such collateral security, guarantee or right of offset, shall not relieve any Guarantor of any obligation or liability hereunder,
and shall not impair or affect the rights and remedies, whether express, implied or available as a matter of law, of any Secured Party
against any Guarantor. For the purposes hereof “demand” shall include the commencement and continuance of any legal proceedings.

 

    	30

    	 

    

 

13.8
Modifications of Obligations. Each Guarantor further unconditionally consents and agrees that, without notice to or further assent
from any Guarantor: (a) the principal amount of the Obligations may be increased or decreased and additional indebtedness or obligations
of a Borrower or any other Persons under the Loan Documents may be incurred, by one or more amendments, modifications, renewals or extensions
of any Loan Document or otherwise; (b) the time, manner, place or terms of any payment under any Loan Document may be extended or changed,
including by an increase or decrease in the interest rate on any Obligation or any fee or other amount payable under such Loan Document,
by an amendment, modification or renewal of any Loan Document or otherwise; (c) the time for a Borrower’s (or any other Loan Party’s)
performance of or compliance with any term, covenant or agreement on its part to be performed or observed under any Loan Document may
be extended, or such performance or compliance waived, or failure in or departure from such performance or compliance consented to, all
in such manner and upon such terms as the applicable Secured Party may deem proper; (d) in addition to the Collateral, Secured Parties
may take and hold other security (legal or equitable) of any kind, at any time, as collateral for the Obligations, and may, from time
to time, in whole or in part, exchange, sell, surrender, release, subordinate, modify, waive, rescind, compromise or extend such security
and may permit or consent to any such action or the result of any such action, and may apply such security and direct the order or manner
of sale thereof; (e) Secured Parties may discharge or release, in whole or in part, any other Guarantor or any other Loan Party or other
Person liable for the payment and performance of all or any part of the Obligations, and may permit or consent to any such action or
any result of such action, and shall not be obligated to demand or enforce payment upon any of the Collateral, nor shall any Secured
Party be liable to any Guarantor for any failure to collect or enforce payment or performance of the Obligations from any Person or to
realize upon the Collateral, and (f) Secured Parties may request and accept other guaranties of the Obligations and of any other indebtedness,
obligations or liabilities of a Borrower or any other Loan Party to any Secured Party and may, from time to time, in whole or in part,
surrender, release, subordinate, modify, waive, rescind, compromise or extend any such guaranty and may permit or consent to any such
action or the result of any such action; in each case (a) through (f), as the applicable Secured Parties may deem advisable, and without
impairing, abridging, releasing or affecting this Agreement.

 

13.9
Reinstatement. The guaranty shall continue to be effective, or be reinstated, as the case may be, if at any time payment, or any
part thereof, of any of the Obligations is rescinded or must otherwise be restored or returned by any Secured Party upon the insolvency,
bankruptcy, dissolution, liquidation or reorganization of a Loan Party, or upon or as a result of the appointment of a receiver, intervenor
or conservator of, or trustee or similar officer for, a Loan Party or any substantial part of its property, or otherwise, all as though
such payments had not been made.

 

13.10
No Waiver by Course of Conduct; Cumulative Remedies. No Secured Party shall by any act (except in writing in accordance with Section
12.9), delay, indulgence, omission or otherwise be deemed to have waived any right or remedy hereunder or to have acquiesced in any
Default or Event of Default, as applicable. No failure to exercise, nor any delay in exercising, on the part of any Secured Party, any
right, power or privilege hereunder shall operate as a waiver thereof. No single or partial exercise of any right, power or privilege
hereunder shall preclude any other or further exercise thereof or the exercise of any other right, power or privilege. A waiver by any
Secured Party of any right or remedy hereunder on any one occasion shall not be construed as a bar to any right or remedy which any Secured
Party would otherwise have on any future occasion. The rights and remedies herein provided are cumulative, may be exercised singly or
concurrently and are not exclusive of any other rights or remedies provided by law.

 

13.11
Enforcement Expenses; Indemnification. Each Guarantor agrees to pay or reimburse Secured Parties for all its costs and expenses incurred
in collecting against such Guarantor under this guaranty or otherwise enforcing or preserving any rights under this Agreement and the
other Loan Documents to which such Guarantor is a party, including, without limitation, the reasonable fees and disbursements of counsel
provided that no Guarantor shall be liable for indemnification of any expenses under this Section 13.11 to the extent such expenses arise
as a result of the gross negligence or willful misconduct of a Secured Party.

 

[Remainder
of Page intentionally Left Blank]

 

    	31

    	 

    

 

[signature
page to loan and GUARANTY agreement]

 

IN
WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the Closing Date.

 

	 	BORROWERS:
	 	 	 
	 	Variation
                                            Biotechnologies Inc., a
                                            Canadian

                                                                     federal
                                            corporation

	 	 
	 	By	                      
	 	Name:
    	 
	 	Title:
    	 
	 	 	 
	 	VBI
    Vaccines Inc., a British Columbia corporation
	 	 
	 	By	 
	 	Name:
    	 
	 	Title:
    	 
	 	 	 
	 	GUARANTORS:
	 	 
	 	SciVac
    Ltd., an Israeli corporation
	 	 	 
	 	By	 
	 	Name:
    	 
	 	Title:
    	 
	 	 	 
	 	VBI
                                            VACCINES (DELAWARE) INC., a Delaware

                                                                     corporation

	 	 
	 	By	 
	 	Name:
    	 
	 	Title:
    	 
	 	 	 
	 	VARIATION
                                            BIOTECHNOLOGIES (US), INC., a

                                                                     Delaware
                                            corporation

	 	 
	 	By	 
	 	Name:
    	 
	 	Title:
    	 

 

    	 

    	 

    

 

[signature
page to loan and GUARANTY agreement]

 

	 	ADMINISTRATIVE
    AGENT: 
	 	K2
    HEALTHVENTURES LLC
	 	 
	 	By	                          
	 	Name:
    	 
	 	Title:
    	 
	 	 	 
	 	LENDER:
	 	K2
    HEALTHVENTURES LLC
	 	 
	 	By	 
	 	Name:
    	 
	 	Title:
    	 

 

    	 

    	 

    

 

[signature
page to loan and GUARANTY agreement]

 

	 	Collateral
    Trustee:
	 	 
	 	ANKURA
    TRUST COMPANY, LLC
	 	 	 
	 	By:
    	               
	 	Name:
    	 
	 	Title:
    	 

 

    	 

    	 

    

 

EXHIBIT
A

 

DEFINITIONS

 

As
used in this Agreement, the following capitalized terms have the following meanings:

 

“Account”
means any “account” as defined in the Code with such additions to such term as may hereafter be made, and includes, without
limitation, all accounts receivable and other sums owing to a Loan Party.

 

“Account
Control Agreement” means any control agreement entered into among the depository institution at which a Loan Party maintains
a Deposit Account or the securities intermediary or commodity intermediary at which a Loan Party maintains a Securities Account or a
Commodity Account, one or more Loan Parties, and a Collateral Agent pursuant to which a Collateral Agent, for the benefit of Lenders,
obtains control (within the meaning of the Code) over such Deposit Account, Securities Account, or Commodity Account.

 

“Account
Debtor” means any “account debtor” as defined in the Code with such additions to such term as may hereafter be
made.

 

“Additional
Restatement Second Tranche Advance” has the meaning set forth in Section 2.2(a)(ii).

 

“Administrative
Agent” has the meaning set forth in the preamble.

 

“Affiliate”
means, with respect to any Person, each other Person that owns or controls, directly or indirectly the Person, any Person that controls
or is controlled by or is under common control with the Person, and each of that Person’s senior executive officers, directors,
partners and, for any Person that is a limited liability company, that Person’s managers and members.

 

“Agreement”
has the meaning set forth in the preamble.

 

“Amortization
Date” means September 14, 2026.

 

“Anti-Terrorism
Order” means Executive Order No. 13,224 as of September 24, 2001, Blocking Property and Prohibiting Transactions with Persons
Who Commit, Threaten to Commit or Support Terrorism, 66 U.S. Fed. Reg. 49,079 (2001), as amended.

 

“Applicable
Rate” means a variable annual rate equal to the greater of (i) 8.00%, and (ii) the sum of (A) the Prime Rate, plus (B) 4.00%.

 

“Automatic
Payment Authorization” means the Automatic Payment Authorization in substantially the form of Exhibit D.

 

“Board”
means, with respect to any Person, the board of directors, board of managers, managers or other similar bodies or authorities performing
similar governing functions for such Person.

 

“Borrower”
and “Borrowers” has the meaning set forth in the preamble.

 

“Borrower
Representative” has the meaning set forth in the preamble.

 

“Borrowers’
Books” are all of each Borrower’s books and records including ledgers, federal and state tax returns, records regarding
such Borrower’s assets or liabilities, the Collateral, business operations or financial condition, and all computer programs or
storage or any equipment containing such information.

 

“Business
Day” means any day that is not a Saturday, Sunday or a day on which commercial banks in the State of New York are required
or permitted to be closed.

 

    	A-1

    	 

    

 

“CAD
Collateral Agent” means K2 HEALTHVENTURES LLC, together with its successor from
time to time.

 

“CAML”
means, collectively, to the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (Canada), the Criminal Code
(Canada) and the United Nations Act (Canada), including the Regulations Implementing the United Nations Resolutions on
the Suppression of Terrorism (Canada) and the United Nations Al-Qaida and Taliban Regulations (Canada) promulgated under the
United Nations Act (Canada), and other applicable anti-money laundering, anti-terrorist financing, government sanction and “know
your client” laws applicable in Canada, including any rules, regulations, directives, guidelines or orders thereunder.

 

“Canadian
Benefit Plans” means all material employee benefit plans or arrangements maintained
or contributed to by a Loan Party that are not Canadian Pension Plans, including all profit sharing, savings, supplemental retirement,
retiring allowance, severance, pension, deferred compensation, welfare, bonus, incentive compensation, phantom stock, legal services,
supplementary unemployment benefit plans or arrangements and all life, health, dental and disability plans and arrangements in which
the employees or former employees of a Loan Party participate or are eligible to participate but excluding all stock option or stock
purchase plans.

 

“Canadian
Defined Benefit Pension Plan” means any Canadian Pension Plan which contains a “defined benefit provision,” as
defined in subsection 147.1(1) of the Income Tax Act (Canada).

 

“Canadian
Income Tax Act” means the Income Tax Act (Canada), as amended from time to time.

 

“Canadian
Loan Parties” means each of Parent, Borrower Representative and any other Loan Party from time to time, organized under the
federal laws of Canada or any province or territory thereof.

 

“Canadian
Pension Plan” shall mean a “registered pension plan”, as that term is defined in subsection 248(1) of the Canadian
Income Tax Act, which is or was sponsored, administered or contributed to, or required to be contributed to by, any Loan Party or under
which any Loan Party has any actual or potential liability.

 

“Canadian
Security Documents” means, collectively, the security agreement executed by Canadian
Loan Parties in favor of the CAD Collateral Agent, dated as of the date hereof and any other collateral security document entered into
by a Canadian Loan Party from time to time with respect to the Obligations, and any other agreements, documents or certificates delivered
pursuant thereto, in each case, as amended, restated, supplemented or otherwise modified from time to time.

 

“Cash
Equivalents” means (a) marketable direct obligations issued or unconditionally guaranteed by the United States (or any agency
or any State thereof) or Canada (or any agency or any Province thereof) having maturities of not more than one (1) year from the date
of acquisition; (b) commercial paper maturing no more than one (1) year after its creation and having the highest rating from either
Standard & Poor’s Ratings Group or Moody’s Investors Service, Inc.; (c) certificates of deposit issued by any bank with
assets of at least $500,000,000 maturing no more than one year from the date of investment therein; and (d) money market funds at least
ninety-five percent (95%) of the assets of which constitute Cash Equivalents of the kinds described in clauses (a) through (c)
of this definition.

 

“Change
in Control” means any of the following (or any combination of the following) whether arising from any single transaction event
or series of related transactions or events that, individually or in the aggregate, result in: (a) the holders of Parent’s Equity
Interests who were holders of Equity Interest as of the Closing Date, ceasing to own at least fifty-one percent (51%) of the Voting Stock
of Parent; (b) any “person” or “group” (within the meaning of Section 13(d) and 14(d)(2) of the Exchange Act)
becoming the “beneficial owner” (as defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of a sufficient
number of Equity Interests of Parent ordinarily entitled to vote in the election of directors, empowering such “person” or
“group” to elect a majority of the members of the Board of Parent, who did not have such power before such transaction; or
(c) the Transfer of all or substantially all assets of any Loan Party or of a material business line of Loan Parties except where such
Transfer is to another Loan Party; or (d) Parent ceasing to own and control, free and clear of any Liens (other than Permitted Liens),
directly or indirectly, all of the Equity Interests in each of its Subsidiaries or failing to have the power to direct or cause the direction
of the management and policies of each such Subsidiary.

 

    	A-2

    	 

    

 

“Claims”
has the meaning set forth in Section 12.3.

 

“Closing
Date” has the meaning set forth in the preamble.

 

“Code”
means the Uniform Commercial Code, as the same may, from time to time, be enacted and in effect in the State of New York.

 

“Collateral”
means any and all assets of any Loan Party subject to a security interest, pledge, charge or other encumbrance pursuant to a Loan Document
to secure the Obligations.

 

“Collateral
Access Agreement” means an agreement with respect to a Loan Party’s leased location or bailee location, in each case
in form and substance reasonably satisfactory to Administrative Agent and the applicable Collateral Agent.

 

“Collateral
Account” means any Deposit Account, Securities Account, or Commodity Account of a Loan Party.

 

“Collateral
Agents” means, collectively, Collateral Trustee, CAD Collateral Agent, ISR Collateral Agent or any other collateral agent or
similar party holding any security interest pursuant to any Loan Document, for the ratable benefit of Lenders.

 

“Collateral
Trust Agreement” means that certain Collateral Trust Agreement, dated as of the Closing Date, by and among Collateral Trustee
and Lenders, as amended, restated, supplemented or otherwise modified from time to time.

 

“Collateral
Trustee” has the meaning set forth in the preamble.

 

“Commitment”
means, as to any Lender, the aggregate principal amount of Loans committed to be made by such Lender, as set forth on Schedule 1
hereto.

 

“Commodity
Account” means any “commodity account” as defined in the Code with such additions to such term as may hereafter
be made.

 

“Common
Stock” means the common shares of Parent.

 

“Compliance
Certificate” means that certain certificate in the form attached hereto as Exhibit C.

 

“Consolidated
Change in Cash and Cash Equivalents” means for any period, an amount equal to (i) Liquidity as of the last day of such period,
less (ii) Liquidity as of the first day of such period, less (iii) any net cash proceeds received by Loan Parties from the issuance of
Equity Interests or Indebtedness or other financing activities, one-time grants, or business development (including, without limitation,
upfront or milestone payments) received during such period, subject to adjustment for extraordinary changes in working capital or non-recurring
expenses, as reasonably approved by Administrative Agent.

 

“Contingent
Obligation” means, for any Person, any direct or indirect liability, contingent or not, of that Person for (a) any indebtedness,
lease, dividend, letter of credit or other obligation of another such as an obligation, in each case, directly or indirectly guaranteed,
endorsed, co-made, discounted or sold with recourse by that Person, or for which that Person is directly or indirectly liable; (b) any
obligations for undrawn letters of credit for the account of that Person; and (c) all obligations from any interest rate, currency or
commodity swap agreement, interest rate cap or collar agreement, or other agreement or arrangement designated to protect a Person against
fluctuation in interest rates, currency exchange rates or commodity prices. The amount of a Contingent Obligation is the stated or determined
amount of the primary obligation for which the Contingent Obligation is made or, if not determinable, the maximum reasonably anticipated
liability for it determined by the Person in good faith; but the amount may not exceed the maximum of the obligations under any guarantee
or other support arrangement.

 

    	A-3

    	 

    

 

“Conversion
Amount” has the meaning set forth in Section 2.2(e)(i).

 

“Conversion
Election Notice” means a notice in the form attached hereto as Exhibit F.

 

“Conversion
Price” means (A) the Original Conversion Price, or (B) the Second Amendment Conversion Price, as applicable, provided that
in the event that on or after the Closing Date, a stock split, stock combination, reclassification, payment of stock dividend, recapitalization
or other similar transaction of such character that the shares of Common Stock shall be changed into or become exchangeable for a larger
or small number of shares is consummated (each, a “Stock Event”), the applicable Conversion Price shall be proportionately
increased or decreased as necessary to reflect the proportionate change in shares of Common Stock issued and outstanding as a result
of such Stock Event.

 

“Conversion
Shares” has the meaning set forth in Section 2.2(e)(i).

 

“Copyrights”
means any and all copyright rights, copyright applications, copyright registrations and like protections of a Person in each work of
authorship and derivative work thereof, whether published or unpublished and whether or not the same also constitutes a trade secret.

 

“Default”
means any circumstance, event or condition that, with the giving of any notice, the passage of time, or both, would be an Event of Default.

 

“Default
Rate” has the meaning set forth in Section 2.3(b).

 

“Deposit
Account” means any “deposit account” as defined in the Code with such additions to such term as may hereafter be
made, and includes any checking account, savings account or certificate of deposit.

 

“Designated
Holder” means a Lender or any Affiliate designated by a Lender in the Conversion Election Notice, with respect to any exercise
of a right to invest pursuant hereto, or as holder of any Warrant, provided that the Designated Holder for K2 HealthVentures LLC and
any successor, transferee or assignee thereof as Lender which is an Affiliate of K2 HealthVentures LLC, shall be K2 HealthVentures Equity
Trust LLC.

 

“Division”
means, in reference to any Person which is an entity, the division of such Person into two (2) or more separate Persons, with the dividing
Person either continuing or terminating its existence as part of such division, including, without limitation, as contemplated under
Section 18-217 of the Delaware Limited Liability Company Act for limited liability companies formed under Delaware law, or any analogous
action taken pursuant to any other applicable law with respect to any corporation, limited liability company, partnership or other entity.

 

“Dollars,”
“dollars” or use of the sign “$” means only lawful money of the United States and not any other
currency, regardless of whether that currency uses the “$” sign to denote its currency or may be readily converted into lawful
money of the United States.

 

“Dollar
Equivalent” means, on any date of determination, (a) with respect to any amount denominated in dollars, such amount, and (b)
with respect to an amount denominated in any other currency, the equivalent in dollars of such amount determined by reference to the
relevant exchange rate in effect on the applicable date of determination. As appropriate, amounts specified herein as amounts in dollars
shall be or include any relevant Dollar Equivalent amount.

 

“Domestic
Subsidiary” means a Subsidiary organized under the laws of the United States, Canada or any state, province or territory thereof.

 

“Effective
Time” means the earliest of the date that (a) the initial Registration Statement (as defined in Schedule 4) has been
declared effective by the SEC, (b) all of the Conversion Shares have been sold pursuant to Rule 144 or may be sold pursuant to Rule 144
without the requirement for the Parent to be in compliance with the current public information required under Rule 144 and without volume
or manner-of-sale restrictions, and (c) following the one year anniversary of the Second Amendment Effective Date provided that a holder
of Conversion Shares is not an Affiliate of Parent.

 

    	A-4

    	 

    

 

“Equipment”
means all “equipment” as defined in the Code with such additions to such term as may hereafter be made, and includes without
limitation all machinery, fixtures, goods, vehicles (including motor vehicles and trailers), and any interest in any of the foregoing.

 

“Equity
Interests” means, with respect to any Person, any of the shares of capital stock of (or other ownership, membership or profit
interests in) such Person, any of the warrants, options or other rights for the purchase or acquisition from such Person of shares of
capital stock of (or other ownership, membership or profit interests in) such Person, any of the securities convertible into or exchangeable
for shares of capital stock of (or other ownership, membership or profit interests in) such Person or warrants, rights or options for
the purchase or acquisition from such Person of such shares (or such other interests), and any of the other ownership, membership or
profit interests in such Person (including partnership, member or trust interests therein), whether voting or nonvoting, and whether
or not such shares, warrants, options, rights or other interests are outstanding on any date of determination.

 

“ERISA”
means the Employee Retirement Income Security Act of 1974, and its regulations.

 

“Event
of Default” has the meaning set forth in Section 8.

 

“Exchange
Act” means the Securities Exchange Act of 1934, as amended.

 

“Excluded
Locations” means the following locations where Collateral may be located from time to time: (a) locations where mobile office
equipment (e.g. laptops, mobile phones and the like) may be located with employees in the Ordinary Course of Business, and (b) other
locations where, in the aggregate for all such locations, less than Two Hundred and Fifty Thousand ($250,000) of Collateral is located,
provided that the chief executive office or principal place of business of any Borrower shall not constitute an Excluded Location.

 

“FDA”
means U.S. Food and Drug Administration or similar successor Governmental Authority.

 

“Federal
Reserve Board” means the Board of Governors of the Federal Reserve System, or any successor thereto.

 

“Fee
Letter” means that certain amended and restated letter agreement, dated as of the Second Amendment Effective Date, by and among
Borrowers, Administrative Agent and Lenders, as amended, restated, supplemented or otherwise modified from time to time.

 

“Funding
Date” means any date on which a Loan is made to or for the account of a Borrower which shall be a Business Day.

 

“GAAP”
means generally accepted accounting principles set forth in the opinions and pronouncements of the Accounting Principles Board of the
American Institute of Certified Public Accountants and statements and pronouncements of the Financial Accounting Standards Board or in
such other statements by such other Person as may be approved by a significant segment of the accounting profession, which are applicable
to the circumstances as of the date of determination, provided, however, that if there occurs after the Closing Date any change in GAAP
that affects in any respect the calculation of any covenant or threshold in this Agreement, Lenders and Borrowers shall negotiate in
good faith amendments to the provisions of this Agreement that relate to the calculation of such covenant or threshold with the intent
of having the respective positions of Lender and Borrowers after such change in GAAP conform as nearly as possible to their respective
positions as of the Closing Date, and, until any such amendments have been agreed upon, such covenants and thresholds shall be calculated
as if no such change in GAAP has occurred.

 

    	A-5

    	 

    

 

“Governmental
Approval” means any consent, authorization, approval, order, license, franchise, permit, certificate, accreditation, registration,
filing or notice, of, issued by, from or to, or other act by or in respect of, any Governmental Authority, including for the testing,
manufacturing, marketing and sales of a Product.

 

“Governmental
Authority” means any nation or government, any state, provincial or other political subdivision thereof, any agency, authority,
instrumentality, regulatory body, court, central bank or other entity exercising executive, legislative, judicial, taxing, regulatory
or administrative functions of or pertaining to government, any securities exchange and any self-regulatory organization established
by statute.

 

“Guarantor”
has the meaning set forth in the preamble.

 

“Guaranty”
means any guarantee of all or any part of the Obligations, as the same may from time to time be amended, restated, modified or otherwise
supplemented.

 

“Indebtedness”
means (a) indebtedness for borrowed money or the deferred price of property or services, (b) any reimbursement and other obligations
for surety bonds and letters of credit, (c) obligations evidenced by notes, bonds, debentures or similar instruments, (d) capital lease
obligations, and (e) Contingent Obligations.

 

“Indemnified
Person” has the meaning set forth in Section 12.3.

 

“Initial
Restatement Second Tranche Advance” has the meaning set forth in Section 2.2(a)(ii).

 

“Insolvency
Proceeding” means any proceeding by or against any Person under the United States Bankruptcy Code, the Bankruptcy and Insolvency
Act (Canada), the Companies Creditors Arrangement Act (Canada), the Israeli Companies Ordinance 5743-1983, the Israeli Companies
Law 5759-1999, the Israeli Insolvency and Economic Rehabilitation Law 5788-2018 or any other bankruptcy or insolvency law, including
assignments for the benefit of creditors, compositions, proceedings seeking an order to stay the rights of creditors, or proceedings
seeking reorganization, arrangement, or other relief.

 

“Intellectual
Property” means, with respect to any Loan Party (or, as applicable, any of its Subsidiaries), all of such Loan Party’s
or Subsidiary’s right, title, and interest in and to the following:

 

(a)
its Copyrights, Trademarks and Patents;

 

(b)
any and all trade secrets and trade secret rights, including, without limitation, any rights to unpatented inventions, know-how, operating
manuals;

 

(c)
any and all source code;

 

(d)
any and all design rights which may be available to such Person;

 

(e)
any and all claims for damages by way of past, present and future infringement of any of the foregoing, with the right, but not the obligation,
to sue for and collect such damages for said use or infringement of the Intellectual Property rights identified above; and

 

(f)
all amendments, renewals and extensions of any of the Copyrights, Trademarks or Patents.

