Document:

EX-10.1

 Exhibit 10.1 

EXECUTION VERSION 

EMPLOYMENT AGREEMENT 

THIS EMPLOYMENT AGREEMENT (this “Agreement”) is made and entered into as of July 6, 2021, by and between Bandwidth Inc.
(“Bandwidth”), a Delaware corporation with its principal place of business at 900 Main Campus Drive, Suite 100, Raleigh, North Carolina 27606, and Daryl E. Raiford (“Executive”). 

BACKGROUND 
 A.
Bandwidth’s Chief Financial Officer, Jeffrey A. Hoffman, has previously announced his decision to step down from his role as Bandwidth’s Chief Financial Officer, and his willingness to continue as a Bandwidth employee through
August 31, 2021, to facilitate an orderly transition to his successor. 
 B. Bandwidth seeks to employ Executive as the successor to
Mr. Hoffman. 
 C. Bandwidth and Executive now desire to enter into this Agreement in order to formalize the terms and conditions of
employment pursuant to this Agreement. 
 D. All initially capitalized terms are either defined herein (but not necessarily where first
used) or are defined in Exhibit A attached hereto and incorporated herein by this reference. 
 AGREEMENT 

In consideration of the foregoing, the agreements made herein, and for other good and valuable consideration, the receipt and sufficiency of
which is hereby acknowledged, the parties agree as follows: 
 1 Employment Period. Bandwidth agrees to employ
Executive and Executive agrees to serve Bandwidth for the period beginning on July 12, 2021 (or such other date as mutually agreed between Executive and Bandwidth, the “Effective Date”) and ending at 11:59 p.m., Raleigh, North
Carolina, local time, on December 31, 2021 (as may be extended, the “Employment Period”). The Employment Period will automatically extend for consecutive additional one (1) year periods unless either party provides the other with
written notice to the contrary no less than sixty (60) days prior to the expiration of the then current Employment Period. If notice of non-extension is provided by Bandwidth, this Agreement and
Executive’s employment shall terminate at the end of the then current Employment Period, and such termination of employment shall be treated as a termination by Bandwidth other than for Cause. This Agreement may be terminated before the
expiration of the Employment Period only pursuant to Section 4. Bandwidth and Executive each acknowledges and agrees that this Agreement does not interrupt the continuity of Executive’s employment. 

2 Nature of Duties. 

2.1 From the Effective Date until the date on which Executive is appointed by Bandwidth’s Board of Directors to serve as Bandwidth’s
Chief Financial Officer, which appointment shall occur during the period (i) beginning on the date Bandwidth files its Quarterly Report on 10-Q for the fiscal quarter ending June 30, 2021 and
(ii) ending on August 31, 2021 (the date on which such appointment occurs shall be the “Appointment Date”), Executive will serve as Bandwidth’s EVP, Finance. From and after the Appointment Date, Executive will serve as
Bandwidth’s Chief Financial Officer. As such, Executive will act in conformity with the management policies, guidelines and directions issued by Bandwidth’s Chief Executive Officer (the “Chief Executive Officer”), and will have
general charge and supervision of those 

 
functions and such other responsibilities as the Chief Executive Officer determines and assigns; provided they are not inconsistent with the functions and duties typically performed by, and the
responsibility of, Chief Financial Officer of like corporations. Executive will report to the Chief Executive Officer. 
 2.2 Executive will
work exclusively for Bandwidth on a full-time basis, with his primary office at Bandwidth’s offices in Austin, Texas, provided that Executive shall work at least three calendar weeks per month at Bandwidth’s headquarters in Raleigh, North
Carolina, or any other Bandwidth business location or any location reasonably necessary for the conduct of Bandwidth business, in each case, as may be requested by the Chief Executive Officer. During normal business hours Executive will devote
substantially all of his business time and attention to Bandwidth’s business. Executive acknowledges and agrees that the performance of Executive’s duties and responsibilities hereunder may require global business travel from time to time.
The foregoing does not prohibit Executive from engaging in civic, professional and business activities that do not interfere with his duties to Bandwidth, and that otherwise do not violate this Agreement. 

2.3 Executive will perform his duties and responsibilities hereunder diligently, faithfully and loyally. 

3 Compensation and Benefits. 

3.1 Base Salary and Expenses. 

3.1.1 During the Employment Period, Bandwidth will pay to Executive a salary at the initial rate of $425,000 per annum (the “Base
Salary”). The Base Salary will be earned and paid in equal installments, semi-monthly, or at such other interval as the Bandwidth’s Board of Directors (the “Board”) or Compensation Committee of the Board (the “Compensation
Committee”) directs, but no less often than once each month. At the beginning of each year during the Employment Period, the Chief Executive Officer will in good faith review the Base Salary and recommend to the Board and/or Compensation
Committee any increases (but not decreases) for determination by the Board and/or the Compensation Committee. Bandwidth shall be entitled to withhold, or cause to be withheld, any amount of federal, state, city or other withholding taxes or other
amounts either required by law or authorized by Executive with respect to payments made to Executive in connection with his employment hereunder. 

3.1.2 Bandwidth will reimburse Executive for all reasonable
out-of-pocket business expenses incurred by Executive on Bandwidth’s behalf during the Employment Period, so long as such expenses are reimbursable under
Bandwidth’s policies in effect from time to time. At Executive’s request, expenses will be advanced before an expenditure is incurred, or they will be paid by Bandwidth directly to third parties from which goods or services are being
obtained. 
 3.1.3 Bandwidth will reimburse Executive for all reasonable moving expenses and all reasonable expenses to transport one
vehicle from Executive’s current residence to the Raleigh, North Carolina area, in either case, to the extent such expenses are incurred by Executive between the date of this Agreement and December 31, 2021 (the “2021 Relocation
Assistance”). For purposes of clarity, reasonable moving expenses shall not include any expenses incurred in connection with renting or purchasing a residence in 

  
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Raleigh, North Carolina. All payments to Executive or for Executive’s benefit under this Section shall be subject to Section 13. Executive will promptly, and in no event later than
December 31, 2021, submit all requests for 2021 Relocation Assistance payments, together with any supporting documentation that Bandwidth reasonably requests, and Bandwidth will make all 2021 Relocation Assistance payments during calendar year
2021, regardless of when the corresponding expenses were incurred. 
 3.1.4 Bandwidth will reimburse Executive for reasonable legal fees
incurred by Executive in entering into this Agreement up to a maximum amount of $10,000. Executive will promptly, and in no event later than August 31, 2021, submit all requests for such reimbursement payments, together with any supporting
documentation that Bandwidth reasonably requests, and Bandwidth will make the reimbursement payment to Executive within thirty (30) days thereafter. 

3.2 Bonus Compensation. 

3.2.1 In addition to the Base Salary, Bandwidth will pay to Executive bonus compensation each year during the Employment Period of up to 75%
(the “Target Bonus”) of the Base Salary (or more if Bandwidth exceeds its corporate objectives established from time to time pursuant to Section 3.2.2 below and the pro-rata calculations
provided in Section 3.2.2 below yield more than 75% of the Base Salary) (the “Bonus Compensation”). The Bonus Compensation will be adjusted based on Executive’s individual achievement of personal objectives established from time
to time pursuant to Section 3.2.2 below; for example, if Bandwidth achieves one hundred percent (100%) of each of the corporate objectives established from time to time pursuant to Section 3.2.2 below and Executive achieves one hundred one
percent (101%) of Executive’s personal objectives, the Bonus Compensation calculated pursuant to the first sentence of this Section 3.2.1 would be multiplied by 1.01. The individual performance objectives and the relative weighting of the
respective corporate objectives established from time to time pursuant to Section 3.2.2 below will be reviewed by the Chief Executive Officer, who will make recommendations to the Board and/or the Compensation Committee for determination by the
Board and/or the Compensation Committee at the beginning of each calendar year. 
 3.2.2 The Bonus Compensation will be earned, if at all,
upon satisfaction of criteria, reviewed by the Chief Executive Officer, who will make recommendations to the Board and/or the Compensation Committee for determination by the Board and/or the Compensation Committee, based on Executive’s
individual performance objectives and Bandwidth’s corporate objectives. The Bonus Compensation based on Executive’s individual performance objectives will be earned pro-rata upon Executive attaining
each objective, as reasonably reviewed by the Chief Executive Officer, who will make recommendations to the Board and/or the Compensation Committee for determination by the Board and/or the Compensation Committee. The Bonus Compensation based on
Bandwidth’s corporate objectives will be earned upon Bandwidth meeting its corporate objectives established from time to time pursuant to this Section 3.2.2 provided for in its annual Budget pro-rata
based upon the relative weighting of the respective corporate objectives established from time to time pursuant to this Section 3.2.2, each as reasonably reviewed by the Chief Executive Officer, who will make recommendations to the Board and/or
the Compensation Committee for determination by the Board and/or the Compensation Committee not later than March 15th for each calendar year. The Chief Executive Officer may review and recommend
for determination by the Board and/or the Compensation Committee other corporate objectives and corresponding Budget targets on an annual basis. The Bonus Compensation for 2021 will be pro-rated for the
Executive’s partial year of employment during the 2021 calendar year. 

  
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 3.2.3 Bonus Compensation will be paid no later than March 15th of the year succeeding the calendar year with respect to which the Bonus Compensation, if any, is calculated. 

3.2.4 In addition to the Bonus Compensation, the Chief Executive Officer will from time to time review Executive’s efforts on behalf of
Bandwidth and may make recommendations to the Board and/or the Compensation Committee for determination by the Board and/or the Compensation Committee a special bonus for extraordinary service. Special bonuses, if any, will not count as any other
compensation payable under this Agreement. 
 3.3 Restricted Stock Units. 

3.3.1 On or within 30 days following the Effective Date, Bandwidth will grant Executive an award of a number of restricted stock units (the
“RSUs”) equal to (i) $2,500,000 divided by (ii) the closing sales price of a share of common stock of Bandwidth on the effective date of such approval under Bandwidth’s 2017 Incentive Award Plan, as amended and/or
restated, which will vest in four equal annual installments following the Effective Date, subject to Executive’s continued service to Bandwidth (the “Initial RSU Award”). The Initial RSU Award will be governed by and subject to
the terms of the Plan and a separate RSU award agreement to be entered into between Executive and Bandwidth. 
 3.3.2 Upon a Qualifying
Termination (as defined below), the Initial RSU Award and any other equity award granted to Executive by Bandwidth that is scheduled to vest based on the passage of time (as opposed to performance goals) (“Additional Equity Award”) will
become vested, subject to the release requirement below, with respect to that portion of the Initial RSU Award or Additional Equity Award, as applicable, that is scheduled to vest within six (6) months following Executive’s termination.
Notwithstanding the foregoing, upon a Qualifying Termination within 12 months after a Change in Control, any outstanding and unvested portion of the Initial RSU Award and Additional Equity Award will become fully vested, subject to the release
requirement below. The accelerated vesting of the Initial RSU Award and Additional Equity Award as set forth in this Section 3.3.2 will be dependent upon Executive’s delivery to Bandwidth of an effective general release of claims
substantially in the form attached hereto as Exhibit B not later than sixty (60) days after the date of Executive’s termination of employment (or such longer period as may be required by applicable law). 

