Document:

Unassociated Document

     

    
      ENERGROUP
HOLDINGS CORPORATION

      No. 9,
Xin Yi Street, Ganjingzi District

       

      Dalian
City, Liaoning Province, PRC 116039

       

       

      December
30, 2009

       

      Pinnacle
China Fund, L.P.

      The
Pinnacle Fund, L.P.

      4965
Preston Park Blvd, Suite 240

      Plano,
Texas 75093

      Attn.:  Mr.
Barry Kitt

      

      Re:           Energroup
Holdings Corporation (the “Company”)

      

      Dear Mr.
Kitt:

      

      Reference
is made to that certain “Securities Purchase Agreement,” “Registration Rights
Agreement,” “Make Good Escrow Agreement” and “Holdback Escrow Agreement,” each
dated as of December 31, 2007, by and among the Company and the Investors
signatory thereto.  Capitalized terms used, but not defined herein,
shall have the meanings ascribed to such terms in the relevant above-referenced
agreements.

       

      We are
writing to memorialize the understanding between The Pinnacle Fund, L.P. and the
Pinnacle China Fund, L.P. (collectively, the “Funds”), and the Company, with
respect to (i) the Company’s obligations under the Registration Rights Agreement
and the Securities Purchase Agreement, (ii) the Make Good Pledgor’s obligations
under Section 4.11 of the Securities Purchase Agreement and under the Make Good
Escrow Agreement, (iii) the release of funds from the Holdback Escrow Agreement,
and (iv) the release of the 2008 Make Good Shares under the Make Good Escrow
Agreement.  We understand and agree that the Funds do not represent
any other Investor and do not purport to provide consents, waivers, or
amendments for or on behalf of any other Investor.  To that end, the
Funds, the Investors signatory hereto and we agree as follows:

       

      
        	
                 
      

              	
                1.

              	
                Simultaneously
      with the execution and delivery of this letter agreement, the Funds shall
      countersign the Release Notice attached hereto containing an instruction
      to the Escrow Agent to deliver the 2008 Make Good Escrow Shares to the
      Make Good Pledgor.

              

      

       

      
        	
                 
      

              	
                2.

              	
                Pursuant
      to Section 2(f) of the Registration Rights Agreement liquidated damages of
      $1,700,000 (the “S-1 Liquidated Damages”) is owed by the Company to the
      Investors as a result of the Registration Statement not being declared
      effective by the Commission on or prior to the Effective
      Date.  The Company agrees to cause the SEC to declare the
      Registration Statement effective as to all shares owned by the Investors
      on or prior to March 31, 2010 (the “S-1 Requirement”); provided, however,
      that if the financial statements to be included in the Registration
      Statement are no longer current and the audited financial statements for
      the fiscal year ended December 31, 2009 must be included in the
      Registration Statement, the Company shall have until May 15, 2010 (the
      “Extension Date”) to have the Registration Statement declared effective as
      to all shares owned by the
Investors.

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

       

      
        	
                 
      

              	
                3.

              	
                Section
      3.1 of the Holdback Escrow Agreement and Section 4.14(a) of the Securities
      Purchase Agreement provides for a holdback of Escrowed Funds in the amount
      of $2,000,000 (the “Board Escrow Disbursement”), to be released upon the
      appointment of independent directors to serve on the Company’s Board of
      Directors.  The Company hereby agrees to appoint such qualified
      independent directors (the “Qualified Independent Directors”) as required
      to comply with The Nasdaq Stock Market or The NYSE-AMEX Stock Market, as
      the case may be,  on or prior to March 31, 2010 (the “Board
      Requirement”).  For the purpose of this paragraph, the term
      “Qualified Independent Director” means a director who meets the standard
      for “independence” under either the listing criteria of The Nasdaq Stock
      Market or The NYSE-AMEX Stock
Market.

              

      

       

      
        	
                 
      

              	
                4.

              	
                Notwithstanding
      that Section 3.2 of the Holdback Escrow Agreement and Section 4.14(b) of
      the Securities Purchase Agreement provides for a holdback of Escrowed
      Funds in the amount of $1,500,000 (the “CFO Escrow Disbursement”), to be
      released upon the appointment of a Qualified CFO, the Company agrees to
      hire a Qualified CFO on or prior to March 31, 2010 (the “CFO
      Requirement”).  For the purpose of this paragraph, the term
      “Qualified CFO” means a CFO who speaks English, has prior business
      experience as a CFO for a U.S. public company and meets the standard
      criteria of a CFO for a U.S. public
company.

              

      

       

      
        	
                 
      

              	
                5.

              	
                If
      the Company satisfies all of the S-1 Requirement, the Board Requirement
      and the CFO Requirement (the “Public Company Requirements”) on or prior to
      March 31, 2010 (the “Determination Date”) the Funds shall waive any and
      all prior penalties accrued and owing under the Holdback Escrow Agreement
      and the Registration Rights Agreement.  The Funds further agree
      to execute and deliver with the Company joint written instructions to the
      Escrow Agent to release all of the Escrowed Funds to the Company within
      ten calendar days following the Determination
  Date.

