Document:

ex10-1.htm

Exhibit 10.1

PROMISSORY NOTE

(Bridge Note)

	
$200,000

	
Iselin, NJ

	  	
January 26, 2016

FOR VALUE RECEIVED, ECHO THERAPEUTICS INC., a Delaware corporation (together with its successors and assigns, the “Borrower”), with its principal place of business at 99 Wood Avenue South, Suite 302, Iselin, New Jersey 08830, promises to pay to the order of BEIJING YI  TANG BIO SCIENCE & TECHNOLOGY, LTD. together with any successors or assigns, the “Lender”) at the office of the Lender, ROOM 1107, No.1 Building, No29 Nanmofang Road, Chaoyang District, Beijing 100022 P.R. China, the sum of TWO HUNDRED THOUSAND DOLLARS and ZERO cents ($200,000.00), together with interest on the unpaid balance and all other charges, as provided below.  Commencing on the date hereof, interest shall accrue on the unpaid principal balance outstanding from time to time at a rate per annum equal to The Wall Street Journal Prime Rate, compounding monthly.   The Borrower shall pay all outstanding principal and interest on the Maturity Date.  “Maturity Date” is defined as earlier of (i) the consummation of the sale by the Borrower of equity securities in an offering, with gross proceeds to the Borrower (before deduction of underwriter’s commissions, offering expenses and the like) of not less than $2,000,000 and (ii) thirty (30) days from the date hereof.  To the extent permitted by applicable law, upon and after the occurrence of an Event of Default (whether or not the Lender has accelerated payment of this Note), interest on principal shall be payable on demand at a rate per annum equal to 12% per annum, compounding monthly.

 

Default.  If (a) the interest hereon or any commitment or other fee shall not be paid in full punctually when due and payable, and/or (b) the principal hereof shall not be paid in full punctually when due and payable, it shall constitute an Event of Default (“Event of Default”) under this Note.  Upon an Event of Default, or at any time thereafter, at the option of the Lender, all obligations hereunder shall become immediately due and payable without notice or demand and the Lender shall then have in any jurisdiction where enforcement hereof is sought.  All rights and remedies of the Lender are cumulative and are not exclusive of any rights or remedies provided by laws or any other agreement, and may be exercised separately or concurrently.

 

Waiver; Amendment.  No delay or omission on the part of the Lender in exercising any right hereunder shall operate as a waiver of such right or of any other right under this Note.  No waiver of any right contained in, consent to any departure from, or amendment to any provision contained in this Note shall be effective unless in writing and signed by the Lender, nor shall a waiver on one occasion be construed as a waiver of any such right on any future occasion.  Without limiting the generality of the foregoing, the acceptance by the Lender of any late payment shall not be deemed to be a waiver of the Event of Default arising as a consequence thereof.  The Borrower waives presentment, demand, notice, protest and all other demands and notices in connection with the delivery, acceptance, performance, default or enforcement of this Note and assents to any extensions or postponements of the time of payment or any and all other indulgences under this Note, or to any and all additions or releases of any other parties or persons primarily or secondarily liable under this Note, which from time to time be granted by the Lender in connection herewith regardless of the number or period of any extensions.

 

 

  

  

  

 

Governing Law; Consent to Jurisdiction.  This Note shall be governed by, and construed in accordance with, the laws of the State of New York without regard to any conflict of laws provisions that might result in the application of the laws of another state.  The Borrower agrees that any suit for the enforcement of this Note may be brought in the courts of the State of New York or any federal court sitting in such state and consents to the non-exclusive jurisdiction of each such court and to service of process in any such suit being made upon the Borrower by mail at the address set forth above.  The Borrower hereby waives any objection that it may now or hereafter have to the venue of any such suit or any such court or that such suit was brought in an inconvenient court.

