Document:

Exhibit
4.4

 

WARRANT
AGREEMENT

between

PARSEC CAPITAL ACQUISITIONS CORP

and

CONTINENTAL STOCK TRANSFER & TRUST COMPANY

 

THIS
WARRANT AGREEMENT (this “Agreement”), dated as of [                 ], 2021, is by and between Parsec Capital Acquisitions
Corp, a Delaware corporation (the “Company”), and Continental Stock Transfer & Trust Company, a New York
corporation, as warrant agent (the “Warrant Agent”, also referred to herein as the “Transfer Agent”).

 

WHEREAS,
the Company is engaged in an initial public offering (the “Offering”) of units of the Company’s equity
securities, each such unit comprised of one Class A Common Stock of the Company, having a par or nominal value of U.S.$0.0001 per share
(the “Common Stock”), and one redeemable Public Warrant (as defined below) (the “Units”)
and, in connection therewith, has determined to issue and deliver up to 7,500,000 warrants (or up to 8,625,000) warrants if the Over-allotment
Option (as defined below) is exercised in full) to public investors in the Offering (the “Public Warrants”).
Each whole Warrant entitles the holder thereof to purchase one Class A Common Stock of the Company for $11.50 per share, subject to adjustment
as described herein; and

 

WHEREAS,
the Company has filed with the Securities and Exchange Commission (the “Commission”) a registration statement
on Form S-1, File No. 333-257766 (the “Registration Statement”) and prospectus (the “Prospectus”),
for the registration, under the Securities Act of 1933, as amended (the “Securities Act”), of the Units, and
the Public Warrants and the shares of Common Stock included in the Units; and

 

WHEREAS,
on [•], 2021, the Company entered into that certain Placement Warrant Purchase Agreement
with Parsec Acquisition Sponsor, LLC, a Delaware limited liability company (the “Sponsor”), pursuant to which
the Sponsor agreed to purchase an aggregate of 4,125,000 private placement warrants (or up to 4,518,750 private placement warrants if
the underwriters in the Offering exercise their Over-allotment Option in full) (the “Private Placement Warrants”)
simultaneously with the closing of the Offering (and the closing the Over-allotment Option, if applicable) at a purchase price of $1.00
per Private Placement Warrant being the legend set forth in Exhibit B attached hereto; and

 

WHEREAS,
in order to finance the Company’s transaction costs in connection with an intended initial Business Combination (as defined below),
the Sponsor or an affiliate of the Sponsor or certain of the Company’s executive officers and directors may, but are not obligated
to, loan to the Company funds as the Company may require, of which up to $1,125,000 of such loans may be convertible into up to an additional
1,125,000 Warrants at a price of $1.00 per Warrant, and, in connection therewith, will issue and deliver up to an aggregate of 1,125,000
warrants (the “Working Capital Warrants”); and

 

WHEREAS,
in order to extend the period of time the Company has to consummate a Business Combination as described in the Prospectus, the Sponsor
or its affiliates or designees may, but are not obligated to, loan the Company funds as the Company may require, of which up to $1,500,000
(or up to $1,725,000 if the Over-allotment Option (defined below) is exercised in full) at a price of $1.00 per Warrant at the option
of the lender, and in connection therewith, will issue and deliver up to an additional of 1,500,000 Warrants (or up to 1,725,000 Warrants
if the Over-allotment Option is exercised in full) (the “Extension Warrants”); and

 

WHEREAS,
following consummation of the Offering, the Company may issue additional warrants (“Post IPO Warrants,” and,
together with the Private Placement Warrants, the Working Capital Warrants, the Extension Warrants and the Public Warrants, the “Warrants”)
in connection with, or following the consummation by the Company of, a Business Combination (defined below); and

 

WHEREAS,
the Company desires the Warrant Agent to act on behalf of the Company, and the Warrant Agent is willing to so act, in connection with
the issuance, registration, transfer, exchange, redemption, and exercise of the Warrants; and

 

    	 

     

    

 

WHEREAS,
the Company desires to provide for the form and provisions of the Warrants, the terms upon which they shall be issued and exercised,
and the respective rights, limitation of rights, and immunities of the Company, the Warrant Agent, and the holders of the Warrants; and

 

WHEREAS,
all acts and things have been done and performed which are necessary to make the Warrants, when executed on behalf of the Company and
countersigned by or on behalf of the Warrant Agent, as provided herein, the valid, binding, and legal obligations of the Company, and
to authorize the execution and delivery of this Agreement.

 

NOW,
THEREFORE, in consideration of the mutual agreements herein contained, the parties hereto agree as follows:

 

1.
Appointment of Warrant Agent. The Company hereby appoints the Warrant Agent to act as agent for the
Company for the Warrants, and the Warrant Agent hereby accepts such appointment and agrees to perform the same in accordance with the
terms and conditions set forth in this Agreement.

 

2.
Warrants.

 

2.1
Form of Warrant. Each Warrant shall be issued in registered form only, shall be in substantially the form of Exhibit A
hereto, the provisions of which are incorporated herein and shall be signed by, or bear the facsimile signature of, the Chairman of the
Board of Directors or Chief Executive Officer and the Chief Financial Officer, Treasurer, Secretary or Assistant Secretary of the Company
and shall bear a facsimile of the Company’s seal. In the event the person whose facsimile signature has been placed upon any Warrant
shall have ceased to serve in the capacity in which such person signed the Warrant before such Warrant is issued, it may be issued with
the same effect as if he or she had not ceased to be such at the date of issuance.

 

2.2
Uncertificated Warrants. Notwithstanding anything herein to the contrary, any Warrant, or portion thereof, may be issued as part
of, and be represented by, a Unit, and any Warrant may be issued in uncertificated or book-entry form through the Warrant Agent and/or
the facilities of The Depository Trust Company or other book-entry depositary system, in each case as determined by the Board of Directors
of the Company or by an authorized committee thereof. Any Warrant so issued shall have the same terms, force and effect as a certificated
Warrant that has been duly countersigned by the Warrant Agent in accordance with the terms of this Agreement.

 

2.3
Effect of Countersignature. Except with respect to uncertificated Warrants as described above, unless and until countersigned
by the Warrant Agent pursuant to this Agreement, a Warrant shall be invalid and of no effect and may not be exercised by the holder thereof.

 

2.4
Registration.

 

2.4.1
Warrant Register. The Warrant Agent shall maintain books (“Warrant Register”) for the registration of
original issuance and the registration of transfer of the Warrants. Upon the initial issuance of the Warrants, the Warrant Agent shall
issue and register the Warrants in the names of the respective holders thereof in such denominations and otherwise in accordance with
instructions delivered to the Warrant Agent by the Company. Ownership of beneficial interests in the Public Warrants shall be shown on,
and the transfer of such ownership shall be effected through, records maintained by institutions that have accounts with the Depository
Trust Company (the “Depositary”) (such institution, with respect to a Warrant in its account, a “Participant”).
If the Depositary subsequently ceases to make its book-entry settlement system available for the Public Warrants, the Company may instruct
the Warrant Agent regarding making other arrangements for book-entry settlement. In the event that the Public Warrants are not eligible
for, or it is no longer necessary to have the Public Warrants available in, book-entry form, the Warrant Agent shall provide written
instructions to the Depositary to deliver to the Warrant Agent for cancellation each book-entry Public Warrant, and the Company shall
instruct the Warrant Agent to deliver to the Depositary definitive certificates in physical form evidencing such Warrants (“Definitive
Warrant Certificates”) which shall be in the form annexed hereto as Exhibit A.

 

    	2

     

    

 

2.4.2
Registered Holder. Prior to due presentment for registration of transfer of any Warrant, the Company and the Warrant Agent may
deem and treat the person in whose name such Warrant is then registered in the Warrant Register (“Registered Holder”)
as the absolute owner of such Warrant and of each Warrant represented thereby (notwithstanding any notation of ownership or other writing
on the Warrant certificate made by anyone other than the Company or the Warrant Agent), for the purpose of any exercise thereof, and
for all other purposes, and neither the Company nor the Warrant Agent shall be affected by any notice to the contrary.

 

2.5
Detachability of Warrants. The securities comprising the Units will not be separately transferable until the 52nd day
following the date of the Prospectus or, if such 52nd day is not on a day, other than Saturday, Sunday or federal holiday,
on which banks in New York City are generally open for normal business (a “Business Day”), then on the immediately
succeeding Business Day following such date, or earlier with the consent of EF Hutton, division of Benchmark Investments, LLC, as the
representative of the several underwriters for the Offering (the “Representative”), but in no event will the
Representative allow separate trading of the securities comprising of the Units until (i) the Company has filed a Current Report on Form
8-K which includes an audited balance sheet reflecting the receipt by the Company of the gross proceeds of the Offering including the
proceeds received by the Company from the exercise of the underwriters’ over-allotment option in the Offering (the “Over-allotment
Option”), if the Over-allotment Option is exercised prior to the filing of the Form 8-K, and (ii) the Company has issued
a press release announcing when such separate trading shall begin (the “Detachment Date”); provided
that no fractional Warrants will be issued upon separation of the Units and only whole Warrants will trade.

 

2.6
Private Placement Warrant, Working Capital Warrant, and Extension Warrants Attributes. The Private Placement Warrants, Working
Capital Warrants, and Extension Warrants will be issued in the same form as the Public Warrants.

 

2.7
Post IPO Warrants. The Post IPO Warrants, when and if issued, shall have the same terms and be in the same form as the Public
Warrants except as may be agreed upon by the Company.

 

2.8
Fractional Warrants. The Company shall not issue fractional Warrants other than as part of the Units, each of which is comprised
of one share of Common Stock one Public Warrant. If, upon the detachment of Public Warrants from the Units or otherwise, a holder of
Warrants would be entitled to receive a fractional Warrant, the Company shall round down to the nearest whole number the number of Warrants
to be issued to such holder.

 

3.
Terms and Exercise of Warrants

 

3.1
Warrant Price. Each whole Warrant shall, when countersigned by the Warrant Agent (except with respect to uncertificated Warrants),
entitle the Registered Holder thereof, subject to the provisions of such Warrant and of this Agreement, to purchase from the Company
the number of shares of Common Stock stated therein, at the price of $11.50 per share, subject to the adjustments provided in Section
4 hereof and in the last sentence of this Section 3.1. The term “Warrant Price” as used in this
Agreement refers to the price per share at which the Common Stock may be purchased at the time a Warrant is exercised. The Company in
its sole discretion may lower the Warrant Price at any time prior to the Expiration Date (as defined below) for a period of not less
than twenty (20) Business Days; provided, that the Company shall provide at least twenty (20) days’ prior written notice of such
reduction to Registered Holders of the Warrants and, provided further that any such reduction shall be applied consistently to all of
the Warrants.

 

3.2
Duration of Warrants. A Warrant may be exercised only during the period (the “Exercise Period”) commencing
on the later of: (i) 30 days after the date on which the Company completes a merger, share exchange, asset acquisition, share purchase,
reorganization or similar business combination, involving the Company and one or more businesses (a “Business Combination”),
and (ii) the date that is twelve (12) months from the date of the closing of the Offering, and terminating at 5:00 p.m., New York City
time on the earlier to occur of: (x) the date that is five (5) years after the date on which the Company completes its Business Combination,
(y) the liquidation of the Company in accordance with the Company’s amended and restated certificate of incorporation, as amended
and/or restated from time to time, if the Company fails to complete a Business Combination, or (z) the Redemption Date (as defined below)
as provided in Section 6.2 hereof (the “Expiration Date”); provided, however, that the
exercise of any Warrant shall be subject to the satisfaction of any applicable conditions, as set forth in subsection 3.3.2 below
with respect to an effective registration statement. Except with respect to the right to receive the Redemption Price (as defined below),
in the event of a redemption (as set forth in Section 6 hereof), each outstanding Warrant not exercised on or before the Expiration
Date shall become void, and all rights thereunder and all rights in respect thereof under this Agreement shall cease at 5:00 p.m. New
York City time on the Expiration Date. The Company in its sole discretion may extend the duration of the Warrants by delaying the Expiration
Date; provided, that the Company shall provide at least twenty (20) days’ prior written notice of any such extension to
Registered Holders of the Warrants and, provided further that any such extension shall be applied consistently to all of the Warrants.

