Document:

Exhibit 10.23

 Exhibit 10.23 
 ***Text Omitted and Filed Separately 
 with the Securities and Exchange
Commission. 
 Confidential Treatment Requested 
 Under 17 C.F.R. Sections 200.80(b)(4) and Rule 406 of the 
 Securities Act
of 1933, as amended. 
 EXECUTION VERSION 
 COLLABORATION AGREEMENT 
 This COLLABORATION AGREEMENT (the
“Agreement”), effective as of November 3, 2006 (the “Effective Date”), is made by and between Ambit Biosciences Corporation a Delaware corporation, having a principal place of business at 4215 Sorrento Valley
Boulevard, San Diego, CA 92121 (“Ambit”), and Cephalon, Inc., a Delaware corporation, having a principal place of business at 41 Moores Road, Frazer, PA 19355 (“Cephalon”). 

RECITALS 
 WHEREAS, Ambit has expertise in the profiling of pharmaceutical compounds against human protein kinases and expertise in the research and development of pharmaceutical compounds; 

WHEREAS, Cephalon has expertise in the research, development and commercialization of pharmaceutical compounds; 

WHEREAS, the Parties have entered into a Profiling Services Agreement, dated as of the date hereof (the “Profiling
Services Agreement”), the terms of which are incorporated as set forth in Attachment A herein; 
 WHEREAS,
Cephalon and Ambit wish to enter into a collaboration employing the Parties’ medicinal chemistry and biology capabilities, in order to discover, develop and commercialize pharmaceutical compounds subject to and in accordance with the terms and
conditions of this Agreement (the “Collaboration”); and 
 WHEREAS, in addition, Ambit wishes to analyze
and assess the activity of certain of Cephalon’s compounds against Ambit kinase targets, and to develop and commercialize those compounds subject to the terms and conditions of this Agreement. 

NOW THEREFORE, in consideration of the mutual covenants and conditions hereinafter set forth in this Agreement, the Parties hereto
agree as follows: 
 ARTICLE I. 
 DEFINITIONS 
 As used herein, the following terms shall have the meanings set
forth below: 
 1.1. “Affiliate” shall mean, with respect to a particular Party, any Person controlled by,
controlling, or under common control with such Party. For the purpose of this Section 1.1 only, “control” of a Person shall mean (a) the possession, directly or indirectly, of the power to direct the management or policies of
such Person, whether through the ownership of voting securities, by contract or otherwise, or (b) the ownership, 

 
directly or indirectly, of more than fifty percent (50%) of the voting securities or other ownership interest of such Person. 

1.2. “Ambit Compound” shall mean any compound that (a) is brought to the Collaboration by Ambit, (b) is
Controlled by Ambit, and (c) is proprietary to Ambit by virtue of being claimed or covered by an Ambit Patent or being part of the Ambit Know-How. 
 1.3. “Ambit IP” shall mean Ambit Patents and Ambit Know-how. 

1.4. “Ambit Know-how” shall mean all proprietary ideas, inventions, data, know-how, instructions, processes, formulas,
materials, expert opinion, technology or other information (including, biological, chemical, physical and analytical data and information, and any structure-function data), that (a) is either (i) Controlled by Ambit as of the Effective
Date, or (ii) discovered, developed, conceived, reduced to practice or acquired during the Collaboration Term outside the course of both of the Collaboration and Ambit’s research and development under Article IV by employees or agents of
Ambit or any of its respective Affiliates, either alone or jointly, and is Controlled by Ambit and (b) is necessary for the discovery, development, manufacture or use of Licensed Compounds, Collaboration Compounds and Derivative Compounds
and/or the development, manufacture, use, sale or commercialization of corresponding Licensed Products and Collaboration Products; provided, however, that Ambit Know-How shall not include Ambit Patents, Licensed Compound IP,
Collaboration IP or Cephalon IP. 
 1.5. “Ambit Patents” shall mean all Patents Controlled by Ambit or its
Affiliates as of the Effective Date, or any other Patent Controlled by Ambit or its Affiliates during the Collaboration Term and, with respect to Collaboration Clinical Candidates and Licensed Compounds, all Patents Controlled by Ambit or its
Affiliates during the Term; in each case, necessary for the discovery (in the case of Collaboration Compounds), development, manufacture, importation or use of one or more Licensed Compounds, Collaboration Compounds, Derivative Compounds and/or the
development, manufacture, use, sale, importation or commercialization of corresponding Licensed Products or Collaboration Products. 
 1.6. “Ambit Target” shall mean (a) the [...***...] Targets specified in Schedule A, and (b) such Targets that may be mutually agreed upon by the Parties pursuant to
Section 4.2 to replace one (1) or more of such Targets specified in Schedule A, provided that in no event shall any such Targets include the Cephalon Exclusive Targets. 

1.7. “Cephalon Compound” shall mean any Cephalon Library Compound and any additional compound brought to the
Collaboration by Cephalon. 
 1.8. “Cephalon Exclusive Targets” shall mean the Targets, for which Cephalon has
or expects to have active programs or Third Party obligations during the Collaboration Term, as specified in Schedule B and as may be reasonably updated from time to time by Cephalon. 

1.9. “Cephalon IP” shall mean Cephalon Patents and Cephalon Know-how. 

  

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 1.10. “Cephalon Know-how” shall mean all proprietary ideas, inventions,
data, know-how, instructions, processes, formulas, materials, expert opinion, technology or other information (including biological, chemical, physical and analytical data and information, and any structure-function data), that (a) is either
(i) Controlled by Cephalon as of the Effective Date, or (ii) discovered, developed, conceived, reduced to practice or acquired during the Collaboration Term outside the course of both of the Collaboration and Ambit’s research and
development under Article IV by employees or agents of Cephalon or any of its respective Affiliates, either alone or jointly, and is Controlled by Cephalon and (b) is necessary for the discovery, development, manufacture or use of Licensed
Compounds and Collaboration Compounds and/or the development, manufacture, use, sale or commercialization of corresponding Licensed Products and Collaboration Products; provided, however, that Cephalon Know-How shall not include
Cephalon Patents, Licensed Compound IP, Ambit IP or Collaboration IP. 
 1.11. “Cephalon Library Compounds”
shall mean Cephalon’s small molecule screening deck of [...***...] compounds, without chemical structures. Cephalon Analogue Compounds provided by Cephalon to Ambit pursuant to Section 4.3.2 shall be deemed Cephalon Library
Compounds for the purposes of Article IV. 
 1.12. “Cephalon Patents” shall mean all Patents Controlled by
Cephalon or its Affiliates as of the Effective Date, or any other Patent Controlled by Cephalon or its Affiliates during the Collaboration Term and, with respect to Collaboration Clinical Candidates and Licensed Compounds, all Patents Controlled by
Cephalon or its Affiliates during the Term; in each case, necessary for the discovery, development, manufacture, importation or use of one or more Licensed Compounds or Collaboration Compounds and/or the development, manufacture, use, sale,
importation or commercialization of corresponding Licensed Products and Collaboration Products. 
 1.13. “Cephalon
Target” shall mean all Targets other than the Ambit Targets. 
 1.14. “Change of Control” shall mean
with respect to Ambit: (a) the stockholders of Ambit approve a sale of all or substantially all of Ambit’s assets or business to which this Agreement relates to a Third Party or a plan of complete liquidation of Ambit; (b) the
stockholders of Ambit approve a merger, reorganization or consolidation involving Ambit and a Third Party in which the stockholders of Ambit immediately prior to such transaction cease to own collectively fifty percent (50%) or more of the
combined voting equity securities of a successor entity; or (c) the stockholders approve an acquisition of fifty percent (50%) or more of the voting equity securities of Ambit by a Third Party. 

1.15. “Collaboration” shall have the meaning set forth in the Recitals, and mean any research and development activities
undertaken by both Ambit and Cephalon under the direction and oversight of the JRC that relates to the development of Collaboration Compounds and Collaboration Clinical Candidates having activity against the Collaboration Target(s). 

  

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 1.16. “Collaboration Clinical Candidate” shall mean a Collaboration
Compound selected by Cephalon as a candidate for IND-enabling studies pursuant to Section 8.1. 
 1.17.
“Collaboration Compound” shall mean, (a) with respect to the First Collaboration Target, (i) the Ambit Compounds that currently are the subject of Ambit’s research and development efforts, and (ii) any other
compounds agreed by the JRC to be designated as “Collaboration Compounds”; and (b) with respect to the Second Collaboration Target, the compounds agreed by the JRC to be designated as “Collaboration Compounds”, which
compounds may include Ambit Compounds, Cephalon Compounds and/or Non-Exclusive Compounds; in each case, including any compound that is derived, directly or indirectly, from such compounds that either (x) inhibits the activity of the First
Collaboration Target according to the criteria set forth in the Research Plan or (y) appropriately inhibits or modulates the activity of the Second Collaboration Target at a level of potency to be established by the JRC, as applicable. For
purposes of clarity, any compound synthesized in the course of the Collaboration and based on a Cephalon Compound or Ambit Compound that is active against a Collaboration Target at the level of potency and selectivity established by the JRC shall be
deemed a Collaboration Compound. 
 1.18. “Collaboration IP” shall mean Collaboration Patents and Collaboration
Know-how. Collaboration IP shall not include Ambit IP, Cephalon IP or Licensed Compound IP. 
 1.19. “Collaboration
Know-how” shall mean all proprietary ideas, inventions, data, know-how, instructions, processes, formulas, materials, expert opinion, technology or other information (including, without limitation, (a) biological, chemical, physical
and analytical data and information relating to Collaboration Compounds, and (b) any structure-function data related to Collaboration Compounds), in each case which is discovered, developed, conceived or reduced to practice during the
Collaboration Term and in the course of the Collaboration, by employees or agents of Cephalon, Ambit or any of their respective Affiliates, either alone or jointly, and which is necessary for the discovery, development, manufacture or use of
Collaboration Compounds and/or the development, manufacture, use, sale or commercialization of corresponding Collaboration Products; provided, however, that Collaboration Know-How shall not include Collaboration Patents, Licensed
Compound IP, Ambit IP or Cephalon IP. 
 1.20. “Collaboration Patents” shall mean (a) all patents and
patent applications claiming any invention or discovery which was conceived or reduced to practice during the Collaboration Term and in the course of the Collaboration, by employees or agents of Ambit, Cephalon or any of their respective Affiliates,
either alone or jointly (including, without limitation, the synthesis and composition of matter of any Collaboration Compound or any Collaboration Product, or method of use thereof); and (b) any divisions, continuations, continuations-in-part,
reissues, reexaminations, extensions or other governmental actions which extend any of the subject matter of the patent applications or patents in (a) above, and any substitutions, confirmations, registrations, revalidations, or additions of
any of the foregoing; provided, however, that Collaboration 

  
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Patents shall not include any Ambit Patents, Cephalon Patents or Licensed Compound Patents. 
 1.21. “Collaboration Product” shall mean any pharmaceutical product in any form or formulation that contains a Collaboration Compound that is sold by Cephalon or its Sublicensees or
Affiliates. 
 1.22. “Collaboration Targets” shall mean the First Collaboration Target and the Second
Collaboration Target. 
 1.23. “Collaboration Term” shall mean the Initial Term plus any extension pursuant to
Section 16.2. 
 1.24. “Combination Product” shall mean a Collaboration Product or Licensed Product, as
applicable, that comprises [...***...] active ingredients, [...***...] a Collaboration Compound or Licensed Compound. 
 1.25. “Commercially Reasonable Efforts” shall mean, in respect to each Party, efforts and resources expected to be used by biotechnology companies of a similar size and resource to that
Party for a product at a similar stage in its research, development or commercialization and of similar market potential taking into account its safety and efficacy, its cost to develop, the competitiveness of alternative products, its patent and
other proprietary position, the likelihood of regulatory approval and product reimbursement, its profitability and all other relevant commercial factors. For clarity, in respect of Ambit, Commercially Reasonable Efforts shall include the proper and
reasonable management of its finances to ensure the adequate performance of the Collaboration and its obligations under Article IV in accordance with the terms of this Agreement. 

1.26. “Confidential Information” as to each Party, shall mean such Party’s confidential information, trade secrets,
Patents and Know-how, all the data and materials of that Party relating to the Collaboration, the Ambit Targets, Cephalon Targets, Collaboration Targets, Ambit Compounds, Cephalon Compounds, Collaboration Compounds, Licensed Compounds, Cephalon
Library Compounds, Collaboration Products and Licensed Products, and including, without limitation, all research, technical, clinical development, manufacturing, marketing, financial, personnel, and other business information and plans of such
Party, in each case that (a) if disclosed in written form, is marked by such Party as “confidential” or “proprietary”, (b) if disclosed in non-written form, is indicated as confidential or proprietary at the time of
disclosure and reduced in writing in reasonable detail, marked as “confidential” or “proprietary” and delivered to the receiving Party within thirty (30) days after disclosure or (c) notwithstanding clauses (a) and
(b) above, is known or reasonably should be known by the receiving Party to be the confidential information of the disclosing Party. 
 1.27. “Controls” or “Controlled” shall mean possession of the ability to grant licenses or sublicenses pursuant to this Agreement without violating the terms of any

  

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agreement or other arrangement with, or the rights of, any Third Party and without the requirement of additional or increased payments to the Third Party. 

1.28. “Derivative Compound” shall mean, with respect to a Cephalon Library Compound, a compound that was derived by or
on behalf of Ambit from such Cephalon Library Compound (whether from the Cephalon Library Compound or from a predecessor compound that is derived from a Cephalon Library Compound), or derived or synthesized by or on behalf of Ambit from
Cephalon’s Confidential Information covering the structure or identity of the Cephalon Library Compound. 
 1.29.
“Executive Officers” shall mean the Chief Executive Officer of Ambit, the Executive Vice President of Research and Development of Cephalon, and/or such other executive officer of a Party as may be substituted from time to time upon
the giving of written notice to the other Party. 
 1.30. “Fair Market Value” shall mean the cash
consideration, which a willing seller would realize from an unrelated willing buyer in an arm’s length sale of an identical item sold in the same quantity and at the same time and place of the transaction. 

1.31. “FDA” shall mean the U.S. Food and Drug Administration, any successor thereto, or any corresponding foreign
registration or regulatory authority. 
 1.32. “Field” shall mean [...***...]. 

1.33. “First Collaboration Target” shall mean the [...***...]. 

1.34. “First Commercial Sale” shall mean, with respect to a Collaboration Product or Licensed Product, as applicable, in
any country, the first sale for use or consumption by the general public of such Collaboration Product or Licensed Product, as applicable, in such country after all Regulatory Approvals have been obtained in such country. 

1.35. “IND” shall mean an Investigational New Drug Application, as defined in the U.S. Food, Drug and Cosmetic Act and
the regulations promulgated thereunder for initiating clinical trials in the United States, or any corresponding foreign application, registration or certification. 
 1.36. “Initial Term” shall mean the period commencing on the Effective Date and ending three (3) years thereafter. 

1.37. “Joint Research Committee” or “JRC” shall mean the entity organized to manage the scientific
implementation of the Collaboration and acting pursuant to Article III. 
 1.38. “KinomeScan Panel” means
[...***...]. 

  

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 1.39. “Licensed Compound” shall mean an Option Compound (as defined in
Section 4.4.1 herein) as to which Ambit exercises its Option, and [...***...] (such [...***...], the “Backup Compounds”), provided that a Backup Compound shall be deemed a Licensed Compound only if
(a) Ambit has provided written notice to Cephalon designating such Backup Compound as a Licensed Compound and (b) the Backup Compound otherwise meets all of the applicable requirements set forth in Article IV. 

1.40. “Licensed Compound IP” shall mean the Licensed Compound Know-how and Licensed Compound Patents. 

1.41. “Licensed Compound Know-how” shall mean all proprietary ideas, inventions, data, know-how, instructions,
processes, formulas, materials, expert opinion, technology or other information (including, without limitation, (a) biological, chemical, physical and analytical data and information, and (b) any structure-function data), in each case
which is discovered, developed, conceived or reduced to practice during the Term in connection with the research and development activities conducted in connection with Article IV, including with respect to Licensed Compounds and Derivative
Compounds, by employees or agents of Ambit or any of its Affiliates, either alone or jointly; provided, however, that Licensed Compound Know-how shall not include Licensed Compound Patents, Collaboration IP, Ambit IP or Cephalon IP.

 1.42. “Licensed Compound Patents” shall mean (a) all Patents conceived or reduced to practice during
the Term by employees or agents of Ambit or any of its respective Affiliates, either alone or jointly, that are related to any Licensed Compound or Derivative Compound (including, without limitation, the synthesis and composition of matter of any
such compound or Licensed Products, or method of use thereof) or otherwise result from Ambit’s research and development activities conducted in connection with Article IV, including with respect to Licensed Compounds and Derivative Compounds;
and (b) any divisions, continuations, continuations-in-part, reissues, reexaminations, extensions or other governmental actions which extend any of the subject matter of the patent applications or patents in (a) above, and any
substitutions, confirmations, registrations, revalidations, or additions of any of the foregoing. For the avoidance of doubt, Licensed Compound Patents shall not include Collaboration Patents. 

1.43. “Licensed Products” shall mean any pharmaceutical product in any form or formulation that contains a Licensed
Compound that is developed by Ambit, or its permitted Sublicensees or Affiliates, pursuant to Article IV. 

  

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 1.44. “Mutant Form Candidate” shall mean a Collaboration Clinical Candidate
that is directed against a [...***...], other than [...***...]. 
 1.45. “NDA” shall
mean a New Drug Application, as defined in the U.S. Food, Drug and Cosmetic Act and the regulations promulgated thereunder, or any corresponding foreign application, registration or certification. 

1.46. “Net Revenue” shall mean the gross amount of all consideration (whether as an up-front payment, royalties or
otherwise) received by Ambit or its Affiliates, directly or indirectly, from a Third Party for or on account of any sublicenses or other rights granted by Ambit to such Third Party with respect to a Licensed Product, including any investments made
by such Third Party in Ambit or an Affiliate, without deduction of any kind, but excluding the following: 
 (a) payments made
by distributors appointed by Ambit to distribute the Licensed Product in respect of amounts invoiced by Ambit to such distributors for the sale by Ambit of such Licensed Product to such distributors to the extent that Ambit pays royalties to
Cephalon for Net Sales of such Licensed Product pursuant to Section 4.11(a); 
 (b) payments received by Ambit or an
Affiliate for performance of research and development by either Ambit or such Affiliate to the extent that such payments cover the actual cost of the research and development work; 

(c) payments made to either Ambit or an Affiliate to the extent they cover the actual costs of conducting clinical testing and other
activities in connection with obtaining regulatory approval for a product; and 
 (d) reimbursed expenses of either Ambit or an
Affiliate. 
 The monetary value of any investment made by a Third Party in Ambit or an Affiliate shall be equal to the current market value of
the investment, which shall be determined as of the earlier of the date when the investment is made or the day prior to the date when the investment is first publicly disclosed on the Dow Jones New Wire (the “Determination Date”).
If there is no public market for the securities of Ambit or an Affiliate, then the current market value shall be determined by Ambit’s or the Affiliate’s board of directors in good faith, and if Cephalon disputes such determination, the
current market value shall be determined by an independent banker designated by the Parties whose fees shall be shared by the Parties. If there is a public market for Ambit’s or an Affiliate’s securities, then the current market value
shall be determined using the average of the closing bid and asked prices of the securities in the Over-The-Counter Market Summary or the closing price quoted on any exchange on which the securities are listed as published in The Wall Street Journal
for the ten (10) trading days prior to the Determination Date. Notwithstanding the foregoing, if the Third Party is acquiring Ambit’s or an Affiliate’s securities in connection with an initial public offering of Ambit or the
Affiliate, the current market value shall be determined using the offering price of such securities to the public in the initial public offering. 

  

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With respect to any other non-monetary consideration received by Ambit or an Affiliate, a commercially reasonable valuation method shall be applied to determine the monetary value of such
consideration. 
 1.47. “Net Sales” shall mean the gross amount invoiced and any other amounts or rebates
received by a Party, its Affiliates or Sublicensees for the worldwide sale of Collaboration Products or Licensed Products, as applicable, to bona fide independent Third Parties less, to the extent paid, allowed or given: 

(a) outer packing, freight, postage, shipment or transportation charges and insurance costs relating thereto, 

(b) sales, value added and excise taxes or customs duties, tariffs or surcharges paid by the selling Party, and any other governmental
charges (excluding income taxes) incurred in connection with the sale or exportation of the Collaboration Products or Licensed Products, as applicable, 
 (c) reasonable distributors’ fees, amounts repaid or credited, rebates (including, without limitation, government-mandated rebates such as Medicaid charge backs or rebates) or allowances (including,
without limitation, cash, credit or free goods allowances), actually granted, allowed or incurred, 
 (d) trade and prompt
payment discounts, quantity discounts, cash discounts or reasonable charge-backs actually granted, allowed or incurred in the ordinary course of business in connection with the sale of the Collaboration Products or Licensed Products, as applicable,
and 
 (e) reasonable allowances, refunds or credits to customers, not in excess of the selling price of the Collaboration
Products or Licensed Products, as applicable, on account of rejection, damage, spoilage, outdating, recalls or return of, or price adjustments or billing errors regarding the Collaboration Products or Licensed Products, as applicable. 

A “sale” shall include any transfer or other disposition for consideration of a Collaboration Product or Licensed Product, as
applicable, and Net Sales shall include the Fair Market Value of all other consideration received by a Party, its Affiliates or its Sublicensees from the sale or distribution of a Collaboration Product or Licensed Product, as applicable, whether
such consideration is in cash, payment in kind, exchange or another form. In the event that a Collaboration Product or Licensed Product, as applicable, is packaged with other products of a Party, any discount applied to such Collaboration Product or
Licensed Product, as applicable, to determine Net Sales shall be no greater than the average discount of the entire package. 

The disposal or sale of a Collaboration Product or Licensed Product, as applicable, by a Party, its Affiliates or Sublicensees
(i) solely for the research or clinical testing of such Collaboration Product or Licensed Product, as applicable, or (ii) for 

  
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indigent, charitable or similar public support or compassionate use programs or (iii) as free samples shall not be deemed to give rise to a sale under this Agreement and shall be excluded
from the computation of Net Sales. All sales of Collaboration Products or Licensed Products, as applicable between a Party and its Affiliates or its Sublicensees shall be disregarded for purposes of computing Net Sales, unless such a purchaser is
the end-user of such Collaboration Product or Licensed Product, as applicable. 
 To calculate the value of Net Sales of
Combination Products, the gross sales of such Combination Products will be multiplied by the fraction A/(A + B) where A is the Fair Market Value of the Collaboration Compound or Licensed Compound, as applicable, when sold separately, and B is the
Fair Market Value of the other active ingredient when sold separately. Allowed deductions may then be subtracted, prorated based on the proportion of gross sales attributable to the Collaboration Compound or Licensed Compound, as applicable, to
compute Net Sales. 
 1.48. “Non-Exclusive Compound” shall mean any compound brought to the Collaboration by
either Party which is non-proprietary to both Parties at or after the Effective Date. 
 1.49. “Party” shall
mean Ambit or Cephalon. Ambit and Cephalon shall be collectively referred to as the Parties. 
 1.50. “Patent”
shall mean: (i) issued and unexpired letters patent, including any extension, registration, confirmation, reissue, continuation, supplementary protection certificate, divisional, continuation-in-part, re-examination or renewal thereof,
(ii) pending applications for letters patent, including provisional applications, and (iii) foreign counterparts of any of the foregoing; in each case to the extent the same has not been held, by a court, administrative body or
governmental agency of competent jurisdiction, to be invalid or unenforceable in a decision from which no appeal can be taken or from which no appeal was taken within the time permitted for appeal. 

1.51. “Patent Committee” shall mean the committee that may be formed pursuant to Section 3.5. 

1.52. “Person” shall mean any natural person, corporation, firm, business trust, joint venture, association,
organization, company, partnership or other business entity, or any government or agency or political subdivision thereof. 

1.53. “Phase I,” “Phase II” and “Phase III” shall mean Phase I (or Phase I/II), Phase
II (or Phase II/III) and Phase III clinical trials, respectively, in each case as prescribed by applicable FDA IND Regulations, or any corresponding foreign statutes, rules or regulations. 

1.54. “Regulatory Agency” shall mean the FDA or the applicable department, bureau or other governmental regulatory
authority in each country in the Territory involved in the granting of Regulatory Approvals. 

  
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 1.55. “Regulatory Approval” shall mean any and all approvals (including
price reimbursement approvals), licenses, registrations, or authorizations of any Regulatory Agency, necessary for the manufacture, use, storage, import, export, transport or sale of a Collaboration Product. 

1.56. “Relevant Third Party Patent Right” shall mean a Patent owned or controlled by a Third Party which claims the
composition of matter of a Collaboration Compound, the process of manufacture of that Collaboration Compound, use of the Collaboration Product for the treatment of a therapeutic indication or the use of a Collaboration Product against a
Collaboration Target where such Collaboration Compound (in each case) is being used as an active ingredient in a Collaboration Product. 
 1.57. “Research Plan” shall mean, on a Collaboration Target-by-Collaboration Target basis, a description of the Parties’ respective activities and objectives with respect to a
Collaboration Target. Minutes of JRC meetings, if signed by a JRC representative of each Party, shall be deemed included within the Research Plan. 
 1.58. “Second Collaboration Target” shall mean the Target selected by the JRC pursuant to Section 2.4. 
 1.59. “Significant Activity” shall mean any of the following in relation to a Collaboration Compound, Collaboration Product, Licensed Compound or Licensed Product: 

(a) [...***...]; 
 (b) [...***...] 
 (c) [...***...]; 

(d) [...***...]; 
 (e) [...***...]; 

  

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 (f) [...***...]; 

(g) [...***...]; and 
 (h) [...***...]. 
 Notwithstanding the foregoing, any activities
set forth in (a) through (h) above, that normally would be related to an earlier phase of development and/or commercialization, shall not be considered Significant Activity once development of the applicable Collaboration Compound,
Collaboration Product, Licensed Compound or Licensed Product has progressed beyond such earlier phase for a particular indication, as evidenced by the performance of any activity that normally would be considered to be related to any later phase for
such indication, provided always that to the extent that a Party can reasonably demonstrate that activities relating to an earlier phase of development are reasonably necessary, then such activities shall be considered Significant Activity.

 1.60. “Sublicensee” shall mean, as to each Party, a Person other than an Affiliate of the Party, to whom has
been granted sublicense rights under the license granted to such Party hereunder, which rights include at least the right to sell a Collaboration Product or Licensed Product. As used in this Agreement, “Sublicensee” shall also include a
Third Party to whom a Party has granted a sublicense under this Agreement to distribute a Collaboration Product or Licensed Product, provided that such Third Party has the primary responsibility for marketing and promotion, at its expense, of
such Collaboration Product or Licensed Product within countries in the Territory for which such distribution rights are granted, which marketing and promotional activities are not subsidized directly or indirectly by that Party, such as, without
limitation, through a specific allowance or a guaranteed selling margin for such Third Party meant to cover its expenses. Third Parties that are permitted to manufacture or finish Collaboration Products or Licensed Products for supply to a Party,
its Affiliates or Sublicensees are not “Sublicensees.” For avoidance of doubt, a “Sublicensee” shall not include any subcontractor permitted under Section 18.15. 

1.61. “Substantial Generic Competition” shall have the meaning set forth in Section 9.4(c). 

1.62. “Target” shall mean [...***...]. 

1.63. “Territory” shall mean all the countries of the world. 

  

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 1.64. “Third Party” shall mean any Person other than Ambit, Cephalon, or
their respective Affiliates. 
 1.65. “Valid Claim” shall mean a claim of an issued patent which has not lapsed
or become abandoned, been held permanently revoked, unenforceable or invalid by a decision of a court or other governmental agency of competent jurisdiction, unappealable or un-appealed within the time allowed for appeal, and which has not been
admitted to be invalid or unenforceable through reissue or disclaimer or otherwise. 
 The following defined terms have the meanings specified
in referenced Section: 
  

			
	 Term
	 	 Section

	“Adverse Financial Event”	 	17.2.1(b)
	“AFE Determination Date”	 	17.2.1(b)
	“Agreement”	 	Preamble
	“Ambit”	 	Preamble
	“Ambit Hit”	 	4.3.1
	“Ambit Indemnitees”	 	15.3
	“Ambit Losses”	 	15.3
	“Ambit Stock”	 	17.2.1
	“Backup Compounds”	 	1.38
	“Cephalon”	 	Preamble
	“Cephalon Analogue Compounds”	 	4.3.2
	“Cephalon Indemnitees”	 	15.2
	“Cephalon License Notice”	 	4.7.2
	“Cephalon Losses”	 	15.2
	“Claims”	 	15.4
	“Collaboration”	 	Recitals
	“Commercializing Party”	 	11.4
	“Decision Notice”	 	4.2
	“Determination Date”	 	1.46
	“Disclosing Party”	 	12.1.1
	“Discontinuance Notice”	 	11.2.6
	“Effective Date”	 	Preamble
	“Exclusivity Period”	 	5.1
	“Negotiation Period”	 	4.7.2
	“Nominated Targets”	 	4.2
	“Nomination Notice”	 	4.2
	“Notice”	 	4.7.3
	“Option”	 	4.4.1
	“Option Compound”	 	4.4.1
	“Option License”	 	4.4.1
	“Patent Owner”	 	11.3.2
	“Profiling Services Agreement”	 	Recitals

  
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	“Receiving Party”	 	12.1.1
	“RFN Negotiation Period”	 	4.7.3(a)
	“Right of First Negotiation”	 	4.7.3
	“Share Price”	 	17.2.2
	“Sole Discretion Rejection”	 	4.2
	“Term”	 	16.1
	“Third Nomination Period”	 	4.2
	“Third Party Agreement”	 	4.7.5

 1.66. Rules of Construction. (a) Each of the Parties acknowledges and agrees that this
Agreement has been diligently reviewed by and negotiated by and between them, that in such negotiations each of them has been represented by competent counsel and that the final agreement contained herein, including the language whereby it has been
expressed, represents the joint efforts of the Parties hereto and their counsel. Accordingly, in the event an ambiguity or a question of intent or interpretation 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 provisions of this Agreement. 
 (b) The definitions of the terms herein shall apply equally to the singular and plural forms of the terms defined. Whenever the context may require, any pronoun shall include the corresponding masculine,
feminine and neuter forms. The words “include”, “includes” and “including” shall be deemed to be followed by the phrase “without limitation”. The word “will” shall be construed to have the same
meaning and effect as the word “shall”. The word “any” shall mean “any and all” unless otherwise clearly indicated by context. “$” as used in this Agreement means the lawful currency of the United States.
Where either Party’s consent is required hereunder, except as otherwise specified herein, such Party’s consent may be granted or withheld in such Party’s sole discretion. 

(c) Unless the context requires otherwise, (i) any definition of or reference to any agreement, instrument or other document herein
shall be construed as referring to such agreement, instrument or other document as from time to time amended, supplemented or otherwise modified (subject to any restrictions on such amendments, supplements or modifications set forth herein or
therein), (ii) any reference to any laws herein shall be construed as referring to such laws as from time to time enacted, repealed or amended, (iii) any reference herein to any person shall be construed to include the person’s
successors and assigns, (iv) the words “herein”, “hereof” and “hereunder”, and words of similar import, shall be construed to refer to this Agreement in its entirety and not to any particular provision hereof, and
(v) all references herein to Articles, Sections or Appendices, unless otherwise specifically provided, shall be construed to refer to Articles, Sections and Appendices of this Agreement. 

(d) References to sections of the Code of Federal Regulations and to the United States Code shall mean the cited sections, as these may
be amended from time to time. 

  
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 ARTICLE II. 
 PERFORMANCE OF THE COLLABORATION AGREEMENT 
 2.1. Goals of the
Collaboration. 
 2.1.1. General. Each Party shall: 

(i) undertake an interactive, cooperative role in the Collaboration with the other Party as set forth in the applicable Research Plan,
and such other activities which, from time to time, the JRC decides are necessary for the continuing success of the Collaboration, with the objective of identifying Collaboration Clinical Candidates with respect to the Collaboration Targets;

 (ii) use Commercially Reasonable Efforts to properly and diligently perform its activities pursuant to the applicable
Research Plan, including, without limitation, by allocating personnel consistent with each applicable Research Plan project with sufficient skills and experience together with sufficient equipment and facilities, to carry out such Party’s
obligations under this Agreement and to accomplish the objectives of the Collaboration; and 
 (iii) conduct the Collaboration
in good scientific manner, and in compliance in all material respects with all requirements of applicable laws, rules and regulations, and all other requirements of any good laboratory practices to attempt to achieve its objectives efficiently and
expeditiously. 
 2.2. Activities of Ambit. During the Collaboration Term: 

2.2.1. Ambit will dedicate to the Collaboration such reasonable resources as specified by the JRC in the Research Plan to perform
screening and counterscreening against the KinomeScan panel and follow-up Kd determination against individual kinases, cell-based assays, DMPK, cell pharmacology and medicinal chemistry with respect to Collaboration Targets and Collaboration
Compounds. 
 2.2.2. Ambit further shall provide to the Collaboration Ambit Compounds having demonstrated activity against the
Collaboration Targets as defined in the applicable Research Plan in order to support the Collaboration with respect to such Collaboration Targets. 
 2.2.3. Ambit shall provide Cephalon with all feedback in a timely manner on the progress of its efforts under the Collaboration necessary to enable Cephalon to provide Ambit the support that it requires
to conduct its activities hereunder. 
 2.2.4. Within [...***...] of the Effective Date, Ambit shall disclose and
make available to Cephalon all compounds (including profiling information and chemical structure) currently under research and development by Ambit with respect to the First Collaboration Target. 

  

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 2.2.5. Ambit promptly shall disclose and make available to Cephalon all Collaboration IP
conceived, generated or developed by or on behalf of Ambit under the Collaboration and all Ambit IP to enable Cephalon to conduct its development and commercialization activities under this Agreement. 

2.2.6. Significant Activity of Ambit under Article IV. If at any time during the course of the development of a Licensed
Compound, as discussed in Article IV, there has been no Significant Activity by Ambit in relation to such Licensed Compound for a period of [...***...], then: 
 (a) Cephalon shall have the right to give written notice to Ambit requesting written justification for such lack of Significant Activity, in the form of detailed reasons why there has been no Significant
Activity, and Ambit shall provide such written justification to Cephalon within [...***...] of the date of Cephalon’s request and shall recommence such Significant Activity within [...***...] of the date of
Cephalon’s request; or 
 (b) if Ambit fails to provide such justification to Cephalon or if there has still been no
Significant Activity taken by Ambit within [...***...] of the date of Cephalon’s request, then, on notice by Cephalon to Ambit (to be given in Cephalon’s sole discretion), Ambit shall be deemed to have been given notice to
terminate the development and commercialization of the Licensed Compound (including all associated Backup Compounds) and any license rights to such Licensed Compound granted by Cephalon to Ambit shall revert back to Cephalon. 

For purposes of Article IV, Ambit shall be deemed to be engaging in Significant Activity with respect to a Licensed Compound if it is engaging
Significant Activity with respect to any one (1) of the Option Compound or its Backup Compounds. 
 2.3. Activities of
Cephalon. 
 2.3.1. During the Collaboration Term, as determined by the JRC in the Research Plan, Cephalon shall provide
reasonable resources to perform necessary in vivo biology (xenograft and other models) and drug development qualifying activities prior to designation of the Collaboration Clinical Candidate (during lead optimization). 

2.3.2. With respect to the Second Collaboration Target, upon agreement of the JRC, Cephalon shall provide to the Collaboration Cephalon
Compounds having demonstrated activity against the Second Collaboration Target as defined in the applicable Research Plan in order to support the Collaboration with respect to the Second Collaboration Target. 

2.3.3. Cephalon promptly shall disclose and make available to Ambit all Collaboration IP conceived, generated or developed by or on
behalf of 

  

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Cephalon under the Collaboration that may be necessary or useful for Ambit to conduct its obligations under the Collaboration pursuant to the applicable Research Plan. 

2.3.4 Significant Activity of Cephalon under Article III and Article VIII. If at any time during the course of the clinical
development and commercialization of a Collaboration Clinical Candidate there has been no Significant Activity by Cephalon in relation to such Collaboration Clinical Candidate for a period of [...***...], then: 

(a) Ambit shall have the right to give written notice to Cephalon requesting written justification for such lack of Significant Activity,
in the form of detailed reasons why there has been no Significant Activity, and Cephalon shall provide such written justification to Ambit within [...***...] of the date of Ambit’s request and shall recommence such Significant
Activity within [...***...] of the date of Ambit’s request; or 
 (b) if Cephalon fails to provide such
justification to Ambit or if there has still been no Significant Activity taken by Cephalon within [...***...] of the date of Ambit’s request, then, on notice by Ambit to Cephalon (to be given in Ambit’s sole discretion),
Cephalon shall be deemed to have been given notice to terminate the development and commercialization of the Collaboration Compound or Collaboration Clinical Candidate in relation to which such Significant Activity has not occurred and any license
rights to such Collaboration Compound or Collaboration Clinical Candidate granted by Ambit to Cephalon shall revert back to Ambit. 
 2.4. Selection of Collaboration Targets. At the first JRC meeting the JRC will approve a Research Plan for the First Collaboration Target, including the particular assays and the associated
reagents that will be used to test for the specified modes of modulating the First Collaboration Target. No later than [...***...] from the Effective Date or as otherwise agreed to in writing by the Parties, each Party shall submit a
proposal for a Target to be designated as the Second Collaboration Target, along with a draft Research Plan applicable to such proposed Second Collaboration Target, as the basis of a research program within the Collaboration via the JRC. The JRC
shall discuss each of the proposals and shall determine whether any of the proposed Targets shall be designated as the Second Collaboration Target, provided that either Party may, via the JRC, decline to accept any such proposed Target as the
Second Collaboration Target if, at the time the other Party proposes the Target, (i) the declining Party has existing contractual commitments to a Third Party related to the proposed Target that would prevent it from collaborating with the
other Party on such Target, or (ii) the declining Party can document the existence of an active internal research program related to such Target that existed prior to the other Party’s proposal of the Target. If a proposed Target is
declined pursuant to the foregoing, it shall not be subject to the provisions of Section 3.4. 
 2.5. Records and
Reports. Each Party shall maintain records in sufficient detail and in good scientific manner appropriate for patent and FDA purposes and so as to properly reflect all work done and results achieved in the performance of this Agreement
(including all data in the form required under any applicable governmental regulations 

  

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and as directed by the JRC). In addition, each Party shall keep or cause to be kept written laboratory notebooks, marketing and commercialization records, pre-clinical records (including CMC,
toxicology, ADME, pharmacology, and other), regulatory filings and other records and reports of the progress of its activities in the Collaboration and, with respect to Ambit, also under Article IV, in sufficient detail and in good scientific manner
for all other purposes, reflecting all work done on a program and the results achieved thereunder by such Party. Such records shall be maintained throughout the Collaboration Term and for as long as required by applicable laws, rules and
regulations. Such records shall include applicable books, records, reports, research notes, charts, graphs, comments, computations, analyses, recordings, photographs, computer programs and documentation thereof, samples of materials and other
graphic or written data generated in connection with the Collaboration and Ambit’s activities under Article IV, including any data required to be maintained pursuant to applicable governmental regulations. During the Term, each Party shall
respond to reasonable requests from the other for information based on such records. 
 ARTICLE III. 

GOVERNANCE OF THE COLLABORATION 
 3.1. Joint Research Committee. Within thirty (30) days after the Effective Date, Cephalon and Ambit shall establish a Joint Research Committee, comprised of Ambit and Cephalon scientists, to
manage the scientific implementation of the Collaboration. The responsibilities of the JRC shall include: (a) monitoring and reporting the progress of the Collaboration and ensuring open and frequent exchange between the Parties;
(b) establishing criteria for the selection of Collaboration Compounds for each Collaboration Target; (c) identifying and resolving any scientific or technical conflicts between the Parties; (d) approving, modifying and overseeing the
implementation of a Research Plan for each Collaboration Target and its associated program undertaken in the Collaboration; (e) coordinating with the Patent Committee all patent activities as they relate to the results of the Collaboration, and
in keeping with the overall patent strategy delineated by the Patent Committee; and (f) taking such action that is contemplated for the JRC to take pursuant to Article IV. 

3.2. Membership. The JRC shall include three (3) named representatives of each of the Parties, and each Party’s
representatives shall be selected by that Party and identified by written notice to the other Party. Each Party may replace its representatives at any time, upon written notice to the other Party. From time to time, the JRC may establish
subcommittees, to oversee particular projects or activities, and to manage the more frequent interactions between the Parties’ scientists with respect to individual research projects. Such subcommittees will be constituted as the JRC
determines, in its sole discretion. 
 3.3. Meetings and Minutes. During the Collaboration Term, unless otherwise agreed
to by the Parties, the JRC shall meet at least quarterly, or more frequently as agreed by the Parties, at such locations or by such teleconferencing means as the Parties may determine from time to time. In addition to regularly scheduled meetings,
the JRC representatives will communicate regularly by telephone, electronic mail, facsimile 

  
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and/or videoconference. Other representatives of Ambit or Cephalon may attend JRC meetings as nonvoting observers. Each Party shall be responsible for all of its expenses associated with
attending the JRC meetings. The Parties shall alternate preparing agendas for each JRC meeting and written minutes of each JRC meeting and shall prepare a written record of all JRC voting and decisions, whether made at a JRC meeting or otherwise. A
copy of the Research Plan for each Collaboration Target shall be signed and appended to the minutes of the JRC meeting at which such Research Plan is approved. The written minutes of each JRC meeting and the written record of all JRC voting and
decisions shall be written and disseminated to the JRC members for review within ten (10) business days of the JRC meeting, and upon signature by Ambit and Cephalon, shall become final. 

3.4. Decision-Making. Decisions of the JRC shall be made by unanimous vote, and each Party shall have a single vote. In the event
that, with respect to any decision for which the JRC is empowered to make a decision, a unanimous vote is not obtained, the decision shall be referred to the Executive Officers, who shall promptly meet and endeavor to reach consensus in a timely
manner. On and after the time a Collaboration Clinical Candidate is designated, if such individuals cannot resolve such dispute with respect to such Collaboration Clinical Candidate, then such dispute shall be decided by [...***...].

 3.5. Patent Committee. Upon recommendation of the JRC, the Parties shall form a patent committee (the “Patent
Committee”) to be in existence as long as Patents within the Collaboration IP are being filed and/or prosecuted. Each Party shall designate at least one (1) chemist and one (1) patent attorney or equally qualified legally trained
personnel, as its representatives on the Patent Committee. The Patent Committee shall be responsible for recommending patent filings and coordinating patent-related matters and such other matters as are delegated to it by the JRC. Such meetings
shall be held at mutually agreed times and locations. It is recognized and understood that the Patent Committee will communicate as necessary, whether in writing, by telephone, in person or otherwise, to ensure compliance with relevant patent filing
and prosecution timetables and deadlines. Each Party shall bear its own expenses associated with such meetings and the activities of the Patent Committee; provided, however, that each Party shall bear the expense of providing the other
Party with copies of all Patents filed pursuant to this Agreement including all substantive correspondence with U.S. and foreign patent offices. If the JRC does not form a Patent Committee, all references herein to a “Patent Committee”
shall refer instead to the JRC, and the JRC shall decide all patent-related matters in consultation with a patent attorney. 

3.6. Clinical Development Updates. Cephalon shall deliver to Ambit written quarterly clinical updates with respect to the status
of the clinical development of the Collaboration Clinical Candidate. 

  

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 ARTICLE IV. 
 AMBIT SELECTED COMPOUNDS 
 4.1. Cephalon Library. Within
[...***...] of the Effective Date, Cephalon will commence the delivery of its Cephalon Compound Library on a schedule to be mutually agreed to by the Parties. Cephalon shall use its reasonable efforts to complete such delivery within
[...***...] of the Effective Date. 
 4.2. Ambit Nominated Targets. Within [...***...] of each
of the [...***...],[...***...] and [...***...] anniversaries of the Effective Date (each a “Nomination Period”), Ambit shall have the right to nominate up to two (2) Targets (the
“Nominated Targets”) to be designated as replacements for up to two (2) of the then-current Ambit Targets. Ambit shall specify such Nominated Targets in a written notice (the “Nomination Notice”) delivered to
Cephalon within the applicable Nomination Period, which Nomination Notice also shall specify the then-current Ambit Targets that Ambit proposes to replace with the Nominated Targets. Cephalon shall consider such Nominated Targets and within
[...***...] of the receipt of the Nomination Notice shall deliver to Ambit a written decision (the “Decision Notice”) indicating whether or not Cephalon agrees to designate the Nominated Targets as Ambit Targets.
Cephalon may reject any Nominated Target if Cephalon can document the existence of an active or scheduled internal research program or Third Party obligations related to such Nominated Target. In any Nomination Period, Cephalon may also reject up to
two (2) Nominated Targets in its sole discretion (each, a “Sole Discretion Rejection”); provided, that if Cephalon has previously rejected two (2) Nominated Targets in a Nomination Period, Cephalon may only reject any
subsequent Nominated Targets in such Nomination Period if Cephalon can document the existence of an active or scheduled internal research program or Third Party obligation related to such Nominated Target; and provided further, that with respect to
the Nomination Period following the [...***...] anniversary of the Effective Date (the “Third Nomination Period”), if Cephalon has used [...***...] Sole Discretion Rejections prior to the Third Nomination
Period, then Cephalon may reject a Nominated Target in the Third Nomination Period only if Cephalon can document the existence of any active or scheduled internal research program or Third Party obligation related to the applicable Nominated Target.
Upon agreement by the Parties on a Nominated Target, such Nominated Target shall be deemed an Ambit Target as of the date of such agreement, and the corresponding Ambit Target designated in the Nomination Notice to be replaced shall no longer be
deemed an Ambit Target as of the date of such agreement. Schedule A shall be updated consistent with the foregoing. For clarification, no more than [...***...] Targets shall be concurrently classified as Ambit Targets during the Initial
Term. If Cephalon shall not have given a Decision Notice within the allotted time period specified above, it shall be deemed that Cephalon does not agree to include the Nominated Target as an Ambit Target. 

  

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 4.3. Ambit Profiling. 

4.3.1. Ambit shall profile the Cephalon Library Compounds against the KinomeScan Panel consistent with the Profiling Services Agreement
as further described in Attachment A. Such screening shall be performed solely on Ambit’s own behalf and in furtherance of the provisions of this Article IV. Within [...***...] of receipt of all of the Cephalon Library Compounds,
Ambit shall provide Cephalon with all profiling data from the primary screening related to each Cephalon Library Compound. Ambit may request that Cephalon provide it with information relating to the chemical structure of any Cephalon Library
Compound that demonstrates binding affinity of [...***...] against one (1) or more Ambit Targets (an “Ambit Hit”), which request Cephalon may deny in its sole discretion. Notwithstanding the above, if fewer than
[...***...] Ambit Hits against an Ambit Target have a binding affinity of [...***...], then Ambit may request that Cephalon provide it with information relating to the chemical structure of any Cephalon Library Compounds
having binding affinities of less than [...***...] against such Ambit Target (such Cephalon Library Compounds also shall be considered “Ambit Hits”), which request Cephalon may deny in its sole discretion. If, after expanding
the binding affinity standard as set forth in the prior sentence, (i) there are fewer than [...***...] Ambit Hits for any particular Ambit Target or (ii) Cephalon rejects Ambit’s request for chemical structures for Ambit
Hits such that there are fewer than [...***...] Ambit Hits for any particular Ambit Target for which Cephalon has provided the chemical structures, then Ambit may request to replace such Ambit Target by providing Cephalon with written
notice thereof, provided that Cephalon may reject such request for a replacement Ambit Target only if Cephalon can document the existence of an active or scheduled internal research program or Third Party obligation related to such replacement Ambit
Target. Cephalon shall consider such replacement Ambit Target and within [...***...] of the receipt of the written notice from Ambit with respect to such replacement Ambit Target shall deliver to Ambit a written decision indicating
whether or not Cephalon agrees to designate the replacement Ambit Target as an Ambit Target. 
 4.3.2. In addition, for each
Ambit Hit, Ambit may request to receive for profiling additional Cephalon Compounds that have the chemical structures most similar with the Ambit Hit, as determined in good faith by Cephalon (a “Cephalon Analogue Compound”), which
request Cephalon may deny if Cephalon can document the existence of an active or scheduled internal research program or Third Party obligations related to such Cephalon Library Compound and/or any related Cephalon Analogue Compound. If Cephalon
cannot provide sufficient Cephalon Analogue Compounds to Ambit as determined by the JRC, then Ambit may request to replace the applicable Ambit Target in the manner set forth in the last two sentences of Section 4.3.1. Ambit shall utilize such
information and Cephalon Analogue Compounds solely for the purpose of performing more comprehensive analysis to define a subset of Cephalon Library Compounds and Cephalon Analogue Compounds that show the most promising activity against the Ambit
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 4.3.3. In connection with its activities under this Section 4.3, Ambit is granted a
limited, non-exclusive, non-transferable, non-sublicenseable (except as permitted by Section 18.15) license under the Cephalon IP and Cephalon’s share of the Licensed Compound IP during the Collaboration Term to optimize solely for its own
research and development purposes Cephalon Library Compounds having the requisite level of binding affinity set forth in Section 4.3.1 and, for purposes of Section 4.4, to create associated Derivative Compounds having the ability to
appropriately inhibit, stimulate or otherwise modulate the production or activity of the same Ambit Target as the Cephalon Library Compound. 
 4.3.4. Cephalon shall own all right and title to any profiling data generated by Ambit in connection with the screening of the Cephalon Library Compounds, and Cephalon hereby grants to Ambit a limited,
non-exclusive, non-transferable, non-sublicenseable research license during the Collaboration Term to use such data for the purposes contemplated by this Article IV. Ambit hereby grants to Cephalon a non-exclusive, worldwide, perpetual, irrevocable
fully-paid up, royalty-free, sublicenseable and transferable license to any Ambit IP that is necessary for and only for the puposes of Cephalon copying, distributing, making derivative works of, using and otherwise exploiting such data. 

4.4. Ambit Option. 
 4.4.1.If profiling by Ambit of a Cephalon Library Compound or Derivative Compound demonstrates that a significant mechanism of action of the Cephalon Library Compound or Derivative Compound is modulation
of an Ambit Target, as determined by the JRC, then Ambit shall be entitled to and at Ambit’s sole election upon written notice to Cephalon Ambit will receive an exclusive option (the “Option”) from Cephalon for such Cephalon
Library Compound or Derivative Compound (the “Option Compound”), as the case may be. Such written notice from Ambit shall specify the Option Compound to be covered by the Option along with reasonable supporting research and analysis
demonstrating the requisite level of action of the Option Compound against the Ambit Target. Ambit shall be entitled to receive an Option for an Option Compound if it provides the written notice described above no later than the latter of
(i) [...***...] after completion of the initial screening of the applicable Option Compound against the applicable Ambit Target(s) as demonstrated by Ambit’s records or (ii) [...***...] after the date on
which the applicable Ambit Target was designated an Ambit Target pursuant to the terms hereof. Subject to Sections 4.4.2 and 4.4.3, each Option, which shall be exercisable during the Initial Term, is for an exclusive, worldwide, non-sublicenseable
(except as permitted by Sections 4.7 and 18.15), non-transferable (except as permitted by Section 4.7), royalty-free (except as set forth in Section 4.11), perpetual (except as expressly set forth herein) license (the “Option
License”) under the Cephalon IP and Cephalon’s share of the Licensed Compound IP to develop, make, have made, use, sell, offer to sell and import Licensed Compounds, solely in connection with products that modulate the Ambit Target.
Within [...***...] of Ambit’s receiving an Option, Cephalon shall notify Ambit whether the corresponding Option Compound(s) are subject to any Third Party payment or other obligations or are covered by Cephalon IP. Within
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Cephalon, Ambit may elect to terminate its Option if the Option Compound is subject to such Third Party obligations, and such termination shall not be counted for purposes of Section 4.4.4.
If Ambit does not cancel the Option within such [...***...] period, Ambit agrees that it shall be solely responsible for satisfying such Third Party obligations. 
 4.4.2. The Option shall be exclusive as to Ambit, unless, at the time Ambit elects to obtain the Option pursuant to Section 4.4.1, Cephalon has entered into a binding commitment with a Third Party
that prevents Cephalon from granting the Option or the license that Cephalon would be required to grant to Ambit upon Ambit’s exercise of the Option (i.e., the Option License) , in which case Cephalon will grant to Ambit an Option of the
maximum permissible scope, if any, that would not conflict with the Third Party commitment. If, upon Cephalon’s notice to Ambit of the information relating to such Third Party commitment in the prior sentence, Ambit determines in its reasonable
discretion that Ambit will not pursue such Option, then the JRC shall determine in good faith the appropriate manner to proceed, including, without limitation, the options set forth in Section 4.3.1 or the provision by Cephalon of additional
Cephalon Compounds for Ambit to profile pursuant to 4.3.1. Ambit shall exercise the Option by providing written notice to Cephalon specifying the Option Compound for which it is exercising the Option. Upon Cephalon’s receipt of such notice,
Cephalon agrees to grant, and hereby does grant to Ambit the Option License as set forth above. 
 4.4.3. Notwithstanding the
foregoing, in the event that a Cephalon Library Compound, or a Derivative Compound made pursuant to Section 4.3.3, is equipotent (as determined by the JRC) against one or more Ambit Targets and one or more Cephalon Exclusive Targets, or if such
a Derivative Compound is significantly active against a Cephalon Exclusive Target, Ambit’s right to obtain an Option to such Cephalon Library Compound or Derivative Compound shall be subject to this Section 4.4.3. 

(a) If Ambit desires an Option to an equipotent Cephalon Library Compound or Derivative Compound, it shall provide Cephalon with a
written request specifying the Cephalon Library Compound or Derivative Compound that Ambit requests to be covered by the Option along with reasonable supporting research and analysis demonstrating the requisite level of action of the Cephalon
Library Compound or Derivative Compound against the Ambit Targets and Cephalon Exclusive Targets. Cephalon shall have at least [...***...] from the receipt of such notice to consider such request, and the Parties shall discuss in good
faith Ambit’s request at the next JRC meeting, including proposed licensing structures applicable to such equipotent Cephalon Library Compound or Derivative Compound (e.g. co-exclusive license instead of an exclusive license) that may be
required by Cephalon. In the event that the JRC is unable to agree upon Ambit’s request, then Cephalon may reject Ambit’s request for such Option if Cephalon can document the existence of an active or scheduled internal research program or
Third Party obligation related to such Cephalon Exclusive Target. In the event the JRC or Cephalon reject Ambit’s request, and Ambit determines in its reasonable discretion that Ambit will not pursue such Option, then the JRC shall determine in
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the options set forth in Section 4.3.1 or the provision by Cephalon of additional Cephalon Compounds for Ambit to profile pursuant to 4.3.1. 

