Document:

EX-4.3

 Exhibit 4.3 

 
 

 
 ASML Share Plan 
 Master Plan for Cymer, LLC relating to the Grant of Equity Incentives 
 Effective Date 1 July
2013 

 TABLE OF CONTENTS 
  

					
	 Related documents
	  	 	2	  
		
	 Introduction
	  	 	3	  
		
	 Article 1 – Definitions
	  	 	3	  
		
	 Article 2 – Interpretation
	  	 	6	  
		
	 Article 3 – Availability of Company Shares
	  	 	6	  
		
	 Article 4 – Powers of the Board of Management and the Supervisory Board
	  	 	7	  
		
	 Article 5 – Non-transferability of Grants
	  	 	8	  
		
	 Article 6 – Frequency of Grants
	  	 	8	  
		
	 Article 7 – Grant Notifications
	  	 	8	  
		
	 Article 8 – Incentive Shares
	  	 	9	  
		
	 Article 9 – Performance Shares
	  	 	9	  
		
	 Article 10 – Termination
	  	 	9	  
		
	 Article 11 – Variation of Share Capital
	  	 	10	  
		
	 Article 12 – Dissolution or Liquidation
	  	 	11	  
		
	 Article 13 – Status of Share Plan and Grants
	  	 	11	  
		
	 Article 14 – Shareholder rights
	  	 	11	  
		
	 Article 15 – Taxes and Social Security
	  	 	12	  
		
	 Article 16 – Costs
	  	 	13	  
		
	 Article 17 – Insider Trading
	  	 	13	  
		
	 Article 18 – Notification
	  	 	13	  
		
	 Article 19 – Data Protection
	  	 	14	  
		
	 Article 20 – Amendments
	  	 	14	  
		
	 Article 21 – Breaches
	  	 	14	  
		
	 Article 22 – Governing Law
	  	 	14	  

 Related documents 
 In the ASML Share Plan reference is made to the Insider Trading Rules and the Articles of Association. These documents can be found on the ASML Intranet or the ASML website on Internet. 

  
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 Introduction 
 ASML Holding N.V. (“the Company”) wishes to operate the Share Plan for the purposes of recognising and rewarding Individuals for their contributions to the success of the Company, creating an
ownership culture, aligning their interests to those of the Company’s shareholders, strengthening their long-term commitment to the Company and providing them with the opportunity to become shareholders of the Company by means of grants of
Equity Incentives under the Share Plan. The main purpose of such grants is to continue to attract, reward and retain qualified and experienced industry professionals in an international labour market. 

Under the Share Plan, different types of Equity Incentives may be granted to Individuals from time to time. The Share Plan contains (i) the Master
Plan, outlining the general terms and conditions that apply to different types of Equity Incentives; and (ii) a separate Grant Notification for each type of Equity Incentive setting out the specific terms and conditions that apply to that
particular Grant. This Share Plan is applicable to all new Grants to be made as of the Effective Date. 
 Article 1 – Definitions

 In this Master Plan and the Grant Notification, unless the context otherwise requires, the following definitions will apply unless
explicitly expressed otherwise: 
  

					
	Adoption	  	:	  	adoption of the terms and conditions of the Share Plan by the Board of Management;
			
	Adoption Date	  	:	  	the date on which the Share Plan is adopted;
			
	Articles of Association	  	:	  	the articles of association of the Company as registered with the Chamber of Commerce and as amended from time to time;
			
	Board of Management	  	:	  	the board of management of the Company as mentioned in the Articles of Association;
			
	Business Conditions	  	:	  	any situation in which the termination of the Participant’s employment is caused by economic considerations associated with the Company or Group Company and is in any event
or situation not based on the Participant’s individual performance;
			
	Change of Control	  	:	  	a transaction or a series of transactions or the conclusion of an agreement, which alone or taken together have the effect that as a result thereof a Person or group of Persons,
not currently controlling the Company, obtains, directly or indirectly, (i) more than 50% of the voting interest in the Company, a Group Company or a Division, or (ii) the ability to appoint or elect more than 50% of the Board of Management of the
Company or a Group Company, or (iii) the ability to appoint or elect more than 50% of the management of a Division;
			
	Committee	  	:	  	a person or committee of persons designated by the Board of Management to exercise powers in relation to the Share Plan in accordance with Article 4.1;

  
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	Company	  	:	  	ASML Holding N.V., having its registered seat at De Run 6501, 5504 DR Veldhoven, the Netherlands, registered with the Dutch Chamber of Commerce (Kamer van Koophandel) of
Brabant under registration number 17085815;
			
	Company Share	  	:	  	an ordinary share A in the capital of the Company, having a nominal value of EUR 0.09 (nine eurocents) or any other nominal value such share may have in the future, as traded on
the Stock Exchange;
			
	Closed Period	  	:	  	a period during which certain Individuals, including and as defined as so-called Designated Employees, cannot execute any transactions in or rights to Company Shares. Such a
Closed Period includes the periods prior to publication of the Company’s annual and quarterly results, as well as any other period in which it is prohibited to execute transactions, as further determined and defined in the Insider Trading
Rules;
			
	Cymer	  	:	  	Cymer, LLC, a Group Company, located in San Diego, United States of America;
			
	Delivery	  	:	  	the delivery (‘levering’) of Company Shares to the securities account of a Participant, constituting the legal transfer of ownership and shareholder’s
rights to the Participant, whereby “Delivery”, “Delivered” and “Delivery Date” shall be construed and interpreted accordingly;
			
	Division	  	:	  	an administrative unit of the Company and/or a Group Company responsible for a particular market or area of activity which is not being operated as a Group
Company;
			
	Effective Date	  	:	  	the date as from which the Share Plan is effective, as specified on the title page;
			
	Equity Incentives	  	:	  	Company Incentive Shares or Performance Shares Granted under the Share Plan;
			
	Fair Market Value	  	:	  	the closing price of a Company Share on the Stock Exchange as reported on the day on which such value is determined and, if on any such day no such price exists, the closing
price of a Company Share on the Stock Exchange as reported on the nearest preceding day on which such a price does exist;
			
	Grant	  	:	  	the grant of an Equity Incentive under the terms and conditions of the Share Plan;
			
	Grant Date	  	:	  	the date on which a Grant is made to a Participant, which is specified in the relevant Grant Notification;
			
	Grant Notification	  	:	  	the document issued by the Company to the Participant which specifies the details of a specific Grant;
			
	Group Company	  	:	  	any subsidiary or affiliated company of the Company, as may change from time to time; the expressions “Group” and “Group Company” shall be construed and
interpreted in accordance with article 2:24b of the Dutch Civil Code;

  
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	Holding Period	  	:	  	the period after the Vesting Date during which the Company Shares acquired by a Participant are subject to Transfer Restrictions as specified in the relevant Grant Notification
or as otherwise required in order to comply with applicable law or Company policies;
			
	Incentive Shares	  	:	  	a right granted under the Share Plan by the Company to the Participant to receive Company Shares after the fulfilment of all the Vesting requirements;
			
	Individual	  	:	  	any individual who has entered into employment with Cymer; or an individual providing services for Cymer similar to those rendered by an employee of Cymer;
			
	Insider Trading Rules	  	:	  	the internal ASML Rules on Insider Trading as published by the Company on its website, as may be amended from time to time;
			
	Master Plan	  	:	  	this master plan for Cymer relating to the Grant of Equity Incentives;
			
	Operating Guidelines	  	:	  	the guidelines to the Share Plan that govern, inter alia, the process and settlement of Grants, the administration of the Share Plan and the powers delegated to the
Committee;
			
	Participant	  	:	  	an Individual to whom a Grant has been made by way of a Grant Notification under the Share Plan;
			
	Performance Condition	  	:	  	one or more performance targets set at the Grant Date specified in the relevant Grant Notification that should be attained during the relevant Performance Period in order to
determine the level of Vesting of Grants on the respective Vesting Date or Vesting Dates;
			
	Performance Period	  	:	  	the period, as determined in the relevant Grant Notification, over which the attainment of Performance Conditions is measured;
			
	Performance Shares	  	:	  	a right granted under the Share Plan by the Company to the Participant to receive Company Shares after the fulfilment of all the Vesting requirements, including the attainment of
the Performance Conditions;
			
	Person	  	:	  	any individual, partnership, limited liability company, firm, corporation, company or other entity, association, trust or unincorporated organisation;
			
	Retirement	  	:	  	the normal statutory retirement age in a given country at which an individual becomes entitled to a state old age pension. This statutory retirement age can only be lowered if
and to the extent that the Individual is entitled to a form of early retirement on the basis of an individual agreement or collective agreement on Company, Group Company or industry line level;
			
	Share Plan	  	:	  	this Master Plan together with the different Grant Notifications and any Operating Guidelines;

  
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	Stock Exchange	  	:	  	the stock exchange of NYSE Euronext Amsterdam, the Netherlands; or, when applicable, the NASDAQ Stock Market, New York, United States of America, where Company Shares are
traded;
			
	Supervisory Board	  	:	  	the supervisory board of the Company as mentioned in the Articles of Association;
			
	Total and Permanent	  		  	
	Disability:	  	 :
	  	 the mental or physical disability, whether occupational or non-occupational in cause, which satisfies such definition in
any insurance policy or plan provided to the Participant by the Company or a Group Company, or, alternatively, the Participant’s applicable national legislation pertaining to persons with disability;

	  	  
			
	Transfer Restrictions	  	:	  	restrictions during the Holding Period in respect of selling and transferring, and/or assigning, charging, pledging, encumbering and hedging any Company Shares acquired upon
Delivery following Vesting of Incentive Shares or Performance Shares as determined in the relevant Grant Notification;
			
	Vest/Vesting	  	:	  	the satisfaction of continued employment conditions, Performance Conditions, or any other requirements or conditions, as the case may be, attached to Equity Incentives as
determined in the Share Plan; and
			
	Vesting Date	  	:	  	the date on which an Equity Incentive Vests in whole or in part as the case may be as specified in the relevant Grant Notification.