 

WAIVER OF JURY TRIAL.  THE BORROWER AND THE LENDER, BY ITS ACCEPTANCE OF THIS NOTE, HEREBY WAIVE TRIAL BY JURY IN ANY LITIGATION IN ANY COURT WITH RESPECT TO, IN CONNECTION WITH, OR ARISING OUT OF:  (A) THIS NOTE OR ANY OTHER INSTRUMENT OR DOCUMENT DELIVERED IN CONNECTION WITH THE OBLIGATIONS HEREUNDER; (B) THE VALIDITY, INTERPRETATION, COLLECTION OR ENFORCEMENT THEREOF; OR (C) ANY OTHER CLAIM OR DISPUTE HOWEVER ARISING BETWEEN THE BORROWER AND THE LENDER.

 

Severability; Authorization to Complete; Paragraph Headings.  If any provision of this Note shall be invalid, illegal or unenforceable, such provision shall be severable from the remainder

 

of this Note and the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby.  Paragraph headings are for the convenience of reference only and are not a part of this Note and shall not affect its interpretation.All pronouns and any variations thereof shall be deemed to refer to the masculine, feminine, neuter, singular or plural, as the identity of the person, persons, entity or entities may require.  The terms “herein,” “hereof” or “hereunder” or similar terms used in this Note refer to this entire Note and not only to the particular provision in which the term is used.

 

Exchange Right.  For so long as this Note is outstanding, if the Company enters into any subsequent equity or equity-linked financing on terms more favorable than the terms governing this Note (a “Subsequent Financing”), as determined by the Lender in its sole discretion, then the Lender in its sole discretion may exchange the outstanding principal and interest under this Note for the securities issued or to be issued in the Subsequent Financing.   In no event shall any such exchange be permitted to the extent such exchange results in the Lender beneficially owning (for purposes of Section 13(d) under the Securities Exchange Act of 1934) 9.99% or more of the outstanding Common Stock of the Company.

 

Assignments.                                Neither this Note nor the proceeds hereof shall be assignable by the Borrower without the Lender’s prior written consent, and any attempted assignment without the Lender’s prior written consent shall create a default under this Note.  This Note may be assigned, in whole or in part, by the Lender and its successors or assigns.  The Borrower’s consent shall not be required for any such assignment.

 

IN WITNESS WHEREOF, the Borrower has caused this Note to be duly executed and delivered as of the date first above written.

	  	  
	  	
ECHO THERAPEUTICS INC.

 

By:       /s/ Alan W. Schoenbart                  

Name: Alan W. Schoenbart

Title: Chief Financial OfficerEX-10.1

 Exhibit 10.1 

Execution Version 
 EIGHTH
AMENDMENT TO LOAN, GUARANTY AND SECURITY AGREEMENT 
 This EIGHTH AMENDMENT TO LOAN, GUARANTY AND SECURITY AGREEMENT (this
“Amendment”) is dated as of February 1, 2016, and is entered into by and among TURTLE BEACH CORPORATION, a Nevada corporation, formerly known as Parametric Sound Corporation (“Parametric”), VOYETRA
TURTLE BEACH, INC., a Delaware corporation (“Voyetra”; and together with Parametric, individually, “US Borrower,” and individually and collectively, jointly and severally, “US Borrowers”),
TURTLE BEACH EUROPE LIMITED, a company limited by shares and incorporated in England and Wales with company number 03819186 (“Turtle Beach,” also referred to hereinafter as “UK Borrower”; and together with US
Borrowers, individually, “Borrower,” and individually and collectively, “Borrowers”), VTB HOLDINGS, INC., a Delaware corporation (“VTB” or “US Guarantor”; and together with
US Borrowers, individually, a “UK Guarantor,” and individually and collectively, jointly and severally, “UK Guarantors”; UK Guarantors and US Guarantor, individually, a “Guarantor,” and individually
and collectively, “Guarantors”), the financial institutions party hereto as lenders (collectively, “Lenders”), and BANK OF AMERICA, N.A., a national banking association, as administrative agent, collateral
agent and security trustee for Lenders (in such capacities, together with its successors and assigns in such capacities, “Agent”). 

