Document:

Exhibit
10.3

 

 

 

 

 

 

 

 

 

 

 

 

Rail
Vision Ltd

 

Remuneration
Policy for Company Officers 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

      

     

    

 

		a.	General
                                            background, purpose of document 

 

		1.	The
                                            Company attributes great importance to the human factor in all ranks of the Company and particularly
                                            officers in the Company’s management level. Therefore, and in light of past experience, suitable
                                            and appropriate remuneration of Company officers is of considerable importance, inter
                                            alia by offering appropriate remuneration to Company officers for their contribution
                                            to the Company’s business success considering their areas of responsibility and the Company’s
                                            risk management policies amongst other factors.

 

		2.	The
                                            Company has defined its Remuneration Policy for officers in a manner that considers improving
                                            the Company’s business procedures and proceedings in a business environment and also encourages
                                            increasing its profitability over time. The Remuneration Policy was determined to align with
                                            the Company’s business strategy and improve officers sense of identification with the Company
                                            and its activity, increase their satisfaction and motivation and preserve valuable officers
                                            in the long run.

 

		3.	The
                                            Remuneration Policy was determined with an emphasis on the principles stipulated in the Companies
                                            Law, 5759-1999 (hereinafter: Companies Law).

 

		4.	It
                                            is emphasized that this document does not establish any right for officers to whom the principles
                                            of the Remuneration Policy apply or any other third party. The Company is not obligated to
                                            offer officers the components specified in the Remuneration Policy, all or part thereof,
                                            and is not obligated to provide them with the maximal extent of any remuneration component.
                                            The remuneration components that officers are entitled to, will be as individually approved
                                            by the authorized organs in the Company (the Remuneration Committee, Board of Directors and
                                            General Meeting, as applicable and subject to the provisions of the law).

 

		5.	This
                                            policy is not to be considered as exhausting all the provisions of the law or the definitions
                                            therein. This Remuneration Policy does not constitute any substitute or derogates from the
                                            provisions stipulated by existing laws and regulations.

 

		6.	The
                                            Remuneration Policy will apply to remuneration approved as of the date of adopting the policy
                                            by the Company and thereafter. Note that this Remuneration Policy will not undermine existing
                                            engagements between the Company and its officers.

 

		7.	The
                                            Remuneration Policy is phrased in masculine, but refers to men and women alike.

 

		b.	Principles
                                            of the Remuneration Policy

 

The
terms of office and employment of Company officers will be determined considering and according to the following principles:

 

		8.	When
                                            reviewing and approving an officer’s terms of office and employment, the Remuneration Committee
                                            and Board of Directors must consider all the remuneration components, including monthly wages,
                                            accessory conditions, retirement grant (grant, payment, compensation or any other benefit
                                            provided to officers when ending their service for the Company, including the period of advanced
                                            notice) as well as any benefit, payment or obligation for payment or a benefit as said, if
                                            any, awarded on account of his office or employment as said.

 

		9.	The
                                            Company must ensure that its variable remuneration components will not encourage taking risks
                                            beyond the extent of risk desired by the Company, according to the Company’s risk management
                                            policy, as valid from time to time.

 

		10.	When
                                            reviewing and approving the terms of an officer’s office and employment the Remuneration
                                            Committee and Board of Directors will, inter alia consider the officer’s education,
                                            skills, expertise, professional experience and achievements in the Company (if the officer
                                            served in the Company prior to the date of approval) and outside the Company. Additionally,
                                            if required by the Remuneration Committee (and without any obligation), details regarding
                                            officers serving in a number of public companies similar to the Company and whose shares
                                            are traded on Nasdaq, will be presented for the sake of comparison.

 

    2

     

    

 

At
the time of approving the terms of office and employment upon the initial appointment of an officer in the Company and at the request
of the Remuneration Committee, certificates and documents attesting to an officer’s education and professional experience will be presented
to the members of the Remuneration Committee and the Board of Directors.

 

		11.	The
                                            amounts stipulated in the Remuneration Policy will be linked to the increase in the Israeli
                                            Consumer Price Index, every year, once a year, in the month of February, based on the CPI
                                            known for the month of January (published in February). It is clarified that if there will
                                            be a decrease in the CPI as said, the said amounts in the Remuneration Policy will not be
                                            decreased as a result thereof.

 

		12.	Wage
                                            ratio

 

		12.1	In
                                            determining the terms of office or employment, the Remuneration Committee and Board of Directors
                                            will review the ratio between the cost of the terms of office and employment of an officer
                                            and the “wages cost” of the rest of the Company employees and “contractor
                                            workers employed by the Company”1 and will note whether in their opinion,
                                            it is an appropriate and reasonable ratio considering the nature, size and mix of manpower
                                            employed by the Company, as well as its area of operation.

 

		12.2	As
                                            of the date2 of this policy, the ratio between the average cost of the terms
                                            of office and employment of the active Board Chairperson, the Company’s CEO and the other
                                            officers who are not directors (based on their wages cost for a full time 100% position with
                                            the Company), the average wage cost and the median wages of the remaining Company employees
                                            and contractors workers employed by the Company, are:

 

	 	Average
    	Median
	Company
    CEO	1:2.59	1:2.67
	Other
    officers 	1:1.65	1:1.7
	Active
    Board Chairperson (*)	1:1.54	1:1.58

 

(*)
Assuming that the present scope of employment of the Board Chairperson is about 20%.

 

The
Company believes that these are reasonable considering the Company’s size, nature of activity, expertise and skills required of its officers
and nature of its business and also that the said ratios do not adversely affect the work relations in the Company.

 

		12.3	The
                                            ratio between the variable components and the fixed components offered to officers will be
                                            determined according to the Company’s risk management policy and the objectives of this policy.
                                            The congruence between the remuneration components will be expressed by suitable compensation
                                            for valuable employees, whilst encouraging taking measured risks that will improve the Company’s
                                            performances. In every given year, the desired ratio between the variable components and
                                            the fixed components of Company employees will be as follows:3

 

 

1 The meaning of the terms “wages cost” and “contractor workers employed by the
Company” are as defined in section (3) of the First Addendum to Part A of the Companies Law.

 

2 The details in this section are based on the wages cost immediately after completing
the public offering

 

3 It is emphasized that the intention is the planned ratio
only, assuming receiving the target bonus determined for each of the Company’s officers or the relevant subsidiaries (if such exist).
The actual ratio between the components of the remuneration package in a given year, might change due to under-performance or over-performance
that might affect the variable remuneration as said in this policy. In calculating the range as said, payment of a one-time bonus was
not taken into consideration

 

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The
Company CEO, (active) Board Chairperson – the varying remuneration component (bonus and equity based) will be no more than 70%
of the entire cost of the remuneration package (fixed, bonus and equity based). The aforementioned shall not apply to the current terms
of office of the Board Chairperson, Mr. Shmuel Donnerstein, which were approved prior to the date of approval of the remuneration policy,
and for which the present varying remuneration component is 95%. 

 

Other
officers (excluding members of the Board) – the varying remuneration component (bonus and equity based) will be no more than 70%
of the entire cost of the remuneration package (fixed, bonus and equity based).

 

		13.	Immaterial
                                            change in the terms of office and employment 

 

		13.1	An
                                            immaterial change in the terms of office and employment of the Company CEO, will be approved
                                            by the Remuneration Committee and Company’s Board of Directors only, provided that the terms
                                            of the CEO’s terms of office and employment after the said change, will be compatible to
                                            the Remuneration Policy.

 

		13.2	An
                                            immaterial change in the terms of office and employment of the Company’s VP or other officer
                                            subordinate to the CEO, will be approved by the Company’s CEO only, provided that the terms
                                            of office and employment after the said change, will be compatible to the Remuneration Policy.

 

For
purpose of this policy, “immaterial change” will be considered a change of not more than ten percent (10%), compared
to the approved remuneration package (accumulatively over the entire period of the Remuneration Policy), provided that it does not exceed
the limits mentioned in this policy.

 

		c.	Fixed
                                            components 

 

		14.	The
                                            maximal, monthly base salary (hereinafter: “Base Salary”) for Company officers
                                            is specified below:

 

	Position
    	Maximal

    remuneration of

 Base Salary (in

 thousand NIS) 
	Company
    CEO	110
	Other
    officer 	85
	Active
    Board Chairperson / directors who provide services to the Company	90

 

The
amounts in the above table are for a full-time position (100%).

 

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The
Base Salary for purpose of the above table was calculated in terms of employer cost for all fixed components, and when referring to an
officer receiving remuneration as management fees - the full amount of management fees (excluding VAT), excluding (either as an employee
or as management fee) varying salary components (if any) as detailed below.

 

		15.	In
                                            case of an officer employed in a partial position, the amounts will be calculated relatively
                                            compared to the partiality of the position.

 

		16.	The
                                            Base Salary actually paid to each officer, will be reviewed by the Remuneration Committee
                                            and Board of Directors from time to time and updated as necessary (subject to the provisions
                                            of this Remuneration Policy) after reviewing and comparing it to the Company’s business condition
                                            and the manpower employed by the Company at the time.

 

		17.	Officers
                                            employed as part of an employment agreement (meaning do not provide management services as
                                            part of a management agreement with a company owned by them) will be entitled to social benefits
                                            as acceptable in the labor market and as customary in the Company, such as provisions to
                                            provident funds, pension and directors insurance for compensation and severance pay, which
                                            will not be less than the provisions stipulated in the law, as well as provisions to an advanced
                                            study fund, loss of working capacity insurance, vacation, sick leave and convalescence pay.

 

It
is clarified that for officers serving according to a management agreement with a company owned by them, there will be no employee-employer
relations with the Company and they will not be entitled to the accessory conditions in this section, since these are included in the
said management fees.

 

		18.	The
                                            terms of office and employment of officers, whether serving in the Company by virtue of a
                                            management agreement and whether employed by the company as hired employees, might include
                                            additional benefits, such as: a car (by operational lease or in value) and car expenses as
                                            acceptable for officers of their rank, including vehicle and telephone expenses, advanced
                                            study funds beyond the limit of tax exemption, 13th salary, telephone expenses
                                            and cellular telephone (including reimbursement of travel expenses), entitlement to sick
                                            pay from the first day of absence, annual vacation (including accumulating and redeeming
                                            vacation days), holiday gifts, medical testing and more.

 

Additionally,
officers might be entitled to reimbursement/payment of reasonable expenses actually spent as part of their position according to the
Company’s policy, as determined from time to time, including entertainment and living expenses in the capacity of their position, all
according to Company procedures. There is no limit as to the amounts of reimbursement as said.

 

The
Company is entitled to include tax imposed on an officer for a variable component or components of remuneration, including any benefit
provided to the officer.

 

		19.	In
                                            special cases, it will be possible to give a new officer a signing-on bonus in the extent
                                            of up to three (3) times the Base Salary (apart from other grants specified in this policy).
                                            It is clarified that the officer might be required to return the signing-on bonus to the
                                            Company, entirely or partially, if he leaves the Company of his initiative, within two years
                                            from commencing his employment (clawback).