              

      

       

      (a)           Notwithstanding
the foregoing, in the event that the S-1 Requirement is the only Public Company
Requirement not satisfied by the Determination Date due to the reasons set forth
in paragraph 2 above and the Extension Date applies the Funds agree to execute
and deliver with the Company joint written instructions to the Escrow Agent, to
(i) release to the Company an amount equal to the Escrowed Funds less the
$1,700,000 S-1 Liquidated Damages within ten calendar days of the Determination
Date; and (ii) continue to hold the remaining Escrowed Funds in the Escrow
Account pending the Extension Date.  In the event that the Extension
Date applies and the Company satisfies the S-1 Requirement by the Extension
Date, the Funds agree to execute and deliver with the Company joint written
instructions to the Escrow Agent, to release the remaining Escrowed Funds to the
Company within ten calendar days following the Extension Date.  In the
event that the Extension Date applies and the Company does not satisfy the S-1
Requirement by the Extension Date, the Company agrees that it shall execute and
deliver, together with the Funds joint written instructions to the Escrow Agent
to release the remaining Escrowed Funds to the Investors on a pro rata basis no
later than ten calendar days after the Extension Date.

       

      
        
          
          

        

        
          2

          
            

          

        

        
          
          

        

      

       

      (b)           If
the Company fails to satisfy any one of the Public Company Requirements by the
Determination Date (other than the S-1 Requirement in the event that the
Extension Date applies), the Funds shall execute and deliver an instruction to
the Escrow Agent to (i) release all of the Escrowed Funds, except for the
$1,700,000 S-1 Liquidated Damages, to the Investors, on a pro rata basis, and
(H) if the Extension Date applies, continue to hold the remaining Escrowed Funds
until the Extension Date, at which time the remaining Escrowed Funds shall be
released either to the Company or the Investors, as the case may
be.

       

      (c)           Notwithstanding
anything to the contrary set forth herein, in the event that the Company fails
to satisfy two of the Public Company Requirements by the Determination Date, the
Funds shall execute and deliver an instruction to the Escrow Agent to release
all of the Escrowed Funds to the Investors on a pro rata basis no later than
April 10, 2010.

       

      6.           If
the Company satisfies all of the Public Company Requirements on or prior to the
Determination Date and achieves the 2009 Guaranteed ATNI (after tax net income
(calculated in accordance with GAAP) reported in the 2009 Annual Report, equal
to or greater than $20,900,000) as set forth in the Make Good Escrow Agreement,
the Funds hereby agree that their right to countersign an escrow release notice
with respect to the release of the 2009 Make Good Escrow Shares shall be
automatically waived.  If the 2009 Guaranteed ATNI is achieved, the
Company shall have the right, within five calendar days from the date the
Company files its Annual Report on Form 10-K for the fiscal year 2009, to
deliver an escrow release notice to the Escrow Agent instructing the Escrow
Agent to deliver the 2009 Make Good Escrow Shares to the Make Good
Pledgor.

       

      (a)           In
the event that the Company does not meet any one of the Public Company
Requirements by the Determination Date (other than the S-1 Requirement in the
event that the Extension Date applies), the 2009 Make Good Escrow Shares shall
be delivered in accordance with the provisions set forth in the Make Good Escrow
Agreement; except, that in the event the Company does not meet any one of the
Public Company Requirements on or prior to the Determination Date and does not
achieve the 2009 Guaranteed ATNI (after tax net income (calculated in accordance
with GAAP) reported in the 2009 Annual Report, equal to or greater than
$20,900,000) as set forth in the Make Good Escrow Agreement, the Company hereby
agrees that its right to countersign an escrow release notice with respect to
the release of the 2009 Make Good Escrow Shares shall be automatically waived
and the Funds shall have the right to deliver such escrow release notice to the
Escrow Agent instructing the Escrow Agent to deliver the 2009 Make Good Escrow
Shares to the Investors within five days of the delivery of such
notice.

       

      
        
          
          

        

        
          3

          
            

          

        

        
          
          

        

      

       

      (b)           If
the Extension Date applies and (i) the S-1 Requirement is satisfied by the
Extension Date, (ii) the Board Requirement and the CFO Requirement are satisfied
by the Determination Date, and (iii) the Company achieves the 2009 Guaranteed
ATNI, the Funds hereby agree that their right to countersign an escrow release
notice with respect to the release of the 2009 Make Good Escrow Shares shall be
automatically waived and the Company shall have the right to deliver such escrow
release notice to the Escrow Agent instructing the Escrow Agent to deliver the
2009 Make Good Escrow Shares to the Make Good Pledgor within five days of the
satisfaction of the S-1 Requirement.