(b) If such Cephalon Library Compound or Derivative Compound is significantly active against a Cephalon Target as determined by the JRC,
Ambit shall not have the right to obtain an Option thereon without Cephalon’s prior written consent, and if such Derivative Compound is covered by Ambit IP or Licensed Compound IP, Ambit agrees to grant, and hereby does grant, to Cephalon an
exclusive, irrevocable, perpetual, worldwide, royalty-free, transferable and sublicenseable license under the Ambit IP and Ambit’s rights in the Licensed Compound IP limited to developing, making, having made, using, selling, offering to sell
and importing such Derivative Compound. 
 4.4.4. During the Initial Term, Ambit shall have the right to receive and hold an
Option to [...***...] Option Compounds at any time, provided, however, that if Ambit can demonstrate to Cephalon’s reasonable satisfaction that it possesses the requisite capabilities required to adequately resource additional drug
discovery programs, using Commercially Reasonable Efforts, the number can be increased to a maximum of [...***...]. Not more than once per year, Ambit may elect to terminate [...***...] Options by providing written notice
of such termination to Cephalon [...***...] prior to the next anniversary of the Effective Date, in which case such Options shall terminate and Ambit shall have the right to receive a corresponding number of additional Options pursuant
to Section 4.4.1, in each case commencing on such next anniversary date. 
 4.4.5. Ambit shall have the right to be
licensed to [...***...] Licensed Compounds (and the associated Backup Compounds) at any time, provided, however, that if Ambit can demonstrate to Cephalon that it possesses the requisite capabilities required to adequately resource
additional drug discovery programs using Commercially Reasonable Efforts, upon Cephalon’s written consent, the number can be increased to a maximum of [...***...]. Not more than once per year, Ambit may elect to terminate work on
[...***...] its Licensed Compounds (including the associated Backup Compounds) by providing written notice of such termination to Cephalon [...***...] prior to the next anniversary of the Effective Date, in which case
Ambit’s license to such Licensed Compounds (including the associated Backup Compounds) shall terminate and Ambit shall have the right thereafter to exercise a corresponding number of additional Options and obtain a license to other Option
Compounds pursuant to Section 4.4, in each case commencing on such next anniversary date. 
 4.4.6. Ambit at any time may
replace a Backup Compound with a Derivative Compound developed by it pursuant to the applicable Option License on prior written notice to Cephalon and with Cephalon’s written approval, not to be unreasonably withheld, provided that such
Derivative Compound meets all of the applicable requirements set forth in this Article IV. Upon receipt of such approval from Cephalon, such Derivative Compound shall be deemed a Backup Compound, and the replaced Backup Compound shall no longer be a
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 4.5. Ambit Development. 

4.5.1. Except as set forth in Sections 4.3.3 and 6.4, and except as permitted under an Option License, Ambit shall have no right
hereunder to optimize or otherwise develop any Cephalon Library Compounds or any other Cephalon Compounds. Ambit represents and warrants that it will optimize Cephalon Library Compounds and Licensed Compounds solely against the Ambit Targets, unless
otherwise approved in writing by Cephalon. 
 4.5.2. Ambit shall be solely responsible for the optimization, study and
commercialization of Licensed Compounds. Ambit shall use its Commercially Reasonable Efforts to develop the Licensed Compounds, including developing at least one (1) Licensed Compound per Option License granted by Cephalon to Ambit to the point
where such Licensed Compounds are suitable for IND submission. If at any time Ambit determines that it will not be able to exercise such Commercially Reasonable Efforts, it promptly shall notify Cephalon, and, without limiting Section 2.2.6,
the Parties shall discuss in good faith an appropriate course of action. 
 4.5.3. If, at any time during the course of
Ambit’s research and development activities under this Article IV, the significant activity of any Licensed Compound or any Derivative Compound is found to be significantly active against a Cephalon Target (instead of an Ambit Target), then
Ambit may not continue to work on such Licensed Compound. In such case, Ambit promptly shall disclose such Licensed Compound to Cephalon, along with the results of its work. If such Licensed Compound is covered by Ambit IP or Licensed Compound IP,
Ambit agrees to grant, and hereby does grant, to Cephalon an exclusive, irrevocable, perpetual, worldwide, royalty-free, transferable and sublicenseable license under the Ambit IP and Ambit’s rights in the Licensed Compound IP for the limited
purpose of developing, making, having made, using, selling, offering to sell and importing such Licensed Compound or Derivative Compound. 
 4.5.4. If, at any time during the course of such optimization, the activity of any Licensed Compound or Derivative Compound is found to be equipotent against a Cephalon Exclusive Target and an Ambit
Target, then the Parties shall negotiate in good faith as to the proper manner for each Party to proceed with respect to such License Compound or Derivative Compound. If, at any time during the course of such optimization, the activity of any
Licensed Compound or Derivative Compound is found to be equipotent against a Cephalon Target (which is not a Cephalon Exclusive Target) and an Ambit Target, then Ambit may continue to work on such Licensed Compound or Derivative Compound,
provided that: (a) the focus of the work is to develop compounds whose activity is against the Ambit Target, and, (b) Cephalon shall have, and is hereby granted, a non-exclusive, irrevocable, perpetual, worldwide, royalty-free,
non-transferable right without right to grant sublicenses under the Ambit IP and Ambit’s rights in the Licensed Compound IP for the limited purpose of developing, making, having made, and using, such Licensed Compound, for its own research and
development purposes only. 

  
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 4.6. Discontinuation of Option or Option License. 

4.6.1. Upon termination of an Option, all rights granted hereunder by Cephalon to Ambit and relating to the applicable Option Compound
shall revert to, and are hereby assigned by Ambit to, Cephalon, at no cost. 
 4.6.2. Upon termination of an Option License
(without limitation of Section 4.4) and/or this Agreement, all rights granted hereunder by Cephalon to Ambit under the Option License shall terminate. 
 4.7. Cephalon Buy Back Rights and Right of First Negotiation. 
 4.7.1.
Upon the completion of IND enabling activities for each Licensed Compound, Ambit shall provide to Cephalon, in confidence, a complete detailed summary of its Licensed Compound program, including relevant data and results that would be submitted as
part of an IND filing. Cephalon shall have the exclusive option for [...***...] after the delivery of such summary to reacquire all rights to the Licensed Compound on mutually agreed upon terms, negotiated in good faith and consistent
with pharmaceutical industry standards for small molecule programs at such stage of development, taking into account Ambit’s investment and sunk cost, risk, market potential, NPV, and other commonly accepted licensing metrics. Should Cephalon
decline this option or if the Parties are not able to agree upon the terms for the reacquisition by Cephalon of all rights to the Licensed Compound, Cephalon shall continue to have the Right of First Negotiation. 

4.7.2. (a) Upon completion by Ambit of the first human proof-of-concept study for each Licensed Compound, Ambit shall provide to
Cephalon, in confidence, a complete detailed summary of its Licensed Compound program, including relevant data and results generated from such study (including but not limited to information from or relating to clinical studies, correspondence with
FDA, information regarding Third Party patents, and information regarding the manufacture, sourcing and cost of goods for the Licensed Compound) (the “Cephalon License Notice”). Cephalon shall have the exclusive option for
[...***...] following receipt of the Cephalon License Notice to determine whether it wishes to pursue reacquiring the Licensed Compound. If Cephalon notifies Ambit in writing of its election to pursue the reacquisition of such Licensed
Compound within [...***...] after Cephalon’s receipt of such Cephalon License Notice, Ambit shall enter into good faith, exclusive negotiations with Cephalon with respect to such reacquisition for a period of
[...***...] following receipt of such election from Cephalon (the “Negotiation Period”). Such reacquisition shall be upon terms, consistent with pharmaceutical industry standards for small molecule programs at such
stage of development, taking into account Ambit’s investment and sunk cost, risk, market potential, NPV, and other commonly accepted licensing metrics. 
 (b) During the Negotiation Period, Cephalon shall have the opportunity to make a written proposal of terms and conditions with respect to such a license and Ambit will either accept the proposal or
provide a counter offer to Cephalon. 

  

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If Cephalon has not provided Ambit with such a written proposal regarding all principal financial terms of such a license within the first [...***...] of the Negotiation Period, the
Negotiation Period shall terminate. If Ambit and Cephalon are able to conclude an agreement in principle within the Negotiation Period as set forth in a mutually satisfactory term sheet with respect to such license, the Negotiation Period shall be
extended for an additional [...***...] and the Parties shall negotiate in good faith a definitive agreement within such [...***...] period. During the Negotiation Period, Ambit shall not negotiate or otherwise discuss with
any Third Party any licensing or other arrangement with respect to the Licensed Compound. 
 (c) Should Cephalon decline this
option or if the Parties are not able to agree upon the terms for the reacquisition by Cephalon of all rights to the Licensed Compound, Cephalon shall continue have the Right of First Negotiation. 

4.7.3. Cephalon Right of First Negotiation. Cephalon shall have a right of first negotiation with respect to Licensed Compounds
(the “Right of First Negotiation”), which is a right independent of Cephalon’s buyback rights set forth in 4.7.1 and 4.7.2. The Right of First Negotiation shall be defined as follows. 

(a) In the event that Ambit desires to enter into a license or other arrangement with respect to any Licensed Compound, before entering
into negotiations with any Third Party with respect to such license, Ambit will notify Cephalon of its desire and provide Cephalon with information in Ambit’s possession and control that is reasonably necessary for Cephalon to perform its due
diligence with respect to such Licensed Compound (including but not limited to information from or relating to preclinical studies, clinical studies, correspondence with FDA, information regarding Third Party Patents, and information regarding the
manufacture, sourcing and cost of goods for the Licensed Compound) (the “Notice”). If Cephalon notifies Ambit in writing of its election to pursue a license for such Licensed Compound within [...***...] after
Cephalon’ receipt of such Notice, Ambit shall enter into good faith, exclusive negotiations with Cephalon with respect to such license for a period of [...***...] (the “RFN Negotiation Period”) following receipt of
such election from Cephalon. Cephalon shall have the right to determine the scope of Licensed Compounds with respect to the license (i.e., whether such license will cover, for example, a single Licensed Compound or a list of several Licensed
Compounds or the entire genus of Licensed Compounds) and the proposals and term sheets that Ambit delivers to Cephalon during that RFN Negotiation Period shall include the terms for the scope of Licensed Compounds requested by Cephalon. For one
Licensed Compound mutually agreed to by the Parties, negotiations with Third Parties and other rights under this Section 4.7.3 shall only be available to Ambit after the IND enabling activities have been completed, or best efforts have been
made to complete such activities, as determined by the JRC. 
 (b) During the RFN Negotiation Period, Ambit will provide
Cephalon with an opportunity to make a written proposal of terms and conditions with respect to such a license and Ambit will either accept the proposal or provide a counter offer to 

  

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Cephalon. If Cephalon has not provided Ambit with such a written proposal regarding all principal financial terms of such a license within [...***...] of the RFN Negotiation Period,
the RFN Negotiation Period will terminate. If Ambit and Cephalon are able to conclude an agreement in principle within the RFN Negotiation Period as set forth in a mutually satisfactory term sheet with respect to such license, the Parties shall
negotiate a definitive agreement in good faith with the goal of executing such agreement within [...***...] thereafter. 
 (c) If Cephalon does not elect to pursue a license within the [...***...] period set forth above, or if Cephalon does so elect but Ambit and Cephalon do not conclude an agreement in principle
with respect to such license within the RFN Negotiation Period, or if Cephalon does not provide Ambit with a written proposal regarding the material terms of such a license within the first [...***...] of the RFN Negotiation Period,
Ambit will then be free to enter into negotiations with any Third Party regarding a license for such Licensed Compound; provided that (i) with respect to Licensed Compounds subject to Ambit IP, the material terms of such license shall
not be more favorable to the Third Party than the best material terms offered by Cephalon to Ambit during the RFN Negotiation Period and (ii) with respect to Licensed Compounds subject to Cephalon IP, the material terms of such license shall
not be more favorable to the Third Party than the best material terms offered by Ambit to Cephalon during the RFN Negotiation Period. 
 4.8. Reservation of Rights. Except as expressly set forth above, Cephalon shall have the sole and exclusive right to commercialize Cephalon Compounds and Cephalon Library Compounds. 

4.9. License to Licensed Compound IP. Without limitation of any other rights or licenses granted to Cephalon herein, Ambit hereby
grants to Cephalon, and Cephalon hereby accepts, a fully paid-up, royalty-free, worldwide, perpetual, non-exclusive, sublicenseable and transferable right under the Licensed Compound IP and Ambit IP for the limited purpose of developing, making,
having made, offering to sell, selling, importing and using any compound resulting from Ambit’s research and development activities under this Article IV, including all Derivative Compounds, other than any Licensed Compounds subject to an
existing Option License and as to which Ambit is exercising Significant Activity or any Licensed Compound subject to a Third Party licensing agreement or other arrangement pursuant to Section 4.7.3(c) that is in compliance with the terms of
this Agreement. For the avoidance of doubt, Ambit retains exclusive rights under Ambit IP relating to the Licensed Compound IP to develop, make, have made, offer to sell, sell, import, use, and commercialize any Licensed Compound subject to a Third
Party licensing agreement or other arrangement pursuant to Section 4.7.3(c), and, assuming the existence of such agreement or arrangement pursuant to Section 4.7.3(c), Cephalon is granted no rights to commercialize any such Licensed
Compound. From time to time, Ambit shall deliver to Cephalon upon its request such information (including chemical structures) as may be reasonably required by Cephalon. 
 4.10. Compound Co-Exclusivity. The development, manufacture, sale, import and use of any Licensed Compounds or any Derivative Compounds made by or on behalf

  

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of Ambit, and rights under the Licensed Compound IP and with respect to any chemistry produced by Ambit relating to or derived from the Cephalon Library Compounds, shall be co-exclusive as
between the Parties until the earlier of (a) with respect to a Licensed Compound, Cephalon’s having elected to not exercise its rights under Section 4.7 with respect to a Licensed Compound and (b) with respect to all Licensed
Compounds and Derivative Compounds, [...***...] after the expiration or termination of the Collaboration Term. The terms of this Section 4.10 shall not be applicable to those Licensed Compounds or any Derivative Compounds that are
both (i) derived from Non-Exclusive Compounds and (ii) not subject to Cephalon IP. 
 4.11. Royalty Payments to
Cephalon.  
 (a) Net Sales. Ambit shall pay to Cephalon royalties equal to [...***...] of Net Sales by
Ambit or its Affiliates of each Licensed Product that at any time is subject to a Valid Claim that (i) covers a composition of matter and (ii) either is (x) included in any Cephalon Patent in existence as of the Effective Date or
(y) included in any Cephalon Patent that is issued after the Effective Date and based on invention disclosures in existence as of the Effective Date, as evidenced by Cephalon’s written records. Ambit shall pay Cephalon royalties on Net
Sales of each Licensed Product pursuant to the terms of this Agreement, on a Licensed Product-by-Licensed Product and country-by-country basis, for a period from the date of the First Commercial Sale of such Licensed Product in such country until
the date of expiration of the last-to-expire Cephalon Patent containing a Valid Claim covering a composition of matter which would be infringed by the making, using, or selling of the applicable Licensed Product in the applicable country.

 (b) Net Revenues. Ambit shall pay to Cephalon [...***...] of Net Revenues of each Licensed Product
(i) that at any time is subject to a Valid Claim that (x) covers a composition of matter and (y) either is (A) included in any Cephalon Patent in existence as of the Effective Date or (B) included in any Cephalon Patent that
is issued after the Effective Date and based on invention disclosures in existence as of the Effective Date, as evidenced by Cephalon’s written records, and (ii) as to which Ambit has granted any sublicense or other rights to any Third
Party. Ambit shall pay Cephalon such amount for each such Licensed Product pursuant to the terms of this Agreement, on a Licensed Product-by-Licensed Product basis, for a period from the date on which Ambit first receives Net Revenues from a Third
Party with respect to such Licensed Product until the date of expiration of the last-to-expire Cephalon Patent containing a Valid Claim covering a composition of matter which would be infringed by the making, using, or selling of the applicable
Licensed Product in the applicable country. 
 (c) Payment Report. After the date on which payments are due to Cephalon
with respect to a Licensed Product under this Section 4.11, Ambit shall provide Cephalon with a payment report on a quarterly calendar basis within ninety (90) days after the end of the calendar quarter to which such report applies. Each
such report shall state, separately for Ambit, and each Affiliate and Sublicensee, the number, description, and aggregate Net Sales or Net Revenues, as applicable, on a country-by-country basis and product-by-product basis, if applicable, generated
or received during the calendar 

  

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quarter that is the subject of the report. Contemporaneously with the submission of the reports Ambit shall pay to Cephalon all payments due for the subject calendar quarter. 

(d) Records Retention. Ambit shall keep, and require its Affiliates and Sublicensees to keep, for a period of not less than
[...***...], complete and accurate records of all Net Sales and Net Revenues. Cephalon shall have the right, at its sole expense, through a certified public accountant reasonably acceptable to Ambit, and following reasonable notice, to
inspect such records during regular business hours, during the life of Ambit’s obligation to make payments under this Section 4.11; provided, however, that such inspection shall not (i) take place more often than once a year and
(ii) cover any records which date prior to the date of the last examination, and further provided that, such accountants shall report only as to the accuracy of the royalty statements and payments and the amount of any underpayment. Copies of
such reports shall be supplied to Ambit. In the event that the report is in disagreement with the Net Sales or Net Revenues as calculated by Ambit, Ambit shall notify Cephalon within ten (10) days of receipt by Ambit whether or not it agrees
with the report. If Ambit notifies its agreement with the report within the ten (10) day period or fails to give any notification within that period, the Net Sales or Net Revenues calculated by the report shall be used for purposes of
calculating any monies owed and any monies owed by Ambit to Cephalon shall be paid by Ambit in accordance with the provisions of this Section 4.11. If within ten (10) days starting on the day after receipt of the notification referred to
in this Section 4.11, the Parties have not agreed to the terms in dispute in relation to the report, either Party may refer the items in dispute to a partner of at least ten (10) years qualified experience at an independent,
internationally recognized, public accounting firm agreed by the Parties in writing for final and binding resolution, or failing agreement on the identity of the public accounting firm within fifteen (15) days starting on the day after receipt
of the notification referred to in this Section 4.11, an independent, internationally recognized, public accounting firm appointed on the application of either Party by the President for the time being of the Institute of Chartered Accountants
in the United States. Such person appointed shall act on the following basis: 
 (i) such person shall act as an expert and not
as an arbitrator; 
 (ii) such person’s terms of reference shall be to determine the matters in dispute within twenty
(20) days of his appointment; 
 (iii) the Parties shall each provide such person with all information relating to the items
in dispute which such person reasonably requires and such person shall be entitled (to the extent he considers appropriate) to base his determination on such information; 
 (iv) the decision of such person is, in the absence of fraud or manifest error, final and binding on the Parties; and 
 (v) [...***...]. 

  

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 Where Ambit agrees that it has or is found to have underpaid any amounts due under this
Section 4.11, Ambit promptly shall pay such royalties together with interest at [...***...] applied to the amount unpaid from the date due to the date paid. If Ambit has overpaid such amounts, Ambit may credit such overpayments
against future amounts owed to Cephalon ; provided that to the extent that no further amounts are due to Cephalon under this Section 4.11, Ambit shall invoice Cephalon for the outstanding overpayment amount and Cephalon shall repay same within
forty-five (45) days of the invoice. The interest available to each Party pursuant to this Section shall in no way limit any other remedies available to each Party. 
 (e) Form of Payment. All payments required according to this Section 4.11 shall be made in U.S. dollars, for Cephalon’s account, by wire transfer to a bank in the United States designated
in writing by Cephalon; provided, however, that where payments in respect of Net Sales are based on Net Sales in non-U.S. currencies, the amount of Net Sales and any deductions used to calculate Net Sales, if any, shall be converted by
Ambit, based on the average of the “bid” and “asked” exchange rate provided by the Wall Street Journal Europe, for the last business day of each calendar quarter, into U.S. dollars. Any undisputed payments that are not
paid on the date such payments are due under this Agreement shall bear interest to the extent permitted by applicable law at the prime rate as reported by the Chase Manhattan Bank, New York, New York, on the date such payment is due, plus an
additional two percent (2%) calculated on the number of days such payment is delinquent. The interest available to each Party pursuant to this Section shall in no way limit any other remedies available. 

(f) Blocked Payments. In the event that, by reason of applicable laws or regulations in any country, it becomes impossible or
illegal for Ambit to transfer, or have transferred on its behalf, royalties or other payments to Cephalon, such royalties or other payments shall be deposited in local currency in the relevant country to the credit of Cephalon in a recognized
banking institution designated by Cephalon or, if none is designated by Cephalon within a period of thirty (30) days, in a recognized banking institution selected by Ambit and identified in a notice in writing given to Cephalon. 

ARTICLE V. 

COLLABORATION EXCLUSIVITY 
 5.1. Collaboration Targets. Neither Party may engage in any research and development activities with respect to a Collaboration Target with any Third Party or independently outside of the
Collaboration during the applicable Exclusivity Period, provided that the foregoing shall not prohibit a Party from engaging a subcontractor pursuant to Section 18.15 to perform certain of its obligations hereunder. The “Exclusivity
Period” shall mean the period starting when a particular Collaboration Target is accepted into the Collaboration, and shall continue for the longer of: (a) [...***...], (b) [...***...], or
(c) [...***...]. 

  

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For the avoidance of doubt, Ambit shall be free to continue to provide its screening services (similar to those provided under the Profiling Services Agreement) to Third Parties. 

5.2 Non-Compete. During the Collaboration Term and for a period of [...***...] thereafter, Ambit shall not, and shall
cause each of its Affiliates to not, (a) conduct or fund any research, development and/or commercialization activity, either on its own, or with, for the benefit of, or sponsored by, any Third Party, in connection with or related to any product
that (i) would compete with or is directed to any Cephalon Exclusive Target or Collaboration Target and (ii) is based on or related to any Licensed Compound, any Derivative Compound or any Collaboration Compound or covered by any Licensed
Compound IP or Collaboration IP; or (b) grant any license or other rights to any Third Party to enable it to perform any of the activities described in clause (a) above. 

ARTICLE VI. 

INTELLECTUAL PROPERTY; LICENSES 
 6.1. Ownership of Intellectual Property. 
 6.1.1. Cephalon shall own all
Licensed Compound IP related to any Derivative Compound that is covered by Cephalon IP (whether in whole or in part). Ambit shall own all Licensed Compound IP related to any Derivative Compound that is covered solely by Ambit IP. All other Licensed
Compound IP shall be the sole or joint property, as the case may be, of the Party or Parties inventing or generating the same. 

6.1.2. All Cephalon Compounds and Cephalon IP shall be the sole property of Cephalon. All Ambit Compounds and Ambit IP shall be the sole
property of Ambit. All Collaboration IP shall be the sole or joint property, as the case may be, of the Party or Parties inventing or generating the same, provided that Cephalon shall exclusively own any Collaboration IP that is derived from
any Cephalon IP (whether in whole or in part), other than for Collaboration IP solely related to a Collaboration Clinical Candidate. 
 6.1.3. Upon the request and at the expense of the requesting Party, the other Party shall execute and deliver any and all instruments and documents and take such other actions as may be necessary or
reasonably requested by the requesting Party to effect the licenses and assignments granted to it hereunder. 
 6.2. Licenses
to Cephalon. 
 6.2.1. Exclusive Option. Ambit hereby grants to Cephalon an exclusive option to obtain the licenses
described in Section 6.2.2 to all Collaboration Compounds, which option shall be exercised by Cephalon’s designation of a Collaboration Clinical Candidate pursuant to Section 8.1. 

  

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 6.2.2. License to Commercialize Collaboration Compounds. 

(a) Upon designation of a Collaboration Compound as a Collaboration Clinical Candidate against the First Collaboration Target pursuant to
Section 8.1, Ambit agrees to grant, and hereby does grant, to Cephalon a worldwide, perpetual, irrevocable, exclusive, royalty-bearing and transferable license, with the right to sublicense, under the Ambit IP and Ambit’s interest in the
Collaboration IP and Licensed Compound IP (if applicable), to make, have made, use, sell, offer to sell and import the Collaboration Clinical Candidate and/or Collaboration Products based on such Collaboration Clinical Candidate, for any and all
uses and indications in the Field. If Cephalon determines at any time that the Collaboration Clinical Candidate against the First Collaboration Target demonstrates potential utility outside the Field, then Ambit shall extend, and hereby does extend,
the license described in this Section 6.2.2(a) to cover such uses and indications outside the Field. 
 (b) Upon
designation of a Collaboration Compound as a Collaboration Clinical Candidate against the Second Collaboration Target pursuant to Section 8.1, Ambit agrees to grant, and hereby does grant, to Cephalon a worldwide, perpetual, irrevocable,
exclusive, royalty-bearing and transferable license, with the right to sublicense, under the Ambit IP and Ambit’s interest in the Collaboration IP and Licensed Compound IP (if applicable), to make, have made, use, sell, offer to sell and import
the Collaboration Clinical Candidate and/or Collaboration Products based on such Collaboration Clinical Candidate, for any and all uses and indications. 
 (c) If Cephalon desires to develop a Collaboration Compound that is directed against the First Collaboration Target, and which Collaboration Compound is not at the time a Collaboration Clinical Candidate,
for uses and indications outside the Field, then Cephalon shall request the consent of Ambit for such development for uses and indications outside the Field, which consent shall not be unreasonably withheld. Upon Ambit’s consent to such
development and upon designation of a Collaboration Compound as a Collaboration Clinical Candidate against the First Collaboration Target pursuant to Section 8.1, Ambit agrees to grant, and hereby does grant, to Cephalon a worldwide, perpetual,
irrevocable, exclusive, royalty-bearing and transferable license, with the right to sublicense, under the Ambit IP and Ambit’s interest in the Collaboration IP and Licensed Compound IP (if applicable), to make, have made, use, sell, offer to
sell and import the Collaboration Clinical Candidate and/or Collaboration Products based on such Collaboration Clinical Candidate for such uses and indications outside the Field. 

6.2.3. License to Compounds Derived from Cephalon Compounds. Ambit grants to Cephalon a worldwide, perpetual, irrevocable,
exclusive, royalty-free and transferable license, with the right to sublicense, under the Ambit IP and Ambit’s interest in the Collaboration IP, to exploit for any and all purposes all compounds derived from Cephalon Compounds (whether in whole
or in part) in connection with the Collaboration, except for the Collaboration Compounds that are licensed to Cephalon pursuant to Section 6.2.2. 

  
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 6.2.4. Other Cephalon Licenses. Cephalon shall have the licenses to the Ambit IP and
the Licensed Compound IP as set forth in Sections 4.3.4, 4.4.3(b), 4.5.3, 4.5.4, and 4.9. 
 6.3. Ambit Licenses. Ambit
shall have the licenses to the Cephalon IP and the Licensed Compound IP as set forth in Sections 4.3.3, 4.3.4 and 4.4.2. 
 6.4.
Research Licenses. Notwithstanding any other license granted herein, Ambit and Cephalon hereby grant each other non-exclusive, worldwide, royalty-free research licenses, without the right to sublicense, under their respective interests in the
Ambit IP, Cephalon IP and Collaboration IP, in order for each Party to perform its research obligations pursuant to Research Plans during the Collaboration Term. 
 6.5. Restrictions on Sublicenses. Subject to the terms and conditions of this Agreement, each Party shall have the right to sublicense its rights hereunder solely to the extent expressly set forth
herein, provided that the sublicensing Party shall provide the other Party with at least the following information with respect to each Sublicensee: (a) the identity of the Sublicensee; (b) a description of the rights granted to the
Sublicensee; and (c) the territory in which the products covered by the sublicense will be sold. Each such sublicense shall be consistent with, and subject to, all the terms and conditions of this Agreement (including all diligence obligations
set forth herein), provided that the Party granting the sublicense shall be fully responsible to the other Party with respect to any breach or violation of such sublicense. Each Party shall be an intended third party beneficiary of any sublicense
agreement entered into by the other Party. 
 6.6. No Implied Licenses. Only the licenses expressly granted pursuant to
the terms of this Agreement shall be of any legal force or effect. No other license rights shall be created by implication, estoppel or otherwise. 
 6.7. Notification of Transfer of License Rights. A Party transferring or granting to a Third Party any rights granted to it by the other Party pursuant to this Agreement, other than under
Section 18.15, shall notify the other Party of such transfer in writing thirty (30) days prior to such transfer or grant. 
 ARTICLE VII. 
 FUNDING 

7.1. License and Collaboration Fees. In consideration for the licenses granted hereunder, and Ambit’s performance of its
obligations under the Collaboration, Cephalon agrees to pay Ambit within thirty (30) days of the Effective Date the following: 
 (a) Technology Access Fee: In consideration of access to Ambit’s proprietary KinomeScan Panel, the sum of [...***...]; and 

(b) Collaboration Targets: In consideration of the options and licenses granted by Ambit hereunder to Collaboration IP and Ambit IP, the
sum of [...***...]. 

  

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Other than the milestone and royalty payments set forth in Article VIII, no further payments shall be due to Ambit from Cephalon, unless the Parties mutually agree to change the Collaboration or
to extend the Collaboration Term pursuant to Section 16.2. 
 ARTICLE VIII. 

COLLABORATION CLINICAL CANDIDATES; MILESTONE PAYMENTS 
 8.1. Designation of Collaboration Clinical Candidate. Upon designation of a Collaboration Clinical Candidate by the JRC and ratification of such Collaboration Clinical Candidate by the Cephalon
R&D committee, Cephalon will be subject to the payment obligations set forth in Section 8.3, and shall use its Commercially Reasonable Efforts to conduct scale-up manufacturing, initiate GLP toxicology studies and conduct IND-enabling
studies with respect to such Collaboration Clinical Candidate and related Collaboration Products as are necessary to permit the filing of an IND for a Collaboration Product. 
 8.2. Diligence. Cephalon will be solely responsible for the worldwide clinical development and commercialization of Collaboration Clinical Candidates, subject to the diligence and payment
obligations set forth in this Article VIII. Cephalon will use Commercially Reasonable Efforts to develop and commercialize at least one Collaboration Clinical Candidate directed against the First Collaboration Target and one Collaboration Clinical
Candidate directed against the Second Collaboration Target in the United States, Europe and Japan, either directly, through one or more Affiliates and/or Sublicensees, or some combination of the foregoing. 

8.3. Milestone Payments by Cephalon. 
 8.3.1. (a) Cephalon shall pay to Ambit the following milestone payments within thirty (30) days of the achievement thereof, each of which shall be payable (i) one time in respect of a
Collaboration Clinical Candidate designated as such pursuant to Section 8.1 after [...***...] from the Effective Date and directed against the First Collaboration Target within the Field, provided that no milestone payments shall
be payable in respect of such Collaboration Clinical Candidate if Cephalon has made or is required to make the milestone payments set forth in Section 8.3.1(b), (ii) one time in respect of a Collaboration Clinical Candidate directed
against the Second Collaboration Target, (iii) one time in respect of the first Mutant Form Candidate directed against the First Collaboration Target within the Field, (iv) one time in respect of the second Mutant Form Candidate directed
against the First Collaboration Target within the Field, and (v) one time in respect of a Collaboration Clinical Candidate directed against the First Collaboration Target outside the Field: 

 

			
	Milestone	  	Amount (US$)
	[...***...]	  	$[...***...]

  

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	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]

 (b) Cephalon shall pay to Ambit the following milestone payments within thirty (30) days of the
achievement thereof, each of which shall be payable one time in respect to the first Collaboration Clinical Candidate (whether or not a Mutant Form Candidate) designated as such pursuant to Section 8.1 within [...***...] of the
Effective Date and directed against the First Collaboration Target (specifically, the [...***...] within the Field: 
  

			
	Milestone	  	Amount (US$)
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]

  

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	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]
	[...***...]	  	$[...***...]

 8.3.2. No Duplicate Payments. Milestone payments shall be payable only once in respect of the
Second Collaboration Target, regardless of how many Collaboration Compounds directed at such Collaboration Target ultimately are designated as Collaboration Clinical Candidates. Milestone payments shall be payable only once in respect of the
First Collaboration Target within the Field, once in respect of the First Collaboration Target outside the Field (provided that if milestones have previously been paid with respect to the same Collaboration Clinical Candidate directed at the First
Collaboration Target within the Field, Cephalon shall only pay for those milestones not previously paid), once for the first Mutant Form Candidate and once for the second Mutant Form Candidate (each Mutant Form Candidate shall be directed at a
[...***...]), regardless of how many Collaboration Compounds, whether within or outside the Field, ultimately are designated as Collaboration Clinical Candidates with respect to the First Collaboration Target. Further, if
milestones have previously been paid for a Collaboration Clinical Candidate and such Collaboration Clinical Candidate’s use is then expanded such that it could qualify for a new set of milestones, or if development of a Collaboration Clinical
Candidate is terminated and replaced with a different Collaboration Clinical Candidate subject to the same set of milestones, Cephalon shall pay only once with respect to milestones not yet achieved by the Collaboration Clinical Candidate, whether
such milestones subsequently are achieved with respect to the original use and/or the expanded use(s) or by the different Clinical Collaboration Candidate. 
 8.3.3. Invoices. Unless otherwise specified in writing, all payments required according to this Article VIII shall be made by transfer to the bank account nominated by Ambit upon timely receipt of
an invoice. 
  

			
	If invoice to Cephalon:	    	Cephalon, Inc.
		    	41 Moores Road
		    	Frazer, PA 19355
		
		    	Attention: Accounts Payable
		    	Telephone: (610) 344-0200
		    	Telecopy: (610) 344-0065

 ARTICLE IX. 
 ROYALTY PAYMENTS 

  

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 9.1. Royalty Term. 

9.1.1. Cephalon shall pay Ambit royalties on Net Sales of each Collaboration Product pursuant to the terms of this Agreement, on a
Collaboration Product -by Collaboration Product and country-by-country basis, for a period from the date of First Commercial Sale of such Collaboration Product in such country until the date which is the later of (i) [...***...].

 9.1.2. If the licenses granted to Cephalon pursuant to Section 6.2.2 are still in force with respect to a particular
Collaboration Clinical Candidate at the end of the period for which royalties on the corresponding Collaboration Product are due pursuant to this Agreement, such license shall be converted to a fully paid-up, nonexclusive, royalty-free, perpetual,
irrevocable and worldwide license, with the right to sublicense, under any Collaboration IP and Ambit IP necessary to make, have made, use, sell, offer to sell, and import the applicable Collaboration Product on a country-by-country and
Collaboration Product -by-Collaboration Product basis. 
 9.2. Royalties on Collaboration Products. Cephalon shall pay to
Ambit royalties on Net Sales of each Collaboration Product that is subject to Section 8.3.1(a) and sold by Cephalon or its Affiliates or Sublicensees in the Territory, according to the following schedule: 

(a) for that portion of total annual Net Sales of a Collaboration Product which is less than or equal to [...***...],
Cephalon shall pay to Ambit a royalty rate of [...***...]. 
 (b) for that portion of total annual Net Sales of a
Collaboration Product which is greater than [...***...] and less than or equal to [...***...], Cephalon shall pay to Ambit a royalty rate of [...***...]. 

(c) for that portion of total annual Net Sales of a Collaboration Product which is greater than [...***...] and less than
or equal to [...***...], Cephalon shall pay to Ambit a royalty rate of [...***...]. 
 (d) for that
portion of total annual Net Sales of a Collaboration Product which is greater than [...***...], Cephalon shall pay to Ambit a royalty rate of [...***...]. 

9.2A. Royalties on Collaboration Products Not Subject to Section 9.2. Cephalon shall pay to Ambit royalties on Net Sales of
the Collaboration Product that is subject to Section 8.3.1(b) sold by Cephalon or its Affiliates or Sublicensees in the Territory, according to the following schedule: 

  

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 (a) if total annual Net Sales are less than or equal to [...***...], Cephalon
shall pay to Ambit a royalty rate of [...***...] on all such total annual Net Sales. 
 (b) if total annual Net
Sales are greater than [...***...] and less than or equal to [...***...], Cephalon shall pay to Ambit a royalty rate of [...***...] on all such total Net Sales. 

(c) if total annual Net Sales are greater than [...***...] and less than or equal to [...***...], Cephalon
shall pay to Ambit a royalty rate of [...***...] on all such total annual Net Sales. 
 (d) if total annual Net
Sales are greater than [...***...], Cephalon shall pay to Ambit a royalty rate of [...***...] on all such total annual Net Sales. 
 9.3. Payment of Royalties. 
 9.3.1. Royalty Report. After the First
Commercial Sale of a Collaboration Product for which royalties are due and payable by Cephalon, its Affiliates or Sublicensees hereunder, Cephalon shall provide Ambit with a royalty report on a quarterly calendar basis within ninety (90) days
after the end of the calendar quarter to which such royalty report applies. Each such report shall state, separately for Cephalon, and each Affiliate and Sublicensee, the number, description, and aggregate Net Sales, on a country-by-country basis,
and product-by-product basis during the calendar quarter during which a royalty is payable. Contemporaneously with the submission of the royalty reports Cephalon shall pay to Ambit all royalties due for such calendar quarter. 

9.3.2.Records Retention. Cephalon shall keep, and require its Affiliates and Sublicensees to keep, for a period of not less than
[...***...], complete and accurate records of all Net Sales. Ambit shall have the right, at its sole expense, through a certified public accountant reasonably acceptable to Cephalon, and following reasonable notice, to inspect such
records during regular business hours, during the life of Cephalon’s obligation to pay royalties on Collaboration Products; provided, however, that such inspection shall not (i) take place more often than once a year and (ii) cover
any records which date prior to the date of the last examination, and further provided that, such accountants shall report only as to the accuracy of the royalty statements and payments and the amount of any underpayment. Copies of such reports
shall be supplied to Cephalon. In the event that the report is in disagreement with the Net Sales as calculated by Cephalon, Cephalon shall notify Ambit within ten (10) days of receipt by Cephalon whether or not it agrees with the report. If
Cephalon notifies its agreement with the report within the ten (10) day period or fails to give any notification within that period, the Net Sales calculated by the report shall be used for purposes of calculating any monies owed and any monies
owed by Cephalon to Ambit shall be paid by that Party in accordance with the provisions of this Section 9.3.2. If within ten (10) days starting on the day after receipt of the notification referred to in this Section 9.3.2, the
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not agreed to the terms in dispute in relation to the report, either Party may refer the items in dispute to a partner of at least ten (10) years qualified experience at an independent,
internationally recognized, public accounting firm agreed by the Parties in writing for final and binding resolution, or failing agreement on the identity of the public accounting firm within fifteen (15) days starting on the day after receipt
of the notification referred to in this Section 9.3.2, an independent, internationally recognized, public accounting firm appointed on the application of either Party by the President for the time being of the Institute of Chartered Accountants
in the United States. Such person appointed shall act on the following basis: 
 (i) such person shall act as an expert and not
as an arbitrator; 
 (ii) such person’s terms of reference shall be to determine the matters in dispute within twenty
(20) days of his appointment; 
 (iii) the Parties shall each provide such person with all information relating to the items
in dispute which such person reasonably requires and such person shall be entitled (to the extent he considers appropriate) to base his determination on such information; 
 (iv) the decision of such person is, in the absence of fraud or manifest error, final and binding on the Parties; and 
 (v) [...***...]. 
 Where Cephalon agrees that it has or is found to
have underpaid royalties, Cephalon promptly shall pay such royalties together with interest at [...***...] applied to the amount unpaid from the date due to the date paid. If Cephalon has overpaid royalties, Cephalon may credit such
overpayments against future royalties owed to Ambit. The interest available to each Party pursuant to this Section shall in no way limit any other remedies available to each Party. 

9.3.3. Form of Payment. All payments required according to this Article IX shall be made in U.S. dollars, for Ambit’s
account, by wire transfer to a bank in the United States designated in writing by Ambit; provided, however, that where payments in respect of Net Sales are based on Net Sales in non-U.S. currencies, the amount of Net Sales and any
deductions used to calculate Net Sales, if any, shall be converted by Cephalon, based on the average of the “bid” and “asked” exchange rate provided by the Wall Street Journal Europe, for the last business day of each
calendar quarter, into U.S. dollars. Any undisputed payments that are not paid on the date such payments are due under this Agreement shall bear interest to the extent permitted by applicable law at the prime rate as reported by the Chase Manhattan
Bank, New York, New York, on the date such payment is due, plus an additional two percent (2%) calculated on the number of days such payment is delinquent. The interest available to each Party pursuant to this Section shall in no way limit any
other remedies available. 

  

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 9.4. Third Party Royalties and Royalty Reductions. 

(a) Cephalon shall be responsible for procuring such licenses as it deems, in its sole discretion, appropriate for the manufacture, use,
marketing, sale or distribution of a Collaboration Product by it or its Affiliates or Sublicensees. In the event that Cephalon is required (as provided in Section 9.4(b) below) to pay royalties to a Third Party in respect of Relevant Third
Party Patent Rights, then Cephalon will be entitled to deduct from the future royalties payable to Ambit in respect only of that country the amount due to such Third Party, provided, however, that the total amount of such deductions in any
accounting period in respect of all claims in respect of Relevant Third Party Patent Rights shall not exceed [...***...] of the royalties payable for the country in question. 

(b) For purposes of Section 9.4(a), whether Cephalon is “required” to enter a license shall be determined as follows:

 (i) Cephalon shall be required to enter a license if so ordered by a court of competent jurisdiction, or if a court of
competent jurisdiction has found Cephalon liable for infringing Relevant Third Party Patent Rights, or 
 (ii) Cephalon shall
bring to the attention of Ambit, in writing, any Relevant Third Party Patent Rights. The Parties agree to meet, within thirty (30) days after such written notification, along with their patent counsel under the appropriate confidentiality
obligations, including if necessary the execution of a joint defense agreement to discuss in good faith the basis of the determination that such a license is required. During such meeting the Parties agree to discuss such facts, findings,
conclusions, opinions and other information as the Parties deem relevant. If at the end of such discussions Cephalon and Ambit are unable to reach agreement, then the matter shall be referred to the Executive Officers, who shall promptly meet and
endeavor to reach consensus in a timely manner. If such individuals cannot resolve such dispute, then such dispute shall be referred to an independent patent attorney acceptable to both Parties, who shall determine whether such license is reasonably
necessary. The determination of such independent patent attorney will be binding upon the Parties. The costs of the independent patent attorney shall be borne equally by the Parties. 

(c) In respect of any country in the Territory where a Collaboration Product is not covered by a licensed Patent and there are no
statutory data exclusivity or marketing exclusivity rights that can be enforced to prevent the entry of generic competition to that Collaboration Product, in the event of entry of “Substantial Generic Competition” into the marketplace in
such country, Cephalon shall be entitled to reduce the royalties payable to Ambit in respect of sales of that Collaboration Product in such country by [...***...]. For purposes of this Section 9.4(c), “Substantial Generic
Competition” in a country is defined as a Third Party’s (or Third Parties’) sales of a generic product containing the same Collaboration Clinical Candidate as found in the Collaboration Product in question (whether alone or in
combination with other therapeutically active compounds), reaching a market share in such country greater than or equal to [...***...] of Cephalon’s unit sales of the Collaboration Product in such country, without obtaining a
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Cephalon shall continue to pay the Ambit royalties on Net Sales of a Collaboration Product within any given country at the full rates otherwise applicable under this Agreement, until such time as
Cephalon has determined and confirmed in writing to Ambit, subject to reasonable verification, that there is Substantial Generic Competition with respect to a particular Collaboration Product in such country. At such time, subject to
Section 11.3.8, Cephalon may reduce the payment of royalties to Ambit in such country with respect to such Collaboration Product pursuant to this Section. 
 9.5. Blocked Payments. In the event that, by reason of applicable laws or regulations in any country, it becomes impossible or illegal for Cephalon to transfer, or have transferred on its behalf,
royalties or other payments to Ambit, such royalties or other payments shall be deposited in local currency in the relevant country to the credit of Ambit in a recognized banking institution designated by Ambit or, if none is designated by Ambit
within a period of thirty (30) days, in a recognized banking institution selected by Cephalon and identified in a notice in writing given to Ambit. 
 ARTICLE IX-A 
 CO-DEVELOPMENT/CO-PROMOTION OF COLLABORATION PRODUCT 

9A.1 Co-Development/Co-Promotion of a Collaboration Clinical Candidate. At the conclusion by Cephalon of the first proof-of-concept study in
humans involving a Collaboration Clinical Candidate directed against the First Collaboration Target, Cephalon shall notify Ambit in writing of the results of such study, and Ambit shall have [...***...] following receipt of such notice
to request in writing of Cephalon participation in the co-development and co-promotion of such Collaboration Clinical Candidate. Cephalon, within [...***...] after such Ambit request, shall notify Ambit whether Cephalon will consider,
in its sole discretion, such co-development and co-promotion. If Cephalon notifies Ambit that it will consider such request, both Parties will negotiate in good faith the terms of the co-development/co-promotion agreement, which will be capped
at [...***...] participation by Ambit. Ambit shall participate in the costs of further development of the Collaboration Clinical Candidate at the rate equal to its co-development/co-promotion participation. Should Cephalon
determine a co-development/co-promotion arrangement not to be beneficial, Cephalon will notify Ambit of such determination and shall continue to develop and commercialize the applicable Collaboration Clinical Candidate under terms of this Agreement.

 ARTICLE X. 
 REPORTS, BOOKS AND TAX MATTERS 
 10.1. Examination of Books. Each of the
Parties shall keep and maintain complete and accurate books in respect of its activities during the Term, and with respect to books and records for which payment may be required, in accordance with applicable accounting principles consistently
applied and in accordance with local law. Each Party shall have the right, at its sole expense, during the Term and thereafter, through a certified public accountant reasonably acceptable to the other Party, and following reasonable notice, to
inspect such records during regular business hours; provided, however, that such inspection shall not (i) take place more often than once a year and (ii) 

  

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cover any records which date prior to the date of the last examination. The Parties shall retain such records for the longer of the Term or as required by applicable law, unless otherwise
expressly set forth herein or unless the Parties shall otherwise mutually agree. 
 10.2. Inspection. Ambit shall permit
Cephalon, at Cephalon’s expense and upon reasonable prior notice, to visit and inspect Ambit’s facilities, to meet with scientific personnel and review the progress of the Collaboration no more that once a year. 

10.3. Tax Matters. Each Party agrees that the other Party is entitled to all tax benefits, including in particular, tax credits
and/or tax deductions attributable to amounts the other Party has paid hereunder. Each Party shall file its federal, state, and local tax returns on a basis consistent with this Agreement, and shall not take any action inconsistent with the other
Party’s entitlement to such tax benefits. In the event that a Party, in its judgment, determines that it must obtain information and verification regarding the use or application of such expenditures in order to prepare its tax returns or to
respond to an inquiry during a tax audit or any other inquiry relating to such treatment of its tax return, or to defend its tax position in any proceeding including litigation, the Parties shall reasonably cooperate with each other and provide such
information as the other Party may reasonably require at the request and expense of the requesting Party. 
 ARTICLE XI.

 PATENTS 
 11.1. Disclosure by Employees, Agents or Independent Contractors. Cephalon and Ambit agree that as to any employees, agents, or independent contractors of Cephalon and Ambit presently in their
employ or who are hired or retained by Cephalon or Ambit to perform, manage performance of, or participate in the activities done pursuant to this Agreement, Cephalon and Ambit will ensure that such employees, agents, or independent contractors will
promptly disclose and assign to the Party engaging them any and all rights to inventions, developments, or improvements (whether patentable or not), conceived and/or reduced to practice during the course of their duties. Each Party will notify the
other Party promptly of any sole or joint inventions within the Collaboration IP. 
 11.2. Patent Prosecution and Related
Activities. 
 11.2.1. Ambit IP. Ambit shall be responsible, at its sole discretion and expense, for preparing,
filing, prosecuting and maintaining in such countries it deems appropriate, by itself or with Third Parties, Ambit Patents, including conducting any interferences, re-examinations, reissues and oppositions relating to such Patents. 

11.2.2. Cephalon IP. Cephalon shall be responsible, at its sole discretion and expense, for preparing, filing, prosecuting and
maintaining in such countries it deems appropriate, by itself or with Third Parties, Cephalon Patents including conducting any interferences, re-examinations, reissues and oppositions relating to such Patents. 

  
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 11.2.3. Licensed Compound IP. 

(a) Prosecution by Cephalon. Cephalon shall have the right to prepare, file, prosecute and maintain in such countries as it deems
appropriate in its discretion and at its sole expense, and upon appropriate consultation with Ambit and/or the Patent Committee pursuant to Section 11.2.4(c), Patents within the Licensed Compound IP that are owned (solely or jointly) by
Cephalon pursuant to this Agreement or that cover compounds to which Cephalon has an exclusive license in force pursuant to this Agreement, including conducting any interferences, re-examinations, reissues, oppositions or requests for patent term
extension or governmental equivalents relating to such Patents, and Ambit shall give reasonable cooperation in connection therewith, at Cephalon’s request. 
 (b) Prosecution by Ambit. Ambit shall have the right to prepare, file, prosecute and maintain in such countries as it deems appropriate in its discretion and at its sole expense, and upon
appropriate consultation with Cephalon and/or the Patent Committee pursuant to Section 11.2.4(c), Patents within the Licensed Compound IP that are not covered by Section 11.2.3(a), in each case including conducting any interferences,
re-examinations, reissues, oppositions or requests for patent term extension or governmental equivalents relating to such Patents, and Cephalon shall give reasonable cooperation in connection therewith, at Ambit’s request. 

11.2.4. Collaboration IP. 
 (a) Prosecution by Cephalon. Cephalon shall have the right to prepare, file, prosecute and maintain in such countries as it deems appropriate in its discretion and at its sole expense, and upon
appropriate consultation with Ambit and/or the Patent Committee pursuant to Section 11.2.4(c), Patents within the Collaboration IP owned (solely or jointly) by Cephalon, and/or Patents directed to any compounds to which Cephalon has an option
or license in force pursuant to Sections 6.2.1, 6.2.2 or 6.2.3, in each case including conducting any interferences, re-examinations, reissues, oppositions or requests for patent term extension or governmental equivalents relating to such Patents
within the Collaboration IP, and Ambit shall give reasonable cooperation in connection therewith, at Cephalon’s request. 

(b) Prosecution by Ambit. Ambit shall have the right to prepare, file, prosecute and maintain in such countries as it deems
appropriate in its discretion and at its sole expense, and upon appropriate consultation with Cephalon and/or the Patent Committee pursuant to Section 11.2.4(c), Patents within the Collaboration IP not included in Section 11.2.4(a),
including conducting any interferences, re-examinations, reissues, oppositions or requests for patent term extension or governmental equivalents relating to such Patents within the Collaboration IP, and Cephalon shall give reasonable cooperation in
connection therewith, at Ambit’s request. 
 (c) Cooperation; Request to Responsible Party. Each of Cephalon and
Ambit shall keep the other fully informed as to the status of patent matters described in Sections 11.2.3 and 11.2.4, including, without limitation, by providing the 

  
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Patent Committee the opportunity to fully review and comment on any invention disclosures. With respect to each Patent governed by Sections 11.2.3 or 11.2.4, the Patent Committee shall decide
whether such Patent falls within Section 11.2.3(a) or 11.2.3(b) or within Section 11.2.4(a) or 11.2.4(b), as applicable. In the event of any overlap or conflict between subject matter that is claimed (or could be claimed) in a Patent for
which Cephalon is responsible pursuant to Section 11.2.3(a) or 11.2.4(a) and subject matter that is claimed (or could be claimed) in a Patent for which Ambit is responsible pursuant to Section 11.2.3(b) or 11.2.4(b), the Patent Committee
shall determine which Patent should claim such subject matter pursuant to the terms of this Agreement. Where practicable and where appropriate under the terms of this Agreement, the Patent Committee shall endeavor to adjust the scope of the claims
of either such Patent or both such Patents, or to propose the filing of appropriate divisional applications, in order to avoid or minimize such overlap or conflict. Cephalon and Ambit shall each reasonably cooperate with and assist the other at its
own expense in connection with such activities, at the other Party’s request. Reasonable cooperation shall include, without limitation, providing the requesting Party with necessary or useful data and information relating to the Patents and
reasonable access to the inventors of said inventions, as well as causing the execution of required patent assignments and/or other documents. Either Party may request the other Party, at the other Party’s discretion, to file a patent
application claiming any invention within the Collaboration IP or Licensed Compound IP, as applicable, for which the other Party has responsibility as set forth in Sections 11.2.3 or 11.2.4. It is understood and agreed that a Party shall not have
any liability to the other Party with respect to such Party’s preparation or prosecution of any Patent pursuant to this Section 11.2.4(c), as long as (i) such Party has complied with this Section 11.2.4(c) with respect to such
Patent and (ii) such Party has not been negligent in conducting any such activities with respect to such Patent. 
 (d)
Procedure on Uncertainty to Prosecute. In cases where the prosecution of Collaboration IP is not clearly addressed by the provisions of Sections 11.2.3(a), 11.2.3(b), 11.2.4(a) and 11.2.4(b), the Patent Committee shall promptly hold
discussions to determine how best to proceed and how costs should be apportioned between the Parties and shall make a recommendation to the JRC, which shall make a decision on the matter. 

11.2.5. Inventorship. Inventorship of all Patents shall be determined based upon U.S. Patent Laws. 

11.2.6. Election Not to Prosecute. Upon ninety (90) days written notice to the other Party (the “Discontinuance
Notice”), the responsible Party, on a country-by-country basis, may elect to discontinue the prosecution of any patent applications filed pursuant to Sections 11.2.3 or 11.2.4 and/or not to file or conduct any further activities with
respect to the Patents described in such Sections. In the event the responsible Party declines or elects not to file or, having filed, elects not to further prosecute or maintain any Patents filed pursuant to this Agreement which relate to the
Collaboration IP or Licensed Compound IP, or if Ambit declines or elects not to file or, having filed, elects not to further prosecute or maintain any Ambit Patents licensed to Cephalon under Section 6.2.2, or to conduct any interferences,
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oppositions or requests for patent term extension or governmental equivalents with respect thereto, the other Party shall have the right, at its discretion, and at its sole expense, to prepare,
file, prosecute and maintain such Patents in such countries as it deems appropriate, and conduct any interferences, re-examinations, reissues, oppositions or requests for patent term extension or governmental equivalents with respect thereto at its
sole expense. The responsible Party agrees to cooperate in any manner reasonably requested in connection with any such actions by the other Party, at the expense of the other Party, and shall assign, provided the Patents are freely assignable and
not subject to a terminal disclaimer or other encumbrance, all right, title and interest in and to such Patents to the Party continuing such activities. If the responsible Party does not receive written notice within ninety (90) days of the
date of the Discontinuance Notice, then the responsible Party shall be free to abandon such Patents at its sole discretion without any legal recourse by the other Party. 
 11.2.7. Permitted Disclosures. Following a written notice from the other Party hereto, the Parties shall in good faith discuss granting each other permission in writing, not to be unreasonably
withheld, to disclose in the specification of a patent application filed by the other Party pursuant to this Agreement, any Ambit IP, Cephalon IP, Collaboration IP or Licensed Compound IP necessary to support and enable claims in such patent
applications. 
 11.3. Third Party Infringement. 

