Document:

Exhibit

Exhibit  10.16

QUANTENNA COMMUNICATIONS, INC.
AMENDED AND RESTATED INVESTORS' RIGHTS AGREEMENT
This Amended and Restated Investors' Rights Agreement (this "Agreement") is made as of August 29, 2014, by and among Quantenna Communications, Inc., a Delaware corporation (the "Company"), the persons and entities listed on Exhibit A hereto (each a "Lender," and collectively the "Lenders"), the persons and entities listed on Exhibit B hereto (each an "Investor" and collectively, as the "Investors") and the persons listed on Exhibit C hereto (each a "Founder," and collectively the "Founders").  Unless otherwise defined herein, capitalized terms used in this Agreement have the meanings ascribed to them in Section 1.  The Founders are party to this Agreement for purposes of Sections 1, 2.2, 2.4 through 2.14 and 5 hereof only.  The Lenders are party to this Agreement for purposes of Sections 1, 2.2 through 2.14 and 5 hereof only.
RECITALS
WHEREAS: Certain of the Investors hold shares of the Company's Series A Preferred Stock, Series B Preferred Stock, Series C Preferred Stock, Series D Preferred Stock, Series E Preferred Stock or Series F-1 Preferred Stock (or shares of Common Stock issued upon conversion thereof) (the "Existing Investors") and possess certain registration rights, information rights, rights of first refusal, and other rights pursuant to that certain Amended and Restated Investors' Rights Agreement dated as of April 16, 2012 among the Company, the Founders, the Lenders and such Existing Investors (the "Prior Agreement");
WHEREAS: Pursuant to Section 5.1 of the Prior Agreement, the Prior Agreement or any term thereof may be amended, waived, discharged or terminated by the written agreement of the Company and the Holders holding a majority of the Registrable Securities (as defined in the Prior Agreement);
WHEREAS: Certain of the Investors are parties to the Series G Preferred Stock Purchase Agreement of even date herewith, among the Company and the Investors listed on the Schedule of Investors thereto (the "Purchase Agreement"), and it is a condition to the closing of the sale of the Series G Preferred Stock to the Investors listed on such Schedule of Investors that the Investors and the Company execute and deliver this Agreement; and
WHEREAS: In connection with and as a condition to the closing of the sale of the Series G Preferred Stock pursuant to the Purchase Agreement, the Existing Investors holding at least a majority of the Registrable Securities (as defined in the Prior Agreement) desire to execute and deliver this Agreement and agree that this Agreement will supersede and replace the Prior Agreement in its entirety.
NOW, THEREFORE: In consideration of the mutual promises and covenants set forth herein, and other consideration, the receipt and adequacy of which is hereby acknowledged, the Company and the Existing Investors hereby agree that all provisions of, rights granted and covenants made in the Prior Agreement are hereby waived and released and the Prior Agreement shall be superseded and replaced in its entirety by this Agreement, and the parties hereto agree as follows:

Section 1
Definitions
1.1 Certain Definitions.  As used in this Agreement, the following terms shall have the meanings set forth below:

(a)     "Change of Control"shall mean (i) the acquisition of the Company by another entity by means of any transaction or series of related transactions to which the Company is party (including, without limitation, any stock acquisition, reorganization, merger or consolidation but excluding any sale of stock solely for capital raising purposes or any merger effected exclusively to change the domicile of the Company) other than a transaction or series of transactions in which the holders of the voting securities of the Company outstanding immediately prior to such transaction continue to retain (either by such voting securities remaining outstanding or by such voting securities being converted into voting securities of the surviving entity), as a result of shares in the Company held by such holders prior to such transaction, at least fifty percent (50%) of the total voting power represented by the voting securities of the Company or such surviving entity outstanding immediately after such transaction or series of transactions or (ii) a sale, lease, exclusive license or other conveyance of all or substantially all of the assets of the Company.
(b)     "Commission" shall mean the Securities and Exchange Commission or any other federal agency at the time administering the Securities Act.
(c)    "Common Stock" means the Common Stock of the Company.
(d)    "Conversion Stock" shall mean shares of Common Stock issued upon conversion of the Preferred Stock.
(e)     "Exchange Act" shall mean the Securities Exchange Act of 1934, as amended, or any similar successor federal statute and the rules and regulations thereunder, all as the same shall be in effect from time to time.
(f)     "Holder" shall mean (i) any Investor who holds Registrable Securities, (ii) with respect to Sections 1, 2.2, 2.4 through2.14 and 5 hereof only, as applicable, any Founder holding Registrable Securities, (iii) with respect to Sections 2.2 through 2.14 and 5 hereof only, any Lender with respect to shares of Common Stock issued or issuable pursuant to the conversion of the Lender Warrants held by such Lender and (iv) any holder of Registrable Securities to whom the registration rights conferred by this Agreement have been duly and validly transferred in accordance with Section 2.12 of this Agreement.
(g)    "Indemnified Party"shall have the meaning set forth in Section 2.6(c) hereto
(h)    "Indemnifying Party"shall have the meaning set forth in Section 2.6(c) hereto.
(i)     "Initial Public Offering" shall mean the closing of the Company's first firm commitment underwritten public offering of the Company's Common Stock registered under the Securities Act.
(j)     "Initiating Holders" shall mean any Holder or Holders who in the aggregate hold not less than thirty percent (30%) of the outstanding Registrable Securities.
(k)     "Investors"shall mean the persons and entities listed on Exhibit B hereto.
(l)     "Lender Warrants"mean those certain warrants to purchase up to an aggregate of 694,605 shares of Series A Preferred Stock of the Company issued to the Lenders.
(m)     "New Securities" shall have the meaning set forth in Section 4.1(a) hereto.

	
			
	 
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(n)     "Other Selling Stockholders" shall mean persons other than Holders who, by virtue of agreements with the Company, are entitled to include their Other Shares in certain registrations hereunder.
(o)     "Other Shares" shall mean shares of Common Stock, other than Registrable Securities (as defined below), with respect to which registration rights have been granted.
(p)     "Preferred Stock" shall mean the Series A Preferred Stock, Series B Preferred Stock, Series C Preferred Stock, Series D Preferred Stock, Series E Preferred Stock, Series F-1 Preferred Stock and Series G Preferred Stock.
( q)     "Purchase Agreement" shall have the meaning set forth in the Recitals hereto.
(r)     "Registrable Securities" shall mean (i) shares of Common Stock issued or issuable pursuant to the conversion of the Preferred Stock, (ii) any Common Stock issued as a dividend or other distribution with respect to or in exchange for or in replacement of the shares referenced in (i) above, (iii) the Warrant Shares, (iv) with respect to Sections 1, 2.2, 2.4 to 2.14 and 5 hereof only, shares of Common Stock held by the Founders and (v) with respect to any Lender, shares of Common Stock issued or issuable pursuant to the conversion of the Lender Warrants held by such Lender; provided, however, that Registrable Securities shall not include any shares of Common Stock that have previously been registered or which have been sold to the public either pursuant to a registration statement or Rule 144, or which have been sold in a private transaction in which the transferor's rights under this Agreement are not validly assigned in accordance with this Agreement.
(s)     The terms "register," "registered" and "registration" shall refer to a registration effected by preparing and filing a registration statement in compliance with the Securities Act and applicable rules and regulations thereunder, and the declaration or ordering of the effectiveness of such registration statement.
(t)     "Registration Expenses" shall mean all expenses incurred in effecting any registration pursuant to this Agreement, including, without limitation, all registration, qualification, and filing fees, printing expenses, escrow fees, fees and disbursements of counsel for the Company and one special counsel for the Holders, blue sky fees and expenses, and expenses of any regular or special audits incident to or required by any such registration, but shall not include Selling Expenses, fees and disbursements of other counsel for the Holders and the compensation of regular employees of the Company, which shall be paid in any event by the Company.
(u)     "Restricted Securities" shall mean any Registrable Securities required to bear the first legend set forth in Section 2.8(c) hereof.
(v)     "Rule 144" shall mean Rule 144 as promulgated by the Commission under the Securities Act, as such Rule may be amended from time to time, or any similar successor rule that may be promulgated by the Commission.
(w)     "Rule 145" shall mean Rule 145 as promulgated by the Commission under the Securities Act, as such Rule may be amended from time to time, or any similar successor rule that may be promulgated by the Commission.
(x)     "Rule 415" shall mean Rule 415 as promulgated by the Commission under the Securities Act, as such Rule may be amended from time to time, or any similar successor rule that may be promulgated by the Commission.

	
			
	 
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(y)     "Securities Act" shall mean the Securities Act of 1933, as amended, or any similar successor federal statute and the rules and regulations thereunder, all as the same shall be in effect from time to time.
(z)     "Selling Expenses" shall mean all underwriting discounts, selling commissions and stock transfer taxes applicable to the sale of Registrable Securities and fees and disbursements of counsel for any Holder (other than the fees and disbursements of one special counsel to the Holders included in Registration Expenses).
(aa)     "Series A Directors" shall mean the two directors then serving on the Board of Directors of the Company elected by the holders of the Company's Series A Preferred Stock.
(bb)     "Series B Director" shall mean the one director then serving on the Board of Directors of the Company elected by the holders of the Company's Series B Preferred Stock.
(cc)     "Series C Director" shall mean the one director then serving on the Board of Directors of the Company elected by the holders of the Company's Series C Preferred Stock.
(dd)     "Series E Director" shall mean the one director then serving on the Board of Directors of the Company elected by the holders of the Company's Series E Preferred Stock.
(ee)     "Series F Director" shall mean the one director then serving on the Board of Directors of the Company elected by the holders of the Company's Series F - 1 Preferred Stock.
(ff)     "Series G Director" shall mean after such time as the Company's Board of Directors designates a "Series G Director", the one director then serving on the Board of Directors of the Company elected by the holders of the Company's Series G Preferred Stock.
(gg)     "Significant Holders" shall have the meaning set forth in Section 4.1 hereof.
(hh)     "Warrant Shares" shall mean any Common Stock issued upon exercise of a Warrant exercisable for Common Stock held by an Investor.
(ii)     "Withdrawn Registration" shall mean a forfeited demand registration under Section 2.1 in accordance with the terms and conditions of Section 2.4.
Section 2
Registration Rights
2.1 Requested Registration
(a)     Request for Registration.  Subject to the conditions set forth in this Section 2.1, if the Company shall receive from Initiating Holders a written request signed by such Initiating Holders that the Company effect any registration with respect to all or a part of the Registrable Securities (such request shall state the number of shares of Registrable Securities to be disposed of and the intended methods of disposition of such shares by such Initiating Holders), the Company will:
(i)     promptly give written notice of the proposed registration to all other Holders; and

	
			
	 
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(ii)     as soon as practicable, file and use its commercially reasonable efforts to effect such registration (including, without limitation, filing post-effective amendments, appropriate qualifications under applicable blue sky or other state securities laws, and appropriate compliance with the Securities Act) and to permit or facilitate the sale and distribution of all or such portion of such Registrable Securities as are specified in such request, together with all or such portion of the Registrable Securities of any Holder or Holders joining in such request as are specified in a written request received by the Company within twenty (20) days after such written notice from the Company is mailed or delivered.
(b)     Limitations on Requested Registration.  The Company shall not be obligated to effect, or to take any action to effect, any such registration pursuant to this Section 2.1:
(i)     Prior to the earlier of (A) the three (3) year anniversary of the date of this Agreement or (B) one hundred eighty (180) days following the effective date of the first registration statement filed by the Company covering an underwritten offering of any of its securities to the general public (or the subsequent date on which all market stand-off agreements applicable to the offering have terminated);
(ii)     If the Initiating Holders, together with the holders of any other securities of the Company entitled to inclusion in such registration statement, propose to sell Registrable Securities and such other securities (if any) at an aggregate offering price, net of underwriters' discounts and expenses, the aggregate proceeds of which (after deduction for underwriter's discounts and expenses related to the issuance) are less than $10,000,000;
(iii)     In any particular jurisdiction in which the Company would be required to execute a general consent to service of process in effecting such registration, qualification, or compliance, unless the Company is already subject to service in such jurisdiction and except as may be required by the Securities Act;
(iv)     After the Company has initiated two such registrations pursuant to this Section 2.1 (counting for these purposes only (x) registrations which have been declared or ordered effective and pursuant to which securities have been sold, and (y) Withdrawn Registrations;
(v)     During the period starting with the date sixty (60) days prior to the Company's good faith estimate of the date of filing of, and ending on a date one hundred eighty (180) days after the effective date of, a Company-initiated registration (or ending on the subsequent date on which all market stand-off agreements applicable to the offering have terminated); provided that the Company is actively employing in good faith commercially reasonable efforts to cause such registration statement to become effective; or
(vi)     If the Initiating Holders propose to dispose of shares of Registrable Securities which may be immediately registered on Form S-3 pursuant to a request made under Section 2.3 hereof.
(c)     Deferral.  If (i) in the good faith judgment of the Board of Directors of the Company, the filing of a registration statement covering the Registrable Securities would be detrimental to the Company and the Board of Directors of the Company concludes, as a result, that it is in the best interests of the Company to defer the filing of such registration statement at such time, and (ii) the Company shall furnish to such Holders a certificate signed by the President of the Company stating that in the good faith judgment of the Board of Directors of the Company, it would be detrimental to the Company for such registration statement to be filed in the near future and that it is, therefore, in the best interests of the Company to defer the filing of such registration statement, then (in addition to the limitations set forth in Section 2.1(b)(v) above) the Company shall have the right to defer such filing for a period of not more than one hundred twenty (120) days after receipt of the request of the Initiating Holders, and, provided, further, that the Company shall not defer its obligation in this manner more than twice in any twelve-month period.

	
			
	 
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(d)     Other Shares.  The registration statement filed pursuant to the request of the Initiating Holders may, subject to the provisions of Section 2.1(e), include Other Shares, and may include securities of the Company being sold for the account of the Company.
(e)     Underwriting.  If the Initiating Holders intend to distribute the Registrable Securities covered by their request by means of an underwriting, they shall so advise the Company as a part of their request made pursuant to this Section 2.1 and the Company shall include such information in the written notice given pursuant to Section 2.1(a)(i).  In such event, the right of any Holder to include all or any portion of its Registrable Securities in such registration pursuant to this Section 2.1 shall be conditioned upon such Holder's participation in such underwriting and the inclusion of such Holder's Registrable Securities to the extent provided herein.  If the Company shall request inclusion in any registration pursuant to Section 2.1 of securities being sold for its own account, or if other persons shall request inclusion in any registration pursuant to Section 2.1, the Initiating Holders shall, on behalf of all Holders, offer to include such securities in the underwriting and such offer shall be conditioned upon the participation of the Company or such other persons in such underwriting and the inclusion of the Company's and such person's other securities of the Company and their acceptance of the further applicable provisions of this Section 2 (including Section 2.10).  The Company shall (together with all Holders and other persons proposing to distribute their securities through such underwriting) enter into an underwriting agreement in customary form with the representative of the underwriter or underwriters selected for such underwriting by a majority in interest of the Initiating Holders, which underwriters are reasonably acceptable to the Company.
Notwithstanding any other provision of this Section 2.1, if the underwriters advise the Initiating Holders in writing that marketing factors require a limitation on the number of shares to be underwritten, the number of Registrable Securities and Other Shares that may be so included shall be allocated as follows: (i) first, among all Holders requesting to include Registrable Securities in such registration statement based on the pro rata percentage of Registrable Securities held by such Holders, assuming conversion; (ii) second, to the Other Selling Stockholders; and (iii) third, to the Company, which the Company may allocate, at its discretion, for its own account, or for the account of other holders or employees of the Company; provided, however, in no event shall any Registrable Securities be excluded from such offering unless all Other Shares are first excluded.
If a person who has requested inclusion in such registration as provided above does not agree to the terms of any such underwriting, such person shall be excluded therefrom by written notice from the Company, the underwriter or the Initiating Holders.  The securities so excluded shall also be withdrawn from registration.  Any Registrable Securities or other securities excluded or withdrawn from such underwriting shall also be withdrawn from such registration.  If shares are so withdrawn from the registration and if the number of shares to be included in such registration was previously reduced as a result of marketing factors pursuant to this Section 2.1(e), then the Company shall then offer to all Holders and Other Selling Stockholders who have retained rights to include securities in the registration the right to include additional Registrable Securities or Other Shares in the registration in an aggregate amount equal to the number of shares so withdrawn, with such shares to be allocated among such Holders and Other Selling Stockholders requesting additional inclusion, as set forth above.
2.2 Company Registration
(a)     Company Registration.  If the Company shall determine to register any of its securities either for its own account or the account of a security holder or holders, other than a registration pursuant to Section 2.1 or 2.3, a registration relating solely to employee benefit plans, a registration relating to the offer and sale of debt securities, a registration relating to a corporate reorganization or other Rule 145 transaction, or a registration on any registration form that does not permit secondary sales, the Company will:

	
			
	 
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(i)    promptly give written notice of the proposed registration to all Holders; and
(ii)    use its commercially reasonable efforts to include in such registration (and any related qualification under blue sky laws or other compliance), except as set forth in Section 2.2(b) below, and in any underwriting involved therein, all of such Registrable Securities as are specified in a written request or requests made by any Holder or Holders received by the Company within twenty (20) days after such written notice from the Company is mailed or delivered.  Such written request may specify all or a part of a Holder's Registrable Securities.
(b)    Underwriting.  If the registration of which the Company gives notice is for a registered public offering involving an underwriting, the Company shall so advise the Holders as a part of the written notice given pursuant to Section 2.2(a)(i).  In such event, the right of any Holder to registration pursuant to this Section 2.2 shall be conditioned upon such Holder's participation in such underwriting and the inclusion of such Holder's Registrable Securities in the underwriting to the extent provided herein.  All Holders proposing to distribute their securities through such underwriting shall (together with the Company and the Other Selling Stockholders distributing their securities through such underwriting) enter into an underwriting agreement in customary form with the representative of the underwriter or underwriters selected by the Company.
Notwithstanding any other provision of this Section 2.2, if the underwriters advise the Company in writing that marketing factors require a limitation on the number of shares to be underwritten, the underwriters may (subject to the limitations set forth below) exclude all Registrable Securities from, or limit the number of Registrable Securities to be included in, the registration and underwriting.  The Company shall so advise all holders of securities requesting registration, and the number of shares of securities that are entitled to be included in the registration and underwriting shall be allocated, as follows: (i) first, to the Company for securities being sold for its own account; (ii) second, to the Holders requesting to include Registrable Securities in such registration statement based on the pro rata percentage of Registrable Securities held by such Holders, assuming conversion; and (iii) third, to the Other Selling Stockholders requesting to include Other Shares in such registration statement based on the pro rata percentage of Other Shares held by such Other Selling Stockholders, assuming conversion; provided, however, that no such reduction shall reduce the value of the Registrable Securities of the Holders included in such registration below thirty-five percent (35%) of the total value of securities included in such registration unless such offering is the Company's Initial Public Offering; and provided, further, in no event shall any Registrable Securities be excluded from such offering unless all Other Shares (not including any securities being sold by the Company for its own account) are first excluded.
If a person who has requested inclusion in such registration as provided above does not agree to the terms of any such underwriting, such person shall also be excluded therefrom by written notice from the Company or the underwriter.  The Registrable Securities or other securities so excluded shall also be withdrawn from such registration.  Any Registrable Securities or other securities excluded or withdrawn from such underwriting shall be withdrawn from such registration.
(c)    Right to Terminate Registration.  The Company shall have the right to terminate or withdraw any registration initiated by it under this Section 2.2 prior to the effectiveness of such registration whether or not any Holder has elected to include securities in such registration.