 

    	3

     

    

 

3.3
Exercise of Warrants.

 

3.3.1
Payment. Subject to the provisions of the Warrant and this Agreement, a Warrant, when countersigned by the Warrant Agent, may
be exercised by the Registered Holder thereof by surrendering it, at the office of the Warrant Agent, or at the office of its successor
as Warrant Agent, in the Borough of Manhattan, City and State of New York (i) the Definitive Warrant Certificate evidencing the Warrants
to be exercised, or, in the case of a Warrant represented by a book-entry, the Warrants to be exercised (the “Book-Entry
Warrants”) on the records of the Depositary to an account of the Warrant Agent at the Depositary designated for such purposes
in writing by the Warrant Agent to the Depositary from time to time, (ii) an election to purchase (“Election to Purchase”)
any shares of Common Stock pursuant to the exercise of a Warrant, properly completed and executed by the Registered Holders on the reverse
of the Definitive Warrant Certificate or, in the case of a Book-Entry Warrant, properly delivered by the Participant in accordance with
the Depositary’s procedures, and (iii) the payment in full of the Warrant Price for each share of Common Stock as to which the
Warrant is exercised and any and all applicable taxes due in connection with the exercise of the Warrant, the exchange of the Warrant
for the shares of Common Stock and the issuance of such shares of Common Stock, as follows:

 

(a)
in lawful money of the United States, by good certified check or wire payable to the Warrant Agent; or

 

(b)
in the event of redemption pursuant to Section 6 hereof in which the Company’s management has elected to force all holders
of Warrants to exercise such Warrants on a “cashless basis,” by surrendering the Warrants for that number of shares of Common
Stock equal to the quotient obtained by dividing (x) the product of the number of shares of Common Stock underlying the Warrants, multiplied
by the difference between the Warrant Price and the “Fair Market Value” (defined below) by (y) the Fair Market
Value. Solely for purposes of this Section 3.3.1(b), the “Fair Market Value” shall mean the average
reported last sale price of the Common Stock for the ten (10) trading days ending on the third (3rd) trading day prior to
the date on which the notice of redemption is sent to holders of the Warrants pursuant to Section 6 hereof; or

 

(c)
in the event the registration statement required by Section 7.4 hereof is not effective and current within sixty (60) Business
Days after the closing of a Business Combination, by surrendering such Warrants for that number of shares of Common Stock equal to the
quotient obtained by dividing (x) the product of the number of shares of Common Stock underlying the Warrants, multiplied by the difference
between the exercise price of the Warrants and the “Fair Market Value” by (y) the Fair Market Value; provided, however,
that no cashless exercise shall be permitted unless the Fair Market Value is equal to or higher than the exercise price. Solely for purposes
of this Section 3.3.1(c), the “Fair Market Value” shall mean the volume weighted average reported last
sale price of the Common Stock for the ten (10) trading days ending on the trading day prior to the date that notice of exercise is received
by the Warrant Agent from the holder of such Warrants or its securities broker or intermediary.

 

3.3.2
Issuance of Common Stock. As soon as practicable after the exercise of any Warrant and the clearance of the funds in payment of
the Warrant Price (if any), the Company shall issue to the Registered Holder of such Warrant a certificate or certificates, or book entry
position, for the number of shares of Common Stock to which he, she or it is entitled, registered in such name or names as may be directed
by him, her or it, and if such Warrant shall not have been exercised in full, a new countersigned Warrant, or book entry position, for
the number of shares as to which such Warrant shall not have been exercised. Notwithstanding the foregoing, in no event will the Company
be required to net cash settle the Warrant exercise. No Warrant shall be exercisable for cash and the Company shall not be obligated
to issue the shares of Common Stock upon exercise of a Warrant unless the shares of Common Stock issuable upon such Warrant exercise
has been registered, qualified or deemed to be exempt under the securities laws of the state of residence of the Registered Holder of
the Warrants. In the event that the condition in the immediately preceding sentence is not satisfied with respect to a Warrant, the holder
of such Warrant shall not be entitled to exercise such Warrant for cash and such Warrant may have no value and expire worthless, in which
case the purchaser of a Unit containing such Public Warrants shall have paid the full purchase price for the Unit solely for the shares
of Common Stock underlying such Unit. Warrants may not be exercised by, or securities issued to, any Registered Holder in any state in
which such exercise would be unlawful.

 

    	4

     

    

 

3.3.3
Valid Issuance. All Common Stock issued upon the proper exercise of a Warrant in conformity with this Agreement shall be validly
issued, fully paid and nonassessable.

 

3.3.4
Date of Issuance. Each person in whose name any book entry position or certificate for Common Stock is issued shall for all purposes
be deemed to have become the holder of record of such shares on the date on which the Warrant, or book entry position representing such
Warrant, was surrendered and payment of the Warrant Price was made, irrespective of the date of delivery of such certificate, except
that, if the date of such surrender and payment is a date when the share transfer books of the Company or book entry system of the Warrant
Agent are closed, such person shall be deemed to have become the holder of such shares at the close of business on the next succeeding
date on which the share transfer books or book entry system are open.

 

3.3.5
Maximum Percentage. A holder of a Warrant may notify the Company in writing in the event it elects to be subject to the provisions
contained in this subsection 3.3.5; however, no holder of a Warrant shall be subject to this subsection 3.3.5 unless
he, she or it makes such election. If the election is made by a holder, the Warrant Agent shall not effect the exercise of the holder’s
Warrant, and such holder shall not have the right to exercise such Warrant, to the extent that after giving effect to such exercise,
such person (together with such person’s affiliates), to the Warrant Agent’s actual knowledge, would beneficially own in
excess of 4.9% or 9.8% (as specified by such holder) (the “Maximum Percentage”) of the shares of Common Stock
outstanding immediately after giving effect to such exercise. For purposes of the foregoing sentence, the aggregate number of shares
of Common Stock beneficially owned by such person and its affiliates shall include the number of shares of Common Stock issuable upon
exercise of the Warrant with respect to which the determination of such sentence is being made, but shall exclude the shares of Common
Stock that would be issuable upon (x) exercise of the remaining, unexercised portion of the Warrant beneficially owned by such person
and its affiliates and (y) exercise or conversion of the unexercised or unconverted portion of any other securities of the Company beneficially
owned by such person and its affiliates (including, without limitation, any convertible notes or convertible preference shares or warrants)
subject to a limitation on conversion or exercise analogous to the limitation contained herein. Except as set forth in the preceding
sentence, for purposes of this paragraph, beneficial ownership shall be calculated in accordance with Section 13(d) of the Securities
Exchange Act of 1934, as amended (the “Exchange Act”). For purposes of the Warrant, in determining the number
of outstanding shares of Common Stock, the holder may rely on the number of outstanding shares of Common Stock as reflected in (1) the
Company’s most recent annual report on Form 10-K, quarterly report on Form 10-Q, current report on Form 8-K or other public filing
with the Commission as the case may be, (2) a more recent public announcement by the Company or (3) any other notice by the Company or
the Transfer Agent setting forth the number of shares of Common Stock outstanding. For any reason at any time, upon the written request
of the holder of the Warrant, the Company shall, within two (2) Business Days, confirm orally and in writing to such holder the number
of shares of Common Stock then outstanding. In any case, the number of outstanding shares of Common Stock shall be determined after giving
effect to the conversion or exercise of equity securities of the Company by the holder and its affiliates since the date as of which
such number of outstanding shares of Common Stock was reported. By written notice to the Company, the holder of a Warrant may from time
to time increase or decrease the Maximum Percentage applicable to such holder to any other percentage specified in such notice; provided,
however, that any such increase shall not be effective until the sixty-first (61st) day after such notice is delivered to the Company.

 

4.
Adjustments.

 

4.1
Stock Dividends; Split-Ups. If after the date hereof, and subject to the provisions of Section 4.6 below, the number of
outstanding shares of Common Stock is increased by a stock dividend payable in shares of Common Stock, or by a split-up of shares of
the Common Stock, or other similar event, then, on the effective date of such share stock dividend, split-up or similar event, the number
of shares of Common Stock issuable on exercise of each Warrant shall be increased in proportion to such increase in outstanding shares
of Common Stock.

 

    	5

     

    

 

4.2
Aggregation of Shares. If after the date hereof, the number of outstanding shares of Common Stock is decreased by a consolidation,
combination, reverse stock split or reclassification of the Common Stock or other similar event, then, on the effective date of such
consolidation, combination, reverse stock split, reclassification or similar event, the number of shares of Common Stock issuable on
exercise of each Warrant shall be decreased in proportion to such decrease in outstanding shares of Common Stock.

 

4.3
Extraordinary Dividends. If the Company, at any time while the Warrants are outstanding and unexpired, shall pay a dividend or
make a distribution in cash, securities or other assets to the holders of the shares of Common Stock or other shares in the capital of
the Company into which the Warrants are convertible (an “Extraordinary Dividend”), then the Warrant Price shall
be decreased, effective immediately after the effective date of such Extraordinary Dividend, by the amount of cash and the fair market
value (as determined by the Company’s Board of Directors, in good faith) of any securities or other assets paid in respect of such
Extraordinary Dividend divided by all outstanding shares of the Company at such time (whether or not any shareholders waived their right
to receive such dividend); provided, however, that none of the following shall be deemed an Extraordinary Dividend for purposes
of this provision: (a) any adjustment described in subsection 4.1 above, (b) any cash dividends or cash distributions which, when
combined on a per share basis with all other cash dividends and cash distributions paid on the Common Stock during the 365-day period
ending on the date of declaration of such dividend or distribution does not exceed $0.50 per share (taking into account all of the outstanding
shares of the Company at such time (whether or not any shareholders waived their right to receive such dividend) and as adjusted to appropriately
reflect any of the events referred to in other subsections of this Section 4 and excluding cash dividends or cash distributions that
resulted in an adjustment to the Warrant Price or to the number of shares of Common Stock issuable on exercise of each Warrant) but only
with respect to the amount of the aggregate cash dividends or cash distributions equal to or less than $0.50, (c) any payment to satisfy
the conversion rights of the holders of the shares of Common Stock in connection with a proposed initial Business Combination or certain
amendments to the Company’s amended and restated certificate of incorporation (as described in the Registration Statement) or (d)
any payment in connection with the Company’s liquidation and the distribution of its assets upon its failure to consummate a Business
Combination. Solely for purposes of illustration, if the Company, at a time while the Warrants are outstanding and unexpired, pays a
cash dividend of $0.35 and previously paid an aggregate of $0.40 of cash dividends and cash distributions on the shares of Common Stock
during the 365-day period ending on the date of declaration of such $0.35 dividend, then the Warrant Price will be decreased, effectively
immediately after the effective date of such $0.35 dividend, by $0.25 (the absolute value of the difference between $0.75 (the aggregate
amount of all cash dividends and cash distributions paid or made in such 365-day period, including such $0.35 dividend) and $0.50 (the
greater of (x) $0.50 and (y) the aggregate amount of all cash dividends and cash distributions paid or made in such 365-day period prior
to such $0.35 dividend)). Furthermore, solely for the purposes of illustration, if following the closing of the Company’s initial
Business Combination, there were total shares outstanding of 100,000,000 and the Company paid a $1.00 dividend to 17,500,000 of such
shares (with the remaining 82,500,000 shares waiving their right to receive such dividend), then no adjustment to the Warrant Price would
occur as a $17.5 million dividend payment divided by 100,000,000 shares equals $0.175 per share which is less than $0.50 per share.