11.3.1. Rights to Enforce. Cephalon and Ambit shall have the right to initiate legal action to enforce the Patents within the
Collaboration IP or Licensed Compound IP against infringement or misappropriation by Third Parties or to defend any declaratory judgment action relating thereto. Each Party, at its sole expense, shall have the initial right but not the obligation to
initiate and conduct legal proceedings including, without limitation, to enforce against any infringement of, or defend any declaratory judgment action involving, any Patent rights, the prosecution and maintenance for which that Party is
responsible, pursuant to Section 11.2.3 or 11.2.4. Each Party shall notify the other Party of its decision to bring proceedings or not within sixty (60) days of the date that the infringement has come to its knowledge. If the actual or
threatened infringement relates to the manufacture, use or sale of a product or material which is a competing product to a Collaboration Product or Licensed Product and Ambit is the Party conducting the suit with regard to the applicable
Collaboration Product or Licensed Product, then Cephalon shall have the right at its option, to join with Ambit in the suit and participate in all meetings, negotiations, discussions and proceedings in respect of issues which relate to the
infringement of the Patent(s) by such competing product. Where the conduct of the action relates to matters relevant only to issues of infringement by the competing product and not the scope or validity of Ambit’s Patents, Ambit shall follow
Cephalon’s reasonable directions in the conduct of that part of the proceedings. In respect of other parts of the proceedings, Ambit agrees to take into account Cephalon’s reasonable views and comments. Subject to Section 11.3.8, in
the circumstances outlined in this Section 11.3.1 where Cephalon exercises its right to participate in the suit, Cephalon shall bear [...***...]of the costs of such proceedings. 

  

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 11.3.2. Failure to Enforce Collaboration Patent or Licensed Compound Patent. If,
within sixty (60) days of the date that the infringement or misappropriation of Collaboration IP or Licensed Compound IP comes to its knowledge (or written notice of a declaratory judgment action alleging invalidity or unenforceability of such
Collaboration IP or Licensed Compound IP), the Party with the initial right to bring proceedings (“Patent Owner”) under Section 11.3.1 above fails to take action to halt such alleged infringement or misappropriation or defend
such a declaratory judgment action, the other Party may, at its expense, take such legal action as it deems appropriate, in its own name (or to the extent necessary the Patent Owner’s name), to halt such an alleged infringement or
misappropriation or defend such a declaratory judgment action. The other Party shall notify the Patent Owner of its decision to do so. Where, in accordance with the procedure set out in this Section, the other Party commences the proceedings, the
Patent Owner may, at its option, join with the other Party in the suit and the Patent Owner shall have the right to participate in all meetings, discussions and proceedings in respect of issues regarding the validity and/or revocation of the
relevant Patent(s). In those circumstances, the other Party (i.e., the Pursuing Party) agrees to take into account the Patent Owner’s reasonable views and comments in the conduct of the proceedings and, subject to Section 11.3.8, the
Patent Owner shall bear [...***...] of the costs of such proceedings. The Patent Owner agrees to render such reasonable assistance as the Pursuing Party may request, including joining as a party to the proceedings. 

11.3.3. Rights to Enforce Ambit Patent or Cephalon Patent. In the event that either Party becomes aware that any Patent within
the Ambit IP or Cephalon IP is being infringed or misappropriated by a Third Party, or is subject to a declaratory judgment action arising from such infringement or misappropriation, such Party promptly shall notify the other Party. It is understood
and agreed that Ambit shall have the initial right, but not the obligation, to initiate and conduct legal proceedings to enforce the Ambit IP against any infringement or misappropriation or defend any declaratory judgment action relating thereto, at
its sole expense, and that Cephalon shall have the initial right, but not the obligation, to initiate and conduct legal proceedings to enforce the Cephalon IP against any infringement or misappropriation or defend any declaratory judgment action
relating thereto, at its sole expense. Cephalon or Ambit (as the case may be) shall notify the other Party of its decision to bring proceedings or not within sixty (60) days of the date that the infringement has come to its knowledge. If the
actual or threatened infringement of the Ambit IP relates to the manufacture, use or sale of a product or material which is a competing product to a Collaboration Product or Licensed Compound, then Cephalon shall have the right at its option, to
join with Ambit in the suit and participate in all meetings, negotiations, discussions and proceedings in respect of issues which relate to the infringement of the Patent(s) by such competing product. Where the conduct of the action relates to
matters relevant only to issues of infringement by the competing product and not the scope or validity of Ambit’s Patents, Ambit shall follow Cephalon’s reasonable directions in the conduct of that part of the proceedings. In respect of
other parts of the proceedings, Ambit agrees to take into account Cephalon’s reasonable views and comments. Subject to Section 11.3.8, in the circumstances outlined in this Section 11.4.3 where the Commercializing Party exercises

  

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its right to participate in the suit, the Commercializing Party shall bear [...***...] of the costs of such proceedings. 

11.3.4. Failure to Enforce Ambit or Cephalon Patent. If, within sixty (60) days of the date that the infringement or
misappropriation comes to its knowledge (or written notice of a declaratory judgment action alleging invalidity or unenforceability of such Ambit or Cephalon Patent, as the case may be), the Patent Owner fails to take action to halt such alleged
infringement or misappropriation or defend such a declaratory judgment action under Section 11.3.3 above, the other Party may, if it has been granted an exclusive license under such Ambit or Cephalon Patent (as the case may be), at its expense,
take such legal action as it deems appropriate, in its own name (or to the extent necessary the Patent Owner’s name), to halt such an alleged infringement or misappropriation or defend such a declaratory judgment action. The other Party shall
notify the Patent Owner of its decision to do so. Where, in accordance with the procedure set out in this Section, the other Party commences the proceedings, the Patent Owner may, at its option, join with the other Party in the suit and the Patent
Owner shall have the right to participate in all meetings, discussions and proceedings in respect of issues regarding the validity and/or revocation of the relevant Patent(s). In those circumstances, the other Party (i.e., the Pursuing Party) agrees
to take into account the Patent Owner’s reasonable views and comments in the conduct of the proceedings and, subject to Section 11.3.8, the Patent Owner shall bear [...***...] of the costs of such proceedings. The Patent Owner
agrees to render such reasonable assistance as the Pursuing Party may request. 
 11.3.5. Limitation on Timing to Bring
Suit. The Parties acknowledge that there may exist in certain countries statutory limitations on the period during which suit may be filed or other enforcement actions initiated against a Third Party’s infringement of the Patents (for
example, the forty-five (45) day period for responding to a Third Party certification in the United States under 21 USC Sections 355(b)(2)(A)(iv) and 355(j)(2)(a)(vii), or any amendment or successor statute thereto, claiming that Patents
covering a Collaboration Compound, Collaboration Product, Licensed Compound or Licensed Product are invalid or that infringement will not arise from the manufacture, use or sale of a product equivalent to the Collaboration Compound, Collaboration
Product, Licensed Compound or Licensed Product, as the case may be, by such Third Party). In such event: 
 (a) Ambit and
Cephalon each shall immediately give written notice to the other of any potential infringement action against such Third Party infringer of which they become aware; and 
 (b) the relevant Party shall have the right but not the obligation to bring suit, and the provisions of this Section 11.3.5 shall apply save that such Party shall be required to obtain a
discontinuance or elect to bring suit at least fourteen (14) business days prior to the expiry of the relevant statutory period. If such Party elects to bring suit within such period, the provisions of this Section 11.3.5 shall apply; or

  

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 (c) if the relevant Party elects not to, or has failed to, bring an infringement action
against such Third Party infringer in such country(ies) within the time period provided in this Section 11.3.5, then the other Party shall have the right but not the obligation, to bring suit against such infringer under this
Section 11.3.5 prior to the expiration of the statutory period. In the event that such other Party elects to bring suit, the provisions of this Section 11.3 shall apply. 

11.3.6. No Settlement Without Consent. Neither Party shall enter into any settlement of any claim, suit or proceeding under this
Section 11.3 which admits or concedes that any Collaboration Patent or any Patent licensed from the other Party is invalid or unenforceable without the prior written consent of such other Party. 

11.3.7. Cooperation. Each Party shall keep the other reasonably informed of the progress of any claim, suit or proceeding subject
to this Section 11.3 and cooperate reasonably in connection with such activities at the request and expense of the Party involved in such claim, suit or proceeding. 
 11.3.8. Division of Recoveries. Any recovery received in connection with a suit brought by a Party pursuant to this Section 11.3 shall be retained by the Party initiating such suit. If
Cephalon was a party to the suit, then any recovery received in connection with a suit brought pursuant to this Section 11.3 shall be used first to reimburse each Party pro rata for expenses (including attorneys’, professional and expert
fees) incurred in such suit, and any balance shall be retained by the Cephalon subject to a payment to the other Party of such other Party’s lost royalties. 
 11.4. Infringement Claims by Third Parties. If the manufacture, sale or use of any product commercialized by a Party (the “Commercializing Party”) pursuant to this Agreement
results in any claim, suit or proceeding alleging patent infringement against a Commercializing Party (or its Sublicensees), such Commercializing Party shall promptly notify the other Party in writing setting forth the facts of such claim in
reasonable detail. The Commercializing Party shall have the exclusive right to defend and control the defense of any such claim, suit or proceeding, at its own expense, using counsel of its own choice; provided, however, it shall not enter into any
agreement or settlement which admits or concedes that any Patent licensed from the other Party is invalid, unenforceable or not infringed, without the prior written consent of the other Party. The Commercializing Party shall keep the other Party
reasonably informed of all material developments in connection with any such claim, suit or proceeding, and the other Party shall have the right (but not the obligation) to be separately represented, at its expense, by counsel of its own choice and
to advise the Commercializing Party on the defense of such claim, suit or proceeding. 
 11.5. Patent Term
Restoration. The Parties hereto shall give reasonable cooperation to each other in obtaining patent term restoration or supplemental protection certificates or their equivalents in any country in the Territory where applicable to the
Collaboration IP. 

  
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 11.6. Bankruptcy. All rights and licenses granted under or pursuant to this Agreement
by Ambit are, and shall otherwise be deemed to be, for purposes of Section 365(n) of the U.S. Bankruptcy Code (i.e., Title 11 of the U.S. Code) or analogous provisions of applicable law outside the United States, licenses of rights to
“intellectual property” as defined under Section 101 of the U.S. Bankruptcy Code or analogous provisions of applicable law outside the United States. Each Party agrees that the other Party, as licensee of such rights under this
Agreement, shall retain and may fully exercise all of its rights and elections under the U.S. Bankruptcy Code or any other provisions of applicable law outside the United States that provide similar protection for “intellectual property”.

 11.7 CREATE Act. Neither Party shall invoke the Cooperative Research and Technology Enhancement (CREATE) Act of 2004
(Pub L. 108-453) in connection with the prosecution of any patents related to this Agreement without the prior written consent of the other Party. 
 ARTICLE XII. 
 CONFIDENTIALITY 

12.1. Confidentiality. 
 12.1.1. Term of Confidentiality. Except as otherwise provided in this Section 12.1, a Party receiving Confidential Information (the “Receiving Party”) shall keep all
Confidential Information disclosed to it by the disclosing Party (the “Disclosing Party”) confidential for the Collaboration Term and [...***...] thereafter. Without the prior written consent of the Disclosing Party,
the Receiving Party shall not disclose any Confidential Information to any Third Party, except to the officers, employees, agents, or representatives of the Receiving Party or the Receiving Party’s Affiliates (collectively the
“Representatives”), who, in each case, have a need to know any such Confidential Information for purposes of the implementation and performance by the Receiving Party of its obligations pursuant to this Agreement, and will use the
Confidential Information provided by the Disclosing Party only for such limited purposes. 
 12.1.2. Warranty of
Obligation. Each Party warrants that each of its Representatives to whom any Confidential Information is disclosed shall previously have been informed of the confidential nature of the Confidential Information and shall have agreed to be bound
by terms and conditions equivalent to those set forth in this Agreement. The Receiving Party shall ensure that the Confidential Information provided by the Disclosing Party shall not be used or disclosed by such Representatives except as permitted
by this Agreement. The Receiving Party shall stand responsible for any breach by its Representatives of the confidentiality provisions set forth in this Agreement. 
 12.1.3. Ownership of Confidential Information. Except as provided herein with respect to the ownership of any intellectual property, all Confidential Information disclosed by the Disclosing Party
shall remain the property of the Disclosing Party. Upon the written request of the Disclosing Party (i) all tangible 

  

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Confidential Information provided by the Disclosing Party (including, but not limited to all copies thereof and all unused samples of materials provided by the Disclosing Party) except for
Confidential Information consisting of analyses, studies and other documents and materials prepared by or for the benefit of the Receiving Party, shall be promptly returned to the Disclosing Party, and (ii) all portions of such analyses,
studies and other documents prepared by or for the benefit of the Receiving Party (including all copies thereof) which are within the definition of Confidential Information shall be destroyed, and the Receiving Party shall certify such destruction
in writing to the Disclosing Party. 
 12.1.4. Permitted Disclosures. The obligations of confidentiality and non-use set
forth in this Agreement shall not apply to any portion of the Confidential Information which: 
 (a) is or becomes public or
available to the general public otherwise than through the wrongful act or default of the Receiving Party or its representatives; or 
 (b) is obtained by the Receiving Party from a Third Party who is lawfully in possession of such Confidential Information and is not subject to an obligation of confidentiality or non-use owed to the
Disclosing Party; or 
 (c) is previously known to the Receiving Party prior to disclosure by the Disclosing Party, as shown by
written evidence, and is not obtained or derived directly or indirectly from the Disclosing Party; or 
 (d) is independently
developed by the Receiving Party without the use of or reliance on any Confidential Information provided by the Disclosing Party hereunder, as shown by contemporaneous written evidence. 

12.1.5. Legal Disclosure. The Receiving Party may disclose the Confidential Information of the Disclosing Party to the extent
reasonably necessary in prosecuting or defending litigation, complying with applicable laws, governmental regulations or court order, or otherwise submitting required information to tax or other governmental authorities. If the Receiving Party
intends to so disclose any such Confidential Information, the Receiving Party shall provide the Disclosing Party prompt prior notice of such fact so that the Disclosing Party may seek to obtain a protective order or other appropriate remedy
concerning any disclosure of such Confidential Information. The Receiving Party will reasonably cooperate with the Disclosing Party in connection with the Disclosing Party’s efforts to obtain any such order or other remedy. If any such order or
other remedy does not fully preclude the disclosure of such Confidential Information, the Receiving Party will make such disclosure only to the extent that such disclosure is legally required and will use its reasonable efforts to have confidential
treatment accorded to the disclosed Confidential Information. 
 12.1.6. No Warranty As To Reliability. Each of the
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hereunder, except for any specific representation or warranty made in other sections of this Agreement. The Receiving Party agrees that neither the Disclosing Party nor any of the Disclosing
Party’s Representatives shall have any liability to the Receiving Party arising from the disclosure of Confidential Information by the Disclosing Party except as otherwise provided herein. 

12.1.7. No Implied License. Except as otherwise expressly set forth in this Agreement, nothing herein shall be construed as
giving the Receiving Party any right, title and interest in and to the Confidential Information of the Disclosing Party. 

12.1.8. Public Domain. For the purpose of this Agreement, specific information disclosed as part of the Confidential Information
shall not be deemed to be in the public domain or in the prior possession of the Receiving Party merely because it is embraced by more general information in the public domain or by more general information in the prior possession of the Receiving
Party. 
 12.2. Publications. A Party desiring to submit a publication or presentation related to any matters that are
the subject of this Agreement shall not do so without the prior written consent of the other Party, which consent shall not be unreasonably withheld. Each Party shall submit for the other Party’s review any proposed publication or presentation
containing any information generated by either Party (or by both Parties) hereunder during the Collaboration Term, or containing any Confidential Information of the other Party, at least forty-five (45) days in advance of such proposed
publication or presentation. The reviewing Party shall promptly review such proposed publication and respond in any event within forty-five (45) days after receipt, and shall make any objections that it may have to the publication of any such
information, or of any Confidential Information of the reviewing Party contained therein. Should the reviewing Party make an objection to the publication of any such information or Confidential Information, then the Parties shall discuss the
advantages and disadvantages of publishing such information and/or Confidential Information provided always that a Party shall not be compelled to agree to the disclosure of its Confidential Information and if following such discussions the Party
still objects to the inclusion of such Confidential Information it shall be removed. If the Parties are unable to agree on whether particular subject matter may be published or presented, then the Executive Officers shall attempt to resolve the
matter, but if it is unable to do so, such matter shall not be subject to the dispute resolution provisions of Sections 2.4 and 18.18. Notwithstanding the foregoing, upon the reviewing Party’s request, the other Party shall not submit any such
publication or presentation until the reviewing Party is given a reasonable period of time (not less than forty-five (45) days) to secure patent protection for any material in such publication or presentation that it believes to be patentable.

 12.3. Terms of Agreement. The existence and the terms and conditions of the Agreement that the Parties have not
specifically agreed to disclose pursuant to Section 12.1 shall be considered Confidential Information of both Parties. Either Party may disclose, upon the other Party’s prior written consent, such terms to a bona fide potential investor,
investment banker, acquiror, merger partner or other potential financial partner, and their attorneys and agents, provided that each such Person to whom such information 

  
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is to be disclosed is informed of the confidential nature of such information and has agreed to maintain the confidentiality of such information. 

12.4. Injunctive Relief. The Parties hereto understand and agree that remedies at law may be inadequate to protect against any
breach of any of the provisions of this Article XII by either Party or their employees, agents, officers or directors or any other person acting in concert with it or on its behalf. Accordingly, each Party shall be entitled to, without the posting
of bond, the granting of injunctive relief by a court of competent jurisdiction against any action that constitutes any such breach of this Article XII. 
 12.5. Registration and Filing of the Agreement. To the extent, if any, that a Party concludes in good faith that it is required to file or register this Agreement, a summary of the terms of
this Agreement, or a notification thereof with any governmental authority, including without limitation the U.S. Securities and Exchange Commission and the Competition Directorate of the Commission of the European Communities, in accordance with
applicable laws and regulations, such Party may do so, and the other Party shall cooperate in such filing or notification and shall execute all documents reasonably required in connection therewith at the, expense of the requesting Party. The
Parties shall promptly inform each other as to the activities or inquiries of any such governmental authority relating to this Agreement, and shall cooperate, to respond to any request for further information therefrom at the expense of the
requesting Party. 
 ARTICLE XIII. 
 REPRESENTATIONS AND WARRANTIES OF AMBIT 
 13.1. Representations and
Warranties. Ambit represents and warrants to Cephalon as follows: 
 13.1.1. Organization. It is a corporation
validly existing and in good standing under the laws of the State of Delaware. 
 13.1.2. Authority. It has full
corporate power and authority to execute and deliver this Agreement and to consummate the transactions contemplated hereby. All corporate acts and other proceedings required to authorize such execution, delivery, and consummation have been duly and
properly taken and obtained. 
 13.1.3. Enforceability. This Agreement has been duly executed and delivered by Ambit and
constitutes legal, valid, and binding obligations of Ambit enforceable against Ambit in accordance with its terms. 
 13.1.4.
Approvals and Consents. No approval, authorization, consent, or other order or action of or filing with any court, administrative agency or other governmental authority is required for the execution and delivery by Ambit of this Agreement or
the consummation by Ambit of the transaction contemplated hereby (other than contemplated Collaboration Product Regulatory Approvals). 
 13.1.5. No Conflicts. None of the execution, delivery, or performance of this Agreement by Ambit (i) conflicts with or results in a breach under

  
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the charter documents or any material contractual undertaking of Ambit, or its Affiliates or (ii) conflicts with or results in a violation of any of the laws of the jurisdiction of
incorporation of Ambit. Ambit has not, to the best of its knowledge entered into, nor will Ambit, after the Effective Date, knowingly enter into any written or oral agreement that is or would be inconsistent with its obligations under this Agreement
or deprives or would deprive Cephalon of the benefits of this Agreement. 
 13.1.6. Title. As of the Effective Date,
Ambit has good title to or valid leases or licenses for all its properties, rights, and assets necessary for the fulfillment of its obligations and responsibilities under this Agreement. 

13.1.7. Sufficient Rights. As of the Effective Date, to the best of Ambit’s knowledge after due inquiry, Ambit represents
and warrants that Ambit owns or Controls its Patents necessary to conduct the Collaboration and to grant the rights and licenses to Cephalon, and to fulfill its duties and obligations pursuant to this Agreement. As of the Effective Date, to the best
of Ambit’s knowledge after due inquiry, Ambit represents and warrants that the Collaboration Compounds described in Section 1.17(i), and Ambit’s activities with respect to the First Collaboration Target as currently conducted and as
proposed to be conducted, including the practice of the Ambit IP in connection therewith, do not violate the valid patent rights or other intellectual property rights of any Third Party, and to the best knowledge of Ambit after due inquiry, as of
the Effective Date, all other practice of the Ambit IP does not violate the valid patent rights or other intellectual property rights of any Third Party. 
 13.1.8. No Prior Grant or Patents. As of the Effective Date, Ambit has not (i) knowingly granted any licenses to Third Parties, or (ii) knowingly filed any patent application, in either
case inconsistent with the licenses granted or to be granted to Cephalon hereunder. 
 13.1.9. Resources. As of the
Effective Date and during the Collaboration Term, Ambit has and shall have sufficient financial and other resources to timely perform its obligations under the Profiling Services Agreement and this Agreement, including with respect to research and
development of the Licensed Compounds and the Collaboration. 
 13.1.10. Disclaimer. Except as provided herein, Ambit
specifically disclaims any guarantee that the Collaboration will be successful, in whole or in part. The failure of Ambit to successfully identify Collaboration Compounds that are suitable as Clinical Compounds will not, of itself, constitute a
breach of any representation or warranty or other obligation under this Agreement. Ambit does not make any representation or warranty or guaranty that the Collaboration will be sufficient for the successful completion of the research contemplated
thereby. EXCEPT AS OTHERWISE EXPRESSLY SET FORTH HEREIN, AMBIT MAKES NO REPRESENTATIONS AND EXTENDS NO WARRANTIES OR CONDITIONS OF ANY KIND, EITHER EXPRESS OR IMPLIED, WITH RESPECT TO THE AMBIT IP, COLLABORATION IP, COLLABORATION COMPOUNDS OR AMBIT
COMPOUNDS INCLUDING, BUT NOT LIMITED TO, WARRANTIES OF 

  
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MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, VALIDITY OF AMBIT IP OR COLLABORATION IP, PATENTED OR UNPATENTED, OR NON-INFRINGEMENT OF THE INTELLECTUAL PROPERTY RIGHTS OF THIRD PARTIES.

 ARTICLE XIV. 
 REPRESENTATIONS AND WARRANTIES OF CEPHALON 
 14.1. Representations and
Warranties. Cephalon represents and warrants to Ambit as follows: 
 14.1.1. Organization. It is a corporation
validly existing and in good standing under the laws of Delaware. 
 14.1.2. Authority. It has full corporate power and
authority to execute and deliver this Agreement and to consummate the transactions contemplated hereby. All corporate acts and other proceedings required to authorize such execution, delivery, and consummation have been duly and properly taken and
obtained. 
 14.1.3. Enforceability. This Agreement has been duly executed and delivered by Cephalon and constitutes the
legal, valid, and binding obligations of Cephalon enforceable against Cephalon in accordance with its terms. 
 14.1.4.
Approvals and Consents. No approval, authorization, consent, or other order or action of or filing with any court, administrative agency or other governmental authority is required for the execution and delivery by Cephalon of this Agreement
or the consummation by Cephalon of the transaction contemplated hereby (other than contemplated Collaboration Product Regulatory Approvals). 
 14.1.5. No Conflicts. None of the execution, delivery, or performance of this Agreement by Cephalon (i) conflicts with or results in a breach under the charter documents or any material
contractual undertaking of Cephalon, or its Affiliates or (ii) conflicts with or results in a violation of any of the laws of the jurisdiction of incorporation of Cephalon. Cephalon has not, to the best of its knowledge entered into, nor will
Cephalon, after the Effective Date, knowingly enter into any written or oral agreement that is or would be inconsistent with its obligations under this Agreement or deprives or would deprive Ambit of the benefits of this Agreement. 

14.1.6. Sufficient Rights. As of the Effective Date, it owns or Controls its Patents necessary to conduct the Collaboration and
to grant the rights and licenses to Ambit, and to fulfill its duties and obligations pursuant to this Agreement. To the knowledge of Cephalon, as of the Effective Date, the practice of the Cephalon IP does not violate the valid patent rights of any
Third Party. 
 14.1.7. No Prior Grant or Patents. As of the Effective Date, Cephalon has not (i) knowingly granted
any licenses to Third Parties, or (ii) knowingly filed any patent application, in either case inconsistent with the licenses granted or to be granted to Ambit hereunder. 

  
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 14.1.8. Title. As of the Effective Date, it has good title to or valid leases or
licenses for all its properties, rights, and assets necessary for the fulfillment of its obligations and responsibilities under this Agreement. 
 14.1.9. Disclaimer. Except as provided herein, Cephalon specifically disclaims any guarantee that the Collaboration will be successful, in whole or in part. The failure of Cephalon to successfully
identify Clinical Candidates will not, of itself, constitute a breach of any representation or warranty or other obligation under this Agreement. Cephalon does not make any representation or warranty or guaranty that the Collaboration will be
sufficient for the successful completion of the research contemplated thereby. EXCEPT AS OTHERWISE EXPRESSLY SET FORTH HEREIN, CEPHALON MAKES NO REPRESENTATIONS AND EXTENDS NO WARRANTIES OR CONDITIONS OF ANY KIND, EITHER EXPRESS OR IMPLIED, WITH
RESPECT TO THE CEPHALON IP, COLLABORATION IP, COLLABORATION COMPOUNDS, CEPHALON COMPOUNDS OR CEPHALON LIBRARY COMPOUNDS INCLUDING, BUT NOT LIMITED TO, WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, VALIDITY OF CEPHALON IP OR
COLLABORATION IP, PATENTED OR UNPATENTED, OR NON-INFRINGEMENT OF THE INTELLECTUAL PROPERTY RIGHTS OF THIRD PARTIES. 
 ARTICLE
XV. 
 SURVIVAL AND INDEMNIFICATION 
 15.1. Survival of Representations, Warranties, Covenants, and Agreement. The representations, warranties, covenants, and agreements contained in this Agreement shall survive as set forth in
Section 16.6. Except as expressly provided herein, the Parties confirm that they have not relied upon any other representations, warranties, covenants, and agreements as an inducement to enter into this Agreement or the other agreements and
instruments to be executed and delivered by the Parties pursuant to this Agreement. 
 15.2. Indemnification by Ambit.
Ambit hereby agrees to indemnify and hold Cephalon, its Affiliates and their respective officers, directors, stockholders, employees, agents, and representatives (collectively, the “Cephalon Indemnitees”) harmless from and against
any and all claims, liabilities, losses, damages, costs and expenses in respect of claims against the Cephalon Indemnitees by Third Parties other than the Cephalon Indemnitees, including reasonable fees and disbursements of counsel and expenses of
reasonable investigation (collectively, “Cephalon Losses”), arising out of, based upon or caused by: (a) the inaccuracy of any representation or the breach of any warranty, covenant or agreement of Ambit contained in this
Agreement or in any other agreement or instrument delivered by Ambit pursuant to this Agreement; (b) any failure by Ambit, its Affiliates or their respective designees to conduct the research pursuant to the Research Plans in a diligent and
professional manner and in accordance with applicable laws and regulations; (c) any gross negligence or intentional wrongdoing by Ambit, its Affiliates or designees in the performance of the research hereunder; (d) any injury, illness or
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of the Collaboration; (e) any breach of Ambit’s contractual obligations to Third Parties; or (f) the development, preclinical and clinical testing, manufacture, distribution, sale
and/or use (including but not limited to product liability claims) of any Licensed Compound, Collaboration Compound or Licensed Product for which Ambit is responsible for development and commercialization pursuant to the terms of this Agreement
(except, in each case (a) to (f), to the extent that any Cephalon Loss is due to the gross negligence or willful misconduct of Cephalon Indemnitees). Except with respect to a breach arising under Sections 13.1.6, 13.1.7 or 13.1.8, in no event
shall Ambit’s aggregate liability to the Cephalon Indemnitees with respect to Cephalon Losses arising out of, based upon or caused by the matters set forth in Section 15.2(a), (b), (c), (d) or (e) exceed [...***...].

 15.3. Indemnification by Cephalon. Subject to Section 15.2, Cephalon hereby agrees to indemnify and hold Ambit,
its Affiliates, subcontractors and their respective officers, directors, stockholders, employees, agents, and representatives (collectively, the “Ambit Indemnitees”) harmless from and against any and all claims, liabilities, losses,
damages, costs and expenses in respect of claims against the Ambit Indemnitees by Third Parties other than the Ambit Indemnitees, including reasonable fees and disbursements of counsel and expenses of reasonable investigation (collectively,
“Ambit Losses”), arising out of, based upon or caused by: (a) the inaccuracy of any representation or the breach of any warranty, covenant or agreement of Cephalon contained in this Agreement or in any other agreement or
instrument delivered by Cephalon pursuant to this Agreement; (b) any failure by Cephalon, its Affiliates or their respective designees to conduct the research pursuant to the Research Plans in a diligent and professional manner and in
accordance with applicable laws and regulations; (c) any gross negligence or intentional wrongdoing by Cephalon, its Affiliates or designees in the performance of the research hereunder; (d) any injury, illness or disease suffered by any
Cephalon employees in connection with the performance of the Collaboration; (e) any breach of Cephalon’s contractual obligations to Third Parties; or (f) the development, preclinical and clinical testing, manufacture, distribution,
sale and/or use (including but not limited to product liability claims) of any Collaboration Clinical Candidate, Collaboration Compound or Collaboration Product for which Cephalon is responsible for development and commercialization pursuant to the
terms of this Agreement (except, in each case (a) to (f), to the extent that any Ambit Loss is due to the gross negligence or willful misconduct of Ambit Indemnitees). Except with respect to a breach arising under Sections 14.1.6, 14.1.7 or
14.1.8, in no event shall Cephalon’s aggregate liability to the Ambit Indemnitees with respect to Ambit Losses arising out of, based upon or caused by the matters set forth in Section 15.3(a), (b), (c), (d) or (e) exceed
[...***...]. 
 15.4. Notices. Each indemnified Party agrees to give the indemnifying Party prompt written
notice of any action, claim, demand, discovery of fact, proceeding or suit (collectively, “Claims”) for which such indemnified Party intends to assert a right to indemnification under this Agreement; provided however,
that failure to give such notification shall not affect the indemnified Party’s entitlement to indemnification hereunder except to the extent that the indemnifying Party shall have been prejudiced as a result of such failure. The indemnifying
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Party intends to assert a right to indemnification under this Agreement as contemplated in the preceding sentence if and so long as the indemnifying Party has recognized in a written notice to
the indemnified Party provided within thirty (30) days of such written notice its obligation to indemnify the indemnified Party for any Ambit Losses or Cephalon Losses (as the case may be) relating to such Claim; provided however that if the
indemnifying Party assumes control of the defense, settlement, or disposition of a Claim, the indemnifying Party shall obtain the written consent of the indemnified Party prior to ceasing to defend, settling or otherwise disposing of the Claim in
the event that such cessation, settlement or disposition would materially adversely affect the indemnified Party. If the indemnifying Party fails to state in a written notice during such thirty (30) day period its willingness to assume the
defense of such a Claim, the Ambit or Cephalon Indemnitee, as the case may be, shall have the right to defend, settle or otherwise dispose of such claim at the indemnifying Party’s sole expense, subject to the applicable provisions of Sections
15.2 and 15.3 above. The indemnified Party shall not settle or compromise an Indemnification Claim without the prior written consent of the indemnifying Party, and the indemnifying Party shall not settle or compromise an Indemnification Claim in any
manner which would have an adverse effect on the indemnified Party’s interests, without the prior written consent of the indemnified Party, which consent, in each case, shall not be unreasonably withheld or delayed. The indemnified Party shall
reasonably cooperate with the indemnifying Party at the indemnifying Party’s expense and shall make available to the indemnifying Party all pertinent information under the control of the indemnified Party, which information shall be subject to
Article XII. 
 ARTICLE XVI. 
 TERM, TERMINATION, AND EXPIRATION 
 16.1. Term of Agreement. The term of
this Agreement (the “Term”) shall commence on the Effective Date and shall continue in full force and effect on a country-by-country and Collaboration Product-by-Collaboration Product basis until both Parties and their respective
Sublicensees have no remaining royalty obligations in a country, unless terminated earlier as provided in this Article XVI. 

16.2. Collaboration Term. The Collaboration shall commence on the Effective Date and terminate on the last day of the Initial
Term, unless extended by mutual agreement of the Parties. In the event that Cephalon desires to extend the Collaboration Term, it shall so inform Ambit of such desire not less than [...***...] before the last day of the Initial Term or
then-current Collaboration Term, in which case the Parties shall negotiate additional consideration to Ambit for any such proposed extension. If the Initial Term or the extended Collaboration Term, as the case may be, is not extended in the manner
set forth in the preceding sentence, the Collaboration shall terminate on the last day of the Initial Term or extended Collaboration Term, as the case may be. 

  

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 16.3. Termination. 

16.3.1. Breach. If either Party breaches, or defaults in the performance of, or fails to be in compliance with, any material
warranty, representation, agreement or covenant of this Agreement, and such default or noncompliance shall not have been substantially remedied within [...***...] after receipt by the defaulting Party of a written notice thereof and
demand to cure such default from the other Party, the Party not in default or breach shall have the right to terminate this Agreement upon written notice effective immediately. 

16.3.2. Bankruptcy. Either Party may, subject to the provisions herein, terminate the Collaboration and this Agreement if, at any
time, the other Party shall file in any court pursuant to any statute, a petition in bankruptcy or insolvency or for reorganization in bankruptcy or for an arrangement or for the appointment of a receiver or trustee of such Party or of its assets,
or if such Party proposes a written agreement of composition or extension of its debts, or if such Party shall be served with an involuntary petition against it, filed in any insolvency proceeding, and such petition shall not be dismissed within
sixty (60) days after the filing thereof, or if such Party shall propose or be a party to any dissolution, or if such Party shall make an assignment for the benefit of creditors. 

16.3.3. Additional Termination by Cephalon. 
 (a) Cephalon shall have the right to terminate this Agreement upon written notice effective immediately in the event of an Adverse Financial Event. 

(b) No earlier than [...***...] after final delivery of the Cephalon Library Compounds pursuant to Section 4.1,
Cephalon shall have the right to terminate this Agreement, at its sole discretion, upon ninety (90) days prior written notice to Ambit. As of the effective date of any such termination, neither Party shall have any further obligation to perform
any activities with respect to any Research Plan pursuant to this Agreement. 
 16.3.4. Rights in Law or Equity. EXCEPT
AS OTHERWISE EXPRESSLY PROVIDED HEREIN, TERMINATION BY EITHER PARTY PURSUANT TO THIS SECTION 16.3 SHALL NOT PREJUDICE ANY OTHER REMEDY THAT A PARTY MIGHT HAVE IN LAW OR EQUITY, EXCEPT THAT NEITHER PARTY MAY CLAIM COMPENSATION FOR LOST
OPPORTUNITY OR LIKE CONSEQUENTIAL DAMAGES OR SPECIAL, INCIDENTAL OR PUNITIVE DAMAGES ARISING OUT OF THE FACTS OF SUCH TERMINATION, EXCEPT IN CONNECTION WITH A BREACH OF ARTICLE XII, A PARTY’S INFRINGEMENT OR MISAPPROPRIATION OF THE OTHER
PARTY’S INTELLECTUAL PROPERTY RIGHTS OR A PARTY’S INDEMNIFICATION OBLIGATIONS HEREUNDER. 
 16.4. Change of
Control. 

  

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 16.4.1. Ambit immediately shall notify Cephalon of the occurrence of a Change of Control
prior to the completion of the Collaboration. Upon a Change of Control of Ambit occurring prior to completion of the Collaboration, Cephalon may, in its absolute discretion exercisable by giving Ambit notice in writing within thirty (30) days
of Cephalon being notified of the Change of Control, elect to (a) continue working with Ambit or the successor Third Party under the terms of this Agreement, (b) assume responsibility for completing the Collaboration, and/or
(c) terminate this Agreement. 
 16.4.2. Upon a Change of Control of Ambit, Ambit or the Third Party successor immediately
shall halt their activities under the Collaboration and shall cease all access to and use of any Cephalon Confidential Information, Cephalon IP and any other rights owned hereunder by Cephalon, except as may otherwise be specified by Cephalon in
writing. The rights to any compound covered by Cephalon Confidential Information, Cephalon IP and/or any other rights owned hereunder by Cephalon shall revert to Cephalon, except as may otherwise be specified by Cephalon in writing. The
foregoing notwithstanding, any rights transferred to any Third Party under Section 4.7.3(c) prior to Change of Control shall not be affected by this Section 16.4. 
 16.4.3. Upon Cephalon’s election pursuant to Section 16.4.1(a), Cephalon and Ambit or the Third Party successor shall negotiate in good faith such amendments to this Agreement that shall be
required by Cephalon to continue with the Collaboration. Such negotiations shall not occur for more than thirty (30) days, unless otherwise extended by Cephalon. 
 16.4.4. Upon Cephalon’s election pursuant to Section 16.4.1(b), the following provisions shall apply: 
 (a) the Parties shall agree to times convenient to both Ambit and Cephalon when scientist(s) from Ambit may visit Cephalon to facilitate the transfer to Cephalon of that Ambit IP necessary for and limited
to Cephalon’s completion of the Collaboration, which transfer shall be completed at Cephalon’s own cost and expense; 

(b) Ambit shall use its reasonable efforts to assign to Cephalon the benefit and burden of any agreement made between Ambit and any
subcontractor pursuant to Section 18.15; 
 (c) the milestone payments due to Ambit pursuant to Article VIII shall be
reduced pro-rata to the number of months elapsed since the Effective Date (as a ratio to [...***...]) at the date of the cessation of Ambit involvement in the Collaboration (e.g., such that if this occurs after the third anniversary of
the Effective Date there shall be no reduction in this milestones); provided however, if as of the date of Cephalon’s notice of election pursuant to 16.4.1(b), (i) a Collaboration Clinical Candidate has been designated; (ii) Ambit has
completed the screening of the Cephalon Library Compounds; and (iii) Ambit has delivered all profiling data from the screening of the Cephalon Compound Library to Cephalon, then there shall be no such reduction in the milestone payments
relating to any such Collaboration Clinical Candidate; and 

  

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 (d) the JRC shall be dissolved, the obligations on Ambit under Section 2.2 shall
transfer to Cephalon and those provisions concerning the JRC shall not apply. Furthermore, Sections 2.1, 2.3, 2.4, 3.1, 3.2, 3.3, 3.4, 3.5 and 8.2 shall not apply. All other provisions of the Agreement shall continue to apply save as expressly
modified by this Section 16.4.4. 
 16.4.5. Upon Cephalon electing to terminate this Agreement pursuant to
Section 16.4.1(c), this Agreement shall be terminated upon Cephalon’s written notice effective immediately, whereupon Ambit shall pay to Cephalon as liquidated damages the sum of [...***...], reduced, pro rata, over the
remainder of the Initial Term of the Agreement; provided however, if as of the date of Cephalon’s notice of termination pursuant to 16.4.1(c) (i) a Collaboration Clinical Candidate has been designated; (ii) Ambit has completed the
screening of the Cephalon Library Compounds; and (iii) Ambit has delivered all profiling data from the screening of the Cephalon Library Compounds to Cephalon, then there shall be no payment of liquidated damages per the terms of this 16.4.5.

 16.5. Effect of Breach or Termination. 
 16.5.1. Accrued Obligations. Termination of this Agreement for any reason shall not release any Party hereto from any liability which, at the time of such termination, has already accrued to the
other Party or which is attributable to a period prior to such termination. 
 16.5.2. Return of Materials. Upon any
termination of this Agreement, Cephalon and Ambit shall promptly (a) return to the other Party all Confidential Information received from the other Party (except one copy of which may be retained for archival purposes) and (b) destroy any
analyses, studies or other documents, prepared by or for the benefit of Cephalon or Ambit as the case may be, relating to such other Party’s Confidential Information, in each case except to the extent necessary for a Party to exercise any of
its rights under any licenses granted to it that survive termination. 
 16.5.3. Effect of Termination. In the event of
any termination of the Collaboration, Ambit and Cephalon shall have no future obligation to conduct research activities pursuant to any Research Plan after the effective date of such termination. 

16.5.4. Licenses. 
 (a) Termination by Ambit Pursuant to Section 16.3.1 or 16.3.2. In the event of termination by Ambit of this Agreement pursuant to Section 16.3.1 or Section 16.3.2, Cephalon’s
licenses under Section 6.2 shall terminate, and all exclusivity periods, rights and licenses granted to Ambit hereunder as of the effective termination date shall remain in effect, subject to the terms and conditions of this Agreement
applicable thereto. Furthermore, (i) Ambit shall have the right to exercise any existing 

  

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Options upon written notice to Cephalon delivered within ten (10) days of the effective termination date, and (ii) Ambit shall have a fully paid-up, worldwide, perpetual, irrevocable,
transferable, royalty-free and exclusive license, with the right to sublicense, under any Collaboration IP, Licensed Compound IP or Cephalon IP, as the case may be, necessary to make, have made, use, sell, offer to sell, and import any Collaboration
Clinical Candidate (that had been designated pursuant to Section 8.1 prior to the effective termination date) or Licensed Compound (that had been designated pursuant to Section 4.4.2 prior to the effective termination date). Ambit shall
have, at its sole expense, the right to prepare, file, prosecute and maintain in such countries as it deems appropriate in its discretion, all Patents subject to the license conveyed in this section 16.5.4(a)(i) and (ii). 

(b) Termination by Cephalon Pursuant to Section 16.3.1, 16.3.2 or 16.3.3(a). In the event of termination by Cephalon pursuant
to Section 16.3.1, Section 16.3.2 or 16.3.3(a), all exclusivity periods, rights and licenses granted to Ambit hereunder shall terminate; and all exclusivity periods, rights and licenses granted to Cephalon hereunder shall remain in effect,
subject to the terms and conditions of this Agreement applicable thereto. Furthermore, (i) upon written notice given within ten (10) days of the effective termination date, Cephalon shall have the right to designate any Collaboration
Compounds as Collaboration Clinical Candidates, in which case Cephalon shall be licensed to such Collaboration Clinical Candidates as set forth in Section 6.2.1, provided that such license shall be fully paid-up and royalty-free, and
(ii) Cephalon shall have an exclusive, royalty-free, fully-paid up, worldwide, transferable license, with the right to sublicense, under any Licensed Compound IP and Ambit IP necessary to make, have made, use, sell, offer to sell, and import
Licensed Compounds and Derivative Compounds in existence as of the effective termination date. Cephalon shall have the right, at its sole expense, to prepare, file, prosecute and maintain in such countries as it deems appropriate in its discretion,
all Patents subject to the license conveyed in this section 16.5.4(b)(i) and (ii). The foregoing in this Section 16.5.4(b) notwithstanding, any license agreement or other arrangement negotiated with a Third Party pursuant to
Section 4.7.3(c) prior to termination under Section 16.3.2 or 16.3.3(a) shall not be subject to this Section 16.5.4(b). 
 (c) Termination by Cephalon of the Agreement Pursuant to Section 16.3.3(b). In the event of termination of the Agreement by Cephalon pursuant to Section 16.3.3(b), all licenses granted
pursuant to this Agreement as of the effective termination date shall remain in effect, subject to the terms and conditions of this Agreement applicable thereto, including the applicable provisions of Articles V, VII, VIII and IX, which shall
survive and be applicable to such licenses in addition to the provisions which survive pursuant to Section 16.6. 
 16.6.
Survival. Without limiting Section 16.5, the provisions of Sections 2.5, 4.3.4 (last sentence), , 4.4.3(b), 4.5.3, 4.5.4, 4.7, 4.8, 4.9, 4.10, 4.11, 10.1, 10.3, 11.2, 11.3, 11.4, 11.5, 11.6, 11.7, 13.1.10, 14.1.9, 16.3.4, 16.4.5, 16.5
and 16.6, and Articles V, VI (other than Section 6.4), XII, XV, XVIII shall survive the expiration or termination of this Agreement, provided that: 

  
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 16.6.1. The provisions of Article V shall not survive as to Ambit if Ambit has terminated
this Agreement pursuant to Section 16.3.1 or 16.3.2; and 
 16.6.2. The provisions of Article V shall not survive as to
Cephalon if Cephalon has terminated this Agreement pursuant to Section 16.3.1, 16.3.2 or 16.3(a). 
 ARTICLE XVII.

 FINANCIAL MATTERS 
 17.1. Financial Reports. During the Collaboration Term, Ambit shall provide to Cephalon: 
 17.1.1. as soon as practicable, but in any event within one hundred and twenty (120) days after the end of each fiscal year of Ambit, an income statement for such fiscal year and a balance sheet of
Ambit as of the end of such fiscal year, such year-end financial reports to be in reasonable detail, prepared in accordance with GAAP, and audited and certified by independent public accountants of nationally recognized standing reasonably
acceptable to Cephalon; 
 17.1.2. as soon as practicable, but in any event within thirty (30) days after the end of each
of the first three (3) fiscal quarters of each fiscal year of Ambit, an unaudited profit or loss statement for such fiscal quarter and an unaudited balance sheet as of the end of such fiscal quarter; and 

17.1.3. such other information relating to the financial condition, business, prospects and corporate affairs of Ambit as Cephalon may
from time to time reasonably request and at Cephalon’s expense. 
 Cephalon shall have the right, at its sole expense, to engage an auditor
reasonably acceptable to Ambit to review and audit the financial statements provided to it by Ambit pursuant to this Section 17.1. 
 17.2. Right to Purchase Ambit Stock. Upon the occurrence of an Adverse Financial Event at any time during the Collaboration Term, Cephalon shall have either of the rights specified in Sections
17.2.1 and 17.2.2 below: 
 17.2.1. Cephalon shall have the right to purchase upon written notice to Ambit, and Ambit shall
issue and sell to Cephalon, convertible debt instruments or shares of capital stock of Ambit having an aggregate purchase price reasonably determined by Cephalon to cure the existence of the Adverse Financial Event. Such capital stock shall be
shares of Ambit’s capital stock (the “Ambit Stock”) and have terms as mutually agreed by the Parties. The purchase price to be paid by Cephalon for each share of Ambit Stock shall be the then-current fair market value thereof
(the “Share Price”), determined as follows: 
 (a) the fair market value per share of Ambit Stock shall be
determined by the Board of Directors of Ambit; provided, however, that in the event that Cephalon 

  
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disputes the fair market value as so determined, Cephalon and Ambit shall, within ten (10) days after Cephalon notifies Ambit in writing of such disagreement, appoint a mutually acceptable
independent valuation expert who shall determine such fair market value. If the Parties hereto cannot agree on a valuation expert within such ten (10) day period, a valuation expert with substantial experience in valuing pharmaceutical
companies comparable to Ambit shall be selected by the New York, New York office of the American Arbitration Association. The valuation expert so designated shall not be an employee, consultant, officer, director or stockholder of any Party hereto
or of any Affiliate of any Party hereto. The valuation expert shall use such expert’s best efforts to establish the fair market value of the Ambit Stock within thirty (30) days after such expert’s appointment. The determination of the
valuation expert as to the value of the Ambit Stock shall be binding and conclusive upon all Parties hereto, and the fees and expenses of such valuation expert shall be borne equally by Ambit and Cephalon. In determining such fair market value, the
valuation expert shall not take into account the exercise price of stock options, financings which constituted less than five hundred thousand dollars ($500,000) in gross proceeds to Ambit, equity issued as a so-called “equity feature”
(such as a warrant) of a transaction primarily involving a collaboration relationship, the provision of services or the incurrence of indebtedness for borrowed money, and issuances of stock to Affiliates of Ambit. 

(b) An “Adverse Financial Event” shall mean that Ambit shall have failed to have the greater of (i) sufficient
freely available cash on hand to timely perform all of its obligations hereunder for the period of time between (i) the AFE Determination Date (as defined below) or (ii) the date [...***...] from the AFE Determination Date and
(ii) [...***...] in freely available cash. “AFE Determination Date” shall mean any date(s) designated by Cephalon to perform an analysis of Ambit’s financial condition. Ambit shall provide reasonable
assistance to Cephalon to determine the existence of an Adverse Financial Event. 
 17.2.2. Right to Require Financing.
Cephalon shall have the right to cause Ambit, at Ambit’s expense to use its best efforts to initiate and complete a round of Third Party equity financing within [...***...] of Cephalon’s request thereof in such aggregate
amount as is reasonably determined by Cephalon to cure the existence of the Adverse Financial Event. Cephalon shall have the right to participate in such round of financing on terms no less favorable than those negotiated by Ambit with its other
investors. 

  

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 ARTICLE XVIII. 
 MISCELLANEOUS 
 18.1. Notices. Any notice or other communication required
or permitted to be given by either Party under this Agreement shall be effective when delivered, if delivered by hand or by electronic facsimile or five (5) days after mailing if mailed by registered or certified mail, postage prepaid and
return receipt requested, and shall be addressed to each Party at the following addresses or such other address an may be designated by notice pursuant to this Section: 

 

			
	If to Ambit:	    	If to Cephalon:
		
	Ambit Biosciences Corporation	    	Cephalon, Inc.
	4215 Sorrento Valley Blvd.	    	41 Moores Road
	San Diego, CA 92121	    	Frazer, PA 19355
	Attn: Stephen Keane	    	Attn: Executive Vice President, Research & Development
	Fax: (858) 334-2198	    	Fax: (610) 344-0065
		
	With a copy to:	    	With a copy to:
		
	Ambit Biosciences Corporation	    	Cephalon, Inc.
	4215 Sorrento Valley Blvd.	    	41 Moores Road
	San Diego, CA 92121	    	Frazer, PA 19355
	Attn: Kerry A. Kelly, General Counsel	    	Attn: General Counsel
	Fax: (858) 334-2198	    	Fax: (610) 344-0065
		
		    	and:
		
		    	Dechert LLP
		    	Cira Centre
2929 Arch Street
Philadelphia, PA 19104-2808
		    	Attn: James A. Lebovitz, Esq.
		    	Fax: (215) 994-2222

 18.2. Amendments. No amendment, modification or addition hereto shall be effective or binding on
either Party unless set forth in writing and executed by duly authorized representatives of both Parties. 
 18.3.
Waiver. No waiver of any rights under this Agreement shall be deemed effective unless contained in writing signed by the Party charged with such waiver, and no waiver of any breach or failure to perform shall be deemed a waiver of any future
breach or failure to perform or any other right arising under this Agreement. 

  
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 18.4. Headings. The section headings contained in this Agreement are included for
convenience only and form no part of the agreement between the Parties. 
 18.5. Applicable Law. This Agreement shall be
governed by, subject to and construed in accordance with the laws of the State of Delaware, without regard to its conflict of law provisions. 
 18.6. Jurisdiction. Without limitation of Section 18.18, each Party hereby irrevocably submits to the exclusive jurisdiction of (i) the Superior Court of the State of Delaware, New Castle
County, and (ii) the United States District Court for the District of Delaware, for the purposes of any suit, action or other proceeding arising out of this Agreement or out of any transaction contemplated hereby. Each Party agrees to commence
any such action, suit or proceeding either in the United States District Court for the District of Delaware or if such suit, action or other proceeding may not be brought in such court for jurisdictional reasons, in the Superior Court of the State
of Delaware, New Castle County. Each Party further agrees that service of any process, summons, notice or document by personal delivery, by registered mail, or by a recognized international express delivery service to such Party’s respective
address set forth above shall be effective service of process for any action, suit or proceeding in Delaware with respect to any matters to which it has submitted to jurisdiction in this Section. Each Party irrevocably and unconditionally waives any
objection to the laying of venue of any action, suit or proceeding arising out of this Agreement or the transactions contemplated hereby in (i) the Superior Court of the State of Delaware, New Castle County, and (ii) the United States
District Court for the District of Delaware, and hereby and thereby further irrevocably and unconditionally waives and agrees not to plead or claim in any such court that any such action, suit or proceeding brought in any such court has been brought
in an inconvenient forum. 
 18.7. Severability. If any provision of this Agreement is held to be invalid, void or
unenforceable for any reason, it shall be adjusted, if possible, rather than voided in order to achieve the intent of the Parties to the maximal extent possible. In any event, all other provisions of this Agreement shall be deemed valid and
enforceable to the fullest extent possible. 
 18.8. Assignment: Binding Effect. Neither this Agreement, nor any
obligations or rights hereunder, shall be assignable or transferable (whether by contract, operation of law or otherwise) by any Party hereto without the prior written consent of the other Party; provided however, that Cephalon may
assign this Agreement without the consent of the Ambit to its Affiliates or in connection with the sale or transfer of all or substantially all of its assets relating to this Agreement, whether by merger, sale of stock, operation of law or
otherwise. Any purported assignment in contravention of this Section shall, at the option of the non-assigning Party, be null and void and of no effect. This Agreement shall be binding upon and inure to the benefit of the successors and
permitted assigns of the Parties to the extent necessary to carry out the intent of this Agreement. Ambit acknowledges that Ambit’s being a party to this Agreement is essential to Cephalon. Accordingly, without limitation of any other provision
herein, Ambit agrees that Cephalon shall have the right under 11 U.S.C. 365(c)(1) or successor provisions to refuse 

  
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to accept performance from or render performance to any entity, including Ambit as the debtor or debtor in possession, in a case involving Ambit under the U.S. Bankruptcy Code, and Ambit shall
not assert any arguments or defenses to the contrary. 
 18.9. Further Assurances. Each Party agrees to execute,
acknowledge and deliver such further instruments, and to do all such other acts as may be necessary or appropriate in order to carry out the purposes and intent of this Agreement. 

18.10. Force Majeure. No Party shall be liable for any failure or delay in performance under this Agreement to the extent such
failure or delay arises from Force Majeure. A Force Majeure is fire, explosion, earthquake, storm, flood, strike, labor difficulties, war, insurrection, riot, act of God or the public enemy, or any law, act, order, export or import control
regulations, proclamation, decree, regulation, ordinance, or instructions of local, state, federal or foreign governmental or other public authorities, or judgment or decree of a court of competent jurisdiction (but excluding a court injunction
against a Party’s performance) and not otherwise arising out of breach by such Party of this Agreement. In the event of the occurrence of such an event, the Party so affected shall give prompt written notice to the other Party, stating the
period of time the occurrence is expected to continue and shall use best efforts to end the failure or delay and ensure that the effects of such Force Majeure are minimized. 
 18.11. Negation of Agency. Nothing herein contained shall be deemed to create an agency, joint venture, amalgamation, partnership, or similar relationship between Cephalon and Ambit. The
relationship between the Parties established by this Agreement is that of independent contractors. 
 18.12. Publicity.
Promptly after the Effective Date, Ambit and Cephalon shall have the right to issue a press release regarding this Agreement, in a form agreed to by the Parties prior to the Effective Date. No other public announcement concerning the existence or
the terms of this Agreement shall be made, either directly or indirectly, by Ambit or Cephalon, except as may be legally required by applicable laws, regulations, or judicial order, without first obtaining the approval of the other Party and
agreement upon the nature, text, and timing of such announcement, which approval and agreement shall not be unreasonably withheld. The Party desiring to make any such public announcement shall provide the other Party with a written copy of the
proposed announcement in sufficient time prior to public release to allow such other Party to comment upon such announcement, prior to public release. Neither Party shall issue any press release or make any public announcement, which includes or
otherwise uses the name of the other Party in any public statement or document except with the prior written consent of such Party. Notwithstanding the preceding sentence, Ambit and Cephalon shall issue joint press releases in a timely manner
announcing the achievement of significant events related to or arising from the Collaboration. Such events include, by way of example, the achievement of milestone events and the payment of milestone payments, IND or NDA filings, and the
commencement of specific clinical trials. 