	
			
	 
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2.3 Registration on Form S-3
(a)    Request for Form S-3 Registration.  After its Initial Public Offering, the Company shall use its commercially reasonable efforts to qualify for registration on Form S-3 or any comparable or successor form or forms.  After the Company has qualified for the use of Form S-3, in addition to the rights contained in the foregoing provisions of this Section 2 and subject to the conditions set forth in this Section 2.3, if the Company shall receive from a Holder or Holders of Registrable Securities a written request that the Company effect any registration on Form S-3 or any similar short form registration statement with respect to all or part of the Registrable Securities (such request shall state the number of shares of Registrable Securities to be disposed of and the intended methods of disposition of such shares by such Holder or Holders), the Company will take all such action with respect to such Registrable Securities as required by Section 2.1(a)(i) and (ii).
(b)    Limitations on Form S-3 Registration.  The Company shall not be obligated to effect, or take any action to effect, any such registration pursuant to this Section 2.3:
(i)     In the circumstances described in either Sections 2.1(b)(i), 2.1(b)(iii) or 2.1(b)(v);
(ii)     If the Holders, together with the holders of any other securities of the Company entitled to inclusion in such registration, propose to sell Registrable Securities and such other securities (if any) on Form S-3 at an aggregate price to the public of less than $1,000,000;or
(iii)    If, in a given twelve-month period, the Company has effected one (1) such registration in such period.
(c)    Deferral.  The provisions of Section 2.1(c) shall apply to any registration pursuant to this Section 2.3.
(d)     Underwriting.  If the Holders of Registrable Securities requesting registration under this Section 2.3 intend to distribute the Registrable Securities covered by their request by means of an underwriting, the provisions of Sections 2.1(e) shall apply to such registration.  Notwithstanding anything contained herein to the contrary, registrations effected pursuant to this Section 2.3 shall not be counted as requests for registration or registrations effected pursuant to Section 2.1.
2.4 Expenses of Registration.      All Registration Expenses incurred in connection with registrations pursuant to Sections 2.1, 2.2 and 2.3 hereof shall be borne by the Company; provided, however, that the Company shall not be required to pay for any expenses of any registration proceeding begun pursuant to Sections 2.1 and 2.3 if the registration request is subsequently withdrawn at the request of the Holders of a majority of the Registrable Securities to be registered or because a sufficient number of Holders shall have withdrawn so that the minimum offering conditions set forth in Sections 2.1 and 2.3 are no longer satisfied (in which case all participating Holders shall bear such expenses pro rata among each other based on the number of Registrable Securities requested to be so registered), unless the Holders of a majority of the Registrable Securities agree to forfeit their right to a demand registration pursuant to Section 2.1; provided, however, that if at the time of such withdrawal, the Holders have learned of a material adverse change in the condition or business of the Company from that known to the Holders at the time of their request and the Holders of a majority of the Registrable Securities to be registered have withdrawn the request with reasonable promptness following disclosure by the Company of such material adverse change, then the Holders shall not be required to pay any of such expenses and shall retain their rights pursuant to Sections 2.1 and 2.3 of this Agreement.  All Selling Expenses relating to securities registered on behalf of the Holders shall be borne by 

	
			
	 
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the holders of securities included in such registration pro rata among each other on the basis of the number of Registrable Securities so registered.
2.5 Registration Procedures.  In the case of each registration effected by the Company pursuant to Section 2, the Company will keep each Holder advised in writing as to the initiation of each registration and as to the completion thereof.  At its expense, the Company will use its commercially reasonable efforts to:
(a)     Keep such registration effective for a period of ending on the earlier of the date which is sixty (60) days from the effective date of the registration statement or such time as the Holder or Holders have completed the distribution described in the registration statement relating thereto;
(b)     Prepare and file with the Commission such amendments and supplements to such registration statement and the prospectus used in connection with such registration statement as may be necessary to comply with the provisions of the Securities Act with respect to the disposition of all securities covered by such registration statement for the period set forth in subsection (a) above;
(c)     Furnish such number of prospectuses, including any preliminary prospectuses, and other documents incident thereto, including any amendment of or supplement to the prospectus, as a Holder from time to time may reasonably request;
(d)     Use its reasonable best efforts to register and qualify the securities covered by such registration statement under such other securities or Blue Sky laws of such jurisdiction as shall be reasonably requested by the Holders; provided, that the Company shall not be required in connection therewith or as a condition thereto to qualify to do business or to file a general consent to service of process in any such states or jurisdictions;
(e)     Notify each seller of Registrable Securities covered by such registration statement at any time when a prospectus relating thereto is required to be delivered under the Securities Act of the happening of any event as a result of which the prospectus included in such registration statement, as then in effect, includes an untrue statement of a material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein not misleading or incomplete in light of the circumstances then existing, and following such notification promptly prepare and furnish to such seller a reasonable number of copies of a supplement to or an amendment of such prospectus as may be necessary so that, as thereafter delivered to the purchasers of such shares, such prospectus shall not include an untrue statement of a material fact or omit to state a material fact required to be stated therein or necessary to make the statements therein not misleading or incomplete in light of the circumstances then existing;
(f)     Provide a transfer agent and registrar for all Registrable Securities registered pursuant to such registration statement and a CUSIP number for all such Registrable Securities, in each case not later than the effective date of such registration;
(g)     Cause all such Registrable Securities registered pursuant hereunder to be listed on each securities exchange on which similar securities issued by the Company are then listed; and
(h)     In connection with any underwritten offering pursuant to a registration statement filed pursuant to Section 2.1 or Section 2.2 hereof, enter into an underwriting agreement in form reasonably necessary to effect the offer and sale of Common Stock, provided such underwriting agreement contains reasonable and customary provisions, and provided further, that each Holder participating in such underwriting shall also enter into and perform its obligations under such an agreement.

	
			
	 
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2.6 Indemnification
(a)     To the extent permitted by law, the Company will indemnify and hold harmless each Holder, each of its officers, directors and partners, legal counsel, and accountants and each person controlling such Holder within the meaning of Section 15 of the Securities Act, with respect to which registration, qualification, or compliance has been effected pursuant to this Section 2, and each underwriter, if any, and each person who controls within the meaning of Section 15 of the Securities Act any underwriter, against all expenses, claims, losses, damages, and liabilities (or actions, proceedings, or settlements in respect thereof) arising out of or based on: (i) any untrue statement (or alleged untrue statement) of a material fact contained or incorporated by reference in any prospectus, offering circular, or other document (including any related registration statement, notification, or the like) incident to any such registration, qualification, or compliance, (ii) any omission (or alleged omission) to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, or (iii) any violation (or alleged violation) by the Company of the Securities Act, any state securities laws or any rule or regulation thereunder applicable to the Company and relating to action or inaction required of the Company in connection with any offering covered by such registration, qualification, or compliance, and the Company will reimburse each such Holder, each of its officers, directors, partners, legal counsel, and accountants and each person controlling such Holder, each such underwriter, and each person who controls any such underwriter, for any legal and any other expenses reasonably incurred in connection with investigating and defending or settling any such claim, loss, damage, liability, or action; provided that the Company will not be liable in any such case to the extent that any such claim, loss, damage, liability, or action arises out of or is based on any untrue statement or omission based upon written information furnished to the Company by such Holder, any of such Holder's officers, directors, partners, legal counsel or accountants, any person controlling such Holder, such underwriter or any person who controls any such underwriter and stated to be specifically for use therein; and provided, further that, the indemnity agreement contained in this Section 2.6(a) shall not apply to amounts paid in settlement of any such loss, claim, damage, liability, or action if such settlement is effected without the consent of the Company (which consent shall not be unreasonably withheld).
(b)     To the extent permitted by law, each Holder will, if Registrable Securities held by such Holder are included in the securities as to which such registration, qualification, or compliance is being effected, indemnify and hold harmless the Company, each of its directors, officers, partners, legal counsel, and accountants and each underwriter, if any, of the Company's securities covered by such a registration statement, each person who controls the Company or such underwriter within the meaning of Section 15 of the Securities Act, each other such Holder, and each of their officers, directors, and partners, and each person controlling such Holder, against all claims, losses, damages and liabilities (or actions in respect thereof) arising out of or based on: (i) any untrue statement (or alleged untrue statement) of a material fact contained or incorporated by reference in any such registration statement, prospectus, offering circular, or other document, or (ii) any omission (or alleged omission) to state therein a material fact required to be stated therein or necessary to make the statements therein not misleading, and will reimburse the Company and such Holders, directors, officers, partners, legal counsel, and accountants, persons, underwriters, or control persons for any legal or any other expenses reasonably incurred in connection with investigating or defending any such claim, loss, damage, liability, or action, in each case to the extent, but only to the extent, that such untrue statement (or alleged untrue statement) or omission (or alleged omission) is made in such registration statement, prospectus, offering circular, or other document in reliance upon and in conformity with written information furnished to the Company by such Holder and stated to be specifically for use therein; provided, however, that the obligations of such Holder hereunder shall not apply to amounts paid in settlement of any such claims, losses, damages, or liabilities (or actions in respect thereof) if such settlement is effected without the consent of such Holder (which consent shall not be unreasonably withheld); and provided that in no event shall any indemnity under this Section 2.6 exceed the net proceeds from the offering received by such Holder.

	
			
	 
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(c)     Each party entitled to indemnification under this Section 2.6 (the "Indemnified Party") shall give notice to the party required to provide indemnification (the "Indemnifying Party") promptly after such Indemnified Party has actual knowledge of any claim as to which indemnity may be sought, and shall permit the Indemnifying Party to assume the defense of such claim or any litigation resulting therefrom; provided that counsel for the Indemnifying Party, who shall conduct the defense of such claim or any litigation resulting therefrom, shall be approved.  by the Indemnified Party (whose approval shall not be unreasonably withheld), and the Indemnified Party may participate in such defense at such party's expense; and provided further that the failure of any Indemnified Party to give notice as provided herein shall not relieve the Indemnifying Party of its obligations under this Section 2.6, to the extent such failure is not prejudicial.  No Indemnifying Party, in the defense of any such claim or litigation, shall, except with the consent of each Indemnified Party, consent to entry of any judgment or enter into any settlement that does not include as an unconditional term thereof the giving by the claimant or plaintiff to such Indemnified Party of a release from all liability in respect to such claim or litigation.  Each Indemnified Party shall furnish such information regarding itself or the claim in question as an Indemnifying Party may reasonably request in writing and as shall be reasonably required in connection with defense of such claim and litigation resulting therefrom.
(d)     If the indemnification provided for in this Section 2.6 is held by a court of competent jurisdiction to be unavailable to an Indemnified Party with respect to any loss, liability, claim, damage, or expense referred to herein, then the Indemnifying Party, in lieu of indemnifying such Indemnified Party hereunder, shall contribute to the amount paid or payable by such Indemnified Party as a result of such loss, liability, claim, damage, or expense in such proportion as is appropriate to reflect the relative fault of the Indemnifying Party on the one hand and of the Indemnified Party on the other in connection with the statements or omissions that resulted in such loss, liability, claim, damage, or expense as well as any other relevant equitable considerations.  The relative fault of the Indemnifying Party and of the Indemnified Party shall be determined by reference to, among other things, whether the untrue or alleged untrue statement of a material fact or the omission to state a material fact relates to information supplied by the Indemnifying Party or by the Indemnified Party and the parties' relative intent, knowledge, access to information, and opportunity to correct or prevent such statement or omission; provided, however, that in no event shall any contribution under this Section 2.6 (when combined with any amounts paid pursuant to Section 2.6(b), with respect to the Holders) exceed the net proceeds from the offering received by such Indemnifying Party.
(e)     Notwithstanding the foregoing, to the extent that the provisions on indemnification and contribution contained in the underwriting agreement entered into in connection with the underwritten public offering are in conflict with the foregoing provisions, the provisions in the underwriting agreement shall control.
(f)     The respective indemnification obligations of the Company and the Holders under this Section 2.6 shall survive the completion of any offering of Registrable Securities pursuant to a registration statement under this Section 2.
2.7 Information by Holder.  Each Holder of Registrable Securities shall furnish to the Company such information regarding such Holder and the distribution proposed by such Holder as the Company may reasonably request in writing and as shall be reasonably required in connection with any registration, qualification, or compliance referred to in this Section 2.
2.8 Restrictions on Transfer
(a)     The holder of each certificate representing Registrable Securities by acceptance thereof agrees to comply in all respects with the provisions of this Section 2.8.  Each Holder agrees not to make any sale, assignment, transfer, pledge or other disposition of all or any portion of the Restricted Securities, 

	
			
	 
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or any beneficial interest therein, unless and until (x) the transferee thereof has agreed in writing for the benefit of the Company to take and hold such Restricted Securities subject to, and to be bound by, the terms and conditions set forth in this Agreement, including, without limitation, this Section 2.8 and Section 2.10, except for transfers permitted under Section 2.8(b), and (y):
(i)     There is then in effect a registration statement under the Securities Act covering such proposed disposition and such disposition is made in accordance with such registration statement; or
(ii)     Such Holder shall have given prior written notice to the Company of such Holder's intention to make such disposition and shall have furnished the Company with a detailed description of the manner and circumstances of the proposed disposition, and, if requested by the Company, such Holder shall have furnished the Company, at its expense, with (i) an opinion of counsel, reasonably satisfactory to the Company, to the effect that such disposition will not require registration of such Restricted Securities under the Securities Act, or (ii) a "no action" letter from the Commission to the effect that the transfer of such securities without' registration will not result in a recommendation by the staff of the Commission that action be taken with respect thereto, whereupon the holder of such Restricted Securities shall be entitled to transfer such Restricted Securities in accordance with the terms of the notice delivered by the Holder to the Company.  It is agreed that the Company will not require opinions of counsel for transactions made pursuant to Rule 144 except in unusual circumstances.
(b)     Permitted transfers include (i) a transfer not involving a change in beneficial ownership, or (ii) in transactions involving the distribution without consideration of Restricted Securities by any Holder to (x) a parent, subsidiary or other affiliate of Holder that is a Corporation, or (y) any of its partners, members or other equity owners, or retired partners, retired members or other equity owners, or to the estate of any of its partners, members or other equity owners or retired partners, retired members or other equity owners, or (iii) transfers in compliance with Rule 144(k), as long as the Company is furnished with satisfactory evidence of compliance with such Rule; provided, in each case, that the Holder thereof shall give written notice to the Company of such Holder's intention to effect such disposition and shall have furnished the Company with a detailed description of the manner and circumstances of the proposed disposition.
(c)     Each certificate representing Registrable Securities shall (unless otherwise permitted by the provisions of this Agreement) be stamped or otherwise imprinted with a legend substantially similar to the following (in addition to any legend required under applicable state securities laws):
THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE "ACT"), OR UNDER THE SECURITIES LAWS OF CERTAIN STATES.  THESE SECURITIES MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED, PLEDGED OR HYPOTHECATED EXCEPT AS PERMITTED UNDER THE ACT AND APPLICABLE STATE SECURITIES LAWS PURSUANT TO REGISTRATION OR AN EXEMPTION THEREFROM.  THE ISSUER OF THESE SECURITIES MAY REQUIRE AN OPINION OF COUNSEL SATISFACTORY TO THE ISSUER THAT SUCH OFFER, SALE OR TRANSFER, PLEDGE OR HYPOTHECATION OTHERWISE COMPLIES WITH THE ACT AND ANY APPLICABLE STATE SECURITIES LAWS.

	
			
	 
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THE SECURITIES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO RESTRICTIONS ON TRANSFERABILITY AND RESALE, INCLUDING A LOCK-UP PERIOD IN THE EVENT OF A PUBLIC OFFERING, AS SET FORTH IN AN INVESTOR RIGHTS AGREEMENT AMONG THE COMPANY AND THE ORIGINAL HOLDERS OF THESE SECURITIES, A COPY OF WHICH MAY BE OBTAINED AT THE PRINCIPAL OFFICE OF THE COMPANY.
The Holders consent to the Company making a notation on its records and giving instructions to any transfer agent of the Restricted Securities in order to implement the restrictions on transfer established in this Section 2.8.
(d)     The first legend referring to federal and state securities laws identified in Section 2.8(c) hereof stamped on a certificate evidencing the Restricted Securities and the stock transfer instructions and record notations with respect to such Restricted Securities shall be removed and the Company shall issue a certificate without such legend to the holder of such Restricted Securities if (i) such securities are registered under the Securities Act, or (ii) such holder provides the Company with an opinion of counsel reasonably acceptable to the Company to the effect that a public sale or transfer of such securities may be made without registration under the Securities Act, or (iii) such holder provides the Company with reasonable assurances, which may, at the option of the Company, include an opinion of counsel satisfactory to the Company, that such securities can be sold pursuant to Section (k) of Rule 144 under the Securities Act.
2.9 Rule 144 Reporting.  With a view to making available the benefits of certain rules and regulations of the Commission that may permit the sale of the Restricted Securities to the public without registration, the Company agrees to use its commercially reasonable efforts to:
(a)     Make and keep public information regarding the Company available as those terms are understood and defined in Rule 144 under the Securities Act, at all times from and after ninety (90) days following the effective date of the first registration under the Securities Act filed by the Company for an offering of its securities to the general public;
(b)     File with the Commission in a timely manner all reports and other documents required of the Company under the Securities Act and the Exchange Act at any time after it has become subject to such reporting requirements; and
(c)     So long as a Holder owns any Restricted Securities, furnish to the Holder forthwith upon written request a written statement by the Company as to its compliance with the reporting requirements of Rule 144 (at any time from and after ninety (90) days following the effective date of the first registration statement filed by the Company for an offering of its securities to the general public), and of the Securities Act and the Exchange Act (at any time after it has become subject to such reporting requirements), a copy of the most recent annual or quarterly report of the Company, and such other reports and documents so filed as a Holder may reasonably request in availing itself of any rule or regulation of the Commission allowing a Holder to sell any such securities without registration.
2.10 Market Stand-Off Agreement.  Each Holder hereby agrees that such Holder shall not sell or otherwise transfer, make any short sale of, grant any option for the purchase of, or enter into any hedging or similar transaction with the same economic effect as a sale, of any Common Stock (or other securities) of the Company held by such Holder (other than those included in the registration) during the one hundred eighty (180) day period following the effective date of a registration statement for the Company's Initial Public Offering filed under the Securities Act (or such other period not to exceed the period restrictions contained in NASD Rule 271(f)(4) or NYSE Rule 472(f)(4), or any successor provisions or amendments thereto as may 

	
			
	 
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be requested by the Company or an underwriter to accommodate regulatory restrictions on (i) the publication or other distribution of research reports and (ii) analyst recommendations and opinions, including, but not limited to, the restrictions contained in NASD Rule 2711(f)(4) or NYSE Rule 472(f)(4), or any successor provisions or amendments thereto), provided that all executive officers and directors of the Company and holders of at least one percent (1%) of the Company's voting securities have entered into and are currently bound by similar agreements; provided further, that the foregoing provisions shall only be applicable to the Holders if all stockholders, officers and directors are treated similarly with respect to any release prior to the termination of the lock-up period (including any extension thereof) such that if any such persons are released all stockholders shall also be released to the same extent on a pro rata basis.  The obligations described in this Section 2.10 shall not apply to a registration relating solely to employee benefit plans on Form S-1 or Form S-8 or similar forms that may be promulgated in the future, or a registration relating solely to a transaction on Form S-4 or similar forms that may be promulgated in the future.  The Company may impose stop-transfer instructions and may stamp each such certificate with the second legend set forth in Section 2.8(c) hereof with respect to the shares of Common Stock (or other securities) subject to the foregoing restriction until the end of such one hundred eighty (180) day (or other) period.  Each Holder agrees to execute a market standoff agreement with said underwriters in customary form consistent with the provisions of this Section 2.10.
2.11 Delay of Registration.  No Holder shall have any right to take any action to restrain, enjoin, or otherwise delay any registration as the result of any controversy that might arise with respect to the interpretation or implementation of this Section 2.
2.12 Transfer or Assignment of Registration Rights.  The rights to cause the Company to register securities granted to a Holder by the Company under this Section 2 may be transferred or assigned by a Holder only to a transferee or assignee of not less than 1,000,000 shares of Registrable Securities (as presently constituted and subject to subsequent adjustments for stock splits, stock dividends, reverse stock splits, and the like); provided that (i) such transfer or assignment of Registrable Securities is effected in accordance with the terms of Section 2.8 hereof and applicable securities laws, (ii) the Company is given written notice prior to said transfer or assignment, stating the name and address of the transferee or assignee and identifying the securities with respect to which such registration rights are intended to be transferred or assigned and (iii) the transferee or assignee of such rights assumes in writing the obligations of such Holder under this Agreement, including without limitation the obligations set forth in Section 2.10.
2.13 Limitations on Subsequent Registration Rights.  From and after the date of this Agreement, the Company shall not, without the prior written consent of a majority in interest of the Holders, enter into any agreement with any holder or prospective holder of any securities of the Company giving such holder or prospective holder any registration rights the terms of which are pari passu with or senior to the registration rights granted to the Holders hereunder.
2.14 Termination of Registration Rights.  The right of any Holder to request registration or inclusion in any registration pursuant to Section 2.1, 2.2 or 2.3 shall terminate on the earlier of: (i) such date, on or after the closing of the Company's first registered public offering of Common Stock, on which all shares of Registrable Securities held or entitled to be held upon conversion by such Holder may immediately be sold under Rule 144 during any ninety (90)-day period, (ii) a Change of Control of the Company, or (iii) five (5) years after the closing of the Company's Initial Public Offering.
Section 3
Covenants of the Company
The Company hereby covenants and agrees, as follows:

	
			
	 
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3.1 Basic Financial Information and Inspection Rights
(a)     Basic Financial Information.  Unless otherwise waived by the Board of Directors of the Company (including one of the Series A Directors, the Series B Director, the Series C Director, the Series E Director, the Series F,Director and, if then designated, the Series G Director), the Company will furnish the following reports to each Holder who owns at least 12,000,000 shares of Preferred Stock, Conversion Stock, and/or Warrant Shares (as presently constituted and subject to subsequent adjustments for stock splits, stock dividends, reverse stock splits, and the like) (each, a "Major Investor"):
(i)     As soon as practicable, but in any event within ninety (90) days, after the end of each fiscal year of the Company, a balance sheet and statement of stockholders' equity of the Company as of the end of such fiscal year, and statements of income and cash flows of the Company for such fiscal year, such year-end financial statements to be in reasonable detail, prepared in accordance with U.S.  generally accepted accounting principles ("GAAP"), and audited and certified by independent public accountants of nationally recognized standing selected by the Board of Directors of the Company.
(ii)     As soon as practicable after the end of the first, second and third quarterly accounting periods in each fiscal year of the Company, and in any event within forty-five (45) days after the end of the first, second, and third quarterly accounting periods in each fiscal year of the Company, an unaudited balance sheet of the Company as of the end of each such quarterly period, and unaudited statements of income and cash flows of the Company for such period, prepared in accordance with GAAP, subject to changes resulting from normal year-end audit adjustments.
(iii)     Within thirty (30) days after the end of each month, an unaudited balance sheet of the Company for and as of the end of such month, and unaudited statements of income and cash flows of the Company for such period, in reasonable detail.
(iv)     As soon as practicable, but in any event at least thirty (30) days prior to the end of each fiscal year of the Company, a budget and business plan for the next fiscal year of the Company, prepared on a monthly basis.
(v)     With respect to the financial statements called for in subsections (ii) and (iii) of this Section 3.1(a), an instrument executed by the Chief Executive Officer, President or Chief Financial Officer or of the Company certifying that such financial statements were prepared in accordance with GAAP consistently applied with prior practice for earlier periods (with the exception of footnotes that may be required by GAAP) and fairly present the financial condition of the Company and its results of operation for the period specified, subject to year-end audit adjustments.
(vi)     Subject to Section 3.3, such other information relating to the financial condition of the Company as such Major Investor may from time to time reasonably request.
(b)     Inspection Rights.  The Company will afford to each Holder and to such Holder's accountants and counsel, reasonable access during normal business hours to all of the Company's respective properties, books and records.  Each such Holder shall have such other access to management and information as is necessary for it to comply with applicable laws and regulations and reporting obligations.  The Company shall not be required to disclose details of contracts with or work performed for specific customers and other business partners where to do so would violate confidentiality obligations to those parties.  The Company will maintain true books and records of account in which full and correct entries will be made of all its business transactions pursuant to a system of accounting consistently applied (except as noted therein) and will set aside on its books all such proper accruals and reserves.  At and from such time as it is requested in writing by the Board of Directors (including one of the Series A Directors, the Series B Director, the Series C Director, the 

	
			
	 
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Series E Director, the Series F Director and, if then designated, the Series G Director), such books and records of account will be made according to a system of accounting established and administered in accordance with GAAP consistently applied (except as noted therein) and the Company will set aside on its books all such proper accruals and reserves as shall be required under GAAP.
3.2 Qualified Small Business Stock.  The Company agrees that for so long as any of the Shares are held by an Investor (or a transferee in whose hands such Shares are eligible to qualify as "qualified small business stock" within the meaning of Section 1202(c) of the Code), it will use commercially reasonable efforts to comply with any applicable filing and reporting requirements of Section 1202 of the Code and any regulations promulgated thereunder; provided, however, that "reasonable efforts" as used in this Section 3.2 shall not be construed to require the Company to operate its business in a manner which would adversely affect its business, limit its future prospects or alter the timing or resource allocation related to its planned operations or financing activities.
3.3 Confidentiality.  Anything in this Agreement to the contrary notwithstanding, no Holder by reason of this Agreement shall have access to any trade secrets or classified information of the Company.  Each Holder acknowledges that the information received by them pursuant to this Agreement may be confidential and for its use only, and it will not use such confidential information in violation of the Exchange Act or reproduce, disclose or disseminate such information to any other person (other than its employees or agents having a need to know the contents of such information, and its attorneys), except (i) in connection with the exercise of rights under this Agreement, (ii) as may be required by applicable law or (iii) to its limited partners, general partners or management company or to the attorneys thereof in order to protect and monitor their investment in the Company.  Confidential information received by each Holder pursuant to this Agreement does not include information that is developed by such Holder or its agents independently of and without reference to any confidential information of the Company or where the Company has made such information available to the public generally.  The Company shall not use the name Open Joint Stock Company "RUSNANO" in any public manner, context or format, including on any website, in any online material or in any press release, without the prior approval of RUSNANO, which approval shall not be unreasonably withheld.
3.4 Stock Vesting.  Except as otherwise approved by the Board of Directors (including one of the Series A Directors and the Series B Director, the Series C Director, the Series E Director, the Series F Director and, if then designated, the Series G Director), all stock option grants and grants of restricted stock issued by the Company after the date hereof to employees, officers, directors, and consultants shall have the following vesting schedule: 25% of the shares will vest upon the one year anniversary of the applicable vesting commencement date, with the remaining 75% of the shares to vest in equal monthly installments over the subsequent 36 months of continuous service by such service provider such that the entire stock option or restricted stock grant vests in its entirety over a period of four years from the applicable vesting commencement date, with none of such shares being subject to any acceleration of vesting upon any event and such stock option grants and grants of restricted stock shall give the Company a repurchase option on unvested shares at the original issue price upon termination of service to the Company.
3.5 Insurance.  The Company covenants to use reasonable efforts to maintain: (i) a directors and officers insurance policy covering the directors and executive officers of the Company in the amount of at least $2,000,000; and (ii) two quotes for key man insurance policy on Sam Heidari in the amount of
$1,000,000, with the Company as the beneficiary, and if such quote is acceptable to a majority of the Board of Directors the Company will be obligated to purchase and maintain such policy.  The Company's obligation to obtain and maintain such policies is contingent upon the availability of such policies at commercially reasonable rates as determined by a majority of the Board of Directors.

	
			
	 
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3.6 Employee Agreements.  The Company will cause each person now or hereafter employed by it or by any subsidiary (or engaged by the Company or any subsidiary as a consultant/independent contractor) to enter into a nondisclosure and proprietary rights assignment agreement, substantially in the form approved by the Board of Directors, which such agreement shall include (a) a one (I) year non-solicitation provision, (b) confidentiality obligations regarding the Company's confidential information and trade secrets and (c) an assignment of inventions to the Company.
3.7 Corporate Opportunity.  The Company acknowledges that the Major Investors and their affiliates, members, equity holders, director representatives, partners, employees, agents and other related persons are engaged in the business of investing in private and public companies in a wide range of industries, including the industry segment in which the Company operates (the "Company Industry Segment").  Accordingly, the Company and the Major Investors acknowledge and agree that a Covered Person shall:
(a)     have no duty to the Company to refrain from participating as a director, investor or otherwise with respect to any company or other person or entity that is engaged in the Company Industry Segment or is otherwise competitive with the Company; and
(b)     in connection with making investment decisions, to the fullest extent permitted by law, have no obligation of confidentiality or other duty to the Company to refrain from using any information, including, but not limited to, market trend and market data, which comes into such Covered Person's possession, whether as a director, investor or otherwise (the "Information Waiver"), provided that the Information Waiver shall not apply, and therefore such Covered Person shall be subject to such obligations and duties as would otherwise apply to such Covered Person under applicable law, if the information at issue (i) constitutes material non-public information concerning the Company, or (ii) is covered by a contractual obligation of confidentiality to which the Company is subject.  For the purposes of this Section 3.7, "Covered Persons" shall have the meaning set forth in the Company's Certificate of Incorporation, as may be amended from time to time.
Notwithstanding anything in this Section 3.7 to the contrary, nothing herein shall be construed as a waiver of any Covered Person's duty of loyalty or obligation of confidentiality with respect to the disclosure of confidential information of the Company.
3.8 Green Dot Corporation.  The Company shall not enter into any banking or nonbanking transaction with Green Dot Corporation or any of its subsidiaries (Next Estate Communications and Bonneville Bancorp) without the prior written consent of Sequoia Capital XI.
3.9 Foreign Corrupt Practices Act.  The Company shall not, and shall cause each of its subsidiaries not to, promise, authorize or make any payment to, or otherwise contribute any item of value to, directly or indirectly, to any third party, including any Non-U.S.  Official, in each case, in violation of the FCPA, the U.K.  Bribery Act, or any other material applicable anti-bribery or anti-corruption law.  Further, the Company shall, and shall cause each of its subsidiaries to, cease all of its or their respective activities (if any), as well as remediate any actions taken by the Company or its subsidiaries (if any), in violation of the FCPA, the U.K.  Bribery Act, or any other material applicable anti-bribery or anti-corruption law.  The Company and its subsidiaries will put in place and maintain systems of internal controls (including, but not limited to, accounting systems, purchasing systems and billing systems) to ensure compliance with the FCPA, the U.K.  Bribery Act, or any other material applicable anti-bribery or anti-corruption law.
3.10 Redeemable Preferred Stock.  The Company shall not issue any class or series of capital stock that is redeemable on demand by its holder or the Company without the prior consent of the holders of a majority of the outstanding Preferred Stock of the Company, including the holders of not less than eighty five percent (85%) of the then outstanding Series G Preferred Stock.

	
			
	 
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3.11 Termination of Covenants.  The covenants set forth in this Section 3, other than those set forth in Section 3.3, shall terminate and be of no further force and effect upon the earlier to occur of the closing of the Company's Initial Public Offering or a Change of Control of the Company.
Section 4
Right of First Refusal
4.1 Right of First Refusal to Significant Holders.  The Company hereby grants to each Holder who owns at least I2,000,000 shares of Preferred Stock, Conversion Stock and/or Warrant Shares (as presently constituted and subject to subsequent adjustments for stock splits, stock dividends, reverse stock splits and the like) (the "Significant Holders"), the right of first refusal to purchase its pro rata share of New Securities (as defined in this Section 4.1(a)) which the Company may, from time to time, propose to sell and issue after the date of this Agreement.  A Significant Holder's "Pro Rata Share," for purposes of this right of first refusal, is equal to the ratio of: (a) the number of shares of Common Stock owned by such Significant Holder immediately prior to the issuance of New Securities (assuming full conversion of the Shares and full conversion or exercise of all outstanding convertible securities, rights, options and warrants held by said Significant Holder) to (b) the total number of shares of Common Stock outstanding immediately prior to the issuance of New Securities (assuming full conversion of the Shares and full conversion or exercise of all outstanding convertible securities, rights, options and warrants).
(a)     "New Securities" shall mean any capital stock (including Common Stock and/or Preferred Stock) of the Company whether now authorized or not, and rights, convertible securities, options or warrants to purchase such capital stock, and securities of any type whatsoever that are, or may become, exercisable or convertible into capital stock; provided that the term "New Securities" does not include:
(i)     the issuance of the Series G Preferred Stock pursuant to the Purchase Agreement and the Conversion Stock;
(ii)     securities issued or issuable to officers, directors, employees, consultants, placement agents, and other service providers of the Company (or any subsidiary) pursuant to stock grants, option plans, purchase plans, agreements or other employee stock incentive programs approved by the Board of Directors of the Company;
(iii)     securities issued pursuant to the conversion or exercise of any convertible or exercisable securities outstanding as of this date of this Agreement;
(iv)     securities issued or issuable as a dividend or distribution on Preferred Stock of the Company or pursuant to any event for which adjustment is made pursuant to paragraph 4(e), 4(f) or 4(g) of the Amended and Restated Certificate of Incorporation of the Company;
(v)     securities offered pursuant to a bona fide, firmly underwritten public offering pursuant to a registration statement filed under the Securities Act;
(vi)     securities issued or issuable pursuant to the acquisition of another corporation by the Company by merger, purchase of substantially all of the assets or other reorganization or to a joint venture agreement, provided, that such issuances are approved by a majority of the Board of Directors of the Company;

	
			
	 
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(vii)     securities issued or issuable to banks, equipment lessors or other financial institutions pursuant to a commercial leasing or debt financing transaction approved by a majority of the Board of Directors of the Company;
(viii)     securities issued or issuable in connection with sponsored research, collaboration, technology license, development, OEM, sales, marketing or other similar agreements or strategic partnerships approved by a majority of the Board of Directors of the Company;
(ix)     securities issued to suppliers or third party service providers in connection with the provision of goods or services pursuant to transactions approved by a majority of the Board of Directors of the Company;
(x)     securities of the Company which are otherwise excluded by the affirmative vote or consent of the holders of a majority of the shares of Preferred Stock of the Company then outstanding or the affirmative vote of a majority of the Board of Directors of the Company; and
(xi)     securities issued upon exercise of any right, option or warrant to acquire any security excluded from the definition of Additional Shares of Common pursuant to subsections (i) through (x) above.
(b)     In the event the Company proposes to undertake an issuance of New Securities, it shall give each Significant Holder written notice of its intention, describing the type of New Securities, and their price and the general terms upon which the Company proposes to issue the same.  Each Significant Holder shall have ten (10) days after any such notice is mailed or delivered to agree to purchase such Significant Holder's Pro Rata Share of such New Securities.  The Company shall promptly, in writing, inform each Significant Holder that elects to purchase its Pro Rata Share of such New Securities (a "Fully Exercising Holder") of any other Significant Holder's failure to do likewise ("Over-Allotment Notice").  During the ten (10) day period after the Over-Allotment Notice is mailed or delivered by the Company to the Significant Holders, each Fully Exercising Holder may elect to purchase that portion of the New Securities for which Significant Holders were entitled to subscribe, but which were not subscribed for by the Significant Holders, that is equal to the ratio of: (i) the number of shares of Registrable Securities owned, directly or indirectly, by such Fully Exercising Holder immediately prior to the issuance of New Securities to (ii) the total number of shares of Registrable Securities outstanding immediately prior to the issuance of New Securities held, directly or indirectly, by all Fully Exercising Holders (in each case, assuming full exercise of all outstanding rights and warrants exercisable for Preferred Stock held by all Fully Exercising Holders).
(c)     In the event the Holders fail to exercise fully the right of first refusal and over-allotment rights, if any, within the applicable ten (10) day notice periods (the "Election Period"), the Company shall have ninety (90) days thereafter to sell or enter into an agreement (pursuant to which the sale of New Securities covered thereby shall be closed, if at all, within ninety (90) days from the date of said agreement) to sell that portion of the New Securities with respect to which the Significant Holders' right of first refusal option set forth in this Section 4.1 was not exercised, at a price and upon terms no more favorable to the purchasers thereof than specified in the Company's notice to Significant Holders delivered pursuant to Section 4.1(b).  In the event the Company has not sold within such ninety (90) day period following the Election Period, or such ninety (90) day period following the date of said agreement, the Company shall not thereafter issue or sell any New Securities, without first again offering such securities to the Significant Holders in the manner provided in this Section 4.1.

	
			
	 
	- 19 -
	 

(d)     The right of first refusal granted under this Agreement shall expire upon (and shall not be applicable to) the earlier to occur of (x) the Company's Initial Public Offering, or (y) a Change of Control of the Company.
(e)     The rights provided to the Significant Holders under this Section 4.1 may not be assigned or transferred by any such Significant Holder unless such transferee will hold, following such transfer, at least 6,000,000 shares of Preferred Stock, Conversion Stock and/or Warrant Shares (as presently constituted and subject to subsequent adjustments for stock splits, stock dividends, reverse stock splits, and the like); provided, however, that a Significant Holder that is a venture capital fund may assign or transfer such rights to an affiliated venture capital fund of such Significant Holder.
Section 5
Miscellaneous
5.1 Amendment.  Except as expressly provided herein, neither this Agreement nor any term hereof may be amended, waived, discharged or terminated other than by a written instrument referencing this Agreement and signed by the Company and the Holders holding a majority of the Registrable Securities (excluding any shares held by the Founders and excluding any shares that have been sold to the public or pursuant to Rule 144); provided, however, that any such amendment, waiver, discharge or termination applies by its terms and to the extent applicable in the same manner to the Founders; and provided, further, that Holders purchasing shares of Series G Preferred Stock in a Closing after the Initial Closing (each as defined in the Purchase Agreement) may become parties to this Agreement by executing a counterpart of this Agreement without any amendment of this Agreement pursuant to this paragraph or any consent or approval of any other Holder.  Any such amendment, waiver, discharge or termination effected in accordance with this paragraph shall be binding upon each Holder and each future holder of all such securities of Holder.  Each Holder acknowledges that by the operation of this paragraph, the holders of a majority of the Registrable Securities (excluding any shares held by the Founders and excluding any shares that have been sold to the public or pursuant to Rule 144) will have the right and power to diminish or eliminate all rights of such Holder under this Agreement.
5.2 Notices.  All notices and other communications required or permitted hereunder shall be in writing and shall be mailed by registered or certified mail, postage prepaid, sent by facsimile or electronic mail or otherwise delivered by hand or by messenger addressed:
(a)     if to an Investor, at the Investor's address, facsimile number or electronic mail address as shown in the Company's records, as may be updated in accordance with the provisions hereof;
(b)     if to any Holder, at such address, facsimile number or electronic mail address as shown in the Company's records, or, until any such holder so furnishes an address, facsimile number or electronic mail address to the Company, then to and at the address of the last holder of such shares for which the Company has contact information in its records; or
(c)     if to the Company, one copy should be sent to Quantenna Communications, Inc., 3450 W.  Warren Drive, Fremont, California 94538, Attn: Chief Executive Officer, or at such other address as the Company shall have furnished to the Investors, with a copy to Arthur F.  Schneiderman, Esq., Wilson Sonsini Goodrich & Roast, PC, 650 Page Mill Road, Palo Alto, California 94304.
Each such notice or other communication shall for all purposes of this Agreement be treated as effective or having been given when delivered if delivered personally, or, if sent by mail, at the earlier of its receipt or 72 hours after the same has been deposited in a regularly maintained receptacle for the deposit of the United States mail (if such recipient is located in the United States), addressed and mailed as aforesaid or, if sent by 

	
			
	 
	- 20 -
	 

facsimile, upon confirmation of facsimile transfer or, if sent by electronic mail, upon confirmation of delivery when directed to the electronic mail address of such person.
5.3 Governing Law.  This Agreement shall be governed in all respects by the internal laws of the State of Delaware as applied to agreements entered into among Delaware residents to be performed entirely within the State of Delaware, without regard to principles of conflicts of law.
5.4 Successors and Assigns.  This Agreement, and any and all rights, duties and obligations hereunder, shall not be assigned, transferred, delegated or sublicensed by any Investor without the prior written consent of the Company.  Any attempt by an Investor without such permission to assign, transfer, delegate or sublicense any rights, duties or obligations that arise under this Agreement shall be void.  Subject to the foregoing and except as otherwise provided herein, the provisions of this Agreement shall inure to the benefit of, and be binding upon, the successors, assigns, heirs, executors and administrators of the parties hereto.
5.5 Entire Agreement.  This Agreement and the exhibits hereto constitute the full and entire understanding and agreement between the parties with regard to the subjects hereof.  No party hereto shall be liable or bound to any other party in any manner with regard to the subjects hereof or thereof by any warranties, representations or covenants except as specifically set forth herein.
5.6 Delays or Omissions.  Except as expressly provided herein, no delay or omission to exercise any right, power or remedy accruing to any party to this Agreement upon any breach or default of any other party under this Agreement shall impair any such right, power or remedy of such non-defaulting party, nor shall it be construed to be a waiver of any such breach or default, or an acquiescence therein, or of or in any similar breach or default thereafter occurring, nor shall any waiver of any single breach or default be deemed a waiver of any other breach or default theretofore or thereafter occurring.  Any waiver, permit, consent or approval of any kind or character on the part of any party of any breach or default under this Agreement, or any waiver on the part of any party of any provisions or conditions of this Agreement, must be in writing and shall be effective only to the extent specifically set forth in such writing.  All remedies, either under this Agreement or by law or otherwise afforded to any party to this Agreement, shall be cumulative and not alternative.
5.7 Severability.  If any provision of this Agreement becomes or is declared by a court of competent jurisdiction to be illegal, unenforceable or void, portions of such provision, or such provision in its entirety, to the extent necessary, shall be severed from this Agreement, and such court will replace such illegal, void or unenforceable provision of this Agreement with a valid and enforceable provision that will achieve, to the extent possible, the same economic, business and other purposes of the illegal, void or unenforceable provision.  The balance of this Agreement shall be enforceable in accordance with its terms.
5.8 Titles and Subtitles.  The titles and subtitles used in this Agreement are used for convenience only and are not to be considered in construing or interpreting this Agreement.  All references in this Agreement to sections, paragraphs and exhibits shall, unless otherwise provided, refer to sections and paragraphs hereof and exhibits attached hereto.
5.9 Counterparts.  This Agreement may be executed in any number of counterparts, each of which shall be enforceable against the parties that execute such counterparts, and all of which together shall constitute one instrument.