3.3.3 This Section 3.3 is intended to be an award agreement itself, and is intended to supplement the terms and conditions of any and all
other award agreements between Bandwidth and Executive relating to any options or restricted stock granted to Executive by Bandwidth, and the terms of this Section 3.3 will govern the terms of such other award agreements in the event of any
conflicts, regardless of whether such other agreements are heretofore or have previously been entered into by the parties. 
 3.4
Severance. If Bandwidth terminates Executive other than for Cause, or Executive resigns for Good Reason (either, a “Qualifying Termination”), then Bandwidth will pay to Executive an amount in cash (“Severance”) equal to
(i) one hundred percent (100%) (or, if the Qualifying Termination occurs within 

  
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12 months following a Change in Control, one hundred fifty percent (150%)) of the then-current Base Salary, plus (ii) one hundred percent (100%) (or, if the Qualifying Termination occurs
within 12 months following a Change in Control, one hundred fifty percent (150%)) of the Target Bonus. Such amount, less any applicable taxes and other similar amounts, will be paid in equal installments over a twelve (12) month period (or, if
the Qualifying Termination occurs within 12 months following a Change in Control, an eighteen (18) month period) following the termination in accordance with Bandwidth’s standard payroll practices and procedures. The receipt of any
severance benefits provided for pursuant to this Agreement or otherwise will be dependent upon Executive’s delivery to Bandwidth of an effective general release of claims substantially in the form attached hereto as Exhibit B not later than
sixty (60) days after the date of Executive’s termination of employment (or such longer period as may be required by applicable law), and shall be paid or commence no later than thirty (30) days thereafter, with the first payment to
include any amounts that would have been payable on payroll dates occurring after Executive’s termination of employment and prior to such first payment. 

3.5 Annual Equity Awards. During the Employment Period, Bandwidth will consider granting Executive annual equity-based awards. 

3.6 Vacation. During the Employment Period, Executive will be entitled to take vacation time in accordance with Bandwidth’s
policies, but no less than 20 days of paid vacation per year. Bandwidth and Executive will reasonably agree on when vacation time can be taken, and how many weeks can be taken consecutively. In the event that all or any part of the vacation is not
taken for any reason during any year, there will be no compensation paid in lieu thereof, and accrued and unused vacation time will not be carried over and added to the vacation time for the succeeding year in accordance with such policy, unless
otherwise approved by the Chief Executive Officer. 
 3.7 Health, Disability, Retirement, Death and Insurance Benefits. 

3.7.1 Bandwidth will provide Executive with the same health, disability, retirement, death and other fringe benefits as are generally provided
to the executive employees of Bandwidth in accordance with such terms, conditions and eligibility requirements as may from time to time be established or modified by Bandwidth; provided, that Bandwidth will pay the entire premium for
Executive’s then-current coverage under Bandwidth’s group health insurance plan unless Bandwidth reasonably determines that paying the entire premium would be discriminatory and could subject Executive to adverse income tax consequences.
Upon a Qualifying Termination, Bandwidth shall pay Executive a lump sum amount equal to twelve (12) months of premiums (or, upon a Qualifying Termination within 12 months following a Change in Control, eighteen (18) months of premiums) for
the basic medical insurance coverage Bandwidth had in effect for Executive as of the date of his termination of employment. Such amount will be payable, less applicable withholdings, with the first payment of Severance. 

3.7.2 Upon a Qualifying Termination, Bandwidth will also pay Executive a lump sum amount equal to twelve (12) months of premiums (or,
upon a Qualifying Termination within 12 months following a Change in Control, eighteen (18) months of premiums) for the term life insurance coverage Bandwidth had in effect for Executive as of the date of his termination of employment. Such
amount will be payable, less applicable withholdings, with the first payment of Severance. Executive will have all rights to convert or purchase such life insurance policies as provided under the terms of the plan and policies. 

  
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 3.7.3 Indemnification. During the Employment Period and after Executive’s
termination of employment, Bandwidth shall indemnify Executive and hold Executive harmless from and against any claim, loss or cause of action arising from or out of Executive’s performance as an officer, director or employee of Bandwidth or
any of its subsidiaries or other affiliates or in any other capacity, including any fiduciary capacity, in which Executive serves at Bandwidth’s request, in each case to the maximum extent permitted by law and under Bandwidth’s Certificate
of Incorporation and By-Laws. This indemnification right is in addition to any similar rights under any statute, Bandwidth’s Certificate of Incorporation, By-Laws
and under any other applicable agreements that now exist or may exist from time to time. During the Employment Period and for at least 3 years following Executive’s termination of employment, Executive shall be covered by any policy of
directors and officers’ liability insurance maintained by Bandwidth for the benefit of its officers and directors. 
 4
Termination. 
 4.1 Executive’s employment with Bandwidth will terminate automatically upon Executive’s death. 

4.2 Bandwidth may terminate Executive’s employment at any time. 

4.3 If at any time during the Employment Period Bandwidth (i) assigns Executive to serve in a capacity other than as Bandwidth’s
Chief Financial Officer or assigns Executive to perform tasks inconsistent with such position, in each case, which results in a material diminution in Executive’s authority, duties or responsibilities, or (ii) Bandwidth materially breaches
any provision of this Agreement, then Executive may resign his employment by providing notice to Bandwidth within thirty (30) days of such event of the reasons for his resignation under this provision. Bandwidth shall have thirty (30) days
following receipt of such notice to remedy and cure the alleged diminution or breach. If Bandwidth does not cure such breach, Executive shall resign his employment and such resignation will be deemed to be a termination by Bandwidth other than for
Cause and/or a resignation by Executive for Good Reason. Executive can resign at any time other than for Good Reason. 
 4.4 Bandwidth will
have the right to terminate Executive at any time, immediately, for Cause. “Cause” will mean: (i) Executive is convicted of any felony (or Executive pleads guilty or nolo contendere thereto); (ii) Executive fails or refuses to
perform, in any material respect, the written policies or directives of the Chief Executive Officer, unless such failure is corrected within thirty (30) days following his receipt of written notice of such failure from Bandwidth that
specifically identifies the manner in which the Chief Executive Officer believes Executive has substantially failed to materially perform his duties; (iii) Executive materially breaches the provisions set forth in Section 2.2 of this
Agreement unless such breach is corrected within thirty (30) days following his receipt of written notice of such breach from Bandwidth that specifically identifies the manner in which the Chief Executive Officer believes Executive has breached
such Section 2.2 and such failure shall not be eligible for correction if it occurs more than once in any three month period, provided that Executive has been provided notice of such initial breach; (iv) Executive

  
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materially breaches this Agreement or any other agreement between Bandwidth and Executive, including, without limitation, any applicable nondisclosure agreement, unless such failure is corrected
within thirty (30) days following his receipt of written notice of such failure from Bandwidth that specifically identifies the manner in which the Chief Executive Officer believes Executive has breached the agreement; or (v) the gross or
willful misconduct by Executive with regard to Bandwidth or any employee of Bandwidth that is materially injurious to Bandwidth or such employee. 

5 Effects of Termination. 

5.1 Upon Executive’s termination of employment for any reason (including death), he will be entitled to receive (in addition to any
compensation and benefits he is entitled to receive under Section 3 above, if applicable): (i) any earned but unpaid Base Salary, (ii) any earned but unpaid Bonus Compensation, (iii) unreimbursed business expenses in accordance
with Bandwidth’s policies for which expenses Executive has provided appropriate documentation, (iv) a lump sum cash amount equal to the value of his unused vacation days in accordance with the standard written policy of Bandwidth, and
(v) any vested amounts or benefits to which Executive is then entitled under the terms of the benefit plans then sponsored by Bandwidth in accordance with their terms. All of Bandwidth’s other obligations under this Agreement will end
immediately upon Executive’s termination of employment. 
 5.2 Any controversy or claim arising out of or relating to the benefits and
entitlements of Executive following a Change of Control will be resolved by binding arbitration in Raleigh, North Carolina with the American Arbitration Association, pursuant to their commercial arbitration rules then in effect. The determination of
the arbitrator will be conclusive and binding on Bandwidth and Executive, and judgment may be entered on the arbitrator’s award in any court of competent jurisdiction. The prevailing party may recover its attorneys’ fees and expenses
incurred in such dispute, including the cost of the Arbitration if the prevailing party initiated the action. 
 6 Covenant Not To
Compete. 
 6.1 Inducement. This covenant between Executive and Bandwidth is being executed and delivered by Executive in
consideration of Executive’s employment with Bandwidth and each party’s rights and obligations agreed to hereunder (including, without limitation, the Base Salary, Bonus Compensation, and other benefits and payments set forth herein).
Executive acknowledges that Bandwidth’s business and Executive’s responsibilities are international in scope. Executive further acknowledges that the covenant not to compete with Bandwidth contained in this Section 6 was and has been
a condition of his employment since Executive was originally employed by Bandwidth. 
 6.2 Restricted Activities — Duration.
Except as otherwise consented to or approved by the Chief Executive Officer in writing, Executive agrees that during the term of this Agreement and for twelve (12) months after Executive’s employment with Bandwidth ends, regardless of the
time, manner or reasons for termination, and regardless of whether terminated by Executive or Bandwidth, but only so long as Bandwidth does not breach its obligations in this Agreement, Executive will not, directly or indirectly, acting alone or as
a member of a partnership or as an owner, director, officer, employee, manager, representative or consultant of any corporation or other business entity: 

6.2.1 engage in any business in competition with the business that is conducted by Bandwidth in the United States, Canada or
any European, Asian, Pacific or other foreign country in which Bandwidth then or thereafter transacts business or is making a bona fide attempt to do so; 

  
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 6.2.2 induce, request or attempt to influence any customers or suppliers of
Bandwidth to curtail or cancel their business or prospective business with Bandwidth or in any way interfere with Bandwidth’s business relationships; or 

6.2.3 induce, solicit, assist or facilitate the inducement or solicitation by a third person of any employee, officer, agent or
representative of Bandwidth, to terminate their respective relationship with Bandwidth or in any way interfere with Bandwidth’s employee, officer, agent or representative relationships. 

6.3 Tolling; Relief of Obligations. In the event that Executive breaches any provision of this Section 6, that violation will toll
the running of the restricted period set forth in Section 6.2 from the date of commencement of such violation until such violation ceases. 

6.4 “Blue Penciling” or Modification. If the length of time, geographic area or scope of restricted business activity set
forth in Section 6.2 is deemed unreasonably restrictive or unreasonable in any other respect in any court proceeding, Executive and Bandwidth agree and consent to such court’s modifying or reducing such restriction(s) to the extent deemed
reasonable under the circumstances then presented. 
 6.5 Definitions. As used in this Section 6, the following terms will have
the following definitions: 
 (i) The terms “compete” or “in competition,” as used herein, will be deemed to include,
without limitation, becoming or being an employee, owner, partner, consultant, agent, stockholder, director, or officer of any person, partnership, firm, corporation or other entity (other than Bandwidth) which engages in (i) the business of
developing, providing, offering and selling (A) retail VoIP services, including, without limitation, IP based unified communications services and trunking services; wholesale VoIP services; (B) wholesale origination, termination or SMS
services; (C) emergency solutions for telecommunications carriers, including, without limitation, end-to-end call control and support, real-time address validation,
automated provisioning and/or geospatial routing; (D) communication platform as a service (or CPaaS) solutions, including, without limitation, application program interfaces deploying, causing the use of, or using origination, termination, or
SMS services; and/or (E) product(s) or service(s) to which any of clauses (A) through (D) apply and/or any product(s) or service(s) that perform substantially similar functions to which any of clauses (A) through (D) apply, or
(ii) any other business conducted by Bandwidth immediately prior to such termination (or in which Bandwidth shall at such time be actively preparing to engage). Notwithstanding the foregoing, ownership of five (5%) percent or less of any class
of securities of an entity will not constitute competition with Bandwidth. 

  
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 (ii) The phrases “engage in a business” or “engage in a line of
business” and similar phrases will be deemed to include marketing or otherwise selling products or researching, writing, developing, designing, distributing, testing or manufacturing products or services or otherwise preparing to market or sell
products or services. 
 7 Nondisclosure of Confidential Information. 