  
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 18.13. Entire Agreement. This Agreement contains the entire agreement between the
Parties with respect to the subject matter hereof. Any prior agreement, arrangement or undertaking, whether oral or in writing is hereby superseded. 
 18.14. Beneficiaries. No person, other than Cephalon or Ambit and their permitted assignees hereunder, shall be deemed an intended beneficiary hereunder or have any right to enforce any obligation
of this Agreement. 
 18.15. Affiliates and Subcontractors. Either Party may engage, at its sole expense, its Affiliates
or Third Party subcontractors (including contract research organizations) to perform certain of its obligations under this Agreement. Any Affiliate or Third Party subcontractor to be engaged by a Party to perform such Party’s obligations set
forth in this Agreement shall meet the qualifications typically required by such Party for the performance of work similar in scope and complexity to the subcontracted activity. The activities of any such Affiliates or Third Party subcontractors
shall be considered activities of such Party under this Agreement. Such Party shall be responsible for ensuring compliance by any such Affiliates or Third Party subcontractors with the terms of this Agreement. In any case in which a Party engages an
Affiliate or a Third Party subcontractor, such Party shall obtain sole ownership of, or exclusive license to, all inventions, data, information and related intellectual property rights made or developed by such Affiliate or Third Party subcontractor
so that the Party is able to make the assignments and grant the licenses set forth herein. 
 18.16. Compliance with
Laws. In exercising their rights under this Agreement, the Parties shall fully comply with the requirements of any and all applicable laws, regulations, rules and orders of any governmental body having jurisdiction over the exercise of rights
under this Agreement. 
 18.17. Patent Marking. Each Party agrees to mark and have its Affiliates and Sublicensees mark
all Collaboration Products and Licensed Products sold pursuant to this Agreement in accordance with the applicable statute or regulations relating to patent marking in the country or countries of manufacture and sale thereof. 

18.18. Dispute Resolution. 
 (a) Attempt to Settle. The Parties agree to take all reasonable efforts to resolve any and all disputes between them concerning diligence obligations and/or questions of material breach and default
in connection with this Agreement in an amicable manner. Any such disputes shall promptly be presented to the Chief Executive Officer of Ambit and the Executive Vice President of Research and Development of Cephalon, or their respective designees,
for resolution. If a dispute between the Parties arising out of or relating to the validity or interpretation of, compliance with, breach or alleged breach of or termination of this Agreement cannot be resolved within fifteen (15) business days
of presentation to the Chief Executive Officer of Ambit and the Executive Vice President of Research and Development of Cephalon, or their respective designees, either Party may refer such dispute to binding arbitration or the courts to be conducted
as set forth in this Section 18.18 and Section 18.6, respectively. 

  
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 (b) Binding Arbitration. Except in the event of alleged breach or default by a Party
or lack of diligence by a bankrupt or insolvent Party, and except as set forth in Section 18.18(k), the Parties agree that any such dispute that arises in connection with this Agreement and which cannot be amicably resolved by the Parties in
accordance with Section 18.18(a) shall be resolved by binding arbitration as set forth in this Section, conducted in accordance with the Commercial Arbitration Rules of the American Arbitration Association (AAA) by three (3) arbitrators.

 (c) Written Notice. If a Party intends to begin an arbitration to resolve a dispute, such Party shall provide written
notice to the other Party informing the other Party of such intention and the issues to be resolved. Within twenty (20) business days after its receipt of such notice, the other Party may, by written notice to the Party initiating arbitration,
add additional issues to be resolved. 
 (d) Selection of Arbitrators. Within forty-five (45) days following the
receipt of the notice of arbitration, the Parties shall agree on the arbitrators, or if the Parties are unable to agree the arbitrators shall be selected as provided in the AAA Commercial Arbitration Rules. The arbitrators shall not be employees,
directors or shareholders of either Party or of an Affiliate and shall be selected in accordance with AAA rules. Where applicable, the arbitrators shall be independent experts in pharmaceutical product development (including clinical development and
regulatory affairs) in the U.S., Japan and Europe. 
 (e) Hearings. The arbitrators shall conduct one or more hearings to
allow the Parties to present their positions regarding the dispute. 
 (i) Discovery. The arbitrators shall determine
what discovery will be permitted, consistent with the goal of limiting the cost and time that the Parties must expend for discovery; provided the arbitrators shall permit such discovery as they deem necessary to permit an equitable resolution of the
dispute. Any written evidence originally in a language other than English shall be submitted in English translation accompanied by the original or a true copy thereof. The arbitrators shall have sole discretion with regard to the admissibility of
any evidence. 
 (ii) Proposed Ruling. At least ten (10) business days prior to a hearing, each Party must submit
to the arbitrators and serve on the other Party a proposed ruling on each issue to be resolved. Such writings shall be limited to not more than fifty (50) pages. 
 (iii) Time; Testimony. Each Party shall be entitled to no more than five (5) days of hearing to present testimony or documentary evidence. Such time limitation shall include any direct, cross
or rebuttal testimony, but such time limitation shall only be charged against the Party conducting such direct, cross or rebuttal testimony. It shall be the responsibility of the arbitrators to determine whether the Parties have had the five
(5) days to which each is entitled. 

  
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 (iv) Representation by an Attorney. Each Party shall have the right to be
represented by counsel. 
 (v) Location. The arbitration shall take place in Philadelphia, Pennsylvania. 

(f) Costs. The costs of the arbitration, including administrative and arbitrator fees, shall be shared equally by the Parties.
Each Party shall bear its own costs and attorney and witness fees. 
 (g) Written Decision. The arbitrators shall render
a written decision with their resolution of the dispute. The decision of the arbitrators shall be final and not subject to appeal and binding on the Parties hereto. 
 (h) Remedy. A disputed performance or suspended performances pending the resolution of the arbitration must be completed within thirty (30) days following the final decision of the arbitrators
or such other reasonable period as the arbitrators determine in a written opinion. 
 (i) Final Decision Within Six
Months. Each arbitrator selected in accordance with Section 18.18(d) shall be required to acknowledge his or her intention to meet the Parties’ desire that a final decision be issued with respect to a dispute within six (6) months
from the filing of notice of a request for such arbitration. 
 (j) Equitable Relief. Notwithstanding anything in this
Section 18.18, each Party shall have the right to seek injunctive or other equitable relief from a court of competent jurisdiction that may be necessary to avoid irreparable harm, maintain the status quo or preserve the subject matter of the
arbitration. 
 (k) Intellectual Property. Disputes regarding the validity, scope or enforceability of intellectual
property rights shall not be subject to arbitration pursuant to this Section 18.18 but instead shall be submitted to a court of competent jurisdiction. 
 18.19. No Trademark Rights. Except as provided herein, no right, express or implied, is granted by this Agreement to use in any manner the name “Ambit”, “Cephalon” or any other
trade name or trademark of the other Party or its Affiliates in connection with performance of this Agreement. 
 18.20.
Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument, and may be executed through the use of facsimiles.

 18.21. Taxes. Any tax paid or required to be withheld by a party (the payor) for the benefit of the other party (the
payee) on account of payment payable under this Agreement shall be deducted from the amount of such payment otherwise due. The payor 

  
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shall secure and send to the payee proof of any such taxes withheld and paid for its benefit of and shall, at the request of payee, provide reasonable assistance to payee in recovering said
taxes. 
 IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed by their duly authorized
representatives as of the Effective Date. 
  

									
	CEPHALON, INC.	 		 	 AMBIT BIOSCIENCES
 CORPORATION

					
	By:	 	 /s/ Jeffry L. Vaught
	 		 	By:	 	 /s/ Scott Salka

					
	Name:	 	Jeffry L. Vaught, Ph.D.	 		 	Name:	 	Scott Salka
					
	Title:	 	Executive Vice President
Research & Development	 		 	Title:	 	CEO
					
	Date:	 	November 3, 2006	 		 	Date:	 	3 Nov 06

  
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 SCHEDULE A 

AMBIT 6 TARGETS 
 [...***...] 
 For clarification, it is understood that Ambit will be allowed to
optimize inhibitors against [...***...] which may also be active inhibitors of [...***...], and [...***...]. 
 For clarification, it is understood that Ambit will be allowed to optimize inhibitors of [...***...] which may also be active inhibitors of [...***...],[...***...],
and [...***...]. 

  

***Confidential Treatment Requested 

  
 -72-

 SCHEDULE B 

CEPHALON EXCLUSIVE TARGETS 
 [...***...] 

  

***Confidential Treatment Requested 

  
 -73-

 ATTACHMENT A 
 APPLICABLE PROFILING SERVICES AGREEMENT PROVISIONS 
 The Parties agree that the following
provisions of the Profiling Services Agreement shall apply with respect to Ambit’s profiling of any compounds under this Agreement, as if such terms were set forth in this Agreement: 

Sections 2.2.1, 2.3 (excluding any reference to Table 1), 2.5 (last two sentences, to be consistent with the terms of this Agreement), 2.7, 2.8, 2.9 (as
applicable), 2.10, 6.2, 6.3, 6.5, 6.6, 6.7 and 6.9, and paragraphs D of Exhibit A. 
 For the avoidance of doubt, the foregoing provisions shall
not apply to any activities under this Agreement other than the profiling activities to be performed by Ambit hereunder. 

  
 -74-Exhibit 10.24

 Exhibit 10.24 
 CONFIDENTIAL 
 ***Text Omitted and Filed
Separately 
 with the Securities and Exchange Commission. 

Confidential Treatment Requested 
 Under 17 C.F.R. Sections 200.80(b)(4) and Rule 406 of the 
 Securities Act
of 1933, as amended. 
 EXCLUSIVE LICENSE AND COLLABORATIVE RESEARCH, CO-DEVELOPMENT 

AND COMMERCIALIZATION AGREEMENT 
 by and among 
 ASTELLAS PHARMA INC. and ASTELLAS US LLC 

and 

AMBIT BIOSCIENCES CORPORATION 
 December 18, 2009 
 CONFIDENTIAL 

 CONFIDENTIAL 

TABLE OF CONTENTS 
  

									
	1	  	DEFINITIONS	  	1
			
	2	  	RESEARCH AND DEVELOPMENT	  	19
		  		  	2.1	  	Joint Steering Committee	  	19
		  		  	2.2	  	Termination of Committee Membership	  	21
		  		  	2.3	  	General Committee Provisions	  	21
		  		  	2.4	  	Appointment of Alliance Managers	  	22
		  		  	2.5	  	Regulatory Matters	  	22
		  		  	2.6	  	Research Program and Development Programs	  	25
		  		  	2.7	  	Sharing of Research Costs and Development Costs	  	29
		  		  	2.8	  	Development Outside Joint Development Territory; Commercialization Ex-U.S	  	33
		  		  	2.9	  	Safety Agreement	  	34
		  		  	2.10	  	Product Withdrawals and Recalls	  	34
		  		  	2.11	  	Clinical Trial Information	  	35
			
	3	  	LICENSE; OPTION; DEVELOPMENT AND COMMERCIALIZATION	  	35
		  		  	3.1	  	License Grant to Astellas	  	35
		  		  	3.2	  	Distributorships and Co-Promotion Rights	  	36
		  		  	3.3	  	License Grants to Ambit and Sublicensing Rights	  	37
		  		  	3.4	  	Reservation of Rights	  	37
		  		  	3.5	  	Exclusivity	  	37
		  		  	3.6	  	Commercialization and Medical Affairs Activities	  	38
		  		  	3.7	  	Subcontracts; Contract Sales Forces	  	40
		  		  	3.8	  	Co-Promotion Option	  	40
		  		  	3.9	  	Joint Commercialization Committee	  	42
			
	4	  	FEES, MILESTONES, ROYALTIES AND PROFIT SHARE	  	44
		  		  	4.1	  	License Fee	  	44
		  		  	4.2	  	Milestone Events and Payments	  	44
		  		  	4.3	  	Royalties and Sales Milestones	  	47
		  		  	4.4	  	Payment of Co-Promotion Profit Share	  	50
		  		  	4.5	  	Other Amounts Payable	  	51
		  		  	4.6	  	Audits	  	51
		  		  	4.7	  	Payment Exchange Rate	  	52
		  		  	4.8	  	Income Tax Withholding	  	53
			
	5	  	REPRESENTATIONS, WARRANTIES AND COVENANTS	  	53
		  		  	5.1	  	Mutual Representations and Warranties	  	53
		  		  	5.2	  	Representations, Warranties and Covenants of Ambit	  	54
		  		  	5.3	  	Covenants by Ambit	  	58
		  		  	5.4	  	Disclaimer	  	59
			
	6	  	CONFIDENTIALITY	  	59
		  		  	6.1	  	Restricted Information	  	59
		  		  	6.2	  	Nondisclosure and Non-Use Obligations	  	60
		  		  	6.3	  	Publication	  	61
		  		  	6.4	  	Publicity/Use of Names/Disclosure of Terms	  	62
			
	7	  	INDEMNIFICATION; INSURANCE; LIMITATION OF LIABILITY	  	63

  
 i 

 CONFIDENTIAL 

 

									
		  		  	7.1	  	Indemnification by Ambit	  	63
		  		  	7.2	  	Indemnification by Astellas	  	64
		  		  	7.3	  	Notification of Claims; Conditions to Indemnification Obligations	  	64
		  		  	7.4	  	Certain Third Party Claims	  	65
		  		  	7.5	  	Insurance	  	66
		  		  	7.6	  	Limitation of Liability	  	66
			
	8	  	INTELLECTUAL PROPERTY AND PATENT PROVISIONS	  	67
		  		  	8.1	  	Ownership	  	67
		  		  	8.2	  	Rights to Newly-Acquired IP	  	68
		  		  	8.3	  	Patent Filing, Prosecution and Maintenance	  	69
		  		  	8.4	  	Infringement Actions	  	72
		  		  	8.5	  	Patent Term Restoration	  	75
		  		  	8.6	  	Orange Book Listing	  	75
		  		  	8.7	  	Registration of Licenses	  	75
		  		  	8.8	  	Trademarks	  	76
			
	9	  	TERM AND TERMINATION	  	76
		  		  	9.1	  	Term and Expiration	  	76
		  		  	9.2	  	Termination by Astellas	  	76
		  		  	9.3	  	Termination by Either Party for Cause	  	77
		  		  	9.4	  	Termination for Corporate Events	  	79
		  		  	9.5	  	Effect of Expiration of Agreement	  	79
		  		  	9.6	  	Effect of Termination	  	79
		  		  	9.7	  	Unauthorized Sales	  	83
		  		  	9.8	  	Rights in Bankruptcy	  	83
		  		  	9.9	  	Survival	  	84
			
	10	  	MISCELLANEOUS	  	84
		  		  	10.1	  	HSR Filing	  	84
		  		  	10.2	  	Force Majeure	  	85
		  		  	10.3	  	Assignment/ Change of Control	  	85
		  		  	10.4	  	Severability	  	88
		  		  	10.5	  	Notices	  	88
		  		  	10.6	  	Applicable Law	  	89
		  		  	10.7	  	Dispute Resolution	  	89
		  		  	10.8	  	Entire Agreement	  	90
		  		  	10.9	  	Amendment	  	91
		  		  	10.10	  	Headings	  	91
		  		  	10.11	  	Construction	  	91
		  		  	10.12	  	Independent Contractors	  	91
		  		  	10.13	  	Waiver	  	91
		  		  	10.14	  	Cumulative Remedies	  	91
		  		  	10.15	  	Interpretation	  	91
		  		  	10.16	  	Further Assurance	  	92
		  		  	10.17	  	Counterparts	  	92

  
 ii 

 CONFIDENTIAL 

EXCLUSIVE LICENSE AND COLLABORATIVE RESEARCH, CO-DEVELOPMENT AND 

COMMERCIALIZATION AGREEMENT 
 This EXCLUSIVE LICENSE AND COLLABORATIVE RESEARCH, CO-DEVELOPMENT AND COMMERCIALIZATION AGREEMENT (this “Agreement”) is made effective as of December 18, 2009, (the
“Effective Date”), by and among ASTELLAS PHARMA INC., a Japanese corporation (“API”) and its indirect wholly owned subsidiary ASTELLAS US LLC, a Delaware limited liability company
(“AUS”; collectively with API, “Astellas”), and AMBIT BIOSCIENCES CORPORATION, a Delaware corporation (“Ambit”). 
 RECITALS 
 WHEREAS, Ambit is engaged in the research and development
of small molecule compounds that inhibit human kinase enzymes, and it has identified a compound known as AC220 that may be useful in treating cancer, and Ambit has obtained or filed for patents with respect to AC220 (and certain related compounds)
and their use in human therapeutic applications. 
 WHEREAS, Astellas is engaged in the research, development, marketing,
manufacture and sale of pharmaceutical products and desires to obtain an exclusive license to AC220, and certain related Ambit compounds, to develop and commercialize one or more pharmaceutical products containing such compounds for use in treating
cancer and other diseases, and Ambit is willing to grant such a license upon the terms and conditions of this Agreement. 

WHEREAS, Astellas and Ambit also desire to enter into a research collaboration to conduct further research on one or more
compounds, and to grant Ambit certain option rights to co-develop and co-promote pharmaceutical products based on Ambit’s compounds licensed hereunder, upon the terms and conditions set forth herein. 

NOW, THEREFORE, in consideration of the foregoing premises and the mutual covenants contained herein, Astellas and Ambit hereby
agree as follows: 
 AGREEMENT 
 1. DEFINITIONS 
 The following capitalized terms, whether used in the
singular or plural, shall have the meaning set forth below: 
 1.1 “AC220” means the compound having the chemical structure set
forth in Part 1 of Exhibit A. 
 1.2 “AC886” means the compound having the chemical structure set forth in Part 2 of Exhibit A.

 1.3 “Act” means the United States Federal Food, Drug and Cosmetic Act, 21 U.S.C. §§ 301 et seq. as such may be
amended from time to time. 
 1.4 “Affiliate” means, with respect to a Party (or, if applicable, an other entity), any other
entity that, directly or indirectly, controls, is controlled by or is under common control with such 

  
 1 

 CONFIDENTIAL 
 Party (or other entity). As used in this definition of “Affiliate,” the term “control” (with correlative meanings for the terms “controlled by” and “under common control
with”) means: (a) the direct or indirect ownership of fifty percent (50%) or more of the voting stock or other ownership interests with ordinary voting power, or (b) the actual ability to otherwise control the management of the
applicable entity, whether through the ownership of voting securities, by contract, or otherwise. 
 1.5 “Ambit Compound” means
(a) AC220; (b) AC886; or (c) any salt, human metabolite, human prodrug (including ester prodrugs), free-base, hydrate, solvate, polymorph, isomer or enantiomer of AC220 or AC886. 

1.6 “Ambit Follow-On Compounds” means (a) those compounds and their derivatives having the chemical structures set forth in Part 3
of Exhibit A of this Agreement, and (b) any salt, human metabolite, human prodrug (including ester prodrugs), free-base, hydrate, solvate, polymorph, isomer or enantiomer of any such compound. 

1.7 “Ambit Know-How” means all Information that (a) is Controlled by Ambit or any of its Affiliates as of the Effective Date or
during the Term, and (b) is necessary or reasonably useful for the Exploitation of any Licensed Compound or Product, but excluding all Program Know-How, Ambit Materials and any Know-How that is excluded pursuant to Section 8.2.2.

 1.8 “Ambit Licensed Patents” means: (a) the Patent Rights listed in Exhibit B of this Agreement as such exhibit may be
amended from time to time by the Parties and any Patent Rights based on any of the foregoing, (b) any other Patent Rights that at any time during the Term are owned or Controlled by Ambit or any of its Affiliates and claim or cover a Licensed
Compound or Product as a composition of matter, or the method of use of or the manufacture of a Licensed Compound or Product, and (c) any other Patent Rights that at any time during the Term are Controlled by Ambit or any of its Affiliates and
claim or cover an invention that is reasonably useful for Exploiting any Licensed Compound or Product, but excluding all Program Patents and any Patent Rights that are excluded pursuant to Section 8.2.2. 

1.9 “Ambit Materials” means: (a) any physical materials, but excluding all Licensed Compounds and Products, that
(i) are provided to Astellas by Ambit under the Research Program or any Development Program and (ii) are Controlled by Ambit or any of its Affiliates as of the Effective Date or during the Term, including materials resulting from the
Research Program developed or invented solely by employees of Ambit or other Persons not employed by Astellas or its Affiliates acting on behalf of Ambit; and (b) any Information that (i) relates directly to such physical materials, and
(ii) is Controlled by Ambit, and (iii) is provided to Astellas by Ambit under this Agreement. 
 1.10 “Ambit Program
Technology” means (a) any and all Information conceived, discovered, developed or otherwise made solely by or on behalf of Ambit or its Affiliates during the Term in connection with activities conducted under a Research Plan,
Development Plan or otherwise under this Agreement, whether or not patented or patentable, but excluding any Joint Program Technology (collectively, “Ambit Program Know-How”), and (b) all Patent Rights and other
intellectual property rights that are Controlled by Ambit or any of its Affiliates and claim or cover or otherwise are appurtenant to the Information described in clause (a) above (collectively, “Ambit Program Patents”).

  

	1.11	“Ambit Technology” means the Ambit Licensed Patents, Ambit Know-How and Ambit Materials (subject to Section 8.2). 

  
 2 

 CONFIDENTIAL 
 1.12 “AML” means Acute Myeloid Leukemia. 
 1.13 “Annual U.S.
Profit/Loss” means, with respect to a particular Co-Promoted Product during any part or full Calendar Year during the applicable Co-Promotion Term: (a) the total Net Sales from the sales of such Co-Promoted Product in the U.S. during
such year (or, as applicable, the part of such Calendar Year within the Co-Promotion Term), less (b) the amount equal to the sum of the following costs and expenses incurred in connection with and reasonably allocable to the Exploitation of
such Co-Promoted Product in or for the benefit of the United States during its Co-Promotion Term during a Calendar Year (such amounts, “Allowed Expenses”): 
 (a) Direct Marketing/Promotion Expenses; 
 (b) Indirect Marketing Expenses;

 (c) distribution/wholesaler costs in amounts reasonable and customary, and comparable to the distribution and wholesaler costs
incurred by Astellas in its distribution of its other comparable products; 
 (d) amounts paid to Third Party licensors on the
sales of Co-Promoted Products permitted to be deducted pursuant to Section 4.3.4; 
 (e) Manufacturing Costs; 

(f) Medical Affairs Costs; 
 (g) Post-Approval U.S. Development Costs; 
 (h) reasonable actual (internal and
out-of-pocket) expenses incurred by the Parties to train both Parties’ sales forces for Co-Promotion of the Co-Promoted Product; 
 (i) costs of recalls of the Co-Promoted Product in the U.S. to the extent included in Allowed Expenses pursuant to Section 2.10; 

(j) Losses from Third Party Claims to the extent included in Allowed Expenses pursuant to Section 7.4; and 

(k) costs of prosecuting Ambit Licensed Patents, and prosecuting, maintaining and enforcing trademarks, for the Co-Promoted Products in
the U.S. pursuant to Sections 8.3 and 8.8. 
 For the avoidance of doubt, “Allowed Expenses” shall exclude costs
required to build, maintain and operate either Party’s sales force and for each Party to use such sales force to fulfill its Co-Promotion obligations. 
 1.14 “Applicable Law” means all applicable laws, rules and regulations, including any rules, regulations, guidelines or other requirements of the Governmental Authorities, that are
applicable to the specific situation or circumstance and as they may be in effect at the particular time. 

  
 3 

 CONFIDENTIAL 
 1.15 “Astellas Know-How” means all Information that (a) is Controlled by Astellas or its Affiliates at any time during the Term, and (b) either (i) is incorporated in or
used by Astellas or any of its Affiliates in the Exploitation of Licensed Compound or Product, or (ii) is otherwise necessary to Ambit solely for the performance of Ambit’s obligations (but not the exercise of Ambit’s rights) under
this Agreement, but excluding all Astellas Program Know-How. 
 1.16 “Astellas Patents” means all Patent Rights
(a) that are Controlled by Astellas or its Affiliates at any time during the Term, and (b) that claim or cover Licensed Compounds or Products or their manufacture or use, and (c) in the case of any Reversion Product, solely to the
extent such Patent Rights claim or cover an invention that is incorporated or used in such Reversion Product (or its Exploitation) as it exists and is made as of the applicable date of termination of this Agreement with respect to such Reversion
Product, but excluding all Astellas Program Patents and Joint Program Patents. 
 1.17 “Astellas Program Technology”
means (a) any and all Information conceived, discovered, developed or otherwise made, solely by or on behalf of Astellas or its Affiliates during the Term in connection with activities conducted under a Research Plan, Development Plan or
otherwise under this Agreement, whether or not patented or patentable, but excluding any Joint Program Technology (collectively, “Astellas Program Know-How”), and (b) all Patent Rights and other intellectual property rights
Controlled by Astellas or any of its Affiliates that claim, cover or otherwise are appurtenant to the Information described in clause (a) above (collectively, “Astellas Program Patents”). 

1.18 “Astellas Technology” means Astellas Patents and Astellas Know-How. 
 1.19 “Business Day” means a day other than (a) a Saturday or a Sunday, (b) a bank or other public holiday in San Diego, California, or (c) a bank or other public holiday in
Tokyo, Japan. 
 1.20 “Calendar Quarter” means the respective periods of three (3) consecutive calendar months ending on
March 31, June 30, September 30 and December 31. 
 1.21 “Calendar Year” means each successive period of
twelve (12) months commencing on January 1 and ending on December 31. 
 1.22 “Change of Control” of a Party
shall be deemed to occur if any of the following occurs after the Effective Date: 
  

	 	(a)	such Party is involved in a merger, acquisition, consolidation or similar transaction (or series of related transactions) with a Third Party (whether or not the Party
is the surviving entity) pursuant to which either: 

  

	 	(i)	the members of the Supervisory Board (as defined below) of such Party immediately prior to such transaction or series of related transactions constitute less than a
majority of the members of the Supervisory Board of such Party or the surviving entity immediately following such transaction or series of related transactions, or 

 

	 	(ii)	 the beneficial owners (as determined in accordance with Section 13(d) of the Securities Exchange Act of 1934 (as amended) and Rule 13d-3 under
said Act) of all the outstanding shares of capital stock (or other similar interests, such as partnership or limited liability company interests) of such Party that are normally entitled (without

  
 4 

 CONFIDENTIAL 

 

	 	regard to any contingency) to vote in the election of members of the Party’s Supervisory Board (“Voting Stock”) immediately prior to such
transaction or series of related transactions, are not the beneficial owners immediately after such transaction of at least a majority of the Voting Stock of (A) such Party or (B) if such Party does not survive such transaction, the entity
surviving such transaction or (C) if the entity surviving such transaction is a wholly owned subsidiary, such surviving entity’s parent; 

  

	 	(b)	such Party sells, assigns or otherwise transfers control to a Third Party (in one transaction or a series of related transactions) of all or substantially all of such
Party’s assets (which must include the assets relating to this Agreement) or of all or substantially all of such Party’s assets relating to this Agreement; or 

 

	 	(c)	pursuant to one transaction or a series of related transactions, any person or group (where the terms “person”, “group” and “beneficial
owner” have the meanings given in Section 13(d) of the Securities Exchange Act of 1934 (as amended) and Rules 13d-3 and 13d-5(b)(1) under said Act); (i) becomes the beneficial owner of Voting Stock of such Party representing fifty
percent (50%) or more of the total voting power of all outstanding Voting Stock of such Party as of just after such transaction (other than pursuant to a new issuance of Voting Stock by the Party in connection with a bona fide equity
financing in the form of a public offering made to the general public or a private financing in which no person that is not primarily a financial investor becomes the beneficial owner of fifty percent (50%) or more of the total voting power of
all outstanding Voting Stock of such Party), or (ii) acquires the actual power and ability (direct or indirect) to elect a majority of the members of the Party’s Supervisory Board (other than as a result of an equity financing as provided
in subclause (i) above). 

 The “Supervisory Board” (as used in this Section) of a Party means the
board of directors of such Party, or (if there is no such board of directors of such Party) the similar supervisory body or group with the legal authority to appoint the management of the Party and control its business. 

1.23 “Clinical Trial Authorization” means all approvals, licenses, registrations or authorizations from the relevant Regulatory
Authority necessary to conduct a human clinical trial on a Product in a country, such as authorization from the Regulatory Authority under the IND filed in the country with respect to such Product (including authorization deemed to exist under
Applicable Law due to passage of the necessary amount of time from filing of the IND).  
 1.24 “Clinical Trial”
means a human clinical study of a Product involving the dispensing, administration or delivery of Product to patients or subjects. 
 1.25
“Combination Product” means a Product that combines a Licensed Compound with one or more other clinically and pharmacologically active ingredients (which term excludes, for clarity, excipients, controlled-release compositions,
materials to increase bioavailability, solubility, and/or stability, and delivery means) in a single formulation or final package presentation for sale as a single unit. 
 1.26 “Commercially Reasonable Efforts” means, with respect to the efforts to be expended by a Party to accomplish a particular objective or to conduct specific research, development or
commercialization tasks with respect to a Product, the efforts as are substantially equivalent to those efforts and resources commonly used by such Party for accomplishing such objective or 

  
 5 

 CONFIDENTIAL 
 performing such tasks with respect to a comparable product that is at a similar stage of development or commercialization, taking into account all commercially relevant factors, including (as applicable)
reasonably expected or actual time and cost to develop, product life, market potential, profitability and rate of return, likelihood of regulatory approval and regulatory issues, pricing, reimbursement and formulary status, competitiveness and
market exclusivity and other similar commercially relevant factors (if any). Notwithstanding the foregoing, “Commercially Reasonable Efforts” shall not require the performance of any task or activity in any country or region which task or
activity would not be commercially reasonable for the Party to perform, given the applicable circumstances at the time. Commercially Reasonable Efforts shall (i) be determined on a market-by-market basis for a particular Product, and it is
anticipated that the level of effort will be different for different markets, and will change over time, reflecting changes in the status of the Product and the market(s) involved, and (ii) permit the consideration of the reasonably expected or
actual impact of activities or factors with respect to one market on other markets. For the avoidance of doubt, it shall be consistent with the obligations of a Party under this Agreement to use “Commercially Reasonable Efforts”, with
respect to any particular Licensed Compound or Product, for such Party either (a) not to conduct specific efforts or to delay conducting specific efforts, or (b) to suspend or discontinue specific efforts, with respect to the Licensed
Compound or Product, provided that such Party’s actions and efforts with respect to the Licensed Compound or Product are in the aggregate consistent with the overall obligations of such Party under the Agreement to use Commercially
Reasonable Efforts with respect to such Licensed Compound or Product. 
 1.27 “Committee” means the Joint Steering Committee or
Joint Commercialization Committee, or any other subcommittee established under Section 2.3.1, as applicable. 
  

	1.28	“Competing Product” means [...***...]. 

 1.29 “Competitive Indication” means, with respect to any pharmaceutical product, any indication for which a Product is being clinically developed pursuant to any Development Plan or for
which a Product has been labeled by Regulatory Authorities for use anywhere in the Territory. 
 1.30 “Confidential
Information” means, with respect to a Party, all Information that either (x) such Party or its Affiliates disclose to the other Party or its Affiliates pursuant to this Agreement, or (y) that such Party or its Affiliates disclosed
to the other Party pursuant to the Non-Disclosure Agreement entered into by API and Ambit [...***...], whether disclosed orally, visually, in writing or in any tangible or electronic form or media. Confidential Information may, but will
not necessarily, be marked “CONFIDENTIAL” or the equivalent. For clarity, the Ambit Know-How, the Ambit Program Know-How and Ambit Materials are the Confidential Information of Ambit and the Astellas Know-How and the Astellas Program
Know-How are the Confidential Information of Astellas. The Joint Program Know-How shall be deemed the Confidential Information of both 

  

***Confidential Treatment Requested 

  
 6 

 CONFIDENTIAL 
 Parties. However, specific Information shall not be considered Confidential Information to the extent that the Party receiving such Information can demonstrate that such Information: 

(a) Is publicly disclosed or in the public domain, through no fault of the receiving Party or its Affiliates, either before or after it
becomes known to the receiving Party or its Affiliates; or 
 (b) Except in the case of Joint Program Know-How, was known to the
receiving Party or its Affiliates prior to disclosure by the disclosing Party, which knowledge was acquired independently and not from the disclosing Party or its Affiliates hereto, as evidenced by the written records of the receiving Party or its
Affiliates; or 
 (c) Is subsequently disclosed to the receiving Party in good faith by a Third Party who has a right to make
such disclosure; or 
 (d) Except in the case of Joint Program Know-How, was developed by receiving Party or its Affiliates
independently of and without access to the disclosing Party’s and its Affiliates’ Confidential Information, as evidenced by the receiving Party’s or its Affiliate’s written records. 

1.31 “Controlled” means, with respect to any item of Information or intellectual property right, that the applicable Party or its
Affiliates own or has a license to such Information or intellectual property right and has the ability to grant access to, and a license or sublicense (as applicable) under, such item or right, in each case without violating the terms of a written
agreement with a Third Party. 
 1.32 “Co-Promote” or “Co-Promotion” means use of the respective sales forces
of the Parties or their Affiliates to promote, following exercise of the Co-Promotion Option by Ambit, a Co-Promoted Product in the U.S., where “promote” means the process of direct contact between the respective sales forces and medical
professionals (as further defined in the applicable Co-Promotion Agreement) who are able to purchase or influence the purchase of the Co-Promoted Product, in accordance with and as further defined in Exhibit D and the Co-Promotion Agreement.

 1.33 “Co-Promoted Product” means a Product for which Ambit has exercised the Co-Promotion Option, as provided in
Section 3.8, provided that such Product shall constitute a Co-Promoted Product solely with respect to Exploitation in the U.S. during the applicable Co-Promotion Term. 
 1.34 “Co-Promotion Plan” means, for a particular Co-Promoted Product and in a particular period, the specific written plan, created by the JCC, that sets forth (a) the specific
Co-Promotion activities to be conducted by each of the Parties in order to promote such Co-Promoted Product in the U.S. during such period, (b) a budget and timelines (including Gantt charts) for such Co-Promotion activities during such period,
including for sales force training, and for Medical Affairs Activities, and (c) a budget for the Direct Marketing/Promotion Expenses and Indirect Marketing Expenses anticipated to be incurred by or on behalf of Astellas or its Affiliates in
connection with such Co-Promoted Product during such period. For clarity, the budgets included in such plan shall not include the costs for each Party to build, maintain and operate its respective sales force or to use such sales force to fulfill
its Co-Promotion obligations. 

  
 7 

 CONFIDENTIAL 
 1.35 “Co-Promotion Option” means, with respect to a particular Product, the option of Ambit to engage in Co-Promotion of such Product as granted under the terms in Section 3.8.1.

 1.36 “Co-Promotion Term” means, with respect to a particular Co-Promoted Product, the period commencing on the date on which
Ambit exercises its Co-Promotion Option with respect to such Product pursuant to Section 3.8 and ending on the last date on which Ambit is eligible to Co-Promote such Product under this Agreement or the applicable Co-Promotion Agreement (which
date, in applicable circumstances, will be the effective date of an event of termination of such Co-Promotion rights under the applicable Co-Promotion Agreement). 
 1.37 “Development Program” means, with respect to a particular Product (and the Licensed Compound contained therein), all development activities (including non-clinical studies and
Clinical Trials and regulatory activities) conducted by the Parties in support of (a) obtaining, maintaining or expanding Regulatory Approval of a Product for one or more indications in the Joint Development Territory, and/or
(b) commercialization or Medical Affairs Activities of or for such Product in the Joint Development Territory. The Development Program shall include research, clinical development (including Phase IV Clinical Trials, pharmacovigilance programs
and outcome studies), manufacturing process development, and regulatory and registration activities, all as required for or directly in support of the foregoing activities for the benefit of any country in the Joint Development Territory. For
clarity, the Development Program commences (i) in the case of the Lead Product, on the Effective Date, and (ii) in the case of any other Product, on the date that such Product becomes the subject of an IND, and continues in each case ((i)
and (ii)) through Regulatory Approval and commercialization of such Product (or termination of all development activities with respect to such Product). 
 1.38 “Development Plan” means, with respect to a particular Product (and the Licensed Compound contained therein), the specific written development plan developed and agreed to by the JSC
that establishes the tasks to be conducted under the Development Program for such Product in or for the benefit of any country in the Joint Development Territory. Each Development Plan shall set forth all the specific development activities to be
conducted by the Parties in the Development Program for such Product, shall allocate such activities between the Parties, and shall include the specific budget and timeline (including Gantt charts) for such program of activities. 

1.39 “Direct Marketing/Promotion Expenses” means, with respect to a particular Co-Promoted Product, the following costs incurred by
Astellas or its Affiliates in the marketing and promotion of such Co-Promoted Product in the U.S. during a particular period in accordance with the applicable Co-Promotion Plan and budget for such Co-Promoted Product: (a) the actual cost (on a
full-time equivalent basis) of the personnel in Astellas’s or its Affiliates’ U.S. operation serving on the marketing team for the Co-Promoted Product, and the allocated cost of personnel who spend time assigned to the Co-Promoted Product
in support areas such as market research, managed care, contracting, pricing and product hotlines, (b) the actual cost associated with market development activities and other similar pre-launch activities for Co-Promoted Product in the U.S.,
and (c) the actual cost of advertising, market research, promotional materials, promotional programs, scientific programs and manufacturing of samples for Co-Promoted Product. For the avoidance of doubt, Direct Marketing/Promotion Expenses
shall not include costs required to build, maintain and operate a Party’s sales force and/or to fulfill its Co-Promotion obligations or sales force training expenses. 
 1.40 “EMEA” means the European Medicines Agency, or (if applicable) the European governmental agency that is successor thereto. 

  
 8 

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 1.41 “European Union” or “EU” means the countries that are members of the European Union as of the applicable time during the Term. 

1.42 “Executive Officer” means (a) in the case of Astellas, a senior executive of Astellas or any of its Affiliates, which senior
executive reports to the chief executive officer of Astellas and is not a member of the JSC and is specifically designated by Astellas to perform the duties of an Astellas “Executive Officer” under this Agreement; and (b) in the case
of Ambit, Ambit’s chief executive officer (who shall not be a member of the JSC). 
 1.43 “Exploit” means, solely with
regard to a Product or Licensed Compound, to make, have made, import, use, sell, or offer for sale, including to research, develop, register, modify, enhance, improve, manufacture, have manufactured, hold/keep (whether for disposal or otherwise),
formulate, optimize, have used, export, transport, distribute, promote, market or have sold or otherwise dispose or offer to dispose of, a Product or Licensed Compound. “Exploitation” means the act of Exploiting. 

1.44 “FDA” means the United States Food and Drug Administration or its successor. 

1.45 “Field” means [...***...]. 
 1.46 “First Commercial Sale” means, with respect to a particular Product in a country, the first sale for end use or consumption of such Product in the country after a Regulatory Approval
for such Product has been obtained or granted in such country. 
 1.47 “GAAP” means generally accepted accounting principles in
the United States for the purpose of Section 1.57 or in each other country in the Territory for the purpose of Section 1.73. 

1.48 “Generic Version” means, with respect to a Product being sold in a country, a pharmaceutical product that: (a) contains as the
active ingredient the Licensed Compound in such Product (or any salt, hydrate, solvate or ester of such Licensed Compound), and (b) is authorized for sale and use in the country on the basis of a marketing authorization that relies, in whole or
in part, on safety and efficacy data in the NDA submitted to obtain Regulatory Approval for such Product in the country, without a right of reference or other authorization from Astellas or any of its Related Parties, such marketing authorization
being: (i) in the U.S. pursuant to Section 505(b)(2) or Section 505(j) of the Act, as amended (21 U.S.C. 355(b)(2) and 21 U.S.C. 355(j), respectively), (ii) in the EU pursuant to a provision of Articles 10(1), 10(2), 10(3), 10(4)
or 10a of Directive 2001/83/EC of the European Parliament and of the Council of 6 November 2001 on the Community code relating to medicinal products for human use, each as amended (including an application under Article 6.1 of Parliament and
Council Regulation (EC) No 726/2004 that relies for its content on any such provision), and (iii) in any other country or jurisdiction pursuant to Applicable Law that is equivalent to such provisions, but excluding for clarity any
“authorized generic” that is authorized or permitted by Astellas or a Related Party. 
 1.49 “Go/No Go Decision”
means [...***...]. 

  

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 1.50 “Good Laboratory Practices” or “GLPs” means the good laboratory practices applicable from time to time to the development of pharmaceutical products pursuant to Applicable
Law. 
 1.51 “Governmental Authority” means any multi-national, federal, state, local, municipal or other government or
quasi-government authority of any nature (including any governmental division, subdivision, department, agency, bureau, branch, office, commission, council, court or other tribunal). 
 1.52 “IND” means an Investigational New Drug application, clinical study application, Clinical Trial Authorization or exemption, or similar application or submission for approval to
conduct human clinical investigations on a Product, that is filed with or submitted to a Regulatory Authority in conformance with the requirements of such Regulatory Authority. 
 1.53 “Indemnified Persons” means the Ambit Indemnified Parties or the Astellas Indemnified Parties, as applicable. 
 1.54 “IND-Enabling GLP Toxicology Studies” means, as applicable, [...***...], that meet the standard necessary for submission as part of an IND filing with a Regulatory
Authority. 
 1.55 “Independent Development Data” means all research and clinical data and other development data made, created
or generated pursuant to the development of Product by or on behalf of Astellas or its Related Party other than pursuant to a Research Program or Development Program. 
 1.56 “Indication” means a separate and distinct disease or medical condition in humans that a Product is intended to treat, cure or prevent. The Parties agree that: (a) prevention of
a disease or medical condition shall not be a separate Indication from treatment of the same disease or medical condition; and (b) the treatment and prevention of separate stages or forms of the same disease or medical condition shall not be a
separate Indication. 
 1.57 “Indirect Marketing Expenses” means, with respect to a particular Co-Promoted Product during its
Co-Promotion Term during a Calendar Year, an allocated share as agreed by the Parties (which agreement shall not be unreasonably withheld or delayed) of all actual indirect marketing, promotion and marketing operational expenses incurred by Astellas
or its Affiliates for their marketing of all its products, including such Co-Promoted Product, in the U.S. during such year, to the extent such expenses are reasonably allocable to such U.S. marketing of such Co-Promoted Product by Astellas or its
Affiliates (and not, for example, more properly allocated to other activities not related directly to such U.S. marketing of the Co-Promoted Product) and are consistent with the budget for such indirect expenses in the Co-Promotion Plan for such
Co-Promoted Product, but excluding for clarity any costs that are, or are allocated to, Direct Marketing/Promotion Expenses or Medical Affairs Costs. Examples of Indirect Marketing Expenses include costs directly incurred for order management
center, sample fulfillment costs (other than manufacturing), indirect managed care support, e-business strategies and solutions, office of legal, public affairs and finance, all solely to the extent such costs are incurred with respect to activities
directly involving marketing of Co-Promoted Product in the U.S. and are appropriate to allocate to the total marketing costs of such marketing efforts, 

  

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 calculated in accordance with GAAP and Astellas’s then-current standard cost methodology that is applied consistently to pharmaceutical products sold by Astellas in the U.S. 

1.58 “Information” means all technical, scientific, business and other know-how and information, inventions, trade secrets, knowledge,
technology, means, methods, processes, practices, formulae, instructions, skills, techniques, procedures, experiences, ideas, technical assistance, designs, drawings, apparatuses, specifications, data, results, laboratory notes and notebooks, and
other material, including: high-throughput screening, gene expression, genomics, proteomics and other drug discovery and development technology; formulation; biological, chemical, pharmacological, toxicological, pharmaceutical, physical and
analytical, pre-clinical, clinical, safety, manufacturing and quality control data and information, including study designs and protocols; assays and biological methodology; manufacturing and quality control procedures and data, including test
procedures; and synthesis, purification and isolation techniques, (whether or not confidential, proprietary, patented or patentable) in written, electronic or any other form now known or hereafter developed, and any compounds, products, apparatuses,
cultures, biological materials and other materials and compositions, but excluding in each case the Regulatory Materials and Regulatory Approvals. 
 1.59 “Initiation” means, with respect to a Clinical Trial, the administration of the first dose (whether active or placebo) to the first patient or subject in such Clinical Trial.

 1.60 “Joint Commercialization Committee” or “JCC” means the Joint Commercialization Committee formed by the
Parties, as described in Section 3.9, promptly but not less than fifteen (15) Business Days after Ambit has first exercised the Co-Promotion Option. 
 1.61 “Joint Development Territory” means [...***...]. 
 1.62
“Joint Program Technology” means any and all (a) Information that is jointly conceived, discovered, developed or otherwise made by or on behalf of (i) Ambit or its Affiliates, on the one hand, and (ii) Astellas or its
Affiliates, on the other hand, in connection with work conducted under or in connection with this Agreement, whether or not patented or patentable (collectively, “Joint Program Know-How”), and (b) any and all Patent Rights and
other intellectual property rights owned jointly by Astellas or its Affiliates on the one hand and Ambit or its Affiliates on the other hand claiming, covering or otherwise appurtenant to the Information described in clause (a) above
(collectively, “Joint Program Patents”). 
 1.63 “Knowledge” means facts and information that are known, or
reasonably should be known, by: (a) the corporate officers of Ambit or its Affiliates, and (b) the Ambit employees who report directly to such officers (excluding for clarity any administrative assistants of such employees). 

1.64 “Lead Product” means the Product containing AC220 being developed by Ambit as of the Effective Date as the candidate for initial
approval of an NDA, together with any modifications thereto that may be approved pursuant to Article 2. 
 1.65 “Licensed
Compound” means any Ambit Compound or Ambit Follow-On Compound. 
 1.66 “Major EU Country” means any one of the
following countries: [...***...]. 

  

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 1.67 “Medical Affairs Activities” means activities designed to ensure or improve appropriate medical use of, conduct medical education of, or further research regarding, a Product sold in
the Territory, including by way of example: (a) customary activities of medical science liaisons; (b) grants to support continuing medical education, symposia, or Third Party research related to a Product in the Territory;
(c) development, publication and dissemination of publications relating to a Product in the Territory; (d) medical information services provided in response to inquiries communicated via sales representatives or received by letter, phone
call or email; (e) conducting advisory board meetings or other consultant programs; and (f) establishment and implementation of risk, evaluation and mitigation and strategies (REMS); provided that, for purposes of cost allocation
provisions under this Agreement, Medical Affairs Activities shall not include the conduct of Clinical Trials. 
 1.68 “Medical Affairs
Costs” means all reasonable costs incurred by Astellas or its Affiliates in connection with and reasonably allocable to Medical Affairs Activities for any Co-Promoted Product in the U.S., whether prior to or after receipt of Regulatory
Approvals, such allocation to be consistent with the allocation Astellas uses to allocate such costs to other Astellas products. 
 1.69
“NDA” means a New Drug Application covering a Product filed with the FDA pursuant to Section 505(b)(1) of the Act, or any similar application or submission seeking Regulatory Approval of a Product filed with the applicable
Regulatory Authority in another country or region, to obtain Regulatory Approval for the Product, together with any amendments thereto. 

1.70 “NDA Approval” means approval by the FDA of an NDA filed in the U.S. 
 1.71 “NDA Filing” means the acceptance of an NDA for initial review by the applicable Regulatory Authority: (a) in the U.S., (b) as a centralized filing with the EMEA, or
(c) in Japan, as applicable; provided in each case that such acceptance shall be deemed to have occurred (if it has not occurred already) ninety (90) days following submission of such NDA with the applicable Regulatory Authority
unless such Regulatory Authority provides any comments to such submission or otherwise indicates in writing that such filing has not been accepted, in which event, such acceptance shall not be deemed to have occurred until such comments or
objections have been addressed to the satisfaction of the Regulatory Authority. 
 1.72 “NDA Submission” means the submission
of an NDA to the applicable Regulatory Authority: (a) in the U.S., (b) as a centralized filing with the EMEA, or (c) in Japan, as applicable; provided in each case that such submission shall be deemed to have occurred when all
required components of the NDA have been filed with the Regulatory Authority by (or on behalf of) the filing party. 
 1.73 “Net
Sales” means the gross amount invoiced or otherwise charged for the sale (or other commercial disposition) of a Product by Astellas or its Related Parties to a Third Party purchaser (including a Distributor) in an arms-length transaction
after deducting, if not previously deducted, from the amount invoiced (or, if not invoiced, received), the following to the extent actually incurred or allowed with respect to such sale: 

(a) trade and/or quantity discounts off of the invoiced price actually granted, but excluding early payment cash discounts; 

(b) chargebacks in connection with the sale of such Product; 

  
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(c) rebates, reimbursements, fees or similar payments in customary amounts (i) to wholesalers and other distributors, buying groups,
health care insurance carriers, pharmacy benefit management companies, health maintenance organizations, governmental authorities, or other institutions or health care organizations or other customers or (ii) arising in connection with any
program applicable to a Product under which Astellas or its Related Parties provides to low income, uninsured or other patients the opportunity to purchase such party’s pharmaceutical products at discounted prices; 

(d) retroactive price reductions; 
 (e) allowances or credits to customers actually given, and not in excess of the selling price of such Product, on account of rejection, outdating, recalls or return of such Product; 

(f) excise taxes, sales taxes, customs duties, customs levies and import fees imposed on the sale, importation, use or distribution of the
Products, to the extent included and separately stated in the invoice; 
 (g) any other similar, customary deductions that are
consistent with GAAP and Astellas’s (or its Related Party’s) actual practice at the time in calculating and reporting its actual product net sales throughout its businesses (in the particular country, if applicable), provided that
no item shall be deducted pursuant to this clause (g) if included in any another deduction provided for under this definition; and 
 (h) as an allowance for transportation costs, distribution expenses, special packaging and related insurance charges, and early payment cash discounts, [...***...] of the gross amount
invoiced or otherwise charged for the sale of such Product. 
 Net Sales will be calculated on an accrual basis, in a manner
consistent with Astellas’s or its Related Parties’ internal accounting policies, as consistently applied, as adjusted for any of items (a) to (h) above not taken into account in such policies. To the extent any accrued amounts
used in the calculation of Net Sales are estimates, such estimates shall be trued-up in accordance with Astellas’s or its Related Parties’ internal accounting policies, as consistently applied, and Net Sales and related payments under this
Agreement shall be reconciled as appropriate. Net Sales shall be deemed to include all consideration (whether consisting of cash or any other forms of consideration) received by Astellas or its Related Party for the sale (or other commercial
disposition) of Product, even if not reflected in an invoice. 
 To the extent that Astellas or its Related Party provides to the
purchasing Person discounts or allowances that are applicable to purchases of Product and one or more other products (such as in a “bundled sale” arrangement), such discounts and allowances shall be allocated between the Product (for
purposes of the deductions used in calculating Net Sales as above) and such other products in a commercially reasonable manner that does not unfairly or inappropriately bias the level of discounting against the Product (as compared to the other
products), such allocation to be determined in good faith by Astellas or its Related Party. 
 If a Combination Product is
developed and commercialized, the Net Sales to be used for the calculation and payment of royalties, royalty tiers, annual sales milestones and payments of Annual U.S. Profit/Loss, as applicable, shall be an adjusted “Net Sales”

  

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figure determined by applying the following formula to the actual “Net Sales” resulting from the sales of such Combination
Product calculated using the above definition. 
 For purposes of calculating the amount of Net Sales generated upon sales of the
Combination Product (for purposes of calculating royalties, royalty tiers, annual sales milestones, Annual U.S. Profit/Loss, and other applicable payment calculations with respect to such Combination Product), the Parties shall use the following
formula: 
  

									
	A/(A +B)	 	x	 	Net Sales of Combination Product (as calculated using the above definition)	 	=	 	adjusted Net Sales

 Where: 
  

	 	(i)	“A” equals the Standard Sales Price (as defined below) of the Product of the same strength as contained in the Combination Product, where such Product is sold
separately (i.e., not as part of a Combination Product) in the applicable country of sale and during the applicable time period; 

  

	 	(ii)	“B” equals the Standard Sales Price(s) of the other clinically active ingredients in the Combination Product, at the same strength(s) as contained in the
Combination Product, where such other ingredient(s) are sold separately (i.e., not as part of a Combination Product) in the applicable country of sale and during the applicable time period; and 

 

	 	(iii)	“Standard Sales Price” shall mean, with respect to a product and a country, the wholesale acquisition cost (in the case of product sold in the United States)
or the ex-manufacturing price (in the case of product sold outside the United States), as such terms are commonly understood in the pharmaceutical industry, for such product in such country, where such price is the price at which product is sold to
wholesalers or other direct customers in such country before giving effect to any prompt payment or other discounts, allowances or rebates, and reflects the average of such prices over the applicable period. 

In the event that the calculation of Net Sales of a Combination Product is reduced by virtue of the formula set forth above, then any
Third Party royalty or other payment obligation based on any other clinically active ingredient (i.e., that is not a Licensed Compound) shall be excluded from the royalty offset of Section 4.3.4 for the purpose of calculating royalties in
accordance with this Agreement and/or the computation of Annual U.S. Profit/Loss in accordance with Section 4.4. 
 1.74
“Non-oncology Indication” means any Indication in humans other than an Oncology Indication. For clarity, treatment of separate stages or forms of the same Non-oncology Indication would not be separate Non-oncology Indications.

 1.75 “Oncology Indication” means an Indication for cancer in humans, [...***...]. For clarity, treatment of
separate stages or forms of the same cancer would not be separate Oncology Indications. 

  

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 1.76 “Party” means Astellas and Ambit, individually, and “Parties” means Astellas and Ambit, collectively. 
 1.77 “Patent Rights” means issued patents and patent applications, including provisional applications, in the Territory (which shall include certificates of invention and applications for
certificates of invention) and including any divisions, continuations, continuations-in-part, reissues, reexaminations, registrations, renewals, substitutions, and supplementary protection certificates based thereon and other governmental actions
that extend any of the patents and patent applications, and any and all equivalents, U.S. and foreign, to any of the foregoing. 
 1.78
“Person” means any individual, sole proprietorship, corporation, joint venture, limited liability company, partnership, limited partnership, limited liability partnership, trust or any other private, public or governmental entity.

 1.79 “Phase III Clinical Trial” means a Clinical Trial in any country that would satisfy the requirements of 21 CFR
312.21(c) or its foreign equivalent. 
 1.80 “Phase IV Clinical Trial” means a Clinical Trial conducted after Regulatory
Approval of the applicable Product has been obtained from an appropriate Regulatory Authority as a condition to, or for the maintenance of, any Regulatory Approval, including a trial that would satisfy the requirements of 21 C.F.R. 312.85, as may be
amended, or the foreign equivalent thereof. 
 1.81 “Post-Approval U.S. Development Costs” means, with respect to a particular
Co-Promoted Product, the Development Costs incurred by or on behalf of either Party or its Affiliates, after the first NDA Approval in the U.S. of such Co-Promoted Product, in conducting (or having conducted on its behalf) development activities
pursuant to the applicable Development Plan, including Clinical Trials (whether initiated before or commencing after the first NDA Approval of such Co-Promoted Product), to the extent necessary or economically justifiable for Exploiting the
Co-Promoted Product in the U.S. (which may include Phase III Clinical Trials, Phase IV Clinical Trials, pharmacovigilance programs and outcome studies). 
 1.82 “Product” means any pharmaceutical or over-the-counter preparation containing a Licensed Compound in any formulation and/or dosage form. For clarity, any Combination Product is a
“Product” for all purposes of this Agreement. 
 1.83 “Program” means the Research Program or a Development Program,
as applicable. 
 1.84 “Program Development Data” means all research and clinical data and other development data made, created
or generated by either Party or their respective Affiliates pursuant to a Development Program or the Research Program. 
 1.85 “Program
Know-How” means the Ambit Program Know-How, Astellas Program Know-How or Joint Program Know-How, as applicable. 
 1.86
“Program Patents” means the Ambit Program Patents, Astellas Program Patents or Joint Program Patents, as applicable. 
 1.87
“Program Technology” means the Ambit Program Technology, Astellas Program Technology, or Joint Program Technology, as applicable. 