       

      7.           (a)           Each
of the Funds and the other Investors signatory hereto agree that upon receipt of
all of the S-1 Liquidated Damages, the Board Escrow Disbursement and the CFO
Escrow Disbursement, each of the Funds and the other Investors, on behalf of
themselves, their respective parents, subsidiaries, affiliates, shareholders,
directors, officers, employees, agents, managers, members, legal
representatives, successors and assigns, forever releases and discharges the
Company, and its parent, subsidiaries, affiliates, shareholders, directors,
officers, employees, agents, managers, members, legal representatives,
successors and assigns, from any and all claims, demands, damages, rights of
action or causes of action whatsoever (“Claims”) arising out of or in connection
with the Holdback Escrow Agreement and the Registration Rights Agreement, and,
upon release of the 2008 Make Good Escrow Shares to the Make Good Pledgor, any
Claims arising out of or in connection with the 2008 Guaranteed ATNI (after tax
net income (calculated in accordance with GAAP) reported in the 2008 Annual
Report, equal to or greater than $15,900,000) under the Make Good Escrow
Agreement and Sections 4.11(a)(i) and 4.14 of the Securities Purchase Agreement
..

       

      (b)           The
Company agrees that upon the receipt by the Funds and the other Investors
signatory hereto of all of the S-1 Liquidated Damages, the Board Escrow
Disbursement and the CFO Escrow Disbursement, the Company, on behalf of itself,
its parent, subsidiaries, affiliates, shareholders, directors, officers,
employees, agents, managers, members, legal representatives, successors and
assigns, forever releases and discharges the Funds and the other Investors, and
their respective parents, subsidiaries, affiliates, shareholders, directors,
officers, employees, agents, managers, members, legal representatives,
successors and assigns, from any and all Claims arising out of or in connection
with the Holdback Escrow Agreement and the Registration Rights Agreement, and,
upon release of the 2008 Make Good Escrow Shares to the Make Good Pledgor, any
Claims arising out of or in connection with the 2008 Guaranteed ATNI under the
Make Good Escrow Agreement and Sections 4.11(a)(i) and 4.14 of the Securities
Purchase Agreement.

       

      8.           The
Company, the Funds and the Investors represent and warrant to each other that
each has the authority to enter into, execute, deliver and perform its
obligations set forth in this letter.

       

      
        
          
          

        

        
          4

          
            

          

        

        
          
          

        

      

       

      9.           Each
of The Pinnacle Fund, L.P. and Pinnacle China Fund L.P. represent that they hold
1,022,727 shares of Common Stock, respectively. Shine Gold Holdings Limited
represents that it holds 3,863,636 shares of Common Stock.

       

      10.           The
parties reaffirm that, in accordance with Section 4(c) of the Make Good Escrow
Agreement, for purposes of determining whether or not 2009 Guaranteed ATNI has
been achieved, any direct or indirect tax breaks, tax holidays, tax credits or
similar tax benefit(s), compensation, grant or any other remuneration or
deduction granted or benefiting any of the Company Entities by any governmental
authority or body, which are beyond and in addition to benefits that may exist
on the Closing date, shall be excluded for purposes of determining whether
or not the 2009 Guaranteed ATNI has been achieved by
the Company.

       

      
        
          
          

        

        
          5

          
            

          

        

        
          
          

        

      

       

      Please
acknowledge your agreement with the terms of this letter by returning an
executed original to me at the address set forth above.

       

      Very
truly yours,

      

      ENGROUP
HOLDINGS CORPORATION

      

      _____________________________________

      Shi
Huashan,

      President,
Chief Executive Officer

      and
Chairman of the Board

       

      
        
          
          

        

        
          6

          
            

          

        

        
          
          

        

      

      
 

      Accepted & Agreed:

      

      PINNACLE CHINA FUND L.P.

      

      By:___________________________

      Its:___________________________

      

      THE PINNACLE FUND, L.P.

      

      By:___________________________

      Its:___________________________

      

      

      WESTPARK CAPITAL, L.P.

      

      By:___________________________

      Its:___________________________

      

      

      ATLAS ALLOCATION FUND,
L.P.

      

      By:___________________________

      Its:___________________________

      

      

      SOUTHWELL PARTNERS, L.P.

      

      By:___________________________

      Its:___________________________

      

      

      CENTAUR VALUE FUND

      

      By:___________________________

      Its:___________________________

      

      

      UNITED CENTAUR MASTER
FUND

      

      By:___________________________

      Its:___________________________

      

      
        
          
          

        

        
          7

          
            

          

        

        
          
          

        

      

      

      SANDOR CAPITAL MASTER
FUND,L.P.

      

      By:___________________________

      Its:___________________________

      

      PRECEPT CAPITAL MASTER FUND,
G.P.