WHEREAS, Borrowers, Guarantors, Agent, and Lenders have entered into that certain Loan, Guaranty and Security Agreement (as amended, restated,
or otherwise modified from time to time, the “Loan Agreement”), dated as of March 31, 2014; and 
 WHEREAS, Borrowers
have requested that Agent and Lenders agree to enter into certain amendments to the Loan Agreement. 
 NOW, THEREFORE, in consideration of
the mutual conditions and agreements set forth in the Loan Agreement and this Amendment, and other valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereby agree as follows: 

ARTICLE I 
 DEFINITIONS

 Initially capitalized terms used but not otherwise defined in this Amendment have the respective meanings set forth in the Loan
Agreement, as amended hereby. 
 ARTICLE II 

AMENDMENTS TO LOAN AGREEMENT 

2.01. New/Amended Definitions.  

(a) Section 1.1 of the Loan Agreement is hereby amended by inserting the following defined terms in the appropriate alphabetical
order therein: 
 January 2016 Projections: as defined in the definition of EBITDA. 

Eighth Amendment: that certain Eighth Amendment to Loan, Guaranty and Security Agreement, dated as of February 1, 2016, by and
among Borrowers, Guarantors, Lenders and Agent. 

 Eighth Amendment Effective Date: as defined in the Eighth Amendment. 

(b) Clause (b) of the definition of “EBITDA” set forth in Section 1.1 of the Loan Agreement is hereby
deleted in its entirety and the following is inserted in lieu thereof: 
 (b) to the extent deducted in determining consolidated net
income, the sum of: (i) any provision for cash income tax expense and cash interest expense; (ii) depreciation and amortization, including, without duplication, to the extent not included in interest expense, cash amortization of
transaction and financing fees and expenses; (iii) non-cash deferred compensation, stock option or employee benefits-based and other equity-based compensation expenses; (iv) reasonable and customary documented third-party fees, costs and
expenses in connection with any Permitted Acquisition to the extent permitted by this Agreement and not exceeding $3,000,000 during any 12 month period or $5,000,000 in the aggregate after the March 31, 2014; (v) non-cash charges or
amounts recorded in connection with purchase accounting under Statement of Financial Accounting Standards 14l(r) (including any applicable to future Permitted Acquisitions); (vi) non-cash purchase accounting adjustments relating to the
writedown of deferred revenue (whether billed or unbilled) that are the result of accounting for any acquisition; (vii) reasonable and customary debt discounts and debt issuance costs, fees, charges and commissions, in each case incurred in
connection with Debt permitted to be incurred hereunder, (viii) the Permitted Earnout Payment to the extent paid (to the extent applicable for such period), (ix) fees, charges and expenses incurred in connection with the consummation of
the merger of Paris Acquisition Corp. with and into VTB, (x) one-time, non-recurring severance restructuring costs and expenses not exceeding the aggregate amount of $2,000,000, (xi) the amount of reasonable consulting and advisory fees
(incurred to third party consultants and advisors other than Sponsor or its Affiliates) and related reasonable expenses, in each case, incurred in such period and not to exceed $1,250,000 in any trailing twelve-month period, (xii) one-time,
non-cash adjustments as set forth in the projections delivered to Agent on January 22, 2015 (and denominated as version 14) (the “January 2016 Projections”) for old generation and refurbished inventory write-offs in connection
with the Headset Division prior to December 31, 2015, not exceeding an aggregate amount of $900,000, and (xiii) one-time, non-recurring start-up costs as set forth in the January 2016 Projections related to the Hypersound Division incurred
prior to December 31, 2015, not exceeding an aggregate amount of $500,000; plus or minus 
 (c) Clause (c)(i) of
the definition of “EBITDA” set forth in Section 1.1 of the Term Loan Agreement is hereby deleted in its entirety and the following is inserted in lieu thereof: 

(i) other non-cash losses (or gains) (to the extent not relating to or resulting in any cash expense or charge in any future period), including
one-time, non-recurring costs and expenses incurred in connection with certain discontinued legacy license agreements prior to March 31, 2015 in an amount not exceeding the aggregate amount of $1,493,000, but excluding any write-off of
inventory, 
 (d) The definition of “Headset Division EBITDA” set forth in Section 1.1 of the Term Loan
Agreement is hereby deleted in its entirety and the following is inserted in lieu thereof: 
 Headset Division EBITDA: for any period,
EBITDA for the Headset Division (as determined in a manner consistent with the definition of “EBITDA” above, but 