  
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 1.88 “Prosecute” or “Prosecution” means to prepare, file and prosecute patent applications with respect to, and to conduct all reissue proceedings, oppositions and
re-examinations and other related or similar proceedings relating to, and to maintain, the applicable Patent Rights. 
 1.89 “Regulatory
Approval” means the receipt of all approvals (such as approval of an NDA), licenses, registrations or authorizations from the relevant Regulatory Authority(ies) in a country (or regulatory jurisdiction) necessary to import for sale, market
or sell a Product for an Indication in the country (or jurisdiction), including all applicable pricing and governmental reimbursement approvals to the extent legally required to sell Product in the country or jurisdiction. 

1.90 “Regulatory Authority” means any applicable government or quasi-government regulatory authority involved in granting approvals for
investigational clinical trials, the manufacturing, marketing, selling, reimbursement and/or pricing of a Product in the Territory, including, in the U.S., the FDA and, in other countries, any Governmental Authority having substantially the same
function. 
 1.91 “Regulatory Materials” means all regulatory applications, submissions, notifications, registrations,
licenses, authorizations and approvals, all correspondence submitted to or received from Regulatory Authorities (including minutes and official contact reports relating to any communications with any Regulatory Authority), and all supporting
documents, relating to any Licensed Compounds or Products, including all data contained in any of the foregoing and all INDs, Clinical Trial Authorizations, Regulatory Approvals, regulatory drug lists, adverse event files and complaint files.

 1.92 “Related Party” means each of Astellas, its Affiliates, and their respective Sublicensees (other than Ambit and its
Affiliates). 
 1.93 “Research Plan” means the detailed plan of the activities to be conducted by Ambit or any of its
Affiliates or Astellas or any of its Affiliates under the Research Program, including a budget and timeline (including Gantt charts with respect to such activities), as agreed to by the JSC pursuant to Section 2.6.2(a). 

1.94 “Research Program” means the research and preclinical development tasks and activities that are undertaken by Ambit or its
Affiliates or Astellas or its Affiliates under this Agreement in accordance with and pursuant to the Research Plan. 
 1.95 “Research
Term” means the term of the Research Program, which term commences on the date of adoption of the Research Plan pursuant to Section 2.6.2(a) and continues until [...***...] (or such earlier date as established in the
Research Plan), provided that if the Research Program is ongoing at the end of the then-current term, the Research Term shall automatically renew and extend for an additional [...***...], unless a Party has given written notice
terminating such extension at least [...***...] prior to the end of the then-current Research Term. 
 1.96 “Reversion
Product” means, with respect to any Terminated Country(ies), any Terminated Product that (a) is or has been the subject of development or commercialization under this Agreement and (b) either (i) contains a Licensed Compound
as the sole active ingredient, or (ii) contains as its sole active ingredients a Licensed Compound and one or more generic active ingredients. 

  

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 1.97 “Royalty Bearing Territory” means all countries and jurisdictions in the Territory; provided, however, that in the event that Ambit exercises the Co-Promotion Option pursuant
to Section 3.8 with respect to a Product, the U.S. is excluded from the Royalty Bearing Territory with respect to such Co-Promoted Product during the applicable Co-Promotion Term. 
 1.98 “Royalty Term” means, with respect to a particular Product being sold in a country (on a country-by-country basis), the period from the First Commercial Sale of such Product in the
country until the last to occur of: (a) [...***...], or (b) [...***...] from the date of First Commercial Sale of such Product in such country (or, if such country is in the EU, the First Commercial Sale of such
Product in the EU), or (c) [...***...]. 
 1.99 “Screening Activities” means [...***...].

 1.100 “Sublicensee” means any sublicensee of Astellas’s license rights hereunder permitted pursuant to
Section 3.1.2. 
 1.101 “Territory” means all of the countries in the world, and their territories and possessions.

 1.102 “Third Party” means a Person other than Astellas and its Affiliates, and Ambit and its Affiliates. 

1.103 “United States” or “U.S.” means the United States of America, and its territories and possessions. 

1.104 “Valid Patent Claim” means, with respect to a particular Product and/or the Licensed Compound contained therein, in a specific
country or jurisdiction, a claim of an issued and unexpired patent or a pending patent application included within the Ambit Licensed Patents or Program Patents (other than Astellas Program Patents) in such country or jurisdiction that claims such
Licensed Compound or Product as a composition of matter or a method of use of such Product or Licensed Compound for one or more indications for which Regulatory Approval has been received in such country. No claim shall be deemed to be a Valid
Patent Claim that: (a) has expired, (b) has been held permanently revoked, unenforceable, or invalid by a decision of a court or other governmental agency of competent jurisdiction, which decision is unappealable or unappealed within the
time allowed for appeal, (c) has been abandoned, disclaimed, finally determined to be unallowable or admitted to be invalid or unenforceable through reissue or disclaimer or otherwise, or (d) is included in a pending application that has
not been granted within [...***...] following the priority date for such claim. 
 1.105 Additional Definitions. Each of the
following definitions shall have the meaning defined in the corresponding sections of this Agreement indicated below: 
  

											
	 Definitions
	  	 Section
	 	  	 Definitions
	  	 Section
	 
	 AAA
	  	 	10.7.3	  	  	Effective Date	  	 	Preamble	  
	 Acquiring Party
	  	 	10.3.4	  	  	Excluded Dispute	  	 	10.7.6	  

  

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	 Adverse Safety/Tox Results
	  	 	9.2.2	  	  	Exclusivity Period	  	 	3.5.1	  
	 Agreement
	  	 	Preamble	  	  	Field Infringement	  	 	8.4.1(b)	  
	 Alleged Infringement
	  	 	8.4.2(a)	  	  	FTE	  	 	2.7.2(c)(i)(B)	  
	 Alliance Manager
	  	 	2.4	  	  	FTE Rate	  	 	2.7.2(d)	  
	 Allowed Expenses
	  	 	1.13	  	  	Joint Steering Committee	  	 	2.1.1	  
	 Ambit
	  	 	Preamble	  	  	Lead Prosecuting Party	  	 	8.3.2	  
	 Ambit Indemnified Parties
	  	 	7.2	  	  	Losses	  	 	7.1	  
	 API
	  	 	Preamble	  	  	Milestone Event	  	 	4.2	  
	 Astellas
	  	 	Preamble	  	  	Manufacturing Costs	  	 	Exhibit G	  
	 Astellas Indemnified Parties
	  	 	7.1	  	  	Material Regulatory Submissions	  	 	2.5.2(b)	  
	 Astellas Withholding Tax Action
	  	 	4.8.4	  	  	Newly-Acquired IP Rights	  	 	8.2.1	  
	 AUS
	  	 	Preamble	  	  	Obligated Party	  	 	6.2.2	  
	 Bankruptcy Code
	  	 	9.4	  	  	Proposed Expense Dispute	  	 	3.9.4	  
	 Change of Control Competing Product
	  	 	3.5.2	  	  	Relevant Agreement	  	 	5.2.1(b)	  
	 Collaboration Program Activities
	  	 	7.4	  	  	Relevant Third Party	  	 	5.2.1(b)	  
	 Collaboration Program Damages
	  	 	7.4	  	  	Required Exercise Date	  	 	3.8.2	  
	 Combination Therapy
	  	 	4.2.1	  	  	Research Costs	  	 	2.7.2(a)	  
	 Conferral Period
	  	 	2.7.1(b)	  	  	Restricted Information	  	 	6.1	  
	 Co-Promotion Agreement
	  	 	3.8.2	  	  	Selected IP and Materials	  	 	5.2.1	  
	 Co-Promotion Payment
	  	 	4.4.2	  	  	Shared Cost Patents	  	 	8.3.1(c)	  
	 Counterparty
	  	 	3.5.2	  	  	Subject Party	  	 	3.5.2	  
	 Counterparty Affiliate
	  	 	3.5.2	  	  	Supervisory Board	  	 	1.22	  
	 Decision Notice
	  	 	2.1.4	  	  	Supporting Documents	  	 	9.6.1(f)(ii)	  
	 Declined Activity
	  	 	2.1.4	  	  	Term	  	 	9.1	  
	 Declined Development Costs
	  	 	2.7.4(a)	  	  	Terminated Country(ies)	  	 	9.6.1	  
	 Development Costs
	  	 	2.7.2(b)	  	  	Terminated Products	  	 	9.6.1	  
	 Disclaiming Party
	  	 	8.3.5(b)	  	  	Third Party Claims	  	 	7.1	  
	 Dispute
	  	 	10.7.2	  	  	Third Party Infringement	  	 	8.4.1(a)	  
	 Distributor
	  	 	3.2.1	  	  	Transition Agreement	  	 	9.6.1(f)	  
		  				  	US/Japan Tax Treaty	  	 	5.2.12	  

  
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	2.	RESEARCH AND DEVELOPMENT 

  

	2.1	Joint Steering Committee 

  

	2.1.1	Establishment and Authority of JSC. The Parties hereby establish a Joint Steering Committee (“JSC”) to plan, coordinate, monitor and direct the
Research Program and each Development Program. The Development Programs shall cover the research and clinical development activities intended to generate the data to be used in seeking, obtaining, maintaining and expanding Regulatory Approvals for
Products in the Joint Development Territory or for supporting the marketing and selling of Products in the Joint Development Territory, and such activities shall be determined and overseen by the JSC, under the decision-making provisions of
Section 2.1.4 below. All other research, clinical development and regulatory activities for Products that are intended to generate data for use in seeking, obtaining, maintaining and expanding Regulatory Approvals outside the Joint Development
Territory shall be discussed and reviewed at a strategic level by the JSC, but Astellas shall have the final decision-making authority at the JSC level over all aspects of such activities as provided in Section 2.1.4 below. The JSC’s
responsibilities and authority shall be as follows: 

 (a) reviewing Licensed Compounds (including Ambit Follow-on
Compounds), and selecting and prioritizing such compounds for research and development under the Agreement; 
 (b) making
research and development “Go/No Go” decisions with respect to Products containing Licensed Compounds for each Oncology Indication and each Non-oncology Indication; 
 (c) preparing and approving the Research Plan, and all amendments and modifications to the Research Plan; 
 (d) selecting Products containing Ambit Follow-On Compounds to enter Development Programs; 
 (e) preparing and approving the Development Plan for each Product that is selected by the JSC to enter clinical development, and amending and modifying each such Development Plan as appropriate (but
subject to Astellas’s final decision-making authority with respect to particular development issues as set forth above and in Section 2.1.4); 
 (f) preparing and approving the initial regulatory plan for the Lead Product pursuant to Section 2.5.1; 
 (g) allocating responsibilities for the tasks to be completed by the Parties under each Development Program; 
 (h) reviewing and discussing, for each Product, the development work on Products for Regulatory Approval outside the U.S., and seeking to achieve coordination between the plans for such work and the
Development Plan applicable to such Product; 
 (i) reviewing the results of, and monitoring and directing, the Research Program
and the Development Programs; 

  
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(j) creating and directing sub-committees and working teams reporting to the JSC with specific responsibilities and authority for aspects
of Product research and development in the Joint Development Territory; 
 (k) monitoring and managing the activities and
decisions of any subcommittees established by the JSC, as provided in Section 2.3.1, and discussing and seeking to resolve or decide any issues or matters referred to the JSC for resolution from any such subcommittee; and 

(l) performing any other activity or role as expressly assigned to the JSC under the terms of this Agreement or by the Parties in writing.

 The JSC shall remain in effect until the termination of the Research Program and all Development Programs (but subject to
Section 2.2). 
  

	2.1.2	Composition of JSC. The JSC shall be comprised of an equal number of representatives from Ambit and Astellas. As of the Effective Date, the JSC shall be
comprised of two (2) representatives of Astellas and two (2) representatives of Ambit. Chairperson responsibilities for the JSC would be shared between the Parties, and would alternate between the Parties annually with the first
chairperson designated by Ambit. 

  

	2.1.3	JSC Meetings. The JSC shall meet [...***...] per year, or more or less frequently as agreed by the Parties. The first meeting of the JSC shall be
held within twenty (20) calendar days of the Effective Date. The JSC may meet in person, or by teleconference, videoconference or other similar means as requested by a Party (but provided that at least one (1) meeting will be in
person each Calendar Year). Information exchanged at JSC meetings and decisions reached by the JSC shall be recorded in minutes of the meetings. The chairperson of the JSC shall be responsible for preparing and circulating to the JSC members a draft
of the minutes, for review and comment. The chairperson shall seek to include in the minutes all accurate comments. Such minutes shall become final when approved by both Parties. Each Party shall bear its own expenses and the expenses of its
representatives related to the attendance at JSC meetings, none of which expenses shall be Development Costs. 

  

	2.1.4	 Decision Making. Decisions of the JSC shall be made by unanimous consent, with each of Astellas and Ambit having one (1) vote. The members
of the JSC will attempt in good faith to reach consensus on all matters before the JSC. In the event that the JSC cannot, after such good-faith efforts, reach agreement on an issue related to the Research Program or a Development Program within ten
(10) Business Days, the issue shall be elevated to the Executive Officers of each of Ambit and Astellas, to seek in good faith to reach agreement on the issue. In the event such Executive Officers cannot resolve the issue after good-faith
efforts within thirty (30) days of the dispute being submitted to them in writing, the issue shall be decided by Astellas, in its reasonable discretion but taking into account the legitimate business issues of Ambit with respect to the issue,
and such decision, the date of the decision and activities effected by such decision shall be communicated to Ambit in writing (the “Decision Notice”), which decision shall be final and binding on the Parties. If the subject of the
Decision Notice is whether or not to adopt an initial Development Plan for a Product, or to amend or update a previously adopted Development Plan for a Product by including in such plan, amendment or update additional development activities, and in
any such case, such 

  

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	 	plan, amendment and update represents a material expansion of the development activities previously agreed to date by the Parties, including by providing for the
conduct of addition Clinical Trials, then within fifteen (15) Business Days of receipt of the Decision Notice, and subject to Section 2.7.4, Ambit may elect not to fund its share of the Development Costs incurred prior to the First
Commercial Sale of the Product in a country in the Joint Development Territory solely for those additional development activities listed in the Decision Notice (the “Declined Activities”), and notify Astellas in writing of its
decision. 

  

	2.2	Termination of Committee Membership. 

  

	2.2.1	Election to Terminate. Ambit’s membership on the JSC, JCC (if any), any subcommittee established by the JSC, or any other Committee established by the
Parties hereunder shall be at its sole discretion, as a matter of right and not obligation. Ambit shall have the right to withdraw from membership in any or all of such Committees at any time upon thirty (30) days’ prior written notice to
Astellas, which notice shall be effective as to the relevant Committee upon the expiration of such thirty (30) day period (and for the avoidance of doubt, following such withdrawal, Ambit and Astellas shall each continue to be required to
perform its respective obligations pursuant to this Agreement). Following the issuance of such notice for a given Committee, (a) Ambit’s membership in such Committee shall be terminated (and Astellas may disband such Committee),
(b) Ambit shall not have the right to resume participation therein without Astellas’s prior written consent, and (c) Ambit shall have the right to continue to receive directly all Information it would otherwise be entitled to receive
under the Agreement (including all Information that would otherwise have been provided to such Committee by Astellas under the terms of this Agreement, which Information shall thereafter be provided by Astellas directly to Ambit).

  

	2.2.2	Decision-Making after Committee Termination. If a Committee is terminated pursuant to Section 2.2.1, then any dispute between the Parties that would have
been elevated from a Committee to Executive Officers for resolution shall be elevated directly to the Executive Officers of the Parties for resolution, and if such Executive Officers are unable to resolve the dispute Astellas’s Executive
Officer shall have the right to make the final decision with regard to any and all such disputed matters; provided, however, that Astellas’s Executive Officer shall make such decision in good faith after reasonably considering
Ambit’s comments on such matter and in a manner consistent with the applicable then-current Development Plan or then-current Co-Promotion Plan, as applicable. 

 

	2.3	General Committee Provisions. 

  

	2.3.1	Sub-committees. Each Committee may create such subcommittees or project teams as the Committee deems necessary to carry out its responsibilities. Each such
subcommittee and project team shall report recommendations and proposed actions to such Committee, which shall approve or reject such recommendations or actions proposed in accordance with the terms of this Agreement. Each Committee shall have the
responsibility to manage and oversee the operation and decisions of each such subcommittee and project team, and to establish and enforce operating rules and decision-making authority for each. 

  
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	2.3.2	Membership; Participation. Each Party may change its representatives to a Committee from time to time, effective upon prior written notice to the other Party, in
its sole discretion but taking into account the mutual desire of the Parties to have stability and continuity of membership in each Committee. The representatives shall have the expertise, experience and knowledge appropriate to the management and
supervision of the conduct of the activities within the applicable Committee’s authority. Additional non-voting representatives or consultants may from time to time, by mutual consent of the Parties, be invited to attend Committee meetings,
subject to such representative’s or consultant’s written agreement to comply with the confidentiality requirements of this Agreement. 

  

	2.3.3	Committee Authority. The JSC shall have solely the powers expressly assigned to it in Section 2.1 and the JCC (if any) shall have solely the powers
expressly assigned to it in Section 3.9, in each case unless otherwise agreed in writing by the Parties. Notwithstanding any other provision of this Agreement, no Committee shall have the decision-making power or any other authority:
(a) to impose additional economic or resource burdens on either Party beyond those specifically contemplated by this Agreement or any mutually agreed Research Plan or Development Plan without the consent of the Party on which such burden is
imposed; (b) to amend or modify the terms of this Agreement, or to interpret the terms of or waive application of any provision of the Agreement. Further, notwithstanding any other provision of this Agreement, with respect to each Committee,
Astellas as the Party with final decision-making authority (except as otherwise expressly provided), or any arbitrator or other dispute-resolution authority, shall none of them make any decision that is inconsistent with the express terms of the
Agreement, without the prior written consent of each Party. 

  

	2.4	Appointment of Alliance Managers. 

 Each Party shall appoint an appropriately qualified individual to serve as an alliance manager (an “Alliance Manager”) for such Party under this Agreement. The Alliance Managers shall
endeavor to assure clear and responsive communication between the Parties and the effective exchange of information, and may serve as a single point of contact for any matters arising under this Agreement. The Alliance Managers may attend meetings
of all Committees and subcommittees under this Agreement. The Alliance Managers shall not have any authority under this Agreement and shall not be a member of any Committee. 

 

	2.5	Regulatory Matters. 

  

	2.5.1	 Lead Product Regulatory Plan. Within [...***...] after the Effective Date, the JSC shall develop and agree on an initial regulatory
plan for the regulatory activities to be conducted by the Parties in support of an NDA Filing for the Lead Product in the U.S., which plan shall be developed in a manner that reflects that a key objective of the Parties in adopting and implementing
such a plan is to submit the first NDA for the Lead Product in the U.S. as soon as reasonably practicable, taking in consideration all relevant circumstances, including: (i) maintaining continuity on ongoing Clinical Trials and minimizing any
impact on principal investigators and Clinical Trial sites, (ii) the impact on inventories and the manufacture of Lead Product for use in Clinical Trials, and (iii) the timely availability of commercial supplies of Lead Product in the
appropriate trade dress. This initial regulatory plan, as adopted by the JSC, and as may be amended by the JSC, will automatically be deemed to be incorporated into the Development Plan and

  

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	 	the activities undertaken by the Parties as agreed to in the regulatory plan shall be activities under such Development Plan. The initial regulatory plan for the Lead
Product adopted to by the JSC shall establish: 

 (a) [...***...]; 

(b) [...***...]; 
 (c) [...***...]; and 
 (d) [...***...]. 

 

	2.5.2	Rights and Obligations.  

 (a) Subject to the other terms of this Section 2.5, Astellas or its Affiliates shall have the sole right and option, at Astellas’s cost, to prepare and submit or cause to be prepared and
submitted all Regulatory Materials, including applications for Regulatory Approval for Products in the Territory; provided, however, that if the initial regulatory plan adopted for the Lead Product by the JSC assigns responsibility for
preparing or submitting any Regulatory Materials to Ambit, then Ambit shall have the right, at Ambit’s cost and subject to this Section 2.5.2, to prepare and submit such Regulatory Materials. Irrespective of which Party has primary
responsibility for preparing and submitting any Regulatory Materials, Astellas shall have sole discretion as to the content of such applications, subject to Astellas’s obligation to use Commercially Reasonable Efforts in accordance with
Section 2.6.4(b). The Party with primary responsibility for preparing submissions of Regulatory Materials shall keep the other Party reasonably informed of submissions of Regulatory Materials, including applications for Regulatory Approval in
the Joint Development Territory and the status and progress of such submissions or applications. In the event that Astellas retains responsibility for preparing any Regulatory Materials, Astellas shall (a) provide Ambit with an opportunity to
review and comment upon any Material Regulatory Submissions in the Joint Development Territory, in each case a reasonable period prior to the anticipated date of such submissions and (b) reasonably consider Ambit’s comments with respect to
such submissions or applications in good faith. In the event that Ambit is assigned responsibility for preparing any Regulatory Materials pursuant to the initial regulatory plan, Ambit, in consultation with Astellas, shall prepare all such
submissions and, unless the Parties otherwise agree in writing, shall submit all such proposed submissions which are Material Regulatory Submissions to Astellas for its review and approval. Each Party shall provide a copy of any non-Material
Regulatory Submissions to the other Party (in the case of Astellas, 

  

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solely within the Joint Development Territory) promptly following submission of such materials to the applicable Regulatory Authority.
Each Party shall promptly provide the other Party with copies of all material written or electronic communications received by it or its Affiliates from, or forwarded or submitted by it or its Affiliates to, the Regulatory Authorities, in the case
of Astellas, solely within the Joint Development Territory, with respect to any Product. Such material communications shall be provided by the receiving Party to the other Party within ten (10) Business Days of such receipt or forwarding.

 (b) For purposes of this Section 2.5.2, “Material Regulatory Submissions” means any material submission
to, or any material agreement with or material commitment made to, a Regulatory Authority with respect to a Product, including any application for Regulatory Approval, meeting request, protocol amendment, response to information requests, response
to validation or review questions for a Regulatory Authority, and any submissions, agreements or commitments with or to a Regulatory Authority relating to Product labeling, risk management plans, Phase IV Clinical Trials that are conducted due to a
request or requirement of a Regulatory Authority or other post-approval commitment for such Product. Unless otherwise agreed by the Parties, Material Regulatory Submissions shall not include: IND investigator updates, 7-day or 10-day SAE reports,
annual reports, CMC amendments to IND or country-specific CTAs or informal procedural discussions. 
  

	2.5.3	Ownership of Regulatory Materials and Regulatory Approvals; Rights of Reference. 

(a) Disclosure. Ambit shall, and shall cause its Affiliates to, without additional compensation, disclose and make available to
Astellas, in whatever form Astellas may reasonably request (i) all clinical data (including all non-clinical study data, Clinical Trial results and resultant data analyses), with respect to the Products in the Field generated by or on behalf of
Ambit, its Affiliates or any of its licensees existing as of the Effective Date, (ii) all Regulatory Materials generated or obtained by or on behalf of Ambit or its Affiliates prior to the Effective Date, including any drug master files in
respect of the Products in the Territory, and (iii) protocols for any then-ongoing Clinical Trials and proposed designs for any Clinical Trials with respect to any Product in the Field anticipated as of the Effective Date. Thereafter, to the
extent not disclosed pursuant to Section 2.6.4(b), Ambit shall and shall cause its Affiliates to, without additional compensation, disclose and make available to Astellas any Regulatory Materials, Ambit Know-How, Ambit Program Know-How or Joint
Program Know-How promptly upon the earlier of the development, making, conception or reduction to practice thereof. 
 (b)
Ownership. 
  

	 	(i)	All Regulatory Materials and Regulatory Approvals relating to any Licensed Compounds or to any Products shall be owned by, and shall be the sole property of, Astellas
or its designated Affiliate, Sublicensee or designee. Subject to Section 2.5.3(b)(iii), Ambit hereby assigns to Astellas all of its rights, title and interests in and to all Regulatory Materials and Regulatory Approvals owned or Controlled by
Ambit as of the Effective Date or at any time during the Term. 

  
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	 	(ii)	After the Effective Date, all Regulatory Materials and Regulatory Approvals in the Territory shall be filed and held in the name of Astellas or its designated Affiliate
or designee, except as provided in Section 2.5.3(b)(iii). 

  

	 	(iii)	Ambit may file and hold (or continue to hold, as applicable) certain Regulatory Materials and Regulatory Approvals for the Lead Product in its name to the extent
provided in the initial regulatory plan, solely for the period designated in the initial regulatory plan or until such earlier date as Astellas may designate in writing. The initial regulatory plan shall set forth the schedule pursuant to which it
is anticipated that Ambit shall transfer such Regulatory Materials or Regulatory Approvals for the Lead Product held in Ambit’s name to Astellas in order to effect fully, and to better assure and confirm, the ownership structure set forth in
Section 2.5.3(b)(i). As of the applicable date(s) set forth in the initial regulatory plan, or such earlier date as Astellas may designate in writing, Ambit shall automatically be deemed to assign to Astellas all of its rights, title and
interests in and to the applicable Regulatory Materials and Regulatory Approvals held in Ambit’s name. In the event that Astellas designates a date for transfer of the applicable Regulatory Materials and Regulatory Approvals held in
Ambit’s name that is earlier than the date set forth in the initial regulatory plan, then, at Ambit’s request, the Parties shall promptly meet and discuss in good faith Astellas’s rationale for such transfer and any of Ambit’s
concerns about such transfer. Astellas shall take into account any such concerns (but, for clarity, shall retain discretion with respect to the designation of such date). 

(c) Right of Reference. Each Party shall have the right to cross-reference, file or incorporate by reference any Regulatory
Materials and any Regulatory Approval and all data and other Information included or referenced therein or filed in support of any such Regulatory Materials or Regulatory Approvals, including any drug master file (and any data and other Information
therein) for any Product in any country in the Territory, which Regulatory Materials or Regulatory Approval is Controlled by the other Party or any of its Affiliates or sublicensees, including Sublicensees (and in the case of a drug master file, any
of its subcontractors), (i) in the case of Astellas as the referencing Party, in order to support regulatory submissions that Astellas (or any of its Related Parties) may make for any Product in connection with the Exploitation of Products as
contemplated in this Agreement and (ii) in the case of Ambit as the referencing Party, solely to conduct any and all activities assigned to Ambit under any Research Plan or Development Plan, as applicable. 

(d) Cooperation. Each Party shall duly execute and deliver, or cause to be duly executed and delivered, such instruments and shall
do and cause to be done such reasonable acts and things, as may be necessary under, or as the other Party may reasonably request, to effectuate, or to better assure and confirm, the transfers, assignments and rights of reference contemplated in this
Section 2.5.3. 
  

	2.6	Research Program and Development Programs. 

  

	2.6.1	Scope. 

 (a) The Research
Program shall cover all research and pre-clinical development activities conducted, during the Research Term, with respect to Ambit Follow-On 

  
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Compounds, as selected by the JSC for research, that the JSC believes will be required [...***...]. In the event the JSC
determines not to adopt an initial Research Plan pursuant to Section 2.6.2(a) the Parties shall not be obligated to fund or conduct any activities under the Research Program, and all rights granted to Astellas under this Agreement with respect
to Ambit Follow-On Compounds shall immediately terminate. Ambit and Astellas each shall use Commercially Reasonable Efforts to conduct such activities as are assigned by the JSC to the applicable Party as set forth in the Research Plan, with the
goal of making such decisions and enabling such submissions, as to any Ambit Follow-On Compounds selected by the JSC for research in accordance with this Agreement, promptly in accordance with the timelines set forth in the Research Plan.

 (b) The initial Development Program under this Agreement shall cover the Lead Product. For any other Licensed Compounds
selected by the JSC to be the subject of an IND submission, the JSC shall create separate Development Programs which shall cover the clinical and regulatory activities to be conducted for a Product containing such Licensed Compound in order to
achieve and support Regulatory Approvals of such Product in the countries in the Joint Development Territory and as may be necessary or economically justifiable to support commercialization of such Product in the Joint Development Territory. Each
such Development Program shall be conducted pursuant to and governed by a Development Plan specific to such Development Program, as established by the JSC under Section 2.6.2(c) below. Except as otherwise provided in Section 2.1.4 (with
regard to Declined Activities), the Parties are obligated to jointly participate in, fund and conduct each Development Program, as discussed below and in accordance with this Agreement. 

 

	2.6.2	Research Plan and Development Plans. 

 (a) Within [...***...], the JSC shall develop and adopt an initial Research Plan with respect to any Ambit Follow-On Compounds selected by the JSC for research under this Agreement or shall
determine not to establish such a Research Plan (in which case Astellas shall have no further rights to Ambit Follow-On Compounds, as provided in Section 2.6.1). 
 (b) Set forth on Exhibit C is the initial Development Plan for the Development Program for AC220 as of the Effective Date. The JSC will periodically review, consider and approve such revisions and
amendments to the Research Plan and such initial Development Plan pursuant to Section 2.6.2(d). The Parties agree that within [...***...], the JSC will meet to review and, if necessary, revise such initial Development Plan as set
forth in Exhibit C. 
 (c) In the event and at such time as the JSC selects any additional Licensed Compound to be the subject of
an IND submission, the JSC shall discuss and agree on a Development Plan setting forth the details for all the tasks and activities of the Development Program covering the Product containing such Licensed Compound, and the budget and timeline
(including Gantt charts) therefor. Each such Product-specific Development Plan shall include the specific details for: (i) any additional formal pre- 

  

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clinical research efforts required to be conducted for the Product; (ii) all Clinical Trials and other clinical activities or
studies to be conducted with respect to each Product to generate the data necessary for obtaining, maintaining or expanding Regulatory Approvals; (iii) all Phase IV Clinical Trials that are necessary or economically justifiable for marketing
the Product; (iv) all manufacturing process-development and scale-up activities with respect to the Product; and (v) the regulatory plan for seeking, obtaining, maintaining or expanding Regulatory Approvals for such Product; in each case
under (i) through (v) above, in or for the benefit of the Exploitation of Products in the Joint Development Territory. Each such Development Plan shall also allocate between the Parties all tasks and activities covered by such plan.

 (d) As necessary or appropriate throughout the term of this Agreement, but no less frequently than annually
[...***...], the JSC shall review and update and amend the Research Plan and each Development Plan as appropriate to achieve the goals of (i) completing all required research and development activities and obtaining Regulatory
Approvals in Joint Development Territory for the applicable Products as soon as reasonably practicable and (ii) providing for any ongoing development (including additional Clinical Trials) determined to be necessary or reasonably useful in
support of marketing any Product for which Regulatory Approval has been obtained in the Joint Development Territory. 
  

	2.6.3	Ambit’s Research and Development Rights and Obligations. 

 (a) Ambit shall use Commercially Reasonable Efforts to perform the tasks and activities assigned to Ambit under each Development Plan, in collaboration with Astellas and with the goal of completing each
Development Program as required for completing each NDA Submission in the Joint Development Territory for the Product covered by the Development Program as soon as reasonably practicable. 

(b) Ambit shall use Commercially Reasonable Efforts to perform the tasks and activities set forth in the Research Plan in order to
research and evaluate the Ambit Follow-on Compounds selected by the JSC for research under this Agreement, under the direction of the JSC from the Effective Date. In accordance with the foregoing, Ambit shall: (i) allocate sufficient time,
effort, equipment, personnel and facilities to the Research Program to meet the timelines specified in the Research Plan; (ii) use personnel with sufficient skills and experience as are required to accomplish the Research Program; and
(iii) promptly share with Astellas all data and results generated by Ambit in its conduct of Research Program activities. Astellas shall cooperate with Ambit in its conduct of the Research Program and shall use Commercially Reasonable Efforts
to perform the tasks and activities allocated to Astellas in the Research Plan in order to further achievement of the goals of the Research Program. 
 (c) As provided in and subject to the provisions of the initial Development Plan, and in accordance with the other terms of this Agreement, Ambit shall use Commercially Reasonable Efforts to conduct
[...***...]. Each of these studies shall be included in the Development Program for the Lead Product and be under the direction of the JSC from the Effective Date, and all of Ambit’s Development Costs incurred in conducting such
studies shall be jointly funded by the Parties as provided in Section 2.7.1 below. 
 (d) 

  

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Ambit agrees to perform its development obligations for each Product that is selected by the JSC to be the subject of an IND in
accordance with the Development Plan for such Product and the other applicable terms of this Agreement, and under the direction of the JSC, which may include, to the extent required by the applicable Development Plan, as follows: (i) conduct of
all monotherapy trials in all Oncology Indications that are required for or initiated prior to the first NDA Submission covering the Product in the Joint Development Territory; and (ii) conduct the first clinical proof-of-concept study in a
Non-Oncology Indication initiated prior to the first NDA Submission in the Joint Development Territory. 
 (e) Ambit shall have
the right to elect, by exercising its Co-Promotion Option for the applicable Product, to Co-promote in the U.S. each Product that has completed clinical development for U.S. registration, in accordance Section 3.8. 

 

	2.6.4	Conduct of Development Programs 

 (a) General. Ambit and Astellas and/or its Affiliates shall cooperatively engage in each Development Program in accordance with the terms and conditions set forth in this Agreement (but subject to
Section 2.1.4, to the extent applicable). 
 (b) Development Program Performance. With respect to each Development
Program initiated under this Agreement, each Party shall use Commercially Reasonable Efforts to perform its respective activities assigned to such Party under the Development Plan covering such Development Program. Each Party shall:
(i) allocate sufficient time, effort, equipment, personnel and facilities to conduct such tasks under the Development Program; (ii) use personnel with sufficient skills and experience as are required to accomplish the Development Program;
and (iii) promptly share with the other Party all Program Development Data made, created, or generated by or on behalf of such Party. In addition, Astellas shall disclose to Ambit, through the JSC, all Independent Development Data as Astellas
reasonably believes is necessary or useful in order to enable Ambit to perform its responsibilities under a Development Program, and Ambit shall disclose and provide to Astellas such Ambit Materials as Ambit reasonably believes are necessary in
order to enable Astellas to perform its responsibilities under a Development Program. 
  

	2.6.5	Compliance. Each Party shall conduct each Development Program and the Research Program in compliance with all Applicable Laws and applicable industry codes of
conduct. Ambit and Astellas each agree that it will not employ or otherwise use in any capacity, to the best of its knowledge, the services of any person debarred under United States law, including but not limited to Section 21 USC 335a, in
performing any portion of each Development Program and Research Program. 

  

	2.6.6	 Third Party Contractors. Each of the Parties shall be entitled to utilize the services of Third Parties to perform specific of its obligations
under a Development Program or the Research Program, to the extent determined in advance by the JSC, provided that: (a) such services are conducted in a manner that is consistent with and preserves the rights of the Parties under this
Agreement; (b) the subcontractor or consultant undertakes in writing commercially reasonable obligations of confidentiality and non-use regarding Confidential Information and Restricted Information, that are substantially the same as those
undertaken by the Parties with respect to Confidential Information pursuant to Article 6 hereof, subject to Section 6.2.2(b); and (c) the subcontractor or consultant

  
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	 	agrees in writing to assign or license back (with the right to sublicense) all rights in all data, results and other Information with respect to Licensed Compounds or
Products made, generated or discovered in performing such services (and all intellectual property rights in or covering such Information) to the Party retaining such subcontractor or consultant (except that such Party shall have the right to agree
to commercially reasonable terms permitting the subcontractor or consultant to retain intellectual property generally applicable to its business or the manufacture of products). Each Party shall remain at all times liable for its respective
responsibilities under the Development Programs and the Research Program and the activities of any Third Parties utilized by such Party in connection therewith. 

 

	2.6.7	Records. Ambit and Astellas shall each prepare and maintain complete and accurate records of all activities under each Development Program and the Research
Program and of all Program Development Data generated, in sufficient detail and in good scientific manner appropriate for all patent, intellectual property and regulatory purposes, which shall reflect all the work done and results achieved. Upon
request, in furtherance of a patent or regulatory filing being performed by a Party or its designee, or as needed to perform its obligations or exercise its rights under the Agreement, each Party shall make available for review and copying by the
other in a timely manner copies of such records maintained by that Party. 

  

	2.7	Sharing of Research Costs and Development Costs. 

  

	2.7.1	Cost Sharing. Except as provided in Section 2.7.4(a) with respect to Declined Activities, fifty percent (50%) of all Research Costs and Development
Costs (other than Post-Approval U.S. Development Costs and Medical Affairs Costs for Co-Promoted Products, which shall be included in the calculation of the Annual U.S. Profit/Loss) shall be borne by Astellas, and fifty percent (50%) of such
costs shall be borne by Ambit. 

 (a) In order to facilitate booking accruals and for financial reporting purposes,
on a monthly basis each Party shall provide the other Party with an estimated amount of its Development Costs incurred during the immediately preceding month. Each Party shall use good faith efforts to provide such estimate on or before the
[...***...] Business Day of each month and in any event shall provide such estimate no later than the [...***...] Business Day of such month. 
 (b) Within [...***...] of each Calendar Quarter, each Party shall provide the other a report listing in detail all Development Costs incurred by such Party. Within [...***...],
the Parties respective designated finance officers shall confer and agree in writing on whether a reconciliation payment is due from Ambit to Astellas or Astellas to Ambit, and if so, the amount of such reconciliation payment, so that Ambit and
Astellas share Research Costs and Development Costs in accordance with this Agreement (the “Conferral Period”). Ambit or Astellas, as applicable, if required to pay such reconciliation payment, shall submit such payment to Astellas
or Ambit, respectively, as applicable, [...***...] of such Conferral Period; provided, however, that in the event of any disagreement with respect to the calculation of such reconciliation payment, any undisputed portion of such
reconciliation payment shall be paid in accordance with the foregoing timetable. [...***...]. In the case of any such dispute, the Parties shall promptly meet (by 

  

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telephone or otherwise as appropriate) and discuss the issue in the invoice and seek to agree on whether the disputed amount (or what
proportion thereof) is properly included in Development Costs or Research Costs, as applicable, incurred by the Parties during such Calendar Quarter. If the Parties cannot agree on any such dispute as to Development Costs or Research Costs reported
by one or the other Party [...***...], then the dispute shall be elevated to the Executive Officers of Astellas and Ambit. Prior to escalating the dispute to the Executive Officer, the Parties shall exchange a written description of the
issue in dispute. If the Executives cannot resolve the issue after good-faith efforts [...***...], then such dispute (as to such aspects of costs) shall be resolved by expedited arbitration pursuant to Exhibit E, with each Party
providing access to all invoices, receipts and other documents required to establish the Development Costs or Research Cost, as applicable, actually incurred by the Party during such quarter that are in dispute, as needed to determine the actual
total amounts of payments to be made by each Party hereunder. 
  

	2.7.2	Research Costs and Development Costs. Subject to Section 2.7.3: 

 (a) The term “Research Costs” means all costs and expenses incurred by or on behalf of a Party or any of its Affiliates after the Effective Date in conducting the research of a Licensed
Compound under the Research Program, solely to the extent such costs and expenses are in accordance with the budget for the applicable tasks and obligations allocated to such Party under the Research Plan as authorized and approved by the JSC (and
as such budget may be amended or modified by the JSC, including as provided in Section 2.7.5 below). 
 (b) The term
“Development Costs” means all costs and expenses incurred by or on behalf of a Party or any of its Affiliates after the Effective Date that are reasonably allocable to the conduct of research or development of a Licensed Compound or
Product under a Development Program as set forth in Section 2.7.2(c). 
 (c) In the case of each of clause (a) and
(b) above, such costs shall include: 
  

	 	(i)	the following costs and expenses solely to the extent in accordance with the budget for the applicable tasks and obligations allocated to the Party under the Research
Plan or a Development Plan, as applicable (as such budget may be amended or updated by the JSC, including as provided in Section 2.7.5 below): 

 (A) costs and expenses invoiced by a Third Party with respect to materials or services actually provided by the Third Party to the applicable Party or any of its Affiliates in connection with its conduct
of the applicable Program; 
 (B) for the employees of Ambit or Astellas or their respective Affiliates working on the Program,
an amount equal to the amount of such employee’s work on such programs, converted to a “full time equivalent” (“FTE”) basis (as provided below), multiplied by the FTE Rate agreed by the Parties as set forth below;

 (C) Manufacturing Costs incurred by a Party or any of its Affiliates for the manufacture of Product (including any
intermediate thereof of any Licensed 

  

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Compound or other material contained therein) for use in the Program or other costs and expenses reasonably allocable to manufacturing
process development and manufacturing activities and regulatory activities designed to support preparation of the Chemistry, Manufacturing and Controls sections of any Regulatory Materials or Regulatory Approval, and to obtain drug product or
comparator drug for use in activities conducted pursuant to the Program; and 
 (D) other costs and expenses incurred by a Party
or any of its Affiliates and reasonably allocable to the research and development of a Product pursuant to the applicable Program, including activities with respect to obtaining, maintaining or expanding Regulatory Approvals in or for the benefit of
the Joint Development Territory or the conduct of any non-clinical studies or Clinical Trials (including Phase IV Clinical Trials and support for investigator initiated trials) in or for the benefit of the Joint Development Territory and conducted
pursuant to the Program; 
  

	 	(ii)	Product recall and withdrawal costs and expenses that are treated as Development Costs pursuant to Section 2.10; 

 

	 	(iii)	costs and expenses incurred in connection with the transfer of manufacturing technology and responsibilities that are included in Development Costs pursuant to
Section 3.6.2(f); and 

  

	 	(iv)	Losses from Third Party Claims that are included in Development Costs pursuant to Section 7.4. 

Notwithstanding the foregoing, Development Costs shall not include the costs that each Party is required to bear to prepare and file
Regulatory Materials pursuant to Section 2.5.2. 
 (d) For the purposes of this Section 2.7.2, the total annual cost of
an FTE shall be [...***...], provided that such amount shall be increased once annually (on or about January 1) by the percentage increase, if any, in the Consumer Price Index for Urban Consumers for San Diego, as published
by the U.S. Department of Labor, Bureau of Statistics (the “FTE Rate”), since the last such adjustment. The total cost attributable to an employee of either Party or any of its Affiliates engaged in research or development
activities under a Development Program or Research Program for any Calendar Quarter under this Agreement shall be calculated by multiplying the FTE Rate by a fraction the numerator of which is the number of hours during such Calendar Quarter that a
Party’s or its Affiliate’s employees spent dedicated to Development Program and or Research Program activities [...***...]. 
  

	2.7.3	Exclusions from Development Costs; Costs Chargeable Only Once. 

 Notwithstanding anything in this Agreement to the contrary, no cost, expense, amount or sum allocable or chargeable to the Parties’ activities under this Agreement shall be allocated or charged more
than once (whether chargeable as a Development Cost, a Direct Marketing/Promotion Expense, as a deduction for purposes of calculating Net Sales or the Co-Promotion Payment, or otherwise). Unless otherwise specifically

  

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authorized by the Parties or this Agreement, all costs, expenses, amounts or sums to be charged or allocated by one Party to the other
Party under this Agreement shall not be so chargeable or allocable unless they are reasonably allocable to the activities to be performed under this Agreement. In addition, the Parties agree that the JSC shall establish, in the Research Plan and
each Development Plan, a commercially reasonable budget for the costs and expenses to be incurred by each Party in conducting its respective tasks under such plan. 
  

	2.7.4	Development Costs for Declined Activities. 

 (a) Suspension of Development Cost Sharing. If Ambit decides not to fund its share of the Development Costs to be incurred prior to the First Commercial Sale of the applicable Product in a country
in the Joint Development Territory with respect to Declined Activities as set forth in Section 2.1.4, then, to the extent that Astellas elects in its sole discretion to perform the Declined Activities and for so long as Astellas pursues such
activities, Astellas shall bear one hundred percent (100%) of the Development Costs for the Declined Activities incurred during the period from the decision date stated in the Decision Notice through to the date of First Commercial Sale of the
Product that is the subject of the Development Program to which such Declined Development Activities relate (the aggregate Development Costs with respect to such Declined Activity, the “Declined Development Costs”). 

(b) Following First Commercial Sale. From and after the First Commercial Sale in any country in the Joint Development Territory of
the Product to which the Declined Activities relate, such development activities shall cease to be Declined Activities and (i) to the extent that such activities relate to a Co-Promoted Product, Development Costs reasonably allocable such
activities shall be treated as Post-Approval U.S. Development Costs and included in the calculation of Annual U.S. Profit/Loss and (ii) to the extent that such activities relate to a Product in the Joint Development Territory other than a
Co-Promoted Product, Development Costs reasonably allocable to such Product shall be shared equally in accordance with Section 2.7.1. 
 (c) Resumption of Development Cost Sharing. At any time prior to the First Commercial Sale in the Joint Development Territory of the Product to which Declined Activities relate, Ambit may at its
sole discretion reverse its decision not to fund its share of the Development Costs with respect to a Declined Activity and shall promptly notify Astellas in writing of such decision. Astellas shall provide to Ambit a written detailed description
and accounting of the Declined Development Costs borne solely by Astellas and incurred prior to the date of such written notice or the remaining balance if repayments have been made under Section 2.7.4(d) and Ambit shall promptly pay to
Astellas an amount equal to [...***...] of such aggregate costs and as of the date of such notice such activity shall no longer be a Declined Activity and the Parties shall share Development Costs with respect to such activity as set
forth in Section 2.7.1. 
 (d) Repayment of Development Costs for Declined Activities. Starting from the date of the
First Commercial Sale in any country in the Joint Development Territory of a Product to which Declined Development Activities relate, [...***...], Astellas shall reduce the total amount due to Ambit hereunder with respect to sales of
such Product during the applicable Calendar Year (whether in the form of Ambit’s portion of the U.S. Profit/Loss or royalty payments), by [...***...]. If the portion of 

  

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the Declined Development Costs to be repaid in a given Calendar Year exceed the total U.S. Profit/Loss and royalty payments due to Ambit
for such Calendar Year, then the unreimbursed portion of such Declined Development Costs shall carry forward into the next Calendar Year, and, as necessary, subsequent Calendar Years, until repaid. In connection with the calculation of amounts due
to Ambit under Sections 4.3.6 and 4.4.2, Astellas shall provide to Ambit a detailed written description and accounting of such costs and the adjustments made to Annual U.S. Profit/Loss and/or royalty payments due to Ambit under this Agreement.

  

	2.7.5	Cost Overruns and Discretionary Funding. If a Party believes that it shall need to incur Development Costs or Research Costs, to complete a particular task
assigned to such Party in the Research Program or a Development Program, in excess of the budget allocated to such Party for such task in the Research Program or a Development Program (as applicable), such Party shall raise such cost-overrun issue
with the JSC as soon as practicable, including the cause of such cost-overrun. The JSC shall discuss such issue promptly and determine if the cost-overrun would be caused by a matter outside such Party’s control, in which case the JSC shall
amend the applicable budget to cover a reasonable amount of additional Development Cost or Research Cost to be incurred by such Party in completing such task. If the JSC determines in good faith that such cost-overrun would not be caused by a matter
outside the Party’s control (that is, results or will result from such Party’s fault), then such Party shall be required to bear at its sole expense the extent of such cost-overrun (that is, the amount of costs beyond the established
budget that are required to complete such task), and such cost-overrun costs shall not be included in the shared Development Costs or shared Research Costs. Further, a Party may, at its reasonable discretion, elect to incur and expend costs or
expenses in conducting its activities under the Research Program or a Development Program that are in excess of the budget set forth therein, provided that such Party bears all such additional “discretionary” costs or expenses at
its sole expense and does not include them in the shared Development Costs or Research Costs (unless otherwise agreed by the JSC or the other Party in writing). For clarity, the issue of cost-overruns, and the adjustment of any budget to address
cost-overruns, shall be resolved by arbitration pursuant to Section 10.7 and shall not be subject to Astellas’s final decision-making at the JSC under Section 2.1.4. 

 

	2.8	Development Outside Joint Development Territory; Commercialization Ex-U.S. 

 

	2.8.1	Development Oversight by Astellas. Astellas shall have sole responsibility for planning, coordinating, monitoring, and regulating all aspects of the research and
development of Licensed Compounds and Products for the benefit of countries other than those in the Joint Development Territory; provided that the JSC shall review such development activities and coordinate to the extent practicable the
Development Plan activities applicable to such Product. Astellas shall be responsible for all costs associated with such independent development activities conducted outside the Research Plan and Development Plan. Astellas shall use Commercially
Reasonable Efforts to develop each Product that is the subject of a Development Program in the Joint Development Territory through Regulatory Approvals in the countries outside the Joint Development Territory. 

 

	2.8.2	 Commercialization of Products. Astellas shall have sole responsibility for planning, coordinating, monitoring, and regulating all aspects of the
promotion, marketing, distribution, sales and other commercialization activities of each Product in all countries 

  
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	 	in the Territory, except that, solely with respect to promotion of each Co-Promoted Product in the U.S. during the applicable Co-Promotion Term, each Party shall have
the responsibility set forth herein and in the Co-Promotion Agreement. Astellas shall be responsible for all costs associated with the activities for which it is solely responsible, except to the extent they relate to a Co-Promoted Product and
constitute Allowed Expenses. 

  

	2.8.3	Reports By Astellas. Astellas shall keep Ambit reasonably informed about the status of the activities performed with respect to Astellas’s development and
commercialization of Products as provided in Section 2.8.1 and 2.8.2 above, including of the status of Regulatory Approvals for Products outside the Joint Development Territory. Astellas shall provide Ambit with reports on such activities and
the results thereof no less frequently than once each Calendar Quarter, with such additional reports as necessary to inform Ambit of significant developments or results. 

 

	2.8.4	Meetings. [...***...] each Calendar Year, on dates and times mutually agreed by the Parties, Ambit may, at its option, send at least one Ambit
representative to meet (in person or by telephone, at Ambit’s option) with one or more members of the Astellas product team(s) responsible for the development and commercialization of any Product to discuss the conduct and progress of, and
plans for, the development of such Product outside the Joint Development Territory and the commercialization activities with respect to such Product in countries, provided that this obligation shall not apply to Co-Promoted Products in the
U.S. during the applicable Co-Promotion Term. 

  

	2.9	Safety Agreement. 

Promptly after the Effective Date, but in any event no later than the date of initiation of a Clinical Trial by Astellas in the Territory,
the Parties shall enter into a safety agreement governing the Parties’ respective obligations with respect to allocation of responsibilities for reporting to the other Party and appropriate Regulatory Authorities adverse events, complaints, and
other safety-related matters. Astellas shall be responsible for creation and maintenance of the global safety database for Products following the date agreed by the JSC. 

 

	2.10	 Product Withdrawals and Recalls. If (a) any Regulatory Authority threatens, initiates or advises any action to remove any Product from the
market in the Territory or requires or advises Ambit, Astellas, or any of their respective Affiliates or Sublicensees to distribute a “Dear Doctor” letter or its equivalent regarding use of such Product in any country in the Territory, or
(b) either Party determines that an event, incident or circumstance has occurred that may result in the need for a recall or market withdrawal in any country in the Territory, then in each case ((a) or (b)) Ambit or Astellas, as applicable,
shall notify the other Party of such event or determination immediately, and in any event within three (3) Business Days (or sooner if required by law) after such Party becomes aware of the event or makes such determination. Astellas shall, to
the extent practicable, endeavor to discuss and, in the case of any Co-Promoted Product in the U.S. during the applicable Co-Promotion Term, agree with Ambit upon whether to recall or withdraw the Product in the applicable country(ies); provided,
however, that if such discussion is not practicable or if the Parties fail to so agree within an appropriate time period (recognizing the exigencies of the situation), then Astellas shall decide whether to recall or withdraw any such Product
(including any Co-Promoted Product) in such country(ies). Any recall or withdrawal expenses or expenses for taking other related 

  

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	 	remedial action (i) with respect to any Clinical Trial supplies of Product used or intended to be used in carrying out activities under the Development Program in
or for the benefit of the Joint Development Territory (except to the extent covered by clause (ii)) shall be included in Development Costs; (ii) with respect to Co-Promoted Products within the U.S. shall be included in Allowed Expenses, and
(iii) with respect to any Products outside the U.S. or Products other than Co-Promoted Products in the U.S., unless otherwise agreed in an applicable form of supply agreement, shall be at Astellas’s sole expense, except that in the
case of subsections (i) and (ii) above, to the extent that the recall or withdrawal is caused by the negligence, breach or intentional misconduct of a particular Party or any of its Affiliates or subcontractors, such Party shall bear the
costs of such recall or withdrawal to the extent of its or its Affiliate’s or subcontractor’s responsibility. 

  

	2.11	Clinical Trial Information. Each Party agrees that (a) each Clinical Trial conducted pursuant to a Development Plan that is required by Applicable Law to be
posted on www.clinicaltrials.gov or any other similar registry shall be so posted, and (b) all results of such Clinical Trials that are necessary for obtaining a Regulatory Approval for a Product in a Territory shall be posted on
www.clinicaltrials.gov and on any other registry with requirements consistent with registration and publication guidelines of the International Committee of Medical Journal Editors, to the extent required. Each Party is responsible for such
posting (and subsequent updates and disclosure obligations) when designated “Sponsor” pursuant to the allocation of development activities set forth in the applicable Development Program. All Information posted on
www.clinicaltrials.gov, www.clinicalstudyresults.org or any other registry pursuant to this Section 2.11 shall be subject to prior review and authorization pursuant to Section 6.3.

 

	3.	LICENSE; OPTION; DEVELOPMENT AND COMMERCIALIZATION 

  

	3.1	License Grant to Astellas 

  

	3.1.1	Product License. Subject to the terms and conditions of this Agreement, Ambit hereby grants to API an exclusive right and license (even as to Ambit and its
Affiliates) under the Ambit Technology, Ambit Program Technology and Ambit’s interest in the Joint Program Technology, with a right to sublicense through multiple tiers of sublicenses as provided in Section 3.1.2, solely to Exploit
Licensed Compounds and Products in the Field in the Territory. Without limitation of the right of API to grant sublicenses to any Affiliate pursuant to Section 3.1.2 (including API’s right to grant further sublicenses to AUS), it is
understood and agreed that API intends to grant to AUS an exclusive, royalty-bearing, revocable, sublicensable (with rights for AUS to grant further sublicenses solely in accordance with Section 3.1.2) sublicense to sell and have sold Products
in the Field in the U.S. 