	
			
	 
	- 21 -
	 

5.10 Telecopy Execution and Delivery.  A facsimile, telecopy or other reproduction of this Agreement may be executed by one or more parties hereto and delivered by such party by facsimile or any similar electronic transmission device pursuant to which the signature of or on behalf of such party can be seen.  Such execution and delivery shall be considered valid, binding and effective for all purposes.  At the request of any party hereto, all parties hereto agree to execute and deliver an original of this Agreement as well as any facsimile, telecopy or other reproduction hereof.
5.11 Jurisdiction; Venue.  With respect to any disputes arising out of or related to this Agreement, the parties consent to the exclusive jurisdiction of, and venue in, the state courts in Santa Clara County in the State of California (or in the event of exclusive federal jurisdiction, the courts of the Northern District of California).
5.12 Further Assurances.  Each party hereto agrees to execute and deliver, by the proper exercise of its corporate, limited liability company, partnership or other powers, all such other and additional instruments and documents and do all such other acts and things as may be necessary to more fully effectuate this Agreement.
5.13 Conflict.  In the event of any conflict between the terms of this Agreement and the Company's Certificate of Incorporation or its Bylaws, the terms of the Company's Certificate of Incorporation or its Bylaws, as amended, as the case may be, will control.
5.14 Aggregation of Stock.  All securities held or acquired by affiliated entities (including affiliated venture funds) or persons shall be aggregated together for purposes of determining the availability of any rights under this Agreement.
5.15 Limitation of Liability
(a)     Southern Cross Venture Partners Management Pty Limited ("SXVPM") enters into this Agreement only on behalf of Southern Cross Fund No. 1 Trust and in no other capacity.  Any liability arising under or in connection with this Agreement is limited to and can be enforced against SXVPM only to the extent to which the claimant can be satisfied out of the property of Southern Cross Fund No.  1 Trust.  This limitation of SXVPM's liability applies despite any other provision of this Agreement and extends to all liabilities and obligations of SXVPM in any way connected with any representation, warranty, conduct, omission, agreement or transaction related to this Agreement.
(b)     The parties may not sue SXVPM in any capacity other than on behalf of Southern Cross Fund No. 1 Trust, including seeking to appoint a receiver (except in relation to the property of Southern Cross Fund No. 1 Trust), a liquidator, an administrator or any similar persons to SXVPM or to approve any liquidation, administration or arrangement of affecting SXVPM (except in relation to the property of Southern Cross Fund No. 1 Trust).
(c)     The provisions of clauses (a) and (b) shall not apply to any obligation or liability of SXVPM to the extent that the obligation or liability is not satisfied because under the partnership deed or other document establishing the Southern Cross Fund No. 1 Trust or by operation of law there is a reduction in the extent of SXVPM's indemnification from the assets of Southern Cross Fund No.  1 Trust, as a result of SXVPM's fraud, negligence or breach of trust.
(d)     No attorney, agent, receiver or receiver and manager of SXVPM has authority to act on behalf of SXVPM in a way that exposes SXVPM to any personal liability, and no act or omission of any such person shall be considered fraud, negligence or breach of trust of SXVPM for the purpose of clause (c).

	
			
	 
	- 22 -
	 

(e)     Notwithstanding any other provision of this Agreement, the parties acknowledge and agree that one or more of ( 1) SXVPM and (2) any replacement general partner of Southern Cross Fund No.  I Trust and any trust, limited partnership, fund or other entity managed by SXVPM or any of its related bodies corporate (each an "Associated Entity"):
(i)     may be or become the trustee, responsible entity or manager of a number of managed funds and trusts and has or will have obligations and duties in relation to each of those managed funds and trusts that are similar to its obligations and duties in relation to Southern Cross Fund No.  1 Trust;
(ii)     may invest funds in companies or other entities that may compete with the Company; and
(iii)     cannot foster and promote the business of the Company where such conduct would breach its obligations to, or adversely impact on their shareholdings in any such competing company or entity in which funds managed by SXVPM or any Associated Entity have been invested; provided, that, nothing in this Section 5.15 shall limit any such person's obligations to the Company or its stockholders under applicable Delaware law.
(f)     This Section 5.15 shall only limit the extent of money damages and shall not in any way limit the right of the parties hereto to seek specific performance of SXVPM's obligations hereunder.
(Remainder of Page Intentionally Left Blank)

	
			
	 
	- 23 -
	 

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	QUANTENNA COMMUNICATIONS, INC.,

	 
	 
	a Delaware corporation

	 
	 
	 

	 
	 
	/s/ Sam Heidari

	 
	 
	Name:
	Sam Heidari

	 
	 
	Title:
	Chief Executive Officer

	 
	 
	 

	 
	 
	FOUNDERS:

	 
	 
	 

	 
	 
	/s/ Behooz Rezvani

	 
	 
	Behooz Rezvani

	 
	 
	 

	 
	 
	/s/ Andrea Goldsmith

	 
	 
	Andrea Goldsmith

	 
	 
	 

	 
	 
	 

	 
	 
	Farrokh R. Farrokhi

	 
	 
	 

	 
	 
	 

	 
	 
	Raminder Bajwa

	 
	 
	 

	 
	 
	/s/ Safiali Rouhi

	 
	 
	Safiali Rouhi

	 
	 
	 

	 
	 
	/s/ Saied Ansari

	 
	 
	Saied Ansari

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	FOUNDERS:

	 
	 
	Behrooz Rezvani as Custodian for Rastin Rezvani 
under the California Uniform Transfers to Minor Act

	 
	 
	 

	 
	 
	By:
	/s/ Behrooz Rezvani

	 
	 
	 
	Behrooz Rezvani, Custodian

	 
	 
	 
	 

	 
	 
	Behrooz Rezvani & Habibeh Assna-Ashary,
Trustees of Jheran Ahmad Rezvani Trust  2000 U/I 
DTD January 14, 2000

	 
	 
	 
	 

	 
	 
	By:
	/s/ Behrooz Rezvani

	 
	 
	 
	Behrooz Rezvani, Trustee

	 
	 
	 
	 

	 
	 
	By:
	 

	 
	 
	 
	Habibeh Assna-Ashary, Trustee

	 
	 
	 
	 

	 
	 
	Behrooz Rezvani & Habibeh Assna-Ashary,
Trustees of Jheran Ahmad Rezvani Trust  2007
dated February 27, 2007

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	By:
	/s/ Behrooz Rezvani

	 
	 
	 
	Behrooz Rezvani, Trustee

	 
	 
	 
	 

	 
	 
	By:
	 

	 
	 
	 
	Habibeh Assna-Ashary, Trustee

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	DAG VENTURES IV-QP, L.P.

	 
	 
	By:  DAG Ventures Management IV, LLC, its General Partner

	 
	 
	 

	 
	 
	By: 
	/s/ Nicholas, K. Pianim

	 
	 
	 
	Nicholas, K. Pianim, Managing Director

	 
	 
	 

	 
	 
	 

	 
	 
	DAG VENTURES, L.P.

	 
	 
	By:  DAG Ventures Management IV, LLC, its General Partner

	 
	 
	 

	 
	 
	 

	 
	 
	By: 
	/s/ Nicholas, K. Pianim

	 
	 
	 
	Nicholas, K. Pianim, Managing Director

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	DAG VENTURES IV-A, LLC

	 
	 
	By:  DAG Ventures Management IV, LLC, its Managing Member

	 
	 
	 

	 
	 
	 

	 
	 
	By: 
	/s/ Nicholas, K. Pianim

	 
	 
	 
	Nicholas, K. Pianim, Managing Director

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	GRAZIA BETEILINGUNGEN GMBH & Co. KG

	 
	 
	By:  its Managing Limited Parner: Grazia Equity GmbH

	 
	 
	 

	 
	 
	By:
	/s/ Torsten Kreindz

	 
	 
	 
	 

	 
	 
	Name:
	Dr. Torsten Kreindz

	 
	 
	 
	 

	 
	 
	Title:
	Partner

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	HATTERAS LATE STAGE VC FUND I, LP

	 
	 
	 

	 
	 
	HATTERAS VC CO-INVESTMENT FUND II, LLC

	 
	 
	 

	 
	 
	By: 
	/s/ Lane Baker

	 
	 
	 
	 

	 
	 
	Name:
	Lane Baker

	 
	 
	 
	 

	 
	 
	Title:
	Treasurer

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

 
	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	CHARLES CHANG WAN LIM

	 
	 
	 

	 
	 
	 

	 
	 
	 
	/s/ Charles Chang Wan Lim

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	JOHN MARREN

	 
	 
	 

	 
	 
	 

	 
	 
	 
	/s/ John Marren

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	NTT-FINANCE 2007 L.P.

	 
	 
	 

	 
	 
	 

	 
	 
	By: 
	/s/ Masayuki Utada

	 
	 
	 
	 

	 
	 
	Name:
	Masayuki Utada

	 
	 
	 
	 

	 
	 
	Title:
	Director

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	OPEN JOINT STOCK COMPANY "RUSANO"

	 
	 
	 

	 
	 
	 

	 
	 
	/s/ Yuri Udaltsov

	 
	 
	 

	 
	 
	By: 
	Yuri Udaltsov

	 
	 
	 
	 

	 
	 
	Title:
	acting on the basis of the power of attorney 

	 
	 
	#3-559 date February 19, 2014

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	SEQUOIA CAPITAL XI

	 
	 
	SEQUOIA TECHNOLOGY PARTNERS XI

	 
	 
	SEQUOIA CAPITAL XI PRINCIPALS FUND

	 
	 
	By: SC XI Management, LLC

	 
	 
	A Delaware Limited Liability Company

	 
	 
	General Partner of Each

	 
	 
	 

	 
	 
	By: 
	/s/ Michael Goguen

	 
	 
	Name:
	Michael Goguen

	 
	 
	Title:
	Managing Member

	 
	 
	 
	 

	 
	 
	SEQUOIA CAPITAL U.S. GROWTH FUND V, L.P.

	 
	 
	 
	 

	 
	 
	By: 
	/s/ Michael Goguen

	 
	 
	Name:
	Michael Goguen

	 
	 
	Title:
	Managing Member

	 
	 
	 
	 

	 
	 
	SC US GF V HOLDINGS, LTD.

	 
	 
	a Cayman Islands exempted company

	 
	 
	By: SEQUOIA CAPITAL U.S. GROWTH FUND V, L.P.

	 
	 
	SEQUOIA CAPITAL USGF PRINCIPALS FUND V, L.P.

	 
	 
	both Cayman Islands exempted limited partnerships, its Members

	 
	 
	By: SCGF V MANAGEMENT, L.P.,

	 
	 
	a Cayman Islands exempted limited partnership, its General Partner

	 
	 
	By: SC GF V TT, LTD.,

	 
	 
	a Cayman Islands exempted company, its General Partner

	 
	 
	 
	 

	 
	 
	By: 
	/s/ Michael Goguen

	 
	 
	Name:
	Michael Goguen

	 
	 
	Title:
	Managing Member

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	SIGMA PARTNERS 7, L.P.

	 
	 
	By: 
	Sigma Management 7, L.L.C.

	 
	 
	 
	Its: General Partner

	 
	 
	 

	 
	 
	SIGMA ASSOCIATES 7, L.P.

	 
	 
	By: 
	Sigma Management 7, L.L.C.

	 
	 
	 
	Its: General Partner

	 
	 
	 
	 

	 
	 
	SIGMA INVESTORS 7, L.P.

	 
	 
	By: 
	Sigma Management 7, L.L.C.

	 
	 
	 
	Its: General Partner

	 
	 
	 
	 

	 
	 
	By: 
	/s/ Fahri Diner

	 
	 
	 

	 
	 
	Name:
	Fahri Diner

	 
	 
	 
	 

	 
	 
	Title:
	Managing Director

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	SIGNED, SEALED AND DELIVERED by
SOUTHERN CROSS VENTURE PARTNERS
MANAGEMENT PTY LIMITED ACN 091 561 
045 as Trustee for the Southern Cross Fund No.1
Trust by: 

	 
	 
	 
	 

	 
	 
	/s/ Dr Larry R Marshall

	 
	 
	Signature of Director

	 
	 
	 
	 

	 
	 
	Dr Larry R Marshall

	 
	 
	Name of Director (print)

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	SWISSCOM AG

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	By: 
	/s/ Dominique Mēgret

	 
	 
	 

	 
	 
	Name:
	Dominique Mēgret

	 
	 
	 
	 

	 
	 
	Title:
	Head of Venturing

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	By: 
	/s/ Pār Lange

	 
	 
	 

	 
	 
	Name:
	Pār Lange

	 
	 
	 
	 

	 
	 
	Title:
	Investment Officer

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	TELEFONICA DIGITAL VENTURE

	 
	 
	CAPTIAL, S.L.U.

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	By: 
	/s/ David Gina Garcia

	 
	 
	 

	 
	 
	Name:
	David Gina Garcia

	 
	 
	 
	 

	 
	 
	Title:
	Director & Attorney at Law

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	UNIQUEST CORPORATION

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	By: 
	/s/ Andrew Kim

	 
	 
	 

	 
	 
	Name:
	Andrew Kim

	 
	 
	 
	 

	 
	 
	Title:
	CEO

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	VENROCK ASSOCIATES IV, L.P.

	 
	 
	By:
	Venrock Management IV, LLC

	 
	 
	Its:
	General Partner

	 
	 
	 
	 

	 
	 
	VENROCK PARTNERS, L.P.

	 
	 
	By:
	Venrock Management IV, LLC

	 
	 
	Its:
	General Partner

	 
	 
	 
	 

	 
	 
	VENROCK ENTERPRENEURS FUND IV, L.P.

	 
	 
	By:
	Venrock Management IV, LLC

	 
	 
	Its:
	General Partner

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	By: 
	/s/ David L. Stepp 

	 
	 
	 

	 
	 
	Name:
	David L. Stepp 

	 
	 
	 
	 

	 
	 
	Title:
	Authorized Signatory 

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	VIVINT WIRELESS, INC.

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	By: 
	/s/ Luke Langford

	 
	 
	 

	 
	 
	Name:
	Luke Langford

	 
	 
	 
	 

	 
	 
	Title:
	COO

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	SAB FUND 1 TRUST

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	By: 
	/s/ Barmak Sani

	 
	 
	 

	 
	 
	Name:
	Barmak Sani

	 
	 
	 
	 

	 
	 
	Title:
	Trustee

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	CENTERVIEW CAP

	 
	 
	FUND (DELAWARE), L.P.

	 
	 
	By: Centerview Capital Technology Fund GP

	 
	 
	(Delaware), L.P. 

	 
	 
	Its: General Partner

	 
	 
	 
	 

	 
	 
	By: Centerview Capital Technology Ltd.

	 
	 
	Its: General Partner

	 
	 
	 

	 
	 
	 
	 

	 
	 
	By: 
	/s/ Edwin B. Hooper III

	 
	 
	Name:
	Edwin B. Hooper III

	 
	 
	Title:
	Director

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	CENTERVIEW CAPITAL TECHNOLOGY

	 
	 
	FUND-A (DELAWARE), L.P.

	 
	 
	By: Centerview Capital Technology Fund GP

	 
	 
	(Delaware), L.P. 

	 
	 
	Its: General Partner

	 
	 
	 
	 

	 
	 
	By: Centerview Capital Technology Ltd.

	 
	 
	Its: General Partner

	 
	 
	 

	 
	 
	 
	 

	 
	 
	By: 
	/s/ Edwin B. Hooper III

	 
	 
	Name:
	Edwin B. Hooper III

	 
	 
	Title:
	Director

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	CENTERVIEW CAPITAL TECHNOLOGY

	 
	 
	EMPLOYEE FUND, L.P.

	 
	 
	By: Centerview Capital Technology Fund GP

	 
	 
	(Delaware), L.P. 

	 
	 
	Its: General Partner

	 
	 
	 
	 

	 
	 
	By: Centerview Capital Technology Ltd.

	 
	 
	Its: General Partner

	 
	 
	 

	 
	 
	 
	 

	 
	 
	By: 
	/s/ Edwin B. Hooper III

	 
	 
	Name:
	Edwin B. Hooper III

	 
	 
	Title:
	Director

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	EASTWARD INVESTORS, LLC.

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	By: 
	/s/ Dennis P. Cameron

	 
	 
	 

	 
	 
	Name:
	Dennis P. Cameron

	 
	 
	 
	 

	 
	 
	Title:
	Manager

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	CHINA WALDEN VENTURE INVESTMENTS II, L.P.

	 
	 
	By:
	China Walden Venture Investments II GP, Ltd.

	 
	 
	 
	Its:  General Parnter

	 
	 
	 
	 

	 
	 
	By: 
	/s/ Lip-Bu Tan

	 
	 
	 

	 
	 
	Name:
	Lip-Bu Tan

	 
	 
	 
	 

	 
	 
	Title:
	Managing Director 

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	WRV II, L.P.

	 
	 
	By:
	WRV GP II, LLC

	 
	 
	 
	Its:  General Partner

	 
	 
	 
	 

	 
	 
	By: 
	/s/ Lip-Bu Tan

	 
	 
	Name:
	Lip-Bu Tan

	 
	 
	Title:
	Director 

	 
	 
	 
	 

	 
	 
	Address: One California Street, 28th Floor
               San Francisco, CA 94111 

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	Huitung Investments (BVI) Limited 

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	 
	 

	 
	 
	Signature:
	/s/ Tsui-Hui Huang 

	 
	 
	Print Name:
	Tsui-Hui Huang 

	 
	 
	Title:
	Chairman

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	Entity Name:
	Freescale Semiconductor Inc. 

	 
	 
	 
	 

	 
	 
	Signature:
	/s/ Tom Deitrich

	 
	 
	 
	 

	 
	 
	Print Name:
	Tom Deitrich

	 
	 
	 
	 

	 
	 
	Title:
	Senior Vice President Digital Networking 

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

IN WITNESS WHEREOF, the parties hereto have executed this Amended and Restated Investors' Rights Agreement effective as of the day and year first above written. 