 

4.4
Adjustments in Exercise Price. Whenever the number of shares of Common Stock purchasable upon the exercise of the Warrants is
adjusted, as provided in Sections 4.1 and 4.2 above, the Warrant Price shall be adjusted (to the nearest cent) by multiplying
such Warrant Price immediately prior to such adjustment by a fraction (x) the numerator of which shall be the number of shares of Common
Stock purchasable upon the exercise of the Warrants immediately prior to such adjustment, and (y) the denominator of which shall be the
number of shares of Common Stock so purchasable immediately thereafter.

 

    	6

     

    

 

4.5
Replacement of Securities upon Reorganization, etc. In case of any reclassification or reorganization of the outstanding shares
of Common Stock (other than a change covered by Section 4.1, 4.2 or 4.3 hereof or that solely affects the par value
of the Common Stock), or in the case of any merger or consolidation of the Company with or into another corporation (other than a consolidation
or merger in which the Company is the continuing corporation and that does not result in any reclassification or reorganization of the
outstanding shares of Common Stock), or in the case of any sale or conveyance to another corporation or entity of the assets or other
property of the Company as an entirety or substantially as an entirety in connection with which the Company is dissolved, the Warrant
holders shall thereafter have the right to purchase and receive, upon the basis and upon the terms and conditions specified in the Warrants
and in lieu of the shares of Common Stock of the Company immediately theretofore purchasable and receivable upon the exercise of the
rights represented thereby, the kind and amount of shares of stock or other securities or property (including cash) receivable upon such
reclassification, reorganization, merger or consolidation, or upon a dissolution following any such sale or transfer, that the Warrant
holder would have received if such Warrant holder had exercised his, her or its Warrant(s) immediately prior to such event. If any reclassification
also results in a change in the shares of Common Stock covered by Section 4.1, 4.2 or 4.3, then such adjustment
shall be made pursuant to Sections 4.1, 4.2, 4.3, 4.4 and this Section 4.5. The provisions of this
Section 4.5 shall similarly apply to successive reclassifications, reorganizations, mergers or consolidations, sales or other
transfers. In no event will the Warrant Price be reduced to less than the par value per share issuable upon exercise of the Warrant.

 

4.6
Issuance in connection with a Business Combination. If (x) the Company issues additional shares of Common Stock or securities
convertible into or exercisable or exchangeable for Common Stock for capital raising purposes in connection with the closing of its initial
Business Combination at an issue price or effective issue price of less than $9.20 per share of Common Stock (as adjusted for stock splits,
stock dividends, rights issuances, subdivisions, reorganizations, recapitalizations and the like), with such issue price or effective
issue price to be determined in good faith by the Board (and in the case of any such issuance to the initial shareholders (as defined
in the Prospectus) or their affiliates, without taking into account any founder shares held by such shareholders or their affiliates,
as applicable, prior to such issuance) (the “New Issuance Price”), (y) the aggregate gross proceeds from such
issuances represent more than 60% of the total equity proceeds, and interest thereon, available for the funding of its initial business
combination on the date of the consummation of its initial business combination (net of redemptions), and (z) the volume weighted average
trading price of the Common Stock during the 20 trading day period starting on the trading day prior to the day on which the Company
consummates its initial business combination (such price, the “Market Value”) is below $9.20 per share (as
adjusted for stock splits, stock dividends, rights issuances, subdivisions, reorganizations, recapitalizations and the like), then the
Warrant Price shall be adjusted (to the nearest cent) to be equal to 115% of the greater of the Market Value and the New Issuance Price
and the Redemption Trigger Price (as defined below) will be adjusted (to the nearest cent) to 180% of the greater of the Market Value
and the New Issuance Price.

 

4.7
Notices of Changes in Warrant. Upon every adjustment of the Warrant Price or the number of shares issuable upon exercise of a
Warrant, the Company shall give written notice thereof to the Warrant Agent, which notice shall state the Warrant Price resulting from
such adjustment and the increase or decrease, if any, in the number of shares purchasable at such price upon the exercise of a Warrant,
setting forth in reasonable detail the method of calculation and the facts upon which such calculation is based. Upon the occurrence
of any event specified in Sections 4.1, 4.2, 4.3, 4.4, 4.5, or 4.6, then, in any such event,
the Company shall give written notice to each Warrant holder, at the last address set forth for such holder in the Warrant Register,
of the record date or the effective date of the event. Failure to give such notice, or any defect therein, shall not affect the legality
or validity of such event.

 

4.8
No Fractional Warrants or Shares. Notwithstanding any provision contained in this Agreement to the contrary, the Company shall
not issue fractional shares upon exercise of Warrants. If, by reason of any adjustment made pursuant to this Section 4, the holder
of any Warrant would be entitled, upon the exercise of such Warrant, to receive a fractional interest in a share, the Company shall,
upon such exercise, round down to the nearest whole number of shares of Common Stock to be issued to the Warrant holder.

 

4.9
Form of Warrant. The form of Warrant need not be changed because of any adjustment pursuant to this Section 4, and Warrants issued
after such adjustment may state the same Warrant Price and the same number of shares as is stated in the Warrants initially issued pursuant
to this Agreement. However, the Company may at any time in its sole discretion make any change in the form of Warrant that the Company
may deem appropriate and that does not affect the substance thereof, and any Warrant thereafter issued or countersigned, whether in exchange
or substitution for an outstanding Warrant or otherwise, may be in the form as so changed.

 

4.10
Other Events. In case any event shall occur affecting the Company as to which none of the provisions of preceding subsections
of this Section 4 are strictly applicable, but which would require an adjustment to the terms of the Warrants in order to (i)
avoid an adverse impact on the Warrants and (ii) effectuate the intent and purpose of this Section 4, then, in each such case,
the Company shall appoint a firm of independent public accountants, investment banking or other appraisal firm of recognized national
standing, which shall give its opinion as to whether or not any adjustment to the rights represented by the Warrants is necessary to
effectuate the intent and purpose of this Section 4 and, if they determine that an adjustment is necessary, the terms of such adjustment.
The Company shall adjust the terms of the Warrants in a manner that is consistent with any adjustment recommended in such opinion.

 

    	7

     

    

 

4.11
No Adjustment. For the avoidance of doubt, no adjustment shall be made to the terms of the Warrants solely as a result of an adjustment
to the conversion ratio of the Class B Common Stock or the conversion of the shares of Class B Common Stock into Common Stock, in each
case, pursuant to the Company’s amended and restated certificate of incorporation, as further amended and/or restated from time
to time.

 

5.
Transfer and Exchange of Warrants.

 

5.1
Registration of Transfer. The Warrant Agent shall register the transfer, from time to time, of any outstanding Warrant upon the
Warrant Register, upon surrender of such Warrant for transfer, properly endorsed with signatures, in the case of certificated Warrants,
properly guaranteed and accompanied by appropriate instructions for transfer. Upon any such transfer, a new Warrant representing an equal
aggregate number of Warrants shall be issued and the old Warrant shall be cancelled by the Warrant Agent. In the case of certificated
Warrants, the Warrants so cancelled shall be delivered by the Warrant Agent to the Company from time to time upon request.

 

5.2
Procedure for Surrender of Warrants. Warrants may be surrendered to the Warrant Agent, either in certificated form or in book
entry position, together with a written request for exchange or transfer, and thereupon the Warrant Agent shall issue in exchange therefor
one or more new Warrants, or book entry positions, as requested by the Registered Holder of the Warrants so surrendered, representing
an equal aggregate number of Warrants; provided, however, that in the event that a Warrant surrendered for transfer bears a restrictive
legend, the Warrant Agent shall not cancel such Warrant and issue new Warrants in exchange therefor until the Warrant Agent has received
an opinion of counsel for the Company stating that such transfer may be made and indicating whether the new Warrants must also bear a
restrictive legend.

 

5.3
Fractional Warrants. The Warrant Agent shall not be required to effect any registration of transfer or exchange which will result
in the issuance of a warrant certificate or book-entry position for a fraction of a warrant, except as part of the Units.

 

5.4
Service Charges. No service charge shall be made for any exchange or registration of transfer of Warrants.

 

5.5
Warrant Execution and Countersignature. The Warrant Agent is hereby authorized to countersign and to deliver, in accordance with
the terms of this Agreement, the Warrants required to be issued pursuant to the provisions of this Section 5, and the Company,
whenever required by the Warrant Agent, will supply the Warrant Agent with Warrants duly executed on behalf of the Company for such purpose.

 

5.6
Private Placement Warrants, Working Capital Warrants, and Extension Warrants. The Warrant Agent shall not register any transfer
of Private Placement Warrants, Working Capital Warrants, or Extension Warrants until after the consummation by the Company of an initial
Business Combination, except for transfers (i) among the initial shareholders or to the Company’s or the initial shareholders’
members, officers, directors, consultants or their affiliates, (ii) to a holder’s shareholders or members upon the holder’s
liquidation, in each case if the holder is an entity, (iii) by bona fide gift to a member of the holder’s immediate family or to
a trust, the beneficiary of which is the holder or a member of the holder’s immediate family, in each case for estate planning
purposes, (iv) by virtue of the laws of descent and distribution upon death, (v) pursuant to a qualified domestic relations order, (vi)
to the Company for no value for cancellation in connection with the consummation of a Business Combination, (vii) in connection with
the consummation of a Business Combination at prices no greater than the price at which the Warrants were originally purchased, (viii)
in the event of the Company’s liquidation prior to its consummation of an initial Business Combination or (ix) in the event that,
subsequent to the consummation of an initial Business Combination, the Company completes a liquidation, merger, capital stock exchange
or other similar transaction which results in all of the Company’s shareholders having the right to exchange their shares of Common
Stock for cash, securities or other property, in each case (except for clauses (vi), (viii) or (ix) or with the Company’s prior
written consent) on the condition that prior to such registration for transfer, the Warrant Agent shall be presented with written documentation
pursuant to which each transferee (each, a “Permitted Transferee”) or the trustee or legal guardian for such
Permitted Transferee agrees to be bound by the transfer restrictions contained in this Agreement and any other applicable agreement the
transferor is bound by.

 

    	8

     

    

 

5.7
Transfers prior to Detachment. Prior to the Detachment Date, the Public Warrants may be transferred or exchanged only together
with the Unit in which such Warrant is included, and only for the purpose of effecting, or in conjunction with, a transfer or exchange
of such Unit. Furthermore, each transfer of a Unit on the register relating to such Units shall operate also to transfer the Warrants
included in such Unit. Notwithstanding the foregoing, the provisions of this Section 5.7 shall have no effect on any transfer
of Warrants on or after the Detachment Date.

 

6.
Redemption.

 

6.1
Redemption. Not less than all of the outstanding Warrants may be redeemed, at the option of the Company, at any time during the
Exercise Period, at the office of the Warrant Agent, upon the notice referred to in Section 6.2, at the price of $0.01 per Warrant
(“Redemption Price”), provided that the last sales price of the Common Stock equals or exceeds $18.00 per share
(subject to adjustment in accordance with Section 4 hereof) (the “Redemption Trigger Price”), on each
of twenty (20) trading days within any thirty (30) trading day period commencing after the Warrants become exercisable and ending on
the third trading day prior to the date on which notice of redemption is given and provided that there is an effective registration statement
covering the shares of Common Stock issuable upon exercise of the Warrants, and a current prospectus relating thereto, available throughout
the 30-day redemption or the Company has elected to require the exercise of the Warrants on a “cashless basis” pursuant to
subsection 3.3.1(b); provided, however, that if and when the Public Warrants become redeemable by the Company, the Company
may not exercise such redemption right if the issuance of the shares of Common Stock upon exercise of the Public Warrants is not exempt
from registration or qualification under applicable state blue sky laws or the Company is unable to effect such registration or qualification.