7.1 Executive acknowledges that the discharge of his duties under this Agreement will necessarily involve his access to Confidential
Information. Executive acknowledges that the unauthorized use by him or disclosure by him of such Confidential Information to third parties might cause irreparable damage to Bandwidth and Bandwidth’s business. Accordingly, Executive agrees that
at all times after the date hereof he will not copy, publish, disclose, divulge to or discuss with any third party nor use for his own benefit or that of others, without the prior express written consent of the Chief Executive Officer, except in the
normal conduct of his duties under this Agreement, any Confidential Information, it being understood and acknowledged by Executive that all Confidential Information created, compiled or obtained by Executive or Bandwidth, or furnished to Executive
by any person while Executive is associated with Bandwidth remains its exclusive property. 
 7.2 Promptly upon termination of his
employment, irrespective of the time or manner thereof or reason therefor, and whether such termination is by Bandwidth or Executive, Executive agrees to return and surrender to Bandwidth all tangible Confidential Information in any manner in his
control or possession, as well as all other Bandwidth property. 
 7.3 Pursuant to the Defend Trade Secrets Act of 2016, Executive
understands that: 
 An individual may not be held criminally or civilly liable under any federal or state trade secret law for the
disclosure of a trade secret that: (a) is made (i) in confidence to a federal, state, or local government official, either directly or indirectly, or to an attorney; and (ii) solely for the purpose of reporting or investigating a
suspected violation of law; or (b) is made in a complaint or other document that is filed under seal in a lawsuit or other proceeding. 

Further, an individual who files a lawsuit for retaliation by an employer for reporting a suspected violation of law may disclose the
employer’s trade secrets to the attorney and use the trade secret information in the court proceeding if the individual: (a) files any document containing the trade secret under seal; and (b) does not disclose the trade secret, except
pursuant to court order. 

  
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 8 Remedies Inadequate. 

8.1 Executive acknowledges that the services to be rendered by him to Bandwidth as contemplated by this Agreement are special, unique and of
extraordinary character. Executive expressly agrees and understand that the remedy at law for any breach by him of Section 6 or 7 of this Agreement will be inadequate and that the damages flowing from such breach are not readily susceptible to
being measured in monetary terms. Accordingly, upon adequate proof of Executive’s violation of any legally enforceable provision of Section 6 or 7, Bandwidth will be entitled to immediate injunctive relief, including, without limitation, a
temporary order restraining any threatened or further breach. In the event any equitable proceedings are brought to enforce the provisions of any of Section 6, 7 or 8, Executive agrees that he will not raise in such proceedings any defense that
there is an adequate remedy at law, and Executive hereby waives any such defense. Nothing in this Agreement will be deemed to limit Bandwidth’s remedies at law or in equity for any breach by Executive of any of the provisions of Section 6
or 7 which may be pursued or availed of by Bandwidth. Without limiting the generality of the immediately preceding sentence, any covenant on Executive’s part contained in Section 6 or 7, which may not be specifically enforceable will
nevertheless, if breached, give rise to a cause of action for monetary damages. 
 8.2 Executive has carefully considered, and has had
adequate time and opportunity to consult with his own counsel or other advisors regarding the nature and extent of the restrictions upon him and the rights and remedies conferred upon Bandwidth under Sections 6, 7 and 8, and hereby acknowledges
and agrees that such restrictions are reasonable in time, territory and scope, are designed to eliminate competition which otherwise would be unfair to Bandwidth, do not stifle the inherent skill and experience of Executive, would not operate as a
bar to Executive’s sole means of support, are fully required to protect the legitimate interests of Bandwidth and do not confer a benefit upon Bandwidth disproportionate to the detriment to Executive. 

8.3 The covenants and agreements made by Executive in Sections 6, 7 and 8 will survive full payment by Bandwidth to Executive of the
amounts to which Executive is entitled under this Agreement, the expiration of the Employment Period and this Agreement. 
 9
Rights. Executive acknowledges and agrees that any procedure, design feature, schematic, invention, improvement, development, discovery, know how, concept, idea or the like (whether or not patentable, registrable under copyright
or trademark laws, or otherwise protectable under similar laws) that Executive may conceive of, suggest, make, invent, develop or implement, during the course of his service pursuant to this Agreement (whether individually or jointly with any other
person or persons), relating in any way to the business of Bandwidth or to the general industry of which Bandwidth is a part, as will all physical embodiments and manifestations thereof, and all patent rights, copyrights, trademarks (or applications
therefor) and similar protections therein (all of the foregoing referred to as “Work Product”), will be the sole, exclusive and absolute property of Bandwidth. All Work Product will be deemed to be works for hire and, in addition to the
Work Product being works for hire, Executive hereby assigns to Bandwidth all right, title and interest in, to and under such Work Product, including without limitation, the right to obtain such patents, copyright registrations, trademark
registrations or similar protections as Bandwidth may desire to obtain. Executive will immediately disclose all Work Product to Bandwidth and agrees, at any time, upon Bandwidth’s request and without additional compensation, to execute any
documents and otherwise to reasonably cooperate with Bandwidth respecting the perfection of its right, title and interest in, to and under such Work Product, and in any litigation or controversy in connection therewith, all expenses incident thereto
to be borne by Bandwidth. 

  
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 10 Assignment of Payment Rights. In no event will Bandwidth be
obligated to make any payment under this Agreement to any assignee or creditor of Executive, other than to the estate of Executive after his death. Prior to the time of payment under this Agreement, neither Executive nor his legal representative
will have any right by way of anticipation or otherwise to dispose of any interest under this Agreement. 
 11 Bandwidth’s
Obligations Unfunded. Except as to any benefits that may be required to be funded under any benefit plan of Bandwidth pursuant to law, as provided for in this Agreement or pursuant to other agreements and which are not for the sole
benefit of Executive, the obligations of Bandwidth under this Agreement are not funded and Bandwidth will not be required to set aside or deposit in escrow any monies in advance of the due date for payment thereof to Executive. 

12 Notices. Any notice to be given hereunder by Bandwidth to Executive will be deemed to be given if delivered to
Executive in person, if emailed to Executive at his business email address or if mailed or overnighted to Executive at his address last known on the records of Bandwidth, and any notice to be given by Executive to Bandwidth will be directed either
to Bandwidth’s Chief Executive, Secretary or General Counsel, and in any case it will be deemed to be given if delivered in person, if emailed to the address at his business email address or if mailed or overnighted to the person at his address
last known on the records of Bandwidth, unless any party will have duly notified the other parties in writing of a change of address. All notices are deemed given when delivered to such address, or if otherwise actually received by the addressee.

 13 Section 409A. 

13.1 In order to ensure compliance with Code Section 409A and the regulations and guidance promulgated thereunder (collectively
“Section 409A”), the provisions of this Section 13 shall govern in all cases over any contrary or conflicting provision in this Agreement (other than a comparable Section 409A provision that is expressly
intended to govern over this provision by its terms). The intent of the parties is that payments and benefits under this Agreement comply with, or be exempt from, Section 409A and, accordingly, to the maximum extent permitted, this Agreement
shall be interpreted and administered to be in compliance therewith. Executive acknowledges and agrees that Bandwidth has made no representation to Executive as to the tax treatment of the compensation and benefits provided pursuant to this
Agreement and that Executive is solely responsible for all taxes due with respect to such compensation and benefits. 
 13.2 To the extent
necessary to comply with Section 409A, references in this Agreement to “termination of employment” or “terminates employment” (and similar references) shall have the same meaning as “separation from service” under
Code Section 409A(a)(2)(A)(i), and no payment subject to Section 409A that is payable upon a termination of employment shall be paid unless and until (and not later than applicable in compliance with Section 409A) when Executive
incurs a “separation from service” under Code Section 409A(a)(2)(A)(i) (a “Separation from Service”). In addition, if Executive is a “specified 

  
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employee” within the meaning of Section 409A at the time of his Separation from Service, any nonqualified deferred compensation subject to Section 409A that would otherwise have
been payable on account of, and within the first six months following, Executive’s Separation from Service, and not by reason of another event under Section 409A, will become payable on the first business day after six months following the
date of Executive’s Separation from Service or, if earlier, the date of Executive’s death. 
 13.3 Consistent with the
requirements of Section 409A, to the extent that any reimbursement or in-kind benefit provided is taxable and subject to Section 409A, unless stated otherwise: (i) reimbursements and in-kind benefits will be provided only during the period during which Executive is employed or receiving Severance; (ii) the expenses eligible for reimbursement or the
in-kind benefits provided in any given calendar year will not affect the expenses eligible for reimbursement or the in-kind benefits provided in any other calendar year;
(iii) the reimbursement of an eligible expense must be made no later than the last day of calendar year following the calendar year in which the expense was incurred; and (iv) the right to reimbursements or
in-kind benefits cannot be liquidated or exchanged for any other benefit. 
 13.4 Executive’s
right to receive any installment payments under this Agreement, including without limitation any continuation salary payments that are payable on Bandwidth payroll dates, shall be treated as a right to receive a series of separate payments and,
accordingly, each such installment payment shall at all times be considered a separate and distinct payment as permitted under Section 409A. Except as otherwise permitted under Section 409A, no payment hereunder shall be accelerated or
deferred unless such acceleration or deferral would not result in additional tax or interest pursuant to Section 409A. 
 13.5 In no
event may Executive, directly or indirectly, designate the calendar year of any payment to be made under this Agreement that is considered nonqualified deferred compensation subject to Section 409A. In no event shall the timing of
Executive’s execution of the general release of claims, directly or indirectly, result in Executive designating the calendar year of payment of any nonqualified deferred compensation subject to Section 409A, and if such a payment that is
subject to execution of the general release of claims could be made in more than one taxable year, payment shall be made in the later taxable year. 

14 Amendments. This Agreement will not be modified or discharged, in whole or in part, except by an agreement in
writing signed by all parties. 
 15 Entire Agreement. Except as expressly provided for herein, this Agreement
constitutes the entire agreement between the parties with respect to the subject matter hereof. The parties are not relying on any other representation, express or implied, oral or written. This Agreement supersedes any prior employment agreement,
written or oral, between Executive and Bandwidth; provided, however that other non-competition, non-solicitation, confidentiality agreements, and other restrictive
covenant agreements between Executive and Bandwidth remain in effect and this Agreement and such other agreements may be enforced by Bandwidth independently or simultaneously. 

16 Captions; Terms. The captions contained in this Agreement are for convenience of reference only and do not
affect the meaning of any terms or provisions hereof. References to “termination of employment,” “termination of Executive,” “termination of this Agreement,” “termination of the Employment Period,” and any
other terms of similar meaning will all be deemed equivalent. Masculine, feminine and neuter pronouns are interchangeable as context requires. 

  
 Page 12 of 22 

 17 Binding Effect. The parties may not assign this Agreement and
may not assign or delegate any right or duty hereunder and any attempt to do so is void. Subject to the foregoing, the rights and obligations of Bandwidth hereunder will inure to the benefit of, and will be binding upon, Bandwidth and its successors
and assigns, and the rights and obligations of Executive hereunder will inure to the benefit of, and will be binding upon, Executive and his heirs, personal representatives and estate. 

18 Severable Provisions. The provisions of this Agreement are severable, and if any one or more provisions may be
determined to be illegal or otherwise unenforceable, in whole or in part, the remaining provisions and any partially enforceable provision will be binding and enforceable to the extent enforceable in any jurisdiction. 

19 Governing Law and Venue. This Agreement will be interpreted, construed, and enforced in all respects in
accordance with the laws of the State of North Carolina, without regard to conflict of laws. Other than disputes that by the terms of this Agreement are to be resolved through binding arbitration, any and all actions brought arising out of, or based
in whole or in part upon this Agreement or the employment relationship between Executive and Bandwidth, will be brought in either a federal or state court sitting in Raleigh, North Carolina, and the parties consent to jurisdiction and venue thereof.

 IN WITNESS WHEREOF, the undersigned have executed this Agreement on the day and year first above written, effective the Effective Date.

  

			
	 Bandwidth:

	
	 BANDWIDTH INC.