	
				
	 
	 
	"INVESTORS"

	 
	 
	 

	 
	 
	Entity Name:
	Vantage Opportunities Master Fund Ltd.

	 
	 
	 
	 

	 
	 
	Signature:
	/s/ Brian Yeh

	 
	 
	 
	 

	 
	 
	Print Name:
	Brian Yeh

	 
	 
	 
	 

	 
	 
	Title:
	Director

(Amended and Restated Investors' Rights Agreement of Quantenna Communications, Inc.)

EXHIBIT A
LENDERS

Gold  Hill Venture  Lending  Partners  03,  L.P.  
Silicon  Valley  Bank  - SVB Financial  Group

EXHIBIT B
INVESTORS 

Sequoia Capital XI
Sequoia Capital XI Principals Fund
Sequoia Technology Partners XI
Sequoia Capital U.S. Growth Fund V, L.P.
Venrock Associates IV, L.P. Venrock Partners, L.P.
Venrock Entrepreneurs Fund IV, L.P.
Sigma Partners 7, L.P. 
Sigma Associates 7, L.P. 
Sigma Investors 7, L.P.
Southern Cross Venture Partners
Southern Cross Ventures Management Pty Ltd. As trustee for Southern Cross Fund No. I  Trust 
DAG Ventures IV -QP,   L.P. 
DAG Ventures IV, L.P.
DAG Ventures IV-A, LLC
Grazia Beteiligungen GmbH & Co. KG 
WS Investment Company, LLC (2006A)
WS Investment Company, LLC (2006C) 
WS Investment Company, LLC (2007A) 
WS Investment Company, LLC (2010A) 
WS Investment Company, LLC (201lA)
Behrooz Rezvani
Gold Hill Venture Lending 03, L.P.
Arthur F. Schneiderman, Trustee of the Arthur F.  Schneiderman Trust UDT October 31, 2000
John Marren
Charles Chang Wan Lim
Kurt Baty
Shinya Chikagami
Anxon International, Inc. (A BVI company) 
Yasushi Chikagami
TWB Investment Partnership II, L.P.
Uniquest Corporation
Swisscom AG
Hatteras Late Stage VC Fund I, LP 
Hatteras VC Co-Investment Fund II, LLC

Curtis  Abbott
Amizdad  Partners,  LLC
Anoop  & Ritu Khurana  Living  Trust
DoCoMo  Capital,  Inc. 
Kambiz  Hooshmand
Lotier  Sociedad  Anonima
Babak  & Lisa Marie Yazdani  Family  Trust  DTD 4/27/2000
Uniquest  Corporation
Telefonica   Digital  Venture  Capital,  S.L.U. 
CSR plc
John  M. Cioffi
Batios  Holdings  Limited
Open Joint  Stock Company  "RUSNANO" 
NTT  Finance  2007 L.P.
Vivint  Wireless,  Inc.
Centerview   Capital  Technology   Fund (Delaware),   L.P. 
Centerview   Capital  Technology   Fund-A  (Delaware),   L.P. 
Centerview   Capital  Technology   Employee  Fund, L.P. 
SAB Fund  l   Trust
Eastward  Investors,  LLC
China  Walden  Venture  Investments   II, L.P. 
WRV  II, L.P.
Huitung  Investments  (BVI)  Limited 
University  Growth  Fund I, L.P. 
Freescale  Semiconductor,   Inc.
Vantage  Opportunities   Master  Fund Ltd.

EXHIBIT C
FOUNDERS

Behrooz Rezvani
Behrooz Rezvani As Custodian for Rastin Rezvani under the California Uniform Transfers to Minor Act
Behnavaz Rezvani
Behrooz Rezvani & Habibeh Assna-Ashary, Trustees of Jheeran Ahmad Rezvani Trust - 2000 u/i dtd January 14, 2000
Behrooz Rezvani and Habibeh Assna-Ashary, Trustees of Jheeran Ahmad Rezvani Trust - 2007 dated February 27, 2007
Behnaz Rezwani 
Habibeh Assna-Ashary 
Andrea Goldsmith 
Farrokh R. Farrokhi 
Raminder Bajwa
Safiali Rouhi
Saied AnsariExhibit

Exhibit  10.17

April 16, 2012

Open Joint Stock Company “RUSNANO”
10A prospect 60-letiya Octyabrya
Moscow 117036 Russia
Attn: Georgy Kolpachev

Re:      Agreement Regarding Investment in Series F Preferred Stock Financing

Mr. Kolpachev:

This letter agreement (this “Letter Agreement”) will confirm our agreement that in connection with its investment in Quantenna Communications, Inc.’s (the “Company”) Series F Preferred Stock financing (the “Financing”), and for other good and valuable consideration, the receipt and sufficiency are hereby acknowledged, Open Joint Stock Company “RUSNANO” will be entitled to certain additional rights with respect to its shares of Series F-1 Preferred Stock (and Series F-2 Preferred Stock, as applicable), as described below.

Section 1  Board Observer

1.1    Board Observer Right

(a)    A representative or agent of RUSNANO (the “Board Observer”) shall be entitled to attend and participate in all meetings of the Company’s Board of Directors (the “Board”).  The Board Observer shall be entitled to ask questions of and have discussions with the Company’s management and members of the Board for a reasonable period of time. The Company shall give the Board Observer copies of all notices, agendas, actions and other materials that the Company provides to the Board for the open session, at the same time such materials are provided to the Board.  Notwithstanding the foregoing, the Company reserves the right to withhold any information and to exclude the Board Observer from any meeting or portion thereof if: (1) access to such information or attendance at such meeting would adversely affect the attorney-client privilege between the Company and its counsel (other than the presence of attorneys for minute taking and general purposes); or (2) access to such information or attendance at such meeting would result in a conflict of interest between RUSNANO or the Board Observer and the Company.  Any decision to exclude the Board Observer from any Board meeting, or portion thereof, shall be made in good faith, and limited to the highest extent practicable, with a view towards providing RUSNANO with the maximum appropriate presence affordable at such meetings.  

(b)     Upon reasonable written notice to the Company, the Board Observer shall be entitled to visit the Company’s properties, examine its books and records, and discuss the Company’s business and prospects with its officers and key employees; provided, however, that access to highly confidential proprietary information and facilities may be withheld at the Company’s reasonable discretion.  

(c)    RUSNANO shall have the right to select its Board Observer, and such Board Observer may change from time to time upon prior written notice provided by RUSNANO to the Company.

1.2    Confidentiality.  RUSNANO agrees, and any representative of RUSNANO that serves as the Board Observer will agree, to hold in confidence and trust and not to disclose any and all information provided to it or learned by it in connection with its rights under Section 1.1 of this letter, except to the extent otherwise required by law, any court of competent jurisdiction, any governmental official or regulatory body and any other regulatory process to which RUSNANO is subject or the rules or regulations of any applicable stock exchange.   Notwithstanding the foregoing, the obligation of confidentiality shall not apply to Company confidential 

	
			
	 
	- 1 -
	 

information that: (i) is publicly available at the time of its disclosure under Section 1.1; (ii) becomes publicly available following disclosure under Section 1.1 (other than as a result of disclosure by RUSNANO or the Board Observer); (iii) was lawfully in the possession of RUSNANO or the Board Observer prior to disclosure under Section 1.1 (as can be demonstrated by such person’s written records or other reasonable evidence) from a source free of any restriction as to its use or disclosure prior to its being so disclosed; or (iv) following disclosure under Section 1.1, becomes available to RUSNANO or the Board Observer from a different source (as can be demonstrated by such person’s written records or other reasonable evidence), which source is not bound by any obligation of confidentiality in relation to such information.  Additionally, RUSNANO may disclose Company confidential information: (x) to its attorneys, accountants, consultants, and other professionals to the extent necessary to obtain their services in connection with monitoring its investment in the Company; or (y) to those personnel within RUSNANO who are engaged in RUSNANO’s venture capital activities, provided in each case that RUSNANO informs such personnel that such information is confidential, and remains responsible to the Company for such personnel maintaining the confidentiality of such information.  If the Board Observer is required to execute any written confidentiality agreement in connection with the exercise of the rights of the Board Observer described in this Section 1, the confidentiality terms of such agreement shall in no event be more restrictive than the terms of this Section 1.2.  

1.3    Termination of Board Observer Right.  The rights described in this Section 1 shall terminate and be of no further force or effect upon the earlier of the date of: (a) the closing of the sale of the Company securities pursuant to a registration statement filed by the Company under the Securities Act of 1933, as amended, in connection with the firm commitment underwritten offering of its securities to the general public, covering the offer and sale of the Company’s Common Stock, provided that the aggregate gross proceeds to the Company are not less than $35,000,000 (an “IPO”); (b) when the Company first becomes subject to the periodic reporting requirement of Sections 12(g) or 15(d) of the Securities Exchange Act of 1934, as amended; (c) a decrease in RUSNANO’s equity ownership of the Company’s securities by seventy-five percent (75%) or more; or (d) a Liquidation Event (as such term is defined in the Company’s Certificate of Incorporation, as may be amended from time to time), which ever event shall occur first.  The confidentiality provision hereof will survive any such termination.

Section 2  Company Obligations Regarding the Russian Subsidiary

2.1    Creation and Funding of Russian Subsidiary.  The Company shall form a Russian Subsidiary (“RusCo”) as a wholly owned subsidiary of the Company to be incorporated in the Russian Federation.  The Company will use commercially reasonable efforts to complete the formation of RusCo within four (4) months of the Series F-1 Initial Closing (as such term is defined in the Series F Preferred Stock Purchase Agreement of even date herewith, as may be amended from time to time), in compliance with the provisions and requirements of RusCo’s corporate structure as described on Exhibit A attached hereto.  “Russian Funding” for purposes of this Letter Agreement shall include cash transfers from the Company to RusCo, plus unreimbursed expenses allocated to RusCo by the Company as described in Section 2.2(a).  The Company agrees to allocate a budget to RusCo in an aggregate amount of $20 million over a period of three (3) years following the Series F-1 Initial Closing, with the Russian Funding to be provided to RusCo as follows: (i) $10 million during the two (2) year period following the Series F-1 Initial Closing (“Period 1”) and (ii) $10 million during the one (1) year period following the expiration of Period 1 (“Period 2”).  The Russian Funding shall be approved by the Board of Directors of the Company (the “Board”).
 

	
			
	 
	- 2 -
	 

2.2    Provision of Russian Funding 

(a)    All Company cash transfers for equity investments in RusCo and for funding RusCo operations in Russia, as well as all Company expenditures related to RusCo, will be included in the Russian Funding.  Company expenditures related to RusCo shall include but are not limited to, expenditures related to the operation, oversight, and support of RusCo.  Such expenditures incurred at the Company for RusCo shall include employee compensation including benefits, taxes, other employee related matters, capital expenses, deposits, prepaids, other assets, software, hardware equipment, tapeouts, rent, office supplies, utilities, taxes, legal, accounting, and any and all other necessary related operational expenses, as determined by the Board.  With respect to project expenses, such as tapeout costs, involving the collaboration of RusCo and the Company, a fraction of the expenditure in such projects shall count towards the Russian Funding equivalent to the fraction of all engineers involved in the project that are RusCo engineers. All other expenditures by RusCo and all expenses charged to RusCo accounts not otherwise described above shall be included in the Russian Funding.  The RusCo Expenses shall be pre-approved by the Board.
 
(b)    The Company and RUSNANO further agree that the Russian Funding shall be provided to RusCo according to the following schedule: (i) $3.5 million during the first (1st) year of Period 1 (the “First Stage”); (ii) $6.5 million during the second (2nd) year of Period 1 (the “Second Stage”); and (iii) $10 million during Period 2 (the “Third Stage”).

2.3    Termination of Funding Obligation. In the event that (a) RUSNANO does not purchase shares of the Company’s Series F-2 Preferred Stock in accordance with the terms described in that certain Investment and Voting Agreement of even date herewith (the “I/V Agreement”), or (b) RUSNANO decreases its holdings of shares of Series F-2 Preferred Stock by one or more shares until the commencement of Period 2, then in either case the Company’s obligation to provide the Russian Funding to RusCo during Period 2 shall terminate and cease in its entirety and, accordingly, the Period 2 Penalty (as defined below) shall not apply. 

2.4    Basic Financial Information and Inspection Rights. The Company shall record the allocation of the Russian Funding to RusCo separately on the Company’s books and records (the “RusCo Financial Information”).   RUSNANO shall be entitled to (a) review the RusCo Financial Information, as soon as practicable, but in any event within ninety (90) days, after the end of each fiscal year of the Company and (b) initiate an independent financial audit of the RusCo Financial Information for Period 1 and/or for Period 2, with such independent financial audit to be conducted by independent public accountants of nationally recognized standing, to be mutually agreed upon by the Company and RUSNANO.  Any costs incurred in connection with such independent financial audit shall be borne fifty percent (50%) by RUSNANO and fifty percent (50%) by the Company. 

2.5    Liability in Connection with the Russian Funding 
  
(a)    Period 1 Penalty.  In the event that the Company fails to meet its funding obligations to Rusco for Period 1 (as set forth in Section 2.2 above), after the expiration of any applicable Cure Period (as defined below), the Company shall pay a one-time penalty fee to RUSNANO (the “Period 1 Penalty”), calculated as follows:

X=($8,000,000-Y)×(1.102-1)

where

	
			
	 
	- 3 -
	 

“X” – penalty amount

“Y” – the actual amount allocated by the Company to RusCo during Period 1. 

Notwithstanding anything in this Letter Agreement to the contrary, the Period 1 Penalty shall be RUSNANO’s only recourse against the Company in the event the Company fails to meet its funding obligations to Rusco for Period 1 and such failure shall not constitute a breach of this Letter Agreement.

(b)    Period 2 Penalty.  Subject to Section 2.3 above, in the event that the Company fails to meet its funding obligations to Rusco for Period 2 (as set forth in Section 2.2 above) after the expiration of any applicable Cure Period (as defined below), the Company shall pay a one-time penalty fee to RUSNANO (the “Period 2 Penalty”), calculated as follows:

X=($8,000,000-Y)×0.10

where

“X” – penalty amount

“Y” – the actual amount of financing provided by the Company to RusCo during Period 2. 

Notwithstanding anything in this Letter Agreement to the contrary, the Period 2 Penalty shall be RUSNANO’s only recourse against the Company in the event the Company fails to meet its funding obligations to Rusco for Period 2 and such failure shall not constitute a breach of this Letter Agreement.

(c)    Cure Period.  Neither the Period 1 Penalty nor the Period 2 Penalty will apply if the applicable Russian Funding shortfall is cured within one (1) calendar quarter after the relevant measure date (the end of Period 1 and Period 2, respectively) (the “Cure Period”).  If the Company and RUSNANO disagree as to whether there has been shortfall for Period 1 and/or Period 2, after the respective Cure Period, either party may initiate an independent financial audit of the RusCo Financial Information, with such independent financial audit to be conducted by independent public accountants of nationally recognized standing, to be mutually agreed upon by the Company and RUSNANO.  Any costs incurred in connection with such independent financial audit shall be borne equally by RUSNANO and the Company.  Following the Cure Period and the audit, if applicable, the Company shall pay the Period 1 Penalty or the Period 2 Penalty (if either is owed) to RUSNANO within one calendar quarter thereafter.  Funding shall include all expenses in accordance with U.S. GAAP, in addition to capital expenditures (versus depreciation/amortization), deposits, prepaids and other assets,  certified by the Chief Executive Officer and the Chief Financial Officer of the Company.  Irrespective of anything to the contrary under the U.S. GAAP, for purposes of calculating the Russian Funding, all expenses will be deemed to be incurred at the time of payment and no expense shall be depreciated or amortized over a period of time.

(d)    Notice.  The Company shall provide written notice to RUSNANO of the amount of funding that it provided to RusCo within 60 days of the First Stage, the Second Stage and the Third Stage, as applicable.  

2.6    RusCo Intellectual Property Rights.  At the time the formation of RusCo is complete, the Company shall grant RusCo the right to use intellectual property of the Company, as may be necessary to conduct RusCo’s business.  The Company may require any intellectual property created by RusCo to be assigned to the Company or a designee of the Company.

2.7    Negative Covenants of the Company Regarding RusCo

	
			
	 
	- 4 -
	 

(a)    The Company agrees that it will not, without first obtaining the approval of RUSNANO, take any of the actions described on Schedule 1 attached hereto.

(b)    The Company agrees that it will not, without first obtaining the approval of at least one (1) of the RUSNANO appointees to the RusCo Board of Directors, take any of the actions described on Schedule 2 attached hereto.

(c)    The covenants described in Section 2.7 shall terminate upon the earlier to occur of: (i) a decrease in RUSNANO’s equity ownership of the Company’s securities by fifty-one percent (51%) or more; (ii) the closing of a firm commitment underwritten initial public offering pursuant to an effective registration statement filed under the Securities Act of 1933, as amended, covering the offer and sale of the Company’s Common Stock, provided that the aggregate gross proceeds to the Company are not less than $35,000,000; (iii) a Liquidation Event (as such term is defined in the Company’s Certificate of Incorporation, as may be amended from time to time); or (iv) the completion or termination of Quantenna’s funding obligations in RusCo under this Letter Agreement, provided however that RUSNANO shall retain the right to nominate one member to the RusCo Board.

Section 3  Miscellaneous

3.1    Amendments and Waivers.  The provisions of this Letter Agreement may not be amended, modified or supplemented, and waivers or consents to or departures from the provisions hereof may not be given without the prior written approval of each of the Company and RUSNANO.  

3.2    Notices.  All notices and other communications required or permitted hereunder shall be in writing and shall be mailed by registered or certified mail, postage prepaid, sent by facsimile or electronic mail or otherwise delivered by hand or by messenger addressed:

(a)    if to the Company, one copy should be sent to Quantenna Communications, Inc.,  3450 W. Warren Drive, Fremont, California 94538, Attn: Chief Executive Officer, or at such other address as the Company shall have furnished to RUSNANO, with a copy to Arthur F. Schneiderman, Esq., Wilson Sonsini Goodrich & Rosati, 650 Page Mill Road, Palo Alto, California 94304; and

(b)    if to RUSNANO, at RUSNANO’s address, facsimile number or electronic mail address as shown in the Company’s records.

Each such notice or other communication shall for all purposes of this Letter Agreement be treated as effective or having been given when delivered if delivered personally, or, if sent by mail, at the earlier of its receipt or 5 business days after the same has been deposited with Federal Express with delivery specified within 5 business days of deposit with Federal Express, addressed and mailed as aforesaid or, if sent by facsimile, upon confirmation of facsimile transfer or, if sent by electronic mail, upon confirmation of delivery when directed to the electronic mail address of RUSNANO or the Company.

3.3    Entire Agreement.  This Letter Agreement, and the documents entered into in connection with the Financing and dated as of the date hereof (including, without limitation, the I/V Agreement) constitute the full and entire understanding and agreement between the parties with regard to the subjects hereof. No party hereto shall be liable or bound to any other party in any manner with regard to the subjects hereof or thereof by any warranties, representations or covenants except as specifically set forth herein.

	
			
	 
	- 5 -
	 

3.4    Successors and Assigns.  This Letter Agreement shall inure to the benefit of and be binding upon the successors and assigns of each of the parties, including, without limitation, and without the need for an express assignment. 

3.5    Counterparts.  This Letter Agreement may be executed in any number of counterparts and by the parties hereto in separate counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement.

3.6    Headings.  The headings in this Letter Agreement are for convenience of reference only and shall not limit or otherwise affect the meaning hereof.

3.7    Governing Law.   This Letter Agreement shall be governed in all respects by the internal laws of the State of California as applied to agreements entered into among California residents to be performed entirely within California, without regard to principles of conflicts of law.

3.8    Jurisdiction; Venue.  With respect to any disputes arising out of or related to this Letter Agreement, the parties consent to the exclusive jurisdiction of, and venue in, the state courts in Santa Clara County in the State of California (or in the event of exclusive federal jurisdiction, the courts of the Northern District of California).

