Document:

Exhibit 10.1

 

Abeona Therapeutics Inc.

1330 Avenue of the Americas, 33rd Floor

New York, NY 10019

 

December 20, 2019

 

Biomedical Value Fund, L.P.

Biomedical Offshore Value Fund, Ltd.

and

GEF-SMA, L.P.

 

c/o Great Point Partners LLC

165 Mason Street, 3rd Floor

Greenwich, Connecticut 06830

 

		Re:	Letter Agreement regarding Certain Purchaser Rights

 

Ladies and Gentlemen:

 

Abeona Therapeutics
Inc., a Delaware corporation (the “Company”), is contemplating an offering of shares of common stock, par value $0.01
per share (“Common Stock”), and warrants to purchase shares of Common Stock as described in the Company’s Prospectus
Supplement, dated December [20], 2019, to the Prospectus dated June 7, 2018 (the “Offering”). In consideration for
Biomedical Value Fund, L.P., Biomedical Offshore Value Fund, Ltd. and GEF-SMA, L.P. (collectively, “Purchaser”) purchasing
in the aggregate at least $31 million in Common Stock and/or warrants in the Offering, the Company and Purchaser agree as follows:

 

 1.             Corporate Governance Matters.

 

		(a)	Identification and Nomination of Chairman Candidate. 

 

		(i)	By written notice to the Company no later than March 31, 2020 (the “Nomination Deadline”),
Purchaser shall have the right to identify a successor candidate for Chairman of the Board and Executive Chairman (the “Chairman
Candidate”) who (A) is reasonably experienced in the Company’s industry, (B) is not affiliated with Purchaser and (C)
otherwise meets the criteria of the Company’s Nominating and Corporate Governance Committee (the “Nominating Committee”)
for nominees and applicable rules and regulations of the Securities Exchange Act of 1934, as amended, and the Nasdaq Capital Market
(such qualifications set forth in clauses (A), (B) and (C) collectively, the “Qualification Criteria”).

 

		(ii)	As soon as practicable following Purchaser’s identification of a Chairman Candidate pursuant
to paragraph 1(a)(i), the Company shall use commercially reasonable efforts to cause its Compensation Committee to negotiate and
agree to a compensation package with the Chairman Candidate. In the event that the Compensation Committee and the Chairman Candidate
cannot reach agreement as to the Chairman Candidate’s compensation package within fifteen (15) days, the compensation package
finally offered to the Chairman Candidate shall be as mutually agreed-upon by the Compensation Committee and Purchaser to be reasonable
and market standard for such position; provided, however, that in any event the compensation paid by the Company
to its previous Chairman of the Board and Executive Chairman shall be deemed reasonable and market standard for such purposes.

 

    

     

    

 

		(iii)	Upon agreement by the Chairman Candidate and the Compensation Committee to a compensation package,
the Company shall use its commercially reasonable efforts to promptly (A) cause the Nominating Committee to nominate the Chairman
Candidate as the successor Chairman of the Board and Executive Chairman, and (B) cause the Company’s board of directors (the
“Board”) to so elect to the Board the Chairman Candidate to fill the vacancy created by the resignations described
in paragraphs 1(c)(i) and (ii).

 

		(iv)	If (A) the Compensation Committee and the Chairman Candidate do not reach agreement on a compensation
package pursuant to paragraph 1(a)(ii), (B) the Nominating Committee rejects the Chairman Candidate pursuant to paragraph 1(a)(iii)(A)
or (C) the Board fails to elect the Chairman Candidate pursuant to paragraph 1(a)(iii)(B), then Purchaser shall be granted an additional
period of thirty (30) days to identify by written notice to the Company a new Chairman Candidate pursuant to paragraph 1(a)(i)
(except that such new candidate need not satisfy clause (B) of the definition of Qualification Criteria), and the covenants set
forth under this paragraph 1(a) shall again apply to such new Chairman Candidate.

 

		(b)	Identification and Nomination of Director Candidate.

 

		(i)	By written notice to the Company no later than the Nomination Deadline, Purchaser shall have the
right to identify an additional successor director who meets the Qualification Criteria (the “Director Candidate”).