		
	 By
	 	 /s/ David Morken

		
	 Its
	 	 Chief Executive Officer

  

			
	 Executive:

	
	 /s/ Daryl E. Raiford

	 Daryl E. Raiford

  
 Page 13 of 22 

 EXHIBIT A 

EMPLOYMENT AGREEMENT 

DEFINITIONS 
 “Change
in Control” means, and will be deemed to have occurred at such time as: (i) any “person” (as such term is used in Section 13(d) and 14(d) of the Exchange Act) becomes the “beneficial owner” (as defined in Rule 13d-3 under the Exchange Act), directly or indirectly, of twenty-five percent (25%) or more of the combined voting power of Bandwidth’s Voting Securities; (ii) sale of all or substantially all of the
assets of Bandwidth, or any merger, consolidation, or reorganization to which Bandwidth is a party and as the result of which Bandwidth’s stockholders prior to the transaction do not own at least fifty percent (50%) of the voting power of the
surviving entity in the election of directors; or (iii) individuals who constitute the Continuing Directors cease for any reason to constitute at least a majority of Bandwidth’s Board of Directors. Notwithstanding the foregoing, no event
unilaterally caused by Executive by virtue of his stock ownership will be a Change in Control. Further notwithstanding the foregoing, a Change in Control shall not be deemed to occur unless the transaction also constitutes a change in the ownership
or effective control of Bandwidth or a change in the ownership of a substantial portion of the assets of Bandwidth, each as defined in Code Section 409A(a)(2)(A)(v) and the regulations promulgated thereunder; however, a Change in Control shall
be deemed to occur if the transaction constitutes a change in the ownership or effective control of Bandwidth or a change in the ownership of a substantial portion of the assets of Bandwidth, each as defined in Code Section 409A(a)(2)(A)(v) and
the regulations promulgated thereunder, regardless of whether it satisfies the foregoing. 
 “Budget” will mean for each year,
Bandwidth’s management financial targets approved by the Board of Directors for the year in question. 
 “Confidential
Information” means all information or trade secrets of any type or description belonging to Bandwidth that are proprietary and confidential to Bandwidth and are not publicly disclosed or are only disclosed with restrictions. Without limiting
the generality of the foregoing, Confidential Information includes strategic plans for carrying on business, other business plans, cost data, internal financial information, customer lists, employee lists, vendor lists, business partner or alliance
lists, drawings, designs, schematics, flow charts, specifications, inventions, calculations, discoveries and any letters, papers, documents or instruments disclosing or reflecting any of the foregoing, and all information revealed to, acquired or
created by Executive during Executive’s employment by Bandwidth relating to any of the foregoing. 
 “Continuing Directors”
will mean and include the persons constituting Bandwidth’s Board of Directors as of the Effective Date, and any person who becomes a director of Bandwidth subsequent to the date hereof whose election, or nomination for election by
Bandwidth’s stockholders, was approved by an affirmative vote of at least a majority of the then Continuing Directors (either by a specific vote or if Bandwidth is then subject to the proxy rules of the Exchange Act then by approval of the
proxy statement of Bandwidth in which such person is named as a nominee for director or of the inclusion of such person in such Proxy Statement as such a nominee, in any case without objection by any member of such approving majority of the then
Continuing Directors to the nomination of such person or the naming of such person as a director nominee). 

  
 Page 14 of 22 

 “Good Reason” means that if, at any time during the Employment Period without
Executive’s consent, Bandwidth (i) assigns Executive to serve in a capacity other than as Bandwidth’s Chief Financial Officer or assigns Executive to perform tasks inconsistent with such position, in each case, which results in a
material diminution in Executive’s authority, duties or responsibilities, or (ii) Bandwidth materially breaches any provision of this Agreement, then Executive may resign his employment by providing notice to Bandwidth within thirty
(30) days of such event of the reasons for his resignation under this provision. Bandwidth shall have thirty (30) days following receipt of such notice to remedy and cure the alleged diminution or breach. If Bandwidth does not cure such
breach, Executive shall resign his employment within thirty (30) days of Bandwidth’s cure period, and such resignation will be deemed to be a resignation by Executive for Good Reason. 

“Voting Securities” means Bandwidth’s outstanding securities ordinarily having the right to vote at elections of directors.

  
 Page 15 of 22 

 EXHIBIT B 

FORM OF RELEASE 

  
 Page 16 of 22 

 EXHIBIT B 

Separation Agreement and Release 

This Separation Agreement and Release (“Agreement”) is made by and between Daryl E. Raiford (“Executive”) and Bandwidth
Inc. (the “Company”) (collectively referred to as the “Parties” or individually referred to as a “Party”). Capitalized terms used but not defined in this Agreement shall have the meanings set forth in the Employment
Agreement (as defined below). 
 WHEREAS, the Parties have previously entered into that certain Employment Agreement, dated as of July __,
2021 (the “Employment Agreement”); and 
 WHEREAS, in connection with Executive’s termination of employment with the Company
or a subsidiary or affiliate of the Company effective ________, 20__, the Parties wish to resolve any and all disputes, claims, complaints, grievances, charges, actions, petitions, and demands that Executive may have against the Company and any of
the Releasees as defined below, including, but not limited to, any and all claims arising out of or in any way related to Executive’s employment with or separation from the Company or its subsidiaries or affiliates but, for the avoidance of
doubt, nothing herein will be deemed to release any rights or remedies in connection with Executive’s ownership of vested equity securities of the Company, Executive’s right to indemnification, advancement of expenses, claims for coverage
and similar rights under the Employment Agreement, the constituent documents of the Company or any of its subsidiaries or affiliates pursuant to contract or applicable law, under any insurance policies maintained by the Company or any of its
subsidiaries or affiliates, or Executive’s rights to receive the payments and benefits described in Sections 3.3.2, 3.4, 3.7 and 5.1 of the Employment Agreement,1 (collectively, the
“Retained Claims”). 
 NOW, THEREFORE, in consideration of the severance payments and benefits described in Section 3.3.2 and
Section 3.4 of the Employment Agreement, which, pursuant to the Employment Agreement, are conditioned on Executive’s execution and non-revocation of this Agreement, and in consideration of the mutual
promises made herein, the Company and Executive hereby agree as follows: 
  

	1 	 Note to Draft: To be updated to the extent the Employment Agreement is amended or replaced to reflect all
sections pursuant to which Executive has any rights. 

  
 Page 17 of 22 

 1. Severance Payments; Salary and Benefits. The Company agrees to provide Executive
with the severance payments and benefits described in Sections 3.3.2, 3.4 and 3.7 of the Employment Agreement, vesting or payable at the times set forth in, and subject to the terms and conditions of, the Employment Agreement. In addition, to the
extent not already paid, and subject to the terms and conditions of the Employment Agreement, the Company shall pay or provide to Executive all other payments or benefits described in Section 5.1 of the Employment Agreement, subject to and in
accordance with the terms thereof. 
 2. Release of Claims. Executive agrees that, other than with respect to the Retained Claims,
the foregoing consideration represents settlement in full of all outstanding obligations owed to Executive by the Company, any of its direct or indirect subsidiaries and affiliates, and any of its or their respective current and former officers,
directors, equity holders, managers, employees, agents, investors, attorneys, shareholders, administrators, affiliates, benefit plans, plan administrators, insurers, trustees, divisions, and subsidiaries and predecessor and successor corporations
and assigns (collectively, the “Releasees”). Executive, on Executive’s own behalf and on behalf of any of Executive’s affiliated companies or entities and any of Executive’s or their respective heirs, family members,
executors, agents, and assigns, other than with respect to the Retained Claims, hereby and forever releases the Releasees from, and agrees not to sue concerning, or in any manner to institute, prosecute, or pursue, any claim, complaint, charge,
duty, obligation, or cause of action relating to any matters of any kind, whether presently known or unknown, suspected or unsuspected, that Executive may possess against any of the Releasees arising from any omissions, acts, facts, or damages that
have occurred up until and including the date Executive signs this Agreement, including, without limitation: 
 (a) any and all claims
relating to or arising from Executive’s employment or service relationship with the Company or any of its direct or indirect subsidiaries or affiliates and the termination of that relationship; 

(b) any and all claims relating to, or arising from, Executive’s right to purchase, or actual purchase of any shares of stock or other
equity interests of the Company or any of its affiliates, including, without limitation, any claims for fraud, misrepresentation, breach of fiduciary duty, breach of duty under applicable state corporate law, and securities fraud under any state or
federal law; 
 (c) any and all claims for wrongful discharge of employment; termination in violation of public policy; discrimination;
harassment; retaliation; breach of contract, both express and implied; breach of covenant of good faith and fair dealing, both express and implied; promissory estoppel; negligent or intentional infliction of emotional distress; fraud; negligent or
intentional misrepresentation; negligent or intentional interference with contract or prospective economic advantage; unfair business practices; defamation; libel; slander; negligence; personal injury; assault; battery; invasion of privacy; false
imprisonment; conversion; and disability benefits; 

  
 Page 18 of 22 

 (d) any and all claims for violation of any federal, state, or municipal statute, including,
but not limited to, Title VII of the Civil Rights Act of 1964; the Civil Rights Act of 1991; the Rehabilitation Act of 1973; the Americans with Disabilities Act of 1990; the Equal Pay Act; the Fair Credit Reporting Act; the Age Discrimination in
Employment Act of 1967; the Older Workers Benefit Protection Act; the Employee Retirement Income Security Act of 1974; the Worker Adjustment and Retraining Notification Act; the Family and Medical Leave Act; and the Sarbanes-Oxley Act of 2002; 

(e) any and all claims for violation of the federal or any state constitution; 

(f) any and all claims arising out of any other laws and regulations relating to employment or employment discrimination; 

(g) any claim for any loss, cost, damage, or expense arising out of any dispute over the
non-withholding or other tax treatment of any of the proceeds received by Executive as a result of this Agreement; 

(h) any and all claims arising out of the wage and hour and wage payments laws and regulations of the state or states in which Executive has
provided service to the Company or any of its affiliates (including, without limitation, the Retaliatory Employment Discrimination Act (REDA), the North Carolina Persons with Disabilities Protection Act (PDPA), the Equal Employment Practices Act
(EEPA), the Sickle Cell and Hemoglobin Trait Discrimination Act, the Genetic Testing and Information Discrimination Act, the Use of Lawful Products Discrimination Act, the AIDS and HIV Status Discrimination Act, the Jury Service Discrimination Act,
and the Military Service Discrimination Act); and 
 (i) any and all claims for attorneys’ fees and costs. 

Executive agrees that the release set forth in this section shall be and remain in effect in all respects as a complete general release as to the matters
released. This release does not release claims that cannot be released as a matter of law, including, but not limited to, Executive’s right to report possible violations of federal law or regulation to any governmental agency or entity in
accordance with the provisions of and rules promulgated under Section 21F of the Securities Exchange Act of 1934 or Section 806 of the Sarbanes-Oxley Act of 2002, or any other whistleblower protection provisions of state or federal law or
regulation (including Executive’s right to receive an award for information provided to any such government agencies), Executive’s right to file a charge with or participate in a charge by the Equal Employment Opportunity Commission, or
any other local, state, or federal administrative body or government agency that is authorized to enforce or administer laws related to employment, against the Company (with the understanding that Executive’s release of claims herein bars
Executive from recovering monetary or other individual relief from the Company or any Releasee) in connection with any charge, investigation or 

  
 Page 19 of 22 

 
proceeding, or any related complaint or lawsuit, filed by Executive or by anyone else on Executive’s behalf before the federal Equal Employment Opportunity Commission or a comparable state
or local agency), claims for unemployment compensation or any state disability insurance benefits pursuant to the terms of applicable state law, claims to continued participation in certain of the Company’s group benefit plans pursuant to the
terms and conditions of COBRA, claims to any benefit entitlements vested as the date of separation of Executive’s employment, pursuant to written terms of any employee benefit plan of the Company or its affiliates and Executive’s right
under applicable law, and any Retained Claims. This release further does not release claims for breach of Sections 3.3.2, 3.4, 3.7 and 5.1 of the Employment Agreement, which claims shall be considered Retained Claims. 