  
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solely with respect to items attributable to the Headset Division); provided, however, the calculation of EBITDA for the Headset Division shall be determined in accordance with the
methodology used in the January 2016 Projections or in such other manner acceptable to Agent. 
 (e) The definition of “Hypersound
Division EBITDA” set forth in Section 1.1 of the Term Loan Agreement is hereby deleted in its entirety and the following is inserted in lieu thereof: 

Hypersound Division EBITDA: for any period, EBITDA for the Hypersound Division (as determined in a manner consistent with the definition
of “EBITDA” above, but solely with respect to items attributable to the Hypersound Division); provided, however, the calculation of EBITDA for the Hypersound Division shall be determined in accordance with methodology used in
the January 2016 Projections or in such other manner acceptable to Agent in its discretion. 
 2.02. Amendments to
Section 10.3. Section 10.3 of the Loan Agreement is hereby amended as follows: 
 (a) The table set forth in
Section 10.3.1 of the Loan Agreement is hereby deleted in its entirety and the following is inserted in lieu thereof: 
  

					
	 Test Date
	  	Required EBITDA	 
	 December 31, 2015
	  	$	8,588,000	  
	 January 31, 2016
	  	$	5,690,000	  
	 February 29, 2016
	  	$	3,188,000	  
	 March 31, 2016
	  	$	732,000	  
	 April 30, 2016
	  	($	1,362,000	) 
	 May 31, 2016
	  	($	2,814,000	) 
	 June 30, 2016
	  	($	4,709,000	) 
	 July 31, 2016
	  	($	5,376,000	) 
	 August 31, 2016
	  	($	6,520,000	) 
	 September 30, 2016
	  	($	5,843,000	) 
	 October 31, 2016
	  	($	1,868,000	) 
	 November 30, 2016
	  	($	573,000	) 
	 December 31, 2016
	  	$	1,626,000	  
	 January 31, 2017
	  	$	2,288,000	  
	 February 28, 2017
	  	$	3,157,000	  
	 March 31, 2017
	  	$	4,313,000	  

 (b) The table set forth in Section 10.3.5 of the Loan Agreement is hereby deleted in its entirety
and the following is inserted in lieu thereof: 
  

					
	 Test Date
	  	Required Headset
Division EBITDA	 
	 December 31, 2015
	  	$	11,324,000	  
	 January 31, 2016
	  	$	9,632,000	  
	 February 29, 2016
	  	$	8,550,000	  
	 March 31, 2016
	  	$	7,232,000	  
	 April 30, 2016
	  	$	6,317,000	  
	 May 31, 2016
	  	$	5,907,000	  
	 June 30, 2016
	  	$	5,011,000	  
	 July 31, 2016
	  	$	5,039,000	  
	 August 31, 2016
	  	$	4,660,000	  
	 September 30, 2016
	  	$	5,843,000	  
	 October 31, 2016
	  	$	10,002,000	  
	 November 30, 2016
	  	$	9,992,000	  
	 December 31, 2016
	  	$	10,877,000	  
	 January 31, 2017
	  	$	11,042,000	  
	 February 28, 2017
	  	$	10,824,000	  
	 March 31, 2017
	  	$	11,126,000	  

  
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 (c) The table set forth in Section 10.3.6 of the Loan Agreement is hereby deleted in
its entirety and the following is inserted in lieu thereof: 
  

					
	 Test Date
	  	Required Hypersound
Division EBITDA	 
	 December 31, 2015
	  	($	2,736,000	) 
	 January 31, 2016
	  	($	3,942,000	) 
	 February 29, 2016
	  	($	5,362,000	) 
	 March 31, 2016
	  	($	6,500,000	) 
	 April 30, 2016
	  	($	7,680,000	) 
	 May 31, 2016
	  	($	8,721,000	) 
	 June 30, 2016
	  	($	9,721,000	) 
	 July 31, 2016
	  	($	10,415,000	) 
	 August 31, 2016
	  	($	11,180,000	) 
	 September 30, 2016
	  	($	11,687,000	) 
	 October 31, 2016
	  	($	11,870,000	) 
	 November 30, 2016
	  	($	10,565,000	) 
	 December 31, 2016
	  	($	9,251,000	) 
	 January 31, 2017
	  	($	8,754,000	) 
	 February 28, 2017
	  	($	7,667,000	) 
	 March 31, 2017
	  	($	6,813,000	) 