 

		(ii)	Upon Purchaser’s identification of a Director Candidate pursuant to paragraph 1(b)(i), the
Company shall use its commercially reasonable efforts to promptly (A) cause the Nominating Committee to nominate the Director Candidate
to the Board and (B) cause the Board to so elect to the Board the Director Candidate to fill the vacancy created by the resignation
described in paragraph 1(c)(iii).

 

		(iii)	If (A) the Nominating Committee rejects the Director Candidate pursuant to paragraph 1(b)(ii)(A)
or (ii) the Board fails to elect the Director Candidate pursuant to paragraph 1(b)(ii)(B), then Purchaser shall be granted an additional
period of thirty (30) days to identify by written notice to the Company a new Director Candidate pursuant to paragraph 1(b)(i)
(except that such new candidate need not satisfy clause (B) of the definition of Qualification Criteria), and the covenants set
forth under this paragraph 1(b) shall again apply to such new Director Candidate.

 

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		(c)	Resignations. Concurrently with the execution of this letter agreement, the Company has
delivered to Purchaser the following, in each case reasonably acceptable to Purchaser:

 

		(i)	from Steven H. Rouhandeh, a duly executed letter of resignation in his capacity as the Company’s
Chairman of the Board and Executive Chairman (but, for the avoidance of doubt, not from the Board), effective at the time that
the Board is in a position to elect the Chairman Candidate pursuant to paragraph 1(a)(iii)(B), but in any event immediately prior
to such election;

 

		(ii)	from Mark J. Alvino, a duly executed letter of resignation from the Company’s board of directors,
effective as of the time that the Board is in a position to elect the Chairman Candidate pursuant to paragraph 1(a)(iii)(B), but
in any event immediately prior to such election; and

 

		(iii)	from Richard Van Duyne, a duly executed letter of resignation from the Company’s board of
directors, effective as of the time that the Board is in a position to elect the Director Candidate pursuant to paragraph 1(b)(ii)(B),
but in any event immediately prior to such election.

 

		(d)	Fees and Expenses. The Company shall pay on Purchaser’s behalf or reimburse Purchaser
for, as applicable, all reasonable out-of-pocket fees, costs and expenses incurred in connection with the search for and recruitment
of the candidates described in paragraphs 1(a) and (b), including, without limitation, fees, costs and expenses of recruitment
or search firms engaged by Purchaser.

 

2.             Purchaser Consent Right. From the date hereof until the election of the Chairman Candidate pursuant to paragraph
1(a)(iii)(B), the Company shall not, without the prior written consent of Purchaser, enter into any material transaction with respect
to the commercialization or development of any material intellectual property or technology of the Company, or enter into any binding
agreement, commitment or obligation with respect to any such material transaction.

 

3.             Miscellaneous. This letter agreement constitutes the entire agreement between the parties hereto pertaining to the
subject matter hereof, and supersedes all prior and contemporaneous agreements, understandings, negotiations and discussions of
the parties, whether written or oral, with respect to the subject matter hereof. Each party has been represented and advised by
independent counsel of its choice in connection with the execution of this letter agreement and has cooperated in the drafting
and preparation of this letter agreement. Accordingly, any law that would require interpretation of this letter agreement, including
any ambiguous, vague or conflicting term herein, against the drafter should not apply and is expressly waived. This letter agreement
shall be deemed to have been made and performed in, and shall be governed and construed in accordance with the laws of, the State
of New York, without regard to conflicts of law principles. Nothing in this letter agreement is intended to or shall confer upon
any third party any benefits, rights or remedies of any nature whatsoever under or by reason of this letter agreement. This letter
agreement may be executed in any number of counterparts and by the parties hereto in separate counterparts, each of which when
so executed will be deemed to be an original and all of which taken together shall constitute one and the same agreement. Facsimile
or electronic signatures hereto shall be deemed to have the same force and effect as original signatures.

 

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	 	Very truly yours,
	 
	 	ABEONA THERAPEUTICS INC.
	 
	 
	 	By:	 /s/ Steve H. Rouhandeh
	 	 	Name: Steven H. Rouhandeh
	 	 	Title: Executive Chairman

 

Agreed and acknowledged as of the date first set forth above
by:

 

	BIOMEDICAL VALUE FUND, L.P.	 
	 	 