3.9    Severability.  In the event that any one or more of the provisions contained herein, or the application thereof in any circumstance, is held invalid, illegal or unenforceable, the validity, legality and enforceability of any such provision in every other respect and of the remaining provisions contained herein shall not be affected or impaired thereby.

3.10    Specific Performance for Section 2.7.  It is agreed and understood that monetary damages would not adequately compensate RUSNANO for the breach of the negative covenants of the Company referenced in Section 2.7(a) and (b) and set forth in Schedule I and Schedule II, respectively, of this Letter Agreement, that the negative covenants referenced in Section 2.7(a) and (b) and set forth in Schedule I and Schedule II, respectively, shall be specifically enforceable, and that any breach of the negative covenants referenced in Section 2.7(a) and (b) and set forth in Schedule I and Schedule II, respectively, shall be the proper subject of a temporary or permanent injunction or restraining order. Further, each party hereto waives any claim or defense that there is an adequate remedy at law for such breach or threatened breach.

**********

	
			
	 
	- 6 -
	 

Very truly yours,

Quantenna Communications, Inc.

/s/ Sam Heidari            
                                  Sam Heidari
                                Chief Executive Officer

ACKNOWLEDGED AND ACCEPTED:

OPEN JOINT STOCK COMPANY “RUSNANO”

By:  /s/ illegible                

Name:                      

Title:                     

RUSCO ISSUES

In furtherance to the Term Sheet for Series F Preferred Stock Financing of Quantenna Communications, Inc. signed by RUSNANO and Quantenna on January 19, 2012, below are the corporate governance outline with respect to proposed Russian subsidiary of Quantenna (the “RusCo”). Final approval of this document is subject to legal review. 

	
			
	1.
    
	RusCo Governance
	General Shareholders Meeting 
Board of Directors 
General Director (Sole Executive Body). 

	2.
    
	Board of Directors
	Five (5) members of the Board of Directors shall be elected by the General Shareholders Meeting for 1 (one) year; and
Rusnano shall be entitled to nominate two (2) of such members of the Board of Directors.  
The Board Meetings shall be convened by the Chairman of the Board of Directors, a Rusnano director shall be the Chairman.  The Chairman shall not have a casting vote at Board Meetings. 
The Board Meetings are eligible (have quorum) if four (4) Board Members are present at the meeting for the issues requiring qualified majority, if three (3) Board Members are present at the meeting for the issues requiring simple majority vote. 
During the voting, each Board Member has one vote. All decisions at the Board meetings shall be made by at least three (3) votes. 

	3.
    
	General Director
	The General Director of RusCo shall be appointed by the RusCo Board of Directors for 1 (one) year. General Director shall perform operating management of RusCo business activity within operating activities in compliance with Business Plan and budget agreed by RusCo Board of Directors. In doing so, he/she shall perform any actions required for the execution of the above duty, except for addressing the issues within the responsibilities of other RusCo governance bodies.

	4.
    
	Independent Auditors
	RusCo shall engage independent auditors from a “Big Four” accounting firm or such other internationally recognized independent auditor firm to be proposed by Rusnano and subject to the reasonable approval of the Company.

	5.
    
	Distribution of Profits
	RusCo profits shall be reinvested in the business or distributed to the Company annually as per the decision of the RusCo Shareholder and recommendations of the RusCo Board of Directors.

	6.
    
	RusCo Investment 
	In order to ensure Rusnano's right to control the targeted use of the Rusnano's funds being invested in RusCo for the purposes of the Project, RusCo will undertake to be governed by the provisions of Monitoring Regulations which are 

	
			
	 
	Funds Control Terms
	to be adopted by RusCo’s Board and pursuant to the terms of the RusCo Account Control Agreement to be entered by RusCo, and which shall be reasonably acceptable to Rusnano. The mechanism for controlling expenditures must provide that:
Bank account agreements may only be entered into, amended or terminated with the prior consent of the   RusCo Board and with Rusnano’s consent; and
Funds may only be debited from the account in accordance with the quarterly budget approved by the RusCo Board.

SCHEDULE 1

COVENANTS IN FAVOR OF RUSNANO
WITH RESPECT TO THE OPERATION OF RUSCO

Without the consent of Rusnano, RusCo shall not undertake any:
	
		
	1.
    
	Amendment of the RusCo charter, including additions thereto, and approval of new revisions of the Charter, including adjustments of the authorized capital of the RusCo;

	2.
    
	Election and anticipatory termination of powers of the Board of Directors Members to be appointed by Rusnano

	3.
    
	Any increase or decrease in the authorized capital of the RusCo in any manner

	4.
    
	Decisions on placement by the RusCo of bonds and other issued securities

	5.
    
	Decisions on payment of remuneration and/or reimbursement of expenses related to performance of obligations by members of the Board of Directors of RusCo during the period of performance of obligations, as well as determination of the size of such remuneration and reimbursement

	6.
    
	Determination to change the main line of business of RusCo

	
		
	7.
    
	Decisions on approval by RusCo of interested party transactions in accordance with Article 45 of the Federal Law "On Limited Liability Companies", if the paid amount of the transaction exceeds 2% of the equity value, determined in the accounting report for the last accounting period

	8.
    
	Decisions on approval by RusCo of major transactions, related to acquisition, alienation or possibility of alienation of the property by RusCo, directly or indirectly, if its value exceeds the aggregate of 50% of the book value of net assets of RusCo as determined basing on financial statements as of the last reporting date at the date of approval of such transaction

	9.
    
	Decisions on delegation, termination or limitation of auxiliary rights and  obligations to participant(s) of the RusCo, including of a particular participant of RusCo

	10.
    
	Decisions on RusCo's approval of pledge of a share or a part of a share of a participant in the authorized capital of RusCo to a third party (third parties)

	11.
    
	Decisions on RusCo's of the real value of the share or a part of the share by the remaining participants of the RusCo to the creditors of the participant, the share whereof is levied execution upon

	12.
    
	Decisions on RusCo's payment of the real value of the share or a part of the share, which is levied execution upon, against debt of the participant of the RusCo

	13.
    
	Decision on allocation of a share of the RusCo or a part thereof among all participants of the RusCo in proportion to their shares in the authorized capital of the RusCo

	14.
    
	Decision on the offer to sell a share of the RusCo or a part thereof to all or certain participants of the RusCo (with no subsequent changes in the shares of the RusCo's participants or with subsequent changes in the shares of the RusCo's participants) or to the third parties. Determination of the price of the share of the RusCo or a part of the share to be sold different from the price, at which the RusCo has acquired such a share

	15.
    
	Decisions on making contributions to RusCo's property

The following matters shall be reserved to the decision of the RusCo Board of Directors to be taken by 4 votes of 5, and, without the consent of such Board, there shall be no undertaking by or on behalf of RusCo of any:

	
		
	1.
    
	Decisions on passing a proposal of voluntary liquidation of RusCo and appointment of liquidation commission

	2.
    
	Recommendations for the general meeting of shareholders as to allocation of net profit of RusCo between the shareholders

	3.
    
	Recommendations for the general meeting of shareholders as to allocation of profits and losses of RusCo as per results of the financial year

	4.
    
	Recommendations for the general meeting of shareholders as to the list and size of funds formed out of RusCo's net profit

	5.
    
	Approval of and amendments to the quarterly budgets of RusCo

	6.
    
	Approval of and amendments to RusCo's business plans and quarterly budgets, or other similar documents, based whereon RusCo business is finances, and reporting documents on cash spending

	7.
    
	Identification of inappropriate use of the funds of RusCo, determination of the amount of such inappropriate use of the funds

	8.
    
	Use of reserved and other funds of RusCo.

	9.
    
	Forming and liquidation of branches and representative offices of RusCo, approval of regulations on branches and representative offices, and making amendments and additions thereto

	10.
    
	Preliminary approval of annual reports and annual accounting balance sheets of RusCo

	11.
    
	Decisions on selection of the independent auditor of RusCo's financial and economic activity and assignment of the audit

	12.
    
	Approval of the maximum authorized staff, maximum average wage of main RusCo's divisions, determined within the budget of RusCo

	13.
    
	Approval of the annual payroll fund of RusCo and its bonus system

	
		
	14.
    
	Approval and amendment of RusCo's Accounting policy, timely provision of the annual report and other accounting reports to the respective bodies and information on RusCo's activity to other interested parties

	15.
    
	Approval of an independent appraiser (appraisers) to determine value of the share and assets of RusCo in cases stipulated by law and RusCo’s charter and by some certain decision of the Board of Directors of RusCo

	16.
    
	Approval of internal control procedures for financial and economic activity of RusCo

	17.
    
	Approval of the regulation on internal economic control, in-house audit, and inspections

	18.
    
	Initiating/settlement of any judicial disputes if the price exceeds the largest of: 500,000.00 Roubles (or an equivalent in other currency) or other judicial disputes material for RusCo's business, as well as decisions on referring such disputes to arbitration courts, execution of settlement agreement, acceptance of claims, denial of claims, as well as any other legal proceedings

	19.
    
	Decisions on approval by RusCo of interested party transactions in accordance with Article 45 of the Federal Law "On Limited Liability Companies", if the payment thereunder does not exceed 2% of the property of RusCo based on the book value of net assets of RusCo as determined basing on financial statements as of the last reporting date

	20.
    
	Decision on approval by RusCo of major transactions, save as major transactions, approval whereof remains within the competence of the General Meeting of Shareholders of RusCo

	21.
    
	Approval of transactions related to acquisition, alienation and possibility to alienate by RusCo of immovable property the aggregate of 5,000,000 Roubles or an equivalent amount in any other currency at the date of execution, amendment or termination of the transaction

	22.
    
	Approval of transactions related to acquisition, alienation and possibility to alienate, encumbrance and possibility to encumber by RusCo of exclusive and/or individualization means (save as acquisition of rights to use applications), except the transactions with the Company’s Shareholder

	23.
    
	Approval of transactions related to monetary disbursements and/or acquisition, alienation and possibility to alienate by RusCo of property, if its value exceeds within one transaction or a series of interrelated transactions the aggregate of 7,000,000 Roubles or an equivalent amount in any other currency at the date of execution, amendment or termination of the transaction

	
		
	24.
    
	Approval of transactions related to extension or receipt by RusCo of loans, credits and sureties securing obligations of third parties if the paid amount exceeds 15,000,000 Roubles

	25.
    
	Approval of a bill transaction, including issuance by RusCo of the bills, endorsements, bill sureties, and payments irrespective of amounts

	26.
    
	Approval of transactions of rent or other term or indefinite use of RusCo's property of over 7,000,000 Roubles.

	27.
    
	Decisions on transactions related to:
(i) acquisition, alienation and possibility to alienate stock (shares, and instruments in the authorized or share capital) in other commercial organizations;
(ii) termination of participation or decrease of shares in an authorized or share capital of the other company, alienation of shares and instruments in the authorized or share capital of other organizations; and also on disposition by any other means, including encumbrance, of stocks and shares of other organizations 

	28.
    
	Decisions on conclusion by RusCo of simple partnership agreements

	29.
    
	Approval of the conclusion, amendment and termination of the bank account agreement, bank deposit agreement, settlement and cash services agreement and other agreements with credit organizations (banks), including approval of the terms of such agreements

	30.
    
	Decision on issuing a power of attorney on behalf of RusCo, if such power of attorney authorizes a person to close transactions, which should be approved by the General Meeting of the Shareholders or by the Board of Directors

	31.
    
	Early termination of powers of the sole executive body of RusCo in case of inappropriate use of investments funds in the amount of 1,000,000.00 Roubles or non-performance of the quarterly budget, approved by the Board of Directors of RusCo, in the amount exceeding 10,000,000.00 Roubles during 2 quarters subsequently

	32.
    
	Forming of the sole executive body of RusCo and early termination of the powers of the sole executive body

	33.
    
	Decision on suspension of the powers of the management organization (manager) of RusCo

	
		
	34.
    
	Approval of employment contract with the person acting as the sole executive body of RusCo, including terms of remuneration and other payments and compensations, amendments and additions to the contract, as well as termination thereof including early termination

	
		
	35.
    
	Decisions on monetary incentive for the general director, holding the director liable

	36.
    
	Imposing employment functions of temporarily absent general director to one of the board members

	37.
    
	Approval of the financial director, chief accountant; approval of the agreements with the above mentioned persons, including remuneration and other payments and compensations, making amendments and additions thereto

	38.
    
	Preliminary approval of labor agreements of personnel of RusCo, providing annual income of an employee, exceeding 2,000,000 Roubles, including remuneration and other payments and compensations, making amendments and additions thereto

	39.
    
	Decisions on forming of commercial organizations

	40.
    
	Decisions on participation and termination of participation in non-commercial organizations

	41.
    
	Decision on use of rights, attached to stocks and shares in the authorized or share capital of other legal entities, held by RusCo, including:
•    decisions on the agenda of general meetings of such commercial organizations;
•    appointment of persons, representing RusCo's interests at the general meetings of such commercial organizations, including voting instructions;
•    proposing candidates to the executive bodies and to managing other bodies of the commercial organizations where RusCo is a participant

	42.
    
	Decisions on encumbrance of stock and shares in the authorized or share capital of other legal entities held by RusCo

	43.
    
	Election of the board's chairman and early termination of the powers thereof

	44.
    
	Approval of the corporate secretary of RusCo and/or secretary of the board of directors

	45.
    
	Approval of employment contract with the corporate secretary and/or secretary of the board of directors of RusCo, and passing amendments and additions thereto

	
		
	46.
    
	Preliminary consent with RusCo's using its priority right to purchase a share or a part of the 

	 
	share in RusCo's authorized capital, or RusCo's refusal to exercise this right

	47.
    
	Other questions of competence of the Board of Directors, according to the Charter and the Russian legislation

	
		
	On behalf of Rusnano: 
	On behalf of the Company:

	_______________________________
	_______________________________

	By: Georgy Kolpachev

	By: Sam Heidari

	Date:
	Date:

July 09, 2014

Open Joint Stock Company "RUSNANO"
10A prospect 60-letiya Octyabrya
Moscow 117036 Russia
Attn: Dmitry Akhanov

Re:    Agreement Regarding Investment in Convertible Promissory Notes

Mr. Akhanov:

This amended and restated letter agreement (this "Letter Agreement") will confirm our agreement that in connection with its investment in Quantenna Communications, Inc.'s (the "Company") Convertible Promissory Notes (the "Notes"), and for other good and valuable consideration, the receipt and sufficiency are hereby acknowledged, Open Joint Stock Company "RUSNANO" will be entitled to certain additional rights with respect to its shares of Series F-1 Preferred Stock (and Series F-2 Preferred Stock, as applicable) and the Notes, as described below.

WHEREAS, the Company and Rusnano are parties to that certain letter agreement dated as of April 16 , 2012 (the "Prior Agreement") and each of the Company and Rusnano wish to amend and restate the Prior Agreement.

NOW THEREFORE, in consideration of the mutual promises and covenants herein, the parties hereto agree to amend and restate the Prior Agreement as follows:

Section 1 Board Observer

1.1    Board Observer Right

(a)    A representative or agent of RUSNANO (the "Board Observer") shall be entitled to attend and participate in all meetings of the Company' s Board of Directors (the "Board"). The Board Observer shall be entitled to ask questions of and have discussions with the Company's management and members of the Board for a reasonable period of time. The Company shall give the Board Observer copies of all notices, agendas, actions and other materials that the Company provides to the Board for the open session, at the same time such materials are provided to the Board. Notwithstanding the foregoing, the Company reserves the right to withhold any information and to exclude the Board Observer from any meeting or portion thereof if: (1) access to such information or attendance at such meeting would adversely affect the attorney-client privilege between the Company and its counsel (other than the presence of attorneys for minute taking and general purposes); or (2) access to such information or attendance at such meeting would result in a conflict of interest between RUSNANO or the Board Observer and the Company. Any decision to exclude the Board Observer from any Board meeting, or portion thereof, shall be made in good faith, and limited to the highest extent practicable, with a view towards providing RUSNANO with the maximum appropriate presence affordable at such meetings.

(b)    Upon reasonable written notice to the Company, the Board Observer shall be entitled to visit the Company' s properties, examine its books and records, and discuss the Company's business and prospects with its officers and key employees; provided, however, that access to highly confidential proprietary information and facilities may be withheld at the Company's reasonable discretion.

(c)    RUSNANO  shall  have  the  right  to  select  its  Board  Observer,  and  such  Board

	
			
	 
	- 1 -
	 

Observer may change from time to time upon prior written notice provided by RUSNANO to the Company.

1.2     Confidentiality. RUSNANO agrees, and any representative of RUSNANO that serves as the Board Observer will agree, to hold in confidence and trust and not to disclose any and all information provided to it or learned by it in connection with its rights under Section 1.1 of this letter, except to the extent otherwise required by law, any court of competent jurisdiction, any governmental official or regulatory body and any other regulatory process to which RUSNANO is subject or the rules or regulations of any applicable stock exchange. Notwithstanding the foregoing, the obligation of confidentiality shall not apply to Company confidential information that: (i) is publicly available at the time of its disclosure under Section 1.1; (ii) becomes publicly available following disclosure under Section 1.1 (other than as a result of disclosure by RUSNANO or the Board Observer); (iii) was lawfully in the possession of RUSNANO or the Board Observer prior to disclosure under Section 1.1 (as can be demonstrated by such person's written records or other reasonable evidence) from a source free of any restriction as to its use or disclosure prior to its being so disclosed; or (iv) following disclosure under Section 1.1, becomes available to RUSNANO or the Board Observer from a different source (as can be demonstrated by such person's written records or other reasonable evidence), which source is not bound by any obligation of confidentiality in relation to such information. Additionally, RUSNANO may disclose Company confidential information: (x) to its attorneys, accountants, consultants, and other professionals to the extent necessary to obtain their services in connection with monitoring its investment in the Company; or (y) to those personnel within RUSNANO who are engaged in RUSNANO's venture capital activities, provided in each case that RUSNANO informs such personnel that such information is confidential, and remains responsible to the Company for such personnel maintaining the confidentiality of such information. If the Board Observer is required to execute any written confidentiality agreement in connection with the exercise of the rights of the Board Observer described in this Section 1, the confidentiality terms of such agreement shall in no event be more restrictive than the terms of this Section 1.2.

1.3    Termination of Board Observer Right. The rights described in this Section 1 shall terminate and be of no further force or effect upon the earlier of the date of: (a) the closing of the sale of the Company securities pursuant to a registration statement filed by the Company under the Securities Act of 1933, as amended, in connection with the firm commitment underwritten offering of its securities to the general public, covering the offer and sale of the Company's Common Stock, provided that the aggregate gross proceeds to the Company are not less than $35,000,000 (an "IPO"); (b) when the Company first becomes subject to the periodic reporting requirement of Sections 12(g) or 15( d) of the Securities Exchange Act of 1934, as amended; (c) a decrease in RUSNANO's equity ownership of the Company's securities by seventy-five percent (75%) or more as determined as of the effective date of the Prior Agreement; or (d) a Liquidation Event (as such term is defined in the Company's Certificate of Incorporation, as may be amended from time to time), which ever event shall occur first. The confidentiality provision hereof will survive any such termination.

Section 2  Company Obligations Regarding the Russian Subsidiary

2.1    Creation and Funding of Russian Subsidiary. On August 29, 2012, the Company formed a Russian Subsidiary under the name Limited Liability Company "Quantenna Communications" ("RusCo") as a wholly owned subsidiary of the Company incorporated in the Russian Federation. The Company will use commercially reasonable efforts to operate RusCo in compliance with the provisions and requirements of RusCo's corporate structure as described on Exhibit A attached hereto. "Russian Funding" for purposes of this Letter Agreement shall include cash transfers from the Company to RusCo, plus unreimbursed expenses allocated to RusCo by the Company as described in Section 2.2. The Company agrees to allocate a budget to RusCo in an aggregate amount of $13 million, with the Russian

	
			
	 
	- 2 -
	 

Funding to be provided to RusCo and/or to be spent by the Company according to Section 2.2 as follows:

	
		
	Fund Date:
	Investment Amount

	 
	 

	December 31, 2014 ("Period 1")
	$2,200,000.00

	 
	 

	December 31, 2015 ("Period 2") 
	$1,700,000.00

	 
	 

	December 31, 2016 ("Period 3")
	$2,000,000.00

	 
	 

	December 31, 2017 ("Period 4")
	$2,200,000.00

	 
	 

	December 31, 2018 ("Period 5")
	$2,400,000.00

	 
	 

	December 31, 2019 ("Period 6")
	$2,500,000.00

	 
	 

	Total
	$13,000,000.00

The Russian Funding shall be approved by the Board of Directors of the Company (the "Board"). The Company agrees to provide Russian Funding in the applicable Investment Amount on or before the applicable Fund Date for each Period as set forth above.