 

“Inventory”
means all “inventory” as defined in the Code in effect on the Closing Date with such additions to such term as may hereafter
be made.

 

“Investment”
means any beneficial ownership interest in any Person (including stock, partnership interest or other securities or Equity Interests),
and any loan, advance or capital contribution to any Person, or the acquisition of all or substantially all of the assets or properties
of another Person.

 

    	A-6

    	 

    

 

“Israeli
Loan Parties” means, collectively, Scivac Ltd., an Israeli corporation, and any other Loan Party that is a Subsidiary organized
under the laws of Israel from time to time.

 

“Israeli
Security Documents” means, collectively, the Fixed Charge Agreement, dated as of the date hereof, between Israeli Loan Party
and the ISR Collateral Agent, the Floating Charge Agreement, dated as of the date hereof, between Israeli Loan Parties and the ISR Collateral
Agent, the forms required to be submitted to the Israeli Registrar of Companies, the Israeli Registrar of Pledges, the Israeli Patent
Office and any other Israeli Governmental Authority in connection therewith, any other collateral
security document entered into by an Israeli Loan Party from time to time with respect to the Obligations, and any other agreements,
documents or certificates delivered pursuant thereto, in each case, as amended, restated, supplemented or otherwise modified from time
to time.

 

“ISR
Collateral Agent” means K2 HEALTHVENTURES LLC, together with its successor from
time to time.

 

“K2
Agent” has the meaning set forth in Section 12.16.

 

“Lender”
has the meaning set forth in the preamble.

 

“Lender
Expenses” means all audit fees and expenses as provided in Section 2.3(b), costs, and expenses (including reasonable
attorneys’ fees and expenses) of Administrative Agent or Lenders for preparing, amending, negotiating, administering, filing or
recording any Loan Document (including financing statements) and any out of pocket expenses incurred in, defending and enforcing the
Loan Documents (including, without limitation, those incurred in connection with appeals or Insolvency Proceedings) or otherwise incurred
with respect to a Loan Party, including all costs, expenses and other amounts required to be paid by any Lender or the Administrative
Agent in accordance with the Collateral Trust Agreement.

 

“Lien”
means a claim, mortgage, deed of trust, levy, charge, pledge, security interest, hypothec or other encumbrance of any kind, whether voluntarily
incurred or arising by operation of law or otherwise against any property.

 

“Liquidity”
means, as of any date of measurement, the sum of unrestricted cash and Cash Equivalents and marketable securities of the Loan Parties
maintained in accordance with Section 6.6 and subject to a first priority Lien in favor of Collateral Trustee.

 

“Liquidity
Requirement” means, immediately prior to delivery of the Loan Request with respect to the applicable Restatement Second Tranche
Term Loan or Restatement Third Tranche Term Loan, as applicable, Borrowers have Liquidity in an amount equal to at least the Consolidated
Change in Cash and Cash Equivalents for the most recent consecutive three month period ended prior to such date of determination, multiplied
by 3.0.

 

“Loan
Documents” means, collectively, this Agreement and any schedules, exhibits, certificates, notices, and any other documents
related to this Agreement, the Pledge and Security Agreement, the Canadian Security Documents, the Israeli Security Documents, the Warrant,
the Fee Letter, the Collateral Trust Agreement, the Automatic Payment Authorization, the Account Control Agreements, the Collateral Access
Agreements, any Subordination Agreement, any note, or notes or guaranties executed by a Loan Party, and any other present or future agreement
by a Loan Party with or for the benefit of any Collateral Agent or any Lender in connection with this Agreement, all as amended, modified,
supplemented, extended or restated from time to time.

 

“Loan
Party” or “Loan Parties” means, each Borrower from time to time party hereto, and any Guarantor, if any.

 

“Loan
Request” means a request for a Loan pursuant to this Agreement in substantially the form attached hereto as Exhibit B.

 

“Loans”
means, collectively, the Restatement Term Loans, and any other loan from time to time made under this Agreement, and “Loan”
means any of the foregoing.

 

    	A-7

    	 

    

 

“Margin
Stock” has the meaning set forth in Section 5.11(b).

 

“Market
Capitalization” means, for any date of determination, an amount equal to (a) the average of the daily volume weighted average
price of the Common Stock as reported for each of the five (5) trading days preceding such date of determination (it being understood
that a “trading day” shall mean a day on which shares of Parent’s Common Stock trade on the NASDAQ (or, if the primary
listing of such Common Stock is on another exchange, on such other exchange) in an ordinary trading session) multiplied by (b) the total
number of issued and outstanding shares of the Common Stock that are issued and outstanding on the date of the determination, subject
to appropriate adjustment for any stock dividend, stock split, stock combination, reclassification or other similar transaction during
the applicable calculation period.

 

“Material
Adverse Effect” means (a) a material impairment in the perfection or priority of the Lien in the Collateral pursuant to the
Loan Documents to which the Loan Parties are a party or in the value of the Collateral; or (b) a material adverse effect upon: (i) the
business, operations, properties, assets or condition (financial or otherwise) of the Loan Parties as a whole; (ii) the prospect of repayment
of any part of the Obligations; or (iii) the ability to enforce any rights or remedies with respect to any Obligations, in each case,
as determined by Administrative Agent.

 

“Maximum
Rate” has the meaning set forth in Section 2.3(d) hereof.

 

“Net
Revenue” means, for any measurement period, total revenue of Borrowers their Subsidiaries on a consolidated basis, for such
period, and determined in accordance with GAAP, derived from the sale of Products in the Ordinary Course of Business (and for the avoidance
of doubt, excluding any upfront and milestone payments under licensing, collaboration or other partnering arrangements), and excluding
any of the following to the extent not recognizable as revenue in accordance with GAAP (i) trade, quantity and cash discounts allowed,
(ii) discounts, refunds, rebates, charge backs, retroactive price adjustment and any other allowances which effectively reduce net selling
price, (iii) product returns and allowances, (iv) set-offs and counterclaims, and (v) any other similar and customary deductions that
are typically deducted from gross revenue and not included in net revenue in accordance with GAAP.

 

“Obligations”
means all of Borrowers’ and each other Loan Party’s obligations to pay the Loans when due, including principal, interest,
fees, Lender Expenses, the fees pursuant to the Fee Letter and any other amounts due to be paid by a Borrower or any other Loan Party,
and each Loan Party’s obligation to perform its duties under the Loan Documents (other than the Warrant), and any other debts,
liabilities and other amounts any Loan Party owes to any Lender at any time under the Loan Documents or otherwise in connection therewith
(but excluding obligations arising under the Warrant), including, without limitation, interest or Lender Expenses accruing after Insolvency
Proceedings begin (whether or not allowed), and any debts, liabilities, or obligations of any Loan Party assigned to any Lender, which
shall be treated as secured or administrative expenses in the Insolvency Proceedings to the extent permitted by applicable law.

 

“OFAC”
has the meaning set forth in Section 5.11(c).

 

“Operating
Documents” means, for any Person, such Person’s formation documents, as certified by the Secretary of State (or equivalent
agency) of such Person’s jurisdiction of formation, organization or incorporation on a date that is no earlier than (i) thirty
(30) days prior to the Second Amendment Effective Date, or (ii) in case of delivery by such Person to Administrative Agent or a Lender,
thirty (30) days prior to the date of such delivery, as applicable, and, (a) if such Person is a corporation, its bylaws or Articles
of Association in current form, (b) if such Person is a limited liability company, its limited liability company agreement or operating
agreement (or similar agreement), and (c) if such Person is a partnership, its partnership agreement (or similar agreement), each of
the foregoing with all current amendments, restatements and modifications thereto.

 

“Ordinary
Course of Business” means, in respect of any transaction involving any Person, the ordinary course of such Person’s business
as conducted by any such Person in accordance with (a) the usual and customary customs and practices in the kind of business in which
such Person is engaged, and (b) the past practice and operations of such Person, and in each case, undertaken by such Person in good
faith and not for purposes of evading any covenant or restriction in any Loan Document.

 

    	A-8

    	 

    

 

“Original
Conversion Price” means $1.46, provided that in the event that on or after the Closing Date, a stock split, stock combination,
reclassification, payment of stock dividend, recapitalization or other similar transaction of such character that the shares of Common
Stock shall be changed into or become exchangeable for a larger or small number of shares is consummated (each, a “Stock Event”),
the Conversion Price shall be proportionately increased or decreased as necessary to reflect the proportionate change in shares of Common
Stock issued and outstanding as a result of such Stock Event.

 

“Patents”
means all patents, patent applications and like protections of a Person including without limitation improvements, divisions, continuations,
renewals, reissues, extensions and continuations-in-part of the same and all rights therein provided by international treaties or conventions.

 

“Payment
Date” means the first calendar day of each month.

 

“Perfection
Certificate” has the meaning set forth in Section 5.1.

 

“Permitted
Indebtedness” means:

 

(a)
each Loan Party’s Indebtedness under this Agreement and the other Loan Documents;

 

(b)
Indebtedness existing on the Second Amendment Effective Date and shown on the Perfection Certificate, provided that (i) to the extent
the amount of such type of Indebtedness is limited pursuant to a clause of this defined term, amounts existing on the Second Amendment
Effective Date or any permitted refinancing thereof shall count towards such limit, (ii) to the extent such Indebtedness is required
to be repaid on the Second Amendment Effective Date, in accordance with a payoff letter delivered as a condition to closing, such Indebtedness
shall not constitute Permitted Indebtedness after such repayment, and (iii) to the extent any such Indebtedness is required to be made
subject to the terms of a Subordination Agreement as of the Second Amendment Effective Date or thereafter, pursuant to the terms of this
Agreement, such Indebtedness shall be permitted only to the extent the applicable Subordination Agreement is in effect;

 

(c)
Subordinated Debt;

 

(d)
unsecured Indebtedness to trade creditors incurred in the Ordinary Course of Business;

 

(e)
Indebtedness incurred as a result of endorsing negotiable instruments received in the Ordinary Course of Business;

 

(f)
Indebtedness secured by Liens permitted under clause (c) of the definition of “Permitted Liens” hereunder;

 

(g)
Indebtedness not otherwise permitted pursuant to this defined term, in an aggregate amount outstanding not to exceed Two Hundred and
Fifty Thousand ($250,000); and

 

(h)
extensions, refinancings, modifications, amendments and restatements of any items of Permitted Indebtedness described in clause (b)
above, provided that the principal amount thereof is not increased or the terms thereof are not modified to impose more burdensome
terms (other than as a result of fluctuations in interest rates) upon a Borrower or any of its Subsidiaries, as the case may be.

 

“Permitted
Investments” means:

 

(a)
Investments (including, without limitation, Subsidiaries) existing on the Second Amendment Effective Date and shown on the Perfection
Certificate;

 

    	A-9

    	 

    

 

(b)
(i) Investments consisting of Cash Equivalents, and (ii) any Investments permitted by Parent’s investment policy, as amended from
time to time, provided that such investment policy (and any such amendment thereto) has been approved in writing by Lenders;

 

(c)
Investments consisting of repurchases of Parent’s Equity Interests from former employees, officers and directors to the extent
permitted under Section 7.7;

 

(d)
Investments among Loan Parties;

 

(e)
Investments in Subsidiaries which are not Loan Parties in an aggregate amount per fiscal year not to exceed Two Hundred and Fifty Thousand
($250,000);

 

(f)
Investments not to exceed Two Hundred and Fifty Thousand ($250,000) outstanding in the aggregate at any time consisting of (i) travel
advances and employee relocation loans and other employee loans and advances in the Ordinary Course of Business, and (ii) loans not involving
the net transfer of cash proceeds to employees, officers or directors relating to the purchase of Equity Interests of Parent pursuant
to employee stock purchase plans or other similar agreements approved by Parent’s Board;

 

(g)
Investments (including debt obligations) received in connection with the bankruptcy or reorganization of customers or suppliers and in
settlement of delinquent obligations of, and other disputes with, customers or suppliers arising in the Ordinary Course of Business;

 

(h)
Investments consisting of Deposit Accounts in which the applicable Collateral Agent has a perfected security interest;

 

(i)
Investments not otherwise permitted pursuant to this defined term, in an aggregate amount not to exceed Two Hundred and Fifty Thousand
($250,000) per fiscal year;

 

(j)
Investments in the form of cash, non-exclusive licenses, technical support or know-how as part of a transaction that also involves a
bona fide commercial relationship, including, without limitation, a joint venture, a marketing or distribution arrangement, a collaboration
agreement or a license of intellectual property not to exceed Two Hundred and Fifty Thousand ($250,000) in the aggregate per fiscal year;
and

 

(k)
Investments consisting of accounts receivable of, and other credit extensions, to customers, and prepaid royalties or deposits paid to
service providers and suppliers who are not Affiliates, in the Ordinary Course of Business; provided that this subsection (k)
shall not apply to Investments of a Loan Party in any Subsidiary.

 

“Permitted
Liens” means:

 

(a)
Liens arising under the other Loan Documents;

 

(b)
Liens existing on the Second Amendment Effective Date and shown on the Perfection Certificate, provided that (i) to the extent the amount
of Indebtedness secured by such type of Lien is limited pursuant to a clause of this defined term, amounts existing on the Second Amendment
Effective Date or any permitted refinancing thereof shall count towards such limit, (ii) to the extent the Indebtedness secured by such
a Lien is required to be repaid on the Second Amendment Effective Date, in accordance with a payoff letter delivered as a condition to
closing, such Lien shall not constitute Permitted Lien after the repayment of the associated Indebtedness, and (iii) to the extent any
such Lien is required to be made subject to the terms of a Subordination Agreement as of the Closing Date or thereafter, pursuant to
the terms of this Agreement, such Lien shall be permitted only to the extent the applicable Subordination Agreement is in effect;

 

(c)
purchase money Liens (i) on Equipment acquired or held by a Loan Party or Subsidiary thereof incurred for financing the acquisition of
the Equipment, or (ii) existing on Equipment when acquired, if the Lien is confined to the property and improvements and the proceeds
of the Equipment, in each case, securing no more than Two Hundred and Fifty Thousand ($250,000) in the aggregate amount outstanding;

 

    	A-10

    	 

    

 

(d)
Liens for taxes, fees, assessments or other government charges or levies, either (i) not yet delinquent or (ii) being contested in good
faith and for which such Loan Party or Subsidiary maintains adequate reserves on its books;

 

(e)
Liens arising from leases or subleases of real property granted in the Ordinary Course of Business of such Person, and leases, subleases,
non-exclusive licenses or sublicenses of personal property (other than Intellectual Property) granted in the Ordinary Course of Business
of such Person;

 

(f)
Liens of carriers, warehousemen, suppliers, mechanics, contractors or other Persons that are possessory in nature arising in the Ordinary
Course of Business, securing liabilities in the aggregate amount not to exceed Two Hundred and Fifty Thousand Dollars ($250,000) and
which are not delinquent or remain payable without penalty or which are being contested in good faith and by appropriate proceedings
which proceedings have the effect of preventing the forfeiture or sale of the property subject thereto;

 

(g)
Liens to secure payment of workers’ compensation, employment insurance, old-age pensions, social security and other like obligations
incurred in the Ordinary Course of Business (other than Liens imposed by ERISA);

 

(h)
deposits or pledges of cash to secure bids, tenders, contracts (other than contracts for the payment of money), leases, surety and appeal
bonds and other obligations of a like nature arising in the Ordinary Course of Business, in an aggregate amount not exceeding Two Hundred
and Fifty Thousand ($250,000) at any time;

 

(i)
Liens arising from attachments or judgments, orders, or decrees in circumstances not constituting an Event of Default;

 

(j)
Liens in favor of other financial institutions arising in connection with a Deposit Account or Securities Account of a Loan Party or
Subsidiary thereof held at such institutions, provided that the applicable Collateral Agent has a perfected security interest in such
Deposit Account, or the securities maintained therein and the applicable Collateral Agent has received an Account Control Agreement with
respect thereto to the extent required pursuant to the applicable Loan Documents;

 

(k)
licenses of Intellectual Property which constitute a Permitted Transfer; and

 

(l)
Liens incurred in the extension, renewal or refinancing of the indebtedness secured by Liens described in clause (b), but any
extension, renewal or replacement Lien must be limited to the property encumbered by the existing Lien and the principal amount of the
indebtedness may not increase.

 

“Permitted
Locations” means, collectively, the following locations where Collateral may be located from time to time: (a) locations identified
in the Perfection Certificate or from time to time identified to Administrative Agent in accordance with applicable Loan Documents and
(b) the Excluded Locations.

 

“Permitted
Transfers” means

 

(a)
sales of Inventory by a Loan Party or any of its Subsidiaries in the Ordinary Course of Business;

 

(b)
non-exclusive licenses and similar arrangements for the use of Intellectual Property of a Loan Party or any of its Subsidiaries in the
Ordinary Course of Business;

 

    	A-11

    	 

    

 

(c)
exclusive licenses and similar arrangements for the use of Intellectual Property of a Loan Party or any of its Subsidiaries that (i)
are approved by the Board of Parent, (ii) are entered into on an arm’s-length basis, on commercially reasonable terms and in the
Ordinary Course of Business, and (iii) are exclusive only with respect to specific fields of use or discrete geographic territories (other
than United States or Europe, as a whole), do not result in the effective legal transfer of the subject Intellectual Property, and do
not impair in any material respect the applicable Collateral Agent’s rights and remedies with respect to the subject Intellectual
Property;

 

(d)
dispositions of worn-out, obsolete or surplus Equipment in the Ordinary Course of Business that is, in the reasonable judgment of such
Loan Party or Subsidiary, no longer economically practicable to maintain or useful;

 

(e)
Transfers consisting of the granting of Permitted Liens and the making of Permitted Investments;

 

(f)
the use or transfer of money or Cash Equivalents in the Ordinary Course of Business for the payment of expenses in the Ordinary Course
of Business and in a manner that is not prohibited by the Loan Documents; Transfers of Inventory among Loan Parties in the Ordinary Course
of Business; and

 

(g)
other Transfers of assets having a fair market value of not more than Two Hundred and Fifty Thousand ($250,000) per fiscal year of Parent.

 

“Person”
means any individual, sole proprietorship, partnership, limited liability company, joint venture, company, trust, unincorporated organization,
association, corporation, institution, public benefit corporation, firm, joint stock company, estate, entity or government agency.

 

“Pledge
and Security Agreement” means that certain Pledge and Security Agreement, dated as of the date hereof, by and among Parent,
US Loan Parties, Administrative Agent and Collateral Trustee, as amended, restated, supplemented or otherwise modified from time to time.

 

“Prime
Rate” means, at any time, the rate of interest noted in The Wall Street Journal, Money Rates section, as the “Prime Rate”.
In the event that The Wall Street Journal quotes more than one rate, or a range of rates, as the Prime Rate, then the Prime Rate shall
mean the average of the quoted rates. In the event that The Wall Street Journal ceases to publish a Prime Rate, then the Prime Rate shall
be the average of the prime rate or base rate announced by the three (3) largest U.S. money center commercial banks, as determined by
Administrative Agent.

 

“Pro
Rata Share” means, with respect to any Lender and as of any date of determination, the percentage obtained by dividing (i)
the aggregate Commitments of such Lender by (ii) the aggregate Commitments of all Lenders provided, that to the extent any Commitment
has expired or been terminated, with respect to such Commitment, the applicable outstanding balance of the Loans made pursuant to such
Commitment held by such Lender and all Lenders, respectively, shall be used in lieu of the amount of such Commitment, provided further,
that with respect to all matters relating to a particular Loan, the Commitment or outstanding balance of the applicable Loan, shall be
used in lieu of the aggregate Commitment or outstanding balance of all Loans in the foregoing calculation. “Ratable” and
related terms shall mean, determined by reference to such Lender’s Pro Rata Share.

 

“Products”
means any products manufactured, sold, developed, tested or marketed by a Loan Party or
any of its Subsidiaries.

 

“Projections”
means the Board-approved annual projections with respect to the business of Borrowers and their Subsidiaries, as delivered at the beginning
of each fiscal year, in form reasonably satisfactory to Administrative Agent and reasonably approved by Administrative Agent for purposes
of Section 6.10.

 

“PPSA”
shall mean the Personal Property Security Act (Ontario) and the regulations thereunder, as from time to time in effect,
provided, however, if attachment, perfection or priority of Bank’s security interests in any Collateral are governed by the personal
property security laws of any jurisdiction other than Ontario, PPSA shall mean those personal property security laws in such other jurisdiction
for the purposes of the provisions hereof relating to such attachment, perfection or priority and for the definitions related to such
provisions.

 

    	A-12

    	 

    

 

“Qualified
Financing” means each offering of common stock, convertible preferred stock or other equity securities (or instruments exercisable
for, or convertible into, shares of common stock, convertible preferred stock or other equity securities) of Parent consummated after
the Closing Date that is broadly marketed or offered to multiple investors.

 

“Refinanced
Loan Balance” means, collectively, the Term Loans outstanding on the Second Amendment Effective Date pursuant to this Agreement,
as in effect prior to the Second Amendment Effective Date, and accrued interest and other Obligations due on the Second Amendment Effective
Date, as set forth, in detail, in the disbursement letter delivered as of the Second Amendment Effective Date.

 

“Registered
Organization” means any “registered organization” as defined in the Code with such additions to such term as may
hereafter be made.

 

“Required
Lenders” means, as of any date of determination, Lenders holding more than 50% of the sum of the aggregate principal amount
of all Loans outstanding and the aggregate amount of all unfunded commitments to make Loans, at such date of determination.

 

“Requirement
of Law” means as to any Person, the organizational or governing documents of such Person, and any law (statutory or common),
treaty, rule or regulation or determination of an arbitrator or a court or other Governmental Authority, in each case applicable to or
binding upon such Person or any of its property or to which such Person or any of its property is subject.

 

“Responsible
Officer” means with respect to any Person, any of the Chief Executive Officer, President or Chief Financial Officer of such
Person. Unless the context otherwise requires, each reference to a Responsible Officer herein shall be a reference to a Responsible Officer
of Parent.

 

“Restatement
First Tranche Term Loan” has the meaning set forth in Section 2.2(a)(i).

 

“Restatement
First Tranche Term Loan Commitment” means, as to any Lender, the aggregate principal amount of Restatement First Tranche Term
Loans committed to be made by such Lender, as set forth on Schedule 1 hereto.

 

“Restatement
Fourth Tranche Availability Period” means the period commencing on the Second Amendment Effective Date and ending on the Amortization
Date.

 

“Restatement
Fourth Tranche Term Loan” has the meaning set forth in Section 2.2(a)(iv).

 

“Restatement
Fourth Tranche Term Loan Commitment” means, as to any Lender, the aggregate principal amount of Restatement Fourth Tranche
Term Loans committed to be made by such Lender, up to the aggregate amount set forth on Schedule 1 hereto.

 

“Restatement
Second Tranche Availability Period” means the period commencing on April 1, 2023 and ending on June 30, 2023.

 

“Restatement
Second Tranche Milestones” means, each of the following

 

		(a)	Loan
                                            Parties shall have reported ongoing positive initial proof of concept data from the Ph. 1/2
                                            clinical trial of VBI-2901 as prophylaxis against coronaviruses which supports continued
                                            clinical progression and a commercially viable product profile for this asset, as determined
                                            by Administrative Agent in its reasonable discretion (the “VBI-2901 Clinical Data
                                            Milestone”); and/or
	 	 	 
		(b)	Loan
                                            Parties shall have reported positive functional cure data from at least one of the two ongoing
                                            Brii Biosciences-sponsored combination studies with VBI-2601 that are supportive of continued
                                            clinical progression and a commercially viable product profile for VBI–2601, as determined
                                            by Administrative Agent in its reasonable discretion (the “VBI-2601 Transaction
                                            Milestone”); and/or

 

    	A-13

    	 

    

 

		(c)	Loan
                                            Parties shall have initiated and there shall be ongoing positive advancement of pivotal studies
                                            in recurrent glioblastoma (“GBM”) and first line GBM, in each case, as
                                            determined by Administrative Agent in its reasonable discretion (the “VBI-1901 Clinical
                                            Data Milestone”).

 

“Restatement
Second Tranche Term Loan” has the meaning set forth in Section 2.2(a).