	 
	By:	Great Point Partners, LLC, its investment manager	 
	 	 	 
	By:	/s/ David Kroin	 
	 	Name: David Kroin	 
	 	Title: Managing Partner	 

 

	BIOMEDICAL OFFSHORE VALUE FUND, LTD.

 

	By:	Great Point Partners, LLC, its investment manager	 
	 	 	 
	By:	/s/ David Kroin	 
	 	Name: David Kroin	 
	 	Title: Managing Partner	 

 

GEF-SMA, L.P.

  

	By:	Great Point Partners, LLC, its investment manager	 
	 	 	 
	By:	/s/ David Kroin	 
	 	Name: David Kroin	 
	 	Title: Managing PartnerExhibit
10.1

 

Share
Purchase Agreement

 

THIS
Share Purchase Agreement (this “Agreement”) is made as of this
17day of December, 2019, by and between, Frelii Inc., a company organized under the laws of the State of Utah with its registered
office at 670 West Shepard Lane, Suite 102 Farmington, UT 84025 (“Buyer”), and Genecor AI Inc., a company organized
under the laws of Ontario with its registered office at 1 Adelaide St E, Toronto, ON M5C 2V9 (“Seller”).

 

Whereas

 

Whereas,
Seller owns 100 common shares (the “Shares”) in Genecor AI Inc. (the “Company”), a company organized under
the laws of the Province of Ontario with registered office at 1 Adelaide St E, Toronto, ON M5C 2V9, and

 

Whereas,
Seller wishes to sell to Buyer, and Buyer desires to purchase from Seller common shares representing 25% of the outstanding shares
upon the terms and conditions set forth in this Agreement.

 

Now,
Therefore, in consideration of the mutual covenants
and undertakings contained herein, and subject to the terms and conditions herein set forth, and with the intent to be bound,
the parties to this Agreement (“the Parties”) hereto agree as follows:

 

ARTICLE
I

DEFINITIONS

 

As
used in this Agreement and the schedules hereto, the following terms have the respective meanings set forth below.

 

“Agreement”
shall have the meaning set forth in the Preamble to this Agreement.

 

“Buyer”
shall have the meaning set forth in the Preamble to this Agreement.

 

“Closing”
shall have the meaning set forth in Section 4.1.

 

“Closing
Date” shall have the meaning set forth in Section 4.1.

 

“Company”
shall have the meaning set forth in the Recitals to this Agreement.

  

“Purchase
Price” shall have the meaning set forth in Section 3.1.

 

“Seller”
shall have the meaning set forth in the Preamble to this Agreement.

 

“Shares”
shall have the meaning set forth in the Recitals to this Agreement.

 

    	 	 	 

    	 

    

 

ARTICLE
II

 

PURCHASE
AND SALE

 

2.1
Purchase and Sale of the Shares

 

(a)
Upon the terms and subject to the conditions set forth in this Agreement, at Closing, Seller hereby sells, assigns, transfers,
conveys and delivers to Buyer, and Buyer hereby purchases, acquires and accepts from Seller, free and clear of Encumbrances, the
25% of the right, title and interest in, at the time of Closing, the Shares of the Seller.

 

(b)
Seller hereby irrevocably waives any restrictions on transfer to the extent possible (including any of its rights of pre-emption)
which may exist in relation to the Purchase, whether under the articles of association (or local equivalent) of the Company or
otherwise.

 

ARTICLE
III

PURCHASE PRICE: ALLOCATION OF PURCHASE PRICE

 

3.1
Purchase Price. Buyer will exchange shares equal to $940,000 USD (the “Purchase Price”) at $0.20 USD for 25
shares of Genecor AI Inc.

 

ARTICLE
IV

CLOSING

 

4.1
Closing. Subject to the terms and conditions of this Agreement, the sale and purchase of the Shares contemplated by this
Agreement shall take place at a closing (the “Closing”) held at the offices of 1180 Aerowood Dr, Mississauga,
ON, on the date hereof (the “Closing Date”). Except to the extent expressly set forth in this Agreement to
the contrary, and notwithstanding the actual occurrence of the Closing at any particular time on the Closing Date, the Closing
shall be deemed to occur and be effective as of 12:01 a.m. Toronto time on the Closing Date.