 

6.2
Date Fixed for, and Notice of, Redemption. In the event the Company shall elect to redeem all of the Warrants that are subject
to redemption, the Company shall fix a date for the redemption (the “Redemption Date”). Notice of redemption
shall be mailed by first class mail, postage prepaid, by the Company not less than thirty (30) days prior to the Redemption Date to the
Registered Holders of the Warrants to be redeemed at their last addresses as they shall appear on the registration books. Any notice
mailed in the manner herein provided shall be conclusively presumed to have been duly given whether or not the Registered Holder received
such notice.

 

6.3
Exercise After Notice of Redemption. The Warrants may be exercised, for cash (or on a “cashless basis” in accordance
with Section 3 of this Agreement) at any time after notice of redemption shall have been given by the Company pursuant to Section
6.2 hereof and prior to the Redemption Date. In the event the Company determines to require all holders of Warrants to exercise their
Warrants on a “cashless basis” pursuant to Section 3.3.1(b), the notice of redemption will contain the information
necessary to calculate the number of shares of Common Stock to be received upon exercise of the Warrants, including the “Fair Market
Value” in such case. On and after the Redemption Date, the record holder of the Warrants shall have no further rights except to
receive, upon surrender of the Warrants, the Redemption Price.

 

7.
Other Provisions Relating to Rights of Holders of Warrants.

 

7.1
No Rights as Shareholder. A Warrant does not entitle the Registered Holder thereof to any of the rights of a shareholder of the
Company, including, without limitation, the right to receive dividends, or other distributions, exercise any preemptive rights to vote
or to consent or to receive notice as shareholders in respect of the meetings of shareholders or the election of directors of the Company
or any other matter.

 

7.2
Lost, Stolen, Mutilated, or Destroyed Warrants. If any Warrant is lost, stolen, mutilated, or destroyed, the Company and the Warrant
Agent may on such terms as to indemnity or otherwise as they may in their discretion impose (which shall, in the case of a mutilated
Warrant, include the surrender thereof), issue a new Warrant of like denomination, tenor, and date as the Warrant so lost, stolen, mutilated,
or destroyed. Any such new Warrant shall constitute a substitute contractual obligation of the Company, whether or not the allegedly
lost, stolen, mutilated, or destroyed Warrant shall be at any time enforceable by anyone.

 

    	9

     

    

 

7.3
Reservation of Common Stock. The Company shall at all times reserve and keep available a number of its authorized but unissued
shares of Common Stock that will be sufficient to permit the exercise in full of all outstanding Warrants issued pursuant to this Agreement.

 

7.4
Registration of Common Stock. The Company agrees that as soon as practicable after the closing of its initial Business Combination,
it shall use its best efforts to file with the Commission a registration statement for the registration, under the Act, of the shares
of Common Stock issuable upon exercise of the Warrants, and it shall use its best efforts to take such action as is necessary to register
or qualify for sale, in those states in which the Warrants were initially offered by the Company and in those states where holders of
Warrants then reside, the shares of Common Stock issuable upon exercise of the Warrants, to the extent an exemption is not available.
The Company will use its best efforts to cause the same to become effective and to maintain the effectiveness of such registration statement
until the expiration of the Warrants in accordance with the provisions of this Agreement. If any such registration statement has not
been declared effective by the 60th Business Day following the closing of the Business Combination, holders of the Warrants
shall have the right, during the period beginning on the 61st Business Day after the closing of the Business Combination and
ending upon such registration statement being declared effective by the Commission, and during any other period when the Company shall
fail to have maintained an effective registration statement covering the shares of Common Stock issuable upon exercise of the Warrants,
to exercise such Warrants on a “cashless basis” as determined in accordance with Section 3.3.1(c). The Company shall
provide the Warrant Agent with an opinion of counsel for the Company (which shall be an outside law firm with securities law experience)
stating that (i) the exercise of the Warrants on a cashless basis in accordance with this Section 7.4 is not required to be registered
under the Securities Act and (ii) the shares of Common Stock issued upon such exercise will be freely tradable under U.S. federal securities
laws by anyone who is not an affiliate (as such term is defined in Rule 144 under the Act) of the Company and, accordingly, will not
be required to bear a restrictive legend. For the avoidance of any doubt, unless and until all of the Warrants have been exercised on
a cashless basis, the Company shall continue to be obligated to comply with its registration obligations under the first three sentences
of this Section 7.4. 

 

8.
Concerning the Warrant Agent and Other Matters.

 

8.1
Payment of Taxes. The Company will from time to time promptly pay all taxes and charges that may be imposed upon the Company or
the Warrant Agent in respect of the issuance or delivery of the shares of Common Stock upon the exercise of Warrants, but the Company
shall not be obligated to pay any transfer taxes in respect of the Warrants or such shares.

 

8.2
Resignation, Consolidation, or Merger of Warrant Agent. 

 

8.2.1
Appointment of Successor Warrant Agent. The Warrant Agent, or any successor to it hereafter appointed, may resign its duties and
be discharged from all further duties and liabilities hereunder after giving sixty (60) days’ notice in writing to the Company.
If the office of the Warrant Agent becomes vacant by resignation or incapacity to act or otherwise, the Company shall appoint in writing
a successor Warrant Agent in place of the Warrant Agent. If the Company shall fail to make such appointment within a period of thirty
(30) days after it has been notified in writing of such resignation or incapacity by the Warrant Agent or by the holder of the Warrant
(who shall, with such notice, submit his Warrant for inspection by the Company), then the holder of any Warrant may apply to the Supreme
Court of the State of New York for the County of New York for the appointment of a successor Warrant Agent at the Company’s cost.
Any successor Warrant Agent, whether appointed by the Company or by such court, shall be a corporation organized and existing under the
laws of the State of New York, in good standing and having its principal office in the Borough of Manhattan, City and State of New York,
and authorized under such laws to exercise corporate trust powers and subject to supervision or examination by federal or state authority.
After appointment, any successor Warrant Agent shall be vested with all the authority, powers, rights, immunities, duties, and obligations
of its predecessor Warrant Agent with like effect as if originally named as Warrant Agent hereunder, without any further act or deed;
but if for any reason it becomes necessary or appropriate, the predecessor Warrant Agent shall execute and deliver, at the expense of
the Company, an instrument transferring to such successor Warrant Agent all the authority, powers, and rights of such predecessor Warrant
Agent hereunder; and upon request of any successor Warrant Agent the Company shall make, execute, acknowledge, and deliver any and all
instruments in writing for more fully and effectually vesting in and confirming to such successor Warrant Agent all such authority, powers,
rights, immunities, duties, and obligations.

 

    	10

     

    

 

8.2.2
Notice of Successor Warrant Agent. In the event a successor Warrant Agent shall be appointed, the Company shall give notice thereof
to the predecessor Warrant Agent and the Transfer Agent for the Common Stock not later than the effective date of any such appointment.

 

8.2.3
Merger or Consolidation of Warrant Agent. Any corporation into which the Warrant Agent may be merged or with which it may be consolidated
or any corporation resulting from any merger or consolidation to which the Warrant Agent shall be a party shall be the successor Warrant
Agent under this Agreement without any further act.

 

8.3
Fees and Expenses of Warrant Agent.

 

8.3.1
Remuneration. The Company agrees to pay the Warrant Agent reasonable remuneration for its services as such Warrant Agent hereunder
and will reimburse the Warrant Agent upon demand for all expenditures that the Warrant Agent may reasonably incur in the execution of
its duties hereunder.

 

8.3.2
Further Assurances. The Company agrees to perform, execute, acknowledge, and deliver or cause to be performed, executed, acknowledged,
and delivered all such further and other acts, instruments, and assurances as may reasonably be required by the Warrant Agent for the
carrying out or performing of the provisions of this Agreement.

 

8.4
Liability of Warrant Agent.

 

8.4.1
Reliance on Company Statement. Whenever in the performance of its duties under this Agreement, the Warrant Agent shall deem it
necessary or desirable that any fact or matter be proved or established by the Company prior to taking or suffering any action hereunder,
such fact or matter (unless other evidence in respect thereof be herein specifically prescribed) may be deemed to be conclusively proved
and established by a statement signed by the Chief Executive Officer, Chief Financial Officer, Chief Operating Officer, President, Secretary
or Chairman of the Board of Directors of the Company and delivered to the Warrant Agent. The Warrant Agent may rely upon such statement
for any action taken or suffered in good faith by it pursuant to the provisions of this Agreement.

 

8.4.2
Indemnity. The Warrant Agent shall be liable hereunder only for its own fraud, gross negligence, willful misconduct or bad faith.
The Company agrees to indemnify the Warrant Agent and save it harmless against any and all liabilities, including judgments, costs and
reasonable counsel fees, for anything done or omitted by the Warrant Agent in the execution of this Agreement except as a result of the
Warrant Agent’s fraud, gross negligence, willful misconduct, or bad faith.

 

8.4.3
Exclusions. The Warrant Agent shall have no responsibility with respect to the validity of this Agreement or with respect to the
validity or execution of any Warrant (except its countersignature thereof); nor shall it be responsible for any breach by the Company
of any covenant or condition contained in this Agreement or in any Warrant; nor shall it be responsible to make any adjustments required
under the provisions of Section 4 hereof or responsible for the manner, method, or amount of any such adjustment or the ascertaining
of the existence of facts that would require any such adjustment; nor shall it by any act hereunder be deemed to make any representation
or warranty as to the authorization or reservation of any shares of Common Stock to be issued pursuant to this Agreement or any Warrant
or as to whether any shares of Common Stock will, when issued, be valid and fully paid and nonassessable.

 

8.5
Acceptance of Agency. The Warrant Agent hereby accepts the agency established by this Agreement and agrees to perform the same
upon the terms and conditions herein set forth and among other things, shall account promptly to the Company with respect to Warrants
exercised and concurrently account for, and pay to the Company, all monies received by the Warrant Agent for the purchase of the shares
of Common Stock through the exercise of Warrants.

 

    	11

     

    

 

9.
Miscellaneous Provisions.

 

9.1
Successors. All the covenants and provisions of this Agreement by or for the benefit of the Company or the Warrant Agent shall
bind and inure to the benefit of their respective successors and assigns.

 

9.2
Notices. Any notice, statement or demand authorized by this Agreement to be given or made by the Warrant Agent or by the holder
of any Warrant to or on the Company shall be sufficiently given when so delivered if by hand or overnight delivery or if sent by certified
mail or private courier service within five (5) days after deposit of such notice, postage prepaid, addressed (until another address
is filed in writing by the Company with the Warrant Agent), as follows:

 

Parsec
Capital Acquisitions Corp

320
W. Main Street

Lewisville,
TX 75057

Attn.:
Patricia Trompeter, Chief Executive Officer

 

with
a copy to:

 

Sichenzia
Ross Ference LLP

1185
Avenue of the Americas

Floor
31

New
York, NY 10036

(212)-930-9700

Attn:
Arthur Marcus

 

Any
notice, statement or demand authorized by this Agreement to be given or made by the holder of any Warrant or by the Company to or on
the Warrant Agent shall be sufficiently given when so delivered if by hand or overnight delivery or if sent by certified mail or private
courier service within five days after deposit of such notice, postage prepaid, addressed (until another address is filed in writing
by the Warrant Agent with the Company), as follows:

 

Continental
Stock Transfer & Trust Company

1
State Street, 30th Floor

New
York, New York 10004

Attn:
Compliance Department

 

9.3
Applicable Law and Exclusive Forum. The validity, interpretation, and performance of this Agreement and of the Warrants shall
be governed in all respects by the laws of the State of New York, without giving effect to conflicts of law principles that would result
in the application of the substantive laws of another jurisdiction. Subject to applicable law, the Company hereby agrees that any action,
proceeding or claim against it arising out of or relating in any way to this Agreement, including under the Securities Act, shall be
brought and enforced in the courts of the City of New York, County of New York, State of New York or the United States District Court
for the Southern District of New York, and irrevocably submits to such jurisdiction, which jurisdiction shall be exclusive forum for
any such action, proceeding or claim. The Company hereby waives any objection to such exclusive jurisdiction and that such courts represent
an inconvenient forum. Notwithstanding the foregoing, the provisions of this paragraph will not apply to suits brought to enforce any
liability or duty created by the Exchange Act or any other claim for which the federal district courts of the United States of America
are the sole and exclusive forum.