      

      By:___________________________

      Its:___________________________

      

      

      ROTH CAPITAL PARTNERS,
LLC

      

      By:___________________________

      Its:___________________________

      

      COOPER FAMILY TRUST

      

      By:___________________________

      Its:___________________________

      

      GLACIER PARTNERS, L.P.

      

      By:___________________________

      Its:___________________________

      

      

      ___________________________

      Aaron M. Gurewitz

      

      

      ___________________________

      Gordon Roth

      

      

      ___________________________

      Matthew Hayden

      

      SCG PRIVATE HOLDINGS, LLC

      

      By:___________________________

      Its:___________________________

      

      
        
          
          

        

        
          8

          
            

          

        

        
          
          

        

      

      

      Accepted
& Agreed solely for the purpose of

      modifying
terms of the Registration Rights Agreement:

      

      SHINE
GOLD HOLDINGS LIMITED

      

      By:____________________________

      Its:_____________________________

      

      

      Accepted
& Agreed solely for the purpose of modifying

      terms of
the Holdback Escrow Agreement:

      

       

      U.S. BANK
NATIONAL ASSOCIATION

       

      

      By:____________________________

      Its:_____________________________

      

      
        
          
          

        

        
          9Unassociated Document

     

    Exhibit 4.8

     

    STOCK PURCHASE
AGREEMENT

    

    THIS STOCK PURCHASE AGREEMENT
("Agreement")
is en­tered into as of April 18, 2006, by and between the undersigned (the
"Purchas­er") and
PICTON PHARMACEUTICALS, INC.,
a Delaware corporation­­ having a business address at 787 Seventh
Avenue, 48th Floor,
New York, New York 10019 (the “Company”).

    

    RECITALS

    

    WHEREAS, the Company desires
to sell shares of common stock, par value $0.001 per share, of the Company
(which class of shares is referred to herein as "Common Stock") to
Purchaser, and Purchaser desires to purchase these shares, upon the terms and
conditions herein specified; and

    

    WHEREAS, Purchaser is willing
to subject the Stock (as defined herein) to the re­stric­tions
con­tained herein.

    

    AGREEMENT

    

    NOW, THEREFORE, in
consideration of the forego­ing recitals and of the mutual promises herein
contained, the parties hereby agree as follows:

    

    1. Issuance and Acquisition of
Stock.

    

    (a) Immediately after the execution of this
Agreement by the parties, the Company shall transfer to the Purchaser, and the
Purchaser shall acquire from the Company, the number of shares of Common Stock
listed beside the Purchaser's name on the signature page hereto (the "Stock"), at the
purchase price of $0.001 per share, for the total pur­chase price listed
below the Purchaser's name on the signature page hereto (the "Pur­chase
Price").

    

    (b) Immediately after the execu­tion of
this Agreement, the Company shall deliver to the Purchaser a certif­icate or
cer­tifi­cates evi­dencing the Stock, regis­tered in the name of
the Purchaser and con­currently there­with the Purchaser shall make
pay­ment for the Stock by delivering to the Seller a check payable to the
Company in the amount of the Purchase Price.

    

    2. Violation Of Transfer
Provisions.  The Company shall not be required (i) to transfer
on its books any shares of Stock which shall have been sold, trans­ferred,
assigned or pledged in violation of any of the provisions of this Agreement or
(ii) to treat as owner of such shares or to accord the right to vote as such
owner or to pay dividends to any transferee to whom such shares shall have been
so sold, transferred, assigned or pledged.

    

    3. Rights as
Shareholder.  Except as other­wise provided herein, the
Purchaser shall, during the term of this Agreement, exercise all rights and
privileg­es of a share­holder of the Company with respect to the
Stock.

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

     

    4. Representations and
Warranties by the Company.

    

    The Company represents, warrants and
covenants with the Purchaser as follows:

    

    (a) The Company has all necessary power and
capacity to execute and deliver this Agreement, to perform its obligations
hereunder and to consummate the transaction contemplated hereby.  This
Agreement has been validly executed and delivered by the Company and constitutes
the legal, valid and binding obligation of the Company, enforceable against the
Company in accordance with its terms.  The execution and delivery of
this Agreement by the Company do not and the performance of its obligations
under this Agreement will not conflict with or result in any breach or
constitute a default under any contracts to which the Company is a party or by
which the Company or any property or asset of the Company is bound or
affected.

    

    (b) The Company has good title to the Stock
and owns the Stock free and clear of any security interests, liens, claims,
pledges, options, rights of first refusal, agreements, limitations on voting
rights, charges and other encumbrances of any nature whatsoever (collectively,
“Liens”) other
than restrictions on transfer imposed under the Securities Act of 1933, as
amended (the “Securities
Act”).  Upon delivery thereof to the Purchaser, the Purchaser
shall acquire good title to the Stock, free and clear of any Liens other than
the restrictions set forth in this Agreement and under the Securities
Act.  The Stock is validly issued, fully paid and
nonassessable.  The Company is transferring the Stock to the Purchaser
hereunder pursuant to a valid exemption from registration under the Securities
Act.