 

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		d.	Variable
                                            components 

 

		20.	The
                                            Company will be entitled to give officers an annual bonus according to parameters and targets
                                            determined in the bonus plan (that will be approved by the Remuneration Committee and Board
                                            of Directors) or individually to each officer or based on the employment agreement or his
                                            office, for each year or a longer period of time, all according to the discretion of the
                                            organ authorized to determine the said targets. The annual bonus for officers will be based
                                            on measurable, qualitative targets or any combination thereof. When an officer is a controlling
                                            party or a relative of a controlling party in the Company as defined in the law, additional
                                            approvals will be required according to the law.

 

The
quantitative measures will be determined in advance and evaluating performances based on quality measures will be reviewed retroactively.
The Board of Directors will be entitled to decide on changing the targets for any officer in the Company by recommendation of the Renumeration
Committee. It is clarified that changing targets retroactively, will be done under special circumstances (for example – changing
a position during the year, a change in the Company’s activity or assets, entering new projects, performing material transactions during
the year which require that the officer avert his managerial attention thereto) or material events that occurred, which justify changing
targets in a manner that is required under the circumstances or special events, all without undermining the Company’s best interests.

 

The
relative weight of the personal and qualitative targets of the total bonus targets will be as follows:

 

	Position	Relative
    weight
	Personal
    measurable targets	Company
    level measurable

    targets	Qualitative

    targets
	Company
    CEO	80%-100%	0%-20%
    but no more than 3 base salaries

	Active
    Board Chairperson / directors who provide services to the Company	80%-100%
	0%-20%
                                            but no more than 3 base salaries

	Other
    officers (excluding directors)	30%-60%	30%-50%	30%-60%

 

Nonetheless,
the scope of the bonus for the Company CEO, based on qualitative, discretional targets, will not exceed three (3) times the Base Salary.

 

		21.	Measurable
                                            Targets 

 

		21.1	Personal
                                            Targets: will include at least one of the measurable components directly effected by the
                                            activity of the relevant officer, such as: the parameter of completing milestones in significant
                                            projects, the parameter of adhering with internal procedures and complying with the provisions
                                            of the law. These targets will inter alia include long term targets.

 

		21.2	Company
                                            level targets: one or more of the following measurable components: net profit, EBITDA, operational
                                            profit, profit before tax, sale, strategic partnership, strategic contracts, revenues, return
                                            on capital, increase in profitability or sales compared to previous years or primary performance
                                            parameters.

 

		22.	Determining
                                            the targets 

 

The
Company organs who are authorized to determine the measurable targets, for which a bonus is paid in a certain year, are as follows: for
a Director – the General Meeting (excluding the exceptions detailed below); for the Company CEO – the Remuneration Committee
and the Board of Directors; for the other officers – the Company CEO or the Remuneration Committee or the Board of Directors.

 

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Notwithstanding
the above, if all the terms enumerated in section (a) or (b) below are met, the targets for which a bonus is paid to a director in a
certain year shall be determined by the Remuneration Committee and the Board of Directors (not the General Meeting):

 

(a)
The decision of the Remuneration Committee and the Board of Directors regarding the determination of the targets is in accordance with
the Remuneration Policy; the targets will be measurable targets only; the scope of the potential bonus to be awarded on the basis of
such targets shall not exceed three (3) salaries; the targets were determined in advance by the Remuneration Committee and the Board
of Directors.

 

(b)
The decision of the Remuneration Committee and the Board of Directors regarding the determination of the targets is in accordance with
the Remuneration Policy; the officer in regard to which said targets are determined is an officer, who in addition to serving as a director
also serves in an operative or managerial position in the Company; the approval of said targets by the Remuneration Committee and the
Board of Directors was adopted without participation of the directors who receive target-based remuneration from the Company (whether
as directors or as other officers of the Company).

 

The
Company organs, who are authorized to approve bonuses based on unmeasurable criteria, are as follows: for a director – the General
Meeting; for the Company CEO (who is not a director) – the Remuneration Committee and the Board of Directors; for the other officers
– the Company CEO and the Remuneration Committee. If the officer is a controlling shareholder of the Company or a relative of such,
as defined in the Law, further approvals are required under law.

 

By
approving the Remuneration Policy, the meeting hereby authorizes the organs above to determine the targets.

 

In
addition to the targets per se, the relevant, authorized organ will also determine guidelines or a numerical formula for calculating
entitlement to the bonus, according to compliance with the defined targets, such as a minimal threshold for entitlement and relative
entitlement. In lack of any other definition, calculating the rate of the target bonus that an officer is entitled to, will be done in
a linear manner, so that the officer will be entitled to the relative part of the annual bonus or the relative part for each bonus separately,
as determined for that officer according to the percentage of his compliance with targets (for example: complying with 80% of the targets
(or a certain target), entitles the officer to 80% of the target bonus determined for fully complying with targets (or the relevant target)).

 

		23.	Qualitative
                                            Targets

 

Evaluating
performances, will be done as customary in the Company as part of employee evaluations and will also refer to non-financial criteria.
The evaluation will inter alia refer to the officer’s long-term contribution and long-term performances.

 

		24.	Threshold
                                            conditions for entitlement to an Annual Bonus

 

The
Company may determine one or more threshold conditions, whereas not complying with them will prevent payment of an annual bonus based
on measurable targets, yet in these cases, the Remuneration Committee can decide, for reasons to be stated, to pay the said bonus, inter
alia considering events or circumstances that occurred and justify payment as said.

 

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		25.	Limit
                                            of Annual Bonus

 

The
maximal, annual bonus for Company officers is as follows:

 

	Position
    	Maximal,
    annual bonus
	CEO	6
    times the Base Salary
	Active
    Board Chairperson	4
    times the Base Salary
	Other
    officers (excluduing directors but including directors who hold other positions in the Company)	4
    times the Base Salary

 

		26.	Date
                                            for paying the bonus

 

		25.1	The
                                            annual bonus will be paid to officers once a year, after receiving the certificates required
                                            according to the law and shortly after the submitting the Company’s audited financial statements
                                            for the relevant year.

 

		25.2	The
                                            Company is entitled to approve advancing the annual bonus or payment on account of the annual
                                            bonus, as the Remuneration Committee deems right. If an officer will be paid any excess payments
                                            on account of the annual bonus, such payments will be considered an agreed and specific debt
                                            by the officer to the Company and the Company will be entitled to deduct and offset the said
                                            debt from the officer’s salary and/or any other payment that the Company is required to pay
                                            the officer.

 

		27.	Material
                                            one-time events 

 

For
the purpose of calculating the bonuses (including the entitlement to bonuses) the Remuneration Committee and the Board of Directors may
(but are not obligated to) discount from the Company’s financial outcomes nonrecurring events, whether such discount will increase
the bonus or establish an entitlement for the bonus, or whether such discount will decrease the bonus or following which there will be
no entitlement to a bonus, according to the nature of the event and its impact, as detailed below:

 

		26.1	Business
                                            related changes: nonrecurring transactions that are not part of the ordinary course of
                                            business, whether or not such were taken into consideration when determining the Company’s
                                            budget.

 

		26.2	Accounting
                                            related changes: changes in accounting standards during the year or in the interpretation
                                            of their application by the accounting authorities or the Securities Authority, early adoption
                                            of accounting standards, change in the implementation of accounting policies, change in accounting
                                            classification, material estimate change, an event that requires restatement of previous
                                            period comparative data which has a significant impact on the outcomes of the reporting period,
                                            etc. For the avoidance of any doubt, an accounting related change that affects comparative
                                            data of previous periods does not affect the remuneration that was actually granted in the
                                            years preceding the adoption of said change.

 

		26.3	Tax
                                            related changes: changes in tax rates, changes in legislation, regulations, or the position
                                            of the tax authorities in Israel, or a settlement with or ruling from the tax authorities,
                                            resulting in significant changes in tax expenses or tax payments, changes in tax expenses
                                            or tax payments for previous years whether by agreement or following a court order, etc.

 

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		26.4	Force
                                            Majeure events: force majeure events or a general state of emergency or an assault against
                                            the Company and its systems (including a cyber-attack), etc.

 

		26.5	In
                                            extraordinary events, the Company’s Board of Directors will have discretion in cases that
                                            the Company materially amended its work plan or strategy during a certain year, to apply
                                            adjustments for any target bonus determined for a certain year, whether referring to an increase
                                            or decrease in the target bonus. Nonetheless, when an officer or CEO is a controlling party
                                            or relative thereof as defined in the Law, additional approvals will be required according
                                            to the law.

 

		28.	Issuance
                                            Bonus

 

The
Company has decided to exclude any one-time bonus given for issuance of the Company on the Tel Aviv Stock Exchange from this Remuneration
Policy. The total one-time bonuses for this event, for each of the Company’s officers and/or acting director, will not exceed four (4)
times the actual Base Salary of the relevant officer.

 

Furthermore,
if the Company completes an issuance or registers for trade on a foreign stock change, the relevant authorized organ may decide to grant
a special bonus payment to any of the officers (including the CEO), in an amount equal to no more than six (6) times the actual Base
Salary of the relevant officer.

 

		29.	Entitlement
                                            of an employee that ended his office

 

		28.1	The
                                            annual bonus will be paid to officers who worked and/or provided the Company and/or an investee
                                            corporation with services at least 5 months before approving the financial statements of
                                            that year. Calculating the annual bonus for an officer as said, will be done relatively for
                                            the months in the calendar year for which that person is entitled to the bonus.

 

		28.2	An
                                            officer who resigned, will not be entitled to payment of a bonus for his year of resignation.

 

		28.3	An
                                            officer that was dismissed for circumstances that negate the right to severance pay, will
                                            not be entitled to payment of the bonus.

 

		28.4	An
                                            officer dismissed during a calendar year, yet not for circumstances negating the right to
                                            severance pay, will be entitled to a relative bonus for the year of terminating his employment
                                            and the bonus will be paid relatively to his period of employment that year.

 

		30.	If
                                            the Company’s consolidated and audited financial statements will be amended and restated
                                            in a manner that had the annual bonus amount due to an officer for that year been calculated
                                            according to the amended details, the officer would have received a bonus in a different
                                            amount, the Company will pay the officer or the officer will return to the Company, as applicable,
                                            the difference between the amount of the bonus that the officer received and the amount due
                                            to the officer according to the said amendment, all within a period determined by the Board
                                            of Directors that will not exceed six (6) months (subject to the possibility of extending
                                            the period up to six (6) additional months if the amount of the return is higher than thirty
                                            percent (30%) of the officer’s annual, base salary), all provided that 12 quarters have not
                                            passed from the date of approving the bonus for the officer. It is clarified, that restatement
                                            of details in the financial statements resulting from revisions in the law, regulations or
                                            accounting principles, will not be considered as restatement requiring application of the
                                            said in this section.

 

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		31.	Additionally,
                                            in special cases, the Board of Directors is entitled to decrease the annual bonus, postpone
                                            payment, entirely or partially, or register a provision on account thereof in the financial
                                            statements and pay the bonus at a time determined by the Board.