 Article 2 – Interpretation 
 Words or expressions used in the Plan shall where appropriate: 
  

	(i)	when denoting the masculine gender include the feminine and vice versa; 

  

	(ii)	when denoting the singular include the plural and vice versa; 

  

	(iii)	when referring to any enactment be construed as a reference to that enactment including any amendments, re-enactments and/or regulations made there under;

  

	(iv)	when referring to the Articles or a specific Article be taken to refer to the terms and conditions of this Master Plan; 

 

	(v)	when a period of time is specified and starts from a given day or the day of an act or event, be calculated inclusive of that day; 

 

	(vi)	be construed such that the headings and sub-headings are for ease of reference only, and do not affect the interpretation of any Article; and 

 

	(vii)	when referring to any enactment or regulations under Dutch law be construed at the discretion of the Board of Management as a reference to other applicable laws or
regulations of any other country (or region of a country). 

 Article 3 – Availability of Company Shares 

The Company shall at all times have sufficient treasury shares and/or authorization to issue Company Shares to satisfy the Delivery of all Incentive
Shares and Performance Shares taking into account any other obligations of the Company to procure the provision of Company Shares. 

  
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 Article 4 – Powers of the Board of Management and the Supervisory Board 

 

	4.1	Administration of the Share Plan – The Board of Management shall be responsible for the management and administration of the Share Plan. In
accordance with applicable rules, regulations and required consents, the Board of Management shall have such powers and authority as set out in this Master Plan. Furthermore, the Board of Management shall determine as soon as practicable after the
Adoption Date when, how and to what extent any of its powers shall be delegated to the Committee. The Board of Management may, subject to the applicable legal requirements, issue the Operating Guidelines setting out the powers of the Committee and
the procedures following which the Share Plan shall be operated provided that, in the event of a conflict between any provision of the Operating Guidelines and the Master Plan, the Master Plan shall prevail. The Board of Management has the authority
to amend or withdraw any such delegation of powers at any time. 

  

	4.2	Powers of the Board of Management – In accordance with applicable rules and regulations, the Board of Management shall have the authority and
complete discretion to: 

  

	 	(i)	adopt the terms and conditions of the Share Plan; 

  

	 	(ii)	select Individuals for participation in the Share Plan taking into account the total number of Company Shares that will be used as determined by the Supervisory Board;

  

	 	(iii)	determine the type and number of Equity Incentives to be Granted to Individuals and the terms and conditions that apply to the Equity Incentives, in accordance with the
terms and conditions of the Share Plan. 

  

	 	(iv)	determine, for each Grant of Performance Shares to Individuals, the Performance Condition that will be attached to such Grant; 

 

	 	(v)	make Grants to selected Individuals; 

  

	 	(vi)	determine, in respect of Grants to which a Performance Condition is attached, the level of Vesting of such Grant on the Vesting Date or Vesting Dates, taking into
account the satisfaction of continued employment conditions and/or any other Vesting conditions; 

  

	 	(vii)	determine, in respect of Grants to which no Performance Condition is attached, that the Grant has Vested on the Vesting Date or each of the Vesting Dates;

  

	 	(viii)	construe and interpret the provisions of the Share Plan; 

  

	 	(ix)	authorize any person, other than the Committee members, to execute on behalf of the Company, any instrument required to effectuate a Grant; 

 

	 	(x)	make any adjustments to the Share Plan and/or outstanding Grants in the event of a Change of Control without adversely affecting the rights of the Participants; and

  

	 	(xi)	make all other determinations deemed necessary or desirable for the administration of the Share Plan. 

 

	4.3	Powers of the Supervisory Board – In accordance with the applicable rules and regulations and upon recommendation of the Board of Management, the
Supervisory Board has the authority to decide on the total number of Company Shares to be used annually in order to give effect to Grants under the Master Plan. 

 

	4.4	The Board of Management’s interpretation and construction of any provision of the Master Plan or of any Grant Notification shall be final and binding on all
persons claiming an interest in a Grant effected under the Share Plan. The Board of Management shall not be liable for any action or determination made in good faith with respect to the Share Plan. 

  
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 Article 5 – Non-transferability of Grants 

 

	5.1	Notwithstanding the situation as mentioned in Article 10.1, the following restrictions apply to the transfer of Grants: 

 

	 	(i)	Participants are not permitted to transfer, assign, charge, pledge, encumber or hedge the rights to Company Shares granted to them under the Share Plan.

  

	 	(ii)	Prior to a Delivery, Participants shall not be permitted to conclude any transaction in relation to the Grants on any Stock Exchange. Any attempt by a Participant to
effect such a transaction shall cause such Grant to lapse with immediate effect and become null and void. 

  

	 	(iii)	Following a Delivery, Participants may be subject to Transfer Restrictions during a Holding Period as determined in the relevant Grant Notification.

  

	5.2	In addition, a Participant’s rights to Company Shares under the Share Plan cannot be subject, in any manner, to alienation, sale, transfer, pledge, hedging,
attachment or garnishment by creditors of the Participant. Any attempt by a Participant to make his rights subject to such actions shall cause such Grant to lapse with immediate effect and to become null and void. 

Article 6 – Frequency of Grants 
  

	6.1	Grants will be made annually, on a fully discretionary basis, in a consistent manner relating to frequency and timing and based on a maximum number of underlying
Company Shares available for Grants. 

  

	6.2	The Grant Date shall be the second trading day on the Stock Exchange following the date of the publication of the annual financial results of the Company.

  

	6.3	Only in those events that Grants are made to a new hire, in relation to the promotion of an Individual, or to new hires as a result of the acquisition of another
company, the Grant Date shall be the second trading day on the Stock Exchange following the date of the publication of the first quarterly results of the Company after the date of hiring or promotion. For every type of Equity Incentive separately,
the Company can effectuate such Grants up to a maximum of four times per calendar year. 

  

	6.4	Where the second trading day on the Stock Exchange falls within a Closed Period, the Grant Date shall be set at the first date these transfer restrictions are lifted.

 Article 7 – Grant Notifications 
 Subject to Article 21.3, each Grant shall be evidenced by a written Grant Notification concluded between the Individual and the Company, setting forth the terms and conditions pertaining to such Grant.
Grant Notifications shall, together and concurrently with the Master Plan, govern the Grant in accordance with local legal and regulatory requirements. The Individual shall be deemed to have accepted the Grant at the Grant Date unless the Individual
has given written notice to the Company within 30 days following the Grant Date that he does not accept the Grant. By acceptance of the Grant, the Individual acknowledges to have received a copy of the Master Plan and fully understands and agrees to
its terms and conditions. 

  
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 Article 8 – Incentive Shares 
 Incentive Shares may be granted to selected Individuals, whereby the Grant Notification related to such Incentive Shares shall specify, inter alia, the Grant Date, the Vesting Date or Vesting Dates and
the number of Incentive Shares. The Grant Notification may contain such other provisions as deemed desirable by the Board of Management, including without limitation: 
  

	(i)	the Vesting requirements, including, inter alia, the requirement to be continuously employed from the Grant Date up to and including the relevant Vesting Date; and

  

	(ii)	the procedure to facilitate the payment of withholding taxes in accordance with Article 15. 

 Article 9 – Performance Shares 
 Performance Shares may be granted to selected
Individuals, whereby the Grant Notification shall specify, inter alia, the Grant Date, the Vesting Date or Vesting Dates, the number of Performance Shares, the Performance Condition including possible Vesting levels, the Performance Period, and, if
applicable, the Transfer Restrictions during the Holding Period. The Grant Notification may contain such other provisions as deemed desirable by the Board of Management, including without limitation: 

 

	(i)	the Vesting requirements, including, inter alia, the requirement to be continuously employed from the Grant Date up to and including the relevant Vesting Date; and

  

	(ii)	the procedure to facilitate the payment of withholding taxes in accordance with Article 15. 

 Article 10 – Termination 
  

	10.1	Death – If a Participant dies, any of his Equity Incentives that have not yet Vested at the date of his decease shall Vest in full immediately upon
such date and will be settled in cash at the Fair Market Value of the Company Share at such date. The Vesting requirement relating to the Performance Condition shall not be applied and the Equity Incentive shall be deemed to Vest.

  

	10.2	Total and Permanent Disability, Retirement, transfer of business, Business Conditions – If a Participant ceases to be employed by or ceases to
provide similar services to the Company or any Group Company: 

  

	 	(i)	by reason of Total and Permanent Disability; or 

  

	 	(ii)	by reason of Retirement; or 

  

	 	(iii)	solely by reason of the company by which he is for the time being employed or to which he is rendering similar services ceasing to be a Group Company or by reason of
the transfer of the business unit or part of the business unit in which the Participant is employed or to which he provides services, to a transferee which is not a Group Company or a Division; or 

 

	 	(iv)	by virtue of termination of employment by the Company or a Group Company due to or as a result of certain Business Conditions as determined by the Board of Management
in their absolute discretion; 

 then any of his Equity Incentives that have not yet Vested at the date of termination of
employment or services shall continue to Vest upon the respective Vesting Date or Vesting Dates as stated in the Grant Notification to the extent the Performance Conditions are met. 

  
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	10.3	Fraud, gross negligence, wilful misconduct, detrimental activity – If a Participant is given notice to terminate employment or similar services in
circumstances involving fraud, gross negligence, wilful misconduct or any activity detrimental to the Group, all of his Equity Incentives shall lapse on the date that such notice of termination of employment is given. In addition, the following
provisions apply: 

  

	 	(i)	If and insofar as the Participant owns Company Shares Delivered under the Share Plan, he is required to sell such Company Shares to the Company or a person indicated by
it for a price equal to the Fair Market Value of the Company Share at the date that such notice of termination of employment is given, multiplied by the number of Company Shares acquired; and 

 

	 	(ii)	If and insofar as the Participant has disposed of the Company Shares Delivered under the Share Plan, he is required to pay to the Company any gain realised following
the sale of any Shares initially acquired through the Delivery of Company Shares. 

  

	10.4	Other reasons for termination in respect of Equity Incentives – If a Participant ceases to be employed by the Company or a Group Company or ceases to
provide similar services for any reason other than those listed in Article 10.1, 10.2 and 10.3, the right to receive any Incentive Shares and/or Performance Shares that have not Vested prior to or on the date of termination of employment or similar
services shall lapse with immediate effect and become null and void. All Grants that have thus become null and void, will do so without Participants being entitled to any compensation in this respect from the Company or another Group Company.

  

	10.5	Transfer Restrictions during the Holding Period – If a Participant ceases to be employed by the Company or a Group Company or ceases to provide
similar services and owns Company Shares acquired through the Vesting of Performance Shares which are subject to Transfer Restrictions during a Holding Period, such Company Shares will not lapse upon termination of employment, but such Company
Shares will no longer be subject to the Transfer Restrictions provided in the Grant Notification unless the Grant Notification explicitly determines otherwise. 