    

    5. Representations and
Warranties by the Purchaser.

    

    The Purchaser repre­sents,
war­rants and cove­nants with­ the Company as
fol­lows:

    

    (a) The Purchaser has all necessary power
and capacity to execute and deliver this Agreement, to perform its obligations
hereunder and to consummate the transaction contemplated hereby.  This
Agreement has been validly executed and delivered by the Purchaser and
constitutes the legal, valid and binding obligation of the Purchaser,
enforceable against the Purchaser in accordance with its terms.  The
execution and delivery of this Agreement by the Purchaser do not and the
performance of its obligations under this Agreement will not conflict with or
result in any breach or constitute a default under any contracts to which the
Purchaser is a party or by which the Purchaser or any property or asset of the
Purchaser is bound or affected.

    

    (b) The Stock will be acquired by the
Purchas­er for his own account with the Purchaser's own funds for investment
purposes and for the Purchaser's own ac­count, not as a nomi­nee or
agent for any other person, firm or corpora­tion, and not with a view to the
sale or distribu­tion of all or any part thereof, and the Purcha­ser has
no pres­ent intention of sell­ing, granting any partic­ipation in,
or otherwise distrib­uting, any or all of the Stock.  The
Purchaser does not have any con­tract, under­tak­ing, agree­ment
or arrange­ment with any person, firm or corpo­ration to sell,
trans­fer or grant any par­ticipa­tion to any per­son, firm or
corpora­tion with re­spect to any or all of the Stock.

     

    
      
        
        

      

      
        2

        
          

        

      

      
        
        

      

    

    

    (c) The Purchaser understands that the
Stock will not be registered under the Securities Act, and that the Stock is
being issued and sold to the Purchaser based upon an exemp­tion from
regis­tra­tion predi­cated in part on the accuracy and
com­plete­ness of the Purchaser's repre­sen­ta­tions and
warran­ties ap­pear­ing herein.

    

    (d) The Purchaser agrees that in no event
will the Purchaser sell, transfer, assign or pledge all or any part of the Stock
or any interest therein, unless and until (i) the Pur­chaser shall have
fur­nished the Company with an opinion of counsel satis­factory in form
and content to the Company to the effect that (A) such disposition will not
require regis­tration of the Stock under the Securities Act or
compli­ance with appli­cable state secu­rities laws, or
(B) appropriate action neces­sary for compli­ance with the
Securities Act and applica­ble state securities laws has been taken;
(ii) the Company shall have waived, expressly and in writing, its right
under clause (i) of this subsection; and (iii) the proposed trans­fer­ee
of the Stock shall have provided the Company with a writ­ten agree­ment
or undertaking by which such trans­feree agrees to be bound by all terms,
condi­tions and limita­tions of this Agree­ment applicable to such
transferee's transferor as if such trans­feree were a party
hereto.  The re­quire­ment of sub­paragraph (iii) shall
not apply to any transfer (A) pursu­ant to an offer­ing regis­tered
under the Securi­ties Act, (B) pursu­ant to Rule 144 under the
Secu­rities Act or (C) effected in a market transaction other­wise
exempt from registra­tion under the Securities Act.

    

    (e) The Purchaser is able to fend for
itself in con­nection with the transactions contemplated by this
Agree­ment, has such knowledge and experience in finan­cial and business
mat­ters (including investments in development stage biotechnology
companies) as to be capable of evalu­ating the merits and risks of its
invest­ment in the Company, has the ability to bear the economic risks of
its invest­ment for an indefi­nite period of time and can afford a
com­plete loss of its investment and has had the opportunity prior to the
Purchaser's purchase of the Stock to ask ques­tions of and receive answers
from repre­senta­tives of the Company concerning the finances,
operations and business of the Company.  The Purcha­ser
acknowledges and agrees that (i) it is not rely­ing upon any state­ment,
promise or assur­ance of the Company or any investor in the Company (or any
represen­tative of the Company or any such inves­tor) in arriving at the
Purch­aser's decision to purchase the Stock, and has not other­wise been
induced to purchase the Stock by the Company or any such investor (or any
repre­sentative of the Company or any such inves­tor); and that (ii) it
has decid­ed to pur­chase the Stock based upon the Purchaser's own
analy­sis of the merits and risks of invest­ing in the Company without
the inter­vention or assistance of any other person, firm or
corpo­ra­tion.

    

    (f) The Purchaser understands and
ac­knowledg­es that the Purchaser will not be permitted to sell,
trans­fer, assign or pledge the Stock until it is registered under the
Securi­ties Act or an exemption from the regis­tration and
pro­spec­tus deliv­ery requirements of the Securities Act is
avail­able to the Purchas­er, and that there is no assur­ance that
such an exemp­tion from regis­tration will ever be avail­able or
that the Purcha­ser will ever be able to sell any of the Stock.