 

		e.	One-time
                                            bonus

 

		32.	Following
                                            the approval of the Remuneration Committee, the Board of Directors is entitled to decide
                                            to grant a one-time bonus for a Company officer’s exceptional efforts or achievements (hereinafter:
                                            One-time Bonus).

 

		33.	The
                                            One-time Bonus will not exceed the sum equaling three (3) times the Base Salary of the relevant
                                            officer, yet if the One-time Bonus is awarded to the Company CEO for discretionary targets
                                            not determined in advance, the One-time Bonus, together with any other discretionary bonus
                                            awarded to the Company CEO that same year, will not exceed two (2) times the Base Salary.
                                            When the Company CEO or an officer is also a controlling party or a relative of a controlling
                                            party in the Company, additional approvals will be required according to the law.

 

For
the avoidance of doubt, the One-time Bonus is in addition to the limits stipulated in section ‎25 above.

 

		34.	The
                                            provisions of section ‎30 above will also apply to a One-time Bonus.

 

		f.	Equity
                                            Based Compensation 

 

		35.	Subject
                                            to the provisions of the law and as an incentive for officers to generate profits for the
                                            Company and reinforce the connection between the interests of Company officers and its shareholders,
                                            the Company’s Remuneration Committee and Board of Directors will be entitled to decide to
                                            grant its officers restricted shares, options for shares, “phantom” shares (options
                                            that settling them can be done in cash), non-recourse loans and guarantees for loans for
                                            purpose of purchasing Company shares, all according to the long term remuneration plan to
                                            be formulated and adopted by the Company institutions, from time to time. As of the date
                                            of approving this Remuneration Policy, the Company has an employee and officers option plan
                                            that was approved in 2017.

 

		36.	The
                                            exercise price will be as determined by the Board of Directors for every offeree and as specified
                                            in the relevant allotment agreement and if relevant for an offeree – according to principles
                                            of the Remuneration Policy, provided that if not determined otherwise, the price of exercising
                                            the options to offerees who are officers in the Company, will not be less than the share
                                            price on the date of the decision of the Board of Directors regarding the grant and in any
                                            case will not be less than the average price of a Company share on the Stock Exchange during
                                            thirty (30) trading days preceding the date of the Board’s decision approving granting the
                                            equity based compensation to the offeree. Unless determined otherwise by the Company’s Board
                                            of Directors, the exercise price will be adjusted as a result of a dividend distribution.

 

		37.	In
                                            case of options, exercising might be done by way of cashless exercise, cash or a combination
                                            of the two, as determined by the Board of Directors.

 

		38.	The
                                            value of the annual grant at the time of granting the options (and in relation to equity
                                            based remuneration made in cash, such as “phantom” shares – the payment
                                            date) will not exceed:

 

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	Position
    	Maximum
    annual benefit value
	CEO	12
    times the Base Salary
	Active
    Board Chairperson / active directors who provide services to the Company4	10
    times the Base Salary
	Other
    officers (excluduing directors but including directors who hold other positions in the Company)	10
    times the Base Salary
	 	 

 

Calculating
the value of the annual bonus will be done based on linear division over the vesting period and not based on registering an accounting
expense (meaning – the economic value at the time of the grant, divided by the number of vesting years).

 

The
aforesaid in this section shall not apply to an equity based remuneration to a director, except for an active chairman of the board and
except for a director who provides services to the company.

With
regard to equity grants to directors, who are not engaged by the Company in other position, the value of the grant, upon its issuance
date, shall be limited according to section 53 hereinafter.

 

		39.	Unless
                                            the Board of Directors determined otherwise in regard to a certain offeree or a certain bonus
                                            (a determination that will not be subject to the approval of shareholders, unless the said
                                            approval is required according to the applicable law) and a provision as said was included
                                            in the relevant allotment agreement, then the securities will vest (becoming exercisable)
                                            along a period of at least 3 years.

 

		40.	The
                                            Board of Directors will be entitled to determine that in case of merging the Company (a merger
                                            of the Company with another or into another corporation or selling all or most of the Company
                                            assets or shares) or a change in control of the Company or a material investment event in
                                            the Company (an investment being “material” will be determined by the Company’s
                                            Board of Directors) or selling or granting an exclusive license for most of the Company’s
                                            intellectual property, an acceleration of all or part of the remaining securities yet to
                                            be vested will be done.

 

		41.	The
                                            period of exercising each vested security will be up to 10 years from the date of granting
                                            it (or a shorter period as determined by the Company organs).

 

		42.	The
                                            Remuneration Committee will be entitled to condition vesting of securities, all or part thereof,
                                            by achieving additional targets determined on the allotment date and to also determine conditions
                                            for depriving securities yet to be vested from an officer.

 

		43.	Every
                                            allotment will be subject to receiving the approval of the Stock Exchange and complying with
                                            the conditions determined in the Stock Exchange regulations and guidelines, including in
                                            regard to a minimal share price.

 

		g.	Ending
                                            office

 

		44.	All
                                            the officers will be entitled to release of funds accumulated in their favor and their name
                                            in designated provident funds for pension and severance pay.

 

		45.	All
                                            the officers engaged in employee-employer relations, will be entitled to severance pay according
                                            to the requirements of the Severance Pay Law.

 

 

4 The aforementioned shall not apply to the current terms of office of the Board
Chairperson, Mr. Shmuel Donnerstein

 

    11

     

    

 

		46.	Company
                                            officers will be entitled to an advanced notice period and adjustment bonus in terms of salary
                                            upon ending their employment (if ending their employment is not under circumstances depriving
                                            their entitlement to severance pay) as described in the following table:

 

	 	Maximal
    advanced notice period (in months) 	Maximal
    adjustment period (in months) 
	Company
    CEO	5	4
	Other
    officers 	4	3
	Active
    Board Chairperson	3	3

 

The
Company’s Board of Directors will have the option of shortening the advanced notice period.

 

During
the advanced notice period, an officer is required to continue to actually be employed by the Company. During the advanced notice period,
the employee-employer relations between the Company and the officer will continue to apply and therefore, the officer will be entitled
to all remuneration components, including the annual bonus that the officer will be entitled to if he continues to actually be employed
by the Company, proportionally to the period of actually working that year. Notwithstanding the said, the Company’s Board of Directors
will be entitled to waive an officer’s work during the advanced notice period, entirely or partially, provided that the Company or an
investee company, as applicable, will continue to pay the remuneration and accessory conditions due to the officer according to the agreement
with the officer for the entire advanced notice period.

 

		h.	Indemnity,
                                            exemption and insuring the liability of officers

 

		47.	Company
                                            officers and directors will be entitled to officers’ liability insurance and exemption and
                                            indemnity letters according to the provisions of the law, as approved by the Company and
                                            provided (if provided) from time to time.

 

		48.	The
                                            main terms of directors and officers liability insurance will be:

 

		48.1	The
                                            liability limit will not exceed 25 million USD per event and per annual insurance period,
                                            plus additional expenses.

 

		48.2	The
                                            premium and deductibles will be according to the market conditions for that year as valid
                                            at the time of preparing the insurance policy and the cost will not be material to the Company.
                                            The Company will consult with its external insurance consultants to establish the market
                                            conditions as said.

 

		49.	Directors
                                            and officers liability insurance (run-off) – the Company will be entitled to purchase
                                            a run-off directors and officers liability insurance policy for directors and officers that
                                            served in regard to the relevant activity, subject to the following conditions: (a) the insurance
                                            period will not exceed 7 years, (b) the liability limit will not exceed 25 million USD and
                                            the minimum will be the liability limit of the previous policy, (c) the cost of premium and
                                            deductibles will be according to market conditions at the time of preparing the insurance
                                            policy and the cost will not be material to the Company. The Company will consult with its
                                            external insurance consultants to establish the market conditions.

 

    12

     

    

 

		50.	Any
                                            purchase of any officers insurance policy as said or renewal thereof during the validity
                                            of this Remuneration Policy, will not require any additional approval by Company shareholders,
                                            provided that the Remuneration Policy was approved by the Company’s General Meeting and that
                                            the Company’s Remuneration Committee confirmed that the purchased policies comply with the
                                            above terms, are in accordance with market conditions and cannot materially affect the Company’s
                                            profitability, property or liabilities.

 

		i.	Directors
                                            remuneration 

 

		51.	The
                                            Company’s directors, including external directors and directors included among controlling
                                            parties or interested parties in the Company, except for directors serving in an active position
                                            (such as: the Board Chairperson or a director who serves as an officer of the Company) or
                                            an additional position in the Company or service providers to the Company that receive compensation
                                            for their service, will be entitled to remuneration according to the Companies Ordinances
                                            (Rules regarding Remuneration and Expenses of External Directors), 5760-2000, as determined
                                            by the Company, from time to time, according to the Company’s rating. An inactive chairman
                                            of the Board of Directors will be entitled to remuneration of up to 2 times the remuneration
                                            paid to an ordinary director.

 

		52.	Notwithstanding
                                            the aforesaid, the following actions will not be considered excluding this policy, provided,
                                            if necessary, that the said actions were duly approved by the required organs according to
                                            the provisions of the Companies Law:

 

		52.1	A
                                            director waived the remuneration due to him, entirely or any part thereof;

 

		52.2	The
                                            organs authorized according to the law approved another or additional payment for a director
                                            for his office in an additional position in the Company or an associated company.

 

		53.	The
                                            Company will be entitled to grant Company directors, including external directors, equity-based
                                            compensation according to the restrictions stipulated in this Remuneration Policy and subject
                                            to the provisions of the law, provided that the value of the annual grant at the time of
                                            granting the options, for each director (excluding directors engaged in other positions by
                                            the Company) will not exceed US$ [50,000] for each vesting year. The maximum annual benefit
                                            value of equity grant to directors engaged in other positions by the Company is subject to
                                            the limit of the bonus value included in section ‎38 above.

 

		j.	Additional
                                            general provisions

 

		54.	Officers
                                            to whom this Remuneration Policy will apply, can be Company employees or independent contractors
                                            providing services to the Company. If an officer will provide services to the Company as
                                            an independent contractor, the provisions of the Remuneration Policy will apply, mutatis
                                            mutandis, the remuneration of the officer will be paid in exchange for an invoice and
                                            the remuneration components will be normalized, so that in overall economic terms, they will
                                            align with the said in this policy.

 

		55.	The
                                            Remuneration Policy will apply to remuneration approved as of the date of adopting the policy
                                            by the Company and thereafter. Note that this Remuneration Policy will not undermine existing
                                            engagements between the Company and its officers.

 

*** 

 

 

13Exhibit 10.4

 

AMENDED AND RESTATED INVESTORS’ RIGHTS
AGREEMENT

 

THIS AMENDED AND RESTATED INVESTORS’ RIGHTS
AGREEMENT (this “Agreement”) made as of the 13 day of October 2020, by and among Rail Vision Ltd., a company incorporated
under the laws of Israel (the “Company”), Knorr-Bremse Systeme für Schienenfahrzeuge GmbH, a company incorporated
under the laws of Germany (“KB”) and Foresight Autonomous Holdings Ltd., (“Foresight”) (KB and Foresight
shall be referred to each as an “Investor” and collectively the “Investors) and the individuals listed
in Schedule II attached hereto (each a “Founder”, collectively the “Founders”).