 Article 11 – Variation of Share Capital 
  

	11.1	The number of Equity Incentives subject to a Grant may be adjusted in the event of a change of the Company’s share capital that affects the value of Grants made
under the Share Plan. Such adjustments will be made by the Company in a manner the Company considers to be fair and reasonable, without any obligation for the Company to make such adjustment. The Company is under no obligation to compensate
Participants in the event of such an adjustment. 

  

	11.2	Events that may affect the share capital of the Company are: (i) a stock split, (ii) a reverse stock split, (iii) any other capitalisation issue, rights
issue or rights offer, or (iv) any reduction, sub-division, consolidation or other change in the share capital of the Company. 

  

	11.3	Any adjustments made based on this Article 11 may upon request of the Board of Management be reviewed by an independent expert on the basis of the principles of
reasonableness and fairness. Notwithstanding the provisions of this Article 11, the decision made by the Company as to whether or not such adjustments are to be made shall be conclusive and binding. The Participant will be notified in writing as
soon as possible on the adjustments made to their Equity Incentives. 

  
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 Article 12 – Dissolution or Liquidation 
 In the event of a proposed dissolution or liquidation of the Company, unvested Equity Incentives shall lapse immediately prior to the dissolution or liquidation taking place. However the Board of
Management is authorised to allow for the immediate Vesting. 
 Article 13 – Status of Share Plan and Grants 

 

	13.1	The Share Plan does not form part of the Participant’s employment agreement (or similar services agreement) with the Company or any Group Company, and shall not be
construed to give any Participant the right to remain in the employ or services of the Company or any Group Company. 

  

	13.2	A Grant made under this Plan cannot be considered a guarantee to the Participant that the employment (or similar services arrangement) of the Participant with the
Company or with any other Group Company will continue. 

  

	13.3	Any benefits derived by the Participant under this Share Plan shall not be taken into account for the purposes of determining the Participant’s contribution or
entitlement to benefits under any pension arrangement or for the purposes of determining any other claim for compensation the Participant may have against the Company or against any other Group Company. 

 

	13.4	Where the employment of the Participant terminates for whatever reason, the Participant shall not be entitled to any compensation or damages including damages following
unfair dismissal, any other form of breach of contract or any claim for compensation for the loss of employment insofar as such compensation or damages arise or may arise from the Participant ceasing to have rights under, or ceasing to be entitled
to receive Equity Incentives under this Share Plan as a result of such termination. The Share Plan shall not at any time affect the rights of the Company or a Group Company to terminate such Participant’s status as an employee, similar services
provider, whether with or without cause. 

  

	13.5	The Grant of an Equity Incentive shall not entitle the Participant to receive any other Grant under the Share Plan or to participate in any other plan operated by the
Company or any Group Company now or in future. The Grant of an Equity Incentive shall not preclude the Participant from receiving any other Grant or other grant under the Share Plan or from participating in any other plan operated by the Company or
any Group Company now or in future. 

  

	13.6	The Plan is intended to constitute an unfunded plan for incentive compensation. Prior to the Delivery of Company Shares, cash or other form of payment in connection
with an Equity Incentive, nothing contained herein shall give any Participant any rights that are greater than those of a general unsecured creditor of the Company. 

 Article 14 – Shareholder rights 
  

	14.1	Company Shares Delivered pursuant to the Share Plan will be Delivered without the benefit of any rights (including shareholder rights) attaching thereto by reference to
a record date preceding the date of Vesting of Company Share Grants. This also includes that Participants have no right to receive dividends or exercise voting rights with respect to Equity Incentives granted under the Share Plan that have not
Vested. 

  
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	14.2	Shares Delivered shall be identical and rank pari passu in all respects with the shares in the same class then in issue. 

Article 15 – Taxes and Social Security 
  

	15.1	Any personal taxes that result from participation in the Share Plan or from any amendment to the terms and conditions of the Share Plan shall be entirely for the
account of the Participant. Personal taxes may include, but are not limited to, levies such as wage tax, income tax, net wealth tax, capital gains tax, share transfer tax, employee social security and social insurance including mandatory health
insurance contributions. 

  

	15.2	Each Participant is ultimately responsible for reporting taxable income in his annual personal income tax return. Furthermore, any consequences of Participation in the
Share Plan for among others pension arrangements, early retirement arrangements, social benefits or income level dependent regulations, such as subsidies and allowances, are entirely for the account of the Participant. 

 

	15.3	The Participant (or in the event of his death, such person, persons or estate mentioned in Article 10.1) shall permit the Company or any Group Company to account for an
amount equal to any wage or income tax, employee’s social security contributions liability and any other liabilities for which the Company or a Group Company (as the case may be) has an obligation to withhold and account. Consequently, they
have the right to make withholdings from the Participant’s salary or variable compensation (e.g. bonus payments, holiday allowance) to meet any withholding obligations that result from the participation in the Share Plan.

  

	15.4	In order to meet its obligations, the Participant may be given the possibility to sell sufficient Company Shares to meet his liabilities under Article 15.1 above,
unless the relevant Grant Notification determines otherwise. To that effect, the Participant may permit the Company or the Group Company as the case may be to retain from the sale proceeds an amount equal to such liability and any balance amount
will be paid to the Participant. 

  

	15.5	Whenever Company Shares are to be Delivered or issued under the Plan, the Company or any Group Company may require the Participant to remit to the Company or a Group
Company an amount sufficient to satisfy all withholding tax requirements, as mentioned in this Article 15.1, prior to the Delivery of the Company Shares, including, but not limited to, the withholding of wage tax, income tax and employee social
security contributions. 

  

	15.6	The Share Plan is governed by the applicable tax and social security legislation and regulations prevailing at the Effective Date. If any tax and/or social security
legislation or regulations are amended at any time after the Effective Date and any tax or employee social security levies become payable, the costs and risks related thereto shall be borne by the Participant. 

 

	15.7	For the avoidance of doubt, the provisions of Article 15.3 through 15.5 shall apply to a Participant’s liabilities that may arise on the Grant, Vesting and/or
Delivery of his Equity Incentive Company Share Grants in more than one jurisdiction. 

  

	15.8	Except as described in this Article 15, any tax, employee’s social security contributions or similar liabilities arising out of the disposal of Shares shall be the
responsibility of the Participant alone. 

  
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 Article 16 – Costs 

 

	16.1	The costs associated with the sale and retention of Company Shares shall be borne by the Participant. 

 

	16.2	The costs relating to the issue of Company Shares by the Company to meet its obligations under the Share Plan shall be payable by the Company. 

Article 17 – Insider Trading 
  

	17.1	Participants shall be subject to and bound by the terms and conditions of the internal Insider Trading Rules and statutory insider trading rules as well as other
statutory rules, applicable at the time. Such rules may restrict the rights of the Participants under this Share Plan. 

  

	17.2	Participants are deemed to be familiar and are responsible for complying with the Insider Trading Rules and any other information, guidance and/or regulations issued by
the Company or relevant government or regulatory bodies. The Company shall incur no liability should the Participant act in breach of these Insider Trading Rules. 

 Article 18 – Notification 
  

	18.1	Notices from the Company or a Group Company to (potential) Participants with respect to the Share Plan shall be regarded as correctly addressed if sent to the address
as recorded in the staff records department of the Company or the Group Company. 

  

	18.2	Participants are obliged to timely notify the Company or the Group Company of any change of address, even if the Participant terminated his employment or similar
services arrangement with the Company or a Group Company. The Company and the relevant Group Company do not have an obligation to verify that the address information, including the e-mail address information of Participants as contained in the staff
records is correct. 

  

	18.3	Adverse consequences from incomplete or incorrect address information in the staff records are for the account of the Participant. This is only different if the
Participant is able to legally prove, which goes beyond making a credible claim, that the Participant notified the Company or the relevant Group Company in a timely and correct manner of the complete and correct address. 

 

	18.4	Notices from (potential) Participants to the Company shall be considered correctly addressed if sent for the attention of the designated plan administrator to the
address of the Company as listed with the Chamber of Commerce. 

  
 13 of 14

 Article 19 – Data Protection 

 

	19.1	In the execution of the Share Plan, the Company will respect and comply with applicable data protection laws. The Participant will be requested to consent
electronically to the processing, collection, recording, organising, storing and adapting of personal data by the Company or third party administrators involved in the operation and administration of the Share Plan and for that purpose only. This
may also include transferring such information to countries or territories that fall outside of the European Economic Area and which may not provide the same level of data protection as the European Economic Area or the Participant’s home
country. The Participant acknowledges that this may restrict the Participant’s rights. 

  

	19.2	The Participant has the right to access and/or correct personal data, if and when necessary, by contacting the local HR representative. 

Article 20 – Amendments 
  

	20.1	Subject to the necessary approvals and/or consents required by law, the Board of Management may from time to time at its absolute discretion amend any of the terms and
conditions of the Share Plan by means of an amendment agreement. 

  

	20.2	No amendment, waiver or replacement to or of the Share Plan, any rules or regulations for the administration of this Plan shall be made to the extent to which it would
have a detrimental effect on any of the existing rights of Participants without such prior consent on their part. 

 Article 21
– Breaches 
  

	21.1	If a Participant breaches the provisions of the Share Plan, dependent on the breach, the Board of Management may decide at its sole discretion that the relevant Grants
will become null and void. A notification will be sent accordingly to the Participant. 

  

	21.2	The decision of the Board of Management in any dispute or question relating to any Grant to Individuals, shall be final and conclusive subject to the terms and
conditions of the Share Plan. 

  

	21.3	The provisions of a Grant Notification shall govern and prevail in the event of any conflict with the terms and conditions of this Master Plan.

 Article 22 – Governing Law 
  

	22.1	The Share Plan is governed by the laws of the Netherlands. In the event part of the terms and conditions of the Share Plan are ruled to be null and void by a judge, the
undisputed terms and conditions will remain in force. 

  

	22.2	Any disputes with respect to participation in the Share Plan shall in the first instance be settled by the Court of Den Bosch, the Netherlands.