 

“Restatement
Second Tranche Term Loan Commitment” means, as to any Lender, the aggregate principal amount of Restatement Third Tranche Term
Loans committed to be made by such Lender, as set forth on Schedule 1 hereto

 

“Restatement
Term Loan” and “Term Loans” each, have the meaning set forth in Section 2.2 hereof.

 

“Restatement
Term Loan Maturity Date” means September 14, 2026, or if the Restatement Third Tranche Milestone has been achieved (regardless
of whether the Restatement Third Tranche Term Loans have been funded), September 14, 2027.

 

“Restatement
Third Tranche Availability Period” means the period commencing on April 1, 2024 and ending on June 30, 2024.

 

“Restatement
Third Tranche Milestone” means the achievement of at least two Restatement Second Tranche Milestones.

 

“Restatement
Third Tranche Term Loan” has the meaning set forth in Section 2.2(a).

 

“Restatement
Third Tranche Term Loan Commitment” means, as to any Lender, the aggregate principal amount of Restatement Third Tranche Term
Loans committed to be made by such Lender, as set forth on Schedule 1 hereto.

 

“Restricted
License” means any material in-bound license or other similar material agreement (other than ordinary course customer contracts,
off the shelf software licenses, licenses that are commercially available to the public, and open source licenses) to which a Loan Party
or Subsidiary is a party that prohibits or otherwise restricts such Loan Party or Subsidiary from granting a security interest in its
interest in such license or agreement or in any other property.

 

“SEC”
has the meaning set forth in Section 2.2(e)(iii).

 

“Second
Amendment” means the Second Amendment to Loan and Guaranty Agreement and Affirmation of Pledge and Security Agreement, dated
as of the Second Amendment Effective Date, among Borrowers, Guarantors, the lenders party thereto and Administrative Agent.

 

“Second
Amendment Effective Date” means September 14, 2022.

 

“Second
Amendment Conversion Price” means $1.0434, provided that in the event that on or after the Second Amendment Effective
Date, a Stock Event is consummated, the Second Amendment Conversion Price shall be proportionately increased or decreased as necessary
to reflect the proportionate change in shares of Common Stock issued and outstanding as a result of such Stock Event.

 

“Secured
Parties” means, collectively, Administrative Agent, each Collateral Agent and each Lender.

 

“Securities
Account” means any “securities account” as defined in the Code with such additions to such term as may hereafter
be made.

 

    	A-14

    	 

    

 

“Shares”
means all of the issued and outstanding Equity Interests owned or held of record by a Loan Party or other Loan Party in each of its Subsidiaries.

 

“Subordinated
Debt” means Indebtedness on terms and to holders satisfactory to Administrative Agent and incurred by a Loan Party that is
subordinated in writing to all of the Obligations, pursuant to a Subordination Agreement.

 

“Subordination
Agreement” means any subordination agreement in form and substance satisfactory to Administrative Agent entered into from time
to time with respect to Subordinated Debt.

 

“Subsidiary”
means, with respect to any Person, any corporation, partnership, limited liability company or joint venture in which (i) any general
partnership interest or (ii) more than fifty percent (50%) of the stock, limited liability company interest, joint venture interest or
other Equity Interest which by the terms thereof has the ordinary voting power to elect the Board of that Person, at the time as of which
any determination is being made, is owned or controlled by such Person, directly or indirectly. Unless the context otherwise requires,
each reference to a Subsidiary herein shall be a reference to a Subsidiary of Parent.

 

“Taxes”
means all present or future taxes, levies, imposts, duties, deductions, withholdings (including backup withholding), assessments, fees
or other charges imposed by any Governmental Authority, including any value added taxes, interest, additions to tax or penalties applicable
thereto.

 

“Trademarks”
means any trademark and service mark rights of a Person, whether registered or not, applications to register and registrations of the
same and like protections, and the entire goodwill of the business connected with and symbolized by such trademarks.

 

“Transfer”
has the meaning set forth in Section 7.1.

 

“US
Loan Parties” means VBI VACCINES (DELAWARE) INC., a Delaware corporation, VARIATION BIOTECHNOLOGIES (US), INC., a Delaware
corporation, and any other Guarantor from time to time that is a Domestic Subsidiary.

 

“Voting
Stock” means, with respect to any Person, all classes of Equity Interests issued by such Person the holders of which are ordinarily,
in the absence of contingencies, entitled to vote for the election of directors or managers (or Persons performing similar functions)
of such Person, even though the right so to vote has been suspended by the happening of such a contingency.

 

“Warrant”
means, collectively, (i) the Warrant to purchase Common Stock dated as of the Closing Date executed by Parent in favor of each Designated
Holder, and (ii) the Warrant to purchase Common Stock dated as of the Second Amendment Effective Date executed by Parent in favor of
each Designated Holder, in each case, as amended, modified, supplemented, extended or restated from time to time.

 

    	A-15

    	 

    

 

EXHIBIT
B

 

Loan
REQUEST

 

	 	Date:
    	____________________________

 

Reference
is made to that certain Loan and Guaranty Agreement, dated May 22, 2020 (as amended, restated, supplemented or otherwise modified, from
time to time, the “Agreement”), among Variation Biotechnologies Inc.,
a Canadian federal corporation (“Borrower Representative”), the other Loan Parties from time to time party
thereto, and K2 HEALTHVENTURES LLC, as administrative agent for Lenders (in such capacity, together with its successors, “Administrative
Agent”), and as a Lender (together with any other lender from time to time party thereto, collectively “Lenders”),
and ANKURA TRUST COMPANY, LLC, as collateral trustee for Lenders (in such capacity, together with its successors, “Collateral
Trustee”). Capitalized terms have meanings as defined in the Agreement.

 

Borrower
Representative hereby requests a Loan in the amount of $[    ] on [    ] (the “Funding
Date”) pursuant to the Agreement, and authorizes Lenders to:

 

(a)
Wire Funds to:

 

	Bank:	 
	Address:	 
	 	 
	ABA
    Number:	 
	Account
    Number:	 
	Account
    Holder:	 

 

(b)
Deduct amounts from the foregoing advance to be applied to Lender Expenses and outstanding fees then due as set forth on the attached
Schedule 1.

 

Borrower
Representative represents that each of the conditions precedent to the Loans set forth in the Agreement are satisfied and shall be satisfied
on the Funding Date, including but not limited to: (i) the representations and warranties set forth in the Agreement and in the other
Loan Documents are and shall be true and correct in all material respects on and as of the Funding Date with the same effect as though
made on and as of such date, except to the extent such representations and warranties expressly relate to an earlier date (in which case
they remain true and correct in all material respects as of such earlier date); provided, however, that such materiality
qualifiers shall not be applicable to any representations and warranties that already are qualified or modified by materiality in the
text thereof, (ii) no Default or Event of Default has occurred, [and] (iii) no event that has had or could reasonably be expected to
have a Material Adverse Effect has occurred and is continuing, [and] [(iv) the Loan Parties are in compliance with the Liquidity Requirement.]1
[The undersigned certifies that the [Second / Third] Tranche Milestone has been achieved and any supporting documents requested
by Administrative Agent in connection therewith have been provided to Administrative Agent.]2

 

 

1
Include if applicable.

2
Include if applicable.

 

    	 

    	 

    

 

Borrower
Representative agrees to notify Lenders promptly before the Funding Date if any of the matters which have been represented above shall
not be true and correct in all material respects on the Funding Date and if Lenders have received no such notice before the Funding Date
then the statements set forth above shall be deemed to have been made and shall be deemed to be true and correct in all material respects
as of the Funding Date.

 

[Remainder
of Page intentionally Left Blank]

 

    	 

    	 

    

 

[signature
page to loan request]

 

This
Loan Request is hereby executed as of the date first written above.

 

	 	BORROWER
    REPRESENTATIVE:
	 	 	 
	 	Variation
    Biotechnologies Inc. 
	 	 	 
	 	By:	                        
	 	Name:	 
	 	Title:	 

 

    	 

    	 

    

 

Schedule
1

 

Disbursements

 

    	 

    	 

    

 

EXHIBIT
C

 

COMPLIANCE
CERTIFICATE

 

	TO:	K2 HEALTHVENTURES
    LLC, as Administrative Agent 	Date:

    
	________________________
	FROM:
    	Variation
    Biotechnologies Inc.	 	 

 

Reference
is made to that certain Loan and Guaranty Agreement, dated May 22, 2020 (as amended, restated, supplemented or otherwise modified, from
time to time, the “Agreement”), among Variation Biotechnologies Inc.,
a Canadian federal corporation (“Borrower Representative”), the other Loan Parties party thereto, K2 HEALTHVENTURES
LLC and any other lender from time to time party thereto (collectively, “Lenders”, and each, a “Lender”),
K2 HEALTHVENTURES LLC, as administrative agent for Lenders (in such capacity, and together with its successors, “Administrative
Agent”), and ANKURA TRUST COMPANY, LLC, as collateral trustee for Lenders (in such capacity, together with its successors,
“Collateral Trustee”). Capitalized terms have meanings as defined in the Agreement.

 

The
undersigned authorized officer of Borrower Representative, hereby certifies in accordance with the terms of the Agreement as follows:

 

(1)
Each Borrower is in compliance for the period ending ___________________ with all covenants set forth in the Agreement; (2) no
Event of Default has occurred and is continuing; and (3) the representations and warranties in the Agreement are true and correct in
all material respects on this date; provided, however, that such materiality qualifier shall not be applicable to any representations
and warranties that already are qualified or modified by materiality in the text thereof; and provided, further that those representations
and warranties expressly referring to a specific date shall be true, accurate and complete in all material respects as of such date.

 

The
undersigned certifies that all financial statements delivered herewith are prepared in accordance with GAAP (other than, with respect
to unaudited financials for the absence of footnotes and being subject to normal year-end adjustments), consistently applied from one
period to the next.

 

Please
indicate compliance status by circling Yes/No under “Complies” column.

 

	Reporting
    Covenants	 	Required	 	Complies

 

	Monthly
    financial statements and Compliance Certificate	 	Monthly,
    within 30 days	 	Yes
    No
	A/R
    and A/P Aging Reports	 	Monthly,
    within 30 days	 	Yes
    No
	Quarterly
    financial statements	 	Quarterly,
    within 45 days (unless Parent filed its Quarterly Report on Form 10Q)	 	Yes
    No
	Annual
    Operating Budget and Financial Projections	 	Annually,
    within 45 days of fiscal year end (and within 5 days of any material modification thereto)	 	Yes
    No
	Annual
    audited financial statements and any management letters	 	Annually,
    within 90 days of fiscal year end (unless Parent filed its Annual Report on Form 10K)	 	Yes
    No
	Statements,
    reports and notices to stockholders or holders of Subordinated Debt	 	Within
    5 days of delivery (unless filed with the SEC and a link to such filing is posted on Parent’s website)	 	Yes
    No
	SEC
    filings	 	Within
    5 days after filing with SEC (provided such filings will be deemed to have been delivered on the date on which Parent posts such
    documents on Parent’s website)	 	Yes
    No

 

    	 

    	 

    

 

	Reporting
    Covenants	 	Required	 	Complies

 

	Legal
    action notices and updates	 	Promptly	 	Yes
    No
	Board
    minutes	 	After
    minutes are approved internally	 	Yes
    No
	IP
    report	 	At
    the end of each fiscal quarter	 	Yes
    No
	copies
    of any material notices, reports or other materials delivered to holders of its Equity Interests	 	Promptly	 	Yes
    No
	Bank
    account statements (with transaction detail)	 	Together
    with monthly financial statements, within 30 days or within 3 days, upon Administrative Agent’s request, evidence of the balance
    maintained in any Deposit Account or Securities Account	 	Yes
    No
	Board,
    Committee, Subcommittee, Scientific Advisory Board Materials	 	As
    and when delivered	 	Yes
    No
	Product
    related material correspondence, reports, documents and other filings	 	Within
    3 Business Days	 	Yes
    No

 

	

    Financial Covenants	 	Required	 	Actual	 	Complies
	 	 	 	 	 	 	 
	Minimum
    Net Revenue (T6M)	 	See
    Section 6.10	 	$	 	Yes
    No

 

	Other
    Covenants	 	Required	 	Actual	 	Complies
	 	 	 	 	 	 	 
	Equipment
    financing Indebtedness	 	Not
    to exceed $250,000 outstanding	 	$	 	Yes
    No
	Repurchases
    of stock from former employees, officers and directors	 	Not
    to exceed $250,000 per fiscal year	 	$	 	Yes
    No
	Investments
    in Subsidiaries that are not Loan Parties	 	Not
    to exceed $250,000 per fiscal year	 	$	 	Yes
    No
	Deposits
    or pledges for bids, tenders, contracts, leases, surety or appeal bonds	 	Not
    to exceed $250,000 at any time	 	$	 	Yes
    No

 

    	 

    	 

    

 

Other
Matters

 

	Please
                                            list any SEC filings made since the most recently delivered Compliance Certificate:

                                                                      

    ____________________________________________________________________________

    
	Yes	No
	 	 	 
	Has
                                            any Loan Party changed its legal name, jurisdiction of organization, chief executive office
                                            or principal place of business? If yes, please complete details below:

                                                          

    ____________________________________________________________________________

    
	Yes	No
	 	 	 
	Have
    any new Subsidiaries been formed? If yes, please provide complete schedule below. 	Yes	No

 

	Legal
    Name of Subsidiary	 	Jurisdiction
    of Organization	 	Holder
    of Subsidiary Equity Interests	 	Equity
    Interests Certificated? (Y/N)	 	Jurisdiction
    
	 	 	 	 	 	 	 	 	 
	 	 	 	 	 	 	 	 	 

 

	Have
                                            any new Deposit Accounts or Securities Accounts been opened? If yes, please complete schedule
                                            below.

    
	Yes	No

 

	Accountholder	 	Deposit
    Account / Intermediary	 	Address	 	Account
    Number	 	Account
    Control Agreement in place? (Y/N)
	 	 	 	 	 	 	 	 	Yes
                                                    No

    If
    no:

    __
    Payroll Account

    __
    De minimis Collateral Account; ending account balance $____________

 

	Is
                                            there any new Product not previously disclosed on the Perfection Certificate or any prior
                                            Compliance Certificate? If yes, please complete details below:

     

    ___________________________________________________________________________

     
	Yes	No
	Has
                                            any Loan Party added any new lease location, bailee location or other location where Collateral
                                            is maintained? If yes, please describe below:

    ___________________________________________________________________________

     
	Yes	No
	Has
                                            any Loan Party entered into a Restricted License? If yes, please describe below:

                                                          

    ___________________________________________________________________________

    
	Yes	No

 

The
following are the exceptions with respect to the certification above: (If no exceptions exist, state “No exceptions to note.”)

 

________________________________________________________________________________________________

________________________________________________________________________________________________

 

    	 

    	 

    

 

	BORROWER
    REPRESENTATIVE:	 
	 	 	 
	Variation
    Biotechnologies Inc. 	 
	 	 	 
	By:
    	                        	 
	Name:	 	 
	Title:
    	 	 

 

    	 

    	 

    

 

EXHIBIT
D

 

AUTOMATIC
PAYMENT AUTHORIZATION 

 

Effective
as of [______________], 2020, [________________________]
hereby authorizes K2 HEALTHVENTURES LLC (“K2”), or any affiliate acting on its behalf pursuant to the Loan
Agreement and the bank or financial institution named below (“Bank”) to automatically debit through the Automatic
Clearing House (ACH) from, and initiate variable debit and/or credit entries to, the deposit, checking or savings accounts as designated
below maintained in the name of a Borrower, and to cause electronic funds transfers to an account of K2 to be applied to the payment
of any and all amounts due under the Loan and Guaranty Agreement, dated May 22, 2020 (as amended, restated, supplemented or otherwise
modified, from time to time, the “Agreement”), among Borrower Representative, and any other borrowers party thereto
from time to time, K2, and any other lender from time to time party thereto (collectively, “Lenders”), K2 as administrative
agent for Lenders, and Ankura Trust Company, LLC, as collateral agent for Lenders, including without limitation, principal, interest,
fees, expenses and charges (including Lender Expenses). Capitalized terms not otherwise defined herein, have the meanings given in the
Agreement.

 

This
Authorization shall remain in effect until the Loan Agreement has been terminated.

 

	Bank:	 
	Address:	 
	 	 
	ABA
    Number:	 
	Account
    Number:	 
	Account
    Holder:	 

 

[REMAINDER
OF THIS PAGE INTENTIONALLY LEFT BLANK]

 

    	 

    	 

    

 

[SIGNATURE
PAGE TO AUTOMATIC PAYMENT AUTHORIZATION]

 

This
Authorization is executed as of the date set forth above by the undersigned authorized representative of [________]:

 

	 	[______________________]
	 	 	 
	 	By:	                                        
	 	Name:	 
	 	Title:	 

 

    	 

    	 

    

 

EXHIBIT
E

 

Form
of

SECURED
PROMISSORY NOTE

 

[THE
SECURITY REPRESENTED BY THIS NOTE HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, OR APPLICABLE STATE SECURITIES LAWS. THIS
SECURITY MAY NOT BE SOLD, TRANSFERRED OR ASSIGNED, PLEDGED, HYPOTHECATED OR OTHERWISE DISPOSED OF IN THE ABSENCE OF AN EFFECTIVE REGISTRATION
STATEMENT FOR THE SECURITIES UNDER SAID ACT, OR PURSUANT TO AN EXEMPTION FROM REGISTRATION UNDER SAID ACT INCLUDING, WITHOUT LIMITATION,
PURSUANT TO RULE 144 UNDER SAID ACT.]

 

	$[________________]	[_______
    __, 20__]

 

FOR
VALUE RECEIVED, the undersigned, Variation Biotechnologies Inc., a Canadian federal
corporation (“Borrower Representative”), VBI Vaccines Inc.,
a British Columbia corporation, (“Parent”), and together with Borrower Representative and any Person who becomes a
party as a borrower from time to time to the Loan Agreement (as defined below),(collectively, “Borrowers”, and each
a “Borrower”), hereby unconditionally, jointly and severally, promise to pay to [__________________________]
(together with its successors and assigns, the “Holder”) at the times, in the amounts and at the address set forth
in the Loan and Guaranty Agreement, dated as of May 22, 2020 (as amended, restated, supplemented or otherwise modified from time to time,
the “Loan Agreement”; capitalized terms used herein without definition have the meanings assigned to such terms in
the Loan Agreement), among Borrowers, the other Loan Parties party thereto, the Holder, any other lender from time to time party thereto
(collectively, “Lenders”), K2 HEALTHVENTURES LLC, as administrative agent for Lenders (in such capacity, together
with its successors and assigns, “Administrative Agent”), and ANKURA TRUST COMPANY, LLC, as collateral agent
for Lenders (in such capacity, “Collateral Trustee”),the lesser of (i) the principal amount of [___________]
Dollars ($[__________]) and (ii) the aggregate outstanding principal amount of Loans made by Lenders to Borrowers according to
the terms of Section 2.2 of the Loan Agreement. Borrowers further, jointly and severally, promise to pay interest in accordance
with Section 2.3 of the Loan Agreement and any other fees or expenses (including Lender Expenses) when due from time to time pursuant
to the Loan Agreement. In no event shall interest hereunder exceed the maximum rate permitted under applicable law. All payments of principal,
interest and any other amounts due shall be made as set forth in Section 2.5 of the Loan Agreement. A portion of the Loans may
be converted into Common Stock of the Parent in accordance with and pursuant to the terms of the Loan Agreement. Accordingly, the outstanding
principal amount of the Loans may be less than the amount set forth in this Note.

 

The
Obligations evidenced by this Secured Promissory Note (as amended, restated, supplemented or otherwise modified from time to time, this
“Note”) are subject to acceleration in accordance with Section 9.1 of the Loan Agreement. Each Borrower hereby
waives presentment, demand, notice of default or dishonor, notice of payment and nonpayment, protest and all other demands and notices
except as required by the Loan Agreement in connection with the execution, delivery, acceptance, performance, default or enforcement
of this Note.

 

This
Note is secured by a security interest in the Collateral of the Loan Parties granted to the applicable Collateral Agent pursuant to the
Loan Documents, for the ratable benefit of Lenders.

 

The
terms of Section 11 of the Loan Agreement are incorporated herein, mutatis mutandis.

 

For
purposes of Sections 1272, 1273 and 1275 of the IRC, this Note is being issued with “original issue discount.” Please contact
[_______________], 310 Hunt Club Road East, Suite 201, Ottawa Ontario Canada K1V 1C1, or by telephone at [___________] to obtain information
regarding the issue price, issue date, amount of original issue discount and yield to maturity.

 

[REMAINDER
OF PAGE INTENTIONALLY LEFT BLANK]

 

    	 

    	 

    

 

[SIGNATURE
PAGE TO SECURED PROMISSORY NOTE]

 

IN
WITNESS WHEREOF, each Borrower has caused this Note to be duly executed and delivered on the date set forth above by the duly authorized
representative of such Borrower.

 

	 	Variation
    Biotechnologies Inc. 
	 	 	 
	 	By	                       
	 	Name:
    	 
	 	Title:
    	 
	 	 	 
	 	VBI
    VACCINES Inc.
	 	 
	 	By	 
	 	Name:
    	 
	 	Title:	 

 

    	 

    	 

    

 

EXHIBIT
F

 

CONVERSION
ELECTION NOTICE

 

Reference
is made to that certain Loan and Guaranty Agreement, dated May 22, 2020 (as amended, restated, supplemented or otherwise modified, from
time to time, the “Agreement”), among Variation Biotechnologies Inc.,
a Canadian federal corporation (“Borrower Representative”), VBI
Vaccines Inc., a British Columbia corporation (“Parent”), certain other parties thereto as borrowers or
guarantors from time to time, K2 HEALTHVENTURES LLC and any other lender from time to time party thereto (collectively, “Lenders”,
and each, a “Lender”), K2 HEALTHVENTURES LLC, as administrative agent for Lenders (in such capacity, and together
with its successors, “Administrative Agent”), and ANKURA TRUST COMPANY, LLC, as collateral agent for Lenders
(in such capacity, together with its successors, “Collateral Trustee”). Capitalized terms have meanings as defined
in the Agreement.

 

The
undersigned Designated Holder hereby elects to convert $[__________________] of the outstanding Restatement Term Loans into Conversion
Shares at the [Original/Second Amendment] Conversion Price.

 

Parent
is hereby requested to issue the Conversion Shares in the following name and to the following address:

 

Issue
to: [______________]

[______________]

[______________]

 

	[designated
  holder]	
	 	 	 
	By:	              	 
	Title:	 	 
	Dated:	 	 

 

DTC
Participant Number and Name (if electronic book entry transfer): _________________________

 

Account
Number (if electronic book entry transfer): _______________________________________

 

    	 

    	 

    

 

ACKNOWLEDGMENT

 

Parent
hereby acknowledges this Conversion Notice and hereby directs [TRANSFER AGENT] to issue [NUMBER] shares of Common Stock of VBI Vaccines
Inc.

 

	VBI
  Vaccines Inc.	 
	 	 	 
	By:	        	 
	Name:	 	 
	Title:	 	 

 

    	 

    	 

    

 

SCHEDULE
1

 

Restatement
COMMITMENTS

 

	LENDER	 	Restatement
    FIRST TRANCHE TERM LOAN COMMITMENT	 	 	Restatement
    SECOND TRANCHE TERM LOAN COMMITMENT	 	 	Restatement
    THIRD TRANCHE TERM LOAN COMMITMENT	 	 	Restatement
    FOURTH TRANCHE TERM LOAN COMMITMENT	 	 	TOTAL
    Restatement COMMITMENTS	 
	K2
    HEALTHVENTURES LLC	 	$	50,000,000	 	 	$	15,000,000	 	 	$	10,000,000	 	 	$	25,000,000	 	 	$	100,000,000	 

 

    	 

    	 

    

 

schedule
2

 

post-closing
deliveries

 

[Reserved]

 

    	 

    	 

    

 

schedule
3

 

TAXES;
INCREASED COSTS

 

1.
Defined Terms. For purposes of this Schedule 3:

 

(a)
“Connection Income Taxes” means Other Connection Taxes that are imposed on or measured by net income (however denominated)
or that are franchise Taxes or branch profits Taxes.