     

    
      
        
        

      

      
        3

        
          

        

      

      
        
        

      

    

    

    (g) All certificates representing the Stock
and, until such time as the Stock is sold in an offering which is registered
under the Securi­ties Act or the Company shall have re­ceived an
opin­ion of counsel satisfac­tory in form and content to the Company
that such registra­tion is not required in connection with a resale (or
subsequent resale) of the Stock, all cer­tif­i­cates issued in
trans­fer there­of or sub­sti­tution there­for, shall, where
appli­cable, have endorsed thereon the fol­lowing (or substantially
equiva­lent) legends:

    

    (i) THE SECURITIES REPRESENTED BY
THIS CERTIFICATE ARE NOT TRANSFERABLE WITHOUT THE EXPRESS WRITTEN CONSENT OF
HAAST SCIENCES, INC. (THE "COMPANY") AND HAVE NOT BEEN REGISTERED UNDER THE
SECURITIES ACT OF 1933 OR ANY APPLICABLE STATE SECURITIES OR "BLUE SKY" LAWS,
AND MAY NOT BE SOLD, OFFERED FOR SALE, PLEDGED OR HYPOTHECATED OR OTHERWISE
TRANSFERRED IN THE ABSENCE OF A REGISTRATION STATEMENT IN EFFECT WITH RESPECT TO
THE SECURITIES UNDER SUCH ACT OR AN OPINION OF COUNSEL SATISFACTORY TO THE
COMPANY THAT SUCH REGISTRATION IS NOT REQUIRED OR UNLESS SOLD PURSUANT TO RULE
144 OF SUCH ACT.  ANY SUCH TRANSFER MAY ALSO BE SUBJECT TO APPLICABLE
STATE SECURITIES OR "BLUE SKY" LAWS.

    

    (ii) Any legend required to be
placed thereon by any applica­ble state secu­rities law.

    

    (h) The Company shall not be obligat­ed
to transfer any of the Stock if counsel for the Company determines that any
applicable registration re­quirement under the Securities Act or any other
applica­ble require­ment of federal or state law has not been
met.

    

    6. Registration
Rights.

    

    (a) Defined Terms.  Terms used in
this Section 6 and not otherwise defined herein shall have the meanings set
forth below:

    

    (i) “Founders” shall mean
all the purchasers purchasing shares of the Company’s Common Stock pursuant to
stock purchase agreements dated the date hereof.

    

    (ii) “Other Shares” means
at any time those shares of Common Stock which do not constitute Primary Shares
or Registrable Shares hereunder.

    

    (iii) “Primary Shares” means
at any time authorized but unissued shares of Common Stock and shares of Common
Stock held by the Company in its treasury.

     

    
      
        
        

      

      
        4

        
          

        

      

      
        
        

      

    

    

    (iv) “Registrable Shares”
means the shares of Common Stock held by the Founders which constitute
Restricted Shares.

    

    (v) “Restricted Shares”
means shares of Common Stock held by the Founders and any other securities which
by their terms are exercisable or exchangeable for or convertible into Common
Stock which are held by the Founders (including exercised or unexercised
warrants for preferred stock or Common Stock or convertible debt
securities).  As to any particular Restricted Shares, once issued,
such Restricted Shares shall cease to be Restricted Shares when (i) they have
been registered under the Securities Act, the registration statement in
connection therewith has been declared effective and they have been disposed of
pursuant to such effective registration statement, (ii) they are eligible to be
sold or distributed pursuant to Rule 144 promulgated under the Securities Act
(including, without limitation, Rule 144(k)) in a single transaction by the
Purchaser without limitation, or (iii) they shall have ceased to be
outstanding.

    

    (b) Piggy-Back Registration
Rights.

    

    (i) If the Company at any time
proposes for any reason to register Primary Shares or Other Shares under the
Securities Act (other than on Form S-4 or Form S-8 promulgated under the
Securities Act (or any successor forms thereto)), it shall give written notice
to the Purchaser of its intention to so register such Primary Shares or Other
Shares at least 30 days before the initial filing of the registration statement
related thereto and, upon the request, delivered to the Company within 20 days
after delivery of any such notice by the Company, of the Purchaser to include in
such registration Registrable Shares held by the Purchaser (which request shall
specify the number of such Registrable Shares proposed to be included in such
registration), the Company shall use its best efforts to cause all such
Registrable Shares to be included in such registration on the same terms and
conditions as the securities otherwise being sold in such registration (subject
to customary cutback in the event the managing underwriter, if any, advises the
Company that the inclusion of all Registrable Shares requested to be included in
such registration would interfere with the successful marketing (including
pricing) of the Primary Shares or Other Shares proposed to be registered by the
Company).

    

    (ii) The number of requests
permitted by the Purchaser pursuant to this Section 6(b) shall be
unlimited.