3. Acknowledgment of Waiver of Claims under ADEA. Executive understands and acknowledges that Executive is waiving and releasing any
rights Executive may have under the Age Discrimination in Employment Act of 1967 (“ADEA”), and that this waiver and release is knowing and voluntary. Executive understands and agrees that this waiver and release does not apply to any
rights or claims that may arise under the ADEA after the date Executive signs this Agreement. Executive understands and acknowledges that the consideration given for this waiver and release is in addition to anything of value to which Executive was
already entitled. Executive further understands and acknowledges that Executive has been advised by this writing that: (a) Executive should consult with an attorney prior to executing this Agreement; (b) Executive has [21][45] days within
which to consider this Agreement, and the Parties expressly agree that such time period to review this Agreement shall not be extended upon any material or immaterial changes to this Agreement; (c) Executive has 7 business days following
Executive’s execution of this Agreement to revoke this Agreement pursuant to written notice to the General Counsel of the Company; (d) this Agreement shall not be effective until after the revocation period has expired; and
(e) nothing in this Agreement prevents or precludes Executive from challenging or seeking a determination in good faith of the validity of this waiver under the ADEA, nor does it impose any condition precedent, penalties, or costs for doing so,
unless specifically authorized by federal law. In the event Executive signs this Agreement and returns it to the Company in less than the 21 day period identified above, Executive hereby acknowledges that Executive has freely and voluntarily chosen
to waive the time period allotted for considering this Agreement. 
 4. Post-Termination Obligations. Executive reaffirms
Executive’s continuing obligations under Sections 6, 7 and 9 of the Employment Agreement. 
 5. Severability. In the event that
any provision or any portion of any provision hereof or any surviving agreement made a part hereof becomes or is declared by a court of competent jurisdiction or arbitrator to be illegal, unenforceable, or void, this Agreement shall continue in full
force and effect without said provision or portion of provision. 

  
 Page 20 of 22 

 6. No Oral Modification. This Agreement may only be amended in a writing signed by
Executive and a duly authorized officer of the Company. 
 7. Governing Law; Dispute Resolution. This Agreement shall be subject to
the provisions of Sections 5.2 and 19 of the Employment Agreement. 
 8. Effective Date. Executive has seven business days after
Executive signs this Agreement to revoke it and this Agreement will become effective upon the expiration of such seven business day period, so long as it has been signed by the Parties and has not been revoked by Executive before that date. 

9. Trade Secrets; Whistleblower Protections. In accordance with 18 U.S.C. §1833, notwithstanding anything to the contrary in this
Agreement, the Employment Agreement, the Proprietary Information Agreement or any other agreement between Executive and the Company or any of its subsidiaries in effect as of the date Executive receives this Agreement (together, the “Subject
Documents”): (a) Executive will not be in breach of the Subject Document, and shall not be held criminally or civilly liable under any federal or state trade secret law (i) for the disclosure of a trade secret that is made in confidence to
a federal, state, or local government official or to an attorney solely for the purpose of reporting or investigating a suspected violation of law, or (ii) for the disclosure of a trade secret that is made in a complaint or other document filed
in a lawsuit or other proceeding, if such filing is made under seal; and (b) if Executive files a lawsuit for retaliation by the Company for reporting a suspected violation of law, Executive may disclose the trade secret to Executive’s
attorney, and may use the trade secret information in the court proceeding, if Executive files any document containing the trade secret under seal, and does not disclose the trade secret, except pursuant to court order. Furthermore, the Parties
agree that nothing in the Subject Documents prohibits Executive from reporting possible violations of federal law or regulation to any governmental agency or entity in accordance with the provisions of and rules promulgated under Section 21F of
the Securities Exchange Act of 1934 or Section 806 of the Sarbanes-Oxley Act of 2002, or any other whistleblower protection provisions of state or federal law or regulation or releases or restrains Executive’s right to receive an award for
information provided to any such government agencies. 
 10. Voluntary Execution of Agreement. Executive understands and agrees that
Executive executed this Agreement voluntarily, without any duress or undue influence on the part or behalf of the Company or any third party, with the full intent of releasing all of Executive’s claims against the Company and any of the other
Releasees. Executive acknowledges that: (a) Executive has read this Agreement; (b) Executive has not relied upon any representations or statements made by the Company that are not specifically set forth in this Agreement;
(c) Executive has been represented in the preparation, negotiation, and execution of this Agreement by legal counsel of Executive’s own choice or has elected not to retain legal counsel; (d) Executive understands the terms and
consequences of this Agreement and of the releases it contains; and (e) Executive is fully aware of the legal and binding effect of this Agreement. 

  
 Page 21 of 22 

 IN WITNESS WHEREOF, the Parties have executed this Agreement on the respective dates set
forth below. 
  

							
	Dated: ______	 		 	 
		 		 	Daryl E. Raiford
		 		 	
			
		 		 	BANDWIDTH INC.
				
	Dated: ______	 		 	By:	 	 
		 		 		 	Name:
		 		 		 	Title:

  
 Page 22 of 22EX-10.1

 Exhibit 10.1 

Exchange Agreement 

July 7, 2021 
 Apellis
Pharmaceuticals, Inc. 
 3.500% Convertible Senior Notes due 2026 

The undersigned investor (the “Investor”), for itself and on behalf of the beneficial owners listed on Exhibit A hereto
(“Accounts”) for whom the Investor holds contractual and investment authority (each, including the Investor if it is a party exchanging Notes (as defined below), an “Exchanging Investor”), hereby agrees to exchange,
with Apellis Pharmaceuticals, Inc., a Delaware corporation (the “Company”), certain 3.500% Convertible Senior Notes due 2026, CUSIP 03753UAB2 (the “Notes”) for shares (“Shares”) of the
Company’s common stock, $0.0001 par value per share (the “Common Stock”), pursuant to this exchange agreement (this “Agreement”). The Investor understands that the exchange (the “Exchange”) is
being made without registration of the offer or sale of the Shares under the Securities Act of 1933, as amended (the “Securities Act”), or any securities laws of any state of the United States or of any other jurisdiction in a
private placement pursuant to the exemption from registration provided by Section 4(a)(2) of the Securities Act and that each Exchanging Investor participating in the Exchange is required to be an institutional “accredited investor”
within the meaning of Rule 501(a)(1), (2), (3) or (7) of Regulation D under the Securities Act that is also a “qualified institutional buyer” within the meaning of Rule 144A under the Securities Act. Capitalized terms used but not
defined in this Agreement have the respective meanings set forth in the indenture, dated as of September 16, 2019, (the “Indenture”) between the Company and U.S. Bank National Association, as trustee (the
“Trustee”). 
 1.    Exchange. On the basis of the representations, warranties and agreements herein contained
and subject to the terms and conditions herein set forth, the Investor hereby agrees to exchange for itself and on behalf of the Exchanging Investors, an aggregate principal amount of the Notes set forth on Exhibit A hereto (the
“Exchanged Notes”) for: 
 (a)    a number of Shares per $1,000 principal amount of such
Exchanged Notes equal to 22.8065; plus 
 (b)    an additional number of Shares per $1,000
principal amount of such Exchanged Notes equal to the quotient of (i) $449.64 divided by (ii) the average of the Daily VWAPs (as defined below) over the Reference Period (as defined below) (the aggregate number of Shares under
clause (a) and (b), the “Exchange Consideration”); 
 in each case, as adjusted in good faith by the Company for any
stock dividend, stock split, stock combination, reclassification or similar transaction occurring on or after the date hereof and prior to the Closing Date; provided that the number of Shares to be exchanged for the Exchanged Notes shall be
rounded down to the nearest whole share for each Exchanging Investor. 
 For the avoidance of doubt, no cash will be paid to any Exchanging
Investor in respect of any accrued and unpaid interest on the Exchanged Notes. 
 Notwithstanding the foregoing, in no event shall the number
of shares of Common Stock issuable under this Agreement and in exchange for other Notes pursuant to any other exchange agreement entered into on or about the date of this Agreement (the “Other Exchange Agreements”) between the
Company and holders of such other Notes with respect to the exchange of Notes for Common Stock exceed 19.9% of the Company’s issued and outstanding Common Stock on the 

  
 1 

 
date hereof (the “Threshold”). If such aggregate amount of shares of Common Stock were to exceed the Threshold, (i) the aggregate number of such shares of Common Stock
to be issued under this Agreement and the Other Exchange Agreements shall be allocated among the Exchanging Investors and the “Exchanging Investors” under the Other Exchange Agreements on a pro rata basis based on the principal amount of
Notes intended to be exchanged by each such Exchanging Investor under this Agreement and the Other Exchange Agreements and (ii) the percentage reduction in the number of shares of Common Stock to be issued under this Agreement pursuant to
clause (i) shall be multiplied by the face amount of the Exchanged Notes and such amount of Exchanged Notes shall not be considered Exchanged Notes, shall not be exchanged hereunder and shall be returned to the Investor. 

“Business Day” means any day other than a Saturday, a Sunday or a day on which the Federal Reserve Bank of New
York is authorized or required by law or executive order to close or be closed. 
 “Daily VWAP” means, for
each Trading Day (as defined below) in the Reference Period (as defined below), the per share volume-weighted average price of the Common Stock as displayed under the heading “Bloomberg VWAP” on Bloomberg page “APLS <equity>
AQR” (or its equivalent successor if such page is not available) in respect of the period from the scheduled open of trading until the scheduled close of trading of the primary trading session on such Trading Day (or if such volume-weighted
average price is unavailable, the Last Reported Sale Price on such day). The “Daily VWAP” shall be determined without regard to after-hours trading or any other trading outside of the regular trading session trading hours. 

“Last Reported Sale Price” of the Common Stock on any date means the closing sale price per share (or if no
closing sale price is reported, the average of the bid and ask prices or, if more than one in either case, the average of the average bid and the average ask prices) on that date as reported in composite transactions for the principal U.S. national
or regional securities exchange on which the Common Stock is traded. 
 “Market Disruption Event” means
(a) a failure by the primary U.S. national or regional securities exchange or market on which the Common Stock is listed or admitted for trading to open for trading during its regular trading session or (b) the occurrence or existence
prior to 1:00 p.m., New York City time, on any Scheduled Trading Day (as defined in the Indenture) for the Common Stock for more than one half-hour period in the aggregate during regular trading hours of any suspension or limitation imposed on
trading (by reason of movements in price exceeding limits permitted by the relevant stock exchange or otherwise) in the Common Stock or in any options contracts or futures contracts relating to the Common Stock. 

“Reference Period” means the period of 10 consecutive Trading Days commencing on the first Trading Day
following the date hereof. 
 “Trading Day” means a day on which (a) there is no Market Disruption
Event and (b) trading in the Common Stock generally occurs on The Nasdaq Global Select Market or, if the Common Stock is not then listed on The Nasdaq Global Select Market, on the principal other U.S. national or regional securities exchange on
which the Common Stock is then listed or, if the Common Stock is not then listed on a U.S. national or regional securities exchange, on the principal other market on which the Common Stock is then listed or admitted for trading, except that if the
Common Stock is not so listed or admitted for trading, “Trading Day” means a Business Day. 

  
 2 

 The Investor agrees that it and any Exchanging Investor shall not deliver a Notice of Conversion with
respect to any Exchanged Notes and the Investor and each Exchanging Investor shall hold the Exchanged Notes until the Closing (as defined below). In consideration for the performance of their obligations hereunder (including as described in the
immediately preceding sentence), the Company agrees to deliver the Exchange Consideration on the Closing Date (as defined below) to each Exchanging Investor in exchange for its Exchanged Notes. 