 

(b)
“Excluded Taxes” means any of the following Taxes imposed on or with respect to a Recipient or required to be withheld
or deducted from a payment to a Recipient, (i) Taxes imposed on or measured by net income (however denominated), franchise Taxes, and
branch profits Taxes, in each case, (A) imposed as a result of such Recipient being organized under the laws of, or having its principal
office or, in the case of any Lender, its applicable lending office or business activities located in, the jurisdiction imposing such
Tax (or any political subdivision thereof) or (B) that are Other Connection Taxes, (ii) in the case of a Lender, U.S. federal withholding
and Canadian withholding Taxes imposed on amounts payable to or for the account of such Lender with respect to an applicable interest
in a Restatement Term Loan or Commitment pursuant to a law in effect on the date on which (A) such Lender acquires such interest in such
Restatement Term Loan or Commitment or (B) such Lender changes its lending office, except in each case to the extent that, pursuant to
Section 2 or Section 4 of this Schedule 3, amounts with respect to such Taxes were payable either to such Lender’s
assignor immediately before such Lender became a party hereto or to such Lender immediately before it changed its lending office, or
to the extent arising from an assignment after the occurrence and during the continuation of an Event of Default, (iii) Taxes attributable
to such Recipient’s failure to comply with Section 7 of this Schedule 3 and (iv) any withholding Taxes imposed under
FATCA.

 

(c)
“FATCA” means Sections 1471 through 1474 of the Internal Revenue Code, as of the date of this Agreement (or any amended
or successor version that is substantively comparable and not materially more onerous to comply with), any current or future regulations
or official interpretations thereof, any agreements entered into pursuant to Section 1471(b)(1) of the Internal Revenue Code, and any
fiscal or regulatory legislation, rules or practices adopted pursuant to any intergovernmental agreement, treaty or convention among
Governmental Authorities and implementing such Sections of the Internal Revenue Code.

 

(d)
“Foreign Lender” means a Lender that is not a U.S. Person.

 

(e)
“Indemnified Taxes” means (i) Taxes, other than Excluded Taxes, imposed on or with respect to any payment made by
or on account of any obligation of the Loan Parties under any Loan Document and (ii) to the extent not otherwise described in clause
(i), Other Taxes. Notwithstanding anything to the contrary herein, any Israeli Taxes shall be regarded as Indemnified Taxes.

 

(f)
“Internal Revenue Code” means the Internal Revenue Code of 1986, as amended.

 

(g)
“IRS” means the United States Internal Revenue Service.

 

(h)
“Other Connection Taxes” means, with respect to any Recipient, Taxes imposed as a result of a present or former connection
between such Recipient and the jurisdiction imposing such Tax (other than connections arising from such Recipient having executed, delivered,
become a party to, performed its obligations under, received payments under, received or perfected a security interest under, engaged
in any other transaction pursuant to or enforced any Loan Document, or sold or assigned an interest in any Restatement Term Loan or Loan
Document).

 

(i)
“Other Taxes” means all present or future stamp, court or documentary, intangible, recording, filing or similar Taxes
that arise from any payment made under, from the execution, delivery, performance, enforcement or registration of, from the receipt or
perfection of a security interest under, or otherwise with respect to, any Loan Document, except any such Taxes that are Other Connection
Taxes imposed with respect to an assignment.

 

    	 

    	 

    

 

(j)
“Recipient” means Administrative Agent, or any Collateral Agent or Lender, as applicable.

 

(k)
“U.S. Person” means any Person that is a “United States person” as defined in Section 7701(a)(30) of the
Internal Revenue Code.

 

(l)
“Withholding Agent” means, individually, the Loan Parties and Administrative Agent.

 

2.
Payments Free of Taxes. Any and all payments by or on account of any obligation of the Loan Parties under any Loan Document shall
be made without deduction or withholding for any Taxes, except as required by applicable law. If any applicable law (as determined in
the good faith discretion of an applicable Withholding Agent) requires the deduction or withholding of any Tax from any such payment
by a Withholding Agent, then the applicable Withholding Agent shall be entitled to make such deduction or withholding and shall timely
pay the full amount deducted or withheld to the relevant Governmental Authority in accordance with applicable law and, if such Tax is
an Indemnified Tax, then the sum payable by the Loan Parties shall be increased as necessary so that after such deduction or withholding
has been made (including such deductions and withholdings applicable to additional sums payable under this Section 2 or Section
4 of this Schedule 3) the applicable Recipient receives an amount equal to the sum it would have received had no such deduction
or withholding been made.

 

3.
Payment of Other Taxes by the Loan Parties. The Loan Parties shall timely pay to the relevant Governmental Authority in accordance
with applicable law, or at the option of Administrative Agent, timely reimburse it for the payment of, any Other Taxes.

 

4.
Indemnification by the Loan Parties. The Loan Parties shall indemnify each Recipient, within 10 days after demand therefor, for the
full amount of any Indemnified Taxes (including Indemnified Taxes imposed or asserted on or attributable to amounts payable under Section
2 of this Schedule 3 or this Section 4) payable or paid by such Recipient or required to be withheld or deducted from
a payment to such Recipient and any reasonable expenses arising therefrom or with respect thereto, whether or not such Indemnified Taxes
were correctly or legally imposed or asserted by the relevant Governmental Authority. A certificate as to the amount of such payment
or liability delivered to the Loan Parties by a Lender (with a copy to Administrative Agent), or by Administrative Agent on its own behalf
or on behalf of a Lender, shall be conclusive absent manifest error.

 

5.
Indemnification by Lenders. Each Lender shall severally indemnify Administrative Agent and any Collateral Agent, within 10 days after
demand therefor, for (a) any Indemnified Taxes attributable to such Lender (but only to the extent that the Loan Parties have not already
indemnified Administrative Agent or any Collateral Agent for such Indemnified Taxes and without limiting the obligation of the Loan Parties
to do so), (b) any Taxes attributable to such Lender’s failure to comply with the provisions of Section 12.2 of the Agreement
relating to the maintenance of a Participant Register and (c) any Excluded Taxes attributable to such Lender, in each case, that are
payable or paid by Administrative Agent or any Collateral Agent in connection with any Loan Document, and any reasonable expenses arising
therefrom or with respect thereto, whether or not such Taxes were correctly or legally imposed or asserted by the relevant Governmental
Authority. A certificate as to the amount of such payment or liability delivered to any Lender by Administrative Agent or any Collateral
Agent, as applicable, shall be conclusive absent manifest error. Each Lender hereby authorizes Administrative Agent and any Collateral
Agent to set off and apply any and all amounts at any time owing to such Lender under any Loan Document or otherwise payable by Administrative
Agent or any Collateral Agent, as applicable, to Lenders from any other source against any amount due to Administrative Agent or any
Collateral Agent under this Section 5.

 

6.
Evidence of Payments. As soon as practicable after any payment of Taxes by the Loan Parties to a Governmental Authority pursuant
to the provisions of this Schedule 3, the Loan Parties shall deliver to Administrative Agent the original or a certified copy
of a receipt issued by such Governmental Authority evidencing such payment, a copy of the return reporting such payment or other evidence
of such payment reasonably satisfactory to Administrative Agent.

 

    	 

    	 

    

 

7.
Status of Lenders.

 

(a)
Any Lender that is entitled to an exemption from or reduction of withholding Tax with respect to payments made under any Loan Document
shall deliver to the Loan Parties and Administrative Agent, at the time or times reasonably requested by the Loan Parties or Administrative
Agent, such properly completed and executed documentation reasonably requested by the Loan Parties or Administrative Agent as will permit
such payments to be made without withholding or at a reduced rate of withholding. In addition, any Lender, if reasonably requested by
the Loan Parties or Administrative Agent, shall deliver such other documentation prescribed by applicable law or reasonably requested
by the Loan Parties or Administrative Agent as will enable the Loan Parties or Administrative Agent to determine whether or not such
Lender is subject to backup withholding or information reporting requirements. Notwithstanding anything to the contrary in the preceding
two sentences, the completion, execution and submission of such documentation (other than such documentation set forth in Sections 7(b)(i),
7(b)(ii) and 7(b)(iv) of this Schedule 3) shall not be required if in the applicable Lender’s reasonable judgment such completion,
execution or submission would subject such Lender to any material unreimbursed cost or expense or would materially prejudice the legal
or commercial position of such Lender.

 

(b)
Without limiting the generality of the foregoing, in the event that any Loan Party is a U.S. Person,

 

(i)
any Lender that is a U.S. Person shall deliver to such Loan Party and Administrative Agent on or prior to the date on which such Lender
becomes a Lender under this Agreement (and from time to time thereafter upon the reasonable request of such Loan Party or Administrative
Agent), executed copies of IRS Form W-9 certifying that such Lender is exempt from U.S. federal backup withholding tax;

 

(ii)
any Foreign Lender shall, to the extent it is legally entitled to do so, deliver to such Loan Party and Administrative Agent (in such
number of copies as shall be requested by the recipient) on or prior to the date on which such Foreign Lender becomes a Lender under
this Agreement (and from time to time thereafter upon the reasonable request of such Loan Party or Administrative Agent), whichever of
the following is applicable:

 

A.
in the case of a Foreign Lender claiming the benefits of an income tax treaty to which the United States is a party (x) with respect
to payments of interest under any Loan Document, executed copies of IRS Form W-8BEN or IRS Form W-8BEN-E establishing an exemption from,
or reduction of, U.S. federal withholding Tax pursuant to the “interest” article of such tax treaty and (y) with respect
to any other applicable payments under any Loan Document, IRS Form W-8BEN or IRS Form W-8BEN-E establishing an exemption from, or reduction
of, U.S. federal withholding Tax pursuant to the “business profits” or “other income” article of such tax treaty;

 

B.
executed copies of IRS Form W-8ECI;

 

C.
in the case of a Foreign Lender claiming the benefits of the exemption for portfolio interest under Section 881(c) of the Internal Revenue
Code, (x) a certificate, in form and substance reasonably acceptable to such Loan Party and Administrative Agent, to the effect that
such Foreign Lender (or other applicable Person) is not a “bank” within the meaning of Section 881(c)(3)(A) of the Internal
Revenue Code, a “10 percent shareholder” of such Loan Party within the meaning of Section 871(h)(3)(B) of the Internal Revenue
Code, or a “controlled foreign corporation” related to such Loan Party as described in Section 881(c)(3)(C) of the Internal
Revenue Code (a “U.S. Tax Compliance Certificate”) and (y) executed copies of IRS Form W-8BEN or IRS Form W-8BEN-E;
or

 

D.
to the extent a Foreign Lender is not the beneficial owner, executed copies of IRS Form W-8IMY, accompanied by IRS Form W-8ECI, IRS Form
W-8BEN, IRS Form W-8BEN-E, a U.S. Tax Compliance Certificate, IRS Form W-9, and/or other certification documents from each beneficial
owner, as applicable; provided that if the Foreign Lender is a partnership and one or more direct or indirect partners of such Foreign
Lender are claiming the portfolio interest exemption, such Foreign Lender may provide a U.S. Tax Compliance Certificate on behalf of
each such direct and indirect partner;

 

(iii)
any Foreign Lender shall, to the extent it is legally entitled to do so, deliver to such Loan Party and Administrative Agent (in such
number of copies as shall be requested by the recipient) on or prior to the date on which such Foreign Lender becomes a Lender under
this Agreement (and from time to time thereafter upon the reasonable request of such Loan Party or Administrative Agent), executed copies
of any other form prescribed by applicable law as a basis for claiming exemption from or a reduction in U.S. federal withholding and
Canadian withholding Tax, duly completed, together with such supplementary documentation as may be prescribed by applicable law to permit
such Loan Party or Administrative Agent to determine the withholding or deduction required to be made; and

 

    	 

    	 

    

 

(iv)
if a payment made to a Lender under any Loan Document would be subject to U.S. federal withholding Tax imposed by FATCA if such Lender
were to fail to comply with the applicable reporting requirements of FATCA (including those contained in Section 1471(b) or 1472(b) of
the Internal Revenue Code, as applicable), such Lender shall deliver to such Loan Party and Administrative Agent at the time or times
prescribed by law and at such time or times reasonably requested by such Loan Party or Administrative Agent such documentation prescribed
by applicable law (including as prescribed by Section 1471(b)(3)(C)(i) of the Internal Revenue Code) and such additional documentation
reasonably requested by such Loan Party or Administrative Agent as may be necessary for such Loan Party and Administrative Agent to comply
with their obligations under FATCA and to determine that such Lender has complied with such Lender’s obligations under FATCA or
to determine the amount, if any, to deduct and withhold from such payment. Solely for purposes of this clause (iv), “FATCA”
shall include any amendments made to FATCA after the date of this Agreement.

 

(c)
Each Lender agrees that if any form or certification it previously delivered expires or becomes obsolete or inaccurate in any respect,
it shall update such form or certification or promptly notify the Loan Parties and Administrative Agent in writing of its legal inability
to do so.

 

8.
Treatment of Certain Refunds. If any party determines, in its sole discretion exercised in good faith, that it has received a refund
of any Taxes as to which it has been indemnified pursuant to the provisions of this Schedule 3 (including by the payment of additional
amounts pursuant to the provisions of this Schedule 3), it shall pay to the indemnifying party an amount equal to such refund
(but only to the extent of indemnity payments made under the provisions of this Schedule 3 with respect to the Taxes giving rise
to such refund), net of all out-of-pocket expenses (including Taxes) of such indemnified party and without interest (other than any interest
paid by the relevant Governmental Authority with respect to such refund). Such indemnifying party, upon the request of such indemnified
party, shall repay to such indemnified party the amount paid over pursuant to this Section 8 (plus any penalties, interest or
other charges imposed by the relevant Governmental Authority) in the event that such indemnified party is required to repay such refund
to such Governmental Authority. Notwithstanding anything to the contrary in this Section 8, in no event will the indemnified party
be required to pay any amount to an indemnifying party pursuant to this Section 8 the payment of which would place the indemnified
party in a less favorable net after-Tax position than the indemnified party would have been in if the Tax subject to indemnification
and giving rise to such refund had not been deducted, withheld or otherwise imposed and the indemnification payments or additional amounts
with respect to such Tax had never been paid. This Section 8 shall not be construed to require any indemnified party to make available
its Tax returns (or any other information relating to its Taxes that it deems confidential) to the indemnifying party or any other Person.

 

9.
Increased Costs. If any change in applicable law shall subject any Recipient to any Taxes (other than (A) Indemnified Taxes, (B)
Taxes described in clauses (ii) through (iv) of the definition of Excluded Taxes and (C) Connection Income Taxes) on its loans,
loan principal, commitments, or other obligations, or its deposits, reserves, other liabilities or capital attributable thereto, and
the result shall be to increase the cost to such Recipient of making, converting to, continuing or maintaining any Loan or of maintaining
its obligation to make any such Loan, or to reduce the amount of any sum received or receivable by such Recipient (whether of principal,
interest or any other amount), then, upon the request of such Recipient, the Loan Parties will pay to such Recipient such additional
amount or amounts as will compensate such Recipient for such additional costs incurred or reduction suffered.

 

10.
Survival. Each party’s obligations under the provisions of this Schedule 3 shall survive the resignation or replacement
of Administrative Agent or any Collateral Agent or any assignment of rights by, or the replacement of, a Lender, the termination of the
Commitments and the repayment, satisfaction or discharge of all obligations under any Loan Document.

 

    	 

    	 

    

 

SCHEDULE
4

 

REGISTRATION
RIGHTS

 

For
purposes of this Schedule 4, capitalized terms used and not otherwise defined shall have the following meanings:

 

“Common
Stock” means the Common Stock of Borrower Representative, no par value

 

“Effectiveness
Period” shall have the meaning set forth in Section 1 below.

 

“Filing
Date” shall mean the date that is forty-five (45) days after receipt by Borrower Representative of a written notice by Administrative
Agent requesting that a Registration Statement be filed in respect of all of the Conversion Shares, provided no such request shall be
given if the Conversion Shares do not constitute Registrable Securities.

 

“Holder”
or “Holders” means the holder or holders, as the case may be, from time to time of Registrable Securities, or prior
to any conversion in accordance with Section 2.2(e) of the Agreement, the Designated Holder(s).

 

“Indemnified
Party” shall have the meaning set forth in Section 5(c).

 

“Indemnifying
Party” shall have the meaning set forth in Section 5(c).

 

“Losses”
shall have the meaning set forth in Section 5(a).

 

“Proceeding”
means an action, claim, suit, investigation or proceeding (including, without limitation, an investigation or partial proceeding, such
as a deposition), whether commenced or threatened.

 

“Prospectus”
means the prospectus included in the Registration Statement (including, without limitation, a prospectus that includes any information
previously omitted from a prospectus filed as part of an effective registration statement in reliance upon Rule 430B promulgated under
the Securities Act), as amended or supplemented by any prospectus supplement, with respect to the terms of the offering of any portion
of the Registrable Securities covered by the Registration Statement, and all other amendments and supplements to the Prospectus, including
post-effective amendments, and all material incorporated by reference in such Prospectus.

 

“Registrable
Securities” means the Conversion Shares issued or issuable pursuant to Section 2.2(e) of the Agreement and any securities
issued with respect to, or in exchange for or in replacement thereof upon any stock split, stock dividend, recapitalization, subdivision,
merger or similar event; provided, however, that the applicable Holder has completed and delivered to Borrower Representative a Selling
Stockholder Questionnaire; and provided further that such securities shall no longer be deemed Registrable Securities if such securities
(i) have been sold pursuant to a Registration Statement, (ii) have been sold in compliance with Rule 144, or (iii) may be sold without
registration under the Securities Act or the need for an exemption from any such registration requirements pursuant to Rule 144, without
any time, volume or manner limitations (or any similar provision then in effect).

 

“Registration
Statement” means the registration statements and any additional registration statements contemplated by Section 2, including
(in each case) the Prospectus, amendments and supplements to such registration statement or Prospectus, including pre- and post-effective
amendments, all exhibits thereto, and all material incorporated by reference in such registration statement.

 

“Rule
144” means Rule 144 promulgated by the SEC pursuant to the Securities Act, as such Rule may be amended from time to time, or
any similar rule or regulation hereafter adopted by the SEC having substantially the same effect as such Rule.

 

“Rule
415” means Rule 415 promulgated by the SEC pursuant to the Securities Act, as such Rule may be amended from time to time, or
any similar rule or regulation hereafter adopted by the SEC having substantially the same effect as such Rule.

 

    	A-1

    	 

    

 

“Selling
Stockholder Questionnaire” means a questionnaire in the form attached as Annex B hereto, or such other form of questionnaire
as may reasonably be requested by Borrower Representative from time to time.

 

1
Registration Obligations; Filing
Date Registration. 

 

On
or prior to the Filing Date Borrower Representative shall prepare and file with the SEC a Registration Statement covering the resale
of the Registrable Securities as would permit or facilitate the sale and distribution of all the Registrable Securities in the manner
reasonably requested by the Administrative Agent on behalf of Holders; provided, however, that if the Filing Date falls on a day that
is not a Business Day, such deadline shall be extended to the next Business Day. The Registration Statement shall be on Form S-3 (except
if Borrower Representative is not then eligible to register for resale the Registrable Securities on Form S-3, in which case such registration
shall be on another appropriate form in accordance with the Securities Act and the rules promulgated thereunder and Borrower Representative
shall undertake to register the Registrable Securities on Form S-3 as soon as practicable following the availability of such form, provided
that Borrower Representative shall use commercially reasonable best efforts to maintain the effectiveness of the Registration Statement
then in effect until such time as a Registration Statement on Form S-3 covering the Registrable Securities has been declared effective
by the SEC). The Registration Statement shall contain the “Plan of Distribution” section in substantially the form attached
hereto as Annex A. Borrower Representative shall use commercially reasonable efforts to cause the Registration Statement to be
declared effective under the Securities Act as promptly as practicable after the filing thereof, and, subject to Section 2.10
hereof, to keep such Registration Statement continuously effective under the Securities Act until such date as is the earlier of (x)
the date when all Registrable Securities covered by such Registration Statement have been sold under such Registration Statement; or
(y) the date on which the Registrable Securities may be immediately be sold pursuant to Rule 144, without limitations, as determined
by the counsel to Borrower Representative pursuant to a written opinion letter, addressed to Borrower Representative’s transfer
agent to such effect (the “Effectiveness
Period”). By 9:30 am Eastern Time on the Business Day following the date the Registration Statement
is declared effective, Borrower Representative shall file with the SEC in accordance with Rule 424 under the Securities Act the final
prospectus to be used in connection with sales pursuant to such Registration Statement. Lenders acknowledge and agree that securities
other than the Registrable Securities may be included in the Registration Statement. 

 

2
Registration Procedures.

 

In
connection with Borrower Representative’s registration obligations hereunder, Borrower Representative shall:

 

2.1
Prepare and file with the SEC on or prior to the Filing Date, a Registration Statement on Form S-3 (or if Borrower Representative
is not then eligible to register for resale the Registrable Securities on Form S-3 such registration shall be on another appropriate
form in accordance with the Securities Act and the rules and regulations promulgated thereunder) in accordance with the method or methods
of distribution thereof as described on Annex A hereto (except if otherwise directed by Administrative Agent), and use commercially reasonable
efforts to cause the Registration Statement to become effective and remain effective as provided herein.

 

2.2
Prepare and file with the SEC such amendments, including post-effective amendments, to the Registration Statement as may be necessary
to keep the Registration Statement continuously effective (subject to Section 2.12) as to the applicable Registrable Securities
for the Effectiveness Period and prepare and file with the SEC such additional Registration Statements, if necessary, in order to register
for resale under the Securities Act all of the Registrable Securities; (ii) cause the related Prospectus to be amended or supplemented
by any required Prospectus supplement, and as so supplemented or amended to be filed pursuant to Rule 424 (or any similar provisions
then in force) promulgated under the Securities Act; (iii) respond promptly to any comments received from the SEC with respect to the
Registration Statement or any amendment thereto and promptly provide the Holders true and complete copies of all correspondence from
and to the SEC relating to the Registration Statement; and (iv) comply in all material respects with the provisions of the Securities
Act and the Exchange Act with respect to the disposition of all Registrable Securities covered by the Registration Statement during the
applicable period in accordance with the intended methods of disposition by the Holders thereof set forth in the Registration Statement
as so amended or in such Prospectus as so supplemented.

 

    	A-2

    	 

    

 

2.3
Promptly notify the Holders of Registrable Securities (i)(A) when a Prospectus or any Prospectus supplement or post-effective amendment
to the Registration Statement is filed; (B) when the SEC notifies Borrower Representative whether there will be a “review”
of such Registration Statement and whenever the SEC comments in writing on such Registration Statement, and if requested by such Holders,
furnish to them a copy of such comments and Borrower Representative’s responses thereto; and (C) with respect to the Registration
Statement or any post-effective amendment, when the same has become effective; (ii) of any request by the SEC or any other Federal or
state governmental authority for amendments or supplements to the Registration Statement or Prospectus or for additional information;
(iii) of the issuance by the SEC of any stop order suspending the effectiveness of the Registration Statement covering any or all of
the Registrable Securities or the initiation of any Proceedings for that purpose; (iv) of the receipt by Borrower Representative of any
notification with respect to the suspension of the qualification or exemption from qualification of any of the Registrable Securities
for sale in any jurisdiction, or the initiation or threatening of any Proceeding for such purpose; and (v) of the occurrence of any event
that makes any statement made in the Registration Statement or Prospectus or any document incorporated or deemed to be incorporated therein
by reference untrue in any material respect or that requires any revisions to the Registration Statement, Prospectus or other documents
so that, in the case of the Registration Statement or the Prospectus, as the case may be, it will not contain any untrue statement of
a material fact or omit to state any material fact required to be stated therein or necessary to make the statements therein, in the
light of the circumstances under which they were made, not misleading.

 

2.4
Use commercially reasonable efforts to avoid the issuance of, or, if issued, obtain the withdrawal of, (i) any order suspending the
effectiveness of the Registration Statement or (ii) any suspension of the qualification (or exemption from qualification) of any of the
Registrable Securities for sale in any U.S. jurisdiction.

 

2.5
If requested by the Administrative Agent on behalf of Designated Holders, (i) promptly incorporate in a Prospectus supplement or
post-effective amendment to the Registration Statement such information as Borrower Representative reasonably agrees should be included
therein and (ii) make all required filings of such Prospectus supplement or such post-effective amendment as soon as practicable after
Borrower Representative has received notification of the matters to be incorporated in such Prospectus supplement or post-effective amendment.