 * * * * * 

  
 14 of 14EX 4.7

 Exhibit 4.7 
 COMMON STOCK PURCHASE WARRANT 
 INTERNATIONAL STEM CELL CORPORATION

  

			
	Warrant Shares:                     	  	Issue Date: July     , 2013

 THIS COMMON STOCK PURCHASE WARRANT (the “Warrant”) certifies that, for value received,
• (the “Holder”) is entitled, upon the terms and subject to the limitations on exercise and the conditions hereinafter set forth, at any time on or after the Original Issue Date (as defined below) (the “Exercisability
Date”) and on or prior to the close of business on the fifth anniversary of the Exercisability Date (the “Termination Date”) but not thereafter, to subscribe for and purchase from International Stem Cell Corporation, a
Delaware corporation (the “Company”), up to             1 shares (the “Warrant Shares”) of common stock, par value $0.001 (the “Common Stock”),
of the Company. 
 Section 1. Definitions. Capitalized terms used herein shall have the meanings given to
them herein. As used herein, “Original Issue Date” means July     , 2013 and “business day” means any day on which the New York Stock Exchange, Inc. is open for trading. 

Section 2. Exercise. 
 a) Exercise of Warrant. Exercise of the purchase rights represented by this Warrant may be made, in whole or in part, at any time or times on or after the Exercisability Date and on or before the
Termination Date by delivery to the Company (or such other office or agency of the Company as it may designate by notice in writing to the registered Holder at the address of the Holder appearing on the books of the Company) of a duly executed
facsimile copy of the Notice of Exercise Form annexed hereto; and, within three (3) business days of the date said Notice of Exercise is delivered to the Company, the Company shall have received payment of the aggregate Exercise Price of the
shares thereby purchased by wire transfer or cashier’s check drawn on a United States bank or, if available, pursuant to the cashless exercise procedure specified in Section 2(c) below. Notwithstanding anything herein to the contrary, the
Holder shall not be required to physically surrender this Warrant to the Company until the Holder has purchased all of the Warrant Shares available hereunder and the Warrant has been exercised in full, in which case, the Holder shall surrender this
Warrant to the Company for cancellation within three (3) business days of the date the final Notice of Exercise is delivered to the Company. Partial exercises of this Warrant resulting in purchases of a portion of the total number of Warrant
Shares available hereunder shall have the effect of lowering the outstanding number of Warrant Shares purchasable hereunder in an amount equal to the applicable number of Warrant Shares purchased or, in the case of a cashless exercise in accordance
with Section 2(c), the number of Warrant Shares that would have been issuable upon exercise of this Warrant in accordance with the terms of this Warrant if such exercise were by means of a cash exercise rather than a cashless exercise. The
Holder and the Company shall maintain records showing the number of Warrant Shares purchased and the date of such purchases. The Holder and any assignee, by acceptance of this Warrant, acknowledge and agree that, by reason of the provisions of
this paragraph, following the purchase of a portion of the Warrant Shares hereunder, the number of Warrant Shares available for purchase hereunder at any given time may be less than the amount stated on the face hereof. 

b) Exercise Price. The exercise price per share of the Common Stock under this Warrant shall be $0.15, subject to
adjustment hereunder (the “Exercise Price”). 
 c) Cashless Exercise. If at the time of
exercise hereof there is no effective registration statement registering, or the prospectus contained therein is not available for the issuance of the Warrant Shares to the Holder, then this Warrant may also be exercised (and the Company shall be
permitted to satisfy its obligation to issue the Warrant Shares to be issued on exercise of this Warrant by issuing to the Holder), in whole or in part, at such time by means of a “cashless exercise” in which the Holder shall be entitled
to receive a certificate for the number of Warrant Shares equal to the quotient obtained by dividing [(A-B) (X)] by (A), where: 
  

	 	(A) =	the VWAP on the business day immediately preceding the date on which Holder elects to exercise this Warrant by means of a “cashless exercise,” as set forth in
the applicable Notice of Exercise; 

  

	1 	 100% warrant coverage. 

	 	(B) =	the Exercise Price of this Warrant, as adjusted hereunder; and 

  

	 	(X) =	the number of Warrant Shares that would be issuable upon the requested exercise (or partial exercise, as the case may be) of this Warrant in accordance with the terms
of this Warrant if such exercise were by means of a cash exercise rather than a cashless exercise. 

“VWAP” means, for any date, the price determined by the first of the following clauses that applies:
(a) if the Common Stock is then listed or quoted on a market or exchange, the daily volume weighted average price of the Common Stock for such date (or the nearest preceding date) on such market or exchange on which the Common Stock is then
listed or quoted as reported by Bloomberg L.P. (based on a business day from 9:30 a.m. (New York City time) to 4:02 p.m. (New York City time)), (b) if the OTC Bulletin Board is not a market or exchange, the volume weighted average price of the
Common Stock for such date (or the nearest preceding date) on the OTC Bulletin Board, (c) if the Common Stock is not then listed or quoted for trading on the OTC Bulletin Board and if prices for the Common Stock are then quoted by The OTC
Markets Group, Inc. (or a similar organization or agency succeeding to its functions of reporting prices), the most recent bid price per share of the Common Stock so quoted, or (d) in all other cases, the fair market value of a share of Common
Stock as determined by an independent appraiser selected in good faith by the Company and reasonably acceptable to the Required Holders (as defined herein), the fees and expenses of which shall be paid by the Company. 

d) Mechanics of Exercise. 
 i. Delivery of Certificates Upon Exercise. Certificates for shares purchased hereunder shall be transmitted by the transfer agent to the Holder by crediting the account of the Holder’s prime
broker with The Depository Trust Company through its Deposit or Withdrawal at Custodian system (“DWAC”) if the Company is then a participant in such system and either (A) there is an effective Registration Statement covering
the issuance of the Warrant Shares to the Holder or (B) this Warrant is being exercised via cashless exercise, and otherwise by physical delivery to the address specified by the Holder in the Notice of Exercise, in either case, by the date
(such date, the “Warrant Share Delivery Date”) that is three (3) business days after the delivery to the Company of the Notice of Exercise Form (the “Exercise Date”). This Warrant shall be deemed to have been
exercised on Exercise Date; provided that the Warrant has been properly exercised, with payment to the Company of the Exercise Price at least one (1) day prior to the Warrant Share Delivery Date (or by cashless exercise, if permitted) and all
taxes required to be paid by the Holder, if any, pursuant to Section 2(d)(vi) prior to the issuance of such shares, having been paid. The Warrant Shares shall be deemed to have been issued, and Holder or any other person so designated to be
named therein shall be deemed to have become a holder of record of such shares for all purposes, as of the Exercise Date; provided that the Warrant has been properly exercised, with payment to the Company of the Exercise Price (or by cashless
exercise, if permitted) and all taxes required to be paid by the Holder, if any, pursuant to Section 2(d)(vi) prior to the issuance of such shares, having been paid. 

ii. Delivery of New Warrants Upon Exercise. If this Warrant shall have been exercised in part, the Company shall,
at the request of the Holder and upon surrender of this Warrant certificate, at the time of delivery of the certificate or certificates representing Warrant Shares, deliver to the Holder a new Warrant evidencing the rights of the Holder to purchase
the unpurchased Warrant Shares called for by this Warrant, which new Warrant shall in all other respects be identical with this Warrant. 
 iii. Rescission Rights. If the Company fails to cause the transfer agent to transmit to the Holder a certificate or the certificates representing the Warrant Shares pursuant to Section 2(d)(i)
by the Warrant Share Delivery Date, then, the Holder will have the right to rescind such exercise. 
 iv.
Compensation for Buy-In on Failure to Timely Deliver Certificates Upon Exercise. In addition to any other rights available to the Holder, if the Company fails to cause the transfer agent to transmit to the Holder a certificate or the
certificates representing the Warrant Shares pursuant to an exercise on or before the Warrant Share Delivery Date, and if after such Warrant 

 
Share Delivery Date, the Holder purchases (in an open market transaction or otherwise) shares of Common Stock to deliver in satisfaction of a sale by the Holder of the Warrant Shares that the
Holder anticipated receiving from the Company (a “Buy-In”), then the Company shall, within five (5) business days after the Holder’s request and in the Holder’s discretion, either (i) pay cash to the Holder in an
amount, equal to the Holder’s total purchase price (including reasonable brokerage commissions, if any) for the shares of Common Stock so purchased (the “Buy-In Price”), at which point the Company’s obligation to deliver
such certificate (and to issue such Common Stock) shall terminate, or (ii) promptly honor its obligation to deliver to the Holder a certificate or certificates representing such Warrant Shares and pay cash to the Holder in an amount equal to
the excess (if any) of the Buy-In Price over the product of (A) such number of Warrant Shares, times (B) the VWAP (as reported by Bloomberg, L.P.) on the date of the event giving rise to the Company’s obligation to deliver such
certificate. 
 Notwithstanding the foregoing, the Company shall not be required to make the payments set forth herein in the
case of uncertificated Warrant Shares if the Holder fails to timely file a request with the depository trust company to receive such uncertificated Warrant Shares. 
 Notwithstanding the foregoing, if the Company fails to cause the transfer agent to transmit to the Holder a certificate or the certificates representing the Warrant Shares pursuant to an exercise on or
before the Warrant Share Delivery Date, then the Holder will have the right to rescind such Notice of Exercise. Nothing herein shall limit a Holder’s right to pursue any other remedies available to it hereunder, at law or in equity including,
without limitation, a decree of specific performance and/or injunctive relief with respect to the Company’s failure to timely deliver a certificate pursuant to the terms hereof. 

v. No Fractional Shares or Scrip. No fractional shares or scrip representing fractional shares shall be issued
upon the exercise of this Warrant. As to any fraction of a share which the Holder would otherwise be entitled to purchase upon such exercise, the Company shall, at its election, either pay a cash adjustment in respect of such final fraction in an
amount equal to such fraction multiplied by the Exercise Price or round up to the next whole share. 
 vi.
Charges, Taxes and Expenses. Issuance of certificates for Warrant Shares shall be made without charge to the Holder for any issue or transfer tax or other incidental expense in respect of the issuance of such certificate, all of which taxes
and expenses shall be paid by the Company, and such certificates shall be issued in the name of the Holder or in such name or names as may be directed by the Holder; provided, however, that in the event certificates for Warrant Shares
are to be issued in a name other than the name of the Holder, this Warrant when surrendered for exercise shall be accompanied by the Assignment Form attached hereto duly executed by the Holder and the Company may require, as a condition thereto, the
payment of a sum sufficient to reimburse it for any transfer tax incidental thereto. 
 vii. Closing of
Books. The Company will not close its stockholder books or records in any manner which prevents the timely exercise of this Warrant, pursuant to the terms hereof. 