 

4.2
Deliveries at the Closing

 

(a)
Upon the terms and subject to the conditions of this Agreement, at the Closing, Seller shall deliver to Buyer copies of the resolutions
(or local equivalent) of the board of directors (or local equivalent) and, where required, the stockholder(s) of Seller, authorizing
and approving the transactions contemplated by this Agreement, certified by the respective corporate secretary (or local equivalent)
or a director to be true and complete and in full force and effect and unmodified as of the Closing.

 

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(b)
Upon the terms and subject to the conditions of this Agreement, at the Closing, the Buyer shall deliver to Seller copies of the
resolutions (or local equivalent) of the board of directors (or local equivalent) and, where required, the stockholder(s) of Buyer,
authorizing and approving the transactions contemplated by this Agreement, certified by the respective corporate secretary (or
local equivalent) or a director to be true and complete and in full force and effect and unmodified as of the Closing.

 

(c)
Upon the terms and subject to the conditions of this Agreement, at the Closing, the Parties shall sign the transfer of the Shares
of Genecor AI to Frelii Inc. and the Class B Shares of Frelii Inc. to Helix Investments Partners Inc. in the form of warrants
and/or shares in the share register of the respective companies.

 

ARTICLE
V

MISCELLANEOUS

 

5.1
Notices. Any notice required to be given hereunder shall be sufficient if in writing, and sent by facsimile transmission
(provided that any notice received by facsimile transmission or otherwise at the addressee’s location on any business day
after 5:00 p.m. (addressee’s local time) shall be deemed to have been received at 9:00 a.m. (addressee’s local time)
on the next business day), by reliable overnight delivery service (with proof of service), hand delivery or certified or registered
mail (return receipt requested and first-class postage prepaid), addressed as follows:

 

To
Buyer:

 

670
West Shepard Lane, Suite 102 Farmington, UT 84025

Attention:
Ian Jenkins, President & CEO

Email:
ianjenkins@frelii.com

 

To
Seller:

 

1
Adelaide St E, Toronto, ON M5C 2V9

Attention:
Tejas Shah, Director

Email:
tshah@genecor.ai

 

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or
to such other address as any Party shall specify by written notice so given, and such notice shall be deemed to have been delivered
as of the date so telecommunicated, personally delivered or mailed. Any Party to this Agreement may notify any other Party of
any changes to the address or any of the other details specified in this paragraph; provided, however, that such
notification shall only be effective on the date specified in such notice or five (5) business days after the notice is given,
whichever is later. Rejection or other refusal to accept or the inability to deliver because of changed address of which no notice
was given shall be deemed to be receipt of the notice as of the date of such rejection, refusal or inability to deliver.

 

5.2
Counterparts: Effectiveness. This Agreement may be executed in two or more consecutive counterparts
(including by facsimile), each of which shall be an original, with the same effect as if the signatures thereto and hereto were
upon the same instrument, and shall become effective when one or more counterparts have been signed by each of the Parties and
delivered (by telecopy or otherwise) to the other Parties.

 

5.3
Governing Law. This Agreement shall be governed by and construed in accordance with
the laws of Ontario, without giving effect to any choice or conflict of law provision or rule.

 

5.5
Arbitration. Any dispute, controversy
or claim arising out of or relating to the conclusion, interpretation or performance of the present Agreement, or the breach,
termination or invalidity thereof, shall
be definitively settled by arbitration.

 

The
Parties shall have the arbitration conducted in accordance to the Procedural Rules of Ontario, by an arbitral tribunal appointed
in accordance to the Procedural Rules of Ontario.

 

The
arbitral tribunal shall be composed of three arbitrators.

 

The
place of arbitration shall be Toronto, unless the arbitral tribunal decides otherwise with the agreement of all Parties.

 

The
language of the arbitration shall be the language of the present Agreement, i.e. English.

 

The
Parties hereby waive
their right to any form of recourse against
an award to any court or other competent
authority, insofar as such waiver
can validly be made under the applicable law.