2.2    Provision of Russian Funding. All Company cash transfers for equity investments in RusCo and for funding RusCo operations in Russia, as well as certain Company expenditures related to RusCo (as provided by this clause), will be included in the Russian Funding. Company expenditures related to RusCo shall include expenditures related to the operation, oversight, and support of RusCo. Such expenditures incurred at the Company for RusCo shall not exceed 20% of the applicable Investment Amount, unless otherwise agreed to by vote of the RusCo Board, and may include employee compensation including benefits, taxes, other employee related matters, capital expenses, deposits, prepaids, other assets, software, hardware equipment, tapeouts, rent, office supplies, utilities, taxes, legal, accounting, and any and all other necessary related operational expenses, as determined by the Board. With respect to project expenses, such as tapeout costs, involving the collaboration of RusCo and the Company, a fraction of the expenditure in such projects shall count towards the Russian Funding equivalent to the fraction of all engineers involved in the project that are RusCo engineers (subject to total 20% limit provided above). All other expenditures by RusCo not otherwise described above shall be included in the Russian Funding. The RusCo Expenses shall be pre-approved by the Board.

2.3Reserved. 

2.4Basic Financial Information and Inspection Rights. The Company shall record the allocation of the Russian Funding to RusCo separately on the Company's books and records (the "RusCo Financial Information"). RUSNANO shall be entitled to (a) review the RusCo Financial Information, as soon as practicable, but in any event within ninety (90) days, after the end of each fiscal year of the Company and (b) initiate an independent financial audit of the RusCo Financial Information for each fiscal year, with such independent financial audit to be conducted by independent public accountants of nationally recognized standing, to be mutually agreed upon by the Company and RUSNANO. Any costs incurred in connection with such independent financial audit shall be borne fifty percent (50%) by RUSNANO and fifty percent (50%) by the Company. 

	
			
	 
	- 3 -
	 

2.5Liability in Connection with the Russian Funding

(a)    Penalty for Failure to Fund. By March 31st of each year, the Company and Rusnano will calculate the amount of Russian Funding actually transferred by the Company to RusCo for such applicable Period (the "Actual Funding Amount"). In the event that the Company fails to meet its funding obligations to RusCo for such Period (as set forth in Section 2.1 above), the Company shall pay a one-time penalty fee to RUSNANO (the "Penalty"), calculated as follows :

Penalty =  10% x (0.8 x A -  B)

Where:

A = The Investment Amount

B = The Actual Funding Amount

For the avoidance of doubt, a separate penalty shall be assessed for each fiscal year during which the Company fails to meet its funding obligations to RusCo as set forth in Section 2.1.

(b)    Cure Period. No Penalty for any Period shall apply if the applicable Russian Funding shortfall is cured within one (1) calendar quarter after the applicable fiscal year (the "Cure Period"). If the Company and RUSNANO disagree as to whether there has been shortfall for the applicable fiscal year, after the respective Cure Period, either party may initiate an independent financial audit of the RusCo Financial Information, with such independent financial audit to be conducted by independent public accountants of nationally recognized standing, to be mutually agreed upon by the Company and RUSNANO. Any costs incurred in connection with such independent financial audit shall be borne equally by RUSNANO and the Company. Following the Cure Period and the audit, if applicable, the Company shall pay the applicable Penalty to RUSNANO within one calendar quarter thereafter. Funding shall include all expenses in accordance with U.S. GAAP, in addition to capital expenditures (versus depreciation/amortization), deposits, prepaids and other assets, certified by the Chief Executive Officer and the Chief Financial Officer of the Company.

(c)    Notice. The Company shall provide written notice to RUSNANO of the amount of funding that it provided to RusCo within 60 days of each applicable Period as set forth in Section 2.1.

(d)    The penalties described in Section 2.5(a) shall be RUSNANO's only recourse against Company, its affiliates, or assigns in the event Company does not meet its obligations under Section 2 "Company Obligations Regarding the Russian Subsidiary" of this Letter Agreement.

2.6RusCo Intellectual Property Rights. The Company shall grant RusCo the right to use intellectual property of the Company, as may be necessary to conduct RusCo's business. The Company may require any intellectual property created by RusCo to be assigned to the Company or a designee of the Company. 

2.7Negative Covenants of the Company Regarding RusCo 

(a)    The Company agrees that it will not, without first obtaining the approval of RUSNANO, take any of the actions described on Schedule 1 attached hereto.

(b)    The Company agrees that it will not, without first obtaining the approval of at least one (1) of the RUSNANO appointees to the RusCo Board of Directors, take any of the actions described

	
			
	 
	- 4 -
	 

on Schedule 2 attached hereto .

(c)The covenants described in Section 2.7 shall terminate upon the earlier to occur of: (i) a decrease in RUSNANO's equity ownership of the Company's securities by fifty-one percent (51%) or more; (ii) the closing of a firm commitment underwritten initial public offering pursuant to an effective registration statement filed under the Securities Act of 1933, as amended, covering the offer and sale of the Company' s Common Stock, provided that the aggregate gross proceeds to the Company are not less than $35,000,000; (iii) a Liquidation Event (as such term is defined in the Company's Certificate of Incorporation, as may be amended from time to time); or (iv) the completion or termination of the Company's funding obligations in RusCo under this Letter Agreement, provided however that RUSNANO shall retain the right to nominate one member to the RusCo Board. 

2.8.Affirmative Covenants of the Company Regarding RusCo 

(a)The Company and RUSNANO agree the Russian Funding for Period 1 shall include up to $2,200,000 for services rendered prior to December 31, 2014 pursuant to that certain Services of Development, Adaptation, Modification of Computer Software Agreement entered into by and between the Company and Luxoft Professional LLC ("Luxoft") dated as of July 10, 2013 and that certain Dedicated Center Services of Development, Adaptation, Modification of Computer Software Agreement entered into by and between the Company and Luxoft dated as of July 10, 2013; provided, however, that the Company and RUSNANO hereby further agree that if the Company fails to comply with the covenant set forth in Subsection 2.8(b) below, then the Russian Funding for Period 1 shall not include any amounts paid to Luxoft for services, as contemplated by the initial clause of this Subsection 2.8(a).

(b)The Company agrees to transfer at least thirteen employees from Luxoft to RusCo on or before January 31, 2015 .

(c)The Company and RUSNANO agree that the expenses listed in Appendix B attached hereto shall be considered Russian Funding for Period 1.

2.9.Termination for Political Factors

If, due to political factors between the United States and the Russian Federation, such as sanctions, regulations, laws, or other political actions (the "Sanctions") taken by one country directly against the other, either:

(i) the Company will become prohibited to provide the Russian Funding, and performance of such obligation will be deemed as direct violation of mandatory provisions of the Sanctions; 

(ii) the Company becomes prohibited from transferring assets, funds, or intellectual property to RusCo or RusCo becomes prohibited from accepting assets, funds, or intellectual property from the Company; 

(iii) RusCo becomes prohibited from providing services for the Company or the Company becomes prohibited from accepting services from RusCo; or 

(iv) Company employees become unable to obtain a visa or are otherwise prohibited from visiting the Russian Federation or RusCo employees become unable to obtain a visa or are otherwise prohibited from visiting the United Stated; 

then the Company shall be free, upon prior reasonable (but in any case not less than 30 days,

	
			
	 
	- 5 -
	 

unless the Sanctions require earlier action) notice to RUSNANO, from the obligations according to Section 2 of this Letter Agreement with no further liability.

Given the provisions of applicable Sanctions, the Company and RUSNANO shall take all reasonable actions necessary to renegotiate certain provisions of this Letter Agreement affected by the Sanctions. The Company's obligations according to Section 2 of this Letter Agreement will be suspended for the period of the Sanctions and shall resume within a reasonable amount of time after the Sanctions have been cancelled, unless otherwise agreed by the Parties, provided that if the sanctions last longer than 9 months then the obligations under Section 2 shall terminate permenantly.

Section 3  Miscellaneous

3.1.Amendments and Waivers. The provisions of this Letter Agreement may not be amended, modified or supplemented, and waivers or consents to or departures from the provisions hereof may not be given without the prior written approval of each of the Company and RUSNANO. 

3.2.Notices. All notices and other communications required or permitted hereunder shall be in writing and shall be mailed by registered or certified mail, postage prepaid, sent by facsimile or electronic mail or otherwise delivered by hand or by messenger addressed: 

(a)if to the Company, one copy should be sent to Quantenna Communications, Inc., 3450 W. Warren Drive, Fremont, California 94538, Attn: Chief Executive Officer, or at such other address as the Company shall have furnished to RUSNANO, with a copy to Arthur F. Schneiderman, Esq., Wilson Sonsini Goodrich & Rosati, 650 Page Mill Road, Palo Alto, California 94304; and

(b)if to RUSNANO, at RUSNANO's address, facsimile number or electronic mail address as shown in the Company's records.

Each such notice or other communication shall for all purposes of this Letter Agreement be treated as effective or having been given when delivered if delivered personally, or, if sent by mail, at the earlier of its receipt or 5 business days after the same has been deposited with Federal Express with delivery specified within 5 business days of deposit with Federal Express, addressed and mailed as aforesaid or, if sent by facsimile, upon confirmation of facsimile transfer or, if sent by electronic mail, upon confirmation of delivery when directed to the electronic mail address of RUSNANO or the Company.

3.3.Entire Agreement. This Letter Agreement, and the documents entered into in connection with the Note and dated as of the date hereof (including, without limitation, the I/V Agreement) constitute the full and entire understanding and agreement between the parties with regard to the subjects hereof. No party hereto shall be liable or bound to any other party in any manner with regard to the subjects hereof or thereof by any warranties, representations or covenants except as specifically set forth herein. 

3.4.Successors and Assigns. This Letter Agreement shall inure to the benefit of and be binding upon the successors and assigns of each of the parties, including, without limitation, and without the need for an express assignment. 

3.5.Counterparts. This Letter Agreement may be executed in any number of counterparts and by the parties hereto in separate counterparts, each of which when so executed shall be deemed to be an original and all of which taken together shall constitute one and the same agreement. 

	
			
	 
	- 6 -
	 

3.6.Headings. The headings in this Letter Agreement are for convenience of reference only and shall not limit or otherwise affect the meaning hereof. 

3.7.Governing Law. This Letter Agreement shall be governed in all respects by the internal laws of the State of California as applied to agreements entered into among California residents to be performed entirely within California, without regard to principles of conflicts of law. 

3.8.Jurisdiction; Venue. With respect to any disputes arising out of or related to this Letter Agreement, the parties consent to the exclusive jurisdiction of, and venue in, the state courts in Santa Clara County in the State of California (or in the event of exclusive federal jurisdiction, the courts of the Northern District of California). 

3.9.Severability. In the event that any one or more of the provisions contained herein, or the application thereof in any circumstance, is held invalid, illegal or unenforceable, the validity, legality and enforceability of any such provision in every other respect and of the remaining provisions contained herein shall not be affected or impaired thereby. 

3.10.Specific Performance for Section 2. 7. It is agreed and understood that monetary damages would not adequately compensate RUSNANO for the breach of the negative covenants of the Company referenced in Section 2.7(a) and (b) and set forth in Schedule I and Schedule II, respectively, of this Letter Agreement, that the negative covenants referenced in Section 2. 7( a) and (b) and set forth in Schedule I and Schedule II, respectively, shall be specifically enforceable, and that any breach of the negative covenants referenced in Section 2.7(a) and (b) and set forth in Schedule I and Schedule II, respectively, shall be the proper subject of a temporary or permanent injunction or restraining order. Further, each party hereto waives any claim or defense that there is an adequate remedy at law for such breach or threatened breach.

**********

	
			
	 
	- 7 -
	 

Very truly yours,

Quantenna Communications, Inc.

/s/ Sam Heidari_________________
Sam Heidari
Chief Executive Officer

ACKNOWLEDGED AND ACCEPTED:

OPEN JOINT STOCK COMPANY "RUSNANO"

By: ____________________________________

Name: __________________________________

Title: ___________________________________

Very truly yours,

Quantenna Communications, Inc.

_______________________________
Sam Heidari
Chief Executive Officer

ACKNOWLEDGED AND ACCEPTED:

OPEN JOINT STOCK COMPANY "RUSNANO"
	
					
	/s/ Yuri Udaltsov
	 
	 
	 

	By:
	Yuri Udaltsov
	

	Acting on the basis of the power of attorney #3-559

	dated February 12, 2014/
	

	
	No3-559 or 12
	
	 

RUSCO ISSUES

Below are the corporate governance guidelines with respect to Limited Liability Company "Quantenna Communications", a wholly owned subsidiary of Quantenna incorporated in the Russian Federation ("RusCo").

	
				
	1.
	 
	 
	General Shareholders Meeting

Board of Directors

General Director (Sole Executive Body).

	 
	RusCo 
Governance
	 

	 
	 
	 

	 
	 
	 
	 

	2.
	 
	 
	Five  (5)  members  of the  Board  of Directors  shall  be  elected  by  the  General Shareholders Meeting for 1 (one) year; and

Rusnano shall be entitled to nominate two (2) of such members of the Board of Directors.

The Board Meetings shall be convened by the Chairman of the Board of Directors, a Rusnano director shall be the Chairman.  The Chairman shall not have a casting vote at Board Meetings.

The  Board Meetings are eligible (have quorum)  if four (4) Board Members are present at the meeting for the issues requiring qualified majority, if three (3) Board Members are present at the meeting for the issues requiring simple majority vote.

During the voting, each Board Member has one vote. All decisions at the Board meetings shall be made by at least three (3) votes.

	 
	Board of 
Directors
	 

	 
	 
	 

	 
	 
	 
	 

	3.
	 
	 
	The  General  Director  of RusCo  shall  be  appointed  by  the  RusCo  Board  of  Directors for 1 (one) year. General Director shall perform operating management of RusCo business activity within operating activities in compliance with Business Plan and budget agreed by RusCo Board of Directors.  In doing so,  he/she shall perform  any  actions  required  for  the  execution  of the  above  duty,  except  for addressing the issues within the responsibilities of other RusCo governance bodies.

	 
	General
Director
	 

	 
	 
	 

	 
	 
	 
	 

	4.
	 
	 
	RusCo shall engage independent auditors from  a "Big Four" accounting firm  or such other internationally recognized independent auditor firm to be proposed by Rusnano and subject to the reasonable approval of the Company.

	 
	Independent
Auditors
	 

	 
	 
	 
	 

	5.
	 
	 
	RusCo profits shall be reinvested in the business or distributed to the Company annually as per the decision of the RusCo Shareholder and recommendations of the RusCo Board of Directors.

	 
	Distribution of
Profits
	 

	 
	 
	 
	 

	6.
	 
	 
	In order to ensure Rusnano's right to control the targeted use of the Rusnano's funds being invested in RusCo for the purposes of the Project, RusCo will undertake to be governed by the provisions of Monitoring Regulations which are to be adopted by RusCo' s Board and pursuant to the terms of the RusCo Account Control Agreement to be entered by RusCo, and which shall be reasonably

	 
	RusCo
Investment
Funds Control
	 

	
				
	 
	Terms
	 
	acceptable to Rusnano. The mechanism for controlling expenditures must provide that:

Bank account agreements may only be entered into, amended or terminated with the prior consent of the RusCo Board and with Rusnano's consent; and

Funds may only be debited from the account in accordance with the quarterly budget approved by the RusCo Board.

	 
	 
	 

SCHEDULE 1

COVENANTS IN FAVOR OF RUSNANO

WITH RESPECT TO THE OPERATION OF RUSCO

Without the consent of Rusnano, RusCo shall not undertake any:

	
		
	1.
	

Amendment of the RusCo charter, including additions thereto, and approval of new revisions of the Charter, including adjustments of the authorized capital of the RusCo;

	2.
	

Election and anticipatory termination of powers of the Board of Directors Members to be appointed by Rusnano

	3.
	

Any increase or decrease in the authorized capital of the RusCo in any manner

	4.
	

Decisions on placement by the RusCo of bonds and other issued securities

	5.
	

Decisions on payment of remuneration and/or reimbursement of expenses related to performance of obligations by members of the Board of Directors of RusCo during the period of performance of obligations, as well as determination of the size of such remuneration and reimbursement

	6.
	

Determination to change the main line of business of RusCo

	7.
	

Decisions on approval by RusCo of interested party transactions in accordance with Article 45 of the Federal Law "On Limited Liability Companies", if the paid amount of the transaction exceeds 2% of the equity value, determined in the accounting report for the

	
		
	 
	last accounting period

	8.
	

Decisions on approval by RusCo of major transactions, related to acquisition, alienation or possibility of alienation of the property by RusCo, directly or indirectly, if its value exceeds the aggregate of 50% of the book value of net assets of RusCo as determined basing on financial statements as of the last reporting date at the date of approval of such transaction

	9.
	

Decisions on delegation, termination or limitation of auxiliary rights and obligations to participant(s) of the RusCo, including of a particular participant of RusCo

	10.
	

Decisions on RusCo's approval of pledge of a share or a part of a share of a participant in the authorized capital of RusCo to a third party (third parties)

	11.
	

Decisions on RusCo's of the real value of the share or a part of the share by the remaining participants of the RusCo to the creditors of the participant, the share whereof is levied execution upon

	12.
	

Decisions on RusCo's payment of the real value of the share or a part of the share, which is levied execution upon, against debt of the participant of the RusCo

	13.
	

Decision on allocation of a share of the RusCo or a part thereof among all participants of the RusCo in proportion to their shares in the authorized capital of the RusCo

	14.
	

Decision on the offer to sell a share of the RusCo or a part thereof to all or certain participants of the RusCo (with no subsequent changes in the shares of the RusCo's participants or with subsequent changes in the shares of the RusCo 's participants) or to the third parties. Determination of the price of the share of the RusCo or a part of the share to be sold different from the price, at which the RusCo has acquired such a share

	15.
	

Decisions on making contributions to RusCo 's property

[Schedule II]

The following matters shall be reserved to the decision of the RusCo Board of Directors to be taken by 4 votes of 5, and, without the consent of such Board, there shall be no undertaking by or on behalf of RusCo of any:

	
		
	1.
	

Decisions on passing a proposal of voluntary liquidation of RusCo and appointment of

	
		
	 
	liquidation commission

	2.
	

Approval of and amendments to the quarterly budgets of RusCo

	3.
	

Approval of and amendments to RusCo's business plans and quarterly budgets, or other similar documents, based whereon RusCo business is finances, and reporting documents on cash spending

	4.
	

Identification of inappropriate use of the funds of RusCo, determination of the amount of such inappropriate use of the funds

	5.
	

Use of reserved and other funds of RusCo.

	6.
	

Forming and liquidation of branches and representative offices of RusCo, approval of regulations on branches and representative offices, and making amendments and additions thereto

	7.
	

Preliminary approval of annual reports and annual accounting balance sheets of RusCo

	8.
	

Decisions on selection of the independent auditor of RusCo's financial and economic activity and assignment of the audit

	9.
	

Approval of the maximum authorized staff, maximum average wage of main RusCo's divisions, determined within the budget of RusCo

	10.
	

Approval of the annual payroll fund of RusCo and its bonus system

	11.
	

Approval and amendment of RusCo's Accounting policy, timely provision of the annual report and other accounting reports to the respective bodies and information on RusCo's activity to other interested parties

	12.
	

Approval of an independent appraiser (appraisers) to determine value of the share and assets of RusCo in cases stipulated by law and RusCo's charter and by some certain decision of the Board of Directors of RusCo

	13.
	

Approval of internal control procedures for financial and economic activity of RusCo

	14.
	