 2.03. Amendment to Section 5.01 of the Seventh Amendment. Section 5.01 of the
Seventh Amendment is hereby amended in its entirety and the following is inserted in lieu thereof: 
 5.01 Equity Infusion and/or
Additional Third Lien Debt. 
 (a) Obligors hereby covenant and agree that, on or prior to February 5, 2016 (the “Seventh
Amendment Specified Mandatory Prepayment Date”), (a) US Obligors shall receive net proceeds of not less than $6,000,000 in the form of (i) additional equity capital, in form and substance, and on terms, satisfactory to Agent in
all respects and/or (ii) additional financing from either Sponsor and the other Third Lien Creditors pursuant to the Third Lien Subordinated Note(s) and the other Third Lien Loan Documents, which shall be in form and substance, and on terms,
satisfactory to Agent in all 

  
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respects and (b) the net proceeds of any such equity capital and/or additional Third Lien Debt in an aggregate amount of not less than $6,000,000 shall be applied as a mandatory prepayment
of the US Revolver Loans outstanding on the Seventh Amendment Specified Mandatory Prepayment Date (and solely to the extent that the outstanding principal balance of US Revolver Loans has been reduced by such mandatory prepayment to, or is, $0, such
net proceeds may be received as cash to the balance sheet of the US Obligors for use as working capital in the business of the US Obligors) (such transaction, and all matters related thereto, entered into in connection therewith or contemplated
thereby, collectively, the “Additional Liquidity Transaction”). 
 (b) Obligors hereby covenant and agree to deliver to
Agent all presentations prepared for, or delivered to, investors or potential investors in connection the Additional Liquidity Transaction, including, without limitation, that certain presentation used by Oppenheimer with certain investors, promptly
after such preparation and/or delivery, and deliver to Agent any other written materials in connection with the Additional Liquidity Transaction as Agent may request from time to time. 

Any failure to comply with this Section 5.01 shall constitute an Event of Default pursuant to Section 12.1(c) of the Loan Agreement
for which there is no cure or remedy. 
 ARTICLE III 

REPRESENTATIONS AND WARRANTIES 

Each Obligor hereby represents and warrants to Agent and each Lender, as of the date hereof, as follows: 

3.01. Representations and Warranties. After giving effect to this Amendment, the representations and warranties set forth in
Section 9 of the Loan Agreement and in each other Loan Document are true and correct in all material respects on and as of the date hereof with the same effect as if made on and as of the date hereof, except to the extent such
representations and warranties expressly relate solely to an earlier date. 
 3.02. No Defaults. After giving effect to this
Amendment, each Obligor is in compliance with all terms and conditions of the Loan Agreement and the other Loan Documents on its part to be observed and performed and no Default or Event of Default has occurred and is continuing. 

3.03. Authority and Pending Actions. The execution, delivery, and performance by each Obligor of this Amendment has been duly
authorized by each such Obligor (as applicable) and there is no action pending or any judgment, order, or decree in effect which is likely to restrain, prevent, or impose materially adverse conditions upon the performance by any Obligor of its
obligations under the Loan Agreement or the other Loan Documents. 
 3.04. Enforceability. This Amendment constitutes the
legal, valid, and binding obligation of each Obligor, enforceable against each such Obligor in accordance with its terms, except to the extent that enforceability may be limited by applicable bankruptcy, insolvency, moratorium, reorganization, or
other similar laws affecting the enforcement of creditors’ rights or by the effect of general equitable principles. 