The Exchange shall occur in accordance with the procedures set forth in Exhibit B.2 hereto (the “Exchange Procedures”);
provided that each of the Company and the Investor acknowledges that the delivery of the Shares to any Exchanging Investor may be delayed due to procedures and mechanics within the system of American Stock Transfer & Trust Company,
LLC, The Depositary Trust Company (“DTC”) or The Nasdaq Global Select Market (“Nasdaq”) (including the procedures and mechanics regarding the listing of the Shares on Nasdaq) or other events beyond the
Company’s control and that such a delay will not be a default under this Agreement so long as (i) the Company is using its reasonable best efforts to effect such delivery, or (ii) such delay arises due to a failure by Investor to
deliver settlement instructions in accordance with Section 3(s); provided, further, that no delivery of Shares will be made until the Exchanged Notes have been properly submitted for exchange in accordance with the Exchange
Procedures and no accrued interest will be payable by reason of any delay in making such delivery. 
 The closing of the Exchange (the
“Closing”) shall take place remotely via the exchange of documents and signatures at 10:00 a.m., New York City time, on July 23, 2021 (the “Closing Date”), or at such other time and place as the Company and the
Investor may mutually agree. On the Closing Date, subject to satisfaction of the conditions precedent specified herein and the prior receipt by the Company from the Investor of the Exchanged Notes, the Company shall deliver the Shares to the DTC
account specified by the Investor for each relevant Exchanging Investor in Exhibit B.1. All questions as to the form of all documents and the validity and acceptance of the Exchanged Notes and the Exchange Consideration will be determined by
the Company, in its sole discretion, which determination shall be final and binding. Subject to the terms and conditions of this Agreement, the Investor hereby, for itself and on behalf of its Accounts, (a) waives any and all other rights with
respect to such Exchanged Notes and (b) releases and discharges the Company from any and all claims the undersigned and its Accounts may now have, or may have in the future, arising out of, or related to, such Exchanged Notes. 

2.    Representations and Warranties and Covenants of the Company. As of the date hereof and the Closing Date, the Company
represents and warrants to, and covenants with, the Exchanging Investors that: 
 (a)    The Company and
each of its subsidiaries are entities duly organized, validly existing and in good standing under the laws of the jurisdiction in which each is formed, and have the requisite power and authority to own their properties and to carry on their business
as now being conducted, except in the case of the Company’s subsidiaries as would not reasonably be expected to have a material adverse effect on the business, properties, assets, liabilities, operations (including results thereof), or
financial condition of the Company or its subsidiaries, taken as a whole. The Company and each of its subsidiaries is duly qualified as a foreign entity to do business (where such concept exists) and is in good standing in every jurisdiction (where
such concept exists) in which its ownership of property or the nature of the business conducted by it makes such qualification necessary, except to the extent that the failure to be so qualified or be in good standing would not reasonably be
expected to have a material adverse effect on the business, properties, assets, liabilities, operations (including results thereof), or condition (financial or otherwise) of the Company or its subsidiaries, taken as a whole. The Company has the
power, authority and capacity to execute and deliver this Agreement, to perform its obligations hereunder, 

  
 3 

 
and to consummate the Exchange contemplated hereby. No consent, approval, order or authorization of, or registration, declaration or filing with any governmental entity is required on the part of
the Company or any of its subsidiaries in connection with the execution, delivery and performance by the Company of this Agreement and the consummation by the Company of the Exchange, except as may be required under any state or federal securities
laws or that may be made or obtained after the Closing without penalty. 
 (b)    This Agreement has been
duly authorized, executed and delivered by the Company and constitutes a legal, valid and binding obligation of the Company, enforceable against the Company in accordance with its terms, except that such enforcement may be subject to
(a) bankruptcy, insolvency, fraudulent transfer, reorganization, moratorium or other similar laws affecting or relating to enforcement of creditors’ rights generally and (b) general principles of equity, whether such enforceability is
considered in a proceeding at law or in equity. 
 (c)    This Agreement and consummation of the Exchange
will not violate, conflict with or result in a breach of or default under (i) the charter or bylaws of the Company, (ii) any agreement or instrument to which the Company is a party or by which the Company or any of its assets or
subsidiaries are bound, or (iii) assuming the truth and accuracy of the representations and warranties and compliance with the covenants of the Investor and each Exchanging Investor herein, any laws, regulations or governmental or judicial
decrees, injunctions or orders applicable to the Company and its subsidiaries, except in the case of clauses (ii) or (iii), where such violations, conflicts, breaches or defaults as would not, individually or in the aggregate, materially impair
the ability of the Company to consummate the transactions contemplated by this Agreement. 
 (d)    When
issued, delivered and paid for in the manner set forth in this Agreement, the Shares will (i) be validly issued, fully paid and non-assessable, (ii) be free and clear of any Liens (as defined in
Section 3(c) below), option, equity or other adverse claim thereto, including claims or rights under any voting trust agreements, shareholder agreements or other agreements to which the Company is a party, and (iii) will not be subject to
any preemptive, participation, rights of first refusal or other similar rights under the General Corporation Law of the State of Delaware or any to which the Company is a party (other than any such rights that will be waived prior to the Closing).
Assuming the accuracy of the Investor’s and each Exchanging Investor’s representations and warranties hereunder, the Shares (a) will be issued in the Exchange in reliance on the exemption from the registration requirements of the
Securities Act pursuant to 4(a)(2) of the Securities Act and (b) when issued will be free of any restrictive legend and any restrictions on transfer under Rule 144 promulgated under the Securities Act. 

(e)    The execution of this Agreement by the Company and the consummation by the Company of the
transactions contemplated hereby does not require the consent, approval, authorization, order, registration or qualification of, or filing with, any governmental authority, non-governmental regulatory
authorities (including Nasdaq, other than the filing with Nasdaq of a Listing of Additional Shares notification which the Company will so file prior to the issuance of Shares on the Closing Date), except as may be required under any state or federal
securities laws or that may be made or obtained after the Closing without penalty. 
 (f)    From
January 1, 2021 to the date of this Agreement, the Company has timely filed all reports, schedules, forms, proxy statements, statements and other documents required to be filed by it with the Securities and Exchange Commission (the
“SEC”) pursuant to the reporting requirements of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) or timely filed notifications of late filings for any of the foregoing (all of the foregoing
filed prior to the date 

  
 4 

 
hereof and all exhibits and appendices included therein and financial statements, notes and schedules thereto and documents incorporated by reference therein being hereinafter referred to as the
“SEC Documents”). As of their respective dates, the SEC Documents complied in all material respects with the requirements of the Exchange Act and the rules and regulations of the SEC promulgated thereunder applicable to the SEC
Documents. 
 (g)    Without the prior written consent of the Investor, the Company shall not disclose
the name of the Investor or any Exchanging Investor in any filing or announcement, unless such disclosure is required by applicable law, rule, regulation or legal process based on advice of counsel. 

(h)    There is no action, lawsuit, arbitration, claim or proceeding pending or, to the knowledge of the
Company, threatened, against the Company that would reasonably be expected to impede the consummation of the Exchange. 

(i)    The Company agrees that it shall, upon request, execute and deliver any additional documents deemed
by the Trustee or transfer agent to be reasonably necessary to complete the Exchange. 
 (j)    The
Company hereby agrees to publicly disclose on or before 8:30 a.m., New York City time, on the first Business Day after the date hereof, the exchange of the Exchanged Notes as contemplated by this Agreement in a press release or a Current Report on
Form 8-K. The Company hereby acknowledges and agrees that any such press release or Current Report on Form 8-K will disclose all confidential information communicated by
the Company to the Investor or any Exchanging Investor in connection with the Exchange to the extent the Company believes such confidential information constitutes material non-public information, if any, with
respect to the Exchange or otherwise. 
 3.    Representations and Warranties and Covenants of the Investor. As of the date
hereof and as of the Closing Date (except as otherwise set forth below), the Investor hereby, for itself and on behalf of the Exchanging Investors, represents and warrants to, and covenants with, the Company that: 

(a)    The Investor and each Exchanging Investor is a corporation, limited partnership, limited liability
company or other entity, as the case may be, duly formed, validly existing and in good standing under the laws of the jurisdiction of its formation. 

(b)    The Investor has all requisite corporate (or other applicable entity) power and authority to execute
and deliver this Agreement for itself and on behalf of the Exchanging Investors and to carry out and perform its obligations under the terms hereof and the transactions contemplated hereby. This Agreement has been duly authorized, executed and
delivered by the Investor and constitutes the legal, valid and binding obligation of the Investor and each Exchanging Investor, enforceable in accordance with its terms, except that such enforcement may be subject to (a) bankruptcy, insolvency,
fraudulent transfer, reorganization, moratorium or other similar laws affecting or relating to enforcement of creditors’ rights generally and (b) general principles of equity, whether such enforceability is considered in a proceeding at
law or in equity. If the Investor is executing this Agreement on behalf of an Account, (i) the Investor has all requisite discretionary and contractual authority to enter into this Agreement on behalf of, and, bind, each Account, and
(ii) Exhibit A attached to this Agreement contains a true, correct and complete list of (A) the name of each Account and (B) the principal amount of each Account’s Exchanged Notes, as applicable. 

  
 5 

 (c)    As of the date hereof and as of the Closing, each
of the Exchanging Investors is the current sole legal and beneficial owner of the Exchanged Notes set forth on Exhibit A attached to this Agreement. When the Exchanged Notes are exchanged, the Company will acquire good, marketable and
unencumbered title thereto, free and clear of all liens, mortgages, pledges, security interests, restrictions, charges, encumbrances or adverse claims, rights or proxies of any kind (“Liens”). None of the Exchanging Investors has,
nor prior to the Closing, will have, in whole or in part, other than pledges or security interests that an Exchanging Investor may have created in favor of a prime broker under and in accordance with its prime brokerage agreement with such broker,
(x) assigned, transferred, hypothecated, pledged, exchanged, submitted for conversion pursuant to the Indenture or otherwise disposed of any of its Exchanged Notes (other than to the Company pursuant hereto), or (y) given any person or
entity any transfer order, power of attorney or other authority of any nature whatsoever with respect to its Exchanged Notes. 

(d)    The execution, delivery and performance of this Agreement by the Investor and compliance by the
Investor and each Exchanging Investor with all provisions hereof and the consummation of the transactions contemplated hereby, including the Exchange, will not (i) require any consent, approval, authorization or other order of, or qualification
with, any court or governmental body or agency (except as may be required under the securities or Blue Sky laws of the various states), (ii) constitute a breach or violation of any of the terms or provisions of, or result in a default under,
(x) the organizational documents of any of the Investor or any Exchanging Investor or (y) any material indenture, loan agreement, mortgage, lease or other agreement or instrument to which the Investor or any of the Exchanging Investors is
a party or by which such Investor or Exchanging Investor is bound, or (iii) violate or conflict with any applicable law or any rule, regulation, judgment, decision, order or decree of any court or any governmental body or agency having
jurisdiction over the Investor or any of the Exchanging Investors. 
 (e)    The Investor and each
Exchanging Investor will comply with all applicable laws and regulations in effect necessary for each Exchanging Investor to consummate the transactions contemplated hereby and obtain any consent, approval or permission required for the transactions
contemplated hereby and the laws and regulations of any jurisdiction to which the Investor and each such Exchanging Investor is subject, and the Company shall have no responsibility therefor. 

(f)    The Investor and each Exchanging Investor acknowledges that no person has been authorized to give
any information or to make any representation or warranty concerning the Company or the Exchange other than the information set forth herein in connection with the Investor’s and each Exchanging Investor’s examination of the Company and
the terms of the Exchange and the Shares, and the Company does not take, and J. Wood Capital Advisors LLC (the “Placement Agent”) does not take any responsibility for, and neither the Company nor the Placement Agent can provide any
assurance as to the reliability of, any other information that others may provide to the Investor or any Exchanging Investor. 