e) Holder’s Exercise Limitations. The Company shall not effect any exercise of this Warrant, and a Holder
shall not have the right to exercise any portion of this Warrant, pursuant to Section 2 or otherwise, to the extent that after giving effect to such issuance after exercise as set forth on the applicable Notice of Exercise, the Holder (together
with the Holder’s affiliates, and any other Persons acting as a group together with the Holder or any of the Holder’s affiliates), would beneficially own in excess of the Beneficial Ownership Limitation (as defined below). For purposes of
the foregoing sentence, the number of shares of Common Stock beneficially owned by the Holder and its affiliates shall include the number of shares of Common Stock issuable upon exercise of this Warrant with respect to which such determination is
being made, but shall exclude the number of shares of Common Stock which would be issuable upon (i) exercise of the remaining, nonexercised portion of this Warrant beneficially owned by the Holder or any of its affiliates and (ii) exercise
or conversion of the unexercised or nonconverted portion of any other securities of the Company including, without limitation, any other securities of the Company or any Company subsidiary consolidated in the Company’s financial statements
which would entitle the holder thereof to acquire at any time Common Stock (“Common Stock Equivalents”) subject to a limitation on conversion or exercise analogous to the limitation contained herein beneficially owned by the Holder
or any of its affiliates. Except as set forth in the preceding sentence, for purposes of this Section 2(e), beneficial ownership shall be 

 
calculated in accordance with Section 13(d) of the Exchange Act and the rules and regulations promulgated thereunder, it being acknowledged by the Holder that the Company is not representing
to the Holder that such calculation is in compliance with Section 13(d) of the Exchange Act and the Holder is solely responsible for any schedules required to be filed in accordance therewith. To the extent that the limitation contained in this
Section 2(e) applies, the determination of whether this Warrant is exercisable (in relation to other securities owned by the Holder together with any affiliates) and of which portion of this Warrant is exercisable shall be in the sole
discretion of the Holder, and the submission of a Notice of Exercise shall be deemed to be the Holder’s determination of whether this Warrant is exercisable (in relation to other securities owned by the Holder together with any affiliates) and
of which portion of this Warrant is exercisable, in each case subject to the Beneficial Ownership Limitation, and the Company shall have no obligation to verify or confirm the accuracy of such determination and shall have no liability for exercises
of the Warrant that are in non-compliance with the Beneficial Ownership Limitation. In addition, a determination as to any group status as contemplated above shall be determined in accordance with Section 13(d) of the Exchange Act and the rules
and regulations promulgated thereunder. For purposes of this Section 2(e), in determining the number of outstanding shares of Common Stock, a Holder may rely on the number of outstanding shares of Common Stock as reflected in (A) the
Company’s most recent periodic or annual report filed with the Securities and Exchange Commission (the “Commission”), as the case may be, (B) a more recent public announcement by the Company or (C) a more recent
written notice by the Company or the transfer agent setting forth the number of shares of Common Stock outstanding. Upon the written or oral request of a Holder, the Company shall within two (2) business days confirm orally and in writing to
the Holder the number of shares of Common Stock then outstanding as established by (A), (B) or (C) above, as applicable. In any case, the number of outstanding shares of Common Stock shall be determined after giving effect to the
conversion or exercise of securities of the Company, including this Warrant, by the Holder or its affiliates since the date as of which such number of outstanding shares of Common Stock was reported. The “Beneficial Ownership
Limitation” shall be 4.99% of the number of shares of the Common Stock outstanding immediately after giving effect to the issuance of shares of Common Stock issuable upon exercise of this Warrant. The Holder, upon not less than 61
days’ prior notice to the Company, may increase or decrease the Beneficial Ownership Limitation provisions of this Section 2(e), provided that the Beneficial Ownership Limitation in no event exceeds 9.99% of the number of shares of the
Common Stock outstanding immediately after giving effect to the issuance of shares of Common Stock upon exercise of this Warrant held by the Holder and the provisions of this Section 2(e) shall continue to apply. Any such increase or decrease
will not be effective until the 61st day after such notice
is delivered to the Company and shall only be effective with respect to such Holder. The provisions of this paragraph shall be construed and implemented in a manner otherwise than in strict conformity with the terms of this Section 2(e) to
correct this paragraph (or any portion hereof) which may be defective or inconsistent with the intended Beneficial Ownership Limitation herein contained or to make changes or supplements necessary or desirable to properly give effect to such
limitation. The limitations contained in this paragraph shall apply to a successor holder of this Warrant. 

Section 3. Certain Adjustments. 

a) Stock Dividends and Splits. If the Company, at any time while this Warrant is outstanding: (i) pays a stock
dividend or otherwise makes a distribution or distributions on shares of its Common Stock or any other equity or equity equivalent securities payable in shares of Common Stock (which, for avoidance of doubt, shall not include any shares of Common
Stock issued by the Company upon exercise of this Warrant or any other warrant), (ii) subdivides outstanding shares of Common Stock into a larger number of shares, (iii) combines (including by way of reverse stock split) outstanding shares
of Common Stock into a smaller number of shares, or (iv) issues by reclassification of shares of the Common Stock any shares of capital stock of the Company, then in each case the Exercise Price shall be multiplied by a fraction of which the
numerator shall be the number of shares of Common Stock (excluding treasury shares, if any) outstanding immediately before such event and of which the denominator shall be the number of shares of Common Stock outstanding immediately after such
event, and the number of shares issuable upon exercise of this Warrant shall be proportionately adjusted such that the aggregate Exercise Price of this Warrant shall remain unchanged. Any adjustment made pursuant to this Section 3(a) shall
become effective immediately after the record date for the determination of stockholders entitled to receive such dividend or distribution and shall become effective immediately after the effective date in the case of a subdivision, combination or
re-classification. 

 b) Adjustment upon Issuance of Shares of Common Stock. If and
whenever on or after the date hereof, the Company issues or sells, or in accordance with this Section 3(b) is deemed to have issued or sold, any shares of Common Stock including the issuance or sale of shares of Common Stock owned or held by or
for the account of the Company, but excluding shares of Common Stock deemed to have been issued by the Company in connection with any Exempt Issuance (defined below) or pursuant to Section 3(a) or Section 3(c), for a consideration per
share (the “New Issuance Price”) less than a price (the “Applicable Price”) equal to the Exercise Price in effect immediately prior to such issue or sale or deemed issuance or sale (the foregoing a “Dilutive
Issuance”), then immediately after such Dilutive Issuance, the Exercise Price then in effect shall be reduced and only reduced to an amount equal to the New Issuance Price. For purposes of determining the adjusted Exercise Price under this
Section 3(b), the following shall be applicable: 
 (i) Issuance of Options. If the Company in any
manner grants any Options (as defined below), other than in connection with any Exempt Issuance, and the lowest price per share for which one share of Common Stock is issuable upon the exercise of any such Option or upon conversion, exercise or
exchange of any Convertible Securities (as defined below) issuable upon exercise of any such Option is less than the Applicable Price, then such share of Common Stock shall be deemed to be outstanding and to have been issued and sold by the Company
at the time of the granting or sale of such Option for such price per share. For purposes of this Section 3(b)(i), the “lowest price per share for which one share of Common Stock is issuable upon exercise of such Options or upon
conversion, exercise or exchange of such Convertible Securities issuable upon exercise of any such Option” shall be equal to the sum of the lowest amounts of consideration (if any) paid or payable by the Company with respect to any one share of
Common Stock upon the granting or sale of the Option, upon exercise of the Option and upon conversion, exercise or exchange of any Convertible Security issuable upon exercise of such Option, in each case inclusive of any underwriter or placement or
sales agent discount, commission or concession. No further adjustment of the Exercise Price shall be made upon the actual issuance of such shares of Common Stock or of such Convertible Securities upon the exercise of such Options or upon the actual
issuance of such shares of Common Stock upon conversion, exercise or exchange of such Convertible Securities. “Options” means any rights, warrants or options to subscribe for or purchase shares of Common Stock or Common Stock
Equivalents. “Convertible Securities” means any stock or securities (other than Options) convertible into or exercisable or exchangeable for shares of Common Stock or Common Stock Equivalents. 

(ii) Issuance of Convertible Securities. If the Company in any manner issues or sells any Convertible Securities,
other than in connection with any Exempt Issuance, and the lowest price per share for which one share of Common Stock is issuable upon the conversion, exercise or exchange thereof is less than the Applicable Price, then such share of Common Stock
shall be deemed to be outstanding and to have been issued and sold by the Company at the time of the issuance or sale of such Convertible Securities for such price per share. For the purposes of this Section 3(b)(ii), the “lowest price per
share for which one share of Common Stock is issuable upon the conversion, exercise or exchange thereof” shall be equal to the sum of the lowest amounts of consideration (if any) paid or payable by the Company with respect to one share of
Common Stock upon the issuance or sale of the Convertible Security and upon conversion, exercise or exchange of such Convertible Security, in each case inclusive of any underwriter or placement or sales agent discount, commission or concession. No
further adjustment of the Exercise Price shall be made upon the actual issuance of such shares of Common Stock upon conversion, exercise or exchange of such Convertible Securities, and if any such issue or sale of such Convertible Securities is made
upon exercise of any Options for which adjustment of this Warrant has been or is to be made pursuant to other provisions of this Section 3(b), no further adjustment of the Exercise Price shares shall be made by reason of such issue or sale.