 

2.6
Furnish to each Holder, without charge and upon request, at least one conformed copy of each Registration Statement and each amendment
thereto, including financial statements and schedules, and, to the extent requested by such Person, all documents incorporated or deemed
to be incorporated therein by reference, and all exhibits (including those previously furnished or incorporated by reference) promptly
after the filing of such documents with the SEC.

 

2.7
Promptly deliver to each Holder, without charge, as many copies of the Prospectus or Prospectuses (including each form of prospectus)
and each amendment or supplement thereto as such Persons may reasonably request; and Borrower Representative hereby consents to the use
of such Prospectus and each amendment or supplement thereto by each of the selling Holders in connection with the offering and sale of
the Registrable Securities covered by such Prospectus and any amendment or supplement thereto.

 

2.8
Prior to any public offering of Registrable Securities, use commercially reasonable efforts to register or qualify or cooperate with
the selling Holders in connection with the registration or qualification (or exemption from such registration or qualification) of such
Registrable Securities for offer and sale under the securities or Blue Sky laws of such jurisdictions within the United States as any
Holder reasonably requests in writing, to keep each such registration or qualification (or exemption therefrom) effective during the
Effectiveness Period and to do any and all other acts or things necessary or advisable to enable the disposition in such jurisdictions
of the Registrable Securities covered by a Registration Statement; provided, however, Borrower Representative shall in
no event be required to (x) qualify to do business in any state where it is not then qualified or (y) take any action that would subject
it to tax or to the general service of process in any such state where it is not then subject, or (z) comply with state securities or
“blue sky” laws of any state for which registration by coordination is unavailable to Borrower Representative.

 

2.9
Cooperate with the Holders to facilitate the timely preparation and delivery of certificates representing Registrable Securities
to be sold pursuant to a Registration Statement, unless such Registrable Securities are not certificated.

 

    	A-3

    	 

    

 

2.10
Upon the occurrence of any event contemplated by Section 2.3(v), promptly prepare a supplement or amendment, including a post-effective
amendment, to the Registration Statement or a supplement to the related Prospectus or any document incorporated or deemed to be incorporated
therein by reference, and file any other required document so that, as thereafter delivered, neither the Registration Statement nor such
Prospectus will contain an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary
to make the statements therein, in the light of the circumstances under which they were made, not misleading.

 

2.11
Use commercially reasonable efforts to cause all Registrable Securities relating to the Registration Statement to be listed on the
Nasdaq Stock Market or any subsequent securities exchange, quotation system or market, if any, on which similar securities issued by
Borrower Representative are then listed or traded; provided, however, that nothing in the Section 2.11 shall require Borrower Representative
to continue to list its Common Stock on the Nasdaq Stock Market and be a reporting company pursuant to Section 13 of the Exchange Act.

 

2.12
Borrower Representative may require each selling Holder to furnish to Borrower Representative information regarding such Holder and
the distribution of such Registrable Securities as is required by law to be disclosed in the Registration Statement, and Borrower Representative
may exclude from such registration the Registrable Securities of any such Holder who fails to furnish such information within fifteen
(15) days after receiving such request. Each Holder covenants and agrees that (i) it will not sell any Registrable Securities under the
Registration Statement until it has received copies of the Prospectus as then amended or supplemented as contemplated in Section 2.7
and notice from Borrower Representative that such Registration Statement and any post-effective amendments thereto have become effective
as contemplated by Section 2.3 and (ii) it and its officers, directors or Affiliates, if any, will comply with the prospectus
delivery requirements of the Securities Act as applicable to them in connection with sales of Registrable Securities pursuant to the
Registration Statement. Each Holder agrees by its acquisition of such Registrable Securities that, upon receipt of a notice from Borrower
Representative of the occurrence of any event of the kind described in Sections 2.3(ii), (iii), (iv), (v) or 2.13, such Holder
will forthwith discontinue disposition of such Registrable Securities under the Registration Statement until such Holder’s receipt
of the copies of the supplemented Prospectus and/or amended Registration Statement contemplated by Section 2.10, or until it is
advised in writing by Borrower Representative that the use of the applicable Prospectus may be resumed, and, in either case, has received
copies of any additional or supplemental filings that are incorporated or deemed to be incorporated by reference in such Prospectus or
Registration Statement.

 

2.13
If (i) there is material non-public information regarding Borrower Representative which the Board reasonably determines not to be
in Borrower Representative’s best interest to disclose and which Borrower Representative is not otherwise required to disclose,
or (ii) there is a significant business opportunity (including, but not limited to, the acquisition or disposition of assets (other than
in the ordinary course of business) or any merger, consolidation, tender offer or other similar transaction) available to Borrower Representative
which the Board reasonably determines not to be in Borrower Representative’s best interest to disclose, then Borrower Representative
may postpone or suspend filing or effectiveness of a registration statement for a period not to exceed thirty (30) consecutive days,
provided that Borrower Representative may not postpone or suspend its obligation under this Section 2.13 for more than sixty (60)
days in the aggregate during any 12 month period; provided, however, that no such postponement or suspension shall be permitted
for consecutive thirty (30) day periods, arising out of the same set of facts, circumstances or transactions.

 

2.14
Any legend indicating, directly or indirectly, that the Registrable Securities constitute “restricted securities” (as
such term is defined in Rule 144) stamped on a certificate evidencing the Registrable Securities, and the related stock transfer instructions
and record notations with respect to such Registrable Securities, shall be removed and Borrower Representative shall approve the issuance
of shares without such legend to the holder of such Securities if the Holder thereof provides Borrower Representative with reasonable
assurances that such securities can be sold pursuant to Rule 144. Following the receipt by Borrower Representative of such assurances,
Borrower Representative will, no later than five trading days following the delivery by a holder to Borrower Representative or Borrower
Representative’s transfer agent of a legended certificate representing such securities or a request to remove the legend from such
securities, deliver or cause to be delivered to such Holder shares of such securities that are free from such restrictive legends.

 

    	A-4

    	 

    

 

2.15
If a Registration Statement is not effective with respect to all of the Registrable Securities and Borrower Representative decides
to register any of its securities for its own account or for the account of others (if the agreement pursuant to which such securities
are being registered for the account of others so allows), then Borrower Representative will use its commercially reasonable efforts
to include in such registration all or any part of the Registrable Securities requested by Administrative Agent on behalf of Holders
to be included therein (excluding any Registrable Securities previously included in a Registration Statement). This requirement does
not apply to Company registrations on Form S-4 or S-8 or their equivalents (relating to equity securities to be issued in connection
with an acquisition of any entity or business or equity securities issuable in connection with stock option or other employee benefit
plans) or to registration statements that would otherwise not permit the registration of re-sales of previously issued securities, or
to the extent the Conversion Shares do not constitute Registrable Securities. In that event, if the managing underwriter(s) of the public
offering impose a limitation on the number of shares of Common Stock that may be included in the Registration Statement because, in such
underwriter(s)’ judgment, such limitation would be necessary to effect an orderly public distribution, then Borrower Representative
shall include in such registration (i) first, the securities Borrower Representative proposes to sell, and (ii) second, the Registrable
Securities.

 

3
Registration Expenses.

 

All
reasonable fees and expenses incident to the performance of or compliance with this Agreement by Borrower Representative (excluding underwriters’
discounts and commissions and all fees and expenses of legal counsel, accountants and other advisors for any Holder except as specifically
provided below), except as and to the extent specified in this Section 3, shall be borne by Borrower Representative whether or
not the Registration Statement is filed or becomes effective and whether or not any Registrable Securities are sold pursuant to the Registration
Statement. The fees and expenses referred to in the foregoing sentence shall include, without limitation, (i) all registration and filing
fees (including, without limitation, fees and expenses (A) with respect to filings required to be made with the Nasdaq Stock Market and
each other securities exchange or market on which Registrable Securities are required hereunder to be listed, (B) with respect to filings
required to be made with the Financial Industry Regulatory Authority and (C) in compliance with state securities or Blue Sky laws), (ii)
messenger, telephone and delivery expenses, (iii) fees and disbursements of counsel for Borrower Representative, (iv) Securities Act
liability insurance, if Borrower Representative so desires such insurance, and (v) fees and expenses of all other Persons retained by
Borrower Representative in connection with the consummation of the transactions contemplated by this Agreement, including, without limitation,
Borrower Representative’s independent public accountants. In addition, Borrower Representative shall be responsible for all of
its internal expenses incurred in connection with the consummation of the transactions contemplated by this Agreement (including, without
limitation, all salaries and expenses of its officers and employees performing legal or accounting duties), the expense of any annual
audit, the fees and expenses incurred in connection with the listing of the Registrable Securities on any securities exchange as required
hereunder.

 

4
Indemnification.

 

4.1
Indemnification by Borrower Representative. Borrower Representative shall, notwithstanding any termination of this Agreement,
indemnify and hold harmless each Holder, its directors, officers, agents and employees, each Person who controls such Holder (within
the meaning of Section 15 of the Securities Act and Section 20 of the Exchange Act), and the directors, officers, agents or employees
of such controlling Persons, and the respective successors, assigns, estate and personal representatives of each of the foregoing, to
the fullest extent permitted by applicable law, from and against any and all claims, losses, damages, liabilities, penalties, judgments,
costs (including, without limitation, costs of investigation) and expenses (including, without limitation, reasonable attorneys’
fees and expenses) (collectively, “Losses”), arising out of third party claims relating to any untrue or alleged untrue
statement of a material fact contained in the Registration Statement, any Prospectus, as supplemented or amended, if applicable, or arising
out of or relating to any omission or alleged omission of a material fact required to be stated therein or necessary to make the statements
therein (in the case of any Prospectus or form of prospectus or supplement thereto, in the light of the circumstances under which they
were made) not misleading, except (i) to the extent, but only to the extent, that such untrue statements or omissions are based upon
information regarding such Holder furnished in writing to Borrower Representative by such Holder expressly for use in the Registration
Statement, such Prospectus or such form of Prospectus or in any amendment or supplement thereto (it being understood that each Holder
has approved Annex A hereto for this purpose); (ii) as a result of the failure of such Holder to deliver a Prospectus, as amended or
supplemented, to a purchaser in connection with an offer or sale; or (iii) in the case of an occurrence of an event of the type specified
in Section 2.3(ii)-(v), the use by a Holder of an outdated or defective Prospectus after Borrower Representative has notified
such Holder in writing that the Prospectus is outdated or defective and prior to the receipt by such Holder of notice that use of the
applicable prospectus may be resumed (and, if applicable, receipt of additional or supplemental filings that are incorporated or deemed
to be incorporated by referenced in such Prospectus or Registration Statement), but only if and to the extent that following such receipt
the misstatement or omission giving rise to such Loss would have been corrected; provided, however, that the indemnity agreement contained
in this Section 4.1 shall not apply to amounts paid in settlement of any Losses if such settlement is effected without the prior
written consent of Borrower Representative, which consent shall not be unreasonably withheld. Borrower Representative shall notify such
Holder promptly of the institution, threat or assertion of any Proceeding of which Borrower Representative is aware in connection with
the transactions contemplated by this Agreement. Such indemnity shall remain in full force and effect regardless of any investigation
made by or on behalf of an Indemnified Party (as defined in Section 4.3) and shall survive the transfer of the Registrable Securities
by the Holder.

 

    	A-5

    	 

    

 

4.2
Indemnification by Holders. Each Holder and its permitted assignees shall, severally and not jointly, indemnify and hold harmless
Borrower Representative, its directors, officers, agents and employees, each Person who controls Borrower Representative (within the
meaning of Section 15 of the Securities Act and Section 20 of the Exchange Act), and the directors, officers, agents or employees of
such controlling Persons, and the respective successors, assigns, estate and personal representatives of each of the foregoing, to the
fullest extent permitted by applicable law, from and against all Losses, as incurred, arising out of or relating to any untrue or alleged
untrue statement of a material fact contained in the Registration Statement, any Prospectus, as supplemented or amended, if applicable,
or arising out of or relating to any omission or alleged omission of a material fact required to be stated therein or necessary to make
the statements therein (in the case of any Prospectus or supplement thereto, in the light of the circumstances under which they were
made) not misleading, to the extent, but only to the extent, that such untrue statement or omission is contained in or omitted from any
information regarding such Holder furnished in writing to Borrower Representative by such Holder expressly for use therein, or to the
extent that such information relates to such Holder or such Holder’s proposed method of distribution of Registrable Securities
and was furnished in writing by such Holder expressly for use therein (it being understood that each Holder has approved Annex A hereto
for this purpose). Notwithstanding anything to the contrary contained herein, in no event shall the liability of any Person under this
Section 4.2 exceed the net proceeds to such Person as a result of the sale of Registrable Securities pursuant to a Registration
Statement in connection with which the untrue or alleged untrue statement or material omission was provided.

 

4.3
Conduct of Indemnification Proceedings.

 

(a)
If any Proceeding shall be brought or asserted against any Person entitled to indemnity hereunder (an “Indemnified Party”),
such Indemnified Party promptly shall notify the Person from whom indemnity is sought (the “Indemnifying Party”) in
writing, and the Indemnifying Party shall assume the defense thereof, including the employment of counsel reasonably satisfactory to
the Indemnified Party and the payment of all fees and expenses incurred in connection with defense thereof; provided, that the failure
of any Indemnified Party to give such notice shall not relieve the Indemnifying Party of its obligations or liabilities pursuant to this
Agreement, except (and only) to the extent that it shall be finally determined by a court of competent jurisdiction (which determination
is not subject to appeal or further review) that such failure shall have proximately and materially adversely prejudiced the Indemnifying
Party.

 

(b)
An Indemnified Party shall have the right to employ separate counsel in any such Proceeding and to participate in the defense thereof,
but the fees and expenses of such counsel shall be at the expense of such Indemnified Party or Indemnified Parties unless: (1) the Indemnifying
Party has agreed in writing to pay such fees and expenses; or (2) the Indemnifying Party shall have failed promptly to assume the defense
of such Proceeding and to employ counsel reasonably satisfactory to such Indemnified Party in any such Proceeding; or (3) the named parties
to any such Proceeding (including any impleaded parties) include both such Indemnified Party and the Indemnifying Party, and such Indemnified
Party shall have been advised by counsel (which shall be reasonably acceptable to the Indemnifying Party) that a conflict of interest
is likely to exist if the same counsel were to represent such Indemnified Party and the Indemnifying Party (in which case, the Indemnifying
Party shall be responsible for reasonable fees and expenses of no more than one counsel for the Indemnified Parties). The Indemnifying
Party shall not be liable for any settlement of any such Proceeding effected without its written consent, which consent shall not be
unreasonably withheld or delayed. No Indemnifying Party shall, without the prior written consent of the Indemnified Party, effect any
settlement of any pending Proceeding in respect of which any Indemnified Party is a party, unless such settlement includes an unconditional
release of such Indemnified Party from all liability on claims that are the subject matter of such Proceeding.

 

    	A-6

    	 

    

 

(c)
All out-of-pocket fees and expenses of the Indemnified Party (including reasonable fees and expenses to the extent incurred in connection
with investigating or preparing to defend such Proceeding in a manner not inconsistent with this Section) shall be paid to the Indemnified
Party, as incurred, within twenty (20) Business Days of written notice thereof to the Indemnifying Party (regardless of whether it is
ultimately determined that an Indemnified Party is not entitled to indemnification hereunder; provided, that the Indemnifying Party may
require such Indemnified Party to undertake to reimburse all such fees and expenses to the extent it is finally judicially determined
that such Indemnified Party is not entitled to indemnification hereunder).

 

4.4
Contribution.

 

(a)
If a claim for indemnification under Section 4.1 or 4.2 is unavailable to an Indemnified Party because of a failure or refusal
of a governmental authority to enforce such indemnification in accordance with its terms (by reason of public policy or otherwise), then
each Indemnifying Party, in lieu of indemnifying such Indemnified Party, shall contribute to the amount paid or payable by such Indemnified
Party as a result of such Losses, in such proportion as is appropriate to reflect the relative fault of the Indemnifying Party and Indemnified
Party in connection with the actions, statements or omissions that resulted in such Losses as well as any other relevant equitable considerations.
The relative fault of such Indemnifying Party and Indemnified Party shall be determined by reference to, among other things, whether
any action in question, including any untrue or alleged untrue statement of a material fact or omission or alleged omission of a material
fact, has been taken or made by, or relates to information supplied by, such Indemnifying Party or Indemnified Party, and the parties’
relative intent, knowledge, access to information and opportunity to correct or prevent such action, statement or omission. The amount
paid or payable by a party as a result of any Losses shall be deemed to include, subject to the limitations set forth in Section 4.3,
any reasonable attorneys’ or other reasonable fees or expenses incurred by such party in connection with any Proceeding to the
extent such party would have been indemnified for such fees or expenses if the indemnification provided for in this Section was available
to such party in accordance with its terms.

 

(b)
The parties hereto agree that it would not be just and equitable if contribution pursuant to this Section 4.4 were determined
by pro rata allocation or by any other method of allocation that does not take into account the equitable considerations referred to
in the immediately preceding paragraph. No Person guilty of fraudulent misrepresentation (within the meaning of Section 11(f) of the
Securities Act) shall be entitled to contribution from any Person who was not guilty of such fraudulent misrepresentation.

 

(c)
The indemnity and contribution agreements contained in this Section are in addition to any liability that the Indemnifying Parties may
have to the Indemnified Parties. Notwithstanding anything to the contrary contained herein, the Holders shall be liable under this Section
4.4 for only that amount as does not exceed the aggregate amount invested by such Holder under the Loan Agreement.

 

5
Rule 144.

 

As
long as any Holder owns any Registrable Securities, Borrower Representative covenants to use its commercially reasonable efforts to timely
file (or obtain extensions in respect thereof and file within the applicable grace period) all reports required to be filed by Borrower
Representative after the date hereof pursuant to Section 13(a) or 15(d) of the Exchange Act. As long as any Holder owns any Registrable
Securities, if Borrower Representative is not required to file reports pursuant to Section 13(a) or 15(d) of the Exchange Act, it will
prepare and furnish to the Holders and make publicly available in accordance with Rule 144 annual and quarterly financial statements,
together with a discussion and analysis of such financial statements in form and substance substantially similar to those that would
otherwise be required to be included in reports required by Section 13(a) or 15(d) of the Exchange Act, as well as any other information
required thereby, in the time period that such filings would have been required to have been made under the Exchange Act. Borrower Representative
further covenants that it will take such further action as any Holder may reasonably request, all to the extent required from time to
time to enable such Person to sell the Shares without registration under the Securities Act within the limitation of the exemptions provided
by Rule 144 promulgated under the Securities Act, including providing any legal opinions relating to such sale pursuant to Rule 144.
Upon the request of any Holder, Borrower Representative shall deliver to such Holder a written certification of a duly authorized officer
as to whether it has complied with such requirements.

 

    	A-7

    	 

    

 

6
Miscellaneous.

 

6.1
Remedies. In the event of a breach by Borrower Representative or by a Holder, of any of their obligations under this Agreement,
each Holder or Borrower Representative, as the case may be, in addition to being entitled to exercise all rights granted by law and under
this Agreement, including recovery of damages, will be entitled to specific performance of its rights under this Agreement. Borrower
Representative and each Holder agree that monetary damages would not provide adequate compensation for any losses incurred by reason
of a breach by it of any of the provisions of this Agreement and hereby further agrees that, in the event of any action for specific
performance in respect of such breach, it shall waive the defense that a remedy at law would be adequate.

 

6.2
Assignment of Registration Rights. The rights of each Holder hereunder, including the right to have Borrower Representative
register for resale Registrable Securities in accordance with the terms of this Agreement, shall be assignable by each Holder of all
or a portion of the Registrable Securities if: (i) the Holder agrees in writing with the transferee or assignee to assign such rights,
and a copy of such agreement is furnished to Borrower Representative within a reasonable time after such assignment, (ii) Borrower Representative
is, within a reasonable time after such transfer or assignment, furnished with written notice of (a) the name and address of such transferee
or assignee, and (b) the securities with respect to which such registration rights are being transferred or assigned, (iii) following
such transfer or assignment the further disposition of such securities by the transferee or assignees is restricted under the Securities
Act and applicable state securities laws, and (iv) at or before the time Borrower Representative receives the written notice contemplated
by clause (ii) of this Section, the transferee or assignee agrees in writing with Borrower Representative to be bound by all of the provisions
of this Agreement. The rights to assignment shall apply to the Holders (and to subsequent) successors and assigns.

 

6.3
Notices and Communications to Holders. Unless otherwise indicated in a written notice by Administrative Agent to Borrower
Representative, Borrower Representative may deliver all notices, materials and other correspondence that is permitted or required to
be delivered to Holders to Administrative Agent in accordance with Section 10 of the Agreement, and Administrative Agent shall promptly
deliver the same to Holders.

 

    	A-8

    	 

    

 

PLAN
OF DISTRIBUTION

 

The
sellers of shares pursuant to this Registration Statement (the “Selling Stockholders”) and any of their pledgees, donees,
transferees, assignees or other successors-in-interest may, from time to time, sell, transfer or otherwise dispose of any or all of their
shares of Common Stock or interests in shares of Common Stock on any stock exchange, market or trading facility on which the shares are
traded or in private transactions. These dispositions may be at fixed prices, at prevailing market prices at the time of sale, at prices
related to the prevailing market price, at varying prices determined at the time of sale, or at negotiated prices. The Selling Stockholders
may use one or more of the following methods when disposing of the shares or interests therein:

 

		●	ordinary
                                            brokerage transactions and transactions in which the broker-dealer solicits purchasers;
	 	 	 
		●	block
                                            trades in which the broker-dealer will attempt to sell the shares as agent but may position
                                            and resell a portion of the block as principal to facilitate the transaction;
	 	 	 
		●	purchases
                                            by a broker-dealer as principal and resale by the broker-dealer for its account;
	 	 	 
		●	an
                                            exchange distribution in accordance with the rules of the applicable exchange;
	 	 	 
		●	privately
                                            negotiated transactions;
	 	 	 
		●	through
                                            the writing or settlement of options, swaps, derivatives or other hedging transactions, whether
                                            through an options exchange or otherwise;
	 	 	 
		●	broker-dealers
                                            may agree with the Selling Stockholders to sell a specified number of such shares at a stipulated
                                            price per share;
	 	 	 
		●	in
                                            the over the counter market;
	 	 	 
		●	a
                                            combination of any such methods of disposition; and
	 	 	 
		●	any
                                            other method permitted pursuant to applicable law.

 

The
Selling Stockholders may also sell shares under Rule 144 under the Securities Act, if available, rather than under this prospectus.

 

Broker-dealers
engaged by the Selling Stockholders may arrange for other broker-dealers to participate in sales. Broker-dealers may receive commissions
or discounts from the Selling Stockholders (or, if any broker-dealer acts as agent for the purchaser of shares, from the purchaser) in
amounts to be negotiated, but, except as set forth in a supplement to this prospectus, in the case of an agency transaction will not
be in excess of a customary brokerage commission in compliance with FINRA Rule 2440; and in the case of a principal transaction a markup
or markdown in compliance with FINRA IM-2440 or the successor to such FINRA rules.

 

The
Selling Stockholders may from time to time pledge or grant a security interest in some or all of the Shares owned by them and, if they
default in the performance of their secured obligations, the pledgees or secured parties may offer and sell shares of Common Stock from
time to time under the prospectus, or under an amendment to the prospectus under Rule 424(b) or other applicable provision of the Securities
Act of 1933, as amended (the “Securities Act”), amending the list of selling stockholders to include the pledgee, transferee
or other successors in interest as selling stockholders under the prospectus. The Selling Stockholders do not expect these commissions
and discounts to exceed what is customary in the types of transactions involved.

 

There
can be no assurance that any Selling Stockholder will sell any or all of the shares of Common Stock pursuant to the registration statement,
of which this prospectus forms a part.

 

    	A-9

    	 

    

 

The
Selling Stockholders may enter into option or other transactions with broker-dealers or other financial institutions or the creation
of one or more derivative securities which require the delivery to such broker-dealer or other financial institution of shares offered
by the prospectus, which shares such broker-dealer or other financial institution may resell pursuant to the prospectus (as supplemented
or amended to reflect such transaction).