 

W I T N E S S E T H:

 

WHEREAS, the Investors,
the Founders, and the Company entered into the Investors’ Rights Agreement, dated March 14, 2019 (the “Prior Agreement”);
and

 

WHEREAS, the Investors,
the Founders and the Company desire to set forth certain matters regarding the ownership of the shares of the Company, thereby amending
and replacing the Prior Agreement with the provisions set forth in this Agreement.

 

NOW, THEREFORE, in
consideration of the mutual promises and covenants set forth herein, the parties hereby agree to amend and restate the Prior Agreement
to read in its entirety as follows:

 

		1	Affirmative Covenants.

 

1.1 Delivery
of Financial Statements. The Company shall deliver to (i) each Founder, for as long as such Founder holds at least three percent
(3%) of the Company’s issued and outstanding share capital (on an as-converted basis); and (ii) each Investor, for as long as such
Investor, together with its Permitted Transferees (as defined in the Amended Articles (as defined below)) holds at least three percent
(3%) of the Company’s issued and outstanding share capital (on an as-converted basis) (each qualified individual or entity pursuant
to sub-sections (i) and (ii), a “Qualified Holder”):

 

1.1.1 As
soon as practicable, but in any event within ninety (90) days after the end of each fiscal year of the Company, a consolidated balance
sheet of the Company and statement of shareholder equity of the Company as of the end of such year, and consolidated statements of income
and statements of cash flow of the Company for such year, setting forth in each case in comparative form the figures for the previous
fiscal year, all in reasonable detail, prepared in accordance with United States generally accepted accounting principles (“GAAP”),
audited by a firm of Independent Certified Public Accountants affiliated with one of the “Big 4” international accounting
firms, and accompanied by an opinion of such firm which opinion shall state that such balance sheet and statements of income and cash
flow have been prepared in accordance with GAAP applied on a basis consistent with that of the preceding fiscal year, and fairly present
the financial position of the Company as of their date, and that the audit by such accountants in connection with such financial statements
has been made in accordance with GAAP; It is hereby clarified that if, for any reason, the Company is required to report in accordance
with International Financial Accounting Standards (“IFRS”), they shall be deemed to meet the definition of “GAAP”
for the purpose of this document.

 

     

     

    

 

1.1.2 As
soon as practicable, but in any event within sixty (60) days after the end of each of the first three quarters of each fiscal year of
the Company, an unaudited consolidated balance sheet of the Company as at the end of each such period and unaudited consolidated statements
of income and statements of cash flow of the Company for such period and, for the period from the beginning of the current fiscal year
to the end of such quarterly period, setting forth in each case in comparative form the figures for the corresponding period of the previous
fiscal year, all in reasonable detail and certified, by the chief financial officer (or if none, by another executive officer) of the
Company (the “CFO”), that such financial statements were prepared in accordance with GAAP applied on a basis consistent
with that of preceding periods and, except as otherwise stated therein, fairly present the financial position of the Company as of their
date subject to (x) there being no footnotes contained therein and (y) changes resulting from year-end audit adjustments.

 

1.2 Annual
Budget. The management of the Company shall establish annually a comprehensive operating budget for the Company (the “Annual
Budget”), in consultation with the board of directors. The Annual Budget for the following year shall include, without limitation,
a forecast of the Company’s revenues and expenses and a cash position on a month-to-month basis, and shall be submitted to the Board
for its approval and shall be delivered to each Qualified Holder at least thirty (30) days prior to the first day of the year covered
by such Annual Budget.

 

1.3 Quarterly
Management Report. The Company shall deliver to the Qualified Holders a quarterly management report within ten (10) days of end
of each quarter (i.e. 10th of January, 10th of April, 10th of June, 10th of October of each year) in a concise form agreed by the board
of directors of the Company. The management report shall describe: (i) expenditures for the quarter compared to the Annual Budget and
year to date expenditures compared to the Annual Budget; (ii) activities and goals planned for the next quarter; and (iii) progress in
achieving goals set out for the previous quarter.

 

1.4 Additional
Information. Such other information relating to the financial condition, business or corporate affairs of the Company, as such
Qualified Holder may from time to time reasonably request.

 

1.5 Visitation
Rights. The Company will permit the authorized representatives of each Qualified Holder full and free access, coordinated with
the Company at all reasonable times, and upon reasonable prior notice, to any of the properties of the Company and its Subsidiaries (as
defined below), including its books and records to review and copy them at each Qualified Holder’s discretion, to discuss its affairs,
finances and accounts with the Company’s (and the Subsidiaries) officers, auditor, accountants and legal advisors and to inspect
the properties of the Company and consult with the management of the Company and auditor, for any purpose whatsoever. In addition, the
Company will inform the Qualified Holders: (a) immediately upon the happening of any event reasonably likely to have a significant impact
upon the Company or its business, of such event and its implications other than an event which effects the public at large or the field
in which the Company operates; provided, however, that the Company will immediately inform any Qualified Holder upon the happening of
an event having a material adverse effect on the Company and/or its business; and (b) such other information and data with respect to
the Company, its parent or its subsidiaries or its affiliated entities as the Qualified Holders may from time to time reasonably request.
This Section 1.5 shall not be in limitation of any rights which the Qualified Holders or any director appointed by any Qualified Holder
may have under the applicable law. All information and visitation rights shall be subject to customary secrecy and confidentiality undertakings.

 

    -2-

     

    

 

1.6 Accounting.
The Company will maintain and cause each of its Subsidiaries, if any, to maintain a system of accounting established and administered
in accordance with GAAP consistently applied, and will set aside on its books and cause each of its operating Subsidiaries, if any, to
set aside on its books all such proper reserves as shall be required by GAAP.

 

1.7 Proprietary
Information and Non-Competition Agreements. The Company will not employ, or continue to employ, any person who will have access
to confidential information with respect to the Company and its Subsidiaries and their operations unless such person has executed and
delivered a Proprietary Information and Non-Competition Agreement in the form approved by the board of directors from time to time.

 

1.8 Confidentiality.
The Qualified Holders agree that any information obtained pursuant to Sections 1.1 and 1.2 and any other information disclosed to the
Qualified Holders relating to the Company of a confidential nature will not be disclosed without the prior written consent of the Company;
provided that a Qualified Holder may disclose such information to its officers, directors, employees and advisors on a need to
know basis, provided that such officers, directors, employees and advisors are subject to confidentiality obligations similar to the confidentiality
obligations of this Agreement, and provided further that, in connection with periodic reports to their shareholders or partners, the Qualified
Holder may, without first obtaining such written consent, make general statements, not containing technical or other confidential information,
regarding the nature and progress of the Company’s business; and provided further, that the Qualified Holder may provide summary
information regarding the Company’s financial information in their reports to their respective shareholders or partners, but may
not annex to such reports the full financial information to be provided hereunder by the Company; and provided further, however, that
in the event that a Qualified Holder is required to annex financial information obtained pursuant to Section 1.1 to such reports, such
Qualified Holder shall exert its reasonable efforts to avoid annexing such financial information, in a manner consistent with applicable
law or regulation and practice, but to the extent that its efforts are unsuccessful, such Qualified Holder shall be entitled to annex
such financial information to such reports. For the avoidance of doubt, Confidential Information shall not include any information which:
(1) was in the public domain prior to the time of disclosure by the Company; (2) enters the public domain after disclosure by the Company
to a Qualified Holder through no action or inaction of such Qualified Holder; (3) is already in the possession of a Qualified Holder free
of any obligation of confidentiality at the time of disclosure by the Company; or (3) is required by law to be disclosed by the Qualified
Holder; provided that such Qualified Holder shall use all commercially reasonable efforts to maintain the confidentiality of such disclosed
information and further provided that the Qualified Holder promptly as practicable notifies the Company of such disclosure and takes reasonable
steps to minimize the extent of any such required disclosure. Notwithstanding the foregoing, the Qualified Holder may disclose confidential
information relating to the Company to a potential acquirer of the Qualified Holder’s shares in the Company provided such potential
acquirer or any of its affiliates is not a competitor of the Company and signs a confidentiality agreement, which is delivered to the
Company; and further provided, however, that the Company shall not be obligated to provide access to any information if based upon advice
of its legal counsel, such disclosure would adversely affect the attorney-client privilege between the Company and its counsel or if such
disclosure would create any conflict of interest with the Company.

 

1.9 Director
and Officers Insurance. Within 90 days following the date hereof, the Company will obtain and maintain, with financially sound
and reputable insurers (and shall pay all premiums and maintain in full force and effect), a Directors and Officers Indemnity Insurance
(“D&O”) for acts and omissions of the members of the board of directors with a coverage amount as shall be determined
by the board of directors. Such D&O shall remain in effect for as long as the members of the board of directors appointed by the Qualified
Holders are in office.

 

    -3-

     

    

 

1.10 Employee
Share Option Plan. Unless otherwise approved by the board of directors all options granted to employees under the Company’s
Employee Share Option Plan shall have (i) vesting of shares over a three (3) year period, with the first thirty three and one third percent
(33.3%) of such shares vesting following twelve (12) months of continued employment or service, and the remaining shares vesting in equal
quarterly installments over the following twelve (8) quarters; and (ii) a “Lock-Up” provision substantially similar to that
in Subsection 2.11 herein.

 

1.11 Termination
of Financial Information Rights. The Company’s obligation to deliver the financial statements and other information under
Sections 1.1, 1.2, 1.3, 1.4 and 1.5 shall terminate and shall be of no further force or effect upon the closing of the Company’s
initial public offering of its Ordinary Shares (the “IPO”). Thereafter, the Company shall deliver to the Qualified
Holders, and its assignees or transferees, such financial information as the Company from time to time provides to other holders of its
shares.

 

1.12 Subsidiaries.
The provisions of this Section 1 shall apply to any Subsidiary of the Company. For purposes of this Section 1, “Subsidiary”
means any corporation or entity at least a majority of whose voting securities or voting rights are at the time owned or held by the Company,
or by one or more Subsidiaries, or by the Company and one or more Subsidiaries.

 

		2	Registration. The following provisions govern the registration of the Company’s securities:

 

2.1 Definitions.
As used herein, the following terms shall have the following meanings:

 

“Amended Articles”
means the Amended and Restated Articles of Association of the Company, as amended from time to time.

 

“Excluded Registration”
means (i) a registration relating to the sale or grant of securities to employees of the Company or a subsidiary pursuant to a share option,
share purchase, or similar plan; or (ii) a registration relating to a SEC Rule 145 transaction.

 

“Form F-3”
means Form F-3 under the Securities Act of 1933, as amended (the “Securities Act”), as in effect on the date hereof
or any registration form under the Securities Act subsequently adopted by the Securities and Exchange Commission (“SEC”)
which permits inclusion or incorporation of substantial information by reference to other documents filed by the Company with the SEC.