 

Any
person or entity purchasing or otherwise acquiring any interest in the Warrants shall be deemed to have notice of and to have consented
to the forum provisions in this Section 9.3. If any action, the subject matter of which is within the scope the forum provisions
above, is filed in a court other than a court located within the State of New York or the United States District Court for the Southern
District of New York (a “foreign action”) in the name of any warrant holder, such warrant holder shall be deemed
to have consented to: (x) the personal jurisdiction of the state and federal courts located within the State of New York or the United
States District Court for the Southern District of New York in connection with any action brought in any such court to enforce the forum
provisions (an “enforcement action”), and (y) having service of process made upon such warrant holder in any
such enforcement action by service upon such warrant holder’s counsel in the foreign action as agent for such warrant holder.

 

    	12

     

    

 

9.4
Persons Having Rights under this Agreement. Nothing in this Agreement expressed and nothing that may be implied from any of the
provisions hereof is intended, or shall be construed, to confer upon, or give to, any person or corporation other than the parties hereto
and the Registered Holders of the Warrants any right, remedy, or claim under or by reason of this Agreement or of any covenant, condition,
stipulation, promise, or agreement hereof. All covenants, conditions, stipulations, promises, and agreements contained in this Agreement
shall be for the sole and exclusive benefit of the parties hereto and their successors and assigns and of the Registered Holders of the
Warrants.

 

9.5
Examination of the Warrant Agreement. A copy of this Agreement shall be available at all reasonable times at the office of the
Warrant Agent in the Borough of Manhattan, City and State of New York, for inspection by the Registered Holder of any Warrant. The Warrant
Agent may require any such holder to submit his Warrant for inspection by it.

 

9.6
Counterparts. This Agreement may be executed in any number of original or facsimile counterparts and each of such counterparts
shall for all purposes be deemed to be an original, and all such counterparts shall together constitute but one and the same instrument.

 

9.7
Effect of Headings. The section headings herein are for convenience only and are not part of this Agreement and shall not affect
the interpretation thereof.

 

9.8
Amendments. This Agreement may be amended by the parties hereto without the consent of any Registered Holder for the purpose of
(i) curing any ambiguity or to correct any mistake, including to conform the provisions hereof to the description of the terms of the
Warrants and this Agreement set forth in the Prospectus, or curing, correcting or supplementing any defective provision contained herein,
or (ii) adding or changing any other provisions with respect to matters or questions arising under this Agreement as the parties may
deem necessary or desirable and that the parties deem shall not adversely affect the interest of the Registered Holders. All other modifications
or amendments, including any amendment to increase the Warrant Price or shorten the Exercise Period, shall require the written consent
or vote of the Registered Holders of at least 50% of the then outstanding Public Warrants. Notwithstanding the foregoing, the Company
may lower the Warrant Price or extend the duration of the Exercise Period pursuant to Sections 3.1 and 3.2, respectively,
without the consent of the Registered Holders.

 

9.9
Trust Account Waiver. The Warrant Agent acknowledges and agrees that it shall not make any claims or proceed against the trust
account established by the Company in connection with the Offering (as more fully described in the Registration Statement) (“Trust
Account”), including by way of set-off, and shall not be entitled to any funds in the Trust Account under any circumstance.
In the event that the Warrant Agent has a claim against the Company under this Agreement, the Warrant Agent will pursue such claim solely
against the Company and not against the property held in the Trust Account.

 

9.10
Severability. This Agreement shall be deemed severable, and the invalidity or unenforceability of any term or provision hereof
shall not affect the validity or enforceability of this Agreement or of any other term or provision hereof. Furthermore, in lieu of any
such invalid or unenforceable term or provision, the parties hereto intend that there shall be added as a part of this Agreement a provision
as similar in terms to such invalid or unenforceable provision as may be possible and be valid and enforceable.

 

Exhibit
A — Form of Warrant Certificate

 

Exhibit B — Legend

 

[Signature
Page Follows]

 

    	13

     

    

 

IN
WITNESS WHEREOF, this Agreement has been duly executed by the parties hereto as of the day and year first above written.

 

	 	PARSEC
    CAPITAL ACQUISITIONS CORP
	 	 	                  
	 	By:	 
	 	Name:	 
	 	Title:	 
	 	 	 
	 	CONTINENTAL
    STOCK TRANSFER &
	 	TRUST
    COMPANY, as Warrant Agent
	 	 	 
	 	By:	 
	 	Name:	 
	 	Title:	 

 

    	 

     

    

 

EXHIBIT
A

[Form
of Warrant Certificate]

[FACE]

 

Number

 

Warrants

 

THIS
WARRANT SHALL BE VOID IF NOT EXERCISED PRIOR TO

THE EXPIRATION OF THE EXERCISE PERIOD PROVIDED FOR

IN THE WARRANT AGREEMENT DESCRIBED BELOW

 

PARSEC
CAPITAL ACQUISITIONS CORP

Incorporated Under the Laws of the State of Delaware

 

CUSIP
[              ]

 

Warrant
Certificate

 

This
Warrant Certificate certifies that           , or registered assigns, is the Registered Holder of            warrant(s) (the “Warrants”
and each, a “Warrant”) to purchase Class A Common Stock, U.S.$0.0001 par or nominal value per share (“Common
Stock”), of Parsec Capital Acquisitions Corp, a Delaware corporation exempted company (the “Company”).
Each Warrant entitles the holder, upon exercise during the period set forth in the Warrant Agreement referred to below, to receive from
the Company that number of fully paid and non-assessable shares of Common Stock as set forth below, at the exercise price (the “Exercise
Price”) as determined pursuant to the Warrant Agreement, payable in lawful money (or through “cashless exercise”
as provided for in the Warrant Agreement) of the United States of America upon surrender of this Warrant Certificate and payment of the
Exercise Price at the office or agency of the Warrant Agent referred to below, subject to the conditions set forth herein and in the
Warrant Agreement. Defined terms used in this Warrant Certificate but not defined herein shall have the meanings given to them in the
Warrant Agreement.

 

Each
whole Warrant is initially exercisable for one fully paid and non-assessable shares of Common Stock. Fractional shares shall not be issued
upon exercise of any Warrant. If, upon the exercise of Warrant, a holder would be entitled to receive a fractional interest in a share,
the Company shall, upon exercise, round down to the nearest whole number of the number of shares of Common Stock to be issued to the
Warrant holder. The number of shares of Common Stock issuable upon exercise of the Warrants is subject to adjustment upon the occurrence
of certain events set forth in the Warrant Agreement.

 

The
initial Exercise Price per one share Common Stock for any Warrant is equal to $11.50 per share. The Exercise Price is subject to adjustment
upon the occurrence of certain events as set forth in the Warrant Agreement.

 

Subject
to the conditions set forth in the Warrant Agreement, the Warrants may be exercised only during the Exercise Period and to the extent
not exercised by the end of such Exercise Period, such Warrants shall become void.

 

The
Warrants may be redeemed, subject to certain conditions, as set forth in the Warrant Agreement.

 

Reference
is hereby made to the further provisions of this Warrant Certificate set forth on the reverse hereof and such further provisions shall
for all purposes have the same effect as though fully set forth at this place.

 

This
Warrant Certificate shall not be valid unless countersigned by the Warrant Agent, as such term is used in the Warrant Agreement.

 

    	2

     

    

 

This
Warrant Certificate shall be governed by and construed in accordance with the internal laws of the State of New York.

 

	 	PARSEC
    CAPITAL ACQUISITIONS CORP
	 	 	                  
	 	By:	 
	 	Name:	 
	 	Title:	 
	 	 	 
	 	CONTINENTAL
    STOCK TRANSFER
	 	&
    TRUST COMPANY, as Warrant Agent
	 	 	 
	 	By:	 
	 	Name:	 
	 	Title:	 

 

    	3

     

    

 

[Form
of Warrant Certificate]

 

[Reverse]

 

The
Warrants evidenced by this Warrant Certificate are part of a duly authorized issue of Warrants entitling the holder on exercise to receive
[ ] shares of Common Stock and are issued or to be issued pursuant to a Warrant Agreement dated as of [•], 2021 (the “Warrant
Agreement”), duly executed and delivered by the Company to Continental Stock Transfer & Trust Company, a New York corporation,
as warrant agent (the “Warrant Agent”), which Warrant Agreement is hereby incorporated by reference in and
made a part of this instrument and is hereby referred to for a description of the rights, limitation of rights, obligations, duties and
immunities thereunder of the Warrant Agent, the Company and the holders (the words “holders” or “holder”
meaning the Registered Holders or Registered Holder) of the Warrants. A copy of the Warrant Agreement may be obtained by the holder hereof
upon written request to the Company. Defined terms used in this Warrant Certificate but not defined herein shall have the meanings given
to them in the Warrant Agreement.

 

Warrants
may be exercised at any time during the Exercise Period set forth in the Warrant Agreement. The holder of Warrants evidenced by this
Warrant Certificate may exercise them by surrendering this Warrant Certificate, with the form of election to purchase set forth hereon
properly completed and executed, together with payment of the Exercise Price as specified in the Warrant Agreement (or through “cashless
exercise” as provided for in the Warrant Agreement) at the principal corporate trust office of the Warrant Agent. In the event
that upon any exercise of Warrants evidenced hereby the number of Warrants exercised shall be less than the total number of Warrants
evidenced hereby, there shall be issued to the holder hereof or his, her or its assignee, a new Warrant Certificate evidencing the number
of Warrants not exercised.

 

Notwithstanding
anything else in this Warrant Certificate or the Warrant Agreement, no Warrant may be exercised unless at the time of exercise (i) a
registration statement covering the shares of Common Stock to be issued upon exercise is effective under the Securities Act and (ii)
a prospectus thereunder relating to the shares of Common Stock is current, except through “cashless exercise” as provided
for in the Warrant Agreement.

 

The
Warrant Agreement provides that upon the occurrence of certain events the number of shares of Common Stock issuable upon exercise of
the Warrants set forth on the face hereof may, subject to certain conditions, be adjusted. If, upon exercise of a Warrant, the holder
thereof would be entitled to receive a fractional interest in a share of Common Stock, the Company shall, upon exercise, round down to
the nearest whole number of shares of Common Stock to be issued to the holder of the Warrant.

 

Warrant
Certificates, when surrendered at the principal corporate trust office of the Warrant Agent by the Registered Holder thereof in person
or by legal representative or attorney duly authorized in writing, may be exchanged, in the manner and subject to the limitations provided
in the Warrant Agreement, but without payment of any service charge, for another Warrant Certificate or Warrant Certificates of like
tenor evidencing in the aggregate a like number of Warrants.

 

Upon
due presentation for registration of transfer of this Warrant Certificate at the office of the Warrant Agent a new Warrant Certificate
or Warrant Certificates of like tenor and evidencing in the aggregate a like number of Warrants shall be issued to the transferee(s)
in exchange for this Warrant Certificate, subject to the limitations provided in the Warrant Agreement, without charge except for any
tax or other governmental charge imposed in connection therewith.