(g)    The Investor and each Exchanging Investor has such knowledge, skill and experience in business,
financial and investment matters so that it is capable of evaluating the merits and risks with respect to the Exchange and an investment in the Shares. With the assistance of the Investor’s and each Exchanging Investor’s own professional
advisors, to the extent that the Investor and any Exchanging Investor has deemed appropriate, such Exchanging Investor has made its own legal, tax, accounting and financial evaluation of the merits and risks of an investment in the Shares and the
consequences of the Exchange and this Agreement and the Investor and any Exchanging Investor has made its own independent decision that the investment in the Shares is suitable and appropriate for the Investor and any Exchanging Investor. The

  
 6 

 
Investor and each Exchanging Investor has considered the suitability of the Shares as an investment in light of the Investor and such Exchanging Investor’s circumstances and financial
condition and is able to bear the risks associated with an investment in the Shares. 
 (h)    The
Investor confirms that it and each Exchanging Investor is not relying on any communication (written or oral) of the Company, the Placement Agent or any of their respective affiliates or representatives as investment advice or as a recommendation to
acquire the Shares in the Exchange. It is understood that information provided by the Company, the Placement Agent or any of their respective affiliates and representatives shall not be considered investment advice or a recommendation to participate
in the Exchange, and that none of the Company, the Placement Agent or any of their respective affiliates or representatives is acting or has acted as an advisor to the Investor or any Exchanging Investor in deciding to participate in the Exchange.

 (i)    The Investor confirms that the Company has not (i) given the Investor or any Exchanging
Investor any guarantee, representation or warranty as to the potential success, return, effect or benefit (either legal, regulatory, tax, financial, accounting or otherwise) of an investment in the Shares or (ii) made any representation or
warranty to the Investor or any Exchanging Investor regarding the legality of an investment in the Shares under applicable legal investment or similar laws or regulations. The Investor confirms that it and each Exchanging Investor is not relying and
has not relied, upon any statement, advice (whether accounting, tax, financial legal or other), representation or warranty by the Company or any of its affiliates or representatives, including, without limitation, the Placement Agent, except for the
representations and warranties made by the Company in this Agreement, and that the Investor has made its own independent decision that the investment in the Shares is suitable and appropriate for the Investor and the Exchanging Investors. 

(j)    The Investor and each Exchanging Investor is familiar with the business and financial condition and
operations of the Company and the Investor and each Exchanging Investor has had the opportunity to conduct its own investigation of the Company and the Shares. The Investor and each Exchanging Investor has had access to the SEC filings of the
Company and such other information concerning the Company and the Shares as it deems necessary to enable it to make an informed investment decision concerning the Exchange. The Investor and each Exchanging Investor has been offered the opportunity
to ask such questions of the Company and its representatives and received answers thereto, as it deems necessary to enable it to make an informed investment decision concerning the Exchange. 

(k)    Each Exchanging Investor is an institutional “accredited investor” as defined in Rule
501(a)(1), (2), (3) or (7) under the Securities Act and a “qualified institutional buyer” as defined in Rule 144A under the Securities Act. The Investor agrees to furnish any additional information regarding the Investor or any
Exchanging Investor reasonably requested by the Company or any of its affiliates to assure compliance with applicable U.S. federal and state securities laws in connection with the Exchange. 

(l)    The Investor and each Exchanging Investor is not, and has not been during the consecutive three
month period preceding the date hereof and as of the Closing, will not be, a director, officer or “affiliate” within the meaning of Rule 144 promulgated under the Securities Act (an “Affiliate”) of the Company. To the
Investor’s knowledge, no Exchanging Investor acquired any of the Notes, directly or indirectly, from an Affiliate of the Company. 

  
 7 

 (m)    Neither the Investor nor any Exchanging Investor
is directly, or indirectly through one or more intermediaries, controlling or controlled by, or under direct or indirect common control with, the Company. 

(n)    Each Exchanging Investor is acquiring the Shares solely for its own beneficial account, for
investment purposes, and not with a view to, or for resale in connection with, any distribution of the Shares. The Investor and each Exchanging Investor understands that the offer and sale of the Shares have not been registered under the Securities
Act or any state securities laws and are being issued without registration under the Securities Act pursuant to Section 4(a)(2) of the Securities Act, which exemption depends in part upon the investment intent of the Exchanging Investors and
the accuracy of the other representations and warranties made by the Investor or behalf of the Exchanging Investors in this Agreement. The Investor and the Exchanging Investors understand that the Company is relying upon the representations,
warranties and agreements contained in this Agreement (and any supplemental information provided to the Company by the Investor or any of the Exchanging Investors) for the purpose of determining whether this transaction meets the requirements for
such exemption(s) and to issue the Shares without legends as set forth herein. 
 (o)    The Investor
acknowledges that the terms of the Exchange have been mutually negotiated between the Investor and the Company. The Investor was given a meaningful opportunity to negotiate the terms of the Exchange. 

(p)    The Investor acknowledges that it and each Exchanging Investor had a sufficient amount of time to
consider whether to participate in the Exchange and that neither the Company nor the Placement Agent has placed any pressure on the Investor or any Exchanging Investor to respond to the opportunity to participate in the Exchange. The Investor
acknowledges that neither it nor any Exchanging Investor become aware of the Exchange through any form of general solicitation or advertising within the meaning of Rule 502 under the Securities Act. 

(q)    The Investor acknowledges it and each Exchanging Investor understands that the Company intends to
pay the Placement Agent a fee in respect of the Exchange. 
 (r)    The Investor will, upon request,
execute and deliver, for itself and on behalf of any Exchanging Investor, any additional documents deemed by the Company and the Trustee or the transfer agent to be reasonably necessary to complete the transactions contemplated by this Agreement.

 (s)    No later than one (1) Business Day after the date hereof, the Investor agrees to deliver
to the Company settlement instructions substantially in the form of Exhibit B.1 attached to this Agreement for each of the Exchanging Investors. 

(t)    The Investor acknowledges and agrees that it and each Exchanging Investor has not disclosed, and
will not disclose, to any third party any information regarding the Exchange, and has not transacted, and will not transact in any securities of the Company, including, but not limited to, any hedging transactions, from the time the Investor was
first contacted by the Company or the Placement Agent with respect to the transactions contemplated by this Agreement until after the confidential information (as described in the confirmatory wall-crossing email received by the Investor from the
Placement Agent) is made public. 
 (u)    The Investor and each Exchanging Investor understands that the
Company, the Placement Agent and others will rely upon the truth and accuracy of the foregoing representations, 

  
 8 

 
warranties and covenants and agrees that if any of the representations and warranties deemed to have been made by it or any of the Exchanging Investors are no longer accurate, the Investor shall
promptly notify the Company and the Placement Agent prior to the Closing. The Investor understands that, unless the Investor notifies the Company in writing to the contrary before the Closing, each of the Investor’s and Exchanging
Investors’ representations and warranties contained in this Agreement will be deemed to have been reaffirmed and confirmed as of the Closing. If the Investor is exchanging any Exchanged Notes and acquiring the Shares as a fiduciary or agent for
one or more accounts (including for purposes of this Section 3(u), the Accounts which are Exchanging Investors), it represents that (i) it has sole investment discretion with respect to each such account,
(ii) it has full power to make the foregoing representations, warranties and covenants on behalf of such account and (iii) it has contractual authority with respect to each such account. 

(v)    The Investor and each Exchanging Investor acknowledges and the Investor agrees that the Placement
Agent has not acted as a financial advisor or fiduciary to the Investor or any Exchanging Investor and that the Placement Agent and its directors, officers, employees, representatives and controlling persons have no responsibility for making, and
have not made, any independent investigation of the information contained herein or in the Company’s SEC filings and make no representation or warranty to the Investor or any Exchanging Investor, express or implied, with respect to the Company,
the Exchanged Notes or the Shares or the accuracy, completeness or adequacy of the information provided to the Investor or any Exchanging Investor or any other publicly available information, nor shall any of the foregoing persons be liable for any
loss or damages of any kind resulting from the use of the information contained therein or otherwise supplied to the Investor or any Exchanging Investor. 

(w)    The Investor and each Exchanging Investor acknowledges and understands that at the time of the
Closing, the Company may be in possession of material non-public information not known to the Investor or any Exchanging Investor that may impact the value of the Notes, including the Exchanged Notes, and the
Shares (“Information”) that the Company has not disclosed to the Investor or any Exchanging Investor. The Investor and each Exchanging Investor acknowledges that they have not relied upon the
non-disclosure of any such Information for purposes of making their decision to participate in the Exchange. The Investor and each Exchanging Investor understands, based on its experience, the disadvantage to
which the Investor and each Exchanging Investor is subject due to the disparity of information between the Company, on the one hand, and the Investor and each Exchanging Investor, on the other hand. Notwithstanding this, the Investor and each
Exchanging Investor has deemed it appropriate to participate in the Exchange. The Investor agrees that the Company and its directors, officers, employees, agents, stockholders and affiliates shall have no liability to the Investor or any Exchanging
Investor or their respective beneficiaries whatsoever due to or in connection with the Company’s use or non-disclosure of the Information or otherwise as a result of the Exchange, and the Investor hereby
irrevocably waives any claim that it or any Exchanging Investor might have based on the failure of the Company to disclose the Information. 

(x)    The Investor and each Exchanging Investor understands that no federal, state, local or foreign
agency has passed upon the merits or risks of an investment in the Shares or made any finding or determination concerning the fairness or advisability of this investment. 

(y)    The operations of the Investor and each Exchanging Investor have been conducted in material
compliance with the applicable rules and regulations administered or conducted by the U.S. Department of Treasury Office of Foreign Assets Control (“OFAC”), the applicable rules and regulations of the Foreign Corrupt Practices Act
(“FCPA”) and the applicable 

  
 9 

 
Anti-Money Laundering (“AML”) rules in the Bank Secrecy Act. The Investor has performed due diligence necessary to reasonably determine that the Exchanging Investors are not
named on the lists of denied parties or blocked persons administered by OFAC, resident in or organized under the laws of a country that is the subject of comprehensive economic sanctions and embargoes administered or conducted by OFAC
(“Sanctions”), are not otherwise the subject of Sanctions and have not been found to be in violation or under suspicion of violating OFAC, FCPA or AML rules and regulations. 

(z)    The Investor and each Exchanging Investor is a resident of the jurisdiction set forth on Exhibit
B.1 attached to this Agreement. 
 4.    Conditions to Obligations of the Investor and the Company. The obligations of the
Investor and the Exchanging Investors and of the Company under this Agreement are subject to the satisfaction at or prior to the Closing of the following conditions precedent: (a) the representations and warranties of the Company contained in
Section 2 hereof (with respect to the Investor and Exchanging Investors) and of the Investor contained in Section 3 hereof (with respect to the Company) shall be true and correct as of the Closing
in all respects with the same effect as though such representations and warranties had been made as of the Closing and (b) no provision of any applicable law or any judgment, ruling, order, writ, injunction, award or decree of any governmental
authority shall be in effect prohibiting or making illegal the consummation of the transactions contemplated by this Agreement. 

5.    Waiver, Amendment. Neither this Agreement nor any provisions hereof or thereof shall be modified, changed or discharged,
except by an instrument in writing, signed by the Company and the Investor. 
 6.    Assignability. Neither this Agreement nor
any right, remedy, obligation or liability arising hereunder or by reason hereof shall be assignable by either the Company or the Investor without the prior written consent of the other. 

7.    Waiver of Jury Trial. EACH OF THE COMPANY AND THE INVESTOR HEREBY IRREVOCABLY WAIVES ANY AND ALL RIGHT TO TRIAL BY JURY WITH
RESPECT TO ANY LEGAL PROCEEDING ARISING OUT OF THE TRANSACTIONS CONTEMPLATED BY THIS AGREEMENT. 
 8.    Governing Law. This
Agreement shall be governed by and construed in accordance with the laws of the State of New York, without giving effect to such state’s rules concerning conflicts of laws that might provide for any other choice of law. 