 

“Founder Registrable
Securities” means (i) Ordinary Shares held by the Founders, and (ii) any Ordinary Shares issued as (or issuable upon the conversion
or exercise of any warrant, right, or other security that is issued as) a dividend or other distribution with respect to, or in exchange
for or in replacement of such shares; provided, however, that (a) any Ordinary Share that is sold in a registered sale pursuant
to an effective registration statement under the Securities Act or pursuant to Rule 144 thereunder or that may be sold (as confirmed by
an unqualified opinion to counsel of the Company) without restriction as to volume or otherwise pursuant to Rule 144(k) under the Securities
Act; or (b) shares sold in a transaction in which the transferor’s rights under this Agreement are not assigned in accordance with
the provisions herein - shall not be deemed Founder Registrable Securities.

 

    -4-

     

    

 

“Holder”
means any holder of outstanding Registrable Securities or shares convertible into Registrable Securities or any assignee thereof in accordance
with Section 2.10 of this Agreement.

 

“Initiating Holders”
means Holders holding more than forty percent (40%) of the Registrable Securities (which shall include the Investors, but excluding, for
the avoidance of doubt, the Founder Registrable Securities), assuming for purposes of such determination the conversion of all shares
convertible into Registrable Securities.

 

“KB” means
Knorr-Bremse Systeme fur Schienenfahrzeuge GmbH, a company incorporated under the laws of Germany, and/or any of its Permitted Transferees.

 

“Ordinary Shares”
mean ordinary shares of the Company par value NIS 0.01 each.

 

“Preferred Shares”
mean the any class of preferred shares of the Company.

 

“Register”,
“registered” and “registration” refer to a registration effected by filing a registration statement
in compliance with the Securities Act and the declaration or ordering by the SEC of effectiveness of such registration statement, or the
equivalent actions under the laws of another jurisdiction.

 

“Registrable Securities”
means (i) all Ordinary Shares issuable upon conversion of the Preferred Shares, (ii) all Ordinary Shares issued by the Company as (or
issuable upon the conversion or exercise of any warrant, right or other security that is issued as) a dividend or other distribution with
respect to, or in exchange for, or in replacement of, the shares referenced in (i) above, (iii) the Founder Registrable Securities; provided,
however, that such Founder Registrable Securities shall not be deemed Registrable Securities and the Founders shall not be deemed
Holders for the purposes of Sections 2.3 and 2.4 and (iv) all Ordinary Shares that the Investors may hereafter purchase pursuant to their
preemptive rights, rights of first refusal or otherwise, or Ordinary Shares issued on conversion or exercise of other securities so purchased;
provided, however, that any Ordinary Shares that could be distributed by the holder thereof (in accordance with applicable law)
within any three (3) month period pursuant to Rule 144 promulgated under the Securities Act, if such securities then held by such Holder
constitute less than one percent (1%) of the Company’s outstanding equity securities shall not be deemed to be Registrable Securities.

 

“Restricted Securities”
means the securities of the Company required to be notated with the legend set forth in Section 2.18(a) hereof.

 

    -5-

     

    

 

2.2 Incidental
(“Piggy-Back”) Registration. If the Company at any time proposes to register any of its securities, other than in
connection with (i) an IPO in which no Holder is selling any Registrable Securities; or (ii) a registration under Section 2.3 or Section
2.4 of this Agreement or on a form S-4 or S-8 or equivalent thereof, it shall give notice to the Holders of such intention. Upon the written
request of any Holder given within twenty (20) days after receipt of any such notice, the Company shall include in such registration all
of the Registrable Securities indicated in such request, so as to permit the disposition of the shares so registered. Notwithstanding
any other provision of this Section 2.2, if the managing underwriter advises the Company in writing that marketing factors require a limitation
of the number of shares to be underwritten, then there shall be excluded from such registration and underwriting to the extent necessary
to satisfy such limitation, first shares held by Qualified Holders other than the Investors, and second, Founder Registrable
Securities (in each case on a pro rata basis and pro rata to the respective number of Registrable Securities required by the Holders to
be included in the registration); provided, however, that, notwithstanding anything to the contrary herein, the aggregate amount
of Registrable Securities (other than the Founder Registrable Securities) which shall have the right to participate in any proposed registration
following the IPO shall not be reduced below twenty-five percent (25%) of the aggregate amount of securities included in such offering.
If the offering is the IPO, the aggregate amount of Registrable Securities may be excluded further if the underwriters make the determination
described above and no other stockholder’s securities are included in such offering. Any Registrable Securities excluded or withdrawn
from such underwriting shall be excluded and withdrawn from the registration. The Company shall have the right to terminate or withdraw
any registration initiated by it under this Section 2.2 prior to the effectiveness of such registration whether or not any Holder has
elected to include securities in such registration.

 

2.3 Form
F-1 Demand Registration. At any time beginning six (6) months following the closing of an IPO and continuing until five (5) years
following the closing of an IPO, the Initiating Holders may request in writing that all or part of the Registrable Securities shall be
registered for trading on any securities exchange or under any market system as to which any of the Company’s Ordinary Shares are
then admitted for trading. Any such demand must request the registration of shares in a minimum amount of five million United States dollars
($5,000,000). Within twenty (20) days after receipt of any such request, the Company shall give written notice of such request to the
other Holders (the “Demand Notice”) and shall include in such registration all Registrable Securities held by all such
Holders who wish to participate in such demand registration and provide the Company with written requests for inclusion therein within
fifteen (15) days after the receipt of the Company’s notice. Thereupon, as soon as practical, and in any event within sixty days
(60) the Company shall effect the registration of all Registrable Securities as to which it has received requests for registration for
trading on the securities exchange specified in the request for registration; provided, however, that the Company shall not be
required to effect any registration under this Section 2.3 within a period of one hundred and eighty (180) days following the effective
date of a previous registration. Notwithstanding any other provision of this Section 2.3, if the managing underwriter advises the Holders
in writing that marketing factors require a limitation of the number of shares to be underwritten, then such shares shall be excluded
from such registration and underwriting to the extent necessary to satisfy such limitation, first shares held by Qualified Holders
other than the Investors, and second, Founder Registrable Securities (if any) (in each case on a pro rata basis and pro rata to
the respective number of Registrable Securities required by the Holders to be included in the registration); provided, however,
that in any event all Registrable Securities must be included in such registration prior to any other shares of the Company. The Company
shall not register securities for sale for its own account in any registration requested pursuant to this Section 2.3 unless permitted
to do so by the Initiating Holders. The Company shall not be required to effect more than two (2) registrations under this Section 2.3.
The Company shall not be required to effect a registration pursuant to this Section 2.3 if (i) the Company shall furnish to Holders requesting
a registration statement pursuant to this Section 2.3 a certificate signed by the Company’s Chief Executive Officer or Chairman
of the Board stating that, in the good faith judgment of the Board, it would be seriously detrimental to the Company or its shareholders
for such registration statement to be effected at such time, in which event the Company shall have the right to defer such filing for
a period of not more than one hundred twenty (120) days after receipt of the request of the Initiating Holders under this Section 2.3,
provided that such right to delay a request shall be exercised by the Company not more than once in any twelve (12) month period or (ii)
during the period starting with the date sixty (60) days prior to the Company’ s estimated date of filing of, and ending on the
date six (6) months immediately following the effective date of, any registration statement pertaining to securities of the Company (other
than a registration of securities in a Rule 145 transaction or with respect to an employee benefit plan), provided that the Company is
actively employing in good faith reasonable efforts to cause such registration statement to become effective and that the Company’s
estimate of the date of filing such registration statement is made in good faith. A registration shall not be counted as “effected”
for purposes of this Section 2.3 until such time as the applicable registration statement has been declared effective by the SEC, unless
the Initiating Holders withdraw their request for such registration, elect not to pay the registration expenses therefor pursuant to Section
2.6 below, in which case such withdrawn registration statement shall be counted as “effected” for purposes of this Section
2.3; provided, that if such withdrawal is during a period the Company has deferred taking action pursuant to this Section 2.3, then the
Initiating Holders may withdraw their request for registration and such registration will not be counted as “effected” for
purposes of this Section 2.3. The Company shall not be required to effect a registration pursuant to this Section 2.3 in any particular
jurisdiction in which the Company would be required to qualify to do business or to execute a general consent to service of process in
effecting such registration, qualification or compliance.

 

    -6-

     

    

 

2.4 Form
F-3 (“Shelf”) Registration. Following an IPO, in the event that the Company shall receive from any Holder or Holders
a written request or requests that the Company effect a registration on Form F-3, and any related qualification or compliance, with respect
to Registrable Securities where the aggregate net proceeds from the sale of such Registrable Securities equal not less than $3,000,000,
the Company will within twenty (20) days after receipt of any such request give written notice of the proposed registration, and any related
qualification or compliance, to all other Holders, and include in such registration all Registrable Securities held by all such Holders
who wish to participate in such registration and provide the Company with written requests for inclusion therein within fifteen (15) days
after the receipt of the Company’s notice. Thereupon, the Company shall effect such registration and all such qualifications and
compliances as soon as practicable but in no event later than forty five (45) days from the Holder’s initial request, and as would
permit or facilitate the sale and distribution of all or such portion of such Holder’ s or Holders’ Registrable Securities
as are specified in such request, together with all or such portion of the Registrable Securities of any other Holder or Holders joining
in such request as are specified in a written request given within fifteen (15) days after receipt of such written notice from the Company;
provided, however, if the managing underwriter advises the Holders in writing that marketing factors require a limitation of the number
of shares to be underwritten, then, such shares shall be excluded from such registration and underwriting, to the extent necessary to
satisfy such limitation, first shares held by Qualified Holders other than the Investors, and second, Founder Registrable
Securities (if any) (in each case on a pro rata basis and pro rata to the respective number of Registrable Securities required by the
Holders to be included in the registration); provided, however, that the Company shall not be obligated to effect any such registration,
qualification or compliance, pursuant to this Section 2.4, (i) if Form F-3 is not available for such offering by the Holders; (ii) if
the Holders, together with the holders of any other securities of the Company entitled to inclusion in such registration, propose to sell
Registrable Securities and such other securities (if any) at an aggregate price to the public of less than $3,000,000; (iii) if the Company
shall furnish to the Holders a certificate signed by the Company’s Chief Executive Officer or Chairman of the Board stating that
in the good faith judgment of the Board it would be seriously detrimental to the Company or its shareholders for such Form F-3 registration
statement to be effected at such time, in which event the Company shall have the right to defer the filing of the Form F-3 registration
statement for a period of not more than one hundred twenty (120) days after receipt of the request of the Holder or Holders under this
Section 2.4; provided, however, that the Company shall not utilize this right more than once in any twelve (12) month period; (iv) if
the Company has, within the twelve (12) month period preceding the date of such request, already effected two (2) registrations on Form
F-3 pursuant to this Section 2.4; (v) during the period starting with the date sixty (60) days prior to the Company’s estimated
date of filing of, and ending on the date six (6) months immediately following the effective date of, any registration statement pertaining
to securities of the Company (other than a registration of securities in a Rule 145 transaction or with respect to an employee benefit
plan), provided that the Company is actively employing in good faith reasonable efforts to cause such registration statement to become
effective and that the Company’ s estimate of the date of filing such registration statement is made in good faith; or (vi) in any
particular jurisdiction in which the Company would be required to qualify to do business or to execute a general consent to service of
process in effecting such registration, qualification or compliance.