 (iii) Change in Option Price or Rate of Conversion. If the purchase price provided for in any Options,
the additional consideration, if any, payable upon the issue, conversion, exercise or exchange of any Convertible Securities, or the rate at which any Convertible Securities are convertible into or exercisable or exchangeable for shares of Common
Stock increases or decreases at any time, then the Exercise Price in effect at the time of such increase or decrease shall be adjusted to the Exercise Price which would have been in effect at such time had such Options or Convertible Securities
provided for such increased or decreased purchase price, additional consideration or increased or decreased conversion rate, as the case may be, at the time initially granted, issued or sold. For purposes of this Section 3(b)(iii), if the terms
of any Option or Convertible Security that was outstanding as of the date 

 
of issuance of this Warrant are increased or decreased in the manner described in the immediately preceding sentence, then such Option or Convertible Security and the shares of Common Stock
deemed issuable upon exercise, conversion or exchange thereof shall be deemed to have been issued as of the date of such increase or decrease. No adjustment pursuant to this Section 3(b) shall be made if such adjustment would result in an
increase of the Exercise Price then in effect. 
 (iv) Calculation of Consideration Received. If any
Option and/or Convertible Security and/or Adjustment Right (as defined below) is issued in connection with the issuance or sale or deemed issuance or sale of any other securities of the Company (as determined by the Holder, the “Primary
Security”, and such Option and/or Convertible Security and/or Adjustment Right, the “Secondary Securities”), together comprising one integrated transaction, the consideration per share of Common Stock with respect to such
Primary Security shall be deemed to be equal to the difference of (x) the lowest price per share for which one share of Common Stock was issued in such integrated transaction (or was deemed to be issued pursuant to Section 3(e)(1) or
3(e)(2) above, as applicable) solely with respect to such Primary Security, minus (y) with respect to such Secondary Securities, the sum of (I) the Black Scholes Consideration Value of each such Option, if any, (II) the fair market value
(as determined by the Holder) or the Black Scholes Consideration Value, as applicable, of such Adjustment Right, if any, and (III) the fair market value (as determined by the Holder) of such Convertible Security, if any, in each case, as determined
on a per share basis in accordance with this Section 3(e)(5). “Black Scholes Consideration Value” means the value of the applicable Additional Rights (as the case may be) as of the date of issuance thereof calculated using the
Black Scholes Option Pricing Model obtained from the “OV” function on Bloomberg utilizing (i) an underlying price per share equal to the Closing Sale Price of the Common Stock on the Trading Day immediately preceding the public
announcement of the execution of definitive documents with respect to the issuance of such Additional Rights (as the case may be), (ii) a risk-free interest rate corresponding to the U.S. Treasury rate for a period equal to the remaining term
of such Additional Rights (as the case may be) as of the date of issuance of such Additional Rights (as the case may be), (iii) a zero cost of borrow and (iv) an expected volatility equal to the greater of 100% and the 100 day volatility
obtained from the HVT function on Bloomberg (determined utilizing a 365 day annualization factor) as of the Trading Day immediately following the date of issuance of such Additional Rights (as the case may be). “Adjustment Right”
means any right granted with respect to any securities issued in connection with, or with respect to, any issuance or sale or deemed issuance or sale of shares of Common Stock that could result in a decrease in the net consideration received by the
Company in connection with, or with respect to, such securities (including, without limitation, any cash settlement rights, cash adjustment or other similar rights). If any shares of Common Stock, Options or Convertible Securities are issued or sold
or deemed to have been issued or sold for cash, the consideration received therefor (for the purpose of determining the consideration paid for such Common Stock, Option or Convertible Security, but not for the purpose of the calculation of the Black
Scholes Consideration Value) will be deemed to be the net amount of consideration received by the Company therefor. If any shares of Common Stock, Options or Convertible Securities are issued or sold for a consideration other than cash (for the
purpose of determining the consideration paid for such Common Stock, Option or Convertible Security, but not for the purpose of the calculation of the Black Scholes Consideration Value), the amount of such consideration received by the Company will
be the fair value of such consideration, except where such consideration consists of publicly traded securities, in which case the amount of consideration received by the Company for such securities will be the arithmetic average of the VWAPs of
such security for each of the five (5) Trading Days immediately preceding the date of receipt. If any shares of Common Stock, Options or Convertible Securities are issued to the owners of the non-surviving entity in connection with any merger
in which the Company is the surviving entity (for the purpose of determining the consideration paid for such Common Stock, Option or Convertible Security, but not for the purpose of the calculation of the Black Scholes Consideration Value), the
amount of consideration therefor will be deemed to be the fair value of such portion of the net assets and business of the non-surviving entity as is attributable to such shares of Common Stock, Options or Convertible Securities, as the case may be.
The fair value of any consideration other than cash or publicly traded securities will be determined jointly by the Company and the Holder. If such parties are unable to reach agreement within ten (10) days after the occurrence of an event
requiring valuation (the “Valuation Event”), the fair value of such consideration will be determined within five (5) Trading Days after the tenth (10th) day 

 
following such Valuation Event by an independent, reputable appraiser jointly selected by the Company and the Holder. The determination of such appraiser shall be final and binding upon all
parties absent manifest error and the fees and expenses of such appraiser shall be borne by the Company. 
 (v)
Record Date. If the Company takes a record of the holders of shares of Common Stock for the purpose of entitling them (A) to receive a dividend or other distribution payable in shares of Common Stock, Options or in Convertible Securities
or (B) to subscribe for or purchase shares of Common Stock, Options or Convertible Securities, then such record date will be deemed to be the date of the issue or sale of the shares of Common Stock deemed to have been issued or sold upon the
declaration of such dividend or the making of such other distribution or the date of the granting of such right of subscription or purchase, as the case may be. 
 (vi) Exempt Issuance. For the purposes of this Warrant, “Exempt Issuance” means the issuance of (a) shares of Common Stock, options or other equity-based awards to employees,
officers, consultants or directors of the Company pursuant to any stock or option plan duly adopted for such purpose, by a majority of the non-employee members of the Board of Directors or a majority of the members of a committee of non-employee
directors established for such purpose, (b) securities upon the exercise or exchange of or exchangeable for or convertible into shares of Common Stock issued and outstanding on the date hereof, provided that such securities have not been
amended since date hereof to increase the number of such securities or to decrease the exercise price, exchange price or conversion price of such securities, (c) securities issued pursuant to acquisitions or strategic transactions (including
without limitation, sponsored research, collaboration, technology license, development, distribution, marketing, or similar arrangement or alliance) approved by a majority of the disinterested directors of the Company, provided that any such
issuance shall only be to a Person (or to the equityholders of a Person) which is, itself or through its subsidiaries, an operating company or an owner of an asset in a business synergistic with the business of the Company and shall provide to the
Company additional benefits in addition to the investment of funds, but shall not, for the purposes of this clause (c), include a transaction in which the Company is issuing securities primarily for the purpose of raising capital or to an entity
whose primary business is investing in securities, (d) securities upon the exercise of the Company’s Series B Warrants issued on the Original Issue Date (including shares of Common Stock issuable upon the exercise of the additional
Warrants issuable upon the exercise of such Series B Warrants), and (e) securities issued or issuable to parties providing equipment leases, real property leases, credit lines or similar transactions pursuant to debt financing or commercial
arrangements approved by a majority of the disinterested directors of the Company. 
 c) Subsequent Rights
Offerings. In addition to any adjustments pursuant to Section 3(a) above, if at any time the Company grants, issues or sells any Common Stock Equivalents or rights to purchase stock, warrants, securities or other property pro rata to the
record holders of any class of shares of Common Stock (the “Purchase Rights”), then the Holder will be entitled to acquire, upon the terms applicable to such Purchase Rights, the aggregate Purchase Rights which the Holder could have
acquired if the Holder had held the number of shares of Common Stock acquirable upon complete exercise of this Warrant (without regard to any limitations on exercise hereof, including without limitation, the Beneficial Ownership Limitation)
immediately before the date on which a record is taken for the grant, issuance or sale of such Purchase Rights, or, if no such record is taken, the date as of which the record holders of shares of Common Stock are to be determined for the grant,
issue or sale of such Purchase Rights (provided, however, to the extent that the Holder’s right to participate in any such Purchase Right would result in the Holder exceeding the Beneficial Ownership Limitation, then the Holder shall not be
entitled to participate in such Purchase Right to such extent (or beneficial ownership of such shares of Common Stock as a result of such Purchase Right to such extent) and such Purchase Right to such extent shall be held in abeyance for the Holder
until such time, if ever, as its right thereto would not result in the Holder exceeding the Beneficial Ownership Limitation). 
 d) Distributions. If the Company shall declare or make any dividend or other distribution of its assets (or rights to acquire its assets) to holders of shares of Common Stock, by way of return of
capital or otherwise (including, without limitation, any distribution of cash, stock or other securities, property or options by way of a dividend, spin off, reclassification, corporate rearrangement, scheme of arrangement or other similar
transaction) (excluding any stock dividend pursuant to which an adjustment in the Exercise Price is made pursuant to Section 3(a) above (a “Distribution”), at any time after the issuance of this Warrant, then, in each

 
such case, the Holder shall be entitled to participate in such Distribution to the same extent that the Holder would have participated therein if the Holder had held the number of shares of
Common Stock acquirable upon complete exercise of this Warrant (without regard to any limitations on exercise hereof, including without limitation, the Beneficial Ownership Limitation) immediately before the date on which a record is taken for such
Distribution, or, if no such record is taken, the date as of which the record holders of shares of Common Stock are to be determined for the participation in such Distribution (provided, however, to the extent that the Holder’s right to
participate in any such Distributions would result in the Holder exceeding the Beneficial Ownership Limitation, then the Holder shall not be entitled to participate in such Distribution to such extent (or the beneficial ownership of any such shares
of Common Stock as a result of such Distribution to such extent) and such Distribution to such extent shall be held in abeyance for the benefit of the Holder until such time, if ever, as its right thereto would not result in the Holder exceeding the
Beneficial Ownership Limitation). 
 e) Fundamental Transaction. If, at any time while this Warrant is
outstanding, (i) the Company, directly or indirectly, in one or more related transactions effects any merger or consolidation of the Company with or into another Person, (ii) the Company, directly or indirectly, effects any sale, lease,
license, assignment, transfer, conveyance or other disposition of all or substantially all of its assets in one or a series of related transactions, (iii) any, direct or indirect, purchase offer, tender offer or exchange offer (whether by the
Company or another Person) is completed pursuant to which holders of Common Stock are permitted to sell, tender or exchange their shares for other securities, cash or property and has been accepted by the holders of 50% or more of the outstanding
Common Stock, (iv) the Company, directly or indirectly, in one or more related transactions effects any reclassification, reorganization or recapitalization of the Common Stock or any compulsory share exchange pursuant to which the Common Stock
is effectively converted into or exchanged for other securities, cash or property (other than as provided for under Section 3(a)), or (v) the Company, directly or indirectly, in one or more related transactions consummates a stock or share
purchase agreement (other than an additional cash investment in the Company on terms and conditions that are consistent with investment transactions in which the investor does not obtain control of the issuing entity made solely for investment
purposes by Andrey Semechkin, Ruslan Semechkin and/or their affiliates) or other business combination (including, without limitation, a reorganization, recapitalization, spin-off or scheme of arrangement) with another Person whereby such other
Person acquires more than 50% of the outstanding shares of Common Stock (not including any shares of Common Stock held by the other Person or other Persons making or party to, or associated or affiliated with the other Persons making or party to,
such stock or share purchase agreement or other business combination) (each a “Fundamental Transaction”), then, upon any subsequent exercise of this Warrant, the Holder shall have the right to receive, for each Warrant Share that
would have been issuable upon such exercise immediately prior to the occurrence of such Fundamental Transaction, at the option of the Holder (without regard to any limitation in Section 2(e) on the exercise of this Warrant), the number of
shares of Common Stock of the successor or acquiring corporation or of the Company, if it is the surviving corporation, and any additional consideration (the “Alternate Consideration”) receivable as a result of such Fundamental
Transaction by a holder of the number of shares of Common Stock for which this Warrant is exercisable immediately prior to such Fundamental Transaction (without regard to any limitation in Section 2(e) on the exercise of this Warrant). For
purposes of clarity, no bona fide underwritten offering of the Company’s securities will be deemed to be a Fundamental Transaction. For purposes of any such exercise, the determination of the Exercise Price shall be appropriately adjusted to
apply to such Alternate Consideration based on the amount of Alternate Consideration issuable in respect of one share of Common Stock in such Fundamental Transaction, and the Company shall apportion the Exercise Price among the Alternate
Consideration in a reasonable manner reflecting the relative value of any different components of the Alternate Consideration. If holders of Common Stock are given any choice as to the securities, cash or property to be received in a Fundamental
Transaction, then the Holder shall be given the same choice as to the Alternate Consideration it receives upon any exercise of this Warrant following such Fundamental Transaction. 