    

    (c) Registrations on Form
S-3.   Anything
contained in Section
6(a) to the contrary notwithstanding, at such time as the Company shall
have qualified for the use of Form S-3 promulgated under the Securities Act or
any successor form thereto, the Purchaser shall have the right to request an
unlimited number of registrations of Registrable Shares held by the Purchaser on
Form S-3 (which may, at the Purchaser’s request, be shelf registrations pursuant
to Rule 415 promulgated under the Securities Act) or its successor form, which
request or requests shall (i) specify the number of Registrable Shares intended
to be sold or disposed of and the holders thereof, (ii) state whether the
intended method of disposition of such Registrable Shares is an underwritten
offering or a shelf registration and (iii) relate to Registrable Shares having
an aggregate offering price (before underwriting discounts and commissions) of
at least $1,000,000.

     

    
      
        
        

      

      
        5

        
          

        

      

      
        
        

      

    

    

    (d) Expenses. All expenses incurred
by the Company and the Purchaser in complying with their obligations pursuant to
this Agreement and in connection with the registration and disposition of
Registrable Shares, including, without limitation, all registration and filing
fees (including all expenses incident to filing with the National Association of
Securities Dealers, Inc.), fees and expenses of complying with securities and
blue sky laws, printing expenses, fees and expenses of the Company’s counsel and
accountants and fees and expenses of one counsel selected by the holders of
Registrable Shares requesting such registration shall be paid by the Company;
provided, however, that all
underwriting discounts, selling commissions applicable to the Registrable Shares
and Other Shares shall be borne by the holders selling such Registrable Shares
and Other Shares, in proportion to the number of Registrable Shares and Other
Shares sold by each such holder.

    

    (e) Other Terms and
Provisions. The Purchaser hereby agrees to comply with all terms and
provisions set forth in the registration documents into which the Company enters
in connection with the applicable registration of Primary Shares or Other Shares
as reasonably requested by the Company, including without limitation, customary
lock-up provisions, underwriting agreements, indemnification, and permitted
suspensions, etc. as if the Purchaser was a party thereto.

    

    (f) Assignment.  Notwithstanding Section 7(a) below,
Purchaser may assign its rights under this Section 6 to any
purchaser or permitted transferee of Registrable Shares; provided, however, that such
purchaser or transferee shall, as a condition to the effectiveness of such
assignment, be required to execute a counterpart to this Agreement agreeing to
be treated as a Purchaser whereupon such purchaser or transferee shall have the
benefits of, and shall be subject to the restrictions contained in, this
Agreement as if such purchaser or transferee was originally included in the
definition of “Purchaser” herein and had originally been a party
hereto.

    

    (g) Mergers,
Etc.  The Company shall not, directly or indirectly, enter into
any merger, consolidation or reorganization in which the Company shall not be
the surviving corporation unless the surviving corporation shall, prior to such
merger, consolidation or reorganization, agree in writing to assume the
obligations of the Company hereunder, and for that purpose references hereunder
to “Registrable Shares” shall be deemed to include the common stock, if any,
which the Purchaser would be entitled to receive in exchange for Common Stock
under any such merger, consolidation or reorganization, provided that, to the
extent the Purchaser receives securities that are by their terms convertible
into shares of common stock of the issuer thereof, then any such shares of
common stock as are issued or issuable upon conversion of said convertible
securities shall be included within the definition of “Registrable
Shares”.

    

    (h) Amendment, Waiver, etc. of
Registration Rights.  Notwithstanding, Section 7(h) below,
the terms and provisions of this Section 6 may be modified, amended, waived or
terminated with the written consent of Founders holding more than fifty percent
(50%) of the Registrable Securities issued on the date hereof.

     

    
      
        
        

      

      
        6

        
          

        

      

      
        
        

      

    

    

    7. General
Provisions.

    

    (a) No
Assignments.  Subject to Section 6(f) above, the Purchaser
shall not trans­fer, assign or encumber any of its rights, privileg­es,
duties or obligations under this Agree­ment without the prior written
consent of the Company, and any attempt to so transfer, assign or encumber shall
be void.

    

    (b) Notices.  All
notices and other communi­cations which are required or permitted to be
given pursuant to the terms of this Agreement shall be in writing and shall be
sufficiently given (i) if person­ally deliv­ered, (ii) if sent by telex
or facsimile, provided that "answer-back" confirmation is received by the
send­er or (iii) upon receipt, if sent by regis­tered or certi­fied
mail, post­age paid re­turn re­ceipt re­quest­ed in any case
ad­dressed as fol­lows:

    

    
      	                                  
    	
              (i)

            	
              If
      to the Company:

            

    

    

    Picton Pharmaceuticals,
Inc.

    787 Seventh Avenue

    48th
Floor

    New York,
New York 10019

    Attn.: President

    

    
      	                                 
    	
              (ii)

            	
              If
      to the Purchaser, to the address set forth on the signature page of this
      Agree­ment.