 

At the request of the Initiating
Holder requesting a registration on Form F-3 (or comparable or successor form), such registration statement shall be a “shelf”
registration statement for an offering to be made on a delayed or continuous basis pursuant to Rule 415 or any successor rule under the
Securities Act (the “Shelf Registration Statement”).

 

2.5 Designation
of Underwriter.

 

(a) The
Company shall not be required under these Sections 2.2, 2.3 and 2.4 above to include any of the Holders’ securities in such underwriting
unless such Holder accepts the terms of the underwriting agreement as agreed upon between the Company and the underwriters selected by
it (or by other persons entitled to select the underwriters pursuant to this Section 2.5) and enters into an underwriting agreement in
customary form with an underwriter or underwriters selected by the Company.

 

(b) In
the case of any registration effected pursuant to Section 2.3 or 2.4, the Initiating Holders intend to distribute the Registrable Securities
covered by their request by means of an underwriting, they shall so advise the Company as a part of their request made pursuant to Section
2.3 or Section 2.4, and the Company shall include such information in the Demand Notice. The Initiating Holders and the Company shall
mutually designate the managing underwriter(s) in any underwritten offering.

 

(c) In
the case of registration effected initiated by the Company, the Company shall have the right to designate the managing underwriter in
any underwritten offering.

 

    -7-

     

    

 

(d) To
facilitate the allocation of shares in accordance with the above provisions, the Company or the underwriters may round the number of shares
allocated to any Holder to the nearest one hundred (100) shares.

 

2.6 Expenses.
All reasonable expenses, including the reasonable fees and expenses of one counsel for the Initiating Holders which will not exceed $150,000,
incurred in connection with any registration under Section 2.2, Section 2.3 or Section 2.4 shall be borne by the Company; provided, however,
that each of the Holders participating in such registration shall pay its pro rata portion of discounts or commissions payable to any
underwriter and stock transfer taxes. The Company shall not be required to pay for any expenses of any registration proceeding begun pursuant
to Sections 2.2, 2.3 or 2.4 if the registration request is subsequently withdrawn at the request of the Initiating Holders or any other
holders of a majority of the Registrable Securities (other than, for the avoidance of doubt, the Founder Registrable Securities) included
in such request for registration (other than as a result of information which is made known by the Company to the Qualified Holders after
the date on which such registration was requested which could reasonably have a material adverse effect on the business or financial condition
of the Company) and in which case all Initiating Holders shall bear such expenses pro rata based upon the number of Registrable Securities
that were to be included in the withdrawn registration, unless the Holders of a majority of the Registrable Securities agree to forfeit
their right to one registration pursuant to Section 2.3.

 

2.7 Indemnities.
In the event of any registered offering of Registrable Securities pursuant to this Section 2:

 

2.7.1 The
Company will indemnify and hold harmless, to the fullest extent permitted by law, any Holder (and each of its director, partners and officers)
and any underwriter for such Holder, and each other person, if any, who controls the Holder or such underwriter, from and against any
and all losses, damages, claims, liabilities, joint or several, costs and expenses (including any amounts paid in any settlement effected
with the Company’s consent) to which the Holder or any such underwriter or controlling person may become subject under applicable
law or otherwise, insofar as such losses, damages, claims, liabilities (or actions or proceedings in respect thereof), costs or expenses
arise out of or are based upon (i) any untrue statement or alleged untrue statement of any material fact contained in the registration
statement or included in the prospectus, as amended or supplemented, or (ii) the omission or alleged omission to state therein a material
fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances in which they are made,
not misleading, and the Company will reimburse the Holder, such underwriter and each such controlling person of the Holder or the underwriter,
promptly upon demand, for any reasonable legal or any other expenses incurred by them in connection with investigating, preparing to defend
or defending against or appearing as a third-party witness in connection with such loss, claim, damage, liability, action or proceeding;
provided, however, that the Company will not be liable in any such case to the extent that any such loss, damage, liability, cost
or expense arises out of or is based upon an untrue statement or alleged untrue statement or omission or alleged omission so made in conformity
with information furnished in writing by a Holder, such underwriter or such controlling persons in writing specifically for inclusion
therein; provided, further, that this indemnity shall not be deemed to relieve any underwriter of any of its due diligence obligations
or from its obligations under the underwriting agreement; provided, further, that the indemnity agreement contained in this subsection
2.7.1 shall not apply to amounts paid in settlement of any such claim, loss, damage, liability or action if such settlement is effected
without the consent of the Company, which consent shall not be unreasonably withheld. Such indemnity shall remain in full force and effect
regardless of any investigation made by or on behalf of the selling shareholder, the underwriter or any controlling person of the selling
shareholder or the underwriter, and regardless of any sale in connection with such offering by the selling shareholder. Such indemnity
shall survive the transfer of securities by a selling shareholder.

 

    -8-

     

    

 

2.7.2 Each
Holder participating in a registration hereunder will indemnify and hold harmless the Company (and each of its directors and officers),
any underwriter for the Company, and each person, if any, who controls the Company or such underwriter, from and against any and all losses,
damages, claims, liabilities, costs or expenses (including any amounts paid in any settlement effected with the selling shareholder’
s consent) to which the Company or any such controlling person and/or any such underwriter may become subject under applicable law or
otherwise, insofar as such losses, damages, claims, liabilities (or actions or proceedings in respect thereof), costs or expenses arise
out of or are based on (i) any untrue or alleged untrue statement of any material fact contained in the registration statement or included
in the prospectus, as amended or supplemented, or (ii) the omission or the alleged omission to state therein a material fact required
to be stated therein or necessary to make the statements therein, in the light of the circumstances in which they were made, not misleading,
but, in each case, only to the extent of such information relating to such Holder and provided in writing by such Holder, and each such
Holder will reimburse the Company, any underwriter and each such controlling person of the Company or any underwriter, promptly upon demand,
for any reasonable legal or other expenses incurred by them in connection with investigating, preparing to defend or defending against
or appearing as a third-party witness in connection with such loss, claim, damage, liability, action or proceeding; in each case to the
extent, but only to the extent, that such untrue statement or alleged untrue statement or omission or alleged omission was so made in
conformity with written information furnished by such Holder specifically for inclusion therein. The foregoing indemnity agreement shall
be individual and several by each Holder. The foregoing indemnity is also subject to the condition that, insofar as it relates to any
such untrue statement (or alleged untrue statement) or omission (or alleged omission) made in the preliminary prospectus but eliminated
or remedied in the amended prospectus at the time the registration statement becomes effective or in the final prospectus, such indemnity
agreement shall not inure to the benefit of (i) the Company, (ii) any underwriter and any person, if any, controlling the Company or the
Underwriter, if a copy of the Final Prospectus was not furnished (although it was required to be furnished by applicable law or agreement)
to the person or entity asserting the loss, liability, claim or damage at or prior to the time such furnishing is required by the Securities
Act. The foregoing indemnity agreement is subject to the condition that, insofar as it relates to any such untrue statement (or alleged
untrue statement) or omission (or alleged omission) made in the preliminary prospectus but eliminated or remedied in the amended prospectus
at the time the registration statement becomes effective or in the final prospectus, such indemnity agreement shall not inure to the benefit
of (i) the Company or any party that controls the Company, and (ii) any underwriter, if a copy of the final prospectus was not furnished
to the person or entity asserting the loss, liability, claim or damage at or prior to the time such furnishing is required by the Securities
Act; provided, further, that this indemnity shall not be deemed to relieve any underwriter of any of its due diligence obligations
or other obligations under the underwriting agreement; provided, further, that the indemnity agreement contained in this subsection
2.7.2 shall not apply to amounts paid in settlement of any such claim, loss, damage, liability or action if such settlement is effected
without the consent of the Holders, as the case may be, which consent shall not be unreasonably withheld. In no event shall the liability
of a Holder exceed the net proceeds from the offering received by such Holder.

 

2.7.3 Promptly
after receipt by an indemnified party pursuant to the provisions of Sections 2.7.1 or 2.7.2 of notice of the commencement of any action
(including any governmental action) involving the subject matter of the foregoing indemnity provisions, such indemnified party will, if
a claim thereof is to be made against the indemnifying party pursuant to the provisions of said Section 2.7.1 or 2.7.2, promptly notify
the indemnifying party of the commencement thereof; but the omission to notify the indemnifying party will not relieve it from any liability
which it may have to any indemnified party otherwise than hereunder, unless the failure to give such notice is materially prejudicing
to an indemnifying party’s ability to defend such action. In case such action is brought against any indemnified party and it notifies
the indemnifying party of the commencement thereof, the indemnifying party shall have the right to participate in, and, to the extent
that it may wish, jointly with any other indemnifying party similarly notified, to assume the defense thereof with counsel reasonably
satisfactory to such indemnified party; provided, however, that if the defendants in any action include both the indemnified party
and the indemnifying party and there is a conflict of interests which would prevent counsel for the indemnifying party from also representing
the indemnified party, the indemnified party or parties shall have the right to select one separate counsel to participate in the defense
of such action on behalf of such indemnified party or parties to be reasonably approved by the indemnifying party. After notice from the
indemnifying party to such indemnified party of its election so to assume the defense thereof, the indemnifying party will not be liable
to such indemnified party pursuant to the provisions of said Sections 2.7.1 or 2.7.2 for any legal or other expense subsequently incurred
by such indemnified party in connection with the defense thereof, unless (i) the indemnified party shall have employed counsel in accordance
with the provision of the preceding sentence, who was approved by the indemnifying party (ii) the indemnifying party shall not have employed
counsel reasonably satisfactory to the indemnified party to represent the indemnified party within a reasonable time after the notice
of the commencement of the action and within 30 days after written notice of the indemnified party’s intention to employ separate
counsel pursuant to the previous sentence, or (iii) the indemnifying party has authorized the employment of counsel for the indemnified
party at the expense of the indemnifying party. No indemnifying party will consent to entry of any judgment or enter into any settlement
which does not include as an unconditional term thereof the giving by the claimant or plaintiff to such indemnified party of a release
from all liability in respect to such claim or litigation.

 

    -9-

     

    

 

2.7.4 If
recovery is not available under the foregoing indemnification provisions, for any reason other than as specified therein, the parties
entitled to indemnification by the terms thereof shall be entitled to contribution to liabilities and expenses as more fully set forth
in an underwriting agreement to be executed in connection with such registration. In determining the amount of contribution to which the
respective parties are entitled, there shall be considered the parties’ relative knowledge and access to information concerning
the matter with respect to which the claim was asserted, the opportunity to correct and prevent any statement or omission, and any other
equitable considerations appropriate under the circumstances. In no event shall the liability of a Holder exceed the net proceeds from
the offering received by such Holder.