  
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 ARTICLE IV 

CONDITIONS PRECEDENT AND FURTHER ACTIONS 

4.01. Conditions Precedent. This Amendment shall not be binding upon Agent, Lenders or any Obligor until each of the following
conditions precedent have been satisfied in form and substance satisfactory to Agent (such date, the “Eighth Amendment Effective Date”): 

(a) The representations and warranties contained herein and in the Loan Agreement, as amended hereby, shall be true and correct in all
material respects as of the date hereof, after giving effect to this Amendment, as if made on such date, except for such representations and warranties limited by their terms to a specific date; 

(b) Each Obligor shall have delivered to the Agent duly executed counterparts of this Amendment which, when taken together, bear the
authorized signatures of the Borrowers, the Agent, and the Lenders; 
 (c) Obligors shall have delivered to Agent a fully-executed copy
of an amendment to the Term Loan Agreement substantially similar to this Amendment (the “Third Amendment to Term Loan Agreement”) and otherwise acceptable to Agent and Lenders; and 

(d) Obligors shall have paid to Agent, for the benefit of itself and Lenders, $175,000 as the first installment of the $250,000 amendment
fee (the “Amendment Fee”), which Amendment Fee is fully earned as of the Eight Amendment Effective Date and payable in two (2) installments with the first such installment due on the Eighth Amendment Effective Date and
the remaining $75,000 due as soon as possible and in any event no later than ninety (90) days following the Eighth Amendment Effective Date, and any failure to pay such remaining balance of the Amendment Fee as set forth herein shall constitute
an Event of Default pursuant to Section 12.1(c) of the Loan Agreement. 
 4.02. Further Actions. Each of the
parties to this Amendment agrees that at any time and from time to time upon the written request of any other party, it will execute and deliver such further documents and do such further acts and things as such other party may reasonably request in
order to affect the purposes of this Amendment. 
 ARTICLE V 

COSTS AND EXPENSES 

Without limiting the terms and conditions of the Loan Documents, notwithstanding anything in the Loan Documents to the contrary, Obligors
jointly and severally agree to pay on demand: (a) all reasonable costs and expenses incurred by Agent in connection with the preparation, negotiation, and execution of this Amendment and the other Loan Documents executed pursuant to this
Amendment and any and all subsequent amendments, modifications, and supplements to this Amendment, including, without limitation, the reasonable costs and fees of Agent’s legal counsel; and (b) all reasonable costs and expenses reasonably
incurred by Agent in connection with the enforcement or preservation of any rights under the Loan Agreement, this Amendment, and/or the other Loan Documents, including, without limitation, the reasonable costs and fees of Agent’s legal counsel.

  
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 ARTICLE VI 

MISCELLANEOUS 
 6.01.
No Course of Dealing. The amendments and consents set forth herein are a one-time accommodation only and relate only to the matters set forth in Article II herein. The amendments and consents are not amendments or consents to any
other deviation of the terms and conditions of the Loan Agreement or any other Loan Document unless otherwise expressly agreed to by Agent and Lenders in writing. 

6.02. Cross-References. References in this Amendment to any Section are, unless otherwise specified, to such Section of this
Amendment. 
 6.03. Instrument Pursuant to Loan Agreement. This Amendment is a Loan Document executed pursuant to the Loan
Agreement and shall (unless otherwise expressly indicated herein) be construed, administered, and applied in accordance with the terms and provisions of the Loan Agreement. Any failure by Obligors to comply with any of the terms and conditions of
this Amendment shall constitute an immediate Event of Default. 
 6.04. Acknowledgment of the Obligors. Each Obligor hereby
represents and warrants that the execution and delivery of this Amendment and compliance by such Obligor with all of the provisions of this Amendment: (a) are within the powers and purposes of such Obligor; (b) have been duly authorized or
approved by the board of directors (or other appropriate governing body) of such Obligor; and (c) when executed and delivered by or on behalf of such Obligor will constitute valid and binding obligations of such Obligor, enforceable in
accordance with its terms. Each Obligor reaffirms its obligations to perform and pay all amounts due to Agent or Lenders under the Loan Documents (including, without limitation, its obligations under any promissory note evidencing any of the Loans)
in accordance with the terms thereof, as amended and modified hereby. 
 6.05. Loan Documents Unmodified. Each of the
amendments provided herein shall apply and be effective only with respect to the provisions of the Loan Document specifically referred to by such amendments. Except as otherwise specifically modified by this Amendment, all terms and provisions of
the Loan Agreement and all other Loan Documents, as modified hereby, shall remain in full force and effect and are hereby ratified and confirmed in all respects. Nothing contained in this Amendment shall in any way impair the validity or
enforceability of the Loan Documents, as modified hereby, or alter, waive, annul, vary, affect, or impair any provisions, conditions, or covenants contained therein or any rights, powers, or remedies granted therein, except as otherwise specifically
provided in this Amendment. Subject to the terms of this Amendment, any lien and/or security interest granted to Agent, for the benefit of Lenders, in the Collateral set forth in the Loan Documents shall remain unchanged and in full force and effect
and the Loan Agreement and the other Loan Documents shall continue to secure the payment and performance of all of the Obligations. 