Approval of the regulation on internal economic control, in-house audit, and inspections

	
		
	15.
	

Initiating/settlement of any judicial disputes if the price exceeds the largest of: 500,000.00 Roubles (or an equivalent in other currency) or other judicial disputes material for RusCo's business, as well as decisions on referring such disputes to arbitration courts, execution of settlement agreement, acceptance of claims, denial of claims, as well as any other legal proceedings

	16.
	

Decisions on approval by RusCo of interested party transactions in accordance with Article 45 of the Federal Law "On Limited Liability Companies", if the payment thereunder does not exceed 2% of the property of RusCo based on the book value of net assets of RusCo as determined basing on financial statements as of the last reporting date

	17.
	

Decision on approval by RusCo of major transactions, save as major transactions, approval whereof remains within the competence of the General Meeting of Shareholders of RusCo

	18.
	

Approval of transactions related to acquisition, alienation and possibility to alienate by RusCo of immovable property the aggregate of 5,000,000 Roubles or an equivalent amount in any other currency at the date of execution, amendment or termination of the transaction

	19.
	

Approval of transactions related to acquisition, alienation and possibility to alienate, encumbrance and possibility to encumber by RusCo of exclusive and/or individualization means (save as acquisition of rights to use applications), except the transactions with the Company's Shareholder

	20.
	

Approval of transactions related to monetary disbursements and/or acquisition, alienation and possibility to alienate by RusCo of property, if its value exceeds within one transaction or a series of interrelated transactions the aggregate of 7,000,000 Roubles or an equivalent amount in any other currency at the date of execution, amendment or termination of the transaction

	21.
	

Approval of transactions related to extension or receipt by RusCo of loans, credits and sureties securing obligations of third parties if the paid amount exceeds 15,000,000 Roubles

	22.
	

Approval of a bill transaction, including issuance by RusCo of the bills, endorsements, bill sureties, and payments irrespective of amounts

	23.
	

Approval of transactions of rent or other term or indefinite use of RusCo's property of over 7,000,000 Roubles.

	
		
	24.
	

Decisions on transactions related to:

(i) acquisition, alienation and possibility to alienate stock (shares, and instruments in the authorized or share capital) in other commercial organizations; 

(ii) termination of participation or decrease of shares in an authorized or share capital of the other company, alienation of shares and instruments in the authorized or share capital of other organizations; and also on disposition by any other means, including encumbrance, of stocks and shares of other organizations

	25.
	

Decisions on conclusion by RusCo of simple partnership agreements

	26.
	

Approval of the conclusion, amendment and termination of the bank account agreement, bank deposit agreement, settlement and cash services agreement and other agreements with credit organizations (banks), including approval of the terms of such agreements

	27.
	

Decision on issuing a power of attorney on behalf of RusCo, if such power of attorney authorizes a person to close transactions, which should be approved by the General Meeting of the Shareholders or by the Board of Directors

	28.
	

Early termination of powers of the sole executive body of RusCo in case of inappropriate use of investments funds in the amount of 1,000,000.00 Roubles or non-performance of the quarterly budget, approved by the Board of Directors of RusCo, in the amount exceeding 10,000,000.00 Roubles during 2 quarters subsequently

	29.
	

Forming of the sole executive body of RusCo and early termination of the powers of the sole executive body

	30.
	

Decision on suspension of the powers of the management organization (manager) of RusCo

	31.
	

Approval of employment contract with the person acting as the sole executive body of RusCo, including terms of remuneration and other payments and compensations, amendments and additions to the contract, as well as termination thereof including early termination

	32.
	

Decisions on monetary incentive for the general director, holding the director liable

	33.
	

Imposing employment functions of temporarily absent general director to one of the board members

	
		
	34.
	

Approval of the financial director, chief accountant; approval of the agreements with the above mentioned persons, including remuneration and other payments and compensations, making amendments and additions thereto

	35.
	

Preliminary approval of labor agreements of personnel of RusCo, providing annual income of an employee, exceeding 2,000,000 Roubles, including remuneration and other payments and compensations, making amendments and additions thereto

	36.
	

Decisions on forming of commercial organizations

	37.
	

Decisions on participation and termination of participation in non-commercial organizations

	38.
	

Decision on use of rights, attached to stocks and shares in the authorized or share capital of other legal entities, held by RusCo, including:

• decisions on the agenda of general meetings of such commercial organizations; 

• appointment of persons, representing RusCo's interests at the general meetings of such commercial organizations, including voting instructions; 

• proposing candidates to the executive bodies and to managing other bodies of the commercial organizations where RusCo is a participant 

	39.
	

Decisions on encumbrance of stock and shares in the authorized or share capital of other legal entities held by RusCo

	40.
	

Election of the board's chairman and early termination of the powers thereof

	41.
	

Approval of the corporate secretary of RusCo and/or secretary of the board of directors

	42.
	

Approval of employment contract with the corporate secretary and/or secretary of the board of directors of RusCo, and passing amendments and additions thereto

	43.
	

Preliminary consent with RusCo's using its priority right to purchase a share or a part of the share in RusCo's authorized capital, or RusCo's refusal to exercise this right

	44.
	

Other questions of competence of the Board of Directors, according to the Charter and the Russian legislation

	
						
	 
	 
	 
	 
	 
	 

	 
	On behalf of Rusnano
	 
	 
	On behalf of the Company
	 

	 
	 
	 
	 
	 
	 

	 
	/s/ Yuri Udaltsov
	 
	 
	/s/ Sam Heidari
	 

	 
	By: Yuri Udaltsov
	 
	 
	By: Sam Heidari
	 

	 
	 
	 
	 
	Title: Chief Executive Officer
	 

	 
	 
	 
	 
	 
	 

	 
	 
	 
	 
	 
	 

	 
	Date:
	 
	 
	Date: July 09, 2014
	 

	 
	 
	 
	 
	 
	 

	
						
	 
	 
	 
	 
	 
	 

	 
	On behalf of Rusnano
	 
	 
	On behalf of the Company
	 

	 
	 
	 
	 
	 
	 

	 
	/s/ Yuri Udaltsov
	 
	 
	 
	 

	 
	By: Yuri Udaltsov
	 
	 
	By: Sam Heidari
	 

	 
	 
	 
	 
	Title: Chief Executive Officer
	 

	 
	 
	 
	 
	 
	 

	 
	 
	 
	 
	 
	 

	 
	Date:
	 
	 
	Date: July 09, 2014
	 

	 
	 
	 
	 
	 
	 

Approved by the Board of Directors 

Minutes No. dated __________ 2012

Funds Expenditure Regulations
of Limited Liability Company

Terms and Definitions:

	
		
	Project
	A project involving the development and manufacture of Products, including (i) construction and commissioning    of a scientific research and production center in the Russian Federation for the purpose of Product manufacture; and (ii) maintenance of the scientific research center carried out along with the Unified Institute of High Temperatures of the Russian Academy of Sciences or by appointed person of this organization.

	Company
	Limited Liability Company, address: Russian Federation, , Moscow, street, house , building building

	Company Member 
	Quantenna Communications, Inc., a company founded and pursuing its activities according to the laws of the Delawer state (USA), registered at the address: 3450 U. Warren Avenu, Fremont, California 94538.

	Company Bank
	A credit organization servicing the Company's needs based on a bank account contract stipulating overseeing by such organization of the intended use of funds in payment transactions performed by the Company.

	Bank account contract
	A bank account contract concluded between the Company and the Company’s Bank, which provides for overseeing of the intended use of the investment funds in payment transactions performed by the Company.

	ROSNANO
	Open Joint Stock Company “ROSNANO” created after restructuring the state corporation “Russian Corporation of Nanotechnologies” in the form of transformation and pursuing its activities according to the laws of the Russian Federation, registered at the address: Russian Federation, 117036, Moscow, 60-letiya Oktyabrya Av. 10A, OGRN 1117799004333.

	Investment funds
	Funds (including borrowed and/or credit funds) which a Company Member and/or another third party hands over to the Company in order to support the Project, and funds which the Company received as a result of business activities.

	
		
	Current costs
	Semi-fixed costs which are incurred by the Company’s activities, including administrative and general business costs, expenses associated with payments required by the law, which are intended to support the Company's operations.

	Project budget
	An estimate of the Company's expenses and income approved by the Board of Directors and covering the entire investment cycle of the Project.

	Quarterly budget of the Company (Quarterly budget)

	A document with an estimate of the Company's expenses and income for a 3-month period and other information, approved by the Board of Directors and drawn up in compliance with the present Regulations and other legally binding Project documents.

	Business plan
	A document approved by the Board of Directors and comprising the following basic sections: income budget, expenses budget and Project activities plan.

	Special account
	The company's settlement account with the Company's Bank the servicing of which includes overseeing by such credit organization of the intended use of funds in payment transactions performed by the Company.

	ROSNANO representative
	A representative, a member of the Board of Directors, who is elected from a group of candidates put forward by ROSNANO.

1          General Provisions
		
	1.1
	The present Regulations (further referred to as “the Regulations”) provide guidelines for investment funds expenditure performed by the Company.

		
	1.2
	The key principles of Investment funds expenditure are: 

		
	•
	Observing the rights and legal interests of Member and ROSNANO;

		
	•
	Enabling Company Member and ROSNANO to oversee the Investment funds expenditure control system specified in the present Regulations;

		
	•
	Timely, reasonable and highly transparent nature of control procedures.

		
	1.3
	The Board of Directors may agree other planning periods and Company’s budget approval, and reporting periods to the effect that they differ from those specified by the present Regulations. For the purposes of the present Regulations the term Quarterly budget shall also refer to a budget approved for such other period according to this paragraph.

2          Transfer of Investment Funds by Member
		
	2.1
	Investment funds shall be transferred by the Member to the Company within the time-frame specified by the charter documents and other legally binding Project documents. However, the Company shall perform the following activities and meet the following requirements prior to transfer of Investment funds:

		
	2.1.1
	The Company Charter shall provide for:

2.1.1.1. Making the Board of Directors entitled to handle the following issues: (a) approval of conclusion, modification and termination of the Bank account contract, as well as approval of contract conditions; (b) approval of the Company budget/Quarterly budget (or other similar document which the Company's financial operations are based on);
2.1.1.2. ROSNANO representatives' right and legal opportunities to block the resolutions of the Board of Directors concerning issues specified in paragraph 2.1.1.1 of the present Regulations;    
2.1.1.3. Informing the members of the Board of Directors about the budget execution progress by distributing reports drawn up in appropriate formats.
		
	2.1.2
	Should any companies emerge which are subsidiary to the Company (low-level companies): Such companies' charters shall contain provisions which (a) shall give the top level Company the right and legal opportunities (directly or via its representatives in the Board of Directors): to approve resolutions concerning conclusion, modification and termination of a contract and contract conditions between the Bank and the low level project company, approve the Budget of the low level project company, (b) shall give ROSNANO representatives the right and legal opportunities to block resolutions concerning these issues and the issues of providing financial support from the top level project company, (c) shall limit the authority of the low level company's individual executive body to perform transactions by the amounts set forth in the approved Budget; 

		
	2.1.3
	The bank account contract containing the conditions specified in p. 4.2 of the present Regulations shall be concluded between the Company and the Company Bank.

		
	3
	General Director or his/her authorized representative shall inform (via electronic communication channels/telephone/fax) the ROSNANO representative about the arrival of the initial payment no later than the day following the day of crediting the Special account of the Company with the funds.Provision of Borrowed Funds by ROSNANO

		
	3.1
	If the Project is based on Borrowed funds provided by ROSNANO to the Company, the loan or credit contract, or any other legally binding document shall include, without limitation, the following material  conditions:

		
	•
	meeting the requirements specified in p. 2.1 of the present Regulations;

		
	•
	intended character of the loan – provision of Borrowed funds in order to support the Project;

		
	•
	step-by-step provision of Borrowed funds (in tranches) according to the Business plan and(or) the Quarterly budget of the Company  and (or) the key points of the Project schedule approved by the Board of Directors of the Company. Each subsequent tranche shall be transferred subject to approval by the Managing Director of the report detailing the intended use of the previous tranche;

		
	•
	Company's obligation to meet the requirements of the present Regulations regarding Investment funds expenditure control, including the preparation of monthly funds expenditure reports as required by the present Regulations;

		
	•
	ROSNANO's right of access to the Company's documents associated with funds expenditure (including those concerning the Budget, Quarterly budget).

		
	•
	The loan contract shall be first approved by a Company's management body which is entitled to deal with this issue.

		
	3.2
	Provisions of this section shall also be applicable in case ROSNANO acquires debt securities, including convertibles, of the Company and in case the Company enters loan contracts guaranteed by ROSNANO during the Project life, taking account of any particular details of such circumstances.

4          Approval of Company's Quarterly Budget
________________________
1 Hereinafter, any reference to General Director shall be interpreted as " General Director or his/her authorized representative".

		
	4.1
	General Director of the Company shall prepare a Quarterly budget draft and submit it for approval of the Board of Directors of the Company at least 15 (fifteen) days before the beginning of the next quarter. The first Quarterly budget shall be submitted for approval of the Board of Directors of the Company and approved within the shortest possible reasonable time. The first Quarterly budget may also be approved before transfer of funds by the Member and/or arrival of Borrowed funds.  

		
	4.2
	The approved Quarterly budget shall be submitted for approval of the Board of Directors of the Company. The chairman shall ensure that budget review by the Board of Directors is finished at least 10 (ten) days before the beginning of the next period for which the budget is adopted. 

		
	4.3
	The Quarterly budget may provide for reserved amounts of unforeseen payments to cover unplanned and urgent expenses of the Company during the period. The size of such reserved amounts shall be fixed based on the suggestion put forward by General Director of the Company, but shall not exceed 10 (ten) percent of the amount of unplanned expenses of name-indexed budget items.

		
	4.4
	The Quarterly budget approved by the Board of Directors of the Company shall be sent by General Director to all members of the Board of Directors of the Company, and to the Bank no later than 3 (three) working days after its approval.

		
	4.5
	In case the Board of Directors of the Company fails to approve the Quarterly budget before the beginning of the corresponding period, the Company shall have the right to use its account to cover the current expenses.    

		
	4.5.1
	The current expenses specified in Annex No.1 to the present Regulations shall not exceed the actual amount of similar expenses of the previous period; 

		
	4.5.2
	Labor costs, as wells as payments required by the law shall be covered and made unconditionally;

________________________
2 Payments required by the law - taxes, fees and other mandatory payments made in favor of a budget of a corresponding level of the budget system of the Russian Federation and (or) state non-budget funds according to the law of the Russian Federation, including fines, penalties and other sanctions imposed for non-fulfillment or improper fulfillment of the obligations to pay tax  taxes, fees and other mandatory payments made in favor of a budget of a corresponding level of the budget system of the Russian Federation and (or) state non-budget funds, as well as administrative fines. 

		
	4.5.3
	Funds expenditure limits shall not apply to expenses specified in para. 3.5.2 of the present Regulations. Labor costs shall refer to wages of the  Company employees, including additional payments and other payments  as required by the law of the Russian Federation (these expenses shall not include Company employees' premiums, annual and intermediate bonuses); 

		
	4.5.4
	The specified financing scheme, in case the Board of Directors of the Company fails to approve the Quarterly budget before the beginning of the corresponding period, shall be valid for a period not exceeding 3 months from the expiration date of the last Quarterly budget.  

5          Procedure for Company Investment Funds Expenditure. Interaction with Company Bank
		
	5.1
	General Director of the Company shall ensure availability of a Special account for the Company, which is used to oversee the intended use (expenditure) of funds according to the budget.

		
	5.2
	Overseeing of the intended use of Investment funds shall be implemented by including, without limitation, the following conditions in the contract with Company Bank:

		
	•
	Company Bank's obligation to debit the Special account only upon presentation of the Quarterly budget by the Company and an excerpt from the minutes of the Board of Directors related with approval of the Quarterly budget;   

		
	•
	Company Bank's obligation to debit the Special account according to payment details (payment details shall refer to, without limitation, contractor's name, contractor's INN, contract date and number) and within the amount limits specified in the approved Quarterly budget;  

		
	•
	Company Bank's obligation to submit completed transactions reports to the Company; 

		
	•
	Possibility to debit the Special account in case the Company's Quarterly budget does not receive approval (Quarterly budget modifications) in order to cover the current expenses of the Company based on the provisions of para. 3.5 of the present document; 

		
	•
	Other limitations associated with funds expenditure if such limitations are set forth in the Company's Charter. 

		
	5.3
	The Company's Bank shall be elected at ROSNANO suggestion and approved by the Board of Directors of the Company. Appointing organizations affiliated with project participants making up one group of people and/or coordinating their actions in any other manner shall only be possible in case the Company's Charter contains provisions canceling such participants' right to block resolutions of Company management bodies regarding the issues of conclusion and modification of the Bank account contract, or allocation of temporarily free investment funds.

This paragraph shall not apply in case the Bank acts as a guarantor towards Russian banks which are creditors to the Company and/or a guarantor towards foreign banks which are creditors to the Company for export and import operations.  
		
	5.4
	Conclusion, modification and termination of the Bank account contract with the Company Bank shall be based on the resolution of the Board of Directors of the Company.

		
	5.5
	The Company may place temporarily free Investment funds in deposits of various terms with banks that approved by the Board of Directors of the Company on conditions of return of the allocated funds to the Special account. 

		
	5.6
	Provisions guaranteeing return of funds and specifying deposit requirements shall appear in the resolution of the Board of Directors of the Company. 

6          Expenses Exceeding Quarterly Budget of the Company
		
	6.1
	In case any additional expenses are required (in excess of amounts specified in corresponding items of the Company's Quarterly budget, or representing amounts not covered by the Quarterly budget) General Director of the Company shall be entitled to finance such additional expenses using and within the limits of line “Unplanned payments reserved amount” provided for in the Quarterly Budget.  

		
	6.2
	In case the Company makes payment using line “Unplanned payments reserved amount”, General Director shall inform the members of the Board of Directors of the Company about this fact no later than the next working day and report the details (including, without limitation, payment function, payment amount, payment) and payment basis. 

		
	6.3
	In case funds of the corresponding Quarterly budget lines are not sufficient General Director may call a meeting of the Board of Directors of the Company to review the offered changes (corrections) to the Quarterly budget, with attachment of documents providing the basis for additional expenses and the corresponding amounts. 

		
	6.4
	In case the Board of Directors of the Company agrees to approve the changes (corrections) to the Quarterly Budget, General Director of the Company submits this resolution to the Bank in order to make payments. 

7          Quarterly budget execution reports
		
	7.1
	Preparation of Quarterly budget execution reports shall be the responsibility of General Director of the Company.

		
	7.2
	General Director of the Company shall draw up a Quarterly budget execution report based on documented information about Investment funds transferred to the Company's contractors, attaching Company Bank's reports detailing funds expenditure using the Special account.  

		
	7.3
	Monthly reports about Quarterly budget execution shall be submitted by General Director to the members of the Board of Directors of the Company no later that the 5th working day of the month following the report month. 

		
	7.4
	Quarterly reports about Quarterly budget execution shall be reviewed by the Board of Directors of the Company. 

8          Final Provisions
		
	8.1
	The Regulations come into force from the moment of approval thereof by the Board of Directors of the Company and shall be valid until cancellation.

		
	8.2
	 Any changes and additions to the Regulations shall be approved by the Board of Directors of the Company.

Annex No.1

List of Current Expenses 
	
		
	Expense Code
	Expense Description

	20104
	Electricity

	20201
	Equipment maintenance services provided by contractors

	20202
	Transportation services

	20501
	Communication and data transfer services

	20502
	Public services

	20504
	IT services

	20505
	Auditing services

	20506
	Legal services

	20508
	Fire safety and private security services

	20600
	Travel and representation expenses

	20700
	Rent (leasers)

	20800
	Leasing

	20900
	Insurance expenses

	21200
	Environment protection expenses (excluding any duties and payments(lines [21300] and 21400))

	21300
	Health and safety protection expenses

	21400
	Social expenditures

	21700
	Credit organization services (excluding expenses specified in lines [______])

	22100
	Voluntary medical insurance

	22400
	Expenses associated with annual general meeting of company members

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