 

2.8 Obligations
of the Company. Whenever required under this Section 2 to effect the registration of any Registrable Securities, the Company shall,
as expeditiously as possible:

 

2.8.1 prepare
and file with the SEC a registration statement with respect to such Registrable Securities and use its best efforts to cause such registration
statement to become effective, and, upon the request of the holders of a majority of the Registrable Securities registered thereunder,
keep such registration statement effective for a period of up to twelve (12) months or, if sooner, until the distribution contemplated
in the Registration Statement has been completed. In the event of a Shelf Registration the Company shall use its commercially reasonable
efforts to keep such Shelf Registration Statement continuously effective for a period ending on the earlier to occur of (a) the latest
date on which the Company may keep such Shelf Registration Statement continuously effective under Rule 415, (b) when all Registrable Securities
covered by the Shelf Registration Statement are sold, or (c) at such time that Registrable Securities could be sold pursuant to Rule 144
promulgated under the Securities Act.

 

2.8.2 prepare
and file with the SEC such amendments and supplements to such registration statement and the prospectus used in connection with such registration
statement as may be necessary to comply with the provisions of the Securities Act with respect to the disposition of all Registrable Securities
covered by such registration statement.

 

2.8.3 furnish
to the Qualified Holders such numbers of copies of a prospectus, including a preliminary prospectus, in conformity with the requirements
of the Securities Act, and such other documents as they may reasonably request in order to facilitate the disposition of Registrable Securities
owned by them.

 

2.8.4 in
the event of any underwritten public offering, enter into and perform its obligations under an underwriting agreement, with the managing
underwriter of such offering, provided that each Holder participating in such underwriting shall also enter into and perform its obligations
under such an agreement.

 

2.8.5 notify
each holder of Registrable Securities covered by such registration statement at any time when a prospectus relating thereto is required
to be delivered under the Act of the happening of any event that comes to its knowledge, as a result of which the prospectus included
in such registration statement, as then in effect, includes an untrue statement of a material fact or omits to state a material fact required
to be stated therein or necessary to make the statements therein not misleading in the light of the circumstances then existing.

 

2.8.6 cause
all Registrable Securities registered pursuant hereunder to be listed on each securities exchange on which similar securities issued by
the Company are then listed.

 

2.8.7 provide
a transfer agent and registrar for all Registrable Securities registered pursuant hereunder and a CUSIP number for all such Registrable
Securities, in each case not later than the effective date of such registration.

 

2.8.8 furnish,
at the request of any Qualified Holder requesting registration of Registrable Securities pursuant to this Section 2, on the date that
such Registrable Securities are delivered to the underwriters for sale in connection with a registration pursuant to this Section 2, if
such securities are being sold through underwriters, or, if such securities are not being sold through underwriters, on the date that
the registration statement with respect to such securities becomes effective, (i) an opinion, dated such date, of the counsel representing
the Company for the purposes of such registration, as reasonably required for such registration, addressed to the underwriters, if any,
and to the Qualified Holders requesting registration of Registrable Securities and (ii) a letter dated such date, from the independent
certified public accountants of the Company, as reasonably required for the purposes of such registration, addressed to the underwriters,
if any, and to the Qualified Holders requesting registration of Registrable Securities.

 

    -10-

     

    

 

2.9 Limitations
on Subsequent Registration Rights. From and after the date of this Agreement, the Company shall not, without the prior written
consent of the Investors, except where such consent is not required under the Amended Articles, in connection with an issuance of shares
having rights, privileges and preferences in parity with or superior to the Shares held by the Investors, enter into any agreement with
any holder or prospective holder of any securities of the Company that would allow such holder or prospective holder (a) to include such
securities in any registration filed under Section 2 hereof, unless under the terms of such agreement, such holder or prospective holder
may include such securities in any such registration only to the extent that the inclusion of such securities will not reduce the amount
of the Registrable Securities of the Qualified Holders that are included; or (b) to demand registration of their securities.

 

2.10 Assignment
of Registration Rights. Each Qualified Holder may assign its rights to cause the Company to register shares pursuant to this Section
2 to any transferee or assignee of all or any part of its Registrable Securities provided that such transfer is in accordance with the
Company’s Amended Articles.

 

2.11 Lock-Up.
In the event of an IPO, the parties hereto will not, without the prior written consent of the managing underwriter, during the period
commencing on the date of the final prospectus relating to the IPO and ending on the date specified by the Company and the managing underwriter
(such period not to exceed one hundred and eighty (180) days in connection with the IPO and ninety (90) days in connection with any other
offering, as is required by the underwriter in such offering) (i) lend, offer, pledge, sell, contract to sell, sell any option or contract
to purchase, purchase any option or contract to sell, grant any option, right or warrant to purchase, or otherwise transfer or dispose
of, directly or indirectly, any Ordinary Shares or any securities convertible into or exercisable or exchangeable for Ordinary Shares
(whether such shares or any such securities are then owned by the shareholder or are thereafter acquired), or (ii) enter into any swap
or other arrangement that transfers to another, in whole or in part, any of the economic consequences of ownership of the Ordinary Shares,
whether any such transaction described in clause (i) or (ii) above is to be settled by delivery of Ordinary Shares or such other securities,
in cash or otherwise, provided that such obligation shall only apply if the officers, directors of the Company and other shareholders
who hold at least five percent (5%) of the issued and outstanding capital are subject to the same restrictions and any release from such
“lock-up” will be on a pro rata basis among all such lock-up parties. The underwriters in connection with the registration
statement so filed are intended third party beneficiaries of this Section 2.11 and shall have the right, power and authority to enforce
the provisions hereof if they were a party hereto. The foregoing provisions of this Section shall not apply to the sale of any shares
to an underwriter pursuant to an underwriting agreement. In order to enforce the foregoing covenant, the Company may impose stop-transfer
instructions with respect to the Ordinary Shares (and the shares or securities of every other person subject to the foregoing restriction)
until the end of such period.

 

2.12 Public
Information. At any time and from time to time after the earlier of the close of business on such date as (a) a registration statement
filed by the Company under the Securities Act becomes effective, (b) the Company registers a class of securities under Section 12 of the
United States Securities Exchange Act of 1934, as amended, or any federal statute or code which is a successor thereto (the “Exchange
Act”), or (c) the Company issues an offering circular meeting the requirements of Regulation A under the Securities Act, the
Company shall undertake to make publicly available such information as is necessary to enable the Qualified Holders to make sales of Registrable
Securities pursuant to Rule 144. The Company shall comply with the current public information requirements of Rule 144.

 

2.13 Non-US
Offerings. The provisions of this Section 2 shall apply, mutatis mutandis, to any registration of the securities of the Company
outside of the United States.

 

2.14 Conditions
to Registration Obligation. The Company shall not be obligated to effect the registration of Registrable Securities pursuant to
this Agreement on behalf of a Holder unless such Holder consents to the following conditions:

 

2.14.1 conditions
requiring the Holder to comply with all applicable provisions of the Securities Act and the Exchange Act, including, but not limited to,
the prospectus delivery requirements of the Securities Act and Israeli law and regulations covering offering securities to the public,
and to furnish to the Company information regarding sales to be made by the Holder in such public offering;

 

2.14.2 conditions
prohibiting the Holder upon receipt of telegraphic or written notice from the Company that it is required by law to correct or update
the registration statement or prospectus from effecting sales of the Registrable Securities, as applicable, until the Company has completed
the necessary correction or updating;

 

2.14.3 conditions
prohibiting the sale of Registrable Securities by such Holder, during the process of the registration until the registration statement
is effective; and

 

    -11-

     

    

 

2.14.4 conditions
under which such Holder agrees to sell its securities on the basis provided in any customary underwriting arrangements; and

 

2.14.5 conditions
requiring such Holder to provide relevant information and to complete and execute all reasonable and customary questionnaires, powers
of attorney, indemnities, underwriting agreements, and other documents required of such Holder under the terms of customary underwriting
arrangements.

 

2.15 Obligations
of the Selling Holders. Whenever Holders are requesting registration of Registrable Securities, pursuant to this Agreement such
Holders shall, subject to compliance with Section 2.14 above, as soon as possible:

 

2.15.1 authorize
its local counsel to furnish, at the request of the Company, on or about the date that such Registrable Securities are delivered to the
underwriters for sale in connection with a registration pursuant to this Agreement, if such securities are being sold through underwriters,
or if such securities are not being sold through underwriters, on or about the date that the registration statement with respect to such
securities becomes effective, an opinion, as reasonably required for the purposes of such registration.

 

2.15.2 in
the event of any underwritten public offering, enter into and perform its obligations under an underwriting agreement, and custody and
power of attorney agreement, in usual and customary form, with the managing underwriter of such offering, provided that the Company shall
also enter into and perform its obligations under such agreement.

 

2.15.3 furnish
to the Company, or its counsel, such information in writing as the Company may reasonably request, as is required to be included in the
registration statement and supplements to such registration statement in compliance with the provisions of the Securities Act.

 

2.16 No
Holder shall have any right to obtain or seek an injunction restraining or otherwise delaying any registration pursuant to this Agreement
as the result of any controversy that might arise with respect to the interpretation or implementation of this Section 2.

 

2.17 Termination
of Registration Rights. The right of any Holder to request registration or inclusion of Registrable Securities in any registration
pursuant to Section 2.2, 2.3 and 2.4 shall terminate upon the earliest to occur of:

 

(a) the
closing of a Deemed Liquidation, as such term is defined in the Amended Articles;

 

(b) such
time after consummation of the IPO as rule 144 promulgated under the Securities Act or another similar exemption under the Securities
Act is available for the offer and sale of all of such Holder’s Registrable Securities without limitation during a three-month period
without registration; and

 

2.18 Restrictions
on Transfers.

 

(a) All
certificates representing Registrable Securities shall have endorsed thereon a legend to substantially the following effect:

 

“THE SECURITIES REPRESENTED HEREBY
HAVE BEEN ACQUIRED FOR INVESTMENT AND HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933. SUCH SHARES MAY NOT BE SOLD, PLEDGED,
OR TRANSFERRED IN THE ABSENCE OF SUCH REGISTRATION OR A VALID EXEMPTION FROM THE REGISTRATION AND PROSPECTUS DELIVERY REQUIREMENTS OF
SAID ACT.”

 

“THE SALE OR TRANSFER OF THE SECURITIES
REPRESENTED BY THIS CERTIFICATE IS SUBJECT TO THE TERMS AND CONDITIONS OF THE COMPANY’S ARTICLES OF ASSOCIATION, AS AMENDED FROM
TIME TO TIME AND ANY AGREEMENT BY AND AMONG THE HOLDER HEREOF AND THE COMPANY. A COPY OF SUCH AGREEMENTS IS ON FILE AT THE COMPANY’S
PRINCIPAL PLACE OF BUSINESS.”