 

The
Selling Stockholders and any broker-dealer or agents that are involved in selling the shares of Common Stock may be deemed to be “underwriters”
within the meaning of the Securities Act in connection with such sales. In such event, any commissions received by such broker-dealers
or agents and any profit on the resale of Common Stock purchased by them may be deemed to be underwriting commissions or discounts under
the Securities Act. In no event shall any broker-dealer receive fees, commissions and markups which, in the aggregate, would exceed eight
percent (8%). Each Selling Stockholder has informed Borrower Representative that it does not have any written or oral agreement or understanding,
directly or indirectly, with any person to distribute the Common Stock.

 

We
have advised each Selling Stockholder that it may not use shares registered on the registration statement of which this prospectus is
a part to cover short sales of Common Stock made prior to the date on which the registration statement shall have been declared effective
by the Securities and Exchange Commission. If a Selling Stockholder uses this prospectus for any sale of shares of our Common Stock,
it will be subject to the prospectus delivery requirements of the Securities Act. The Selling Stockholders and any other person participating
in such distribution will be subject to applicable provisions of the Securities Exchange Act of 1934, as amended, and the rules and regulations
promulgated thereunder, including, without limitation, Regulation M of the Exchange Act, which may limit the timing of purchases and
sales of any of the shares of Common Stock by the Selling Stockholders and any other participating person. Regulation M may also restrict
the ability of any person engaged in the distribution of the shares of Common Stock to engage in market-making activities with respect
to the shares of Common Stock. All of the foregoing may affect the marketability of the shares of Common Stock and the ability of any
person or entity to engage in market-making activities with respect to the shares of Common Stock.

 

We
may indemnify the Selling Stockholders against certain liabilities, including some liabilities under the Securities Act, in accordance
with an agreement between us and the Selling Stockholders. We may be indemnified by the Selling Stockholders against civil liabilities,
including liabilities under the Securities Act, that may arise from any written information furnished to us by the Selling Stockholders
specifically for use in this prospectus, in accordance with the related registration rights agreement, or we may be entitled to contribution.

 

    	A-10

    	 

    

 

Annex
B

 

VBI
VACCINES INC.

 

Selling
Stockholder Notice and Questionnaire

 

The
undersigned beneficial owner of common stock, $[____________] par value per share (the “Common Stock”), of VBI
VACCINES iNC. (the “Company”, and such shares of Common Stock, the “Registrable Securities”)
understands that the Company has filed or intends to file with the Securities and Exchange Commission (the “SEC”)
a registration statement (the “Registration Statement”) for the registration and resale under Rule 415 of the Securities
Act of 1933, as amended (the “Securities Act”), of the Registrable Securities, in accordance with the terms of the
Loan and Guaranty Agreement, dated as of May 22, 2020 (the “Agreement”), by and among the Company, the other Loan Parties
party thereto, the lenders from time to time party thereto, K2 HEALTHVENTURES LLC, as administrative agent for the lenders, and ANKURA
TRUST COMPANY, LLC, as collateral agent for the lenders. The purpose of this Questionnaire is to facilitate the filing of the Registration
Statement under the Securities Act that will permit you to resell the Registrable Securities in the future. The information supplied
by you will be used in preparing the Registration Statement. All capitalized terms not otherwise defined herein shall have the meanings
ascribed thereto in the Agreement.

 

Certain
legal consequences arise from being named as a selling stockholder in the Registration Statement and the related Prospectus. Accordingly,
holders and beneficial owners of Registrable Securities are advised to consult their own securities law counsel regarding the consequences
of being named or not being named as a selling stockholder in the Registration Statement and the related Prospectus.

 

NOTICE

 

The
undersigned beneficial owner (the “Selling Stockholder”) of Registrable Securities hereby elects to include the Registrable
Securities owned by it and listed below in Item 3 (unless otherwise specified under such Item 3) in the Registration Statement.

 

QUESTIONNAIRE

 

1.
Name.

 

	 	(a)	Full
    Legal Name of Selling Stockholder
	 	 	 
	 	 	 
	 	 	 
	 	(b)	Full
    Legal Name of Registered Holder (if not the same as (a) above) through which Registrable Securities listed in Item 3 below are held:
	 	 	 
	 	 	 
	 	 	 
	 	(c)	Full
    Legal Name of Natural Control Person (which means a natural person who directly or indirectly alone or with others has power to vote
    or dispose of the securities covered by this questionnaire):
	 	 	 
	 	 	 

 

    	 

    	 

    

 

2.
Address for Notices to Selling Stockholder:

 

	 
	 

                                                                                 

	 

                                                                                 

	 

                                                         Telephone:

                                                          

                                                         ________________________________________________________________________________________________

	 

                                                         Fax:

                                                          

                                                         ________________________________________________________________________________________________

	 

                                                         Contact
                                            Person:

                                                          

                                                         ________________________________________________________________________________________________

	

                                                          

                                                         E-mail address of Contact Person:________________________________________________

 

3.
Beneficial Ownership of Registrable Securities:

 

	 	(a)	Type
    and Number of Registrable Securities beneficially owned:
	 	 	 
	 	 	 
	 	 	 
	 	 	 

 

4.
Broker-Dealer Status:

 

	 	(a)	Are
    you a broker-dealer?

 

Yes
☐       No ☐

 

	 	Note:	If
    yes, the SEC’s staff has indicated that you should be identified as an underwriter in the Registration Statement.
	 	 	 
	 	(b)	Are
    you an affiliate of a broker-dealer?

 

Yes
☐       No ☐

 

	 	Note:	If
    yes, provide a narrative explanation below:
	 	 	 
	 	 	 
	 	 	 
	 	 	 

 

    	 

    	 

    

 

	 	(c)	If
    you are an affiliate of a broker-dealer, do you certify that you bought the Registrable Securities in the ordinary course of business,
    and at the time of the purchase of the Registrable Securities to be resold, you had no agreements or understandings, directly or
    indirectly, with any person to distribute the Registrable Securities?

 

Yes
☐        No ☐

 

	 	Note:	If
    no, the SEC’s staff has indicated that you should be identified as an underwriter in the Registration Statement.

 

5.
Beneficial Ownership of Other Securities of the Company Owned by the Selling Stockholder.

 

Except
as set forth below in this Item 5, the undersigned is not the beneficial or registered owner of any securities of the Company other than
the Registrable Securities listed above in Item 3.

 

	 	(a)	As
    of ___________, 201___, the Selling Stockholder owned outright (including shares registered in Selling Stockholder’s name individually
    or jointly with others, shares held in the name of a bank, broker, nominee, depository or in “street name” for its account),
    _________ shares of the Company’s capital stock (excluding the Registrable Securities). If “zero,” please so state.
    
	 	 	 
	 	(b)	In
    addition to the number of shares Selling Stockholder owned outright as indicated in Item 5(a) above, as of ________________, 201___,
    the Selling Stockholder had or shared voting power or investment power, directly or indirectly, through a contract, arrangement,
    understanding, relationship or otherwise, with respect to ______________ shares of the Company’s capital stock (excluding the
    Registrable Securities). If “zero,” please so state.
	 	 	 
	 	 	If
    the answer to Item 5(b) is not “zero,” please complete the following tables:

 

Sole
Voting Power:

 

	Number
    of Shares	 	Nature
of Relationship	 	Resulting in Sole Voting Power
	 	 	 	 	 
	 	 	 	 	 

 

Shared
Voting Power:

 

	Number
    of Shares	 	With
    Whom Shared	 	Nature
    of Relationship
	 	 	 	 	 
	 	 	 	 	 

 

Sole
Investment power:

 

	Number
    of Shares	 	Nature
    of Relationship	 	Resulting in Sole Investment power
	 	 	 	 	 
	 	 	 	 	 

 

    	 

    	 

    

 

Shared
Investment power:

 

	Number
    of Shares	 	With
    Whom Shared	 	Nature
    of Relationship
	 	 	 	 	 
	 	 	 	 	 

 

	 	(c)	As
    of _____________, 201___, the Selling Stockholder had the right to acquire the following shares of the Company’s common stock
    pursuant to the exercise of outstanding stock options, warrants or other rights (excluding the Registrable Securities). Please describe
    the number, type and terms of the securities, the method of ownership, and whether the undersigned holds sole or shared voting and
    investment power. If “none”, please so state.
	 	 	 
	 	 	
	 	 	

 

6.
Relationships with the Company:

 

	 	Except
    as set forth below, neither the undersigned nor any of its affiliates, officers, directors or principal equity holders (owners of
    5% of more of the equity securities of the undersigned) has held any position or office or has had any other material relationship
    with the Company (or its predecessors or affiliates) during the past three years.
	 	 
	 	State
    any exceptions here:
	 	 
	 	
	 	

 

7.
Plan of Distribution:

 

	 	The
    undersigned has reviewed the form of Plan of Distribution attached as Annex A, and hereby confirms that, except as set forth
    below, the information contained therein regarding the undersigned and its plan of distribution is correct and complete.
	 	 
	 	State
    any exceptions here:
	 	 
	 	
	 	

 

***********

 

    	 

    	 

    

 

The
undersigned agrees to promptly notify the Company of any inaccuracies or changes in the information provided herein that may occur subsequent
to the date hereof and prior to the effective date of any applicable Registration Statement filed pursuant to the Agreement.

 

By
signing below, the undersigned consents to the disclosure of the information contained herein in its answers to Items 1 through 7 and
the inclusion of such information in each Registration Statement filed pursuant to the Agreement and each related Prospectus. The undersigned
understands that such information will be relied upon by the Company in connection with the preparation or amendment of any such Registration
Statement and the related Prospectus.

 

By
signing below, the undersigned acknowledges that it understands its obligation to comply, and agrees that it will comply, with the provisions
of the Exchange Act and the rules and regulations thereunder, particularly Regulation M. The undersigned also acknowledges that it understands
that the answers to this Questionnaire are furnished for use in connection with Registration Statements filed pursuant to the Agreement
and any amendments or supplements thereto filed with the SEC pursuant to the Securities Act.

 

The
undersigned hereby acknowledges and is advised of the following Interpretation A.65 of the July 1997 SEC Manual of Publicly Available
Telephone Interpretations regarding short selling:

 

“An
Issuer filed a Form S-3 registration statement for a secondary offering of common stock which is not yet effective. One of the selling
shareholders wanted to do a short sale of common stock “against the box” and cover the short sale with registered shares
after the effective date. The issuer was advised that the short sale could not be made before the registration statement become effective,
because the shares underlying the short sale are deemed to be sold at the time such sale is made. There would, therefore, be a violation
of Section 5 if the shares were effectively sold prior to the effective date.”

 

By
returning this Questionnaire, the undersigned will be deemed to be aware of the foregoing interpretation.

 

I
confirm that, to the best of my knowledge and belief, the foregoing statements (including without limitation the answers to this Questionnaire)
are correct.

 

IN
WITNESS WHEREOF the undersigned, by authority duly given, has caused this Questionnaire to be executed and delivered either in person
or by its duly authorized agent.

 

	Dated:	 	 	Beneficial
    Owner:	 

 

	 	By:	 
	 	Name:	
	 	Title:	 

 

    	 

    	 

    

 

Schedule
5

 

Minimum
net revenue schedule

 

	Measurement
    Period – T6M ending	 	Minimum
    Net Revenue
	September
    30, 2023, and December 31, 2023	 	75%
    of projected Net Revenue as set forth in the Projections, which have been delivered to Administrative Agent as of the Second Amendment
    Effective Date
	March
    29, 2024 and the last day of each fiscal quarter thereafter	 	75%
    of projected Net Revenue as set forth in the Projections

 

    	 

     

    

 

SCHEDULE
1

 

AMENDMENT
DOCUMENTS

 

		1.	An
                                            Affirmation of Israeli Security Documents, duly executed by Israeli Loan Parties, including
                                            without limitation, (a) Second Amendment to Debenture - Fixed Charge Agreement, and (b) Second
                                            Amendment to Debenture - Floating Charge Agreement, and (c) the forms required to be submitted
                                            to the applicable Israeli Governmental Authority in connection therewith
	 	 	 
		2.	An
                                            Affirmation of Canadian Security Documents, duly executed by Canadian Loan Parties.

 

    	Schedule 1Exhibit
10.2

 

THIS
WARRANT AND THE WARRANT SHARES ISSUABLE HEREUNDER HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”),
OR THE SECURITIES LAWS OF ANY STATE OR FOREIGN SECURITIES LAWS AND, EXCEPT AS SET FORTH IN Sections
6.1 and 6.2 BELOW, MAY NOT BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED UNLESS AND UNTIL REGISTERED UNDER SAID ACT AND
LAWS OR IN A TRANSACTION EXEMPT FROM REGISTRATION AND PROSPECTUS DELIVERY REQUIREMENTS UNDER THE ACT.

 

WARRANT
TO PURCHASE SHARES OF COMMON STOCK

 

(SECOND
AMENDMENT TO LOAN AND GUARANTY AGREEMENT)

 

	Company:	 	VBI
    Vaccines Inc., a corporation existing pursuant
    to the laws of British Columbia.
	 	 	 
	Class
    of Stock:	 	Common
    Stock
	 	 	 
	Number
    of Warrant Shares:	 	A
    number equal to the Warrant Coverage Amount divided by the Warrant Price, as in effect from time to time.
	 	 	 
	Warrant
    Coverage Amount:	 	A
    number equal to the aggregate original principal amount of the Term Loans actually funded by Lenders pursuant to the Loan Agreement,
    multiplied by 3.50% pursuant to the Loan Agreement.
	 	 	 
	Warrant
    Price:	 	$0.8026
	 	 	 
	Issue
    Date:	 	September
    14, 2022
	 	 	 
	Expiration
    Date:	 	10
    years from the Issue Date.
	 	 	 
	Loan
    Agreement:	 	This
    Warrant to Purchase Shares of Common Stock (“Warrant”) is issued in connection with, and as consideration of the
    commitments pursuant to, that certain Second Amendment to Loan and Guaranty Agreement and Affirmation of Pledge and Security Agreement
    (the “Second Amendment”) of even date herewith among the Company and certain other borrowers and guarantors from
    time to time party thereto, K2 HealthVentures LLC, as administrative agent for the lenders, Ankura Trust Company, LLC, as collateral
    agent for lenders, and the lenders party thereto, amending that certain Loan and Guaranty Agreement, dated as of May 22, 2020 (as
    further amended, restated, supplemented or otherwise modified from time to time, the “Loan Agreement”). Capitalized
    terms used herein without definition, shall have the meanings set forth in the Loan Agreement.

 

This
WARRANT TO PURCHASE Common STOCK certifies that, for good and valuable consideration,
K2 HEALTHVENTURES EQUITY TRUST LLC (together with any successor or permitted assignee
or transferee of this Warrant or of any shares issued upon exercise hereof, “Holder”) is entitled to purchase the
number of fully paid and non-assessable shares of the above-stated class, series and type of stock of the above-named company (the “Company”)
at the above-stated Warrant Price, all as set forth above and as adjusted pursuant to Section 2 of this Warrant, subject to the
provisions and upon the terms and conditions set forth in this Warrant.

 

    	1

     

    

 

SECTION
1 DEFINITIONS.

 

As
used in this Warrant, the following terms have the following meanings:

 

“Acknowledgement”
has the meaning set forth in Section 3.5.

 

“Aggregate
Warrant Price” means, with respect to any exercise of this Warrant, an amount equal to the product of (i) the number of Warrant
Shares in respect of which this Warrant is then being exercised pursuant to Section 3 hereof, multiplied by (ii) the applicable
Warrant Price in effect as of the Exercise Date.

 

“Assignment”
has the meaning set forth in Section 6.1.

 

“Board”
means the board of directors of the Company.

 

“Business
Day” means any day which is neither a Saturday or Sunday nor a legal holiday on which banks are authorized or required to be
closed in New York, New York.

 

“Commission”
means the Securities and Exchange Commission or any other federal agency administering the Securities Act and the Exchange Act at the
time.

 

“Common
Stock” means the common stock, no par value, of the Company, and any capital stock into which such Common Stock shall have
been converted, exchanged or reclassified following the date hereof.

 

“Company”
has the meaning set forth in the preamble.

 

“Convertible
Securities” means any securities, whether debt, equity or other securities (directly or indirectly) convertible into or exchangeable
for Common Stock, but excluding Options.

 

“Covered
Persons” has the meaning set forth in Section 3.9.

 

“Disqualification
Events” has the meaning set forth in Section 3.9.

 

“Dollars”
or “$” refers to lawful money of the United States of America.

 

“Exercise
Date” means, for any given exercise of this Warrant, the date on which the conditions to such exercise as set forth in Section
3 shall have been satisfied at or prior to 5:00 p.m., New York time, on a Business Day, including, without limitation, the receipt
by the Company of a Subscription Agreement, the Warrant and the Aggregate Warrant Price.

 

“Exercise
Period” has the meaning set forth in Section 2.

 

“Expiration
Date” has the meaning set forth in the preamble.

 

“Fair
Market Value” means, as of any particular date: (i) the volume weighted average of the closing sales prices of the Common Stock
for such day on all domestic securities exchanges on which the Common Stock may at the time be listed; (ii) if there have been no sales
of the Common Stock on any such exchange on any such day, the average of the highest bid and lowest asked prices for the Common Stock
on all such exchanges at the end of such day; (iii) if on any such day the Common Stock is not listed on a domestic securities exchange,
the closing sales price of the Common Stock as quoted on Nasdaq, the OTC Bulletin Board, the “pink sheets” or similar quotation
system or association for such day; or (iv) if there have been no sales of the Common Stock on Nasdaq, the OTC Bulletin Board, the “pink
sheets” or similar quotation system or association on such day, the average of the highest bid and lowest asked prices for the
Common Stock quoted on Nasdaq, the OTC Bulletin Board, the “pink sheets” or similar quotation system or association at the
end of such day, in each case, averaged over twenty (20) consecutive Business Days ending on the Business Day immediately prior to the
day as of which “Fair Market Value” is being determined; provided, that if the Common Stock is listed on any domestic securities
exchange, the term “Business Day” as used in this sentence means Business Days on which such exchange is open for trading.
If at any time the Common Stock is not listed on any domestic securities exchange or quoted on Nasdaq, the OTC Bulletin Board, the “pink
sheets” or similar quotation system or association, the “Fair Market Value” of the Common Stock shall be the fair market
value per share as determined jointly by the Board and the Holder, subject to Section 3.10 hereof.

 

    	2

     

    

 

“Holder”
has the meaning set forth in the preamble.

 

“Indemnified
Liabilities” has the meaning set forth in Section 14.2.

 

“Indemnitees”
has the meaning set forth in Section 14.2.

 

“Inspectors”
has the meaning set forth in Section 5.2(h).

 

“Nasdaq”
means The Nasdaq Stock Market, Inc.

 

“Options”
means any warrants or other rights or options to subscribe for or purchase Common Stock or Convertible Securities.

 

“OTC
Bulletin Board” means the National Association of Securities Dealers, Inc. OTC Bulletin Board.

 

“Person”
means any individual, sole proprietorship, partnership, limited liability company, corporation, joint venture, trust, incorporated organization
or government or department or agency thereof.

 

“Piggyback
Registration” has the meaning set forth in Section 5.1(a).

 

“Prospectus”
means the prospectus or prospectuses included in any Registration Statement, as amended or supplemented by any prospectus supplement
with respect to the terms of the offering of any portion of the Registrable Securities covered by such Registration Statement and by
all other amendments and supplements to the prospectus, including post-effective amendments and all material incorporated by reference
in such prospectus or prospectuses.

 

“Records”
has the meaning set forth in Section 5.2(h).

 

“Registrable
Securities” means (x) any shares of Common Stock held by any Person or issuable upon conversion, exercise or exchange of any
securities owned by any Person at any time (including Warrant Shares exercisable upon exercise of this Warrant), and (y) any shares of
Common Stock issued or issuable with respect to any shares described in subsection (x) above by way of a stock dividend or stock
split or in connection with a combination of shares, recapitalization, merger, consolidation or other reorganization (it being understood
that for purposes of this Warrant, a Person shall be deemed to be a holder of Registrable Securities whenever such Person has the right
to then acquire or obtain from the Company any Registrable Securities, whether or not such acquisition has actually been effected). As
to any particular Registrable Securities, such securities shall cease to be Registrable Securities when (i) a Registration Statement
covering such securities has been declared effective by the Commission and such securities have been disposed of pursuant to such effective
Registration Statement, (ii) such securities are sold under circumstances in which all of the applicable conditions of Rule 144 (or any
similar provisions then in force) under the Securities Act are met, (iii) such securities are otherwise transferred and such securities
may be resold without subsequent registration under the Securities Act, or (iv) such securities shall have ceased to be outstanding.

 

“Registration
Statement” means any registration statement of the Company which covers any of the Registrable Securities pursuant to the provisions
of this Agreement, including the Prospectus, amendments and supplements to such Registration Statement, including post- effective amendments,
all exhibits and all materials incorporated by reference in such Registration Statement.

 

“Securities
Act” means the Securities Act of 1933, as amended.

 

“Solicitor”
has the meaning set forth in Section 3.9.

 

    	3

     

    

 

“Subscription
Agreement” means a subscription agreement in substantially the form attached hereto as Exhibit A.

 

“Warrant”
has the meaning set forth in the preamble.

 

“Warrant
Price” has the meaning set forth in the preamble.

 

“Warrant
Shares” means shares of the Common Stock of the Company purchasable upon exercise of this Warrant.

 

SECTION
2 TERM OF WARRANT.

 

Subject
to the terms and conditions hereof, at any time or from time to time after the date hereof up to and including 5:00 p.m., New York time,
on the Expiration Date (or, if such day is not a Business Day, on the next preceding Business Day) (such period, the “Exercise
Period”), the Holder of this Warrant may exercise this Warrant for all or any part of the Warrant Shares (subject to adjustment
as provided herein).

 

SECTION
3 EXERCISE OF WARRANT.

 

3.1
Exercise Procedure. This Warrant may be exercised from time to time on any Business Day during the Exercise Period, for all or
any part of the unexercised Warrant Shares, upon:

 

(a)
surrender of this Warrant (if, but only if, this Warrant is being exercised in full) to the Company at its then principal executive offices
(or an indemnification undertaking with respect to this Warrant in the case of its loss, theft or destruction), together with one or
more Subscription Agreements, duly completed (including specifying the number and type of Warrant Shares to be purchased) and executed;
and

 

(b)
payment to the Company of the Aggregate Warrant Price in accordance with Section 3.2.

 

3.2
Method of Payment of the Aggregate Warrant Price. Payment of the Aggregate Warrant Price shall be made, at the option of the Holder
as expressed in one or more Subscription Agreements, by the following methods:

 

(a)
by delivery to the Company of a certified bank check payable to the order of the Company or by wire transfer of immediately available
funds to an account designated in writing by the Company, in the amount of such Aggregate Warrant Price (representing a cashless exercise);

 

(b)
by instructing the Company to withhold a number of Warrant Shares then issuable upon exercise of this Warrant with an aggregate Fair
Market Value as of the Exercise Date equal to such Aggregate Warrant Price; or

 

(c)
any combination of the foregoing.

 

In
the event of any withholding of Warrant Shares pursuant to clause (b) above where the number of Warrant Shares whose value is
equal to the Aggregate Warrant Price is not a whole number, the number of Warrant Shares withheld by the Company shall be rounded up
to the nearest whole share and the Company shall make a cash payment to the Holder (by delivery of a certified or official bank check
or by wire transfer of immediately available funds) based on the incremental fraction of a Warrant Share being so withheld by the Company
in an amount equal to the product of (x) such incremental fraction of a Warrant Share being so withheld multiplied by (y) the Fair Market
Value per Warrant Share as of the Exercise Date; provided that such valuation shall be subject to Section 3.10.

 

    	4

     

    

 

3.3
Delivery of Stock Certificates. Upon receipt by the Company of a Subscription Agreement, surrender of this Warrant (if, but only
if, this Warrant is being exercised in full) and payment of the Aggregate Warrant Price (in accordance with Section 3.2 hereof),
the Company shall, as promptly as practicable, and in any event within three (3) Business Days thereafter, deliver (or cause to be delivered)
to the Holder the Warrant Shares issuable upon such exercise, together with cash in lieu of any fraction of a Warrant Share, as provided
in Section 3.4 hereof. The Warrant Shares shall be registered in the name of the Holder or, subject to compliance with Section
6.1 below, such other Person’s name as shall be designated in the Subscription Agreement. This Warrant shall be deemed to have
been exercised (in whole or in part, as the case may be) and such Warrant Shares shall be deemed to have been issued, and the Holder
or any other Person so designated to be named therein shall be deemed to have become a holder of record of such Warrant Shares for all
purposes, as of the Exercise Date.