 

The
Company and the Warrant Agent may deem and treat the Registered Holder(s) hereof as the absolute owner(s) of this Warrant Certificate
(notwithstanding any notation of ownership or other writing hereon made by anyone), for the purpose of any exercise hereof, of any distribution
to the holder(s) hereof, and for all other purposes, and neither the Company nor the Warrant Agent shall be affected by any notice to
the contrary. Neither the Warrants nor this Warrant Certificate entitles any holder hereof to any rights of a shareholder of the Company.

 

    	 

     

    

 

Election
to Purchase

 

(To
Be Executed Upon Exercise of Warrant)

 

The
undersigned hereby irrevocably elects to exercise the right, represented by this Warrant Certificate, to receive [          ] shares of Common
Stock and herewith tenders payment for such shares of Common Stock to the order of Parsec Capital Acquisitions Corp (the “Company”)
in the amount of $[           ] in accordance with the terms hereof. The undersigned requests that a certificate for such shares of Common Stock
be registered in the name of [            ], whose address is and that such shares of Common Stock be delivered to [            ] whose address is [         ]. If
said number of shares of Common Stock is less than all of the shares of Common Stock purchasable hereunder, the undersigned requests
that a new Warrant Certificate representing the remaining balance of such shares of Common Stock be registered in the name of [          ], whose
address is [          ] and that such Warrant Certificate be delivered to [          ], whose address is [          ].

 

In
the event that the Warrant is to be exercised on a “cashless” basis pursuant to the Warrant Agreement, the number of shares
of Common Stock that this Warrant is exercisable for shall be determined in accordance with the Warrant Agreement.

 

In
the event that the Warrant may be exercised, to the extent allowed by the Warrant Agreement, through cashless exercise (i) the number
of shares of Common Stock that this Warrant is exercisable for would be determined in accordance with the relevant section of the Warrant
Agreement which allows for such cashless exercise and (ii) the holder hereof shall complete the following: The undersigned hereby irrevocably
elects to exercise the right, represented by this Warrant Certificate, through the cashless exercise provisions of the Warrant Agreement,
to receive shares of Common Stock. If said number of shares is less than all of the shares of Common Stock purchasable hereunder (after
giving effect to the cashless exercise), the undersigned requests that a new Warrant Certificate representing the remaining balance of
such Common Stocks be registered in the name of [           ], whose address is [           ] and that such Warrant Certificate be delivered to [           ], whose
address is [            ].

 

[Signature
Page Follows]

 

    	 	2	 

    	 

    

 

	Date:
                  , 20[     ]	 
	 	(Signature)
	 	 
	 	 
	 	 
	 	 
	 	(Address)
	 	 
	 	 
	 	(Tax
    Identification Numbers)

 

Signature
Guaranteed

 

 

 

THE
SIGNATURE(S) SHOULD BE GUARANTEED BY AN ELIGIBLE GUARANTOR INSTITUTION (BANKS, STOCKBROKERS, SAVINGS AND LOAN ASSOCIATIONS AND CREDIT
UNIONS WITH MEMBERSHIP IN AN APPROVED SIGNATURE GUARANTEE MEDALLION PROGRAM, PURSUANT TO S.E.C. RULE 17Ad-15 UNDER THE SECURITIES EXCHANGE
ACT OF 1934, AS AMENDED (OR ANY SUCCESSOR RULE)).

 

    	 

     

    

 

EXHIBIT
B

 

PRIVATE
PLACEMENT WARRANTS, WORKING CAPITAL WARRANTS, AND EXTENSION WARRANTS LEGEND

 

“THE
SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR ANY STATE SECURITIES
LAWS, AND MAY NOT BE OFFERED, SOLD, TRANSFERRED OR OTHERWISE DISPOSED OF UNLESS REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED,
AND ANY APPLICABLE STATE SECURITIES LAWS OR AN EXEMPTION FROM REGISTRATION IS AVAILABLE. IN ADDITION, SUBJECT TO ANY ADDITIONAL LIMITATIONS
ON TRANSFER DESCRIBED IN THE LETTER AGREEMENT BY AND AMONG PARSEC CAPITAL ACQUISITIONS CORP (THE “COMPANY”),
PARSEC ACQUISITIONS SPONSOR LLC AND THE OTHER PARTIES THERETO, THE SECURITIES REPRESENTED BY THIS CERTIFICATE MAY NOT BE SOLD OR TRANSFERRED
PRIOR TO THE DATE THAT IS THIRTY (30) DAYS AFTER THE DATE UPON WHICH THE COMPANY COMPLETES ITS INITIAL BUSINESS COMBINATION (AS DEFINED
IN SECTION 3 OF THE WARRANT AGREEMENT REFERRED TO HEREIN) EXCEPT TO A PERMITTED TRANSFEREE (AS DEFINED IN SECTION 2 OF THE WARRANT AGREEMENT)
WHO AGREES IN WRITING WITH THE COMPANY TO BE SUBJECT TO SUCH TRANSFER PROVISIONS.

 

SECURITIES
EVIDENCED BY THIS CERTIFICATE AND COMMON STOCKS OF THE COMPANY ISSUED UPON EXERCISE OF SUCH SECURITIES SHALL BE ENTITLED TO REGISTRATION
RIGHTS UNDER A REGISTRATION RIGHTS AGREEMENT TO BE EXECUTED BY THE COMPANY.”

 

No.
WarrantsExhibit 10.3

 

ANPAC BIO-MEDICAL SCIENCE
CO., LTD.

AMENDED AND RESTATED
2019 SHARE INCENTIVE PLAN

 

Amended and Restated
on July 5, 2021 (the “Effective Date”)

 

1.    Purpose
of the Plan

 

The
purpose of the Amended and Restatement 2019 Share Incentive Plan (the “Plan”) is to promote the interests of Anpac
Bio-Medical Science Co., Ltd. (the “Company”) and its shareholders by providing grantees with an appropriate incentive
to encourage them to continue contribution to the Company or its subsidiaries and to improve the growth, profitability and financial success
of the Company and its subsidiaries.

 

2.    Definitions

 

As
used in this Plan and in any Award Agreement, the following capitalized terms shall have the following meanings:

 

(a)    “Affiliate” shall
mean, with respect to any Person, any other Person directly or indirectly controlling, controlled by or under direct or indirect common
control with such Person; provided, that no shareholder of the Company shall be deemed an Affiliate of any other shareholder
solely by reason of any investment in the Company. For the purpose of this definition, the term “control” (including, with
correlative meanings, the terms “controlling,” “controlled by” and “under common control with”), as
used with respect to any Person, shall mean the possession, directly or indirectly, of the power to direct or cause the direction of the
management and policies of such Person, whether through the ownership of voting securities, by contract or otherwise.

 

(b)    “Award” shall
mean any award granted pursuant to the terms of the Plan which shall be denominated in, or shall have a value determined by reference
to, a number of Shares that is specified at the time of the grant of such award, and includes, but is not limited to, Options.

 

(c)    “Board” shall
mean the Board of Directors of the Company.

 

(d)    “Cause” shall
mean, when used in connection with the termination of a Participant’s Employment, unless otherwise provided in the Participant’s
Award Agreement, (i) a material failure of the Participant to reasonably and substantially perform his or her duties to the Company
or any of its Affiliates (other than as a result of physical or mental illness or injury); (ii) the Participant’s willful misconduct
or gross negligence which is injurious to the Company, any of its Affiliates (whether financially, reputationally or otherwise); (iii) a
breach by the Participant of the Participant’s fiduciary duty or duty of loyalty to the Company or its Affiliates; (iv) the
Participant’s unauthorized removal from the premises of the Company or any of its Affiliates of any document (in any medium or form)
relating to the Company or any of its Affiliates, or the customers of the Company or any of its Affiliates; (v) the commission by
the Participant of any felony or other serious crime; (vi) a breach by the Participant of the terms of any agreement with the Company
or any Affiliate or any material Company policies, including without limitation any provision of this Plan or the Award Agreement; or
(vii) Competing. If, subsequent to the termination of a Participant’s Employment, it is discovered that Participant engaged
in conduct which the Committee determines in good faith could have resulted in Participant’s Employment being terminated for Cause,
as such term is defined above, or if the Participant Competes, the Participant’s Employment shall, at the election of the Committee,
in its sole discretion, be deemed to have been terminated for Cause retroactively to the date the events giving rise to Cause occurred.

 

(e)    “Change
in Control” shall mean (i) any Person or Group becoming the beneficial owner (within the meaning of Section 13(d) of
the Exchange Act), directly or indirectly, of securities representing more than 50% of the aggregate outstanding voting power or value
of the equity of the Company and such Person or Group actually has the power to vote such securities, (ii) the liquidation or dissolution
of the Company or any successor to the Company or (iii) a sale or transfer of all or substantially all of the assets of the Company
and its subsidiaries, taken as a whole, and distribution of substantially all of the proceeds of such sale or transfer to the shareholders
of the Company; provided however, that neither a Public Offering or any related restructuring will constitute a Change in Control.

 

    	 	 	 

     

    

 

(f)    “Committee” shall
mean the compensation committee of the Board or such other committee as appointed by the Board from time to time to administer the Plan
pursuant to Section 3, and if no such committee exists or has been appointed, the Board.

 

(g)    “Company” shall
mean AnPac Bio-Medical Science Co., Ltd., a British Virgin Islands, or BVI, business company limited by shares under the
BVI Business Companies Act.

 

(h)    “Compete” shall
mean with respect to any Participant, unless otherwise provided in the Participant’s Award Agreement, (i) during Employment
and for the twenty-four (24) month period following the termination of such Participant’s Employment, become an Employee, director,
or independent contractor, stockholder, beneficial owner or other owner (other than a holder of less than 1% of the outstanding voting
shares of any publicly held company) of, or a consultant to, or perform any services for, any Person that engages or proposes to engage,
directly or indirectly, including through any Affiliate, or in connection with any acquisition that would result in such Person engaging,
in the business that the Company or any of its subsidiaries is engaged in or the Board has approved to be engaged in before the termination
of such Participant’s Employment (the “Competing Business”), or (ii) solicit or hire or attempt to solicit
or hire, as applicable, (x) any customer or supplier of the Company or any of its subsidiaries in connection with a Competing Business
or to terminate or alter in a manner adverse to the Company or any of its subsidiaries such customer’s or supplier’s relationship
with the Company or any of its subsidiaries, or (y) any Employee or individual who was an Employee within the six (6) month
period immediately prior thereto to terminate or otherwise alter his or her Employment with the Company or any of its subsidiaries, or
(iii) at any time during or following Employment, disclosing or using any Confidential Information, except in the course of a Participant’s
Employment or as required by legal process (provided that if the Participant receives legal process with regard to disclosure
of such Confidential Information, the Participant shall promptly notify the Company and cooperate with the Company in seeking a protective
order with respect to such Confidential Information). “Competed” and “Competing” shall
have correlative meanings.

 

(i)    “Confidential
Information” shall mean all information regarding the Company or any of its subsidiaries, any Company activity or the activity
of any such other Person, Company business or the business of any such other Person or any customer or supplier of the Company or any
of its subsidiaries that is not generally known by the public or to Persons not employed by the Company or any such other Person, including,
without limiting the foregoing, information that would not be known to the public but for the actions of or disclosure by, directly or
indirectly, the Participant.

 

(j)    “Disability” shall
mean with respect to any Participant, unless otherwise provided in the Participant’s Award Agreement, the Participant is unable
to perform the essential functions of his position with substantially the same level of quality as immediately prior to such incapacity
by reason of any medically determinable physical or mental impairment which has lasted or can reasonably be expected to last for a period
of ninety (90) or more consecutive days or one hundred and twenty (120) days during any consecutive six (6) month period,
as determined by a physician to be selected by the Company.

 

(k)    “Eligible
Individual” shall mean any Employee of the Company or its subsidiaries who in the judgment of the Committee, should be
eligible to participate in the Plan due to the services performed on behalf of the Company or its subsidiaries.