 

The Holders consent to the
Company making a notation in its records and giving instructions to any transfer agent of the Restricted Securities in order to implement
the restrictions on transfer set forth in this Section 2.18.

 

    -12-

     

    

 

(b) The
holder of such Restricted Securities, by acceptance of ownership thereof, agrees to comply in all respects with the provisions of this
Agreement. Before any proposed sale, pledge, or transfer of any Restricted Securities, unless there is in effect a registration statement
under the Securities Act covering the proposed transaction, the Holder thereof shall give notice to the Company of such Holder’s
intention to effect such sale, pledge, or transfer. Each such notice shall describe the manner and circumstances of the proposed sale,
pledge, or transfer in sufficient detail and, if reasonably requested by the Company, shall be accompanied at such Holder’s expense
by either (i) a written opinion of legal counsel who shall, and whose legal opinion shall, be reasonably satisfactory to the Company,
addressed to the Company, to the effect that the proposed transaction may be effected without registration under the Securities Act; (ii)
a “no action” letter from the SEC to the effect that the proposed sale, pledge, or transfer of such Restricted Securities
without registration will not result in a recommendation by the staff of the SEC that action be taken with respect thereto; or (iii) any
other evidence reasonably satisfactory to counsel to the Company to the effect that the proposed sale, pledge, or transfer of the Restricted
Securities may be effected without registration under the Securities Act, whereupon the Holder of such Restricted Securities shall be
entitled to sell, pledge, or transfer such Restricted Securities in accordance with the terms of the notice given by the Holder to the
Company. The Company will not require such a legal opinion or “no action” letter (x) in any transaction in compliance with
SEC Rule 144; or (y) in any transaction in which such Holder distributes Restricted Securities to an Affiliate of such Holder for no consideration;
provided that each transferee agrees in writing to be subject to the terms of this Section 2.18. Each certificate, instrument, or book
entry representing the Restricted Securities transferred as above provided shall be notated with, except if such transfer is made pursuant
to SEC Rule 144, the appropriate restrictive legend set forth in Section 2.18(a), except that such certificate instrument, or book entry
shall not be notated with such restrictive legend if, in the opinion of counsel for such Holder and the Company, such legend is not required
in order to establish compliance with any provisions of the Securities Act.

 

2.19 Registration
Preference. If any factors arise which require a limitation of any of the registration rights
granted hereunder and are limited in the amount of securities which may be registered thereunder by the Holders, then the Holders of Preferred
Shares, with respect to their Preferred Shares only, shall have preference over all other Holders of the Company with respect to the applicable
registration listing and/or sale of their Preferred Shares in connection therewith.

 

3 Foreign
Corrupt Practices Act of 1977 and Other Applicable Anti-Bribery Laws. The Company recognizes that it is beneficial to it and its
shareholders to comply with the U.S. Foreign Corrupt Practices Act of 1977, as amended (the “FCPA”) and other applicable
anti-bribery laws, rules or regulations. Neither the Company nor any director, officer, agent, employee, or other person acting on behalf
of the Company has or will, directly or indirectly, violate any provision of the FCPA or any such other applicable anti-bribery laws,
rules or regulations, including: (i) use any Company funds for unlawful contributions, gifts, entertainment, or other expenses relating
to political activity; (ii) make any unlawful payment to foreign or domestic government officials or employees or to foreign or domestic
political parties or campaigns from Company funds; (iii) establish or maintain any unlawful or unrecorded fund of Company moneys or other
assets; or (iv) make or receive any unlawful bribe, rebate, payoff, influence payment, kickback, or other payment. The Company shall promptly
notify the Qualified Holders should the Company become aware of any enforcement action pursuant to the FCPA.

 

4 Miscellaneous.

 

4.1 Further
Assurances. Each of the parties hereto shall perform such further acts and execute such further documents as may reasonably be
necessary to carry out and give full effect to the provisions of this Agreement and the intentions of the parties as reflected thereby.

 

4.2 Governing
Law. This Agreement shall be governed by and construed according to the laws of the State of Israel, without regard to the conflict
of laws’ provisions thereof. Any dispute arising under or in relation to this Agreement shall be resolved in the competent court
for Tel Aviv-Jaffa district, and each of the parties hereby submits irrevocably to the jurisdiction of such court.

 

4.3 Successors
and Assigns; Assignment. Except as otherwise expressly limited herein, the provisions hereof shall inure to the benefit of, and
be binding upon, the successors, assigns, heirs, executors, and administrators of the parties hereto.

 

4.4 Entire
Agreement; Amendment and Waiver. This Agreement and the Schedules hereto constitute the full and entire understanding and agreement
between the parties with regard to the subject matters hereof and thereof and replace any prior understandings between the parties with
respect to the subject matters hereof, including the Prior Agreement. Any term of this Agreement may be amended and the observance of
any term hereof may be waived (either prospectively or retroactively and either generally or in a particular instance) only with the written
consent of the Company and holders of at least 50% of the Registrable Securities held by the Qualified Holders (which shall include the
Investors). This Agreement may not be amended, and no provision hereof may be waived, in each case, in any way which would adversely affect
the rights of the Founders hereunder in a manner disproportionate to any adverse effect such amendment or waiver would have on the rights
of the other holders of Registrable Securities hereunder, without also obtaining the written consent of the majority in interest among
the Founders.

 

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4.5 Notices,
etc. All notices and other communications required or permitted hereunder to be given to a party to this Agreement shall be in
writing and shall be faxed or mailed by registered or certified mail, postage prepaid, or otherwise delivered by hand or by messenger,
addressed to such party’s address as set forth below or at such other address as the party shall have furnished to each other party
in writing in accordance with this provision:

 

	if to the Investors:	Their addresses in Schedule I hereto
	 	 
	 	With a copy (which shall
not constitute notice) to: 
	 	As indicated in Schedule I
	 	 
	if to the Founders:	Their addresses in Schedule II hereto
	 	 
	if to the Company:	Rail Vision Ltd.
	 	15 Ha-Tidhar Street
	 	Ra’anana, 4366517
	 	Israel
	 	Fax: +972-9-9578200
	 	Attn: Ofer Naveh
	 	Email: ofer@railvision.io
	 	 
	 	with a copy (which shall not constitute notice) to:
	 	 
	 	Shibolet & Co.
	 	Facsimile: +972-3-7778444
	 	Attn: Adv. Ido Shomrony
	 	Email: i.shomrony@shibolet.com

 

or
such other address with respect to a party as such party shall notify each other party in writing as above provided. Any notice sent in
accordance with this Section 4.5 shall be effective (i) if mailed, seven (7) business days after mailing, (ii) if sent by messenger, upon
delivery, and (iii) if sent via email or facsimile, upon transmission and electronic confirmation of receipt or (if transmitted and received
on a non-business day) on the first business day following transmission and electronic confirmation of receipt.

 

4.6 Delays
or Omissions. No delay or omission to exercise any right, power, or remedy accruing to any party upon any breach or
default under this Agreement, shall be deemed a waiver of any other breach or default theretofore or thereafter occurring. Any waiver,
permit, consent, or approval of any kind or character on the part of any party of any breach or default under this Agreement, or any waiver
on the part of any party of any provisions or conditions of this Agreement, must be in writing and shall be effective only to the extent
specifically set forth in such writing. All remedies, either under this Agreement or by law or otherwise afforded to any of the parties,
shall be cumulative and not alternative.

 

4.7 Severability.
If any provision of this Agreement is held by a court of competent jurisdiction to be unenforceable under applicable law, then such provision
shall be excluded from this Agreement and the remainder of this Agreement shall be interpreted as if such provision were so excluded and
shall be enforceable in accordance with its terms; provided,
however, that in such event this Agreement
shall be interpreted so as to give effect, to the greatest extent consistent with and permitted by applicable law, to the meaning and
intention of the excluded provision as determined by such court of competent jurisdiction.

 

4.8 Counterparts.
This Agreement may be executed in any number of counterparts (including by facsimile, scanned and delivered by email or
electronic signature), each of which shall be deemed an original and enforceable against the parties actually executing such counterpart,
and all of which together shall constitute one and the same instrument.

 

4.9 Aggregation
of Shares. All Ordinary Shares held or acquired by affiliated entities or persons shall be aggregated together for the
purpose of determining the availability of any rights under this Agreement. For the purpose of this Section 4.9 “affiliated entities
or persons” shall mean with respect to any entity or person or its Permitted Transferees (as such term is defined in the Amended
Articles).

 

4.10 Termination.
Without derogating from the aforementioned, in the event that the Founder or any Qualified Holder is no longer a share holder of the Company,
he shall not be entitled to any of the rights granted herein under this Agreement.

 

[Remainder of page intentionally left blank]

 

    -14-

     

    

 

IN WITNESS WHEREOF,
the parties have signed this Amended and Restated Investors’ Rights Agreement as of the date first hereinabove set forth.

 

	RAIL VISION LTD.	 
	 	 
	 	 
	Name: 	Elen Katz	 
	Title: 	Chief Executive Officer	 
	 	 
	Name: 	Ofer Naveh	 
	Title: 	Chief Finance Officer	 

 

[Signature Page to IRA]

 

    -15-

     

    

 

 IN WITNESS WHEREOF,
the parties have signed this Investors’ Rights Agreement as of the date first hereinabove set forth.

 

	FORESIGHT AUTONOMOUS HOLDINGS LTD.	 
	 	 	 
	By:	 	 
	 	 	 
	Name: 	                      	 
	 	 	 
	Title:	 	 

 

[Signature Page to IRA]

 

    -16-

     

    

 

IN WITNESS WHEREOF,
the parties have signed this Investors’ Rights Agreement as of the date first hereinabove set forth.

 

	Elen Joseph Katz	 	Shachar Hania
	  	 	 
	 	 	 
	Yuval Isbi	 	Noam Teich
	 	 	 
		 	

 

[Signature Page to IRA]

 

    -17-

     

    

 

IN WITNESS WHEREOF,
the parties have signed this Investors’ Rights Agreement as of the date first hereinabove set forth.

 

	KNORR-BREMSE SYSTEME FÜR SCHIENENFAHRZEUGE GMBH
	 	 
	Name:	 	 
	Title:	                                         	 
	 	 
	Name:	 	 
	Title:	 	 

 

[Signature Page to IRA]

 

    -18-

     

    

 

SCHEDULE I

 

THE INVESTORS 

 

	Name	Address
	Knorr-Bremse Systeme für Schienenfahrzeuge GmbH	
    Moosacher Str. 80, 80809 München, Germany.

    Notices by email shall be addressed to the attention
    of Christian Staby - Christian.Staby@knorr-bremse.com with copies to Dr. Danguole Hackel of Eversheds Sutherland (Germany) LLP –
    DanguoleHackel@eversheds-sutherland.com and to Adv. ______, which copies shall not constitute notice.

	Foresight Autonomous Holdings Ltd.	 

 

    -19-

     

    

 

SCHEDULE II

 

FOUNDERS

 

	Name	Address
	Elen Joseph Katz	 
	Shachar Hania	 
	Yuval Isbi	 
	Noam Teich	 

 

 

-20-

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