 

3.4
Fractional Shares. The Company shall not be required to issue a fractional Warrant Share upon exercise of any Warrant. As to any
fraction of a Warrant Share that the Holder would otherwise be entitled to purchase upon such exercise, the Company shall pay to such
Holder an amount in cash (by delivery of a certified or official bank check or by wire transfer of immediately available funds) equal
to the product of (i) such fraction multiplied by (ii) the Fair Market Value of one Warrant Share on the Exercise Date.

 

3.5
Acknowledgement; Partial Exercise. Unless the purchase rights represented by this Warrant shall have expired or shall have been
fully exercised, the Company shall, at the time of delivery of the Warrant Shares being issued in accordance with Section 3.3
hereof, deliver to the Holder promptly an acknowledgement in substantially the form attached hereto as Exhibit B (each, an “Acknowledgement”)
indicating the number and type of Warrant Shares which remain issuable upon exercise of this Warrant, if any.

 

3.6
Representations, Warranties and Covenants. With respect to the exercise of this Warrant, the Company hereby represents, covenants
and agrees:

 

(a)
This Warrant is, and any Warrant issued in substitution for or replacement of this Warrant shall be, upon issuance, duly authorized and
validly issued.

 

(b)
All Warrant Shares issuable upon the exercise of this Warrant pursuant to the terms hereof shall be, upon issuance, and the Company shall
take all such actions as may be necessary or appropriate in order that such Warrant Shares are, validly issued, fully paid and non-assessable,
issued without violation of any preemptive or similar rights of any stockholder of the Company and free and clear of all taxes, liens
and charges.

 

(c)
The Company shall take all such actions as may be necessary to ensure that all such Warrant Shares are issued without violation by the
Company of any applicable law or governmental regulation or any requirements of any domestic securities exchange upon which shares of
Common Stock or other securities constituting Warrant Shares may be listed at the time of such exercise (except for official notice of
issuance which shall be immediately delivered by the Company upon each such issuance).

 

(d)
Without in any way limiting Section 5 hereof, the Company shall use its best efforts to cause the Warrant Shares, immediately
upon such exercise, to be listed on any domestic securities exchange upon which shares of Common Stock are listed at the time of such
exercise.

 

(e)
The Company shall pay all expenses in connection with, and all taxes and other governmental charges that may be imposed with respect
to, the issuance or delivery of Warrant Shares upon exercise of this Warrant; provided, that the Company shall not be required
to pay any tax or governmental charge that may be imposed with respect to any applicable withholding or the issuance or delivery of the
Warrant Shares to any Person other than the Holder, and no such issuance or delivery shall be made unless and until the Person requesting
such issuance has paid to the Company the amount of any such tax, if any, or has established to the satisfaction of the Company that
such tax has been paid.

 

3.7
Conditional Exercise. Notwithstanding any other provision hereof, if an exercise of any portion of this Warrant is to be made
in connection with a sale of the Company (pursuant to a merger, sale of stock, sale of assets or otherwise), such exercise may at the
election of the Holder be conditioned upon the consummation of such transaction, in which case such exercise shall not be deemed to be
effective until immediately prior to the consummation of such transaction.

 

    	5

     

    

 

3.8
Reservation of Shares. During the Exercise Period, the Company shall at all times reserve and keep available out of its authorized
but unissued Common Stock or other securities constituting Warrant Shares, solely for the purpose of issuance upon the exercise of this
Warrant, the maximum number of Warrant Shares issuable upon the exercise of this Warrant, and the par value per Warrant Share shall at
all times be less than or equal to the lowest applicable Warrant Price. The Company shall not increase the par value of any Warrant Shares
receivable upon the exercise of this Warrant above the lowest Warrant Price then in effect, and shall take all such actions as may be
necessary or appropriate in order that the Company may validly and legally issue fully paid and nonassessable shares of Common Stock
upon the exercise of this Warrant.

 

3.9
No “Bad Actor” Disqualification. The Company has exercised reasonable care, in accordance with Commission rules and
guidance, to determine whether any Covered Person (as defined below) is subject to any of the “bad actor” disqualifications
described in Rule 506(d)(1)(i) through (viii) under the Securities Act (“Disqualification Events”). To the Company’s
knowledge, no Covered Person is subject to a Disqualification Event. The Company has complied, to the extent applicable, with all disclosure
obligations under Rule 506(e) under the Securities Act. “Covered Persons” are those persons specified in Rule 506(d)(1)
under the Securities Act, including the Company, any predecessor or affiliate of the Company, any director, executive officer, other
officer participating in the offering, general partner or managing member of the Company, any beneficial owner of 20% or more of the
Company’s outstanding voting equity securities, calculated on the basis of voting power, any promoter (as defined in Rule 405 under
the Securities Act) connected with the Company in any capacity at the time of the exercise of this Warrant, and any person that has been
or will be paid (directly or indirectly) remuneration for solicitation of purchasers in connection with the sale of any securities of
the Company (a “Solicitor”), any general partner or managing member of any Solicitor, and any director, executive
officer or other officer participating in the offering of any Solicitor or general partner or managing member of any such Solicitor.

 

3.10
Dispute Resolution. In the case of any dispute as to the determination of any closing sales price, the calculation of any Warrant
Price or Aggregate Warrant Price, the determination of Fair Market Value or any other computation or valuation required to be made hereunder
or in connection herewith, in the event the Holder, on the one hand, and the Company, on the other hand, are unable to settle such dispute
within five (5) Business Days, then either party may elect to submit the disputed matter(s) for resolution by a public accounting firm
as may be mutually agreed upon by the Holder and the Board. Such accounting firm’s determination of such disputed matter(s) shall
be binding upon all parties absent demonstrable error, and the Company and the Holder shall each pay one half of the fees and costs of
such firm.

 

SECTION
4 ADJUSTMENT TO WARRANT PRICE AND NUMBER OF WARRANT
SHARES.

 

The
Warrant Price and the number of Warrant Shares issuable upon exercise of this Warrant shall be subject to adjustment from time to time
as provided in this Section 4.

 

4.1
Dividends and Distributions of Non-Company Securities. If, at any time or from time to time after the Issue Date, the Company
makes or declares, or fixes a record date for the determination of holders of Common Stock entitled to receive, a dividend or any other
distribution payable in securities of the Company (other than a dividend or distribution of shares of Common Stock or Options or Convertible
Securities in each case in respect of Common Stock), cash or other property, then, and in each such event, provision shall be made so
that the Holder shall receive upon exercise in full of the Warrant, in addition to the number of Warrant Shares receivable thereupon,
the kind and amount of securities of the Company, cash or other property which the Holder would have been entitled to receive had the
Warrant been exercised in full into Warrant Shares on the date of such event and had the Holder thereafter, during the period from the
date of such event to and including the Exercise Date, retained such securities, cash or other property receivable by them as aforesaid
during such period, giving application to all adjustments called for during such period under this Section 4 with respect to the
rights of the Holder; provided that no such provision shall be made if the Holder receives, simultaneously with the distribution
to the holders of Common Stock, a dividend or other distribution of such securities, cash or other property in an amount equal to the
amount of such securities, cash or other property as the Holder would have received if the Warrant had been exercised in full into Warrant
Shares on the date of such event.

 

    	6

     

    

 

4.2
Adjustment to Warrant Price and Warrant Shares Upon Dividend, Subdivision or Combination of Common Stock. If the Company shall,
at any time or from time to time after the Issue Date, (i) pay a dividend or make any other distribution upon the Common Stock or any
other capital stock of the Company payable in shares of Common Stock or in Options or Convertible Securities (in each case in respect
of Common Stock), or (ii) subdivide (by any stock split, recapitalization or otherwise) its outstanding shares of Common Stock into a
greater number of shares, each Warrant Price in effect immediately prior to any such dividend, distribution or subdivision shall be proportionately
reduced and the number of Warrant Shares issuable upon exercise of this Warrant shall be proportionately increased. If the Company at
any time combines (by combination, reverse stock split or otherwise) its outstanding shares of Common Stock into a smaller number of
shares, each Warrant Price in effect immediately prior to such combination shall be proportionately increased and the number of Warrant
Shares issuable upon exercise of this Warrant shall be proportionately decreased. Any adjustment under this Section 4.2 shall
become effective at the close of business on the date the dividend, subdivision or combination becomes effective.

 

4.3
Adjustment to Warrant Price and Warrant Shares Upon Reorganization, Reclassification, Consolidation or Merger. In the event of
any (i) capital reorganization of the Company, (ii) reclassification of the stock of the Company (other than a change in par value or
from par value to no par value or from no par value to par value or as a result of a stock dividend or subdivision, split-up or combination
of shares), (iii) consolidation or merger of the Company with or into another Person, (iv) sale of all or substantially all assets of
the Company and its Subsidiaries (taken as a whole) to another Person, (v) Change in Control (as defined in the Loan Agreement), or (vi)
other similar transaction, in each case which entitles the holders of Common Stock to receive (either directly or upon subsequent liquidation)
cash, stock, securities or assets with respect to or in exchange for Common Stock, each Warrant shall, immediately after such reorganization,
reclassification, consolidation, merger, sale, Change in Control or similar transaction, remain outstanding and shall thereafter, in
lieu of or in addition to (as the case may be) the number of Warrant Shares then exercisable under this Warrant, be exercisable for the
amount of cash or the kind and number of shares of stock or other securities or assets of the Company or of the successor Person resulting
from such transaction to which the Holder would have been entitled upon such reorganization, reclassification, consolidation, merger,
sale, Change in Control or similar transaction if the Holder had exercised this Warrant in full immediately prior to the time of such
reorganization, reclassification, consolidation, merger, sale, Change in Control or similar transaction and acquired the applicable number
of Warrant Shares then issuable hereunder as a result of such exercise (without taking into account any limitations or restrictions on
the exercisability of this Warrant); and, in such case, appropriate adjustment (in form and substance satisfactory to the Holder) shall
be made with respect to the Holder’s rights under this Warrant to ensure that the provisions of this Section 4 hereof shall
thereafter be applicable, as nearly as possible, to this Warrant in relation to any cash, shares of stock, securities or assets thereafter
acquirable upon exercise of this Warrant (including, in the case of any consolidation, merger, sale, Change in Control or similar transaction
in which the successor or purchasing Person is other than the Company, an immediate adjustment in the Warrant Price to the value per
share for the Common Stock reflected by the terms of such consolidation, merger, sale, Change in Control or similar transaction, and
a corresponding immediate adjustment to the number of Warrant Shares acquirable upon exercise of this Warrant without regard to any limitations
or restrictions on exercise, if the value so reflected is less than the Warrant Price in effect immediately prior to such consolidation,
merger, sale, Change in Control or similar transaction). The provisions of this Section 4.3 shall similarly apply to successive
reorganizations, reclassifications, consolidations, mergers, sales, Changes in Control or similar transactions. The Company shall not
effect any such reorganization, reclassification, consolidation, merger, sale, Change in Control or similar transaction unless, prior
to the consummation thereof, the successor Person (if other than the Company) resulting from such reorganization, reclassification, consolidation,
merger, sale, Change in Control or similar transaction, shall assume, by written instrument substantially similar in form and substance
to this Warrant and satisfactory to the Holder, the obligation to deliver to the Holder such shares of stock, securities or assets which,
in accordance with the foregoing provisions, such Holder shall be entitled to receive upon exercise of this Warrant. Notwithstanding
anything to the contrary contained herein, with respect to any corporate event or other transaction contemplated by the provisions of
this Section 4.3, the Holder shall have the right to elect prior to the consummation of such event or transaction, to give effect
to the exercise rights contained in Section 2 instead of giving effect to the provisions contained in this Section 4.3
with respect to this Warrant.

 

    	7

     

    

 

4.4
Certain Events. If any event of the type contemplated by the provisions of this Section 4 but not expressly provided for
by such provisions occurs, then the Board shall make an appropriate adjustment in the Warrant Price and the number of Warrant Shares
issuable upon exercise of this Warrant so as to protect the rights of the Holder in a manner consistent with the provisions of this Section
4; provided that no such adjustment pursuant to this Section 4.4 shall increase the Warrant Price or decrease the number
of Warrant Shares issuable as otherwise determined pursuant to this Section 4.

 

4.5
Certificate as to Adjustment.

 

(a)
As promptly as reasonably practicable following any adjustment of the Warrant Price, but in any event not later than three (3) Business
Days thereafter, the Company shall furnish to the Holder a certificate of an executive officer setting forth in reasonable detail such
adjustment and the facts upon which it is based and certifying the calculation thereof.

 

(b)
As promptly as reasonably practicable following the receipt by the Company of a written request by the Holder, but in any event not later
than three (3) Business Days thereafter, the Company shall furnish to the Holder a certificate (in substantially the form of Exhibit
B) of an executive officer certifying the Warrant Price then in effect and the number and type of Warrant Shares or the amount, if
any, of other shares of stock, securities or assets then issuable upon exercise of the Warrant.

 

4.6
Notices. In the event:

 

(a)
that the Company shall take a record of the holders of its Common Stock (or other capital stock or securities at the time issuable upon
exercise of the Warrant) for the purpose of entitling or enabling them to receive any dividend or other distribution, to vote at a meeting
(or by written consent), to receive any right to subscribe for or purchase any shares of capital stock of any class or any other securities,
or to receive any other security; or

 

(b)
of any capital reorganization of the Company, any reclassification of the Common Stock of the Company, any consolidation or merger of
the Company with or into another Person, or sale of all or substantially all of the Company’s assets to another Person; or

 

(c)
of the voluntary or involuntary dissolution, liquidation or winding-up of the Company;

 

then,
and in each such case, the Company shall send or cause to be sent to the Holder at least ten (10) Business Days prior to the applicable
record date or the applicable expected effective date, as the case may be, for the event, a written notice specifying, as the case may
be, (A) the record date for such dividend, distribution, meeting or consent or other right or action, and a description of such dividend,
distribution or other right or action to be taken at such meeting or by written consent, or (B) the effective date on which such reorganization,
reclassification, consolidation, merger, sale, dissolution, liquidation or winding-up is proposed to take place, and the date, if any
is to be fixed, as of which the books of the Company shall close or a record shall be taken with respect to which the holders of record
of Common Stock (or such other capital stock or securities at the time issuable upon exercise of the Warrant) shall be entitled to exchange
their shares of Common Stock (or such other capital stock or securities) for securities or other property deliverable upon such reorganization,
reclassification, consolidation, merger, sale, dissolution, liquidation or winding-up, and the amount per share and character of such
exchange applicable to the Warrant and the Warrant Shares.

 

4.7
Purchase Rights. In addition to (and not in limitation or in lieu of) any adjustments pursuant to Section 4 above, if at
any time the Company grants, issues or sells any shares of Common Stock, Options, Convertible Securities or rights to purchase stock,
warrants, securities or other property pro rata to the record holders of Common Stock (the “Purchase Rights”), then
the Holder shall be entitled to acquire, upon the terms applicable to such Purchase Rights, the aggregate Purchase Rights which the Holder
would have acquired if the Holder had held the number of Warrant Shares acquirable upon complete exercise of this Warrant immediately
before the date on which a record is taken for the grant, issuance or sale of such Purchase Rights, or, if no such record is taken, the
date as of which the record holders of Common Stock are to be determined for the grant, issue or sale of such Purchase Rights.

 

    	8

     

    

 

SECTION
5 REGISTRATION RIGHTS.

 

5.1
Piggyback Registration.

 

(a)
Whenever the Company proposes to register any shares of its Common Stock under the Securities Act (other than (i) a registration effected
solely to implement an employee benefit plan or a transaction to which Rule 145 of the Securities Act is applicable, (ii) a Registration
Statement on Form S-4, S-8 or any successor form thereto or another form not available for registering the Registrable Securities for
sale to the public; (iii) any offering of securities for the Company’s own account from a shelf registration statement on Form
S-3 that has already been declared effective by the Commission (except for an underwritten shelf takedown where the contemplated plan
of distribution includes a substantial marketing effort by the Company and the underwriters), or (iv) any offering of securities for
the Company’s own account pursuant to an “at-the-market” offering program or “ATM”), whether for its own
account or for the account of one or more stockholders of the Company and the form of Registration Statement to be used may be used for
any registration of Warrant Shares (a “Piggyback Registration”), the Company shall give prompt written notice (in
any event no later than twenty (20) Business Days prior to the filing of such Registration Statement) to the Holder of its intention
to effect such a registration and shall include in such registration all Warrant Shares with respect to which the Company has received
written requests for inclusion from the Holder within ten (10) Business Days after the Company’s notice has been given to the Holder.

 

(b)
If a Piggyback Registration is initiated as a primary underwritten offering on behalf of the Company and the managing underwriter advises
the Company and the Holder (if the Holder has elected to include Warrant Shares in such Piggyback Registration) in writing that in its
opinion the number of shares of Common Stock proposed to be included in such registration, including all Registrable Securities and all
other shares of Common Stock proposed to be included in such underwritten offering, exceeds the number of shares of Common Stock which
can be sold in such offering and/or that the number of shares of Common Stock proposed to be included in any such registration would
adversely affect the price per share of the Common Stock to be sold in such offering, the Company shall include in such registration
(A) first, the number of shares of Common Stock that the Company proposes to sell; (B) second, the number of shares of Common Stock requested
to be included therein by the Holder; and (C) third, the number of shares of Common Stock requested to be included therein by holders
of Common Stock (other than Warrant Shares held by the Holder).

 

(c)
If a Piggyback Registration is initiated as an underwritten offering on behalf of one or more holders of Common Stock other than Warrant
Shares, and the managing underwriter advises the Company in writing that in its opinion the number of shares of Common Stock proposed
to be included in such registration, including all Warrant Shares and all other shares of Common Stock proposed to be included in such
underwritten offering, exceeds the number of shares of Common Stock which can be sold in such offering and/or that the number of shares
of Common Stock proposed to be included in any such registration would adversely affect the price per share of the Common Stock to be
sold in such offering, the Company shall, subject to the provision below, include in such registration (i) first, the number of shares
of Common Stock requested to be included therein by the Holder (on a fully diluted, as converted basis); and (ii) second, the number
of shares of Common Stock requested to be included therein by other holders of Common Stock, allocated among such holders in such manner
as they may agree.

 

(d)
If any Piggyback Registration is initiated as a primary underwritten offering on behalf of the Company, the Company shall select the
investment banking firm or firms to act as the managing underwriter or underwriters in connection with such offering.

 

5.2
Registration Procedures. If and whenever the Holder requests that any Warrant Shares be registered pursuant to the provisions
of this Warrant, the Company shall use its best efforts to include the Warrant Shares in such registration in accordance with the intended
method of disposition thereof, and pursuant thereto the Company shall as soon as practicable:

 

(a)
prepare and file with the Commission a Registration Statement with respect to such Warrant Shares and use its best efforts to cause such
Registration Statement to become effective;

 

    	9

     

    

 

(b)
prepare and file with the Commission such amendments, post-effective amendments and supplements to such Registration Statement and the
Prospectus used in connection therewith as may be necessary to keep such Registration Statement effective for a period of not less than
thirty (30) Business Days, or if earlier, until all of such Warrant Shares have been disposed of and to comply with the provisions of
the Securities Act with respect to the disposition of such Warrant Shares in accordance with the intended methods of disposition set
forth in such Registration Statement;

 

(c)
at least fifteen (15) Business Days before filing such Registration Statement, Prospectus or amendments or supplements thereto, furnish
to counsel of the Holder copies of such documents proposed to be filed, which documents shall be subject to the review, comment and approval
of such counsel;

 

(d)
notify the Holder, promptly after the Company receives notice thereof, of the time when such Registration Statement has been declared
effective or a supplement to any Prospectus forming a part of such Registration Statement has been filed;

 

(e)
furnish to the Holder such number of copies of the Prospectus included in such Registration Statement (including each preliminary Prospectus)
and any supplement thereto (in each case including all exhibits and documents incorporated by reference therein) and such other documents
as the Holder may request in order to facilitate the disposition of the Warrant Shares;

 

(f)
use its best efforts to register or qualify such Warrant Shares under such other securities or “blue sky” laws of such jurisdictions
as any selling holder requests and do any and all other acts and things which may be necessary or advisable to enable the Holder to consummate
the disposition; provided that the Company shall not be required to qualify generally to do business, subject itself to general taxation
or consent to general service of process in any jurisdiction where it would not otherwise be required to do so but for this Section
5.2(f);

 

(g)
notify the Holder, at any time when a Prospectus relating thereto is required to be delivered under the Securities Act, of the happening
of any event as a result of which the Prospectus included in such Registration Statement contains an untrue statement of a material fact
or omits any fact necessary to make the statements therein not misleading, and, at the request of any such holder, the Company shall
prepare a supplement or amendment to such Prospectus so that, as thereafter delivered to the purchasers of such Warrant Shares, such
Prospectus shall not contain an untrue statement of a material fact or omit to state any fact necessary to make the statements therein
not misleading;

 

(h)
make available for inspection by the Holder, any underwriter participating in any disposition pursuant to such Registration Statement
and any attorney, accountant or other agent retained by the Holder or any such underwriter (collectively, the “Inspectors”),
all financial and other records, pertinent corporate documents and properties of the Company (collectively, the “Records”),
and cause the Company’s officers, directors and employees to supply all information requested by any such Inspector in connection
with such Registration Statement;

 

(i)
use its commercially reasonable efforts to cause such Warrant Shares to be listed on each securities exchange on which the Common Stock
is then listed;

 

(j)
in connection with an underwritten offering, enter into such customary agreements (including underwriting and lock-up agreements in customary
form) and take all such other customary actions as the Holder or the managing underwriter of such offering request in order to expedite
or facilitate the disposition of such Warrant Shares (including, without limitation, making appropriate officers of the Company available
to participate in “road show” and other customary marketing activities, including one-on-one meetings with prospective purchasers
of the Warrant Shares);

 

(k)
otherwise use its best efforts to comply with all applicable rules and regulations of the Commission and make available to its stockholders
an earnings statement (in a form that satisfies the provisions of Section 11(a) of the Securities Act and Rule 158 thereunder)
no later than thirty (30) Business Days after the end of the 12-month period beginning with the first day of the Company’s first
full fiscal quarter after the effective date of such Registration Statement, which earnings statement shall cover said 12-month period,
and which requirement will be deemed to be satisfied if the Company timely files complete and accurate information on Forms 10-Q, 10-K
and 8-K under the Exchange Act and otherwise complies with Rule 158 under the Securities Act;

 

    	10

     

    

 

(l)
furnish to the Holder and each underwriter, if any, (i) a legal opinion of the Company’s outside counsel, dated the effective date
of such Registration Statement (and, if such registration includes an underwritten public offering, dated the date of the closing under
the underwriting agreement), in form and substance as is customarily given in opinions of the Company’s counsel to underwriters
in underwritten public offerings; and (ii) a “comfort” letter signed by the Company’s independent certified public
accountants in form and substance as is customarily given in accountants’ letters to underwriters in underwritten public offerings;

 

(m)
without limiting Section 5.2(f) above, use its best efforts to cause such Warrant Shares to be registered with or approved by
such other governmental agencies or authorities as may be necessary by virtue of the business and operations of the Company to enable
the Holder to consummate the disposition of such Warrant Shares in accordance with their intended method of distribution thereof;

 

(n)
notify the Holder promptly of any request by the Commission for the amending or supplementing of such Registration Statement or Prospectus
or for additional information;

 

(o)
advise the Holder, promptly after it shall receive notice or obtain knowledge thereof, of the issuance of any stop order by the Commission
suspending the effectiveness of such Registration Statement or the initiation or threatening of any proceeding for such purpose and promptly
use its best efforts to prevent the issuance of any stop order or to obtain its withdrawal at the earliest possible moment if such stop
order should be issued; and

 

(p)
otherwise use its best efforts to take all other steps necessary to effect the registration of such Warrant Shares contemplated hereby.

 

SECTION
6 TRANSFERS.