Notwithstanding the foregoing, in the event of a Fundamental Transaction that is (1) a transaction in which all or
substantially all of the consideration consists of cash, (2) a “Rule 13e-3 transaction” as defined in Rule 13e-3 under the Exchange Act or (3) a Fundamental Transaction involving a person or entity not traded on either The New
York Stock Exchange, Inc., The NYSE MKT, The NASDAQ Global Select Market, The NASDAQ Global Market or The NASDAQ Capital Market, other than a merger in connection with a bona 

 
fide acquisition by the Company of any Person in which (x) the gross consideration paid, directly or indirectly, by the Company in such acquisition is not greater than 45% of the
Company’s market capitalization as calculated on each of (1) the date of the public announcement of such merger and (2) the date of the consummation of such merger and (y) such merger does not contemplate any change to the
identity of the board of directors of the Company or any of the members of the senior management of the Company, including, without limitation, the chief executive officer and the chief financial officer of the Company, at the request of the Holder
delivered before the 45th day after such Fundamental Transaction, the Company (or the Successor Entity, as defined below) shall purchase this Warrant from the Holder by paying to the Holder, within five business days after such request (or, if
later, on the effective date of the Fundamental Transaction), cash in an amount equal to the Black Scholes Value of the remaining unexercised portion of this Warrant on the date of such Fundamental Transaction. “Black Scholes Value”
means the value of this Warrant based on the Black Scholes Option Pricing Model obtained from the “OV” function on Bloomberg using (i) a price per share of Common Stock equal to the Weighted Average Price of the Common Stock for the
business day immediately preceding the date of consummation of the applicable Fundamental Transaction, (ii) a risk-free interest rate corresponding to the U.S. Treasury rate for a period equal to the remaining term of this Warrant as of the
date of the Holder’s request under this Section 3(e) and (iii) an expected volatility equal to the lesser of 80% and the 60-day volatility obtained from the HVT function on Bloomberg determined as of the business day next following
the public announcement of the applicable Fundamental Transaction. 
 The Company shall cause any successor
entity in a Fundamental Transaction in which the Company is not the survivor (the “Successor Entity”) to assume in writing all of the obligations of the Company under this Warrant in accordance with the provisions of this
Section 3(e) pursuant to written agreements in form and substance reasonably satisfactory to the Holder and approved by the Holder (without unreasonable delay) prior to such Fundamental Transaction and shall, at the option of the Holder,
deliver to the Holder in exchange for this Warrant a security of the Successor Entity evidenced by a written instrument substantially similar in form and substance to this Warrant which is exercisable for a corresponding number of shares of capital
stock of such Successor Entity (or its parent entity) equivalent to the shares of Common Stock acquirable and receivable upon exercise of this Warrant (without regard to any limitations on the exercise of this Warrant) prior to such Fundamental
Transaction, and with an exercise price which applies the exercise price hereunder to such shares of capital stock (but taking into account the relative value of the shares of Common Stock pursuant to such Fundamental Transaction and the value of
such shares of capital stock, such number of shares of capital stock and such exercise price being for the purpose of protecting the economic value of this Warrant immediately prior to the consummation of such Fundamental Transaction), and which is
reasonably satisfactory in form and substance to the Holder. Upon the occurrence of any such Fundamental Transaction, the Successor Entity shall succeed to, and be substituted for (so that from and after the date of such Fundamental Transaction, the
provisions of this Warrant referring to the “Company” shall refer instead to the Successor Entity), and may exercise every right and power of the Company and shall assume all of the obligations of the Company under this Warrant with the
same effect as if such Successor Entity had been named as the Company herein. 
 f) Calculations. All
calculations under this Section 3 shall be made to the nearest cent or the nearest 1/100th of a share, as the case may be. For purposes of this Section 3, the number of shares of Common Stock deemed to be issued and outstanding as of a
given date shall be the sum of the number of shares of Common Stock (excluding treasury shares, if any) issued and outstanding. 
 g) Notice to Holder. 
 i. Adjustment to Exercise
Price. Whenever the Exercise Price is adjusted pursuant to any provision of this Section 3, the Company shall promptly mail to the Holder a notice setting forth the Exercise Price after such adjustment and setting forth a brief statement of
the facts requiring such adjustment. 
 ii. Notice to Allow Exercise by Holder. If during the term in
which this Warrant may be exercised by the Holder (A) the Company shall declare a dividend (or any other distribution in whatever form) on the Common Stock, (B) the Company shall declare a special nonrecurring cash dividend on or a
redemption of the Common Stock, (C) the Company shall authorize the granting to all holders of the Common Stock rights or warrants to subscribe for or purchase any shares of capital stock of any class or of any rights, (D) the approval of
any stockholders of the 

 
Company shall be required in connection with any reclassification of the Common Stock, any consolidation or merger to which the Company is a party, any sale or transfer of all or substantially
all of the assets of the Company, or any compulsory share exchange whereby the Common Stock is converted into other securities, cash or property, or (E) the Company shall authorize the voluntary or involuntary dissolution, liquidation or
winding up of the affairs of the Company, then, in each case, the Company shall cause to be mailed to the Holder at its last address as it shall appear upon the Warrant Register of the Company, at least ten (10) calendar days prior to the
applicable record or effective date hereinafter specified, a notice stating (x) the date on which a record is to be taken for the purpose of such dividend, distribution, redemption, rights or warrants, or if a record is not to be taken, the
date as of which the holders of the Common Stock of record to be entitled to such dividend, distributions, redemption, rights or warrants are to be determined or (y) the date on which such reclassification, consolidation, merger, sale, transfer
or share exchange is expected to become effective or close, and the date as of which it is expected that holders of the Common Stock of record shall be entitled to exchange their shares of the Common Stock for securities, cash or other property
deliverable upon such reclassification, consolidation, merger, sale, transfer or share exchange; provided that the failure to mail such notice or any defect therein or in the mailing thereof shall not affect the validity of the corporate action
required to be specified in such notice. To the extent that any notice provided hereunder constitutes, or contains, material, non-public information regarding the Company or any of the Subsidiaries, the Company shall simultaneously file such notice
with the Commission pursuant to a Current Report on Form 8-K. The Holder shall remain entitled to exercise this Warrant during the period commencing on the date of such notice to the effective date of the event triggering such notice except as may
otherwise be expressly set forth herein. 
 Section 4. Transfer of Warrant. 

a) Transferability. Subject to compliance with applicable securities laws, this Warrant and all rights hereunder
are transferable, in whole or in part, upon surrender of this Warrant at the principal office of the Company or its designated agent, together with a written assignment of this Warrant substantially in the form attached hereto duly executed by the
Holder or its agent or attorney and funds sufficient to pay any transfer taxes payable upon the making of such transfer. Upon such surrender and, if required, such payment, the Company shall execute and deliver a new Warrant or Warrants in the name
of the assignee or assignees, as applicable, and in the denomination or denominations specified in such instrument of assignment, and shall issue to the assignor a new Warrant evidencing the portion of this Warrant not so assigned, and this Warrant
shall promptly be cancelled. The Warrant, if properly assigned in accordance herewith, may be exercised by a new holder for the purchase of Warrant Shares without having a new Warrant issued. 

b) New Warrants. This Warrant may be divided or combined with other Warrants upon presentation hereof at the
aforesaid office of the Company, together with a written notice specifying the names and denominations in which new Warrants are to be issued, signed by the Holder or its agent or attorney. Subject to compliance with Section 4(a), as to any
transfer which may be involved in such division or combination, the Company shall execute and deliver a new Warrant or Warrants in exchange for the Warrant or Warrants to be divided or combined in accordance with such notice. All Warrants issued on
transfers or exchanges shall include reference to the initial issuance date set forth on the first page of this Warrant and shall be identical with this Warrant except as to the number of Warrant Shares issuable pursuant thereto and the Warrant
number. 
 c) Warrant Register. The Company shall register this Warrant, upon records to be maintained by
the Company for that purpose (the “Warrant Register”), in the name of the record Holder hereof from time to time. The Company may deem and treat the registered Holder of this Warrant as the absolute owner hereof for the purpose of
any exercise hereof or any distribution to the Holder, and for all other purposes, absent actual written notice to the contrary. 
 Section 5. Miscellaneous. 
 a) No Rights as
Stockholder Until Exercise. This Warrant does not entitle the Holder to any voting rights, dividends or other rights as a stockholder of the Company prior to the exercise hereof as set forth in Section 2(d)(i). 