  

	3.1.2	 Sublicense Rights. Subject to the terms and conditions of this Agreement, Astellas shall have the right to grant sublicenses of the rights
granted to it under Section 3.1.1 and 2.5.3(c) through multiple tiers to its Affiliates, provided that Astellas shall be and remain responsible for performance of all its obligations under this Agreement, and any action by an Affiliate
shall be deemed an action by Astellas for which it is responsible. Astellas and its Affiliates may grant sublicenses through multiple tiers to Third Parties (a) whose primary business is contract manufacturing, solely for manufacturing and
supplying Licensed Compound or Product to Astellas or any Related Party or (b) to a 

  
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	 	subcontractor to perform Astellas’s assigned responsibilities under this Agreement or any Research Plan, Development Plan or Co-Promotion Plan. All other
sublicenses to be granted by Astellas or any Astellas Affiliate in the Joint Development Territory prior to [...***...] will require prior written approval from Ambit, which shall not be unreasonably withheld or delayed, provided
that in the event such sublicense is to all of Astellas’s rights in the U.S. or the Joint Development Territory to a Person who is not an Astellas Affiliate such approval shall be at Ambit’s sole discretion. In the case of sublicenses
pursuant to the immediately preceding sentence above, Astellas shall provide to Ambit, upon Ambit’ written request, a copy of all executed agreements in which rights granted by Ambit under this Agreement are sublicensed (and Astellas shall have
the right to make reasonable redactions prior to providing such agreements(s)). Ambit shall treat all such sublicense agreements as Astellas’s Confidential Information. Astellas or its Affiliates may grant sublicenses (i) in the Joint
Development Territory at any time after the first NDA Submission in the Joint Development Territory, provided that, with respect to each applicable Product in the U.S., the Required Exercise Date has occurred and Ambit has not exercised the
Co-Promotion Option or the Co-Promotion Term has expired or terminated and (ii) outside the Joint Development Territory, in each case ((i) and (ii)) through multiple tiers of Sublicensees without Ambit’s approval. 

Each sublicense granted by Astellas pursuant to this Section 3.1.2 shall be subject and subordinate to the terms and conditions of
this Agreement. Any sublicense granted by Astellas shall impose on the Sublicensee obligations consistent with the terms and conditions of this Agreement, with each Sublicensee being required to comply with the obligations under this Agreement
applicable to Sublicensees, and also to comply with the generally-applicable obligations of this Agreement that are appropriate for application to Sublicensees. Astellas shall ensure that all Persons to which it (or its Affiliate) grants sublicenses
comply with all applicable terms and conditions of this Agreement, and Astellas shall be responsible for any failure of any such Sublicensee to comply with such terms or conditions, with the further understanding that any action or omission by any
such Sublicensee that, if committed by Astellas would be a breach of this Agreement (with respect to those country(ies)) in which such Sublicensee is sublicensed), will be deemed a breach by Astellas of this Agreement (with respect to those
country(ies) in which such Sublicensee is sublicensed) for which Astellas is responsible. 
 Without limiting the foregoing, no
sublicense shall modify Ambit’s rights or obligations under this Agreement (including Ambit’s Co-Promotion rights). Without limiting the foregoing, any sublicense agreement shall contain the following provisions, as applicable: (i) a
requirement that such Sublicensee submit applicable Net Sales or other reports consistent with those required hereunder; (ii) audit requirements similar to those set forth in this Agreement; and (iii) a requirement that such Sublicensee
comply with the confidentiality provisions of Article 6 with respect to Ambit’s Confidential Information. 
  

	3.2	Distributorships and Co-Promotion Rights. 

  

	3.2.1	Distributorships. Astellas shall have the right to appoint its Affiliates, and Astellas and its Affiliates shall have the right, in their sole discretion, to
appoint any other Persons, in any country(ies) (a) in the Territory outside of the U.S., to distribute, market, promote and sell Products, with or without packaging rights; (b) in the U.S., solely with respect to any Product for which the
Required Exercise Date has occurred and Ambit has not exercised the Co-promotion Option or the applicable Co-promotion Term has expired, to 

  

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	 	distribute, market and sell such Products with or without packaging rights; (c) in the U.S. with respect to a Co-Promoted Product solely to distribute and sell
such Co-Promoted Product. If Astellas or its Affiliates appoints such a Person and such Person is not an Affiliate of Astellas, that Person shall be a “Distributor” for purposes of this Agreement. 

 

	3.2.2	Promotion Rights. For the avoidance of doubt, Astellas and its Affiliates shall have the right to co-promote the Products with any other Person(s) (in addition
to Ambit), or to appoint one or more Third Parties to promote the Products without Astellas, (a) in all or any part of the Territory outside the U.S., or (b) in the U.S. with respect to any Product for which the Required Exercise Date has
occurred and Ambit has not exercised the Co-Promotion Option or the applicable Co-Promotion Term has expired or terminated. 

  

	3.3	License Grants to Ambit and Sublicensing Rights. 

  

	3.3.1	License Grant. Subject to the terms and conditions of this Agreement, Astellas hereby grants to Ambit a royalty-free, non-exclusive, sublicensable (as set forth
in Section 3.3.2) right and (a) license in the Territory under the Astellas Technology, Astellas Program Technology and Astellas’s interest in the Joint Program Technology and (b) sublicense under the Ambit Program Technology,
Ambit Technology and Ambit’s interest in the Joint Program Technology licensed to Astellas under Section 3.1.1, (i) in each case ((a) and (b)), solely to conduct any and all activities assigned to Ambit under any Research Plan,
Development Plan or Co-Promotion Plan, as applicable and (ii) in the case of the sublicense rights granted in clause (b) only, to make, have made and use Licensed Compounds in connection with the conduct of its Screening Activities.

  

	3.3.2	Sublicensing by Ambit. The license granted by Astellas to Ambit in Section 3.3.1 may be sublicensed by Ambit to a subcontractor solely to perform
Ambit’s assigned responsibilities under this Agreement or any Development Plan or Research Plan. 

  

	3.4	Reservation of Rights 

  

	3.4.1	No Implied Licenses. No right or license under any intellectual property rights of Ambit or Astellas is or shall be granted, by implication or otherwise, to the
other Party except as expressly set forth in Section 2.5.3(c), 3.1, 3.2 or in Article 9. All such rights or licenses are or shall be granted only as expressly provided in and subject to the terms of this Agreement. 

 

	3.4.2	Retained Rights. Each Party retains all rights not explicitly granted to the other Party under the terms of this Agreement, including, in the case of rights
retained by Ambit, all its rights under the Ambit Technology for all purposes other than the Exploitation of Licensed Compound(s) and Product(s) in the Field in the Territory, provided that, for clarity, each Party in exercising such retained
rights shall comply with Section 3.5 and Article 6. 

  

	3.5	Exclusivity 

  

	3.5.1	Each Party covenants that it and its Affiliates shall not, without the prior written consent of the other Party: 

(a) market, sell or otherwise commercialize any Competing Product for any Competitive Indication during the Exclusivity Period;

  
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(b) commercialize any Competing Product for a Competitive Indication, in each case, with, for the benefit of, or sponsored by, any Third
Party during the Exclusivity Period; or 
 (c) knowingly grant any license or other rights to any Third Party to utilize any
intellectual property Controlled by such Party or its Affiliates (including any Ambit Technology, Program Technology or Astellas Technology) for the express purpose of enabling such Third Party to market, sell or otherwise commercialize any
Competing Product for a Competitive Indication during the Exclusivity Period. 
 For purposes of this Section 3.5.1,
“Exclusivity Period” means the period from the Effective Date until the earlier of (a) the [...***...] anniversary of the First Commercial Sale of the first Product in the Joint Development Territory or (b) in
the case of a Terminated Country, the effective date of termination of such period with respect to such Terminated Country. 
  

	3.5.2	Notwithstanding the foregoing Section 3.5.1, if a Party (the “Subject Party”) merges or consolidates with, or acquires or is acquired by, a
Third Party that is researching, developing, or commercializing a Competing Product in any country(ies), or acquires assets (which assets represent substantially all of the assets of a Third Party) that include the business of researching,
developing, or commercializing a Competing Product in any country (but not including, for clarity, an in-license arrangement or asset acquisition limited to intellectual property rights), (a) the counterparty in such transaction (the
“Counterparty”) (the Counterparty’s Affiliate, which Affiliate is not an Affiliate of the Subject Party immediately prior to the closing of such transaction(s) (“Counterparty Affiliate”)) and Counterparty
Affiliates shall not become subject to the covenants in this Section 3.5 and (b) the covenants in Section 3.5 shall not apply to the Subject Party or its Affiliates, in each case ((a) and (b)), with respect to any Change of Control
Competing Product (as defined below) that the Subject Party or its Affiliates own or Control as a result of such transaction; provided, however, that the Subject Party and its Affiliates (other than the Counterparty and any Counterparty
Affiliate), and its and their successors, shall remain subject to such covenants with respect to any Competing Products other than the Change of Control Competing Product. For purposes of this Section 3.5.2 a “Change of Control
Competing Product” means Competing Product that the Counterparty or Counterparty Affiliates own or Control immediately prior to the closing of the transaction at issue. 

 

	3.6	Commercialization and Medical Affairs Activities 

  

	3.6.1	Astellas’s Responsibilities. Astellas shall be solely responsible and shall bear all costs for (a) commercializing each Product in the Territory,
including controlling all marketing, pricing and reimbursement, distribution, managed care and sales activity, and booking sales, and (b) conducting Medical Affairs Activities for each Product in the Territory, provided that
(i) each of Ambit and Astellas shall continue to share Research Costs and Development Costs with respect to each Product in the Joint Development Territory, (ii) with respect to each Co-Promoted Product commercialized in the U.S. during
the Co-Promotion Term, each of Ambit and Astellas (A) shall have those obligations with respect to Co-Promotion as are set forth for each Party in the applicable Co-Promotion Agreement and (B) shall pay to the other Co-Promotion Payments,
as applicable, pursuant to Sections 3.8.5 and 4.4. Astellas shall use Commercially Reasonable Efforts to commercialize each Product that is the subject of a Development Program in 

  

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	 	countries in which Regulatory Approval is obtained so as to maximize the value of each such Product. 

 

	3.6.2	Manufacturing and Supply  

(a) For a period to be established by the JSC and agreed to by Ambit, such agreement not to be unreasonably withheld, which period is
intended to support the orderly completion of the manufacturing technology transfer to Astellas to enable the First Commercial Sale in the Territory, Ambit shall continue to have primary operational responsibility for manufacturing and supply to
Astellas of Clinical Trial supplies of the Lead Product (including manufacturing any intermediary or any Licensed Compound or other material contained therein for purpose of such supply), and all other activities in support of preparation of the
Chemistry, Manufacturing and Controls sections of any Regulatory Materials or Regulatory Approval necessary to support receipt of Regulatory Approval of the Lead Product in the Joint Development Territory. At and after the end of the foregoing
period, Astellas shall have sole responsibility and decision making authority on (i) all manufacturing activities and regulatory activities designed to support preparation of the Chemistry, Manufacturing and Controls sections of any Regulatory
Materials or Regulatory Approval, pharmaceutical process development (provided that such process development activities shall be overseen by the JSC), and (ii) manufacturing of Clinical Trial supplies and commercial manufacturing for the
Lead Product and each other Product developed or commercialized under this Agreement (including any intermediate of any Licensed Compound or other material contained therein) in the Territory. For clarity, nothing in this Section 3.6.2 or any
other term or condition of this Agreement is intended to or shall be construed to limit Astellas’s right and license, as provided in Section 3.1, to make and have made any Product (including any intermediary or any Licensed Compound or
other material contained therein) at any time during the Term. 
 (b) Each Party shall have the following obligations with
respect to costs and expenses incurred in connection with the manufacturing activities described in clause (a): (i) costs incurred by either Party in pharmaceutical development and the Manufacturing Costs of any quantities of Clinical Trial
supplies required to carry out the Development Program shall constitute Development Costs; (ii) the Manufacturing Costs with respect to the commercialization of Co-Promoted Products to be commercialized in the U.S. shall be included in the
Annual U.S. Profit/Loss calculation; and (iii) all other Manufacturing Costs with respect to Products (including any intermediate or any Licensed Compound or other material contained therein) incurred by Astellas in support of commercialization
of Products for sale in the Territory by or on behalf of Astellas or its Related Parties shall be borne solely by Astellas. 

(c) Subject to the terms and conditions of this Agreement, until the completion of the manufacturing technology transfer and the
occurrence of the date selected by the JSC, promptly upon request of Astellas, Ambit shall use Commercially Reasonable Efforts to supply to Astellas clinical supplies of the Lead Product and placebos (if applicable), in such form and in such
quantities as may be required for any activities conducted by Astellas or its Related Parties pursuant to the Development Program for the Lead Product. Such supply shall be pursuant to reasonable forecasting and ordering procedures agreed to by the
Parties, consistent with industry standards and intended to cover amounts sufficient for clinical purposes. For clarity, in the event that Astellas procures supplies of the Lead Product that exceed its need for clinical supplies, nothing

  
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herein shall prohibit Astellas from using supply secured under this Section 3.6.2(c) for commercial purposes, provided that Astellas
complies with all Applicable Law in such use. 
 (d) In the event that Astellas desires Ambit to supply Lead Product specifically
intended for commercial use, the Parties shall negotiate in good faith and (if they reach agreement) enter into an appropriate supply agreement (which would include appropriate warranties and indemnities and other commercially reasonable terms
typical for such supply agreements). 
 (e) Within a reasonable period to be agreed following the Effective Date, Ambit and
Astellas shall cooperate to execute a reasonable quality agreement in a form to be agreed, which shall govern the Parties’ respective responsibilities with respect to quality-related matters applicable to clinical supplies of the Lead Product
and placebos (if applicable). 
 (f) On a schedule to be agreed by the JSC as set forth below, Ambit shall, and shall cause its
Affiliates to, disclose and make available to Astellas or any of its Related Parties or one or more Third Party manufacturers designated by Astellas all Ambit Know-How and all Ambit Program Know-How and Joint Program Know-How Controlled by Ambit or
its Affiliates as of the Effective Date and during the Term that is reasonably necessary for Astellas, its Related Parties or such Third Party manufacturers (as appropriate) to manufacture the Lead Product and the Ambit Compound contained in the
Lead Product. The JSC shall determine and agree a schedule to transfer such information from Ambit to Astellas in a smooth transition that minimizes any disruption or delay to the Development Program. Ambit shall provide such reasonable assistance
and cooperation to Astellas or its designee(s) to permit Astellas or the designee(s), as applicable, to be qualified by all required Regulatory Authorities as a manufacturer(s) of the Lead Product and the Licensed Compound contained in the Lead
Product as soon as practicable. In addition, Ambit shall perform or renew this technology transfer and qualification with respect to any Product at Astellas’s request, and from time to time to the extent that Ambit acquires or develops new
data, processes, know-how, or other Information relevant to the manufacture of a Product. The reasonable costs and expenses incurred by Ambit, including without limitation any internal personnel costs, in carrying out such transfer shall be shared
as a Development Costs. 
  

	3.7	Subcontracts; Contract Sales Forces. 

 (a) Astellas may subcontract the performance of commercialization activities allocated to it hereunder with respect to Products other than Co-Promoted Products in the U.S. during the Co-Promotion
Term, and (b) except as set forth in Exhibit D, either Party may subcontract the performance of Co-Promotion activities allocated to it with respect to Co-Promoted Products under any Co-Promotion Agreement, including to a contract sales force,
in each case ((a) and (b)) provided that such Party complies with the subcontracting requirements set forth in Section 2.6.6, mutatis mutandis. 

 

	3.8	Co-Promotion Option 

  

	3.8.1	 Option Grant. Subject to the terms of this Agreement, Ambit shall have the right and option, as to each Product to elect to Co-Promote any such
Product in the U.S., each under a trademark or trademarks owned by Astellas and used by Astellas in the 

  
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	 	promotion of such Product, in each case under the terms set forth in this Section 3.8 (the “Co-Promotion Option”). 

 

	3.8.2	Option Procedure. With respect to each Product in clinical development in the U.S., Astellas shall determine in good faith the projected date of the NDA Filing
for the first NDA covering such Product in the U.S., and shall inform Ambit of such date and shall keep Ambit fully apprised at JSC meetings of any changes in such projected date, so that Ambit has reasonable advance notice of the estimated date
that NDA Filing will occur with respect to the Product. To exercise the Co-Promotion Option with respect to a particular Product, Ambit shall notify Astellas in writing of such exercise, which notice may be given at any time provided that
such notice must be given no later than [...***...] for such Product (such date, the “Required Exercise Date”). If Ambit exercises the Co-Promotion Option for a particular Product, such Product shall then be a
“Co-Promoted Product” during the applicable Co-Promotion Term, and Astellas and Ambit will expeditiously negotiate in good faith and execute a definitive co-promotion agreement governing the Parties’ Co-Promotion activities for such
Co-Promoted Product [...***...] (the “Co-Promotion Agreement”). Such Co-Promotion Agreement shall include terms consistent with the terms set forth in Exhibit D of this Agreement and such other commercially reasonable
terms as are typical for similar co-promotion agreements. If the Parties are not able to complete and enter into such Co-Promotion Agreement within such period, then either Party may compel the Co-Promotion Agreement to be established by
“baseball arbitration” under the provisions of Exhibit E of this Agreement. 

  

	3.8.3	Lapse of Co-Promotion Option. Ambit’s Co-Promotion Option, with respect to each particular Product, shall lapse if: 

(a) Ambit does not notify Astellas in writing of its exercise of the Co-Promotion Option on or before the Required Exercise Date; or

 (b) this Agreement is terminated pursuant to Article 9. 

 

	3.8.4	Co-Promotion Process. For each Co-Promoted Product, the applicable Co-Promotion Agreement shall provide (in addition to the other material terms covered in
Exhibit D): 

 (a) that Ambit shall provide at Ambit’s upfront cost a sales force to Co-Promote each
Co-Promoted Product. With respect to a Co-Promoted Product, the number of details (to be further defined in the Co-Promotion Agreement) performed by sales representatives in the Ambit sales force as a proportion of the total number of details
performed in the U.S. by both Parties shall equal fifty percent (50%). 
 (b) Astellas shall provide all marketing materials,
sales training materials and samples to Ambit sales representatives in a manner and quantity consistent with its provision of marketing materials, sales training materials and samples to Astellas or its Affiliates’ own sales representatives.
The Parties shall, whenever practicable, conduct joint training of their respective sales forces, the cost of which shall be a sales training expense for the purposes of Section 1.13. 

 

	3.8.5	 Co-Promotion Profit Share. For each Co-Promoted Product, each of Ambit and AUS shall be entitled to receive from the other Party Co-Promotion
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	 	Section 4.4. In the case of Ambit, Co-Promotion Payments shall be in lieu of Ambit’s right to receive royalties based on sales of the Co-Promoted Product in
the U.S. 

  

	3.8.6	Co-Promotion Plan. If Ambit elects to exercise the Co-Promotion Option with respect to a Product, then promptly after such election the JCC shall discuss and
agree on a Co-Promotion Plan setting forth, on an annual basis, the Co-Promotion activities to be conducted by the Parties with respect to the Co-Promoted Product and a budget for the Direct Marketing/Promotion Expenses and Indirect Marketing
Expenses that Astellas proposes to incur in support of the commercialization of such Co-Promoted Product in the U.S. As necessary or appropriate throughout the applicable Co-Promotion Term, but no less frequently than annually and prior to
October 31 of each Calendar Year, the JCC shall review and update and amend the Co-Promotion Plan as appropriate to commercialize the Co-Promoted Product in the U.S. 

 

	3.9	Joint Commercialization Committee. 

  

	3.9.1	Establishment and Authority of JCC. If Ambit elects to exercise the Co-promotion Option with respect to a Product, then promptly after such election the Parties
shall form a Joint Commercialization Committee (the “JCC”) to plan and oversee the Co-Promotion activities by both Parties in the U.S. with respect to Co-Promoted Products and to approve Co-Promotion Plans. The JCC’s
responsibilities and authority shall be as follows: 

 (a) for each Co-Promoted Product, preparing and approving
the Co-Promotion Plan for such Product, and all amendments and updates to such Co-Promotion Plan, with each such Co-Promotion Plan being consistent with the Co-Promotion Agreement applicable to the particular Co-Promoted Product (but subject to
Astellas’s final decision-making authority with respect to any components of the Co-Promotion Plan other than the budgets included in such Co-Promotion Plan); 
 (b) allocating responsibilities for the Co-Promotion tasks and activities to be completed by each of the Parties in accordance with each Co-Promotion Plan and the applicable Co-Promotion Agreement;

 (c) monitoring, managing and directing (in accordance with the terms of the applicable Co-Promotion Agreement), and reviewing
and discussing the results and progress of, the Co-Promotion of each Co-Promoted Product; and 
 (d) performing any other
activity or role as expressly assigned to the JCC under the terms of this Agreement, the applicable Co-Promotion Agreement, or otherwise by the Parties in writing. 
 For clarity, Astellas shall remain solely responsible in accordance with Section 3.6.1, without JCC oversight, for all aspects of the commercialization of the Co-Promoted Products other than the
Co-Promotion activities, including pricing and reimbursement, distribution, managed care and booking sales. The JCC shall remain in effect until the termination of the Co-Promotion Term with respect to all Products for which Ambit has exercised its
Co-Promotion Option (but subject to Sections 2.2 and 9.2). 
  

	3.9.2	 Composition of JCC; Chairperson. The JCC shall be composed of an equal number of representatives from each Party (initially to be set at three
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	 	Astellas and three (3) representatives of Ambit, or such other number as agreed by the parties from time-to-time). Chairperson responsibilities for the JCC shall
be shared between the Parties, and shall alternate between the Parties annually with the first chairperson designated by Astellas. 

  

	3.9.3	JCC Meetings. The JCC shall meet [...***...] per year, or more or less frequently as agreed by the Parties. The first meeting of the JCC shall be
held within twenty (20) calendar days of the later of (a) the NDA Filing date for the first NDA for the Co-Promoted Product to which Ambit as previously exercised its Co-promotion Option or (b) the effective date agreed to by the
Parties for the Co-Promotion Agreement. The JCC may meet in person, or by teleconference, videoconference or other similar means as requested by a Party (but provided that at least one meeting will be in person each Calendar Year).
Information exchanged at JCC meetings and decisions reached by the JCC shall be recorded in minutes of the meetings. The chairperson of the JCC shall be responsible for preparing and circulating to the JCC members a draft of the minutes, for review
and comment. The chairperson shall seek to include in the minutes all accurate comments. Such minutes shall become final when approved by both Parties. Each Party shall bear its own expenses and the expenses of its representatives related to the
attendance at JCC meetings, none of which expenses shall be deemed included in the Annual U.S. Profit/Loss. 

  

	3.9.4	Decision Making. All decisions of the JCC require unanimous agreement of the Parties, with each Party having one (1) vote on all matters presented to the
JCC for resolution or decision. The members of the JCC will attempt in good faith to reach consensus on all matters before the JCC. In the event that the JCC cannot, after such good-faith efforts, reach agreement on a matter within the jurisdiction
of the JCC, including any adoption, amendment or update to a Co-Promotion Plan within [...***...], the issue shall be elevated to a Executive Officer of each of Ambit and Astellas, to seek in good faith to reach agreement on the issue.
Solely in the case of a dispute regarding the Direct Marketing/Promotion Expenses or the Indirect Marketing Expenses proposed to be included in the Co-Promotion Plan budget (or any proposed amendment or update thereto) (in each case, a
“Proposed Expense Dispute”), the Parties shall exchange written proposals regarding the portion of the budget in dispute in advance of elevating such dispute to the Executive Officers. In the event such executives cannot resolve the
issue after good-faith efforts within [...***...], then (a) if the dispute is a Proposed Expense Dispute, either Party shall have the right to cause the Dispute to be resolved by expedited arbitration pursuant to Exhibit E, and
(b) if the dispute concerns any other issue the issue shall be decided by Astellas, in its reasonable discretion but subject to Astellas’s obligation to use Commercially Reasonable Efforts as set forth in Section 3.6.1 and taking into
account the legitimate business issues of Ambit with respect to the issue. Astellas shall provide Ambit with a Decision Notice with respect to such decision, which decision shall be final and binding on the Parties. For clarity, in the event of a
dispute concerning the Co-Promotion Plan budget which is resolved by expedited arbitration, Astellas may, but shall not be required to, perform the activities contemplated in its proposed Co-Promotion Plan budget, but the Direct Marketing/Promotion
Expenses and Indirect Marketing Expenses incurred by Astellas during the Calendar Year covered by the disputed budget shall only be included in the calculation of the Annual U.S. Profit/Loss up to the amount of the Arbitrator-Determined Marketing
Budget (as defined in Exhibit E), and such additional amounts shall be borne solely by Astellas. 

  

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	4.	FEES, MILESTONES, ROYALTIES AND PROFIT SHARE 

  

	4.1	License Fee 

 In partial
consideration for the license rights granted pursuant to Section 3.1, no later than three (3) Business Days after the Effective Date, Astellas shall pay to Ambit a non-refundable, non-creditable, one-time, initial license fee payment of
Forty Million Dollars (US $40,000,000). 
  

	4.2	Milestone Events and Payments 

 Upon the first achievement by Astellas (or its Related Party) of any milestone event set forth in any table in Section 4.2.1, 4.2.2, 4.2.3 or 4.2.4 (each, a “Milestone Event”),
Astellas shall notify Ambit thereof in writing not later than ten (10) Business Days after such Milestone Event is achieved, and Astellas shall pay to Ambit the applicable non-refundable, non-creditable, one-time milestone payment within
[...***...] following the achievement of the Milestone Event. For the avoidance of doubt, following the achievement of any Milestone Event with respect to a particular Indication, if a second Product achieves the same Milestone Event
for the same Indication, no additional milestone payment shall be payable with respect to such Milestone Event. Milestone payments for the achievement of Milestone Events with respect to the EU shall be payable following the achievement of the
applicable Milestone Event in any Major EU Country or, in the case of a centralized EU filing or approval, with respect to the EMEA. 
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AML Indication. Each milestone payment in the table below shall be payable following the achievement of the applicable Milestone
Event by Astellas or any of its Related Parties with respect to the applicable region for the AML Indication. 
  

									
	 Milestone Event

for the AML

Indication
	  	Milestone Payments
		  	U.S.	  	EU (Major
 EU
Country
 or EMEA)
	  	Japan
	[...***...]	  	US$[...***...]	  	US$[...***...]
		  	 (in either U.S. or EU whichever occurs first)

(as used in the descriptions of the Milestone
 Events, the convention “US$__M” means the
 applicable amount in
millions of U.S. dollars.)
	  	
					
	[...***...]	  	Monotherapy	  	Combination
Therapy	  	1st NDA
(Monotherapy or
 Combination
Therapy)
	  	1st NDA
(Monotherapy or
 Combination
Therapy)

					
		  	US$[...***...]	  	US$[...***...]	  	US$[...***...]	  	US$[...***...]
					
	[...***...]	  	Monotherapy	  	Combination
Therapy	  	1st Approval	  	1st Approval
		  	 US$[...***...] if
 Ambit exercises
 the Co-Promotion Option for the

Product.
	  	US$[...***...]	  	$[...***...]	  	$[...***...]
		  	 US$[...***...] if
 Ambit does not exercise the Co-Promotion Option for the Product.
	  		  		  	

 Notwithstanding the foregoing, in the event that [...***...], the milestone payment due for
receipt of a Regulatory Approval from the FDA shall automatically be increased from [...***...] as listed in the above table, to [...***...]. 
 As used in the chart above, “Combination Therapy” means, with respect to a Product, 

  

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that such Product is labeled for use in combination with another product. 

 

	4.2.1	First Oncology Indication Other Than AML Indication. Each milestone payment in the table below shall be payable following the achievement by Astellas or any of
its Related Parties of the applicable Milestone Event with respect to the applicable region for the first Oncology Indication other than the AML Indication. 

 

							
	Milestone Event for First Oncology Indication Other Than AML Indication	  	Milestone Payments
		  	U.S.	  	EU (Major EU Country or
EMEA)	  	Japan
	 [...***...]
	  	 US$[...***...]
 (in either U.S. or EU whichever occurs first)
	  	US$[...***...]
	 [...***...]
	  	US$[...***...]	  	US$[...***...]	  	US$[...***...]
	 [...***...]
	  	US$[...***...]	  	US$[...***...]	  	US$[...***...]

  

	4.2.2	Second Oncology Indication Other Than AML Indication. Each milestone payment in the table below shall be payable following the achievement by Astellas or any of
its Related Parties of the applicable Milestone Event with respect to the applicable region for the second Oncology Indication other than the AML Indication. 

 

							
	Milestone Event for Second Oncology Indication Other Than AML Indication	  	Milestone Payments
		  	U.S.	  	EU (Major EU Country or
EMEA)	  	Japan
	 [...***...]
	  	 US$[...***...]
 (in either U.S. or EU whichever occurs first)
	  	US$[...***...]
	 [...***...]
	  	US$[...***...]	  	US$[...***...]	  	US$[...***...]
	 [...***...]
	  	US$[...***...]	  	US$[...***...]	  	US$[...***...]

  

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 First Non-Oncology Indication. Each milestone payment in the table below shall be payable following the achievement by Astellas or its Related Parties of the applicable Milestone Event with respect
to the applicable region for the first Non-Oncology Indication. 
  

									
	 Milestone Event

for First
 Non-Oncology

Indication
	  	 Milestone Payments

		  	U.S.	  	EU (Major EU Country or
 EMEA)
	  	Japan
	 [...***...]
	  	 US$[...***...]
 (in U.S., EU or Japan whichever occurs first)

	 [...***...]
	  	 US$[...***...]
 (in U.S., EU or Japan whichever occurs first)

	 [...***...]
	  	US$[...***...]	  		  	US$[...***...]	  	US$[...***...]
	 [...***...]
	  	 US$[...***...] if
 Ambit exercises
 the Co-

Promotion
 Option
for the
 Product.
	  		  	US$[...***...]	  	US$[...***...]
					
		  	US$[...***...] if Ambit does not exercise the Co-Promotion Option for the Product.	  		  		  	

  

	4.2.3	Skipped Milestones. In the event that a Product is not required to undergo the testing associated with a particular Milestone Event, the Milestone Payment
associated with such Milestone Event shall become due and payable with the next occurring Milestone Payment owed for such Product. For the avoidance of doubt, no Milestone Payment shall be payable twice as a result of this Section 4.2.5,
including if a Milestone Payment for the Milestone Event for the initiation of a Phase III Clinical Trial was previously paid with respect to another country or region that is combined with the applicable region. 

 

	4.3	Royalties and Sales Milestones 

  

	4.3.1	Royalties. For each Product being sold by or on behalf of Astellas or any Related Party in a country in the Royalty Bearing Territory during the Royalty Term
applicable to such Product in such country, Astellas shall pay royalties to Ambit based on the aggregate amount of the Net Sales of all Products in the Royalty Bearing Territory in each Calendar 

  

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	 	Year (or partial Calendar Year) as calculated using the royalty rates set forth in the table below. 

 

			
	Net Sales of Products in the Royalty Bearing Territory	  	Royalty Rate
	 Portion less than or equal to

US$[...***...]
	  	[...***...]%
	 Portion greater than US$[...***...] and less than or equal
to
 US$[...***...]
	  	[...***...]%
	 Portion greater than US$[...***...]
	  	[...***...]%

  

	4.3.2	Annual Sales Milestone. In any Calendar Year where aggregate Net Sales of all Products in the Royalty Bearing Territory exceed [...***...], an
additional payment of [...***...] shall be paid to Ambit by Astellas (in addition to the royalty payments payable pursuant to Section 4.3.1). Such payment shall be made no later than the sixtieth (60th) day following the end
of the Calendar Quarter in which aggregate Net Sales for the Calendar Year of all Products in the Royalty Bearing Territory exceeded [...***...]. 

 

	4.3.3	Additional Royalty Provisions. The royalty obligations of this Section 4.3 are subject to the following additional terms: 

(a) only one royalty shall be due to Ambit with respect to the same unit of Product sold; 

(b) no royalties shall be due upon the sale or other transfer of Product among Astellas or its Related Parties, provided that such
Product is subsequently resold to a Third Party purchaser (including a Distributor) in a transaction for which royalty shall be due and calculated upon Astellas’s or its Related Party’s Net Sales to such Third Party; 

(c) no royalty shall accrue on the transfer of Product by Astellas or its Related Parties for use in a Clinical Trial, for free or nominal
cost not to exceed the fully burdened cost of manufacturing the Product; and 
 (d) no royalties shall accrue on the disposition
of Product by Astellas or its Related Parties as samples (promotion or otherwise) or as donations by Astellas or its Related Parties (for example, to non-profit institutions or government agencies for a non-commercial purpose). 

(e) no royalties shall be due with respect to Net Sales of Co-Promoted Products made in the U.S. during its Co-Promotion Term, and such
Net Sales shall be excluded from aggregate worldwide Net Sales for the purpose of calculating annual sales milestones and the royalty tiers in the table in Section 4.3.1. 

 

	4.3.4	Third Party Royalties. 

Royalty payments payable under this Article 4 are inclusive of any amounts payable by Ambit or any of its Affiliates to any Third Party
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respect of license fees, royalties, milestone payments and sales milestone payments) under any relevant agreement which has been entered
into by and between Ambit and such Third Party on or before the Effective Date. No amounts shall be due from Astellas hereunder in respect of any such obligations. Subject to Section 8.2, all amounts payable by either Party or any of their
respective Affiliates to any Third Party licensor (including amounts payable in respect of royalties, milestone payments and sales milestone payments) under any relevant agreement which has been entered into by Astellas after the Effective Date, or
by Ambit after the Effective Date, which is not declined by Astellas pursuant to Section 8.2.2, shall be shared by the Parties equally (fifty percent (50%) borne by Astellas and fifty percent (50%) borne by Ambit). In the event that
Ambit exercises the Co-Promotion Option as to a Product, any such amounts due on sales of such Co-Promoted Product in the U.S. will constitute Allowed Expenses in the determination of Annual U.S. Profit/Loss. 

 

	4.3.5	Royalty Step-Downs. 

 (a)
Compulsory Licenses. In the event that a court or a governmental agency of competent jurisdiction requires Ambit or any of its Affiliates or Astellas or any of its Related Parties to grant a compulsory license to a Third Party permitting such
Third Party to make or sell a Product in a country in the Royalty Bearing Territory, then for the purposes of calculating the royalties due under Section 4.3 with respect to such Product in such country, the royalty rate on Net Sales of such
Product in such country in the Royalty Bearing Territory in the applicable Calendar Year shall be the lesser of the rate under Section 4.3 and the rate at which such Third Party is obligated to pay royalties pursuant to such compulsory license
(in either case, which rate shall be subject to other applicable adjustments under this Section 4.3.5). 
 (b) Generic
Competition. 
  

	 	(i)	If there is commercial sale in a country in the Royalty Bearing Territory of any Generic Version of a Product being sold in such country, such commercial sale by any
unauthorized Person other than Astellas or one of Astellas’s Related Parties, then [...***...]. 

  

	 	(ii)	With regard to Section 4.3.5(b)(i), in the applicable country with respect to the applicable Product, [...***...] shall not apply or be available with
respect to such country for any period during which there is an issued Valid Patent Claim in such country that claims or covers (A) the Generic Version (and/or the active ingredient therein) as a composition of matter, and the sale of such
Generic Version in the country would infringe such Valid Patent Claim, or (B) a method of use of such Generic Version that would be infringed by use of the Generic Version in accordance with the approved label for such Generic Version in such
country. 

  

	4.3.6	 Payment of Royalties. During the term of this Agreement following the First Commercial Sale of a Product, Astellas shall furnish to Ambit a
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	 	Calendar Quarter showing the Net Sales of all Products subject to royalty payments sold by Astellas and its Related Parties in the Territory (on a Product-by-Product
and country-by-country basis) during the reporting period and the calculation of the royalties payable under this Agreement based on such sales. [...***...]. Astellas and its Related Parties shall keep complete and accurate records in
sufficient detail to enable the royalties payable hereunder to be determined. 

  

	4.4	Payment of Co-Promotion Profit Share 

  

	4.4.1	Co-Promotion Payment Reports. For each Co-Promoted Product, within [...***...] of each Calendar Year during the applicable Co-Promotion Term, Ambit
shall report to AUS in reasonable detail any Allowed Expenses incurred by or on behalf of Ambit or any of its Affiliates in such Calendar Year (or, as applicable, any part thereof) for the Co-Promoted Product during its Co-Promotion Term, and
promptly shall provide any invoices or other supporting documentation for such expenses that AUS reasonably requests. Within [...***...] receiving such report, AUS shall report to Ambit in reasonable detail (a) the Net Sales in the
U.S. made for such Co-Promoted Product during the Calendar Year (or, as applicable, any part thereof) during the Co-promotion Term, (b) the Allowed Expenses incurred by or on behalf of each Party with respect to such Co-Promoted Product during
the Calendar Year (or, as applicable, any part thereof) during the Co-Promotion Term (and AUS promptly shall provide to Ambit any invoices or other supporting documentation for such expenses incurred by or on behalf of Astellas that Ambit reasonably
requests), (c) the Annual U.S. Profit/Loss recognized with respect to the Co-Promoted Product in the U.S. during the Calendar Year and (d) the Co-Promotion Payment payable by the applicable Party to the other Party under this
Section 4.4. 

  

	4.4.2	Co-Promotion Payment. With respect to a Co-Promoted Product, the “Co-Promotion Payment” shall be such payment to be made by Ambit or AUS, as
applicable, such that each Party receives (if a profit) or bears (if a loss) fifty percent (50%) of the Annual U.S. Profit/Loss for the Co-Promoted Product during the Co-Promotion Term in the applicable Calendar Year (or, as applicable, any
part thereof). Ambit or AUS, as applicable, shall make the Co-Promotion Payment with respect to any Calendar Year (or, as applicable, any part thereof) within [...***...] following delivery or receipt of the applicable Co-Promotion
Payment report described in Section 4.4.1, as applicable. Except as set forth in Section 4.4.3, all such Co-Promotion Payments are non-refundable. 

 

	4.4.3	Dispute Resolution. Notwithstanding the foregoing, if Ambit or AUS have a dispute about determining the amount of the Co-Promotion Payment for a particular
Calendar Year, then despite the existence of such dispute, Ambit and AUS shall establish a preliminary reconciliation calculation of Annual U.S. Profit/Loss based on the Net Sales during such Calendar Year in the U.S. with respect to the Co-Promoted
Product and all Allowed Expenses incurred by AUS or Ambit, in each case, on which the Parties agree and AUS or Ambit, as applicable, shall make the Co-Promotion Payment with respect to such agreed preliminary calculation as provided above. Promptly
after such dispute is resolved, Ambit and AUS shall recalculate the Co-Promotion Payment (based on the total Net Sales and Allowed Expenses that are determined to have been incurred by AUS and Ambit during the subject Calendar Year, and taking into
account the preliminary Co-Promotion Payment made by the applicable Party as above) and Ambit 

  

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	 	or AUS, as applicable, shall [...***...] of such recalculation the needed final reconciliation payment for such Calendar Year so that Ambit and AUS will
have received (or borne, as applicable), after both such payments, its fifty percent (50%) share of the total U.S. Annual Profit/Loss for the Co-Promoted Product for the Calendar Year (or, as applicable, any part thereof) during the
Co-Promotion Term. 

  

	4.4.4	Recordkeeping. With respect to each Co-Promoted Product, each Party and its Related Parties shall keep complete and accurate records and documentation with
respect to all Allowed Expenses, and, in the case if AUS, all Net Sales of the Co-Promoted Product during its applicable Co-Promotion Period, in each case in sufficient detail to enable the other Party to verify the accuracy of the Co-Promotion
Payment for the applicable Calendar Year. 

  

	4.5	Other Amounts Payable. 

Certain payments due under this Agreement are accounted for outside this Article 4, including payments between the Parties with respect to
Research Costs and Development Costs, which are governed by Section 2.7.1, repayment of Development Costs relating to Declined Development Activities, which are governed by Section 2.7.4(d), payments in respect of recall expenses which are
governed by Section 2.10, and amounts to be shared in connection with suits by Third Parties for intellectual property infringement which are governed to Section 8.4.2(c). Unless otherwise indicated with respect to the applicable payment
term, [...***...] after the end of each Calendar Quarter, each Party shall invoice the other Party for any amounts owed by the other Party under this Agreement that are not otherwise accounted for in this Article 4. The invoicing Party
shall have the right to offset part or all of such invoiced amount or any other payments due under this Agreement, including amounts due under this Section 4.5, against payments owed to the other Party by the invoicing Party pursuant to this
Article 4 (including payments in respect of milestones, royalties, but excluding payments in respect of the Annual U.S. Profit/Loss). The owing Party shall pay any undisputed amounts that have not been so offset [...***...], and any
disputed amounts owed by a Party shall be paid (or offset) [...***...] of resolution of the dispute. 
  

	4.6	Audits 

  

	4.6.1	Recordkeeping and Audits. Each Party and its Affiliates shall prepare and maintain, and shall require all their sublicensees (including Sublicensees) to prepare
and maintain, complete and accurate records of pertaining to the determination of the Research Costs, Development Costs, Net Sales of Products and all Allowed Expenses as needed to verify the accuracy of reports and payments due hereunder. Such
records shall be maintained at least until the date that is five (5) years after the Calendar Quarter in which the applicable sales occurred or such costs and expenses where invoiced. Upon the written request of the other Party, and not more
than once in each Calendar Year, each Party shall permit an independent certified public accounting firm of nationally recognized standing selected by the other Party and reasonably acceptable to the audited Party, at the auditing Party’s
expense, to have access during normal business hours to such of the records of the audited Party as may be reasonably necessary to examine and verify the accuracy of the reports and payments due hereunder. Such examinations shall not occur more than
thirty-six (36) months after the Calendar Quarter in which the applicable sales occurred or such costs and expenses were invoiced. The 

  

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	 	accounting firm shall disclose to the auditing Party only whether the reports are correct or incorrect and the amount of any discrepancy. No other information shall be
provided to the auditing Party. In the case of a reported discrepancy, the Audited Party shall continue to retain the relevant records until the discrepancy is resolved between the Parties. 

 

	4.6.2	Discrepancies. If such accounting firm identifies a discrepancy in any report made during the period audited leading to a discrepancy in payments required to be
made under this Agreement, the appropriate Party shall pay the other Party the amount of the discrepancy within sixty (60) days of the date such accounting firm’s written report so concluding is delivered to the audited Party, plus
interest thereon at the rate of the Prime Rate (as published by Reuter’s or, if not available, by Bloomberg, L.P.) plus one percent (1%) per annum calculated based on the number of days elapsed from the date payment was originally due
until the date payment is made. The fees charged by such accounting firm shall be paid by the auditing Party, provided, however, that if such audit requires a payment by the audited Party that exceeds one hundred thousand dollars
(US$100,000), then the fees of such accounting firm shall be paid by the audited Party. 

  

	4.6.3	Sublicensee Reports. Each Party shall include in each sublicense granted by it pursuant to this Agreement a provision requiring the sublicensee to make reports
to such Party, to keep and maintain records of sales made and expenses incurred pursuant to such sublicense and to grant access to such records by the other Party’s independent accountant to the same extent required of the Party under this
Agreement. 

  

	4.6.4	Date Reports Deemed Conclusive. Upon the expiration of each Party’s obligations to retain records under Section 4.6.1, any reports or invoices
detailing amounts that one Party may owe to the other Party hereunder shall be binding and conclusive upon the Parties, and the Parties and their respective Related Parties shall be released from any liability or accountability with respect to
payments that would otherwise be required pursuant to Section 4.6 for the period covered by such report, except to the extent that fraud can be proven. 

 

	4.6.5	Audit Confidentiality. Each Party shall treat all financial information subject to review under Section 4.6.1 or under any sublicense agreement in
accordance with the confidentiality and non-use provisions of this Agreement, and shall cause its accounting firm to enter into a reasonably acceptable confidentiality agreement with the other Party and/or its Affiliates, or in the case of Astellas,
its other Related Parties obligating it to retain such information in confidence and to refrain from using such information for any other purpose, in each case pursuant to such confidentiality agreement. 

 

	4.7	Payment Exchange Rate 

All payments to be made by one Party to the other Party under this Agreement shall be made in United States Dollars and may be paid by
bank wire transfer in immediately available funds to such bank account in the United States as may be designated in writing by the payee Party from time to time. In the case of sales or expenses outside the United States, the rate of exchange to be
used in computing the amount of currency equivalent in United States Dollars shall be made at the monthly rate of exchange utilized by Astellas in its worldwide accounting system that are independently audited on an annual basis and are consistently
applied to its products. 

  
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	4.8	Income Tax Withholding 

  

	4.8.1	Taxes on Income. Each Party shall be solely responsible for the payment of all taxes imposed on its share of income arising directly or indirectly from the
collaborative efforts of the Parties under this Agreement. 

  

	4.8.2	Tax Cooperation. The Parties agree to cooperate with one another and use reasonable efforts to avoid or reduce tax withholding or similar obligations in respect
of royalties, milestone payments, and other payments made by Astellas to Ambit under this Agreement. Without limiting the generality of the foregoing, Ambit shall provide Astellas any tax forms and other information that may be reasonably necessary
in order for Astellas to not withhold tax or to withhold tax at a reduced rate under an applicable bilateral income tax treaty. Ambit shall provide any such tax forms to Astellas at least thirty (30) days prior to the due date for any payment
for which Ambit desires that Astellas apply a reduced withholding rate. Each Party shall provide the other with reasonable assistance to enable the recovery, as permitted by Applicable Law, of withholding taxes, value added taxes, or similar
obligations resulting from payments made under this Agreement, such recovery to be for the benefit of the Party bearing such withholding tax or value added tax. 

 

	4.8.3	Payment of Tax. To the extent Astellas is required by Applicable Law to deduct and withhold taxes on any payment to Ambit, Astellas shall pay the amounts of such
taxes to the proper Governmental Authority in a timely manner and promptly transmit to Ambit an official tax certificate or other evidence of such withholding sufficient to enable Ambit to claim such payment of taxes. 

 

	4.8.4	Treatment of Certain Withholding Taxes. If Astellas is required to deduct and withhold taxes on any payment to Ambit and such withholding obligation arises as a
result of any action by Astellas that has the effect of modifying the tax treatment of the Parties hereto (including any assignment or sublicense, or any failure on the part of Astellas to comply with Applicable Law or filing or record retention
requirements) (an “Astellas Withholding Tax Action”), then the sum payable by Astellas (in respect of which such deduction or withholding is required to be made) shall be increased to the extent necessary to ensure that Ambit
actually receives the sum that it would have received had no such Astellas Withholding Tax Action occurred; provided, however, that no such increase shall apply to the extent such increase would have resulted (a) from a change in
Applicable Law increasing the applicable withholding tax rate, which change occurs after the Effective Date, (b) in circumstances where actions or inactions of Ambit or any of its Affiliates cause a change in the applicable withholding tax
rate, for example, the failure of Ambit to timely provide to Astellas the appropriate treaty forms and the certificate of residence necessary for Astellas to withhold at a more favorable rate or the assignment by Ambit to an Affiliate or Third Party
of the right to receive any payments hereunder or (c) from the failure of Ambit to meet a limitation of benefits provision of the US/Japan Tax Treaty. 

 

	5.	REPRESENTATIONS, WARRANTIES AND COVENANTS 

  

	5.1	Mutual Representations and Warranties. Each Party hereby represents and warrants to the other Party as of the Effective Date, and covenants (as applicable) to
the other Party as follows: 

  
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	5.1.1	Corporate Existence and Power. It is a company or corporation duly organized, validly existing, and in good standing under the laws of the jurisdiction in which
it is incorporated, and has full corporate power and authority and the legal right to own and operate its property and assets and to carry on its business as it is now being conducted and as contemplated in this Agreement, including, without
limitation, the right to grant the licenses, rights of reference and other similar rights granted by it hereunder. 

  

	5.1.2	Authority and Binding Agreement. (a) It has the corporate power and authority and the legal right to enter into this Agreement and perform its obligations
hereunder; (b) it has taken all necessary corporate action on its part required to authorize the execution and delivery of this Agreement and the performance of its obligations hereunder; and (c) this Agreement has been duly executed and
delivered on behalf of such Party, and constitutes a legal, valid, and binding obligation of such Party that is enforceable against it in accordance with its terms. 

 

	5.1.3	No Conflict. It is not a party to and will not enter into any agreement that would prevent it from granting the rights or exclusivity granted or intended to be
granted to the other Party under this Agreement or performing its obligations under this Agreement. 

  

	5.1.4	Rights to Resulting Technology. It shall obtain from each of its Affiliates, sublicensees, employees and agents, and from the employees and agents of its
Affiliates, sublicensees and agents, who are performing activities under the Research Plan or a Development Program or are otherwise participating in the Exploitation of the Licensed Compounds or Products or who otherwise have access to any Ambit
Know-How or Program Know-How or other Confidential Information of the other Party, rights to any and all Information that relates to the Licensed Compound or Products, such that the Parties shall, by virtue of this Agreement, receive from, without
payments beyond those required by under this Agreement, the licenses and other rights granted hereunder. 

  

	5.2	Representations, Warranties and Covenants of Ambit. 

 Ambit represents and warrants to Astellas as of the Effective Date of this Agreement, and covenants to Astellas as follows: 
  

	5.2.1	Title. 

 (a) Ambit is the
sole and exclusive owner of the entire right, title and interest in (i) the Regulatory Materials and Regulatory Approvals existing as of the Effective Date, (ii) the Patent Rights listed on Exhibit B as of the Effective Date, and
(iii) Information consisting of non-clinical data and clinical data relating to the Lead Product that has been generated in connection with activities conducted or sponsored by or on behalf of Ambit or any of its Affiliates as of the Effective
Date, and (iv) without limitation of clause (iii), clinical data relating to the Lead Product that is otherwise in the possession of Ambit or its Affiliates or subcontractors as of the Effective Date, which Information in the case of clause
(iii) and (iv), for clarity, constitutes Ambit Know-How (collectively, (i), (ii), (iii) and (iv), the “Selected IP and Materials”). Ambit is the owner or licensee of any and all Ambit Know-How, other than the Ambit
Know-How covered by the immediately foregoing sentence. Ambit is entitled to grant the licenses and rights of reference to Astellas specified in Article 3. Exhibit B lists all of the Patent Rights that exist as of the Effective Date and are within
Ambit’s or its Affiliates’ ownership or Control that would be reasonably necessary for the Exploitation of Licensed Compounds and 

  
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Products. To Ambit’s Knowledge, each of the Ambit Licensed Patents listed on Exhibit B properly identifies each and every inventor
of the claims thereof as determined in accordance with the laws of the jurisdiction in which such Ambit Licensed Patent is issued or such application is pending. 

(b) The Selected IP and Materials are not subject to any encumbrance, lien or claim of ownership by any Third Party, and,
except as disclosed in Schedule 5.2.1 (by reference to the applicable Third Party and the applicable agreement, if any), neither Ambit nor any of its Affiliates has entered into any agreement granting any right, interest or claim in or to any Ambit
Compound or Selected IP and Materials to any Third Party (including any license, option, right of reference, or covenant not to sue). For purposes of this Section 5.2.1, each Third Party identified in Schedule 5.2.1 shall be referred to as a
“Relevant Third Party,” and each agreement listed in Schedule 5.2.1 shall be referred to as a “Relevant Agreement.” For purposes of this Section 5.2.1, in the event that Ambit has failed to disclose in
Schedule 5.2.1 any Third Party or related agreement that should have been disclosed in order to make the first sentence of this Section 5.2.1(b) true, correct and complete, Ambit shall notify Astellas thereof immediately upon such discovery or
determination by Ambit and, whether or not such notice is provided, each such Third Party and each applicable agreement shall automatically be deemed to constitute a Relevant Third Party and a Relevant Agreement, respectively, as of the Effective
Date. To Ambit’s Knowledge, except as specifically described on Schedule 5.2.1, none of any Relevant Third Party or any of its employees, agents, or representatives, or any Person to which any such Relevant Third Party has disclosed or
otherwise granted access to any Ambit Compound, Ambit Technology, Regulatory Materials or Regulatory Approvals, or other proprietary materials or information of Ambit, has conceived, discovered, developed, generated or otherwise made any invention
or other intellectual property in connection with activities under or permitted pursuant to the Relevant Agreement, and Ambit has not received notice of the conception, discovery, development, generation or making of any such invention or
intellectual property. Neither Ambit nor any of its Affiliates is currently using, and neither Ambit nor any of its Affiliates will, without Astellas prior consent, use in any research or development activities concerning any Ambit Compound,
including any activities under this Agreement. any data or other results disclosed or otherwise provided to Ambit or any of its Affiliates by or on behalf of any Relevant Third Party, and no such data or results have been included by Ambit or any of
its Affiliates in any Regulatory Materials or Regulatory Approvals. No option or other similar right provided to Ambit to obtain a license under any Relevant Agreement has expired or terminated without Ambit having exercised such option or other
similar rights with respect to any inventions, intellectual property or other results disclosed to it under the Relevant Agreement or of which it is aware, and Ambit shall obtain Astellas’s prior written consent prior to declining to exercise
or allowing to lapse any such option or similar rights and prior to terminating or amending (or allowing to be terminated) any license granted to Ambit under any Relevant Agreement. As of the Effective Date, Ambit has not been granted a license by
any Relevant Third Party with respect to any inventions, intellectual property or other results arising under such agreement or otherwise relating to any Ambit Compound, Ambit Technology, Regulatory Materials or Regulatory Approvals, or the
exploitation thereof, or otherwise been granted any license as a result of activities under any Relevant Agreement, except as expressly provided in the Relevant Agreements actually listed on Schedule 5.2.1. Ambit has not materially breached, and
will not materially breach, any Relevant Agreement. At the request of Astellas, Ambit will terminate any and all Relevant Agreements with respect to which Ambit has the right to terminate the 

  
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Relevant Agreement promptly after request by Astellas, or if there is no such right of termination as of the Effective Date, as of the
earliest date following such request by Astellas as Ambit is permitted to terminate such Relevant Agreement(s). At the request of Astellas, Ambit shall use its best efforts to confirm promptly in writing with any and all Relevant Third Party(ies)
whether any of the foregoing described inventions, intellectual property or other results have been conceived, discovered, developed, generated or otherwise made under the Relevant Agreement, and, to obtain meaningful disclosures with respect
thereto to the full extent permitted by the Relevant Agreement. 
  

	5.2.2	No Proceedings. There are no claims, judgments or settlements against or owed by Ambit with respect to, and there are no pending or, to Ambit’s Knowledge,
overtly threatened, claims or litigation relating directly to the Ambit Technology, any Licensed Compound or Product or to the transactions contemplated by this Agreement. Further, no Third Party has challenged the extent, validity or enforceability
of any Patent Rights encompassed within the Ambit Licensed Patents (a) through the institution of legal proceedings, in a court or of interference, nullity, opposition or similar invalidity proceedings before the U.S. Patent and Trademark
Office or any analogous foreign entity or (b) to the Knowledge of Ambit following reasonably diligent inquiry, by written threat of institution of such proceedings. 

 

	5.2.3	Third-Party Activities. As of the Effective Date, to Ambit’s Knowledge, there is no actual infringement or overtly threatened infringement of the Ambit
Licensed Patents by any Third Party (in the case of pending claims, evaluating them as if issued) or misappropriation of the Ambit Know-How. 

  

	5.2.4	No Third Party Payments. Other than as disclosed to Astellas in writing, to Ambit’s Knowledge, it does not owe to any Third Party any royalty or other
payments based on the development or commercialization of Licensed Compounds or Products as licensed herein. 