 

6.1
Transfer of Warrant. Subject to the transfer conditions referred to in the legend endorsed hereon, this Warrant and all rights
hereunder are freely transferable, in whole or in part, by the Holder without charge to the Holder, upon delivery to the Company of a
written request for assignment in the form attached hereto as Exhibit C (each, an “Assignment”) by the Holder
and surrender of this Warrant to the Company at its then principal executive offices, together with funds sufficient to pay any transfer
taxes described in Section 3.6(e) in connection with the making of such transfer. If requested by the Company, the Holder will
also provide an opinion of counsel satisfactory to the Company to the effect that the transfer or assignment is in compliance with (or
is exempt from) applicable federal and state securities laws. Upon such compliance, surrender and delivery and, if required, such payment,
the Company shall execute and deliver a new Warrant or Warrants in the name of the assignee or assignees and in the denominations specified
in such instrument of assignment, and shall issue to the assignor a new Warrant evidencing the portion of this Warrant, if any, not so
assigned and this Warrant shall promptly be cancelled. Notwithstanding the foregoing, no part of this Warrant or the Warrant Shares issuable
upon exercise of this Warrant (or the securities issuable directly or indirectly, upon conversion of the Warrant Shares, if any) may
be transferred except to a person named as a “Designated Holder” of K2 HealthVentures LLC in the Loan Agreement.

 

6.2
Holder Not Deemed a Stockholder; Limitations on Liability. Except as otherwise specifically provided herein (including Section
4.1), prior to the issuance to the Holder of the Warrant Shares to which the Holder is then entitled to receive upon the due exercise
of this Warrant, the Holder shall not be entitled to vote or receive dividends or be deemed the holder of shares of capital stock of
the Company for any purpose, nor shall anything contained in this Warrant be construed to confer upon the Holder, as such, any of the
rights of a stockholder of the Company or any right to vote, give or withhold consent to any corporate action (whether any reorganization,
issue of stock, reclassification of stock, consolidation, merger, conveyance or otherwise), receive notice of meetings, receive dividends
or subscription rights, or otherwise. In addition, nothing contained in this Warrant shall be construed as imposing any liabilities on
the Holder to purchase any securities (upon exercise of this Warrant or otherwise) or as a stockholder of the Company, whether such liabilities
are asserted by the Company or by creditors of the Company. Notwithstanding this Section 6.2, the Company shall provide the Holder
with copies of the same notices and other information given to the stockholders of the Company generally, contemporaneously with the
giving thereof to the stockholders it being understood that such notices or information shall be deemed to have been provided when posted
on the Company’s website.

 

    	11

     

    

 

SECTION
7 REPLACEMENT ON LOSS; DIVISION AND COMBINATION.

 

7.1
Replacement of Warrant on Loss. Upon receipt of evidence reasonably satisfactory to the Company of the loss, theft, destruction
or mutilation of this Warrant and upon delivery of an indemnity reasonably satisfactory to it (it being understood that a written indemnification
agreement or affidavit of loss of the Holder shall be a sufficient indemnity) and, in case of mutilation, upon surrender of such Warrant
for cancellation to the Company, the Company at its own expense shall execute and deliver to the Holder, in lieu hereof, a new Warrant
of like tenor and exercisable for an equivalent number of Warrant Shares as the Warrant so lost, stolen, mutilated or destroyed; provided
that, in the case of mutilation, no indemnity shall be required if this Warrant in identifiable form is surrendered to the Company
for cancellation.

 

7.2
Division and Combination of Warrant. Subject to compliance with the applicable provisions of this Warrant as to any transfer or
other assignment which may be involved in such division or combination, this Warrant may be divided or, following any such division of
this Warrant, subsequently combined with other Warrants, upon the surrender of this Warrant or Warrants to the Company at its then principal
executive offices, together with a written notice specifying the names and denominations in which new Warrants are to be issued, signed
by the respective Holders or their authorized agents or attorneys. Subject to compliance with the applicable provisions of this Warrant
as to any transfer or assignment which may be involved in such division or combination, the Company shall at its own expense execute
and deliver a new Warrant or Warrants in exchange for the Warrant or Warrants so surrendered in accordance with such notice. Such new
Warrant or Warrants shall be of like tenor to the surrendered Warrant or Warrants and shall be exercisable in the aggregate for an equivalent
number of Warrant Shares as the Warrant or Warrants so surrendered in accordance with such notice.

 

7.3
No Impairment. The Company shall not, by amendment of its Articles of Incorporation or Bylaws, or through any reorganization,
transfer of assets, consolidation, merger, dissolution, issue or sale of securities, or any other voluntary action, avoid or circumvent
or seek to avoid or circumvent the observance or performance of any of the terms to be observed or performed by it hereunder, but shall
at all times in good faith assist in the carrying out of all the provisions of this Warrant and in the taking of all such action as may
reasonably be requested by the Holder in order to protect the exercise rights of the Holder against dilution or other impairment, consistent
with the tenor and purpose of this Warrant.

 

7.4
Compliance with the Securities Act. The parties hereto agree as follows:

 

(a)
The Holder, by acceptance of this Warrant, agrees to comply in all respects with the provisions of this Section 7.4 and the restrictive
legend requirements set forth on the face of this Warrant and further agrees that such Holder shall not offer, sell or otherwise dispose
of this Warrant or any Warrant Shares to be issued upon exercise hereof except under circumstances that will not result in a violation
of the Securities Act and applicable Canadian securities laws.

 

(b)
This Warrant and all Warrant Shares issued upon exercise of this Warrant (unless registered under the Securities Act) shall be stamped
or imprinted with a legend in substantially the following form:

 

“THIS
WARRANT AND THE SECURITIES ISSUABLE UPON EXERCISE OF THIS WARRANT HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED
(THE “ACT”), OR QUALIFIED UNDER ANY STATE OR FOREIGN SECURITIES LAWS AND MAY NOT BE OFFERED FOR SALE, SOLD, PLEDGED,
HYPOTHECATED OR OTHERWISE TRANSFERRED OR ASSIGNED UNLESS (I) A REGISTRATION STATEMENT COVERING SUCH SHARES IS EFFECTIVE UNDER THE ACT
AND IS QUALIFIED UNDER APPLICABLE STATE AND FOREIGN LAW OR (ii) THE TRANSACTION IS EXEMPT
FROM THE REGISTRATION AND PROSPECTUS DELIVERY REQUIREMENTS UNDER THE ACT AND THE QUALIFICATION REQUIREMENTS UNDER APPLICABLE STATE AND
FOREIGN LAW.”

 

    	12

     

    

 

“UNLESS
PERMITTED UNDER CANADIAN SECURITIES LEGISLATION, THE HOLDER OF THIS SECURITY MUST NOT TRADE THE SECURITY BEFORE THE DATE THAT IS 4 MONTHS
AND A DAY AFTER THE ISSUE DATE.”

 

(c)
In the event that this Warrant or any Warrant Shares issued upon exercise of this Warrant are included in a direct registration or other
electronic book entry system, or if the Holder does not directly receive a certificate representing the Warrant Shares, the Company has
hereby provided the Holder with written notice pursuant to Section 2.5(2)(3.1) of National Instrument 45-102 – Resale of Securities
that:

 

“UNLESS
PERMITTED UNDER APPLICABLE CANADIAN SECURITIES LEGISLATION, THE HOLDER OF SHARES OF COMMON STOCK MUST NOT TRADE THE SHARES OF COMMON
STOCK BEFORE JANUARY 15, 2023.”

 

7.5
Removal of Legends. Upon the Holder’s request at any time following January 15, 2023 and delivery of reasonable assurances
that this Warrant and the Warrant Shares can be sold pursuant to Rule 144, the Company shall promptly (but in any event within five (5)
Business Days following such request and delivery), at its sole cost and expense, issue a replacement Warrant or replacement Warrant
Shares, as the case may be, deleting the legends required pursuant to Section 7.4(b) above.

 

SECTION
8 REPRESENTATIONS OF THE HOLDER. 

 

In
connection with the issuance of this Warrant, the Holder specifically represents, as of the date hereof, to the Company by acceptance
of this Warrant as follows:

 

8.1
The Holder is an “accredited investor” as defined in Rule 501 of Regulation D promulgated under the Securities Act. The Holder
is acquiring this Warrant and the Warrant Shares to be issued upon exercise hereof for investment for its own account and not with a
current view towards, or for resale in connection with, the public sale or distribution of this Warrant or the Warrant Shares, except
pursuant to sales registered or exempted under the Securities Act.

 

8.2
The Holder understands and acknowledges that this Warrant and the Warrant Shares to be issued upon exercise hereof are “restricted
securities” under the federal securities laws inasmuch as they are being acquired from the Company in a transaction not involving
a public offering and that, under such laws and applicable regulations, such securities may be resold without registration under the
Securities Act only in certain limited circumstances. In addition, the Holder represents that it is familiar with Rule 144 under the
Securities Act, as presently in effect, and understands the resale limitations imposed thereby and by the Securities Act.

 

8.3
The Holder acknowledges that it can bear the economic and financial risk of its investment for an indefinite period, and has such knowledge
and experience in financial or business matters that it is capable of evaluating the merits and risks of the investment in the Warrant
and the Warrant Shares. The Holder has had an opportunity to ask questions and receive answers from the Company regarding the terms and
conditions of the offering of the Warrant and the business, properties, prospects and financial condition of the Company.

 

SECTION
9 WARRANT REGISTER.

 

The
Company shall keep and properly maintain at its principal executive offices books for the registration of the Warrant and any transfers
thereof. The Company may deem and treat the Person in whose name the Warrant is registered on such register as the Holder thereof for
all purposes, and the Company shall not be affected by any notice to the contrary, except any assignment, division, combination or other
transfer of the Warrant effected in accordance with the provisions of this Warrant.

 

 

2
Four (4) months and a day from the Issue Date.

 

    	13

     

    

 

SECTION
10 NOTICES.

 

All
notices and other communications provided hereunder shall be in writing and mailed, delivered or transmitted, if to the Company or the
Holder, to the applicable party at its address or email address set forth on the signature pages hereto, or at such other address or
email address as may be designated by such party in a notice to the other party. Any notice, if mailed and properly addressed with postage
prepaid or if properly addressed and sent by pre-paid courier service, shall be deemed given when received; any notice, if transmitted
by email, shall be deemed given when the confirmation of receipt thereof is received by the transmitter. Unless otherwise indicated,
all references to the time of a day shall refer to New York time.

 

SECTION
11 CUMULATIVE REMEDIES.

 

The
rights and remedies provided in this Warrant are cumulative and are not exclusive of, and are in addition to and not in substitution
for, any other rights or remedies available at law, in equity or otherwise.

 

SECTION
12 EQUITABLE RELIEF.

 

Each
of the Company and the Holder acknowledges that a breach or threatened breach by such party of any of its obligations under this Warrant
would give rise to irreparable harm to the other party hereto for which monetary damages would not be an adequate remedy and hereby agrees
that in the event of a breach or a threatened breach by such party of any such obligations, the other party hereto shall, in addition
to any and all other rights and remedies that may be available to it in respect of such breach, be entitled to equitable relief, including
a restraining order, an injunction, specific performance and any other relief that may be available from a court of competent jurisdiction.

 

SECTION
13 FINDER’S FEE.

 

Each
party represents to the other party that it is not and will not be obligated for any finder’s fee or commission in connection with
the transactions contemplated by this Warrant. The Holder agrees to indemnify and to hold harmless the Company from any liability for
any commission or compensation in the nature of a finder’s fee (and the costs and expenses of defending against such liability
or asserted liability) for which the Holder or any of its officers, employees or representatives is responsible. The Company agrees to
indemnify and hold harmless the Holder from any liability for any commission or compensation in the nature of a finder’s fee (and
the costs and expenses of defending against such liability or asserted liability) for which the Company or any of its officers, employees
or representatives is responsible.

 

SECTION
14 EXPENSES; INDEMNIFICATION.

 

14.1
The Company will reimburse the reasonable fees and expenses of the Holder, including reasonable legal fees and expenses, with respect
to the negotiation, execution and delivery of this Warrant as provided in Section 2.4(b) of the Loan Agreement.

 

14.2
In further consideration of the Holder’s acquiring the Warrant hereunder and in addition to all of the Company’s other obligations
hereunder, the Company will defend, indemnify and hold harmless the Holder and each other holder of the Warrant and all of their shareholders,
partners, members, officers, directors, employees and direct or indirect investors and any of the foregoing Persons’ agents or
other representatives (including, without limitation, those retained in connection with the transactions contemplated hereby) (collectively,
the “Indemnitees”) from and against any and all losses, costs, penalties, fees, liabilities and damages, and expenses
(irrespective of whether any such Indemnitee is a party to the action for which indemnification hereunder is sought), and including attorneys’
fees and disbursements (the “Indemnified Liabilities”), incurred by any Indemnitee as a result of, or arising out
of, or relating to any actions, suits or claim brought by third parties alleging (i) any misrepresentation or breach of any representation
or warranty made by the Company in this Warrant or any other certificate, instrument or document contemplated hereby or thereby, (ii)
any breach of any covenant, agreement or obligation of the Company contained in this Warrant or any other certificate, instrument or
document contemplated hereby or thereby, or (iii) any cause of action, suit or claim brought or made against such Indemnitee by a third
party (including for these purposes a derivative action brought on behalf of the Company) and arising out of or resulting from (A) the
execution, delivery, performance or enforcement of this Warrant or any other certificate, instrument or document contemplated hereby
or thereby, or (B) the status of the Holder or holder of the Warrant as an investor in the Company pursuant to the transactions contemplated
hereby. To the extent that the foregoing undertaking by the Company may be unenforceable for any reason, the Company will make the maximum
contribution to the payment and satisfaction of each of the Indemnified Liabilities which is permissible under applicable law.

 

    	14

     

    

 

14.3
Entire Agreement. This Warrant constitutes the sole and entire agreement of the parties to this Warrant with respect to the subject
matter contained herein, and supersedes all prior and contemporaneous understandings and agreements, both written and oral, with respect
to such subject matter.

 

14.4
Successor and Assigns. This Warrant and the rights evidenced hereby shall be binding upon and shall inure to the benefit of the
parties hereto and the successors of the Company and the successors and permitted assigns of the Holder. Such successors and/or permitted
assigns of the Holder shall be deemed to be a Holder for all purposes hereunder.

 

14.5
No Third-Party Beneficiaries. This Warrant is for the sole benefit of the Company and the Holder and their respective successors
and, in the case of the Holder, permitted assigns and nothing herein, express or implied, is intended to or shall confer upon any other
Person any legal or equitable right, benefit or remedy of any nature whatsoever, under or by reason of this Warrant.

 

SECTION
15 HEADINGS.

 

The
headings in this Warrant are for reference only and shall not affect the interpretation of this Warrant.

 

SECTION
16 AMENDMENT AND MODIFICATION; WAIVER.

 

Except
as otherwise provided herein, this Warrant may only be amended, modified or supplemented by an agreement in writing signed by each party
hereto. No waiver by the Company or the Holder of any of the provisions hereof shall be effective unless explicitly set forth in writing
and signed by the party so waiving. No waiver by any party shall operate or be construed as a waiver in respect of any failure, breach
or default not expressly identified by such written waiver, whether of a similar or different character, and whether occurring before
or after that waiver. No failure to exercise, or delay in exercising, any rights, remedy, power or privilege arising from this Warrant
shall operate or be construed as a waiver thereof; nor shall any single or partial exercise of any right, remedy, power or privilege
hereunder preclude any other or further exercise thereof or the exercise of any other right, remedy, power or privilege hereunder.

 

SECTION
17 SEVERABILITY.

 

If
any term or provision of this Warrant is invalid, illegal or unenforceable in any jurisdiction, such invalidity, illegality or unenforceability
shall not affect any other term or provision of this Warrant or invalidate or render unenforceable such term or provision in any other
jurisdiction.

 

SECTION
18 GOVERNING LAW.

 

This
Warrant shall be governed by and construed in accordance with the internal laws of the State of New York without giving effect to any
choice or conflict of law provision or rule (whether of the State of New York or any other jurisdiction) that would cause the application
of laws of any jurisdiction other than those of the State of New York.

 

    	15

     

    

 

SECTION
19 SUBMISSION TO JURISDICTION.

 

Any
legal suit, action or proceeding arising out of or based upon this Warrant or the transactions contemplated hereby may be instituted
in the federal courts of the United States of America or the courts of the State of New York, in either case sitting in the Borough of
Manhattan, and each party irrevocably submits to the exclusive jurisdiction of such courts in any such suit, action or proceeding. Service
of process, summons, notice or other document by certified or registered mail to such party’s address set forth herein shall be
effective service of process for any suit, action or other proceeding brought in any such court. The parties irrevocably and unconditionally
waive any objection to the laying of venue of any suit, action or any proceeding in such courts and irrevocably waive and agree not to
plead or claim in any such court that any such suit, action or proceeding brought in any such court has been brought in an inconvenient
forum.

 

SECTION
20 WAIVER OF JURY TRIAL.

 

Each
party acknowledges and agrees that any controversy which may arise under this Warrant is likely to involve complicated and difficult
issues and, therefore, each such party irrevocably and unconditionally waives any right it may have to a trial by jury in respect of
any legal action arising out of or relating to this Warrant or the transactions contemplated hereby.

 

SECTION
21 COUNTERPARTS.

 

This
Warrant may be executed in counterparts, each of which shall be deemed an original, but both of which together shall be deemed to be
one and the same agreement. A signed copy of this Warrant delivered by e-mail or other means of electronic transmission shall be deemed
to have the same legal effect as delivery of an original signed copy of this Warrant.

 

SECTION
22 NO STRICT CONSTRUCTION.

 

This
Warrant shall be construed without regard to any presumption or rule requiring construction or interpretation against the party drafting
an instrument or causing any instrument to be drafted.

 

[REMAINDER
OF PAGE INTENTIONALLY LEFT BLANK]

 

    	16

     

    

 

[SIGNATURE
PAGE TO WARRANT TO PURCHASE COMMON STOCK]

 

IN WITNESS WHEREOF, the Company has duly
executed this Warrant on the Issue Date.

 

	 	VBI
    VACCINES INC.
	 	 	 
	 	By:	 /s/
    Jeffrey R. Baxter 
	 	Name:	Jeffrey R. Baxter
	 	Title:	President
and Chief Executive Officer

 

	Accepted
    and agreed,	 
	 	 	 
	K2
    HEALTHVENTURES EQUITY TRUST LLC	 
	 	 	 
	By:	 /s/
    Anup Arora 	 
	Name:	Anup
    Arora	 
	Title:	Managing
    Director and Chief Investment Officer             	 

 

    	 

     

    

 

EXHIBIT
A

 

FORM
OF SUBSCRIPTION AGREEMENT

 

(To
be signed only upon exercise of Warrant)

 

	To:		 

 

The
undersigned, as holder of a right to purchase shares of Common Stock of VBI VACCINES INC., a corporation existing pursuant to the laws
of British Columbia (the “Company”), pursuant to that certain Warrant to Purchase Shares of Common Stock of VBI VACCINES
INC. (the “Warrant”), dated as of September 14, 2022, hereby irrevocably elects to exercise the purchase right represented
by such Warrant for, and to purchase thereunder, _________ (_____) shares of Common Stock of the Company and herewith makes payment of
________ Dollars ($_____) therefor by the following method:

 

(Check
all that apply):

 

	________ (check
    if applicable)	 	The
    undersigned hereby elects to make payment of the Aggregate Warrant Price of _________________________________ Dollars ($ _________)
    in cash for ______________ (_____) shares of Common Stock using the method described in Section 3.2(a) of the Warrant.
	 	 	 
	________ (check
    if applicable)	 	The
    undersigned hereby elects to make payment of the Aggregate Warrant Price of _________________________________ Dollars ($ _________)
    for ______________ (_____) shares of Common Stock using the method described in Section 3.2(b) of the Warrant.
	 	 	 
	Requested
    Denomination of	 	 
	 	 	 
	Common
    Stock:	 	_____________________ shares
	 	 	 
	Registered
    Holder:	 	_____________________

 

    	 

     

    

 

In
order to induce the issuance of such securities the undersigned makes to the Company, as of the date hereof, the representations set
forth in Section 8 of the Warrant. Unless otherwise defined herein, capitalized terms have the meanings provided in the Warrant.

 

	DATED:	 	 	 	 
	 	 	 	 	 
	 	 	 	[HOLDER]
	 	 	 	 	 
	 	 	 	By:	       
	 	 	 	 	 
	 	 	 	Name:	 
	 	 	 	 	 
	 	 	 	Title:	 

 

    	 

     

    

 

EXHIBIT
B

 

FORM
OF ACKNOWLEDGEMENT

 

To:
K2 HealthVentures Equity Trust LLC

 

The
undersigned hereby acknowledges that as of the date hereof the effective Warrant Price is $________, and ______________ (_____) shares
of Common Stock remain subject to the right of purchase in favor of [HOLDER] pursuant to that certain Warrant to Purchase Shares of Common
Stock of VBI VACCINES INC. in favor of [HOLDER], dated as of September 14, 2022.

 

	DATED:	 	 	 	 
	 	 	 	 	 
	 	 	 	VBI
    VACCINES INC.
	 	 	 	 	 
	 	 	 	By:	         
	 	 	 	 	 
	 	 	 	Name:	 
	 	 	 	 	 
	 	 	 	Title:	 

 

    	 

     

    

 

EXHIBIT
C

 

FORM
OF ASSIGNMENT

 

REFERENCE
IS MADE to that certain Warrant to Purchase Shares of Common Stock of VBI VACCINES INC. (the “Warrant”), dated as
of September 14, 2022 in favor of [HOLDER]. Unless otherwise defined, terms used herein have the meanings ascribed thereto in the Warrant.

 

FOR
VALUE RECEIVED, the undersigned Holder of record of this Warrant of VBI VACCINES INC. (the “Company”), hereby sells,
assigns and transfers unto the Assignee named below all of the rights, including, without limitation, the Purchase Rights (as such term
is defined in this Warrant) of the undersigned under the Warrant, with respect to the number of shares of Common Stock set forth below:

 

	 	Name
    of Transferee/Assignee	Address	[No.
    of Shares]1

 

and
does hereby irrevocably constitute and appoint the Secretary of VBI VACCINES INC. to make such transfer on the books of VBI VACCINES
INC., maintained for the purpose, with full power of substitution in the premises.

 

Attached
hereto, if and to the extent requested by the Company, is an opinion of counsel that the assignment is in compliance with or is exempt
from, applicable federal and state securities laws. As provided in the Warrant, including but not limited to Section 6.1 of the
Warrant, the Company may, in its reasonable discretion, decide whether such opinion is satisfactory, and Assignee and Holder agree to
any reasonable delay in transfer caused by such evaluation.

 

The
Assignee acknowledges and agrees that the Warrant and the shares of Common Stock to be issued upon exercise thereof or conversion thereof
are being acquired for investment and that the Assignee will not offer, sell or otherwise dispose of the Warrant or any shares of stock
to be issued upon exercise thereof or conversion thereof except under circumstances which will not result in a violation of the Securities
Act of 1933, as amended (the “Act”), or any applicable state securities laws.

 

ACCORDINGLY,
THE FOLLOWING RESTRICTIVE LEGEND IS MADE APPLICABLE TO THIS ASSIGNMENT (AND TO THE WARRANT AND SECURITIES COVERED BY THE WARRANT AS ASSIGNED
HEREBY TO ASSIGNEE):

 

THIS
ASSIGNMENT AND THE WARRANT AND THE SECURITIES UNDERLYING THE WARRANT AS ASSIGNED HEREBY, HAVE NOT BEEN REGISTERED UNDER THE ACT, AND
MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED, ASSIGNED, PLEDGED OR HYPOTHECATED IN THE ABSENCE OF SUCH REGISTRATION OR AN EXEMPTION
THEREFROM UNDER SUCH ACT, ANY APPLICABLE STATE SECURITIES LAWS AND THE RULES AND REGULATIONS THEREUNDER.

 

[UNLESS
PERMITTED UNDER APPLICABLE CANADIAN SECURITIES LEGISLATION, THE HOLDER OF SHARES OF COMMON STOCK MUST NOT TRADE THE SHARES OF COMMON
STOCK BEFORE [____].]

 

[REMAINDER
OF PAGE INTENTIONALLY LEFT BLANK]

 

    	 

     

    

 

	DATED:	 	 	HOLDER:
	 	 	 	 	 
	 	 	 	By:	 
	 	 	 	 	 
	 	 	 	Name:	 
	 	 	 	 	 
	 	 	 	Title:	 
	 	 	 	 	 
	DATED:	 	 	ASSIGNEE:
	 	 	 	 	 
	 	 	 	By:	 
	 	 	 	 	 
	 	 	 	Name:	 
	 	 	 	 	 
	 	 	 	Title:

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