 

(l)    “Employment” shall
mean employment or other service relationship with the Company or any of its subsidiaries and shall include the provision of services
as a director, service provider, advisor or consultant for the Company or any of its subsidiaries. “Employee” and “Employed” shall
have correlative meanings. Employment will be deemed to continue, unless the Committee expressly provides otherwise, so long as the Participant
is employed by, or otherwise is providing services to the Company or one of its subsidiaries. If a Participant’s Employment is with
a subsidiary and that entity ceases to be a subsidiary of the Company, the Participant’s Employment will be deemed to have terminated
when the entity ceases to be a subsidiary of the Company unless the Participant transfers Employment to the Company or one of its remaining
Affiliates.

 

    	 	 	 

     

    

 

(m)    “Employment
Agreement” shall mean a Participant’s employment or other service agreement with the Company or any of its subsidiaries
to provide services as an Employee, director, service provider, advisor or consultant for the Company or any of its subsidiaries.

 

(n)    “Exchange
Act” shall mean the Securities Exchange Act of 1934, as amended.

 

(o)    “Exercise
Date” shall have the meaning set forth in Section 4.6 herein.

 

(p)    “Exercise
Notice” shall have the meaning set forth in Section 4.6 herein.

 

(q)    “Exercise
Price” shall mean the price that the Participant must pay under an Option for each Share, as determined by the Committee
for each grant and initially specified in the Award Agreement, which shall be no less than the Fair Market Value of a Share on the Grant
Date subject to any increase or other adjustment that may be made following the Grant Date in accordance with the Plan.

 

(r)    “Fair
Market Value” shall mean, with respect to the value of a Share, as of the applicable date of determination, the closing
price as reported on the date of determination on the principal securities exchange on which Shares are then listed or admitted to trading
(or if the market is not open for trading on such date, the immediately preceding day on which the market is open for trading). In the
event that the price of a Share shall not be so reported, the Fair Market Value of a Share shall be determined by the Committee in its
sole discretion.

 

(s)    “Award
Agreement” shall mean an agreement entered into by each Participant and the Company evidencing the grant of an Award.

 

(t)    “Grant
Date” shall be the date designated by the Committee and specified in the Award Agreement as of the date the Award is granted.

 

(u)    “Group” has
the meaning assigned to such term for purposes of Section 13(d) under the Exchange Act.

 

(v)    “Option” shall
mean an option to purchase Shares granted to any Participant under Section 4 of the Plan.

 

(w)    “Participant” shall
mean a Person to whom a grant of an Award has been made pursuant to the Plan, and, where applicable, shall include Permitted Transferees.

 

(x)    “Permitted
Transferee” shall have the meaning set forth in Section 8.2.

 

(y)    “Person” means
an individual, partnership, corporation, limited liability company, unincorporated organization, non-profit organization, trust
or joint venture, or a governmental agency or political subdivision thereof.

 

(z)    “Public
Offering” means any public offering and sale of equity securities of the Company or any of its subsidiaries, or any of
their respective successors for cash pursuant to an effective registration statement (other than on Form S-4, S-8 or a
comparable form) under the Securities Act.

 

(aa)    “Share” shall
mean the Class A ordinary shares of the Company, par value US$0.01 per share.

 

(bb)    “Securities
Act” shall mean the Securities Act of 1933, as amended.

 

(cc)    “Specified
Termination” shall mean a termination of the Participant’s Employment (i) by the Company or any of its subsidiaries,
as applicable, for Cause, (ii) by the Participant for any reason or (iii) due to death or Disability of the Participant.

 

    	 	 	 

     

    

 

(dd)    “Transfer” shall
mean any transfer, sale, assignment, hedge, gift, testamentary transfer, pledge, hypothecation or other disposition of any interest. “Transferee” and “Transferor” shall
have correlative meanings.

 

3.    Reserve;
Administration of the Plan

 

3.1.    Reserve.
Subject to adjustment as provided in Section 7 hereof, the Committee may grant Awards in respect of 1,885,300 Shares to Participants
pursuant to the Plan. To the extent that any Award granted under the Plan terminates, expires or is canceled without having been exercised
or settled, the Shares covered by such Award shall again be available for grant under the Plan. Shares delivered by the Company under
the Plan may be authorized but unissued Shares or previously issued Shares acquired by the Company. Unless the Committee determines otherwise,
no fractional Shares will be delivered under the Plan.

 

3.2.    Grant
of Awards. The Committee shall have the power to grant Awards. The Committee, in its discretion, may delegate its authority to
grant Awards to an officer or committee of officers of the Company, subject to reasonable limits and guidelines established by the Committee
at the time of such delegation and subject to applicable laws.

 

3.3.    Powers
of the Committee. The Committee shall have the general power to administer the Plan. In addition to the other powers granted to
the Committee under the Plan, the Committee shall specifically have the power to (a) to determine the Eligible Individuals to whom
Awards shall be granted; (b) to determine the time or times when grants of Awards shall be made and to determine the number of Shares
subject to each Award; (c) to determine, modify or waive the terms and conditions of any Award; (d) to prescribe the form of
and terms and conditions of any instrument evidencing an Award, so long as such terms and conditions are not otherwise inconsistent with
the terms of the Plan; (e) in connection with any merger, acquisition or similar transaction involving the Company, to grant Awards
pursuant to the Plan that constitute a rollover of incentive compensation awards previously granted, subject to such terms and conditions
as the Committee shall determine, without regard to the limitations provided in Section 3.1 above or in any other provision hereof;
(f) to adopt, amend and rescind such rules and regulations as, in its opinion, may be advisable for the administration of the
Plan; (g) to construe and interpret the Plan, such rules and regulations and the instruments evidencing Awards; (h) to
reconcile any inconsistency, correct any defect and/or supply any omission in the Plan or any instrument evidencing any Award; and (i) to
make all other determinations necessary or advisable for the administration of the Plan and otherwise do all things necessary to carry
out the purposes of the Plan.

 

3.4.    Determinations
of the Committee. Any grant, determination, prescription or other act of the Committee shall be made in good faith and shall be
final and conclusively binding upon all Persons.

 

3.5.    Indemnification
of the Committee. No member of the Committee nor any employees, shareholders, directors or associates of the Company or its
Affiliates shall be liable for any action or determination made in good faith with respect to the Plan or any Award thereunder. To the
full extent permitted by law, the Company shall indemnify and hold harmless each Person made or threatened to be made a party to any civil
or criminal action or proceeding by reason of the fact that such Person, or such Person’s testator or intestate, is or was a member
of the Committee or an employee, shareholder, director or associate of the Company or its Affiliates, to the extent such criminal or civil
action or proceeding relates to the Plan or any grant made pursuant to the Plan.

 

3.6.    Compliance
with Applicable Law; Securities Matters; Effectiveness of Option Exercise. The Company shall be under no obligation to effect
the registration pursuant to the Securities Act of any Shares to be issued hereunder or to effect similar compliance under any state or non-U.S. laws.
Notwithstanding anything herein to the contrary, the Company shall not be required to issue or deliver any certificates evidencing the
Shares pursuant to the exercise of any Options or grant or settlement of any other Awards, which Shares shall be evidenced by book-entry
in the books and records of the Company, and may only issue such certificates or make such book entry in the event the Committee has determined,
with advice of counsel, that the issuance and delivery of such certificates or making of such book entry is in compliance with all applicable
laws, regulations of governmental authorities and, if applicable, the requirements of any exchange on which the Shares are listed or traded.
In addition to the terms and conditions provided herein, the Committee may require that a Participant make such reasonable covenants,
agreements and representations as the Committee, in its discretion, deems advisable in order to comply with any such laws, regulations
or requirements. The Committee may, in its discretion, defer the effectiveness of an exercise, or delay the exercisability, grant, or
settlement, of an Award hereunder or the issuance or transfer of the Shares pursuant to any Option or other Award pending or to help ensure
compliance under applicable federal, state or non-U.S. securities laws and any exemptions therefrom on which the Company may
be relying. The Committee shall inform the Participant in writing of its decision to defer the effectiveness of the exercise of an Option
or the issuance or transfer of the Shares pursuant to any Option or other Award. During the period that the effectiveness of the exercise
of an Option has been deferred, the Participant may, by written notice, withdraw such exercise and obtain the refund of any amount paid
with respect thereto.

 

    	 	 	 

     

    

 

3.7.    Inconsistent
Terms. In the event of a conflict between the terms of the Plan and the terms of any Award Agreement, the terms of
the Plan shall govern except as otherwise expressly provided herein.

 

3.8.    Plan
Term. The Committee shall not grant any Award under this Plan on or after the tenth (10th) anniversary of the
Effective Date. All Awards which remain outstanding after such date shall continue to be governed by the Plan and the applicable Award
Agreement(s).

 

3.9.    Acceptance
of Terms. By accepting (or, under such rules as the Committee may prescribe, being deemed to have accepted) an Award,
the Participant shall be deemed to have agreed to the terms of the Award Agreement and the Plan.

 

4.    Options

 

4.1.    Grant
of Options. Each Option granted pursuant to the Plan shall be subject to terms and conditions established by the Committee
consistent with the Plan.

 

4.2.    Exercise
Price. Each Option shall represent a right to purchase the Shares subject thereto at the Exercise Price established thereunder.

 

4.3.    Vesting
of Options. The Committee shall specify in the Award Agreement the conditions upon which an Option shall become vested.

 

4.4.    Forfeiture. All
Options, whether vested or unvested, shall expire on the tenth (10th) anniversary of their Grant Date unless such Options expire
earlier as provided below. Unless otherwise specified in the Award Agreement, upon termination of a Participant’s Employment for
any reason, all unvested outstanding Options held by such Participant or such Participant’s Transferee shall be immediately forfeited.
In addition, unless otherwise specified in the Award Agreement, upon a Specified Termination prior to exercise of a vested Option, the
Participant’s right to Shares in connection therewith shall be forfeited. Notwithstanding anything herein to the contrary, if a
Participant commits a breach of any negative covenants of his or her Employment Agreement (if any) or the Award Agreement, all Options,
whether vested or not, and all Shares issued as a result of any exercise of Options by the Participant, shall be forfeited and cancelled
without any consideration and without any further action by the Participant.

 

4.5.    Exercise
of Options. Subject to Section 3.6 hereof, a Participant (or the Participant’s Permitted Transferee, if applicable)
may exercise any or all of such Participant’s vested Options only during the period (i) beginning on the date upon which the
relevant Option vests pursuant to the Plan and the Participant’s Award Agreement and (ii) ending on the date on which the relevant
Option expires in accordance with Section 4.4 hereof. The Participant (or the Participant’s Permitted Transferee, if applicable)
may effectuate any such exercise by serving an Exercise Notice on the Company as provided in Section 4.6 hereof.

 

4.6.    Method
of Exercise. The Option shall be exercised by delivery of written notice to the Company at the address provided in Section 8.7
hereof (the “Exercise Notice”), which if the Committee so determines may be an electronic notice, to the attention
of Ms. Lisa Ying, Secretary of the Board (or such other person as the Committee shall designate from time to time), no less than
five business days in advance of the effective date of the proposed exercise (the “Exercise Date”). Such notice shall
(a) specify the number of Shares with respect to which the Option is being exercised, the Grant Date of such Option and the Exercise
Date, (b) be signed (including electronic signature in form acceptable to the Committee) by the Participant (or his or her Permitted
Transferee, if applicable), and (c) if the Option is being exercised by the Participant’s Permitted Transferee(s), such Permitted
Transferee(s) shall indicate in writing that they agree to and shall be bound by the Plan and Award Agreement as if they had been
original signatories thereto (as provided in Section 8.2 hereof). The Exercise Notice shall include payment in cash for an amount
equal to the Exercise Price multiplied by the number of Shares specified in such Exercise Notice or any other method approved by the Committee
in writing. The Committee may, at its sole discretion, permit the person exercising an Option to make the above-described payments on
a cashless basis under which the Shares otherwise deliverable under the Award and having a Fair Market Value equal to the Exercise Price
are withheld by the Company. The partial exercise of an Option, alone, shall not cause the expiration, termination or cancellation of
the remaining portion of such Option.