  

	5.2.5	No Knowledge of Invalidity. After performance of an investigation, Ambit is not aware of any prior art or other facts based on which it has concluded that the
Ambit Licensed Patents existing as of the Effective Date are likely, or in the case of any pending claims of Ambit Licensed Patents, if issued, would likely be, invalid or unenforceable, in whole or in part. In respect of United States Patent
applications included in the Ambit Licensed Patents, to its Knowledge, Ambit has presented all relevant prior art of which it and the inventors are aware to the United States Patent and Trademark Office. 

 

	5.2.6	Non-infringement of Third Party Rights. To Ambit’s Knowledge, the conception, development and reduction to practice of any inventions and the use or
development of any other Information within the Ambit Technology, and any and all Regulatory Materials and Regulatory Approvals submitted to or filed with a Regulatory Authority by Ambit or any of its Affiliates, have not constituted or involved the
misappropriation of trade secrets or other rights or property of any Third Party. To Ambit’s Knowledge, the Exploitation by Astellas or any Related Parties after the Effective Date of AC220 and the Lead Product throughout the Territory or the
use or practice the Ambit Technology and the Regulatory Materials as contemplated in this Agreement will not infringe any patent applications or patents owned or controlled by a Third Party (in the case of pending claims, evaluating them as if
issued). Ambit has not received any written notice from a Third Party asserting or alleging any of the foregoing. 

  
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	5.2.7	Disclosure. Ambit has heretofore disclosed or made available to Astellas (a) all material scientific and technical information known to Ambit or its
Affiliates relating to (i) the safety, toxicity and efficacy of AC220 and the Lead Product, including the results of all material nonclinical studies (which include all nonclinical ADME (absorption, distribution, metabolism, and excretion)
studies, safety pharmacology studies and toxicology studies) conducted by or on behalf of Ambit or any of its Affiliates, and of all Clinical Trials with respect to the foregoing, and (ii) the drug quality, including stability, variability,
impurities and delivery performance, of AC220 and the Lead Product and (b) all material Regulatory Materials and Regulatory Approvals submitted to, or filed with, or listed by a Regulatory Authority and the status of all material discussions
with Regulatory Authorities, in each case, in respect of AC220 or the Lead Product. 

  

	5.2.8	Adverse Information. No serious adverse event information resulting from Clinical Trials has come to the attention of Ambit or any of its Affiliates with respect
to AC220 or the Lead Product that is materially different with respect to the incidence, severity or nature of such serious adverse events than the information that was filed as safety updates to any Regulatory Materials or Regulatory Approvals, and
all written data summaries that were included in any Regulatory Materials or Regulatory Approvals based on Clinical Trials conducted or sponsored by Ambit or any of its Affiliates accurately summarize in all material respects the raw data underlying
such summaries. 

  

	5.2.9	INDs in Good Standing. Ambit has not received any written notice that indicates that any of the INDs for AC220 or the Lead Product are not currently in good
standing with the FDA or other Regulatory Authority. 

  

	5.2.10	Disclosures and Submissions to Regulatory Authorities. As of the Effective Date, Ambit has prepared, maintained and retained all Regulatory Materials that are
required to be maintained or reported pursuant to and in accordance with Applicable Law, and to Ambit’s Knowledge all such information is true, complete and correct and what it purports to be. Neither Ambit nor any of its Affiliates, nor any of
its or their respective officers, employees, or agents has made an untrue statement of material fact or fraudulent statement to the FDA or any other Regulatory Authority with respect to the development of AC220 or the Lead Product, failed to
disclose a material fact required to be disclosed to the FDA or any other Regulatory Authority with respect to the development of AC220 or the Lead Product, or committed an act, made a statement, or failed to make a statement to the FDA or any other
Regulatory Authority with respect to the development of AC220 or the Lead Product that could reasonably be expected to provide a basis for the FDA to invoke its policy respecting “Fraud, Untrue Statements of Material Facts, Bribery, and Illegal
Gratuities”, set forth in 56 Fed. Reg. 46191 (September 10, 1991) and any amendments thereto. Ambit is not aware of any facts or other information that is likely to adversely affect the acceptance, or the subsequent approval, by any Regulatory
Authority of any filing, application or request for Regulatory Approval, or that would otherwise materially adversely affect the scientific or therapeutic potential of AC220 or the Lead Product, provided that the representation and warranty
contained in this sentence is not intended and shall not be construed to cover facts and information that Ambit can demonstrate were disclosed to Astellas in writing prior to the Effective Date. 

 

	5.2.11	 Conduct of Development. Ambit has conducted, or has caused its contractors and consultants to conduct, any and all preclinical and clinical
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	 	Compounds and Licensed Products in accordance with good laboratory and clinical practice as and where appropriate, and Applicable Law. 

 

	5.2.12	US/Japan Tax Treaty. Ambit satisfies the limitation on benefits provision of the Convention between The Government of the United States of America and The
Government of Japan for the Avoidance of Double Taxation and the Prevention of Fiscal Evasion with respect to Taxes on Income (“US/Japan Tax Treaty”). 

 

	5.2.13	No Government Funding. The Exploitation prior to the Effective Date of AC220 and the Lead Product has occurred and been conducted outside of any
government-funded project, and none of AC220, the Lead Product, or any Ambit Technology is or will be subject to 37 C.F.R. Parts 401 and 404 or any foreign equivalent. 

 

	5.2.14	HSR. With reference to the Hart-Scott-Rodino Antitrust Improvements Act, 15 U.S.C. § 18a, and the Coverage Rules promulgated thereunder, 16 C.F.R. §
801, according to Ambit’s last regularly prepared balance sheet, [...***...]. In addition, according to Ambit’s last regularly prepared annual statement of income and expenses, which included the income and expenses of Ambit
and of all entities included within Ambit, the total income earned by Ambit and by all entities included within Ambit did not [...***...]. Further, Ambit is not “a person engaged in manufacturing” as that term is defined in
the Coverage Rules, 16 C.F.R. § 801.1(j). 

  

	5.3	Covenants by Ambit. Ambit covenants and agrees as follows: 

  

	5.3.1	Ongoing Covenants. From the Effective Date until the expiration of the Term: (a) Neither Ambit nor its Affiliates shall enter into any agreement with any
Third Party, whether written or oral, with respect to, or otherwise assign, transfer, license, or convey its right, title or interest in or to, the Ambit Technology, Ambit’s interest in and to any Program Technology, Regulatory Materials,
Regulatory Approvals or any Licensed Compound or Product, in each case, that is in conflict with the rights thereunder granted by Ambit to Astellas under this Agreement or that would prevent Ambit from performing its obligations under this
Agreement; and (b) Ambit shall not grant any mortgage, lien, deed of trust, charge, pledge, security interest or other encumbrance or imposition with respect to the Ambit Technology, Ambit’s interest in and to any Program Technology,
Regulatory Materials, Regulatory Approvals or any Licensed Compound or Product that would prevent it from performing its obligations under this Agreement. 

  

	5.3.2	 Product Warranty. Ambit covenants and warrants that all Lead Product supplied to Astellas by or on behalf of Ambit in accordance with
Section 3.6.2(c) hereunder and used in Clinical Trials or other development under the Development Program therefor: (a) will be in conformity with the applicable specifications therefor at the time of delivery; (b) will have been
manufactured in compliance with cGMP, if required, and Applicable Law; (c) to the Knowledge of Ambit, will have been manufactured in facilities that are in compliance with Applicable Law at the time of such manufacture (including applicable
inspection requirements of the FDA and other Regulatory Authorities); (d) will not be adulterated or misbranded under the Act; (e) may be introduced into interstate commerce pursuant to the Act (subject to Astellas or Ambit obtaining or
having obtained all Regulatory Approvals needed for such introduction); and (f) unless otherwise agreed 

  

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	 	by the Parties, will have an expiration date no earlier than [...***...] after the date of delivery thereof; provided that Ambit’s liability to
Astellas for breach of the foregoing covenant and warranty shall not exceed the greater of (i) [...***...] or (ii) the maximum aggregate amount that Ambit actually recovers pursuant to any and all agreements between Ambit and
any Third Party(ies) that performed any contract manufacturing activities with respect to the Product (including any intermediate of any Licensed Compound or other material contained therein) that gave rise to such breach, based on such Third
Party’s breach of such agreement (or other basis for recovery under such agreement) resulting from the failure of such Product or Licensed Compound to comply with the requirements of this Section 5.3.2. Ambit shall use commercially
reasonable efforts to obtain such recoveries. 

  

	5.4	Disclaimer 

 EXCEPT AS
EXPRESSLY PROVIDED IN SECTION 5.1, 5.2 or 5.3, NEITHER PARTY MAKES ANY, AND HEREBY DISCLAIMS ALL, REPRESENTATIONS OR WARRANTIES (EITHER EXPRESS OR IMPLIED), INCLUDING ANY EXPRESS OR IMPLIED WARRANTY CONCERNING THE MERCHANTABILITY OR FITNESS FOR A
PARTICULAR PURPOSE, NON-INFRINGEMENT, OR NON-MISAPPROPRIATION OF THIRD PARTY INTELLECTUAL PROPERTY RIGHTS. 
  

	6.	CONFIDENTIALITY 

  

	6.1	 Restricted Information. Ambit recognizes that by reason of Astellas’s status as an exclusive licensee pursuant to the grants under
Section 3.1, Astellas has an interest in Ambit’s retention in confidence of Ambit Know-How, Ambit Program Know-How and Joint Program Know-How that relates directly to the Licensed Compounds or Products. Accordingly, until the expiration of
Astellas’s exclusive license in all countries with respect to each Licensed Compound and Product under Section 3.3.1, Ambit shall, and shall cause its Affiliates and their respective officers, directors, employees and agents to, keep
completely confidential, and not publish or otherwise disclose to any Third Party (except as expressly permitted under this Agreement), and not use for any purpose other than as permitted or contemplated in this Agreement, any specific Ambit
Know-How, Ambit Program Know-How or Joint Program Know-How that comprises or relates directly to any Licensed Compound or Product, or the Exploitation thereof, including data and results of Clinical Trials and nonclinical studies with respect to any
Licensed Compound or Product (whether conducted prior to or during the Term), or any Regulatory Materials and Regulatory Approvals with respect thereto (the “Restricted Information”); provided, however, that the
“Restricted Information” shall not include any Information to the extent (a) such Information is in the public domain through no fault of Ambit, its Affiliates or any of their respective officers, directors, employees or
agents, (b) such Information relates broadly to Ambit’s technology and/or other compounds or products that are not Licensed Compounds (or the discovery, research, characterization, manufacture, or use thereof) and has substantial utility
for purposes outside of the exclusive rights licensed to Astellas under this Agreement; (c) disclosure or use of the Information by Ambit would be expressly permitted under Section 6.2.2; or (d) disclosure or use of the Information by
Ambit is otherwise expressly permitted by the terms of this Agreement. For clarification, the disclosure by Ambit to Astellas of Restricted Information shall not cause such information to cease to be subject to the provisions of this
Section 6.1. In the event this Agreement is terminated in its entirety by Astellas 

  

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	 	pursuant to Section 9.2, 9.3 or 9.4 or by Ambit pursuant to Section 9.3 or 9.4, this Section 6.1 (other than this final sentence) shall terminate and
have no continuing force or effect and the Restricted Information (other than (i) the Joint Program Know-How included therein and (ii) the Regulatory Materials and Regulatory Approvals included therein to the extent that such Regulatory
Materials and Regulatory Materials are not assigned to Ambit pursuant to Section 9.6.1(f) or 9.6.2(c)) shall thereafter be deemed solely to be Confidential Information of Ambit, for purposes of the surviving provisions of this Agreement.

  

	6.2	Nondisclosure and Non-Use Obligations 

  

	6.2.1	General Nondisclosure and Non-Use Requirements. All Confidential Information of a Party shall be maintained in confidence by the receiving Party, and shall not
be disclosed to any Third Party or Related Party, or used for any purpose except as expressly permitted under the terms of this Agreement, without the prior written consent of the disclosing Party. 

 

	6.2.2	Exceptions. Each Party (and its Affiliates) may disclose Confidential Information of the other Party, and Ambit may disclose the Restricted Information (each
such Party, the “Obligated Party”), to the extent that such Confidential Information or Restricted Information, as applicable: 

 (a) is disclosed by the Obligated Party as reasonably necessary for the filing, prosecution or maintenance of Patent Rights that are the subject of this Agreement as permitted in accordance with
Section 8.3, or, for obtaining, maintaining or expanding Regulatory Approvals as permitted pursuant to this Agreement; 

(b) is (i) licensed to Astellas under this Agreement and is necessary or reasonably needed to be disclosed by Astellas to its Related
Parties, agents, consultants, and/or other Third Parties in order to conduct, development, manufacturing or marketing of the Product in accordance with this Agreement (or for such entities to determine their interest in performing such activities)
or (ii) licensed to Ambit under this Agreement and is necessary or reasonably needed to be disclosed by Ambit to its Affiliates, agents, consultants, permitted sublicensees or other Third Parties in order to conduct the research, development,
manufacturing or marketing of any Licensed Compound or Product in accordance with this Agreement (or for such entities to determine their interest in performing such activities), provided that in all cases parties receiving the disclosure
shall have agreed in writing to be bound by the confidentiality and non-use obligations at least as equivalent in scope as those set forth in Section 6.1 and 6.2, except the term of such obligations may be for as long a duration as can
reasonably be negotiated, but in any case such term shall have a duration that is commercially reasonable under the circumstances; 
 (c) is reasonably necessary to be disclosed to the Obligated Party’s attorneys or independent accountants for the purpose of enabling such attorneys or independent accountants to provide needed
professional advice to the Obligated Party, and on the condition that such Third Parties are bound by confidentiality and non-use obligations customary for the type of professional and are advised that the information being disclosed is
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 (d) is reasonably necessary to be disclosed to the Obligated
Party’s financial advisors for the purpose of enabling such financial advisors to provide needed advice to the Obligated Party, and on the condition that such Third Parties are bound by confidentiality and non-use obligations customary for the
type of recipient and are advised that the information being disclosed is confidential; or 
 (e) is disclosed by the Obligated
Party to accredited investors, lenders or bona fide potential acquirers, merger candidates, Sublicensees (or licensees or sublicensees, in the case of Ambit or its Affiliate, and in each case, to the extent Ambit’s grant of a license or
sublicense to such Person would be consistent with the terms of this Agreement) or collaborators (and their respective professional advisors), in the context of due diligence investigations of such Party (or its Affiliate) solely for the purpose of
evaluating a potential business transaction or relationship with the Party (or its Affiliate), and/or in negotiating and completing such transaction or relationship, and/or in performing such transaction or relationship, and on the condition that
such Third Parties are bound by confidentiality and non-use obligations customary for the type of recipient and are advised that the information being disclosed is confidential. 

 

	6.2.3	Compelled Disclosure. Notwithstanding the obligations of Section 6.2.1, an Obligated Party shall be permitted to disclose specific Confidential Information
of the other Party (or Restricted Information, in the case of Ambit as the Obligated Party) to the extent such disclosure is required by judicial or administrative process, provided that such Party promptly informs the other Party of the
disclosure requirement, reasonably cooperates with any efforts by the other Party to challenge or limit the disclosure obligations, and discloses only such Confidential Information or Restricted Information as is (after any such efforts) required to
be disclosed. Any such Confidential Information or Restricted Information that is disclosed pursuant to such judicial or administrative process shall remain otherwise subject to the confidentiality and non-use provisions of this Section 6.2,
and the Party disclosing Confidential Information or Restricted Information pursuant to law or court order shall take all steps reasonably necessary, including without limitation seeking an order of confidentiality, to ensure the continued
confidential treatment of such information. 

  

	6.3	Publication 

 Astellas and
Ambit each acknowledge the other Party’s interest in publishing and presenting the results of its research in order to obtain recognition within the scientific community and to advance the state of scientific knowledge. However, any publication
or presentation of Confidential Information (of the other Party), Joint Program Know-How, and/or any information arising from the Development Program or Research Program shall be solely by written agreement of the Parties. Each Party also recognizes
the mutual interest in obtaining valid patent protection and in protecting business interests and trade secret information. Consequently, except for disclosures permitted pursuant to Section 6.2.2, either Party, its employees or consultants
wishing to make a publication or presentation containing Confidential Information (of the other Party), Joint Program Know-How, and/or any information arising from the Development Program or Research Program shall deliver to the other Party a copy
of the proposed written publication or an outline of an oral disclosure at least [...***...] prior to submission for publication or presentation. The reviewing Party shall have the right (a) to propose modifications to the
publication or presentation for patent reasons, trade secret reasons or business reasons and/or (b) to request a reasonable delay in 

  

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publication or presentation in order to protect patentable information. If the reviewing Party requests a delay, the publishing Party
shall delay submission or presentation for a period of [...***...] to enable patent applications protecting each Party’s rights in such Confidential Information to be filed in accordance with Article 8 below. Upon expiration of
such [...***...], the publishing Party shall be free to proceed with the publication or presentation provided the publishing Party has obtained written confirmation from the reviewing Party that such patent applications have been filed.
If the reviewing Party requests modifications to the publication or presentation, the publishing Party shall edit such publication or presentation to prevent disclosure of trade secret or proprietary business information of the reviewing Party prior
to submission of the publication or presentation. If a publication or presentation by Astellas or an Astellas Affiliate results from work performed by Ambit or relating to the Ambit Technology or the Development Program or the Research Program,
Astellas and/or its Affiliates agrees to acknowledge Ambit and give credit to Ambit’s scientists, as scientifically appropriate, based on any contribution they may have made to the work, subject to the approval of Ambit. Likewise, if a
publication or presentation by Ambit results from work performed by Astellas and/or its Affiliates or the Development Program or the Research Program, Ambit agrees to acknowledge Astellas and/or its Affiliates and give credit to Astellas’s or
Astellas Affiliates’ scientists, as scientifically appropriate, based on any contribution they may have made to the work, subject to the approval of Astellas. Further, Astellas would have a right to publish the results and summaries of the
Clinical Trials, observational or meta-analysis studies relating to the Product on a clinical trial register maintained by Astellas, clinical trial agreements, and the protocols of Clinical Trials relating to Product on www.ClinicalTrials.gov (or
similar forum) (or as otherwise required by Astellas’s policies). Without any limitation of any other term or condition of this Agreement, Ambit would co-operate with Astellas in such effort, including reasonable efforts to provide Astellas
with the protocols, results, data and other information relating all Clinical Trials conducted by Ambit on a Product. 
  

	6.4	Publicity/Use of Names/Disclosure of Terms 

  

	6.4.1	Terms of Agreement; Initial Press Release. The Parties agree that the material terms of this Agreement are the Confidential Information of both Parties (and
shall not constitute Restricted Information), subject to the special authorized disclosure provisions set forth in Section 6.4. The Parties have agreed to make a joint public announcement of the execution of this Agreement substantially in the
form of the press release attached as Exhibit F on or within two (2) trading days after the Effective Date. 

  

	6.4.2	Use of Names. Neither Party shall use the name, trademark, trade name or logo of the other Party, its Affiliates or Related Parties or their respective employees
in any publicity, promotion, news release or disclosure relating to this Agreement or its subject matter, without the prior express written permission of the other Party, except as may be required by law. Each Party hereby consents to the use of its
name and logo by the other Party in making reference to the existence of the Agreement including on each Party’s website only to the extent permitted in this Section 6. 

 

	6.4.3	 Other Disclosures. Except as otherwise provided below, neither Party shall make any public disclosure of the terms of this Agreement or any
activities conducted under this Agreement beyond those otherwise described in the press release contemplated by Section 6.4.1, or as permitted under Section 6.1, or otherwise previously publicly disclosed without the prior written approval
of the other Party, such approval not to be 

  

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	 	unreasonably withheld. Notwithstanding the foregoing, each Party shall be permitted to make public disclosure of the terms of the Agreement or of Information relating
to the Agreement to the extent such disclosure is required by Applicable Law (including securities laws or regulations) or by the Securities and Exchange Commission and/or any other governmental or regulatory agencies, or by the rules of the
national securities exchange on which such Party’s shares are listed (including disclosures in connection with securities filings made in connection with a Party’s public offering of its securities or in satisfaction of related disclosure
requirements), provided that such Party shall use reasonable efforts to obtain confidential treatment of confidential financial and technical Information to the extent such treatment is possible under Applicable Law. Each Party agrees that it
shall reasonably cooperate in a timely manner with the other Party with respect to all such disclosures to the Securities and Exchange Commission and any other governmental or regulatory agencies, including requests for confidential treatment of
Confidential Information of either Party included in any such disclosure. Such cooperation shall include at a minimum that the Party required to make a disclosure provides a draft of any filing to the other Party in due time before the filing.

  

	7.	INDEMNIFICATION; INSURANCE; LIMITATION OF LIABILITY 

  

	7.1	Indemnification by Ambit 

Ambit hereby agrees to indemnify, defend and hold harmless Astellas, its Related Parties, subcontractors and Distributors, and its and
their respective directors, officers, employees and agents (collectively, “Astellas Indemnified Parties”) from and against any and all liabilities, judgments, losses, damages, costs and expenses (including reasonable attorneys’
fees and costs) (collectively, “Losses”) resulting from any Third Party allegations, proceedings, demands, actions, suits or claims (“Third Party Claims”) against an Astellas Indemnified Party to the extent arising
from or based on: 
  

	7.1.1	 (a) the breach of Ambit’s representations and warranties contained in Section 5.1, 5.2 or 5.3 or any of its covenants or other obligations
under this Agreement; or (b) the Exploitation of any Licensed Compounds or Products by or on behalf of Ambit or any of its Affiliates, (sub)contractors, or sublicensees (excluding Astellas or any of its Related Parties as licensees or
sublicensees of Ambit hereunder), including any such Exploitation prior to the Effective Date, but excluding any Collaboration Program Activities (as defined below); or (c) the use or practice by Ambit or any of its Affiliates, (sub)contractors
or sublicensees (excluding Astellas or any of its Related Parties as licensees or sublicensees of Ambit hereunder) of Astellas Technology or Astellas Program Technology outside the scope of the licenses granted in Section 3.3; or (d) the
negligent or willfully wrongful actions or omissions of Ambit, its Affiliates, subcontractors or sublicensees (excluding Astellas or any of its Related Parties as licensees or sublicensees of Ambit hereunder), or the officers, directors, employees,
or agents of Ambit or its Affiliates, subcontractors, or such sublicensees; or (e) any violation of Applicable Law by Ambit, its Affiliates, subcontractors or sublicensees (excluding Astellas or any of its Related Parties as licensees or
sublicensees of Ambit hereunder), or the officers, directors, employees, or agents of Ambit or its Affiliates, (sub)contractors or such sublicensees; provided that such indemnification and defense obligation shall not apply to any Losses to
the extent that such Losses either (i) are the subject of an indemnification obligation by Astellas under Section 7.2(a), (c), (d) or (e), or (ii) result from or were caused by the negligent or willfully wrongful actions or
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	 	Astellas Indemnified Party, as to which Losses with respect to each of clauses (a), (c), (d) and (e) of this Section 7.1.1 each Party shall indemnify the
other to the extent of their respective liability for such damages or amounts; and 

  

	7.1.2	(a) the Exploitation by or on behalf of Ambit or its Affiliates, (sub)contractors, distributors or sublicensees (excluding such conduct by or on behalf of Astellas or
any of its Related Parties as licensees or sublicensees of Ambit hereunder) of any Licensed Compound or Product (or the Licensed Compound contained therein) for the benefit of any Terminated Country(ies) following the applicable effective date of
termination; (b) the exercise or use by or on behalf of Ambit, its Affiliates, (sub)contractors, distributors, licensees, or sublicensees (excluding such exercise by Astellas or any of its Related Parties as licensees and sublicensees of Ambit
hereunder) of rights under any license or right of reference, or in or to any Regulatory Materials, Regulatory Approvals, and other Supporting Documents and trademarks, in each case granted, transferred or made available by or on behalf of Astellas
or any of its Affiliates to Ambit following or in connection with termination of this Agreement with respect to any Terminated Country(ies), including pursuant to any post-termination Transition Agreement. 

 

	7.2	Indemnification by Astellas 

 Astellas agrees to defend, indemnify and hold harmless Ambit and its Affiliates, sublicensees and subcontractors, and its and each of their respective directors, officers, employees, and agents
(collectively the “Ambit Indemnified Parties”) from and against any and all Losses resulting from all Third Party Claims against any Ambit Indemnified Party arising from or based on: (a) a breach of Astellas’s
representations and warranties contained in Section 5.1 or any of its covenants or other obligations under this Agreement; or (b) the Exploitation of any Licensed Compound or Product by or on behalf of Astellas or any of its Related
Parties or subcontractors, but excluding any Collaboration Program Activities; or (c) the use or practice by Astellas or its Related Parties or subcontractors of Ambit Technology or Ambit Program Technology outside the scope of the licenses
granted in Section 3.1.1; or (d) the negligent or willfully wrongful actions or omissions of Astellas, any of its Related Parties or subcontractors (excluding Ambit, its Affiliates, and sublicensees as licensees or sublicensees of Ambit
hereunder), or the officers, directors, employees, or agents of Astellas or any of its Related Parties or subcontractors; or (e) any violation of Applicable Law by Astellas or any of its Related Parties or subcontractors (excluding Ambit, its
Affiliates and sublicensees as licensees or sublicensees of Astellas hereunder), or the officers, directors, employees, or agents of Astellas or any of its Related Parties or subcontractors; provided that such indemnification and defense
obligation shall not apply to the extent that such Losses either (i) are the subject of an indemnification obligation by Ambit under Section 7.1(a), (c), (d), or (e) or Section 7.1.2, or (ii) result from or were caused by
the negligent or willfully wrongful actions or omissions of an Ambit Indemnified Party, as to which Losses with respect to each of clauses (a), (c), (d) and (e) of this Section 7.2 each Party shall indemnify the other to the extent of
their respective liability for such Losses. 
  

	7.3	Notification of Claims; Conditions to Indemnification Obligations 

 The Parties shall promptly notify each other of any Third Party Claims with respect to which indemnification under Section 7.1 or 7.2 of this Agreement is or (to the knowledge of the Party) likely
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request, at the indemnifying Party’s sole expense. The Party requesting indemnification shall cooperate with the indemnifying Party
in such defense when reasonably requested to do so. In no event shall the indemnifying Party compromise or settle any claim or suit in a manner that admits fault or negligence on the part of the indemnified Party, or that would otherwise adversely
affect any rights of the indemnified Party, without the prior written consent of the indemnified Party (such consent not to be unreasonably withheld). The indemnifying Party shall have no liability under Section 7.1 or 7.2 of this Article 7
with respect to any Third Party Claims to the extent settled or compromised without the indemnifying Party’s prior knowledge and express written consent. 
  

	7.4	Certain Third Party Claims.  

 The Parties shall share equally any Collaboration Program Damages (as defined below). With respect to any Collaboration Program Damages incurred by a Party (or any of its Indemnified Persons) during the
Term, such Collaboration Program Damages shall be deemed to constitute (and shall be included in) Research Costs, Development Costs or Allowed Expenses, as applicable (and the Parties shall cooperate in good faith to allocate such amount(s) to the
appropriate cost category). After the Term, each Party shall reimburse the other Party for fifty percent (50%) of any Collaboration Program Damages incurred by such Party (or any of its Indemnified Persons) no later than sixty (60) days
after receipt of reasonable documentation evidencing such amounts. If either Party receives notice of a Third Party Claim that arises from or is based on any Collaboration Program Activities, such party shall inform the other Party in writing as
soon as reasonably practicable, and the Parties shall discuss and agree upon a strategy on how to defend against such Third Party Claim. 
 For purposes of this Article 7, “Collaboration Program Activities” means any activities with respect to a Licensed Compound or Product conducted by either Party or any of its Affiliates,
sublicensees or subcontractors at any time on or after the Effective Date during the Term consisting of (a) research or development for the purpose of, or in support of, (i) obtaining, maintaining or expanding Regulatory Approval in the
U.S. or EU or (ii) commercialization of any Product in the U.S. or EU, in each case ((i) and (ii)) pursuant to any Research Plan or Development Plan, (b) commercialization of any Co-Promoted Product in the Co-Promotion Territory during the
Co-Promotion Term, (c) Medical Affairs Activities with respect to any Co-Promoted Product in the Co-Promotion Territory during the Co-Promotion Term or (d) for clarity, the manufacture of any Product (including any intermediate thereof or
any Licensed Compound or other material contained therein) for use in any activities under clause (a), (b) or (c). 
 For
purposes of this Section 7.4, “Collaboration Program Damages” means Losses payable by either Party (or any of its Indemnified Persons) to any Third Party claimant arising from or based on Collaboration Program Activities,
including such damages and other amounts (and attorneys’ fees) from claims of infringement of a Third Party’s Patent Rights or other intellectual property rights; provided, however, that “Collaboration Program Damages”
shall exclude any and all damages and other amounts (including attorneys’ fees) for which a Party has an obligation to indemnify pursuant to Section 7.1 or 7.2. 

  
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	7.5	Insurance 

 Each Party
shall, and shall cause its sublicensees (including Sublicensees) and its and their respective Affiliates to, have and maintain liability insurance, which in Astellas’s case may be in the form of self-insurance, covering the manufacture, use and
sale of the Products in a manner consistent with industry standards, but in any event including product liability insurance with respect to the Products. Ambit shall maintain the following limits of such coverage: (a) not less than
[...***...] in coverage in the aggregate as of the Effective Date; (b) subject to clause (c), not less than [...***...] in coverage in the aggregate as of the date of First Commercial Sale of the first Product in the
Territory; and (c) not less than [...***...] in coverage in the aggregate as of the date of First Commercial Sale of the first Product in the Co-Promotion Territory with respect to which Ambit has exercised the Co-Promotion Option.
Ambit shall upon request provide Astellas with a copy of such policies of insurance, along with any amendments and revisions thereto. Ambit shall list Astellas as an additional insured and loss payee on such policies of Ambit and ensure that such
policies provide that Astellas shall be given thirty (30) days’ advance written notice of the termination thereof. Such policies or programs of self-insurance shall remain in effect throughout the Term and for a period of
[...***...] thereafter (with the limits required to be in effect as of the last day of the Term maintained during such [...***...] period) and shall not be cancelled or subject to a reduction of coverage without the prior
written authorization of the other Party. Maintenance of such insurance coverage shall not relieve a Party of any responsibility under this Agreement for damages in excess of insurance limits or otherwise. 

 

	7.6	Limitation of Liability 

IN NO EVENT SHALL EITHER PARTY BE LIABLE TO THE OTHER PARTY FOR ANY INDIRECT, SPECIAL, PUNITIVE, INCIDENTAL OR CONSEQUENTIAL DAMAGES OF
ANY KIND, INCLUDING, WITHOUT LIMITATION, ANY LOSS OF PROFITS, LOSS OF ROYALTIES AND MILESTONE PAYMENTS, LOSS OF BUSINESS, LOSS OF USE, LOSS OR INACCESSIBILITY OF DATA, OR INTERRUPTION OF BUSINESS, ARISING UNDER OR RELATING TO THIS AGREEMENT OR THE
SUBJECT MATTER HEREOF, EVEN IF SUCH PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, EXCEPT THAT THE FOREGOING LIMITATION SHALL NOT APPLY TO DAMAGES RESULTING FROM THE GROSS NEGLIGENCE OR INTENTIONAL MISCONDUCT BY A PARTY OR ITS
AFFILIATES, A PARTY’S BREACH OF ARTICLE 6, OR TO THE INDEMNIFICATION OBLIGATIONS UNDER SECTIONS 7.1 AND 7.2. 

  

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	8.	INTELLECTUAL PROPERTY AND PATENT PROVISIONS 

  

	8.1	Ownership 

  

	8.1.1	Ambit Technology. Subject to the licenses and rights granted to Astellas in this Agreement, all right, title and interest in and to Ambit Technology shall be and
remain owned solely by Ambit and/or its Affiliates. 

  

	8.1.2	Astellas Technology. Subject to the licenses and rights granted to Ambit in this Agreement, all right, title and interest in and to Astellas Technology shall be
and remain owned solely by Astellas and/or its Affiliates. 

  

	8.1.3	Ownership of Program Technology. 

 (a) In General. As between the Parties, each Party shall own all inventions, improvements, and other Information conceived, discovered, developed or otherwise made, as necessary to establish
authorship, inventorship or ownership under Applicable Law, solely by or on behalf of such Party (or its Affiliates, independent contractors or sublicensees (including Sublicensees) or its or their respective directors, officers, employees or
agents) during the Term in connection with activities conducted under a Research Plan, Development Plan or otherwise under this Agreement, whether or not patentable, and any and all Patent Rights and other intellectual property rights appurtenant
thereto. As between the Parties, each Party shall own an equal, undivided interest in all inventions, improvements and other Information that are conceived, discovered, developed or otherwise made, as necessary to establish authorship, inventorship
or ownership under Applicable Law, jointly by or on behalf of each Party (or their respective Affiliates, independent contractors or sublicensees (including Sublicensees) or its or their respective directors, officers, employees or agents) during
the Term in connection with activities conducted under a Research Plan, Development Plan or otherwise under this Agreement, whether or not patentable, and any and all Patent Rights and other intellectual property rights appurtenant thereto.

 (b) Program Technology. Subject to the licenses and other rights granted by each Party to the other Party in this
Agreement, and without limitation to Section 8.1.3(a), (i) Ambit shall own all right, title and interest in and to any Ambit Program Technology, (ii) Astellas shall own all right, title and interest in and to any Astellas Program
Technology, and (iii) each Party shall own an equal, undivided interest in and to all Joint Program Technology. Except for such rights in Joint Program Technology as are exclusively licensed to Astellas pursuant to Section 3.1 under this
Agreement, each Party shall have the right to use, commercialize and otherwise make, have made, import, sell or offer for sale or otherwise exploit (including by researching, developing or registering, or by granting licenses to) the Joint Program
Technology for all purposes (other than as exclusively licensed to the other Party under the licenses granted in this Agreement), without any consent of or accounting to the other Party. 

(c) Disclosure of Program Technology. Each Party shall promptly notify and disclose to the other Party any and all inventions
constituting Program Technology that are conceived, made, created, discovered, developed, and/or reduced to practice solely by the Party or jointly by the Parties under a Development Program or the Research Program. In such notices, the disclosing
Party shall identify any such inventions that the Party believes may be a patentable invention. 

  
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(d) Ownership of Regulatory Materials and Regulatory Approvals. Notwithstanding the foregoing or any other term or condition of
this Agreement to the contrary, ownership of Regulatory Materials and Regulatory Approvals shall be governed by Section 2.5.3. 
  

	8.1.4	Inventorship. Inventorship for patentable inventions conceived or reduced to practice during the course of the performance of activities pursuant to this
Agreement shall be determined in accordance with United States patent laws for determining inventorship. 

  

	8.2	Rights to Newly-Acquired IP. 

  

	8.2.1	Disclosure. If after the Effective Date, Ambit (or its Affiliate) desires to acquire or in-license from a Third Party specific Patent Rights or proprietary
Information that Ambit believes would fall within the scope of the definition of Ambit Licensed Patents or Ambit Know-How, as applicable, and for which Ambit will owe such Third Party consideration for such acquisition or in-license, and/or will owe
such Third Party consideration based on use or practice of such Patent Rights or proprietary Information with respect to one or more Products (collectively, “Newly-Acquired IP Rights”), then Ambit shall (a) inform Astellas in
writing of the proposed terms of such in-license or acquisition and the costs of which Ambit proposes to share pursuant to this Section 8.2, (b) keep Astellas reasonably informed of the negotiations with such Third Party and
(c) consider in good faith Astellas’s reasonable comments on such terms and negotiations to the extent relating to rights that could be sublicensed to Astellas hereunder. If Ambit (or its Affiliate) acquires or in-licenses from such Third
Party any Newly-Acquired IP Rights then such Newly-Acquired IP Rights shall automatically be included in the Ambit Technology (absent a rejection as provided in Section 8.2.2 below). Ambit shall promptly disclose to Astellas: (i) such
Newly-Acquired IP Rights, (ii) the reasonable allocation of any upfront consideration paid by Ambit (or its Affiliate) to such Third Party for the acquisition or in-license (as applicable) of such Newly-Acquired IP Rights, to the use or
practice thereof with respect to Products, and (iii) the actual consideration that Ambit will be required to pay such Third Party if Ambit licenses (or sublicenses, as applicable) such Newly-Acquired IP Rights to Astellas under this Agreement
and such Newly-Acquired IP Rights are used or practiced with respect to the development, manufacture, use, import, offer for sale or sale of Product(s) by Astellas or its Related Parties. 

 

	8.2.2	Rejection. Within [...***...] of such disclosure, Astellas shall elect in writing to Ambit either (a) to agree to pay to Ambit the amounts
described in subclauses (ii) and (iii) of Section 8.2.1 above, as incurred and invoiced by Ambit within [...***...] after receipt of such an invoice, with respect to the license (or sublicense, as applicable) to Astellas
of the applicable Newly-Acquired IP Rights disclosed by Ambit, or (b) to reject any such Newly-Acquired IP Rights disclosed by Ambit (with Astellas being deemed to have so rejected if Astellas does not make any such election by the end of such
[...***...] period, in which case such rejected Patent Rights or Know-How shall be excluded from the definition of Ambit Licensed Patents or Ambit Know-How, as applicable, and in such case this Agreement shall not apply to such rejected
Newly-Acquired IP Rights. Notwithstanding anything set forth in this Section 8.2, the payment obligation set forth in clause (a) shall not include any obligation to pay for any Newly-Acquired IP Rights acquired by Ambit without
consultation with and agreement of Astellas as provided above. Any amounts that Astellas is obligated to pay with respect to such Newly-Acquired IP Rights shall be subject to the cost sharing contemplated under Section 4.3.4 with respect to
such rights. 

  

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	8.3	Patent Filing, Prosecution and Maintenance. 

  

	8.3.1	Control Over Prosecution. 

(a) Ambit Licensed Patents. Subject to the remainder of this Section 8.3, Astellas shall, at its cost and expense (except as
otherwise provided below), either itself or through the use of outside counsel selected by Astellas and reasonably acceptable to Ambit, direct and control the Prosecution of all Ambit Licensed Patents, in collaboration and consultation with Ambit as
provided below. If Ambit exercises the Co-Promotion Option as to a particular Product, then with respect to any Ambit Licensed Patents in the United States that claim such Co-Promoted Product or a method of use or manufacture of such Co-Promoted
Product, the Parties shall after such election share equally the costs and expenses of Astellas’s Prosecution of such Ambit Licensed Patents in the U.S., by such costs and expenses being treated as Allowed Expenses. In addition, any such Ambit
Licensed Patents that are treated as Allowed Expenses shall be deemed “Shared Cost Patents” for purposes of Section 8.3.5. 
 (b) Astellas Program Patents. Subject to the remainder of this Section 8.3, Astellas shall, at its cost and expense, either itself or through the use of outside counsel selected by Astellas
and reasonably acceptable to Ambit, direct and control the Prosecution of all Astellas Program Patents, in collaboration and consultation with Ambit as provided below. 
 (c) Ambit Program Patents and Joint Program Patents. Subject to the remainder of this Section 8.3, Ambit shall, either itself or through the use of outside counsel selected by Ambit and
reasonably acceptable to Astellas, direct and control the Prosecution of all Ambit Program Patents, in collaboration and consultation with Astellas as provided below. Promptly after the Parties identify a potentially patentable invention within the
Joint Program Know-How, the Parties shall discuss whether to file a Joint Program Patent claiming such invention, and if so which Party shall take the lead in directing and controlling the Prosecution of such Joint Program Patent. Astellas shall
generally have the first right to control Prosecution of Joint Program Patents; provided, however, that Astellas shall consider in good faith any request by Ambit to control Prosecution, taking into account the subject matter of the Joint
Program Patent at issue and its similarity or difference from the Ambit Licensed Patents and each Party’s respective Program Patents. For each Joint Program Patent that the Parties agree to file, the Lead Prosecuting Party (as defined below)
therefor shall direct and control the Prosecution of the Joint Program Patent (in all countries where the Parties agree to file such applications), using outside patent counsel mutually agreeable to the Parties, and in collaboration and consultation
with the other Party. Subject to the opt-out provisions below, the Parties shall bear equally all reasonable costs and expenses of obtaining and maintaining the Joint Program Patents and the Ambit Program Patents (the “Shared Cost
Patents”) during the Term, including reasonable fees and expenses paid to outside legal counsel and experts. Within thirty (30) days following the end of a Calendar Quarter, the Lead Prosecuting Party for any of the Shared Cost Patents
shall provide to the other Party an invoice setting forth the costs and expenses (with detail showing the basis for all such charges) of the Prosecution it conducts on such Patents, and the other Party shall reimburse the Lead Prosecuting Party for
one-half of such costs and expenses, within sixty (60) days of the invoice. 

  
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	8.3.2	Prosecution Activities. With respect to the Ambit Licensed Patents and the Program Patents, the Party with the first right to control Prosecution of Patent
Rights as set forth in Section 8.3.1(a) through (c) (the “Lead Prosecuting Party”) shall direct and control the Prosecution of such Patent Rights, including the preparation, filing and prosecution of all U.S. and foreign
patent applications within such Patent Rights, and the conduct of any interferences, reexaminations, reissues and foreign oppositions relating to such Patent Rights (as further discussed in Section 8.3.7 below). 

 

	8.3.3	Cooperation. During Prosecution of the Ambit Licensed Patents or Program Patents, as applicable, the non-Lead Prosecuting Party shall cooperate fully with the
Lead Prosecuting Party and provide reasonable assistance to such efforts, at the Lead Prosecuting Party’s request, including signing any necessary or appropriate documents; providing written and testimonial evidence; and providing the Lead
Prosecuting Party with other reasonable assistance as appropriate. 

  

	8.3.4	Right to Participate. Throughout the Prosecution of Ambit Licensed Patents and Program Patents, the Lead Prosecuting Party shall consult with the other Party and
seek such other Party’s input regarding such Prosecution efforts. Such consultation shall include the Lead Prosecuting Party providing the other Party a reasonable opportunity to review and comment on such Prosecution efforts regarding the
applicable Ambit Licensed Patents or Program Patents, including by providing to such other Party copies of all material communications from any patent authority in the Territory regarding such patent applications, and by providing drafts of any
responses and any material filings to be made to such patent authorities reasonably in advance of submitting such responses or filings, and reasonably discussing any comments made by such non-Lead Prosecuting Party regarding such Prosecution efforts
and in good faith seeking to accommodate all reasonable comments made by such non-Lead Prosecuting Party. For the avoidance of doubt, the Lead Prosecuting Party will remain responsible for final decisions regarding such Prosecution, after such
consultation with such other Party. 

  

	8.3.5	Option to “Step-in” to Prosecute and Maintain Patent Rights. 

 (a) If the Lead Prosecuting Party, at any time, determines that it shall cease Prosecution of any particular Patent Rights as to which it is the Lead Prosecuting Party pursuant to Section 8.3.1 (on a
country-by-country basis in the Territory), including as to any particular claims in such Patent Rights, then such Party shall give written notice to the other Party of such determination (such notice to be given at least sixty (60) days prior
to any deadline for filing or providing a response which would cause such Patent Rights to lapse or be abandoned), and, in such case, shall permit the other Party, at its sole discretion, to continue Prosecution of such Patent Rights at its sole
expense (unless the Lead Prosecuting Party is ceasing such Prosecution in favor of other Patent Rights for strategic reasons that will likely benefit the over all patent protection for a Product). If the other Party so elects to continue Prosecution
of the applicable patent, it shall become the “Lead Prosecuting Party” with respect thereto, and the Party that is declining such Prosecution efforts shall execute such documents and perform such acts as reasonably necessary to permit the
undertaking Party to continue such Prosecution on the Parties’ behalf, in a timely manner. In addition, either Party may, at any time, give notice to the other Party of its election to cease sharing costs with respect to the Prosecution and
maintenance of a Shared Cost Patent and, in such case, the costs incurred with respect to such patent after the date of such disclaimer shall thereafter be borne exclusively by the other Party, without reimbursement or credit. 

  
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(b) If the Lead Prosecuting Party elects to discontinue Prosecution of Patent Rights or, with respect to the Shared Cost Patents, either
Party elects to cease sharing the costs of Prosecution (such Party, the “Disclaiming Party”) then upon the other Party’s request, the Disclaiming Party shall assign all of its rights, title and interest in any such Patent
Rights (for clarity, in which the Disclaiming Party has an ownership interest) at no cost to the non-disclaiming Party. If Astellas elects to cease funding a Shared Cost Patent or elects to cease funding the cost of Prosecution of an Ambit Licensed
Patent that is not a Shared Cost Patent, then such Patent Rights shall thereafter be excluded from the license grants to Astellas in Section 3.1.1; provided, however, that upon written notice to Ambit at any time during the Term,
Astellas may elect to include such disclaimed Shared Cost Patents or disclaimed Ambit Licensed Patent in the license grants hereunder by paying Ambit [...***...] of the total cost of Prosecuting and maintaining such Patent Rights that
were solely borne by Ambit. 
 (c) Notwithstanding the foregoing clause (b), in the case of a Shared Cost Patent or Ambit
Licensed Patent, if the Lead Prosecuting Party elects to cease Prosecution of such patent, but is still willing, in the case of the Shared Cost Patents, to continue to share the cost of Prosecuting and maintaining such Patent Rights, or in the case
of the Ambit Licensed Patents that are not Shared Cost Patents, to continue to bear the cost of Prosecuting and maintaining such Patent Rights, then such Party shall permit the other Party, in its sole discretion, to continue Prosecution of such
Patent Rights. The Parties shall continue to treat such Patent Rights as Shared Cost Patents or Ambit Licensed Patents, as applicable, under this Agreement and the consequences in Section 8.3.5(b) shall not apply. 

 

	8.3.6	Review of Patent Estate. From time to time as reasonably requested by either Party, Ambit and Astellas shall jointly review the entire patent estate comprising
the Ambit Technology and the Program Technology including the current status of the estate and plans for the estate in the then foreseeable future, and shall discuss in good faith the patent strategy for such estate with the goal of efficiently
maximizing the patent protection for Products. 

  

	8.3.7	Interference, Opposition, Reexamination and Reissue 

 (a) Either Party shall, within ten (10) days of learning of such event, inform the other Party of any request for, or filing or declaration of, any interference, opposition or reexamination relating
to Ambit Licensed Patents, Ambit Program Patents or Joint Program Patents. The Lead Prosecution Party for such patent shall determine a reasonable course of action with respect to any such proceeding, provided that such Party shall consider
in good faith the views of the other Party with respect to such proceeding. All responses to or defense against any such request or filing shall be included within the Prosecution efforts above. 

(b) Astellas shall not initiate any reexamination, interference or reissue proceeding relating to the Ambit Licensed Patents, Ambit
Program Patents or Joint Program Patents without first consulting with Ambit and considering its views on the matter. Ambit shall not initiate any reexamination, interference or reissue proceeding relating to Ambit Licensed Patents, Ambit Program
Patents or Joint Program Patents without the prior written consent of Astellas, which consent shall not be unreasonably withheld. 

  

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(c) In connection with any interference, opposition, reissue or reexamination proceeding relating to Ambit Licensed Patents, Ambit
Program Patents or Joint Program Patents, Astellas and Ambit will cooperate fully and will provide each other with any information or assistance that either may reasonably request. The Parties shall keep each other informed of developments in any
such action or proceeding, including, to the extent permissible by law, consultation and approval of any settlement, the status of any settlement negotiations and the terms of any offer related thereto. 

(d) Expenses with respect to any interference, opposition, reexamination or reissue proceeding relating to the Ambit Licensed Patents,
Ambit Program Patents or Joint Program Patents shall be borne in the same manner as expenses for the Prosecution efforts with respect to such patents, as set forth above. 

 

	8.3.8	Invalidity or Unenforceability Defenses or Actions. 

 In the event that a Third Party or Sublicensee asserts, as a defense or as a counterclaim in any infringement action under Section 8.4.1, that any Ambit Licensed Patent or Program Patent is invalid
or unenforceable, then the Party pursuing such infringement action shall promptly give written notice to the other Party. Where such allegation is made in an opposition, reexamination, interference or other patent office proceeding, the provisions
of Section 8.3.7 shall apply. Where such allegation is made in a counterclaim to a suit or other action brought under Section 8.4.1, the Party with the first right to enforce the Patent Rights at issue shall have the first right to
respond to such defense or defend against such counterclaim (as applicable) and the provisions of Section 8.4.1 (including step-in rights and control over settlement) shall apply. In all other cases, including any declaratory judgment
action or similar action or claim filed by a Third Party asserting that any Ambit Licensed Patent or Program Patent is invalid or unenforceable, Astellas shall have the first right to defend such action, at Astellas’s expense, and Ambit will
cooperate with Astellas, at Astellas’s expense in such defense. In the event Astellas does not so elect to defend an action with respect to any Ambit Licensed Patent or Program Patent under this Section 8.3.8, it shall so notify Ambit in
writing, and Ambit shall have the right to so defend such action, at Ambit’s expense; provided, however, that Ambit shall obtain the written consent of Astellas prior to ceasing to defend, settling or otherwise compromising such
defense or counterclaim if such action is likely to materially adversely affect Astellas’s interests in the applicable Ambit Licensed Patent or Program Patent or rights under this Agreement. Each Party shall provide to the Party defending any
such rights under this Section 8.3.8 all reasonable assistance in such enforcement, at such defending Party’s request and expense. The defending Party shall keep the other Party regularly informed of the status and progress of such
efforts, and shall reasonably consider the other Party’s comments on any such efforts. 
  

	8.4	Infringement Actions 

  

	8.4.1	Prosecution of Infringement 

 (a) The Parties shall promptly notify one another in writing of any and all (i) actual or threatened infringements by Third Parties of the Ambit Licensed Patents or Program Patents (in each case, a
“Third Party Infringement”) known to either of them, and in any event within thirty (30) days of learning of such infringement or (ii) any misappropriation or misuse of any Ambit Know-How, Joint Program Know-How or Ambit
Program Know-How known to them. 

  
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(b) With respect to actual or threatened Third Party Infringement of the Ambit Licensed Patents, or the Program Patents (a “Field
Infringement”), Astellas shall have the first right, but not the obligation, to file suit or take other appropriate action to cause the cessation of such Field Infringement of any such Patent Rights. To the extent Astellas takes such
action, Astellas shall control such action, at Astellas’s sole expense, but shall not enter into settlements, stipulated judgments or other arrangements respecting such infringement without Ambit’s prior consent, not to be unreasonably
withheld. If Astellas takes such action against a Field Infringement, Astellas shall indemnify, defend and hold Ambit harmless from all related costs, expenses and liabilities respecting any such actions against claimed infringement in accordance
with and to the extent required pursuant to its indemnification obligations in Article 7. Ambit shall permit an action to be brought by Astellas in Ambit’s name if required by law and shall join such action as a party plaintiff if required to
perfect or maintain jurisdiction to pursue such action. Ambit agrees to provide, at Astellas’s expense, all reasonable assistance that Astellas may reasonably require in any such action, including providing written evidence, deposition and
trial testimony, for which Astellas shall pay to Ambit a reasonable hourly rate of compensation. 
 (c) Astellas shall notify
Ambit in writing of its intention with regard to any such Third Party Infringement promptly after it has notice of such infringement. In the event that Astellas does not within one hundred twenty (120) days of notice of such Third Party
Infringement initiate, and thereafter continue to diligently pursue, appropriate actions to cause the cessation of such Third Party Infringement (or earlier notifies Ambit in writing of its intent not to take such actions), then as of the expiration
of such one hundred twenty (120) day period or earlier notice, Ambit shall have the right to take all actions it deems appropriate against such Third Party Infringement, in which case Ambit shall pay any and all costs and expenses incurred in
such action. Astellas agrees to provide all reasonable assistance that Ambit may reasonably require in any such action or litigation, including providing written evidence, deposition and trial testimony, for which Ambit shall pay to Astellas a
reasonable hourly rate of compensation. 
 (d) Any recovery obtained by either or both Astellas and Ambit in connection with or
as a result of any action contemplated by this Section 8.4.1, whether by settlement or otherwise, shall be shared in order as follows: 
  

	 	(i)	The Party which initiated and prosecuted the action shall recoup all of its reasonable out-of-pocket costs and expenses incurred in connection with the action;

  

	 	(ii)	The other Party shall then, to the extent possible, recover its reasonable out-of-pocket costs and expenses incurred in connection with the action (to the extent not
already reimbursed); and 

  

	 	(iii)	[...***...]. 

  

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Ambit shall inform Astellas of any certification regarding any Ambit Licensed Patents or Program Patents it has received pursuant to
either 21 U.S.C. §§355(b)(2)(A)(iv) or (j)(2)(A)(vii)(IV) or its successor provisions or any similar provisions in a country in the Territory other than the United States and shall provide Astellas with a copy of such certification within
two (2) days or receipt. Ambit’s and Astellas’s rights with respect to the initiation and prosecution of any legal action as a result of such certification or any recovery obtained as a result of such legal action shall be as defined
in Sections 8.4.1 (a)-(d) hereof, provided that within thirty (30) days of receiving notice of such certification Astellas shall advise Ambit as to whether or not Astellas expects to prosecute such infringement. 

 

	8.4.2	Defense of Infringement Claims 

 (a) If a Third Party makes or threatens against Astellas, its Related Parties and/or Ambit and its Affiliates any claim of infringement of a Patent Right owned or controlled by such Third Party based upon
the manufacture, use, offer for sale or sale of a Licensed Compound or Product (each, an “Alleged Infringement”), Astellas shall have the right to respond to and/or defend any and all such Alleged Infringements at its own cost and
expense, and in its sole discretion, subject to the other provisions of this Section 8.4.2. Ambit agrees to provide any necessary assistance that Astellas may reasonably require in any such defense action for which Astellas shall pay to Ambit a
reasonable hourly rate of compensation for such assistance. To the extent that any such Alleged Infringement is against Ambit or its Affiliates, if Astellas elects to respond to or defend such Alleged Infringement claim against Ambit, it must do so
in a timely manner so as not to prejudice Ambit’s ability to defend itself and avoid suffering any default judgments, and such Infringement Claim shall constitute a Third Party Claim for which Astellas has the obligation to defend, indemnify
and hold harmless in accordance with and to the extent required pursuant to its indemnification obligations in Article 7. Ambit shall have the right, at its own expense, to retain counsel of its choice (but subject to Astellas’s right to
control the defense if it has elected to do so as above). 
 (b) Astellas shall promptly notify Ambit in writing and provide a
copy of (i) any claim of Alleged Infringement filed with a court or Governmental Authority or (ii) any written notice of an Alleged Infringement. Within a reasonable period of time in advance of any responsive deadline required by law or
otherwise set forth in the claim or notice, Astellas shall notify Ambit in writing as to whether or not Astellas intends to respond to and defend each such Alleged Infringement. In the event that Astellas does not provide such notice of its intent
to respond to and defend any such claim or notice of an Alleged Infringement against Ambit or any of its Affiliates (or fails to provide such response and defense in good faith) Ambit shall have the right, in its sole discretion, to respond to such
Alleged Infringement, in which case Ambit shall pay any and all costs and expenses incurred by Ambit in such action (except as is otherwise provided in Section 7.2) to date. 