9.    Submission to Jurisdiction. Each of the Company and the Investor: (a) agrees that any legal suit, action or proceeding
arising out of or relating to this Agreement or the transactions contemplated hereby shall be instituted exclusively in the courts of the State of New York located in the City and County of New York or in the United States District Court for the
Southern District of New York; (b) waives any objection that it may now or hereafter have to the venue of any such suit, action or proceeding; and (c) irrevocably consents to the jurisdiction of the aforesaid courts in any such suit,
action or proceeding. Each of the Company and the Investor agrees that a final judgment in any such action or proceeding shall be conclusive and may be enforced in other jurisdictions by suit on the judgment or in any other manner provided by law.

 10.    Venue. Each of the Company and the Investor irrevocably and unconditionally waives, to the fullest extent it may
legally and effectively do so, any objection which it may now or hereafter have to the laying of venue of any suit, action or proceeding arising out of or relating to this Agreement in any court 

  
 10 

 
referred to in Section 9. Each of the Company and the Investor irrevocably waives, to the fullest extent permitted by law, the defense of an inconvenient forum to the
maintenance of such action or proceeding in any such court. 
 11.    Service of Process. Each of the Company and the Investor
irrevocably consents to service of process in the manner provided for notices in Section 12. Nothing in this Agreement will affect the right of the Company or the Investor to serve process in any other manner permitted by
law. 
 12.    Notices. All notices and other communications to the Company provided for herein shall be in writing and shall be
deemed to have been duly given if delivered personally, sent by prepaid overnight courier (providing written proof of delivery) or sent by confirmed facsimile transmission or electronic mail and will be deemed given on the date so delivered
(or, if such day is not a Business Day, on the first subsequent Business Day) to the following addresses, or in the case of the Investor, the address provided on Exhibit B.1 attached to this Agreement (or such other address as the Company or
the Investor shall have specified by notice in writing to the other): 
  

			
	If to the Company:	  	 Apellis Pharmaceuticals, Inc.
 100 5th
Avenue
 Waltham, MA 02451
 Attention: General
Counsel

		
	with a copy to (which shall not constitute notice):	  	 WilmerHale
 60 State Street

Boston, MA 02109
 Attention: Stuart Falber

 13.    Binding Effect. The provisions of this Agreement shall be binding upon and accrue to the
benefit of the Company, the Investor and the Exchanging Investors and their respective heirs, legal representatives, successors and assigns. This Agreement constitutes the entire agreement between the Company and the Investor with respect to the
subject matters hereof. This Agreement may be executed by one or more of the parties hereto in any number of separate counterparts (including by facsimile or other electronic means, including telecopy, email or otherwise), and all of said
counterparts taken together shall be deemed to constitute one and the same instrument. Delivery of an executed signature page of this Agreement by facsimile or other transmission (e.g., “pdf” or “tif” format) shall be
effective as delivery of a manually executed counterpart hereof. 
 14.    Notification of Changes. After the date of this
Agreement, each of the Company and the Investor hereby covenants and agrees to notify the other upon the occurrence of any event prior to the Closing of the Exchange pursuant to this Agreement that would cause any representation, warranty or
covenant of the Company or the Investor, as the case may be, contained in this Agreement to be false or incorrect. 
 15.    Reliance
by the Placement Agent. The Placement Agent may rely on each representation and warranty of the Company and the Investor made herein or pursuant to the terms hereof with the same force and effect as if such representation or warranty were made
directly to the Placement Agent. The Placement Agent shall be a third-party beneficiary of this Agreement to the extent provided in this Section 15. 

16.    Severability. If any term or provision of this Agreement (in whole or in part) is invalid, illegal or unenforceable in any
jurisdiction, such invalidity, illegality or unenforceability shall not affect any other term or provision of this Agreement or invalidate or render unenforceable such term or provision in any other jurisdiction. 

  
 11 

 17.    Survival. The representations and warranties of the Company and the
Investor contained in this Agreement or made by or on behalf of the Exchanging Investors pursuant to this Agreement shall survive the consummation of the transactions contemplated hereby. 

18.    Termination. This Agreement may be terminated and the transactions contemplated hereby abandoned (a) by mutual
agreement of the Company and the Investor in writing or (b) by either the Company or the Investor if the conditions to such party’s obligations set forth herein have not been satisfied (unless waived by the party entitled to the benefit
thereof), and the Closing has not occurred on or before July 28, 2021 without liability of either the Company or the Investor or the Exchanging Investors, as the case may be; provided that neither the Company nor the Investor shall be released
from liability hereunder if this Agreement is terminated and the transactions abandoned by reason of the failure of the Company or the Investor or any of the Exchanging Investors, as the case may be to have performed its obligations hereunder.
Except as provided above, if this Agreement is terminated and the transactions contemplated hereby are not concluded as described above, this Agreement will become void and of no further force and effect. 

19.    Taxation. The Investor acknowledges that, if an Exchanging Investor is a United States person for U.S. federal income tax
purposes, either (i) the Company must be provided with a correct taxpayer identification number (“TIN,” generally a person’s social security or federal employer identification number) and certain other information on a
properly completed and executed Internal Revenue Service (“IRS”) Form W-9, or (ii) another basis for exemption from backup withholding must be established. The Investor further
acknowledges that, if an Exchanging Investor is not a United States person for U.S. federal income tax purposes, the Company must be provided with a properly completed and executed IRS Form W-8BEN, IRS Form W-8BEN-E, IRS Form W-8IMY (and all required attachments) or other applicable IRS Form W-8,
attesting to that non-U.S. Exchanging Investor’s foreign status and certain other information, including information establishing an exemption from withholding under Sections 1471 through 1474 of the
Internal Revenue Code of 1986, as amended (the “Code”). The Investor further acknowledges that any Exchanging Investor may be subject to 30% U.S. federal withholding or 24% U.S. federal backup withholding on certain payments made to
such Exchanging Investor unless such Exchanging Investor properly establishes an exemption from, or a reduced rate of, such withholding or backup withholding. See Exhibit C for certain additional information. The Company and its agents shall
be entitled to deduct and withhold from any consideration payable pursuant to this Agreement such amounts as are required to be deducted or withheld under applicable law. To the extent any such amounts are withheld and remitted to the appropriate
taxing authority, such amounts shall be treated for all purposes as having been paid to the Exchanging Investor to whom such amounts otherwise would have been paid. 

20.    Section and Other Headings. The section and other headings contained in Agreement are for reference purposes only and shall
not affect the meaning or interpretation of this Agreement. 
 [SIGNATURE PAGE FOLLOWS] 

  
 12 

 
			
	Very truly yours,
	
	APELLIS PHARMACEUTICALS, INC.
		
	By	 	  

	Name:	 	Timothy Sullivan
	Title:	 	Chief Financial Officer

  
 13 

 Please confirm that the foregoing correctly sets forth the agreement between the Company and the Investor by
signing in the space provided below for that purpose. 
  

			
	AGREED AND ACCEPTED:
		
	Investor:	 	
	 [            ],

in its capacity as described in the first paragraph hereof

 
			
		
	By	 	  

			
	Name:	 	

 
			
	Title:	 	

  
 14 

 EXHIBIT A 

Exchanging Investor Information 
  

			
	 Exchanging Investor
	  	 Aggregate Principal Amount of Exchanged

Notes

		  	
		  	
		  	
		  	

  
 A-1 

 EXHIBIT B.1 

Exchanging Investor: 

                          
                                         
      

                          
                                         
      
 Investor Address: 

                          
                                         
      

                          
                                         
      

                          
                                         
      
 Telephone:
                                         
              
 Country of Residence: 

                          
                                         
      
 Taxpayer Identification Number: 

                          
                                         
      
 Account for Notes: 

DTC Participant Number:
                                         
                                         
           
 DTC Participant Name:
                                         
                                         
               
 DTC Participant Phone Number:
                                         
                                        

DTC Participant Contact Email:
                                         
                                         

 FFC Account #:
                                         
                                         
                          

Account # at Bank/Broker:
                                         
                                         
         
 Account for Shares (if different from Notes): 

DTC Participant Number:
                                         
                                         
           
 DTC Participant Name:
                                         
                                         
               
 DTC Participant Phone Number:
                                         
                                        

DTC Participant Contact Email:
                                         
                                         

 FFC Account #:
                                         
                                         
                           

Account # at Bank/Broker:
                                         
                                         
         
 Exchanging Investor Address: 

                          
                                         
      

                          
                                         
      

                          
                                         
      
 Telephone:
                                         
                                

Country of Residence: 

                          
                                         
      
 Taxpayer Identification Number: 

                          
                                         
      

  
 B.1-1 

 EXHIBIT B.2 

Exchange Procedures 

NOTICE TO INVESTOR 
 These are the
Exchange Procedures for the settlement of the exchange of 3.500% Convertible Senior Notes due 2026, CUSIP 03753UAB2 (the “Exchanged Notes”) of, a Delaware corporation (the “Company”), for the Shares to be issued as
Exchange Consideration (as defined in and pursuant to the Agreement between you and the Company), which is expected to occur on or about July 23, 2021. To ensure timely settlement for the Exchange Consideration, please follow the instructions
as set forth below. 
 These instructions supersede any prior instructions you received. Your failure to comply with these instructions may delay your
receipt of the Exchange Consideration. 
 If you have any questions, please contact Yun Xie of J. Wood Capital Advisors LLC at 917-727-9869. 
 To deliver Exchanged Notes: 

You must direct the eligible DTC participant through which you hold a beneficial interest in the Exchanged Notes on July 23, 2021,
no later than 9:00 a.m., New York City time, to perform a free delivery through DTC for the aggregate principal amount of Exchanged Notes set forth on Exhibit A of the Agreement to be exchanged for Shares. 

To receive Exchange Consideration: 
 You must direct the
eligible DTC participant on July 23, 2021, no later than 9:00 a.m., New York City time, to perform a free delivery through DTC for the aggregate principal amount of Exchanged Notes set forth on Exhibit A of
the Agreement to be exchanged for Shares. 
 American Stock Transfer & Trust Company is the Transfer Agent and Registrar for the Common Stock. 

Closing: On July 23, 2021, after the Company receives your Notes and your delivery instructions as set forth above, and subject to
the satisfaction of the conditions to Closing as set forth in your Exchange Agreement, the Company will deliver the Exchange Consideration in respect of the Exchanged Notes in accordance with the delivery instructions above. 

 

  
 B.2-1 

 EXHIBIT C 

Under U.S. federal income tax law, a holder who exchanges Notes for Shares generally must provide such holder’s correct TIN on a properly completed and
executed IRS Form W-9 (available from the Company or at www.irs.gov/pub/irs-pdf/fw9.pdf) or otherwise establish a basis for exemption from backup withholding. A TIN
is generally an individual holder’s social security number or a holder’s employer identification number. If the correct TIN is not provided, the holder may be subject to a $50 penalty imposed under Section 6723 of the Code. In
addition, certain payments made to holders may be subject to U.S. backup withholding (currently set at 24% of the payment). If a holder is required to provide a TIN but does not have a TIN, the holder should consult its tax advisor regarding how to
obtain a TIN. Certain holders (including corporations and non-U.S. holders) are not subject to these backup withholding and reporting requirements. 

A non-U.S. holder (i) will be subject to 30% U.S. federal withholding unless such holder establishes an exemption
from, or a reduced rate of, such withholding, and (ii) must establish its status as an exempt recipient from backup withholding and can do so by submitting a properly completed IRS Form W-8BEN, IRS
Form W-8BEN-E, IRS Form W-8IMY (and all required attachments), or other applicable IRS Form
W-8 (available from the Company or at www.irs.gov), signed, under penalties of perjury, attesting to such holder’s exempt foreign status. This form also may establish an exemption from withholding
under Section 1471 through 1474 of the Code. 
 U.S. backup withholding is not an additional tax. Rather, the U.S. federal income tax liability of
persons subject to backup withholding will be reduced by the amount of tax withheld. If withholding results in an overpayment of taxes, a refund may be obtained provided that the required information is timely furnished to the IRS. Holders are
urged to consult their tax advisors regarding how to complete the appropriate forms and to determine whether they are exempt from backup withholding or other withholding taxes. 

  
 C-1

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