 b) Loss, Theft, Destruction or Mutilation of Warrant. The Company
covenants that upon receipt by the Company of evidence reasonably satisfactory to it of the loss, theft, destruction or mutilation of this Warrant or any stock certificate relating to the Warrant Shares, and in case of loss, theft or destruction, of
indemnity or security reasonably satisfactory to it, and upon surrender and cancellation of such Warrant or stock certificate, if mutilated, the Company will make and deliver a new Warrant or stock certificate of like tenor, in lieu of such Warrant
or stock certificate. 
 c) Saturdays, Sundays, Holidays, etc. If the last or appointed day for the taking
of any action or the expiration of any right required or granted herein shall not be a business day, then, such action may be taken or such right may be exercised on the next succeeding business day. 

d) Authorized Shares. The Company covenants that during the period the Warrant is outstanding, it will reserve from
its authorized and unissued Common Stock a sufficient number of shares to provide for the issuance of the Warrant Shares upon the exercise of any purchase rights under this Warrant. The Company further covenants that its issuance of this Warrant
shall constitute full authority to its officers who are charged with the duty of executing stock certificates to execute and issue the necessary certificates for the Warrant Shares upon the exercise of the purchase rights under this Warrant. The
Company will take all such reasonable action as may be necessary to assure that such Warrant Shares may be issued as provided herein without violation of any applicable law or regulation, or of any requirements of the Trading Market upon which the
Common Stock may be listed. “Trading Market” means any of the following markets or exchanges on which the Common Stock is listed or quoted for trading on the date in question: the NYSE AMEX, the Nasdaq Capital Market, the Nasdaq
Global Market, the Nasdaq Global Select Market, the New York Stock Exchange or the OTC Bulletin Board (or any successors to any of the foregoing). The Company covenants that all Warrant Shares which may be issued upon the exercise of the purchase
rights represented by this Warrant will, upon exercise of the purchase rights represented by this Warrant and payment for such Warrant Shares in accordance herewith, be duly authorized, validly issued, fully paid and nonassessable and free from all
taxes, liens and charges created by the Company in respect of the issue thereof (other than taxes in respect of any transfer occurring contemporaneously with such issue). 

Except and to the extent as waived or consented to by the Holder, the Company shall not by any action, including, without
limitation, amending its certificate of incorporation or through any reorganization, transfer of assets, consolidation, merger, dissolution, issue or sale of securities or any other voluntary action, avoid or seek to avoid the observance or
performance of any of the terms of this Warrant, but will at all times in good faith assist in the carrying out of all such terms and in the taking of all such actions as may be necessary or appropriate to protect the rights of Holder as set forth
in this Warrant against impairment. Without limiting the generality of the foregoing, the Company will (i) not increase the par value of any Warrant Shares above the amount payable therefor upon such exercise immediately prior to such increase
in par value, (ii) take all such action as may be necessary or appropriate in order that the Company may validly and legally issue fully paid and nonassessable Warrant Shares upon the exercise of this Warrant and (iii) use commercially
reasonable efforts to obtain all such authorizations, exemptions or consents from any public regulatory body having jurisdiction thereof, as may be necessary to enable the Company to perform its obligations under this Warrant. 

Before taking any action which would result in an adjustment in the number of Warrant Shares for which this Warrant is
exercisable or in the Exercise Price, the Company shall obtain all such authorizations or exemptions thereof, or consents thereto, as may be necessary from any public regulatory body or bodies having jurisdiction thereof. 

e) Jurisdiction. All questions concerning the construction, validity, enforcement and interpretation of this
Warrant shall be determined in accordance with the laws of the State of New York. 
 f) Restrictions. The
Holder acknowledges that the Warrant Shares acquired upon the exercise of this Warrant, if not registered, and the Holder does not utilize cashless exercise, will have restrictions upon resale imposed by state and federal securities laws.

 g) Nonwaiver and Expenses. No course of dealing or any delay or failure to exercise any right hereunder
on the part of Holder shall operate as a waiver of such right or otherwise prejudice Holder’s rights, powers or remedies. Without limiting any other provision of this Warrant, if the Company or the Holder willfully and knowingly fails to comply
with any provision of this Warrant, which results in any material damages to the other party, then such party shall pay to the other party such amounts as shall be sufficient to cover any costs and expenses including, but not limited to, reasonable
attorneys’ fees, including those of appellate proceedings, incurred by such party in collecting any amounts due pursuant hereto or in otherwise enforcing any of its rights, powers or remedies hereunder. 

 h) Notices. The Company shall provide the Holder with prompt written
notice of all actions taken pursuant to this Warrant. Whenever notice is required to be given under this Warrant, unless otherwise provided herein, such notice shall be given in writing, will be mailed (a) if within the domestic United States
by first-class registered or certified airmail, or nationally recognized overnight express courier, postage prepaid, or by facsimile or (b) if delivered from outside the United States, by International Federal Express or facsimile, and
(c) will be deemed given (i) if delivered by first-class registered or certified mail domestic, three business days after so mailed, (ii) if delivered by nationally recognized overnight carrier, one business day after so mailed,
(iii) if delivered by International Federal Express, two business days after so mailed and (iv) if delivered by facsimile, upon electronic confirmation of receipt, and will be delivered and addressed as follows: 

(i) if to the Company, to: 
 International Stem Cell Corporation 
 5950 Priestly Drive 

Carlsbad, CA 92008 
 Attn: Jay Novak, Chief Financial Officer 
 Facsimile: (760) 476-0600

 with a copy to: 
 DLA Piper LLP 
 4365 Executive Drive, Suite 1100 

San Diego, CA 92121 
 Attn: Douglas Rein 
 Facsimile: (858) 638-5043 

(ii) if to the Holder, at the address of the Holder appearing on the books of the Company. 

i) Limitation of Liability. No provision hereof, in the absence of any affirmative action by Holder to exercise
this Warrant to purchase Warrant Shares, and no enumeration herein of the rights or privileges of Holder, shall give rise to any liability of Holder for the purchase price of any Common Stock or as a stockholder of the Company, whether such
liability is asserted by the Company or by creditors of the Company. 
 j) Remedies. The Holder and the
Company, in addition to being entitled to exercise all rights granted by law, including recovery of damages, will be entitled to specific performance of its rights under this Warrant. 

k) Successors and Assigns. Subject to applicable securities laws, this Warrant and the rights and obligations
evidenced hereby shall inure to the benefit of and be binding upon the successors and permitted assigns of the Company and the successors and permitted assigns of Holder. The provisions of this Warrant are intended to be for the benefit of any
Holder from time to time of this Warrant and shall be enforceable by the Holder or holder of Warrant Shares. 

l) Amendment. This Warrant is one of a series of Warrants of like tenor issued by the Company pursuant to the
Placement Agent Agreement, dated as of July 19, 2013, by and between the Company and Roth Capital Partners, LLC (collectively, the “Series A Warrants”). Any term of this Warrant may be amended or waived (including the
adjustment provisions included in Section 3 of this Warrant) upon the written consent of the Company and the holders of Series A Warrants representing at least 66 2/3% of the number of shares of Common Stock then subject to all outstanding
Series A Warrants (excluding Series A Warrants held by the Company and its subsidiaries) (the “Required Holders”). 
 m) Severability. Wherever possible, each provision of this Warrant shall be interpreted in such manner as to be effective and valid under applicable law, but if any provision of this Warrant shall
be prohibited by or invalid under applicable law, such provision shall be ineffective to the extent of such prohibition or invalidity, without invalidating the remainder of such provisions or the remaining provisions of this Warrant. 

n) Headings. The headings used in this Warrant are for the convenience of reference only and shall not, for any
purpose, be deemed a part of this Warrant. 
 ******************** 

(Signature Page Follows) 

 IN WITNESS WHEREOF, the Company has caused this Warrant to be executed by its officer
thereunto duly authorized as of the date first above indicated. 
  

			
	INTERNATIONAL STEM CELL CORPORATION
		
	By:	 	 
		 	Name:
		 	Title:

 NOTICE OF EXERCISE 
 TO: INTERNATIONAL STEM CELL CORPORATION  
 (1) The undersigned hereby
elects to purchase              Warrant Shares of the Company pursuant to the terms of the attached Warrant (only if exercised in full), and tenders herewith payment of the exercise price
in full, together with all applicable transfer taxes, if any. By executing this notice, the undersigned Holder represents that it has complied with the Holder’s Exercise Limitations set forth in Section 2(e) of this Warrant. 

(2) Payment shall take the form of (check applicable box): 
  ̈ in lawful money of the United States; or 
  ̈ if permitted the cancellation of such number of Warrant Shares as is necessary, in accordance with the formula set forth in subsection 2(c), to exercise
this Warrant with respect to the maximum number of Warrant Shares purchasable pursuant to the cashless exercise procedure set forth in subsection 2(c). 
 (3) Please issue a certificate or certificates representing said Warrant Shares in the name of the undersigned or in such other name as is specified below: 

 

											
		 	  
	 		 	

 The Warrant Shares shall be delivered to the following DWAC Account Number or by physical delivery of a certificate to:

  

											
		 	  
	 		 	
				
		 	  
	 		 	
				
		 	  
	 		 	

 [SIGNATURE OF HOLDER] 
 Name of Investing 

Entity:                        
                                         
                                         
                                  

Signature of Authorized Signatory of 

Investing
Entity:                                        
                                         
                                         
   
 Name of Authorized 
 Signatory:                                
                                         
                                         
                     
 Title of
Authorized 

Signatory:                       
                                         
                                         
                              
 Date:                                
   

 ASSIGNMENT FORM 

(To assign the foregoing warrant, execute this form and supply required information. Do not use this form to 

exercise the warrant.) 
 FOR VALUE RECEIVED, [    ] all of or [                    ] shares of the foregoing
Warrant and all rights evidenced thereby are hereby assigned to
                                         
        
 whose address is 

 
  

					
	  
	  		  	

                         
                                         
                               . 

Dated:                  ,
         
  

							
	                            
Holder’s Signature:	 	  
	  	
			
	                            
Holder’s Address:	 	  
	  	
			
		 	  
	  	

 Signature Guaranteed:
                                         
            
 NOTE: The signature to this Assignment Form must correspond with the
name as it appears on the face of the Warrant, without alteration or enlargement or any change whatsoever, and must be guaranteed by a bank or trust company. Officers of corporations and those acting in a fiduciary or other representative capacity
should file proper evidence of authority to assign the foregoing Warrant.

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