 

    	 	 	 

     

    

 

4.7.    Tax
Withholding. The Committee is authorized to withhold from any payment to a Participant such amounts as are required to be
withheld by applicable tax law in connection with any Award. Each Participant shall be responsible for the payment of applicable
withholding and other taxes in cash that may become due in connection with the exercise, grant, or settlement of an Option. The Committee
may permit a Participant to satisfy such obligation through the delivery of unrestricted Shares that have a Fair Market Value equal to
the amount required to be paid.

 

5.    Other
Awards. The Committee may from time to time grant other Awards not otherwise described herein in such amounts and on such terms
as it shall determine, subject to the terms and conditions set forth in the Plan. Without limiting the generality of the preceding sentence,
each such Award may (a) involve the transfer of Shares to Participants, either at the Grant Date or thereafter, or payment of amounts
based on the value of Shares and (b) be subject to performance-based and/or service-based conditions.

 

6.    Unfunded
Status of Awards. The Plan is intended to be an “unfunded” plan for incentive compensation. With respect to any payments
not yet made to a Participant pursuant to an Award, nothing contained in the Plan or any Award Agreement shall give the Participant any
rights that are greater than those of a general creditor of the Company.

 

7.    Certain
Adjustments

 

7.1.    Mergers, etc. The
Committee shall, in its sole discretion, determine the effect of a Change in Control on Awards, which determination may include, but is
not limited to, one or more of the following actions on such terms and conditions as it deems appropriate:

 

(a)    Assumption
or Substitution. If the Change in Control is one in which there is an acquiring or surviving entity, the Committee may provide for
the assumption or continuation of some or all outstanding Awards or for the grant of new awards in substitution therefor by the acquiror
or survivor or an Affiliate of the acquiror or survivor.

 

(b)    Cash-Out of
Awards. If the Change in Control is one in which holders of Shares will receive upon consummation a payment (whether cash, non-cash or
a combination of the foregoing), then subject to Section 7.1(e) the Committee may provide for payment (a “cash-out”),
with respect to some or any portion of each outstanding Award, in an amount and form determined by the Committee, which in the case of
an Option or any portion thereof shall equal the excess, if any, of (A) the Fair Market Value of one Share multiplied by the number
of Shares subject to the Option or such portion, over (B) the aggregate exercise price of the Option or such portion (which may be
zero in which case such Option may be terminated by the Company without any payment therefor), on such payment terms (which need not be
the same as the terms of payment to holders of Shares) and other terms, and subject to such conditions, as the Committee determines.

 

(c)    Acceleration
of Certain Awards. The Committee may provide that all or a portion of each grant of Options or other Awards will become fully vested,
and in the case of Options, will become exercisable for a specified period of time prior to the Change in Control.

 

(d)    Termination
of Awards. Each Award (other than Awards assumed pursuant to Section 7.1(a)) will terminate upon consummation of the Change in
Control.

 

(e)    Additional
Limitations. Any Share and any cash or other property delivered pursuant to Section 7.1 (b) or Section 7.1(c) with
respect to an Award may, in the discretion of the Committee, continue to be subject to such restrictions, if any, as the Committee deems
appropriate to reflect any performance or other vesting conditions to which the Award was subject and that did not lapse (and were not
satisfied) in connection with the Change in Control. For purposes of the immediately preceding sentence, a cash out under Section 7.1
(b) or the acceleration of exercisability or settlement of an Award under Section 7.1(c) shall not, in and of itself, be
treated as the lapsing (or satisfaction) of a performance or other vesting condition.

 

    	 	 	 

     

    

 

7.2.    Changes
in and Distributions With Respect to Shares.

 

(a)    Basic
Adjustment Provisions. In the event of a distribution, split or combination of interests (including a reverse split), or recapitalization,
the Committee shall make appropriate adjustments, as determined by the Committee in its discretion, to the maximum number of Shares specified
in Section 3 that may be delivered under the Plan and shall also make appropriate adjustments to the number and kind of Shares subject
to Awards then outstanding or subsequently granted, the exercise prices relating to Options and any other provision of Awards affected
by such change to prevent the enlargement or dilution of rights with respect to the number of Shares subject to grant under this Plan,
the number of Shares subject to the Awards and/or the Exercise Price per Share.

 

(b)    Certain
Other Adjustments. The Committee shall also make adjustments of the type described in Section 7.2(a) above to take into
account distributions to shareholders other than those provided for in Section 7.1 and 7.2(a), or any other event, if the Committee
determines that adjustments are appropriate to avoid distortion in the operation of the Plan and to preserve the value of Awards made
hereunder. In addition, in the event of a corporate acquisition or similar corporate transaction involving the Company or its Affiliates,
the Committee may make such adjustments to any performance-based vesting conditions applicable to any then-outstanding Awards as it reasonably
determines in good faith are appropriate to avoid distortion in the value of such Awards.

 

(c)    Continuing
Application of Plan Terms. References in the Plan to Shares will be construed to include any equity interests, stock or securities
resulting from an adjustment pursuant to this Section 7.

 

7.3.    Increase
or Decrease in Issued Shares Without Consideration. Subject to any required action by the shareholders of the Company, in
the event of any increase or decrease in the number of issued Shares resulting from a subdivision or consolidation of Shares , or any
other increase or decrease in the number of such Shares effected without receipt of consideration by the Company (including the payment
of an extraordinary dividend), the Committee shall make such proportionate adjustments as it determines in its discretion to be necessary
or appropriate with respect to the number of Shares subject to grant under this Plan, the number of Shares subject to outstanding Awards
and/or the Exercise Price per Share; provided that in the case of extraordinary dividends, the Company may pay an equivalent cash bonus
to the Participants upon vesting of the Awards in lieu of adjusting such Awards as the Committee may determine in its discretion.

 

7.4.    Tax
Requirements. Any adjustments or changes to Awards or the Shares pursuant to this Section 7 shall be made in accordance
with any applicable tax laws.

 

8.    Miscellaneous

 

8.1.    Amendment
of Terms of Awards. The Committee may, in its discretion, amend the Plan or terms of any Award, provided, however,
that any such amendment shall not materially impair or otherwise materially adversely affect the Participants’ existing rights under
the Plan or such Award without such Participant’s written consent, unless the Committee expressly reserved the right to make such
amendment at the time the Award was granted, including for example any adjustment pursuant to Section 7 hereof.

 

8.2.    Transfer
of Awards.

 

(a)    Limitation
on Transfer. Each Option granted to a Participant shall be exercisable only by such Participant, provided that a Participant may assign
or transfer his or her rights with respect to any or all of an Award to (i) a trust that was established solely for tax planning
purposes and not for purposes of profit or commercial activity, or (ii) to one or more “family members” (as such term
is defined in SEC Rule 701 promulgated under the Securities Act of 1933, as amended) by gift or pursuant to a qualified domestic
relations order, or (iii) to such Participant’s beneficiaries or estate upon the death of the Participant (by will, by the
laws of descent and distribution or otherwise) (each, a “Permitted Transferee”). In no event will transfers to a Person that
the Committee determines is a competitor of the Company or any of its subsidiaries or provides services or financial or other support,
directly or indirectly, to a competitor of the Company or its subsidiaries, be permitted.

 

    	 	 	 

     

    

 

(b)    Condition
Precedent to Transfer of Any Award. It shall be a condition precedent to any Transfer of any Award by any Participant that the
Transferee shall agree prior to the Transfer in writing with the Company to be bound by the terms of the Plan and the Award Agreement
as if he, she or it had been an original signatory thereto, except that any provisions of the Plan based on the Employment (or termination
thereof) shall continue to be based on the Employment (or termination thereof) of the original Participant.

 

(c)    Effect
of Void Transfers. In the event of any purported Transfer of any Award in violation of the provisions of the Plan, such purported
Transfer shall, to the extent permitted by applicable law, be void and of no effect.

 

8.3.    Rights
as Award Holders. Participants shall not have any rights as shareholders with respect to any Shares covered by or relating
to Awards granted pursuant to the Plan until the date the Participants become the registered owners of such Shares issued in accordance
with and subject to the governing documents of the Company. Except as otherwise expressly provided in Section 6, no adjustment to
an Award shall be made for dividends or other rights for which the record date occurs prior to the effective date such Shares are registered.

 

8.4.    No
Special Employment Rights. Nothing contained in the Plan shall confer upon the Participants any right with respect to the
continuation of their Employment or interfere in any way with the right of the Company or any of its subsidiaries, subject to the terms
of any separate employment agreements to the contrary, at any time to terminate such Employment or to increase or decrease the compensation
of the Participants from the rate in existence at the time of the grant of any Award.

 

8.5.    No
Obligation to Exercise. The grant to the Participants of an Option shall impose no obligation upon the Participants to exercise
such Option.

 

8.6.    Coordination
with Other Plans. Awards under the Plan may be granted in tandem with, or in satisfaction of or substitution for,
other Awards under the Plan or awards made under other compensatory plans or programs of the Company or its subsidiaries.

 

8.7.    Notices. Each
notice and other communication hereunder shall be in writing and shall be given and shall be deemed to have been duly given on the date
it is delivered in person or by electronic mail, on the next business day if delivered by overnight mail or other reputable overnight
courier, or the third business day if sent by registered mail, return receipt requested, to the parties as follows:

 

If
to the Company:

 

AnPac Bio-Medical Science
Co., Ltd.

801
Bixing Street, Bihu County

Lishui,
Zhejiang Province 323006

The
People’s Republic of China

Attn:
Chris Chang Yu

Email address:
Chris_yu@anpac.cn

 

If to the
Participant, to its most recent address shown on records of the Company or its subsidiary;

 

or in each case to such
other address as any party may have furnished to the others in writing in accordance herewith, except that notices of change of address
shall be effective only upon receipt.

 

8.8.    Descriptive
Headings. The headings in the Plan are for convenience of reference only and shall not limit or otherwise affect the meaning
of the terms contained herein.

 

8.9.    Severability. In
the event that any one or more of the provisions, subdivisions, words, clauses, phrases or sentences contained herein, or the application
thereof in any circumstances, is held invalid, illegal or unenforceable in any respect for any reason, the validity, legality and enforceability
of any such provision, subdivision, word, clause, phrase or sentence in every other respect and of the remaining provisions, subdivisions,
words, clauses, phrases or sentences hereof shall not in any way be impaired, it being intended that all rights, powers and privileges
of the Company and Participants shall be enforceable to the fullest extent permitted by law.

 

    	 	 	 

     

    

 

8.10.    Governing
Law. The provisions of the Plan and any Award Agreements and all claims or disputes arising out of or based upon the Plan,
any Award Agreement and any Award under the Plan or relating to the subject matter hereof or thereof shall be governed by, and construed
and enforced in accordance with, the substantive laws of the State of New York, without regard to the provisions governing choice or conflict
of laws or rules that would cause the application of the domestic substantive laws of any other jurisdiction.

 

8.11.    Limitation
of Liability. Notwithstanding anything to the contrary in the Plan, neither the Company, nor any Affiliate of the Company,
nor the Committee, nor any person acting on behalf of the Company, any Affiliate of the Company, or the Committee, will be liable to any
Participant or to the estate or beneficiary of any Participant or to any other holder of an Award by reason of any acceleration of income,
or any additional tax (including any interest and penalties), asserted with respect to the Award.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00333-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00333-of-00352.parquet"}]]