6.06. Parties, Successors and Assigns. This Amendment represents the agreement of Obligors, Agent and each Lender signatory
hereto with respect to the subject matter hereof, and there are no promises, undertakings, representations, or warranties relative to the subject matter hereof not expressly set forth or referred to herein or in the other Loan Documents. This
Amendment shall be binding upon and inure to the benefit of Obligors, Agent, Lenders, and their respective successors and assigns, except that (a) no Borrower shall have the right to assign its rights or delegate its obligations under any Loan
Documents; and (b) any assignment by a Lender must be made in compliance with Section 14.3 of the Loan Agreement. 

  
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 6.07. Counterparts. This Amendment may be executed in counterparts, each of which
shall constitute an original, but all of which when taken together shall constitute a single contract. Delivery of a signature page of this Amendment by telecopy shall be effective as delivery of a manually executed counterpart of such agreement.
This Amendment may be executed and delivered by facsimile or electronic mail, and will have the same force and effect as manually signed originals. 

6.08. Headings. The headings, captions, and arrangements used in this Amendment are for convenience only, are not a part of this
Amendment, and shall not affect the interpretation hereof. 
 6.09. Miscellaneous. This Amendment is subject to the general
provisions set forth in the Loan Agreement, including, but not limited to, Sections 15.14, 15.15, and 15.16. 

6.10. Severability. Wherever possible, each provision of the Loan Documents shall be interpreted in such manner as to be valid
under Applicable Law. If any provision is found to be invalid under Applicable Law, it shall be ineffective only to the extent of such invalidity and the remaining provisions of the Loan Documents shall remain in full force and effect. 

6.11. Release.  

(a) EACH OBLIGOR HEREBY IRREVOCABLY RELEASES AND FOREVER DISCHARGES AGENT, LENDERS AND THEIR AFFILIATES, AND EACH SUCH
PERSON’S RESPECTIVE DIRECTORS, OFFICERS, EMPLOYEES, AGENTS, MEMBERS, ATTORNEYS AND REPRESENTATIVES (EACH, A “RELEASED PERSON”) OF AND FROM ALL DAMAGES, LOSSES, CLAIMS, DEMANDS, LIABILITIES, OBLIGATIONS, ACTIONS OR CAUSES OF
ACTION WHATSOEVER (EACH, A “CLAIM”) THAT SUCH OBLIGOR MAY NOW HAVE OR CLAIM TO HAVE AGAINST ANY RELEASED PERSON ON THE DATE OF THIS AMENDMENT, WHETHER KNOWN OR UNKNOWN, OF EVERY NATURE AND EXTENT WHATSOEVER, FOR OR BECAUSE OF ANY
MATTER OR THING DONE, OMITTED OR SUFFERED TO BE DONE OR OMITTED BY ANY OF THE RELEASED PERSONS THAT BOTH (1) OCCURRED PRIOR TO OR ON THE DATE OF THIS AMENDMENT AND (2) IS ON ACCOUNT OF OR IN ANY WAY CONCERNING, ARISING OUT OF OR FOUNDED
UPON THE LOAN AGREEMENT OR ANY OTHER LOAN DOCUMENT. 
 (b) EACH OBLIGOR INTENDS THE ABOVE RELEASE TO COVER, ENCOMPASS,
RELEASE, AND EXTINGUISH, INTER ALIA, ALL CLAIMS, DEMANDS, AND CAUSES OF ACTION THAT MIGHT OTHERWISE BE RESERVED BY THE CALIFORNIA CIVIL CODE SECTION 1542, WHICH PROVIDES AS FOLLOWS: A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH 

THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM
OR HER MUST HAVE MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE DEBTOR. 
 (c) EACH OBLIGOR ACKNOWLEDGES THAT IT MAY
HEREAFTER DISCOVER FACTS DIFFERENT FROM OR IN ADDITION TO THOSE NOW KNOWN OR BELIEVED TO BE TRUE WITH RESPECT TO SUCH CLAIMS, DEMANDS, OR CAUSES OF ACTION, AND AGREES THAT THIS AMENDMENT AND THE ABOVE RELEASE ARE AND WILL REMAIN EFFECTIVE IN ALL
RESPECTS NOTWITHSTANDING ANY SUCH DIFFERENCES OR ADDITIONAL FACTS. 

  
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 6.12. Total Agreement. This Amendment, the Loan Agreement, and all other Loan
Documents constitute the entire agreement, and supersede all prior understandings and agreements, among the parties relating to the subject matter hereof. 

6.13. Amendment to Term Loan Agreement. Each of the undersigned Lenders and Agent hereby acknowledge that as of the Eighth
Amendment Effective Date, Obligors, Term Agent and Term Loan Lenders are agreeing to the Third Amendment to Term Loan Agreement in the form attached hereto as Annex I. Agent and Lenders hereby acknowledge and consent to the Third Amendment to
Term Loan Agreement, including, without limitation, for purposes of the Intercreditor Agreement. 
 [Remainder of Page Intentionally Left
Blank] 

  
 9 

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

			
	BORROWERS:
	
	TURTLE BEACH CORPORATION, a Nevada corporation, formerly known as Parametric Sound Corporation
		
	By:	 	 /s/ John Hanson

	Name:	 	John Hanson
	Title:	 	Chief Financial Officer
	
	 VOYETRA TURTLE BEACH, INC.,

a Delaware corporation

		
	By:	 	 /s/ John Hanson

	Name:	 	John Hanson
	Title:	 	Chief Financial Officer
	
	 TURTLE BEACH EUROPE LIMITED,

a company limited by shares and incorporated in England and Wales with company number 03819186

		
	By:	 	 /s/ John Hanson

	Name:	 	John Hanson
	Title:	 	Chief Financial Officer

 Signature Page to Eighth Amendment to Loan, Guaranty and Security Agreement 

 
			
	 BANK OF AMERICA, N.A.,
 as
Agent and Lender

		
	By:	 	 /s/ Matthew Van Steenhuyse

	Name:	 	Matthew Van Steenhuyse
	Title:	 	Senior Vice President

 Guarantor Consent to Eighth Amendment to Loan, Guaranty and Security Agreement 

 GUARANTOR CONSENT 

The undersigned hereby consents to the foregoing Amendment and hereby (a) confirms and agrees that notwithstanding the effectiveness of the foregoing
Amendment, each Loan Document to which it is a party is, and shall continue to be, in full force and effect and is hereby ratified and confirmed in all respects, except that, on and after the effectiveness of the foregoing Amendment, each reference
in any Loan Document to the “Loan Agreement,” “thereunder,” “thereof” or words of like import shall mean and be a reference to the Loan Agreement, as amended by the foregoing Amendment, (b) confirms and agrees that
the pledge and security interest in the Collateral granted by it pursuant to any Security Documents to which it is a party shall continue in full force and effect, (c) acknowledges and agrees that such pledge and security interest in the
Collateral granted by it pursuant to such Security Documents shall continue to secure the Obligations purported to be secured thereby, as amended or otherwise affected hereby, and (d) agrees to be bound by the release set forth in
Section 6.11 of the Amendment. 
  

			
	 VTB HOLDINGS, INC., 
 a
Delaware corporation

		
	By:	 	 /s/ John Hanson

	Name:	 	John Hanson
	Title:	 	Chief Financial Officer

 Guarantor Consent to Eighth Amendment to Loan, Guaranty and Security Agreement 

 ANNEX I 

THIRD AMENDMENT TO TERM LOAN AGREEMENT 

Attached hereto 
 Annex I
to Eighth Amendment to Loan, Guaranty and Security Agreement

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