            

    

    

    The
ad­dress­ of a party, for the pur­poses of this Sec­tion
7(b)(ii), may be changed by giving written notice to the other par­ty of
such change in the manner pro­vided herein for giving
notice.  Unless and until such written notice is re­ceived, the
addresses as provided herein shall be deemed to continue in effect for all
purpos­es hereunder.

    

    (c) Standoff
Agreement.  The Purchaser agrees that, in connec­tion with
each underwritten public offer­ing regis­tered under the Securities Act
of shares of Common Stock or other equity securities of the Company by or on
behalf of the Company, the Purchaser shall not sell or transfer, or offer to
sell or transfer, any shares of Common Stock or other equity securities of the
Company for such period as the managing under­writer of such offering or the
Company determines is necessary to effect the under­written public
offering.

    

    (d) Choice of Law; Consent to
Jurisdic­tion.  This Agree­ment shall be governed by
and construed in accor­dance with the internal laws (without giving effect
to the con­flicts of law principles) of the State of New York.

    

    (e) Severability.  The
parties hereto agree that the terms and provisions in this Agreement are
reason­able and shall be binding and enforceable in accor­dance with the
terms hereof and, in any event, that the terms and provi­sions of this
Agreement shall be enforced to the fullest extent permissible under
law.  In the event that any term or provision of this Agreement shall
for any reason be adjudged to be unen­forceable or inval­id, then such
unenforceable or invalid term or provision shall not affect the enforceability
or validity of the remaining terms and provisions of this Agreement, and the
parties hereto hereby agree to replace such unenforceable or invalid term or
provision with an enforce­able and valid arrangement which, in its economic
effect, shall be as close as possible to the unenforceable or invalid term or
provision.

     

    
      
        
        

      

      
        7

        
          

        

      

      
        
        

      

    

    

    (f) Successors.  All
references in this Agree­ment to the Company shall include any and all
­successors in interest to the Company, whether by merger, consolidation,
sale of all or substantially all assets or otherwise, and this Agreement shall
inure to the benefit of the successors and assigns of the Company and, subject
to the terms herein set forth, shall be binding upon the Purchaser, its
suc­cessors and permitted assigns.

    

    (g) Counterparts.  This
Agreement may be executed in two counterparts, each of which shall be deemed an
original, but which together shall constitute one and the same
instrument.

    

    (h) Modification, Amendment and
Waiver.  Subject to Section 6(h) above, no modification,
amendment or waiver of any provision of this Agreement shall be effective
against the Company unless the same shall be in a written instrument signed by
an officer of the Company on its behalf and such instrument is approved by its
Board of Directors.  The failure at any time to enforce any of the
provisions of this Agreement shall in no way be construed as a waiver of such
provisions and shall not affect the right of either party thereafter to enforce
each and every provi­sion hereof in accordance with its terms.

    

    (i) Further
Assurances.  The parties agree to execute such further
instruments and to take such further action as may reasonably be neces­sary
to carry out the intent of this Agreement.

    

    (j) Integration.  This
Agreement con­sti­tutes the entire agree­ment of the par­ties
with respect to the subject matter hereof.

    

    (k) Headings.  The
headings of the Sec­tions and paragraphs of this Agreement have been
inserted for convenience of reference only and do not constitute a part of this
Agreement.

    

    (l) Gender and
Number.  As used in this Agree­ment, the masculine,
feminine or neuter gender, and the singular or plural, shall be deemed to
include the others whenever and wherever the context so
requires.  Addition­ally, unless the context requires otherwise,
"or" is not exclusive.

    

    Balance
of the Page Intentionally Left Blank; Signature Page Follows

     

    
      
        
        

      

      
        8

        
          

        

      

      
        
        

      

    

    

    IN WITNESS WHEREOF, the
parties hereto have duly executed this Agreement, or caused this Agreement to be
duly executed by their respective officers, partners or other representatives,
thereunto duly authorized, all as of the day and year first above
written.

    

    
      	 
      	
              PICTON
      PHARMACEUTICALS, INC.

            	 
	 
      	 
      	 
      	 	 
	 
      	
              By:

            	
                       
      

            	 
	 
      	 
      	
              Name:

            	 	 
	 
      	 
      	
              Title:

            	 	 
	 
      	 
      	 
      	 	 
	 
      	
              PURCHASER:

            	 
	 
      	 
      	 
      	 	 
	 
      	            
        	 
	 
      	
              Name:

            	 	 
	 
      	
              Address:

            	 	 
	 
      	 
      	 
      	 	 
	 	 	 	 	 
	 
      	
              SS#:

            	 
      	 	 

    

     

    NUMBER OF
SHARES OF

    COMMON STOCK

    PURCHASABLE:

    

    PURCHASE
PRICE:                 
$

     

    
      
        
        

      

      
        9

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00167-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00167-of-00352.parquet"}]]