 

5.6
Assignment. No Party to this Agreement may assign any
of its rights and obligations under this Agreement without the prior written consent of the other party hereto; provided, however,
either party may assign its rights and obligations to one or more of its respective Wholly-Owned Subsidiaries (it being understood
that such assignment shall not be permitted if it would delay or impair the consummation of the transactions contemplated hereby);
provided, further, that, no such assignment shall relieve the assigning party of any of its obligations hereunder.

 

5.7
Parties in Interest. This Agreement and all the provisions hereof shall be binding upon and shall inure to the benefit
of the parties hereto and their respective successors and permitted assigns. This Agreement is for the sole benefit of the parties
hereto and their permitted assigns and nothing herein express or implied shall give or be construed to give to any person, other
than the Parties hereto and such permitted assigns, any legal or equitable rights hereunder.

 

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5.8
Titles and Headings. The headings and table of contents in this Agreement are for reference purposes only, and shall not
in any way affect the meaning or interpretation of this Agreement.

 

5.9
Entire Agreement. This Agreement (including the Schedules and Exhibits attached hereto or delivered in connection herewith)
constitutes the entire agreement among the Parties hereto with respect to the matters covered by this Agreement and thereby, and
supersede all previous written, oral or implied understandings among them with respect to such matters.

 

5.10
Further Action. After Closing, each of the Parties shall do, execute and deliver or procure
to be done, executed and delivered, at the reasonable request and expense of the other Party, all such further acts, deeds, documents,
instruments of conveyance, assignment and transfer and things as may be necessary to give effect to the terms of this Agreement.

 

5.12
Amendment and Modification. This Agreement may not be amended except by an instrument in
writing signed on behalf of each of the Parties hereto.

 

5.13
Waiver. Any of the terms or conditions of this Agreement may be waived at any time by the
party or parties hereto entitled to the benefit thereof, but only by a writing signed by the Party or Parties waiving such terms
or conditions.

 

5.14
Severability. If any term, provisions, covenant or restriction of this Agreement is held
by a court of competent jurisdiction (i.e. including an arbitral tribunal) or other authority to be invalid, void or unenforceable,
the remainder of the terms, provisions, covenants and restrictions of this Agreement shall remain in full force and effect and
shall in no way be affected, impaired or invalidated so long as the economic or legal substance of the transactions completed
by this Agreement is not affected in any manner materially adverse to any party. Upon such determination, the parties shall negotiate
in good faith to modify this Agreement so as to affect the original intent of the parties as closely as possible in an acceptable
manner in order that the transactions contemplated by this Agreement be consummated as originally contemplated to the fullest
extent possible.

 

5.15
Interpretation. (a) Unless otherwise indicated to the contrary in this Agreement by the context
or use thereof: (i) the words, “herein,” “hereto,” “hereof” and words of similar import refer
to this Agreement as a whole and not to any particular Section or paragraph hereof; (ii) words importing the masculine gender
shall also include the feminine and neutral genders, and vice versa; (iii) words importing the singular shall also include the
plural, and vice versa; (iv) the word “including” means “including without limitation”.

 

(b)
The Parties have participated jointly in the negotiation and drafting of this Agreement. In the event an ambiguity or question
of intent arises, this Agreement shall be construed as if drafted jointly by the parties, and no presumption or burden of proof
shall arise favoring or disfavoring any party by virtue of the authorship of any of the provisions of this Agreement.

 

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5.16
Representations and Warranties. All representations and warranties in connection with the transfer of the Shares are set
forth in Schedule 1.

 

5.17
Governing Language. The English language shall be the definitive and controlling text of
this Agreement, notwithstanding the translation of this Agreement into any other language.

 

IN
WITNESS WHEREOF, the Parties hereto have caused this Agreement to be duly executed as of the day and year first above written.

 

	 		 
	Name:
    	 	 
	Title:	 	 

 

	 		 
	Name:	 	 
	Title:	 	 

 

    	 	6	 

    	 

    

 

Schedule
1

Representation
and Warranties

 

The
buyer represents and warrants that it has the authority to enter into this transaction. No other representations or warranties
are given or implied.

 

The
seller represents and warrants that it has the authority to enter into this transaction. No other representations or warranties
are given or implied.

 

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