(c) Costs and Expenses. If Astellas responds to and defends any Alleged Infringement under this Section 8.4.2, the following
amounts may be offset against the milestone payments payable under Section 4.2, royalties payable under Section 4.3 or Annual U.S. Profit/Loss payments pursuant to Section 4.4: 

 

	 	(i)	fifty percent (50%) of all reasonable costs and expenses incurred by Astellas in responding to or defending against such suit in which Astellas or its Affiliates
or Sublicensees are found liable for infringement; 

  
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	 	(ii)	fifty percent (50%) of all damages or costs awarded against Astellas under Section 8.4.2 based on the finding of infringement such suit; and

  

	 	(iii)	fifty percent (50%) of all royalties and other payments that Astellas is ordered to or agrees to pay to a Third Party in order to secure the license rights under
Third Party Patent Rights at issue in the litigation to continue the Exploitation of a Licensed Compound or Product; provided, that any amounts offset or credited pursuant to this subsection 8.4.2(c)(iii) shall not also be used in reducing or
adjusting royalties pursuant to Section 4.3.4. 

 Any payments or offsets made under this
Section 8.4.2(c) shall be without prejudice to any other remedies Astellas may have under this Agreement or otherwise. Any amounts recovered by Astellas in connection with any action, claim or suit under Section 8.4.2 shall be allocated
between the Parties as provided in Section 8.4.1(d). 
  

	8.5	Patent Term Restoration 

The Parties hereto shall cooperate with each other in obtaining, and shall discuss reasonably and in good faith, patent term restoration
or supplemental protection certificates or their equivalents in any country in the Territory where applicable to the Ambit Licensed Patents or Program Patents. In the event that elections with respect to obtaining such patent term restoration are to
be made, Astellas shall have the right to make the election and Ambit agrees to abide by such election. 
  

	8.6	Orange Book Listing 

 The
Parties hereto shall cooperate with each other and discuss in good faith, as to any particular Product, what Patent Rights should be listed in the “Orange Book” and other similar national (or supranational) equivalents thereto. Astellas
shall have the sole right, after good faith reasonable discussion with Ambit, to make all filings with the Regulatory Authorities with respect to Ambit Licensed Patents and Program Patents and Astellas Patents in connection with required regulatory
activities for Products, including as required or allowed in connection with: (i) in the United States, the FDA’s Orange Book and (ii) outside the United States, under the national implementations of Article 10.1(a)(iii) of Directive
2001/EC/83 or other international equivalents. Ambit shall, at Astellas’s expense, (A) provide to Astellas all Information in Ambit’s Control, including a correct and complete list of Ambit Licensed Patents and Ambit Program Patents
covering any Product or otherwise necessary or reasonably useful to enable Astellas to make such filings with Regulatory Authorities with respect to the Products, and (B) cooperate with Astellas’s reasonable requests in connection
therewith, including meeting any submission deadlines, in each case, to extent required or permitted by Applicable Law. Astellas shall notify Ambit in writing of any such filings with the Regulatory Authorities with respect to the Ambit Licensed
Patents or the Program Patents. 
  

	8.7	Registration of Licenses. 

Astellas may, at its sole discretion and at its own expense, register the exclusive and other licenses granted to it under this Agreement
with the patent office or any other competent authorities in any country of the Territory in accordance with the Applicable Laws in such country, and Ambit shall, promptly upon Astellas’s request, provide Astellas with assistance necessary for
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registration for Astellas and signing all necessary documents. Astellas will provide Ambit with a list and description, updated as
appropriate, of the licenses it registers pursuant to this Section 8.7. 
  

	8.8	Trademarks 

 Astellas
shall be responsible for the selection, registration, maintenance and defense of all trademarks for use in connection with the sale or marketing of any Product in the Territory and Astellas shall own all such trademarks. Astellas’s
registration, maintenance and defense of any trademarks for Product in the Royalty Bearing Territory shall be at Astellas’s own cost and expense. Astellas’s costs and expenses incurred in connection with registering, maintaining and
defending any trademarks for the Co-Promoted Products in the U.S. shall be Allowed Expenses. Astellas will provide Ambit with a list and description, updated as appropriate, of the trademarks it registers pursuant to this Section 8.8.

  

	9.	TERM AND TERMINATION 

  

	9.1	Term and Expiration 

 This
Agreement shall be effective as of the Effective Date and, unless terminated earlier in its entirety pursuant to Sections 9.2, 9.3 or 9.4 below, shall continue until expiration, which shall occur automatically upon the expiry of all royalty,
Co-Promotion Payment and other payment obligations under this Agreement with respect to all Products (the “Term”). 
  

	9.2	Termination by Astellas 

  

	9.2.1	For Convenience. Notwithstanding anything contained herein to the contrary, Astellas shall have the right to terminate this Agreement on a country-by-country
(provided that if such termination is with respect to any country in the EU, it shall be with respect to all of the EU) and Product-by-Product basis (provided that for purposes of the termination rights in this Section 9.2, each
Product containing the same Licensed Compound shall be deemed the same Product) at any time in its sole discretion by giving one hundred and eighty (180) days’ advance written notice to Ambit. After any such notice of termination, unless
within such period, Astellas is entitled to terminate this Agreement on a shorter notice period pursuant to Sections 9.2.2 or 9.2.3, the Agreement shall continue in full force and effect with respect to such Product or country(ies), and all
obligations (including the payment of Development Costs incurred) remain applicable, notwithstanding such notice, until date of termination of the Agreement with respect to such Product or country(ies). 

 

	9.2.2	 For Safety or Regulatory Concerns. Astellas may terminate this Agreement on a Product-by-Product basis effective upon thirty
(30) days’ prior written notice to Ambit at any time referencing this Section 9.2.2 and providing Ambit with all clinical data supporting such termination together with a detailed written explanation of why Astellas believes that the
Adverse Safety/Tox Results (as defined below) justify discontinuing all development and Commercialization hereunder. For purposes of the foregoing, “Adverse Safety/Tox Results” means, with respect to a particular Product, results
from activities hereunder that provide a reasonable basis for the discontinuance by Astellas of all further development or Commercialization of such Products for use in the Field

  
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	 	because the risk profile of such Product makes it unlikely that Regulatory Approval within the Field can be obtained or maintained for such Product in any of the U.S.,
EU or Japan. In the event that Ambit disputes Astellas’s decision to terminate in accordance with this Section 9.2.2, the Parties shall promptly refer such dispute for resolution pursuant to Section 10.7 and, if Astellas desires to
terminate this Agreement for convenience regardless of the outcome of the dispute resolution procedure, Astellas shall provide Ambit with written notice of such intent, in which case Astellas shall be deemed to have provided Ambit with notice of
termination pursuant to Section 9.2.1 as of the date that Astellas provided notice of its intent to terminate pursuant to this Section 9.2.2. Termination of this Agreement shall be effective upon the earlier to occur of (A) the
expiration of the notice period provided in Section 9.2.1 and (B) conclusion of the dispute resolution process in Astellas’s favor. Without limitation of the foregoing, in the event that Astellas terminates this Agreement pursuant to
this Section 9.2.2 with respect to the Lead Product, it shall have the right to terminate this Agreement simultaneously with respect to all Products by so specifying in writing to Ambit. 

 

	9.2.3	For Third Party Infringement. Astellas may terminate this Agreement effective upon thirty (30) days’ written notice to Ambit on a Product-by-Product
basis and/or with respect to any country(ies) (provided that if such termination is with respect to any country in the European Union, it shall be with respect to all of the European Union and if such termination is with respect to the U.S.,
the Agreement may, at Astellas’s election, be terminated in its entirety) if (a) Astellas concludes, reasonably and in good faith, that there is a substantial likelihood that it and its Affiliates, Distributors, and Sublicensees cannot
Exploit such Product (or the Licensed Compound contained therein) in a country without infringing or misappropriating the Patent Rights or other intellectual property of a Third Party or (b) a Third Party institutes or threatens suit against
Ambit or its Affiliates or Astellas or its Affiliates, Sublicensees or Distributors alleging that the Exploitation of such Product (or the Licensed Compound contained therein) with respect to a country by or on behalf of Astellas, its Affiliates,
Distributors or Sublicensees under this Agreement infringes or misappropriates its Patent Rights or other intellectual property rights, and Astellas concludes, reasonably and in good faith, that there is a substantial likelihood that such suit will
be successful. In the event that Ambit disputes Astellas’s decision to terminate in accordance with this Section 9.2.3, the Parties shall promptly refer such dispute for resolution pursuant to Section 10.7 and, if Astellas desires to
terminate this Agreement for convenience regardless of the outcome of the dispute resolution procedure, Astellas shall provide Ambit with written notice of such intent, in which case Astellas shall be deemed to have provided Ambit with notice of
termination pursuant to Section 9.2.1 as of the date that Astellas provided notice of its intent to terminate pursuant to this Section 9.2.3. Termination of this Agreement shall be effective upon the earlier to occur of (A) the
expiration of the notice period provided in Section 9.2.1 and (B) conclusion of the dispute resolution process in Astellas’s favor. Without limitation of the foregoing, in the event that Astellas terminates this Agreement pursuant to
this Section 9.2.3 with respect to the Lead Product, it shall have the right to terminate this Agreement simultaneously with respect to all Products by so specifying in writing to Ambit. 

 

	9.3	Termination by Either Party for Cause 

  

	9.3.1	 Material Breach. Subject to Section 9.3.2, in the event that a Party believes that the other Party is in material breach of, or has
materially breached, this Agreement with respect to a Product or one or more country(ies) or in its entirety, then the first Party shall provide written notice to such Party providing a detailed explanation of the asserted

  
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	 	material breach. The allegedly breaching Party shall then have the right either: (a) to cure such asserted material breach within [...***...]
(provided that such cure period shall be [...***...] for a breach of a payment obligation) after actual receipt of such written notice (or such longer period as may be agreed by the Parties) or (b) if the Party receiving
notice disagrees that it is in material breach of the Agreement with respect to a Product and one or more country(ies) or in its entirety, to initiate dispute resolution pursuant to Section 10.7, whereupon the applicable cure period as set
forth above shall be tolled until the dispute is resolved pursuant to such procedure. 

  

	9.3.2	Safe Harbor. 

 (a)
Notwithstanding anything to the contrary herein, Ambit may not assert that Astellas is in material breach of its diligence obligations under this Agreement for failure to perform or discontinuance of (a) any development activity that Astellas
proposed to the JSC for inclusion in the Development Program, but which Ambit opposed during JSC discussions or opted pursuant to Section 2.1.4 not to co-fund, (b) any marketing or promotional activity that Astellas proposed to include in
the Co-Promotion Plan budget of Direct Marketing/Promotional Expenses and Indirect Marketing Expenses for a Co-Promoted Product, but which Ambit opposed in JCC discussions or objected to pursuant to Section 3.9.4 or (c) any activity
reasonably dependant on the performance of an activity in clause (a) or (b). 
 (b) Further, with respect to development of
Products in the Joint Development Territory, if Astellas includes in the then-current Development Plan a program of development for a given Product in a country or jurisdiction in the Joint Development Territory and Ambit’s representatives
on the JSC do not object, in a manner requiring Astellas to cast its final say over such objection, on the ground that such program would not be sufficient to achieve a Regulatory Approval for the applicable Indication in the applicable country or
other jurisdiction or would not otherwise be sufficient for Astellas to satisfy its obligations herein to use Commercially Reasonable Efforts with respect to such Product, then for so long as Astellas is using Commercially Reasonable Efforts to
conduct such Development Program, Astellas shall be deemed to have fulfilled its development diligence obligation under Section 2.6.4(b) with respect to such country or other jurisdiction unless Ambit demonstrates that following the adoption or
update of the Development Plan, circumstances changed in a manner so that Astellas, in order to act in a Commercially Reasonable manner, should have expanded or modified such Development Program and it failed to do so. 

 

	9.3.3	Termination for Uncured Material Breach. If a Party has given notice of a material breach under Section 9.3.1 above, and the other Party agrees or admits
that it materially breached (or otherwise does not dispute that such breach occurred), or is held under the dispute resolution provisions to have materially breached, the Agreement, and such other Party does not cure such breach, if potentially
curable, within the time period for cure as provided in Section 9.3.1 (or, if such breach cannot be rectified within such period, if such Party does not commence actions to rectify such breach within such period and thereafter diligently pursue
such actions), then the non-breaching Party may terminate this Agreement solely with respect to the Product or country or countries to which such material breach relates (provided that if such termination is with respect to any country in the
EU, it shall be with respect to all of the EU). 

  

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	9.4	Termination for Corporate Events 

 A Party shall have the right to terminate this Agreement upon [...***...] prior written notice to the other Party if, at any time during the term of this Agreement (a) a case of business
dissolution/liquidation is commenced by or against such other Party under Title 11, United States Code, as amended, or analogous provisions of Applicable Law outside the United States (the “Bankruptcy Code”) and, in the event of an
involuntary dissolution case under the Bankruptcy Code, such case is not dismissed within [...***...] after the commencement thereof, (b) such other Party files for or is subject to liquidation or similar receivership proceedings
(other than a case under the Bankruptcy Code), (c) such other Party assigns all or a substantial portion of its assets for the benefit of creditors, (d) a receiver or custodian is appointed for such other Party’s business in
connection with a liquidation or similar proceeding, or (e) a substantial portion of such other Party’s business is subject to attachment or similar process in connection with a liquidation or similar proceeding. 

 

	9.5	Effect of Expiration of Agreement.  

 Following the expiration of this Agreement in its entirety under Section 9.1 (excluding for clarity any termination prior to such expiration), Astellas’s licenses pursuant to Section 3.1
shall become fully paid-up, perpetual, non-exclusive licenses. Other than rights intended to survive expiration, neither Party shall have any further rights or obligations upon such expiration of this Agreement. No later than
[...***...] after the effective date of expiration of this Agreement in its entirety, each Party shall return or cause to be returned to the other Party all Confidential Information in tangible form received from the other Party and all
copies thereof; provided, however, that each Party may retain any Confidential Information reasonably necessary for such Party’s continued practice under any licenses which do not terminate pursuant to this Section, and may keep one copy
of Confidential Information received from the other Party in its confidential files for record purposes. 
  

	9.6	Effect of Termination 

  

	9.6.1	In General. Upon termination of this Agreement by Astellas in accordance with Section 9.2.1, 9.2.2 (solely to the extent agreed in writing pursuant to
Section 9.6.3) or 9.2.3, or by Ambit in accordance with Section 9.3 or Section 9.4 with respect to one or more Products or one or more country(ies) or in its entirety (the “Terminated Products” and “Terminated
Countries;” with all Products being Terminated Products and the entire Territory being the Terminated Countries in the event of termination of this Agreement in its entirety), the following shall apply with respect to the Terminated
Products and Terminated Countries (in addition to any other rights and obligations under Section 9.2 and Section 9.7 or otherwise under this Agreement with respect to such termination): 

(a) Termination of Astellas. The licenses granted in Article 3 and the rights of reference granted in Section 2.5.3(c) shall
terminate with respect to the Terminated Products and/or Terminated Countries, except that limited license rights shall remain in effect (unless the Agreement is terminated in its entirety) in the Terminated Country(ies) solely for the
limited purpose of allowing Astellas to manufacture the Terminated Product(s) (including any intermediate thereof or any Licensed Compounds or other material contained therein) in the Terminated Country(ies) for sale or distribution thereof in any
country which has not been terminated. 

  

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(b) License Grant to Ambit. Effective upon the effective date of termination of this Agreement with respect to any Reversion
Product and the applicable Terminated Country, Astellas shall automatically be deemed to grant to Ambit a non-exclusive, fully-paid, perpetual, irrevocable license, with the right to sublicense through multiple tiers of sublicensees, under the
Astellas Technology, Astellas Program Technology (including under all Program Development Data and Independent Development Data) and Astellas’s interest in the Joint Program Technology as such Patent Rights, Know-How and interests in Patent
Rights and Know-How existed as of the effective date of termination (or, in the case of Patent Rights that consist of pending patent applications as of the effective date of termination, Patent Rights issuing thereon) solely to the extent that such
Know-How is incorporated into or used in Exploiting (including only such Program Development Data and Independent Development Data generated in relation thereto), or such Patent Rights cover or claim an invention incorporated into or used in, such
Reversion Product in the Terminated Country, as it exists and is made as of the effective date of any such termination, to research, develop, make, have made, use, import, export, offer for sale, and sell the applicable Reversion Products and/or any
improvements thereto made by Ambit or its Affiliates or (sub)licensees in the Field in the Terminated Country(ies); provided, however, that such grant with respect to the Astellas Technology shall not include any rights to Exploit any
Reversion Product that has not, as of the effective date of termination, entered into clinical development. In the event that any Astellas Technology licensed to Ambit in this Section 9.6.1(b) is in-licensed by Astellas from any Third Party,
Ambit shall use commercially reasonable efforts to secure directly from such Third Party a license to such Astellas Technology for the applicable Reversion Product on commercially reasonable terms (which terms need not be equivalent to, or as
favorable as, those that apply to the Astellas in-license), within one hundred and eighty (180) days of the effective date of such termination event or such longer date as the Parties may agree. In the event that Ambit is unable, despite the
exercise of such commercially reasonable efforts, to secure a license to such Astellas Technology from such Third Party(ies) for the applicable Reversion Product, the license granted by Astellas in this Section 9.6.1(b) with respect thereto
shall continue. In the event that Ambit secures a license from such Third Parties with respect to such Astellas Technology for the applicable Reversion Product, such Astellas Technology shall automatically be deemed to be excluded from this
Section 9.6.1(b) as of the effective date of the Third Party agreement providing such license rights to Ambit. 
 (c)
Trademarks. Astellas shall assign to Ambit all right, title and interest in and to those trademarks used exclusively with the Terminated Products and used exclusively in the Terminated Country(ies) (excluding any trademark that is used by
Astellas or any of its Affiliates in connection with a Combination Product). 
 (d) Remaining Inventories. Astellas shall
be entitled to sell all Products remaining in its inventory upon termination of this Agreement with respect to any Terminated Country(ies), provided that Astellas pays Ambit the royalties and/or Co-Promotion Payments (if any) owed under
Article 4 for such sales (as if they had occurred during the Term with respect to any Terminated Country(ies)), and that, of applicable, Astellas has conducted and continues to conduct the transition contemplated in 9.6.1(f)(i) in good faith, and
provided further that such sales of remaining inventory shall cease no later than the date [...***...] after termination. 
 (e) Third-Party Agreements. Ambit shall (i) pay such amounts to Astellas that Astellas is obligated to pay to any Third Parties (including royalties, milestones and other

  

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amounts) under any Third Party agreements that are applicable to the grant to Ambit of any (sub)license or other right provided in this
Section 9.6.1 or the Transition Agreement, or that are applicable to the exercise by Ambit or any of its Affiliates or sublicensees of any sublicense or other right with respect thereto, and in each instance Ambit shall make the requisite
payments to Astellas and provide the necessary reporting information to Astellas in sufficient time to enable Astellas to comply with its obligations under the applicable Third Party agreements, and (ii) comply with any other obligations
included in the Third Party agreements that are applicable to the grant to Ambit of such (sub)license or other right, and any exercise of such (sub)license or other right by Ambit or any of its Affiliates or sublicensees shall be subject to the
terms and conditions of such Third Party agreements. 
 (f) Transition Agreement. In connection with the termination of
this Agreement in its entirety or with respect to one or more Products or Terminated Countries by Astellas in accordance with Section 9.2.1, 9.2.2 (solely to the extent agreed in writing pursuant to Section 9.6.3) or 9.2.3, or as or by
Ambit in accordance with Section 9.3 or Section 9.4, the Parties shall enter into a written agreement (the “Transition Agreement”) that would effectuate the terms and conditions of this Section 9.6.1(f) and would
include other reasonable terms and conditions, describing the Parties’ indemnification obligations, setting forth the Parties’ obligations with respect to unauthorized sales, and setting forth other coordination obligations. If, despite
such efforts, the Parties are unable to agree upon such terms and conditions within thirty (30) days from the effective date of the termination, either Party may refer the dispute for resolution by arbitration in accordance with Section 10.7.3.

  

	 	(i)	Transition Assistance. If the applicable termination occurs after First Commercial Sale of the terminated Product in the Terminated Country(ies), then the
Transition Agreement shall require the Parties to effectuate and coordinate a smooth and efficient transition for a period of no more than [...***...] for the purpose of disclosing and providing to Ambit, all Astellas Know-How not
already in Ambit’s possession that is relevant to the Reversion Products and the applicable Terminated Country(ies), and, at Ambit’s request, assign to Ambit all then-existing commercial agreements to the extent relating solely and
specifically to the Reversion Products and the applicable Terminated Country(ies) that Astellas is able, using reasonable commercial efforts, to disclose and assign to Ambit, in each case, to the extent reasonably necessary or useful for Ambit to
commence or continue (itself or through a licensee) researching, Developing, manufacturing, or commercializing the Reversion Products with respect to the applicable Terminated Country(ies). 

 

	 	(ii)	 Regulatory Materials and Documents. Astellas shall assign to Ambit in the Transition Agreement all right, title and interest in and to all
Regulatory Materials and Regulatory Approvals in the Terminated Country(ies) solely relating to Reversion Products, which Regulatory Materials and Regulatory Approvals are owned by Astellas or its Affiliates (collectively, “Supporting
Documents”), provided that all Supporting Documents will be supplied by Astellas on an “as-is” basis only and Astellas shall have no liability whatsoever with respect to such Supporting Documents. Unless terminated by Ambit
pursuant to Section 9.3.3, in which case Astellas shall bear all such costs each Party shall bear one-half (1/2) of the out of pocket costs relating to such transfer of Supporting Documents. The Transition Agreement shall contain

  

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	 	terms governing the coordination of the Parties’ respective regulatory responsibilities with respect to Licensed Compounds and Products. 

 

	 	(g)	Other Remedies. Termination or expiration of this Agreement for any reason shall not constitute a waiver or release of, or otherwise be deemed to prejudice or
adversely affect, any rights, remedies or claims, whether for damages or otherwise, that a Party may have hereunder or that may arise out of or in connection with such termination or expiration. 

 

	 	(h)	Confidential Information. Each Party shall return to the other Party, or destroy at the other Party’s option, the other Party’s Confidential
Information belonging to the other Party or its Affiliates that are not subject to a continuing ownership interest or license hereunder; provided, that, each Party may retain one copy of such Confidential Information of the other Party in its
archives solely for the purpose of establishing the contents thereof and ensuring compliance with its obligations hereunder. 

  

	 	(i)	Joint Program Know-How. Each Party shall have the right to retain any Joint Program Know-How under its possession or Control. 

 

	9.6.2	Certain Termination under Section 9.3 or Section 9.4. Upon a termination by Astellas in accordance with Section 9.3 or Section 9.4:

 (a) All rights and licenses granted by Ambit to Astellas under this Agreement shall terminate and revert
exclusively to Ambit; 
 (b) All rights and licenses granted by Astellas to Ambit under this Agreement shall terminate and revert
to Astellas; 
 (c) Upon request by Ambit, Astellas shall transfer and assign back to Ambit, pursuant to a reasonable form of
assignment agreement entered into by the Parties as soon as practicable after the termination, those Regulatory Materials and Regulatory Approvals that were assigned to Astellas by Ambit pursuant to Section 2.5.3(b)(i) (which assignment in the
case of Regulatory Materials shall, unless otherwise agreed by the Parties, cover such materials solely as they existed at the time of assignment to Astellas hereunder and not any further improvement, additions or expansions to such materials after
the date of such assignment to Astellas); 
 (d) Each Party shall return to the other Party, or destroy at the other Party’s
option, the other Party’s Confidential Information belonging to the other Party or its Affiliates that are not subject to a continuing ownership interest or license hereunder; provided, that, each Party may retain one copy of such Confidential
Information of the other Party in its archives solely for the purpose of establishing the contents thereof and ensuring compliance with its obligations hereunder; 
 (e) Each Party shall have the right to retain any Joint Program Know-How under its possession or Control. 
  

	9.6.3	 Termination under Section 9.2.2. In the event that Astellas terminates this Agreement pursuant to Section 9.2.2, and Ambit desires to
continue the development and commercialization of the Terminated Product following such termination event, Ambit shall so advise Astellas in writing within a reasonable time following such termination

  
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	 	event and the Parties shall discuss in good faith whether Astellas would be willing to agree (such agreement not to be unreasonably withheld) to amend this Agreement to
provide with respect to the applicable Terminated Product (a) a license under Section 9.6.1(b) and (b) the transition assistance contemplated under Section 9.6.1(f). Astellas shall give full and fair consideration to Ambit’s
request, taking into consideration Ambit’s interests in the Terminated Product and the best interests of patients. In the event that Astellas is inclined against agreeing to such an amendment, Astellas shall so advise Ambit and at Ambit’s
request the matter shall be elevated to the Executive Officers of each of Ambit and Astellas, who shall seek in good faith to reach agreement on the issue. In the event Ambit disagrees with any decision by Astellas to not amend this Agreement
pursuant to this Section 9.6.3 with respect to a Terminated Product, Ambit may cause the matter to be submitted to an arbitrator for resolution pursuant to Section 10.7 and the arbitrator shall determine whether Astellas unreasonably
withheld its agreement. It shall not be unreasonable for Astellas to refuse to amend the Agreement pursuant to this Section 9.6.3 in the event that Astellas reasonably concludes, after consultation with its safety experts and consideration of
Ambit’s positions on the relevant issues, that further development or commercialization of such Terminated Product would create unreasonable safety risks for patients or subjects. 

 

	9.7	Unauthorized Sales. 

 If
this Agreement has not been terminated in its entirety, if either Party has the right to Exploit Products in one or more countries, to the extent permitted by Applicable Law, such Party: (a) shall not, and shall not permit its Affiliates and
shall use reasonable endeavors to not permit sublicensees or distributors to, distribute, market, promote, offer for sale or sell Products directly or indirectly (other than pursuant to the rights granted pursuant to Section 9.6.1(a))
(i) to any Person outside such countries or (ii) to any Person inside such countries if such Party or its Affiliates, sublicensees or distributors, as applicable, is aware that such Person (A) is reasonably likely to directly or
indirectly distribute, market, promote, offer for sale or sell Products outside such countries (and into one or more countries with respect to which the other Party has the right to Commercialize Products) or assist another Person to do so, or
(B) has a demonstrated pattern of directly or indirectly distributing, marketing, promoting, offering for sale or selling Products outside such countries (and into one or more countries with respect to which the other Party has the right to
Commercialize the Products) or assisting one or more other Third Parties to do so. 
  

	9.8	Rights in Bankruptcy. 

All rights and licenses granted under or pursuant to this Agreement by Ambit are, and will otherwise be deemed to be, for purposes of
Section 365(n) of the U.S. Bankruptcy Code, licenses of right to “intellectual property” as defined under Section 101 of the U.S. Bankruptcy Code. The Parties agree that Astellas, as licensee of such rights under this Agreement,
will retain and may fully exercise all of its rights and elections under the U.S. Bankruptcy Code. The Parties further agree that, in the event of the commencement of a bankruptcy proceeding by or against Ambit under the U.S. Bankruptcy Code,
Astellas will be entitled, to the extent necessary to exercise its rights under this Agreement, to a complete duplicate of (or complete access to, as appropriate) any such intellectual property and all embodiments of such intellectual property, and
same, if not already in its possession, will be promptly delivered to it (a) upon any such commencement of a bankruptcy proceeding upon its written request therefore, unless Ambit elects to

  
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continue to perform all of its obligations under this Agreement, or (b) if not delivered under (a) above, following the
rejection of this Agreement by or on behalf of Ambit upon written request therefore by Astellas. 
  

	9.9	Survival. 

 Expiration or
termination of this Agreement shall not relieve the Parties of any obligation accruing prior to such expiration or termination. Any expiration or termination of this Agreement shall be without prejudice to the rights of either Party against the
other accrued or accruing under this Agreement prior to expiration or termination, including, without limitation, the obligation to pay royalties or Co-Promotion Payments for Product(s) sold prior to such expiration or termination. Except as
otherwise expressly provided in Article 6, the provisions of Article 6 (other than Section 6.3) shall survive the expiration or termination of this Agreement and shall continue in effect for [...***...]. In addition, except as set
forth below or elsewhere in this Agreement, the obligations and rights of the Parties under the following provisions of this Agreement shall survive expiration or termination: 2.5.3, 2.6.7 (for a period of [...***...] after termination
or such longer period required by Applicable Law), 2.10 (last sentence), 4.4.4, 4.6, 5.4, 8.1, 8.3 (other than 8.3.8 and solely with respect to the prosecution of Joint Program Patents), 8.3.8 (solely to the extent that 8.4.1 survives), 8.4.1
(solely with respect to infringing activities occurring prior to termination of this Agreement), 8.4.2 (solely with respect to alleged infringement arising from Exploitation of Products in the Field in the Territory prior to termination of this
Agreement), 9.3,2, 9.5, 9.6, 9.8, 9.9, 10.3.1, 10.3.2, 10.3.3 (solely with respect to the first sentence), 10.4, 10.5, 10.6, 10.7 (other than 10.7.2), 10.8, 10.9, 10.10, 10.11, 10.12, 10.13, 10.14, 10.15, 10.16 and Article 7. In addition, the other
applicable provisions of Section 2.7 and Article 4 shall survive such expiration or termination of this Agreement in its entirety to the extent required to make final reimbursement, reconciliations or other payment incurred or accrued prior to
the date of termination or expiration. If this Agreement is terminated with respect to one or more Products or Terminated Countries but not in its entirety, then following such termination the provisions identified above in this Section 9.9, to
the extent they would survive and apply in the event the Agreement expires or is terminated in its entirety, and Section 9.7, shall remain in effect with respect to the Terminated Product or Terminated Country(ies), and all provisions not
surviving in accordance with the foregoing shall terminate upon termination of this Agreement with respect to the applicable Product or country(ies) and be of no further force and effect (and for the avoidance of doubt all provisions of this
Agreement shall remain in effect with respect to any Products or country(ies) that are not terminated). If this Agreement is terminated with respect to any or all Products with respect to one or more Terminated Country(ies) in the Joint Development
Territory, but not in its entirety, such Terminated Country(ies) shall be deemed to be excluded from the Joint Development Territory with respect to the applicable Product(s) from and after the effective date of such termination event. 

 

	10.	MISCELLANEOUS 

  

	10.1	HSR Filing 

 In the event
that Astellas notifies Ambit in writing at any time after the Effective Date during the Term that a filing is required under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, with respect to any transactions contemplated

  

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hereby, the Parties shall coordinate in good faith with respect to, and file with the U.S. Federal Trade Commission and the U.S.
Department of Justice, any such filings. Such filings shall be made promptly, and in no event later than fifteen (15) Business Days after the receipt by Ambit of such notice from Astellas. Each Party shall use its reasonable best efforts to
respond promptly to any requests for additional information made by such agencies, and to cause the waiting period (and any extension thereof) under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended, to terminate or expire at the
earliest possible date after the date of filing. Each Party is responsible for the costs associated with its filings (including the expenses of its own legal and other advice in preparing and conducting any such filings). 

 

	10.2	Force Majeure 

 Neither
Party shall be held liable to the other Party nor be deemed to have defaulted under or breached this Agreement for failure or delay in performing any obligation under this Agreement to the extent that such failure or delay is caused by or results
from causes beyond the reasonable control of the affected Party, potentially including, but not limited to, embargoes, war, acts of war (whether war be declared or not), acts of terrorism, insurrections, riots, civil commotions, strikes, lockouts or
other labor disturbances, fire, floods, or other acts of God, or acts, omissions or delays in acting by any Governmental Authority or the other Party. The affected Party shall notify the other Party of such force majeure circumstances as soon as
reasonably practical, and shall promptly undertake all reasonable efforts necessary to cure such force majeure circumstances. 
  

	10.3	Assignment/ Change of Control 

  

	10.3.1	Except as provided in this Section 10.3, this Agreement may not be assigned or otherwise transferred, nor may any right or obligation hereunder be assigned
or transferred, by either Party without the consent of the other Party, such consent not be unreasonably withheld. Any permitted assignee under this Agreement shall assume in writing all assigned obligations of its assignor under this Agreement. All
validly assigned rights of a Party shall inure to the benefit of and be enforceable by, and all validly assigned obligations of such Party shall be binding on and enforceable against, each permitted assignee of such Party; provided that such
Party shall remain jointly and severally liable for the performance of the assigned obligations under this Agreement. Any attempted assignment not in accordance with this Section 10.3 shall be void. 

 

	10.3.2	Astellas may, without Ambit’s consent, assign this Agreement and all its rights and obligations hereunder in whole (but not in part) to an Astellas
Affiliate, or to Astellas’s successor in interest (whether by acquisition, merger, reorganization, restructuring, asset purchase or otherwise) to all or substantially all the business or assets to which this Agreement relates. In addition,
Astellas may, without Ambit’s consent, perform any or all of its obligations and exercise any or all of its rights under this Agreement through any of Astellas’s Affiliates. 

 

	10.3.3	 Ambit may, without Astellas’s consent, assign this Agreement and all its rights and obligations hereunder in whole (but not in part) to
Ambit’s successor in interest (whether by acquisition, merger, reorganization, restructuring, asset purchase or otherwise) to all or substantially all the business or assets to which this Agreement relates; provided, however, that
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	 	transaction. Further, upon any Change of Control of Ambit, Astellas shall have the right, at its sole discretion upon thirty (30) days prior written notice at any
time within three (3) months after completion of such a Change of Control of Ambit, to exercise one or more of the following options: 

 (a) Terminate any existing Co-Promotion Option that has not been exercised prior to the date of such Astellas termination; 
 (b) Terminate any existing Co-Promotion Agreement, provided however that in the event of a termination of any applicable Co-Promotion Agreement existing as of the date of Astellas’s termination in
accordance with this Section 10.3.3 based on a Change of Control of Ambit, the following shall apply from and after the effective date of such termination event(s): 

 

	 	(i)	The applicable Product(s) shall no longer constitute a Co-Promoted Product(s) under this Agreement, except that (A) the Parties shall be required to pay to one
another Co-Promotion Payments in accordance with Section 3.8.5 with the applicable financial terms and conditions of this Agreement applied for purposes of calculating such payments as if such Product(s) were a Co-Promoted Product(s) hereunder;
and (B) such Product(s) shall continue to be treated as a Co-Promoted Product(s) for purposes of Article 7 (including for purposes of applying defined terms used in Article 7 to give effect to the provisions thereof); 

 

	 	(ii)	Notwithstanding any other term or condition of this Agreement to the contrary, Allowed Expenses for purposes of determining such Co-Promotion Payments shall be deemed
to include any and all costs (internal and out-of-pocket), whether direct or indirect, incurred to build, maintain and operate Astellas’s, its Related Party’s or subcontractors’s sales force(s) in the U.S. for the Product(s) that was
the subject of the Co-Promotion Agreement, and to use such sales force(s) to Promote the Product(s) in the U.S., including any such amounts incurred to provide, support and maintain sales force managers for such sales force(s);

  

	 	(iii)	Without limitation to the foregoing, for purposes of calculating Co-Promotion Payments, (A) any requirement that Allowed Expenses be incurred in accordance with
any budget shall not apply, (B) Sections 3.8 and 3.9 shall have no further force or effect, and, for clarity, (x) Astellas shall not be under any obligations to prepare or present for Ambit’s review any Co-Promotion Plan, (y) the
JCC shall be terminated, and (z) Astellas shall have no obligations to continue providing to Ambit information with respect to commercialization activities for the U.S., and (C) Astellas shall have sole control over all commercialization
matters in the U.S., except that Astellas shall provide to Ambit summary reports each Calendar Quarter with respect to its commercialization activities in the U.S; 

 

	 	(iv)	For clarity, nothing contained herein is intended or shall be construed to be in derogation of Astellas’s obligations to use Commercially Reasonable Efforts to
commercialize the applicable Product(s) in the U.S. as required pursuant to Section 3.6.1, or Ambit’s right to conduct audits pursuant to Section 4.6; 

  
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	 	(v)	Notwithstanding the foregoing, Astellas shall retain under the applicable Co-Promotion Agreement the right to terminate such Agreement with respect to any Co-Promoted
Product (including a Co-Promoted Product subject to this Section 10.3.3) on grounds other than a Change of Control of Ambit, in which event Astellas may exercise rights under any applicable termination provision of the Co-Promotion Agreement
(as if the agreement had not previously been terminated on account of a Change of Control of Ambit) and in such event, as of the effective date of such termination event in accordance with the terms and conditions of such Co-Promotion Agreement,
clauses (b)(i) through (b)(iv) of this Section 10.3.3 shall no longer have any force or effect with respect to the applicable Product(s); 

 (c) Terminate the involvement of Ambit in the co-development of Products, in which case Ambit would nonetheless continue to be obligated to pay Ambit’s share of any remaining Development Costs,
subject to Ambit’s rights pursuant to Section 2.1.4; 
 (d) Terminate Ambit’s role in all collaborative activities
(including all joint committees), in which case clause (c) of Section 2.2.1, Section 2.2.2 and the provisions of the Agreement providing for the participation of Ambit in decision-making shall have no further force or effect,
provided that Ambit continues to receive periodic (at least once every six (6) months) reports and updates of Astellas’s development and commercialization activities with respect to all Products. 

 

	10.3.4	If a Party assigns this Agreement to a successor in interest (whether by acquisition, merger, reorganization, restructuring, asset purchase or otherwise) to all
or substantially all the business or assets of such Party to which this Agreement relates (the “Acquiring Party”), then the intellectual property of such Acquiring Party (a) that is held by such Acquiring Party (or its
Affiliate) as of immediately prior the closing of such transaction, or (b) that is developed, discovered, invented, made, acquired or in-licensed by such Acquiring Party (or its Affiliates other than such Party), excluding any Derived IP
(as defined below), shall be excluded from the Ambit Technology (in the case such Party is Ambit) or the Astellas Technology (in the case that such Party is Astellas), as applicable, and from the rights licensed to the other Party under this
Agreement. The term “Derived IP” shall mean any intellectual property that the Acquiring Party (or its Affiliates) develops, discovers, invents, or makes after the closing of such transaction based upon use of (a) in the case of
Astellas as the Party involved in such transaction, any Confidential Information of Ambit relating to a Licensed Compound or Product, and (b) in the case of Ambit as the Party involved in such transaction, any Confidential Information of
Astellas or any Restricted Information relating to a Licensed Compound or Product. In the event that intellectual property is developed, discovered, invented or made after the closing of such transaction by employees or agents of the Acquiring Party
(or its Affiliates) (i) who are engaged in the research and development of a Competing Product and (ii) to which any such Confidential Information or Restricted Information, as applicable, has been disclosed, such intellectual property
shall be presumed to be “Derived IP” unless the Acquiring Party can demonstrate by a preponderance of written evidence that such intellectual property was developed, discovered or invented independently without use of any such Confidential
Information or Restricted Information, as applicable. 

  
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	10.4	Severability 

 If any one
or more of the provisions contained in this Agreement is held invalid, illegal or unenforceable in any respect, the validity, legality and enforceability of the remaining provisions contained herein shall not in any way be affected or impaired
thereby, unless the absence of the invalidated provision(s) adversely affects the substantive rights of the Parties. The Parties shall in such an instance use their best efforts to replace the invalid, illegal or unenforceable provision(s) with
valid, legal and enforceable provision(s) which, insofar as practical, implement the purposes of this Agreement. 
  

	10.5	Notices 

 All notices
which are required or permitted hereunder shall be in writing and sufficient if delivered personally, sent by facsimile (and promptly confirmed by personal delivery, registered or certified mail or overnight courier), sent by nationally-recognized
overnight courier or sent by registered or certified mail, postage prepaid, return receipt requested, addressed as follows: 
  

					
	If to Ambit, to:	  	 Ambit Biosciences Corporation.
 4215 Sorrento Valley Boulevard
 San Diego, California 92121

United States
 Attention: CEO

Copy: General Counsel
 Facsimile No.: (858) 430
4542
	  	
		
	If to Astellas, to:	  	 Astellas Pharma Inc.
 3-11, Nihonbashi-Honcho 2-chome
 Chuo-ku, Tokyo, 103-8411

Japan
 Attention: Vice President, Licensing &
Alliances
                    Vice President,
Legal
 Facsimile No. Licensing & Alliances: 81 (3) 5203 7164
 Facsimile No. Legal: 81 (3) 3244 5811

			
	with a copy to:	  	 Astellas US LLC
 Three
Parkway North
 Deerfield, Illinois 60015

United States
 Attention: General
Counsel
 Facsimile No.: 847-317-7288
	  	

 or to such other address(es) as the Party to whom notice is to be given may have furnished to the other
Party in writing in accordance herewith. Any such notice shall be deemed to have been given: (a) when delivered, if personally delivered or sent by facsimile on a Business Day (or if delivered or sent on a non-Business Day, then on the next
Business Day); (b) on the Business Day after dispatch, if sent by a reputable 

  
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international expedited delivery service; or (c) on the fifth (5th) Business Day following the date of mailing, if sent by mail.

  

	10.6	Applicable Law 

 This
Agreement shall be governed by and construed in accordance with the laws of the State of New York and the patent laws of the United States, without reference to any rules of conflict of laws. 

 

	10.7	Dispute Resolution 

  

	10.7.1	Objective. The Parties recognize that disputes as to certain matters may from time to time arise which relate to either Party’s rights and obligations
hereunder. It is the objective of the Parties to establish procedures to facilitate the resolution of such disputes in an expedient manner by mutual cooperation and without resort to litigation. To accomplish this objective, the Parties agree to
follow the procedures set forth in this Section 10.7 if and when such a dispute arises between the Parties. 

  

	10.7.2	Informal Resolution. The Parties shall negotiate in good faith and use reasonable efforts to settle any claim, dispute, or controversy from or related to this
Agreement or a breach thereof (each, a “Dispute”). If the Parties do not fully settle a Dispute, and a Party wishes to pursue the matter, each Dispute that is not an “Excluded Dispute” (as defined in Section 10.7.6)
shall be finally resolved by binding arbitration in accordance with this Section 10.7. 

  

	10.7.3	 Arbitration. Final and binding arbitration in accordance with this Section 10.7 shall be in accordance with the Commercial Arbitration
Rules and Supplementary Procedures for Large Complex Disputes of the American Arbitration Association (“AAA”) by a single arbitrator. Either Party may, following the end of the good faith negotiation period referenced in
Section 10.7.2, refer any Dispute (other than an Excluded Dispute) to arbitration by submitting written notice to the other Party. Within fifteen (15) Business Days of delivery of such notice, the Parties shall meet and discuss in good
faith and agree on (a) an arbitrator to resolve the issue, which arbitrator shall be neutral and independent of both Parties and all of their respective Affiliates, shall have significant experience and expertise in licensing and partnering
agreements in the pharmaceutical industry and other relevant experience and (b) any changes in these arbitration provisions or the rules of arbitration which are herein adopted, in an effort to expedite the process and otherwise ensure that the
process is appropriate given the nature of the dispute and the values at risk. If the Parties cannot agree on such arbitrator within fifteen (15) days of request by a Party for arbitration, then such arbitrator shall be appointed by AAA, which
arbitrator must meet the foregoing criteria. The arbitration shall be held in New York, New York, and the proceedings shall be conducted in the English language. The arbitrators may proceed to an award, notwithstanding the failure of either Party to
participate in the proceedings. The arbitrator shall be instructed that time is of the essence in the arbitration proceeding. The arbitrator shall, within forty-five (45) calendar days after the conclusion of the arbitration hearing, issue a
written award and statement of decision describing the essential findings and conclusions on which the award is based, including the calculation of any damages awarded. The arbitrator shall be authorized to award compensatory damages, but shall not
be authorized to (i) award non-economic or punitive damages to the extent expressly excluded under this Agreement, or (ii) reform, modify or materially change this Agreement or any other

  
 89 

 CONFIDENTIAL 

 

	 	agreements contemplated hereunder; provided, however, that the damage limitations described in part (i) of this sentence will not apply if such damages are
statutorily imposed. Judgment on the award rendered by the arbitrator may be enforced in any court having competent jurisdiction thereof, or application may be made to the court for a judicial recognition of the award or an order of enforcement as
the case may be, subject only to revocation on grounds of fraud or clear bias on the part of the arbitrator. Notwithstanding anything contained in this Section 10.7.3 to the contrary, either Party shall have the right to seek equitable relief
or interim or provisional relief from a court of competent jurisdiction, including a temporary restraining order, preliminary injunction or other interim equitable relief, concerning a dispute either prior to or during any arbitration if necessary
to protect the interests of such Party or to preserve the status quo pending the arbitration proceeding. The Parties agree that the arbitration shall be kept confidential and that the existence of the proceeding and any element of its (including any
pleadings, briefs or other documents submitted or exchanged, any testimony or other oral submissions and any awards) shall not be disclosed beyond the arbitrator, the Parties, their counsel and any Person necessary to the conduct of the proceeding,
except as may lawfully be required in judicial proceedings relating to the arbitration or otherwise. 

  

	10.7.4	Administration. Each Party shall bear its own attorneys’ fees, costs, and disbursements arising out of the arbitration, and shall pay an equal share of the
fees and costs of the arbitrators. In no event may an arbitration be initiated after the date when commencement of a legal or equitable proceeding based on the Dispute would be barred by the applicable New York statute of limitations.

  

	10.7.5	Waivers. By agreeing to the binding arbitration provisions of Section 10.7, the Parties are waiving certain rights and protections which may otherwise be
available if a Dispute between the Parties were determined by litigation in court, including, without limitation, the right to seek or obtain certain types of damages precluded by this provision, the right to a jury trial, certain rights of appeal,
and a right to invoke formal rules of procedure and evidence. 

  

	10.7.6	Non-Arbitrable Disputes. As used in this Section 10.7, the term “Excluded Dispute” means a Dispute that concerns (A) a matter for
which this Agreement assigns decision-making to the Parties or a Committee or requires the consent of one or both of the Parties, (B) the validity, enforceability or infringement of a Patent, trademark or copyright, which issues shall be
submitted to a court of competent jurisdiction in the country in which such patent, trademark rights or copyright rights were granted or arose; or (C) any antitrust, anti-monopoly or competition law or regulation, whether or not statutory.

  

	10.8	Entire Agreement 

 This
Agreement, including Schedule 5.2.1 and the exhibits hereto, contains the entire understanding of the Parties with respect to the subject matter hereof. In the event of any inconsistency between any plan hereunder (including the Research Plan,
Development Plan (including the initial Development Plan) or Co-Promotion Plan) and this Agreement, the terms of this Agreement shall prevail. This Agreement supersedes any other express or implied agreements and understandings between the Parties,
either oral or written, with respect to the subject matter hereof, including, without 

  
 90 

 CONFIDENTIAL 

limitation, the Non-Disclosure Agreement entered into by API and Ambit dated [...***...]. 

 

	10.9	Amendment 

 This Agreement
may be amended, or any term hereof modified, only by a written instrument duly executed by authorized representatives of both Parties hereto. 
  

	10.10	Headings 

 The captions to
the several Articles and Sections hereof are not a part of this Agreement, but are merely for convenience to assist in locating and reading the several Articles and Sections hereof. 

 

	10.11	Construction 

 Except
where the context requires otherwise, whenever used the singular includes the plural, the plural includes the singular, the use of any gender is applicable to all genders and the word “or” has the inclusive meaning represented by the
phrase “and/or” (and no implication is intended to be drawn from the actual use of the phrase “and/or” in some instances but not others). Whenever this Agreement refers to a number of days, unless otherwise specified, such number
refers to calendar days. The term “including” or “includes” as used in this Agreement means “including without limitation” and shall not be interpreted to limit the generality of any description preceding such term.

  

	10.12	Independent Contractors 

It is expressly agreed that Ambit and Astellas shall be independent contractors and that the relationship between the Parties shall not
constitute a partnership, joint venture or agency. Neither Ambit nor Astellas shall have the authority to make any statements, representations or commitments of any kind, or to take any action, which shall be binding on the other Party, without the
prior written consent of the other Party. 
  

	10.13	Waiver 

 The waiver by
either Party hereto of any right hereunder, or of any failure of the other Party to perform, or of any breach by the other Party, shall not be deemed a waiver of any other right hereunder or of any other breach by or failure of such other Party,
whether of a similar nature or otherwise. 
  

	10.14	Cumulative Remedies 

 No
remedy referred to in this Agreement is intended to be exclusive, but each shall be cumulative and in addition to any other remedy referred to in this Agreement or otherwise available under law. 

 

	10.15	Interpretation 

 Each
Party has had the opportunity to consult with counsel in connection with the review, drafting and negotiation of this Agreement. Accordingly, the rule of construction 

  

***Confidential Treatment Requested 

  
 91 

 CONFIDENTIAL 

that any ambiguity in this Agreement shall be construed against the drafting Party shall not apply. 

 

	10.16	Further Assurance 

 Each
Party shall perform all reasonable further acts and things and execute and deliver such further documents as may be necessary or as the other Party may reasonably require to implement or give effect to this Agreement. 

 

	10.17	Counterparts 

 This
Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. 
 ************************************************* 

  
 92 

 CONFIDENTIAL 

 
 IN WITNESS WHEREOF, the Parties have executed this Agreement
as of the date first set forth above. 
  

									
	ASTELLAS PHARMA INC.	  		  	AMBIT BIOSCIENCES CORPORATION
					
	BY:	 	 /s/ M. Nogimori
	  		  	BY:	 	 /s/ M. Scott Salka

		 	 Masafumi Nogimori
 President
and CEO
	  		  		 	
					
	DATE:	 	December 18, 2009	  		  	DATE:	 	5 Jan 10 
				
	ASTELLAS US LLC	  		  		 	
					
	BY:	 	 /s/ [Illegible]
	  		  		 	
		 	President & CEO	  		  		 	
					
	DATE:	 	December 18, 2009	  		  		 	

  
 [Signature
Page] 

 CONFIDENTIAL 

 
 EXHIBIT A 

[...***...] 

  

***Confidential Treatment Requested 

  
 Exhibit A
– page 1 

 CONFIDENTIAL 

 
 EXHIBIT B 

Ambit Licensed Patents 
  

													
	 Docket

No.
	 	 Country
	 	 Serial No.

Filing Date
	 	 Patent No

(Pub No)
	 	 Issue Date

(Pub Date)
	 	 Priority
	 	 Status

	 [...***...]
	 	 [...***...]
	 	 [...***...]
	 	 [...***...]
	 	 [...***...]
	 	 [...***...]
	 	 [...***...]

  

***Confidential Treatment Requested 

  
 Exhibit B
– page 1 

 CONFIDENTIAL 

 
 EXHIBIT C 

[...***...] 

  

***Confidential Treatment Requested 

  
 Exhibit C
– page 1 

 CONFIDENTIAL 

 
 EXHIBIT D 

TERMS FOR CO-PROMOTION AGREEMENT 
 The Co-Promotion Agreement to be negotiated pursuant to Section 3.8.2 of the Agreement shall contain terms and conditions that are consistent with the following: 

 

	a.	Tax Considerations. The Co-Promotion Agreement shall, where mutually agreeable, take into account the respective tax considerations of the Parties.

  

	b.	General Obligations. Each Party will agree to be responsible for ensuring that its sales representatives Co-Promote each Co-Promoted Product in a manner
consistent with the Co-Promotion Plan for such Co-Promoted Product. Notwithstanding the foregoing, in performing their respective Co-Promotion obligations hereunder, each of the Parties will agree to (i) provide the detailing effort required
pursuant to Section 3.8.4(a) using sales representatives with an experience profile appropriate for the target audience and Co-Promotion role as described in the Co-Promotion Plan; (ii) provide its own sales management organization and
infrastructure for its sales representatives and (iii) detail the Co-Promoted Product in the position as determined in the Co-Promotion Plan. In the event that either Party fails in a particular Calendar Quarter to provide a number of sales
representatives sufficient to satisfy its Co-Promotion detailing target as set forth in the applicable Co-Promotion Plan (a “Detailing Shortfall”), the other Party can choose to provide additional sales representatives to cover the
Detailing Shortfall in the subsequent Calendar Quarter, in which case the defaulting Party will agree to reimburse the other Party for the cost to that Party of all details delivered by that Party to cover the Detailing Shortfall in amounts to be
set forth in the Co-Promotion Agreement. 

  

	c.	Sales Force Expense. Both Parties will agree to be responsible for the costs of their respective sales representatives and sales infrastructure expenses.
Further, each Party will agree to be responsible for the compensation and performance review functions related to its own sales representatives, to be performed by representatives of such Party’s management. The Parties intend that the Ambit
and Astellas sales representatives present as a seamless organization with respect to the Target Prescribers and that the Target Prescribers will receive a comparable level of information and customer service from both the Ambit and Astellas sales
representatives. “Target Prescriber” will mean a prescriber identified as a member of the target audience to whom the Parties shall Co-Promote the Co-Promoted Product as defined in the applicable Co-Promotion Plan.

  

	d.	Sales Information System Integration. The Parties will agree to strive to establish a transparent and compatible sales reporting system for Co-Promoted Product
to facilitate call planning and field sales activities, and the Parties will agree to share equally in all costs related to such integration. 

  

	e.	 Recruitment. All Ambit sales representatives will have been recruited by Ambit at Ambit’s sole expense, and all Astellas sales
representatives will have been recruited by Astellas at Astellas’s sole expense. At Ambit’s request, Astellas will agree to provide 

  
 Exhibit D
– page 1 

 CONFIDENTIAL 

 

	 	Ambit with assistance in defining the desired profile of the Ambit sales representatives. 

 

	f.	Training. Astellas will agree to, (i) develop a training program for each Co-Promoted Product, and (ii) train, at the Astellas training facility prior
to the estimated launch date, all sales representatives of both Parties that will be used to Co-Promote the Co-Promoted Products; provided, that, Ambit agrees to make its sales representatives available for such training not less than
[...***...] prior to the Co-Promoted Product estimated launch date. Astellas will agree to provide Ambit with not less than [...***...] advance written notice of the proposed sales representative training date as determined
by Astellas in consultation with Ambit and in light of Astellas’s training schedule. Thereafter, Astellas will agree to ensure that adequate training programs are developed and provided for all personnel involved in the commercialization of
Co-Promoted Products. The Parties will agree to utilize such training programs on an ongoing basis to assure a consistent, focused promotional strategy. No sales representative of either Party will be permitted to detail a Co-Promoted Product unless
such sales representative successfully completes the training program described in this paragraph. For the Co-Promoted Product specific training, the internal costs and the out-of-pocket costs of such training programs (including without limitation
the out-of-pocket costs of the development, production, printing of such training materials) will be treated as a sales training expense under Section 3.8.5, but excluding for clarity costs relating to housing or transportation of either
Party’s sales representatives in attending such training programs. 

  

	g.	Promotional Materials and Standards. In Co-promoting the Co-Promoted Product, the Parties will agree to maintain and adhere strictly to the approved labeling of
the Co-Promoted Product, the approved marketing materials for the Co-Promoted Product and the Co-Promotion Agreement. Only marketing materials and programs developed by the Astellas marketing team and approved via the Astellas medical-legal review
process in accordance with FDA regulations for the Co-Promoted Product shall be used. All promotional materials used by the Parties and all promotional activities relating to Co-Promoted Product will comply with applicable laws and the Code of
International Federation Pharmaceutical Manufacturer Association (“IFPMA”) as well as FDA regulations regarding pharmaceutical marketing practices in the U.S. In addition, each Party shall insure that its representatives detail Co-Promoted
Product in a fair and balanced manner consistent with all applicable legal, regulatory, professional and policy requirements including the PhRMA Code on Interactions with Health Care Professionals and all applicable Astellas policies, as they may
exist from time to time upon presentation to and review by the JCC. Ambit and Astellas sales representatives will not engage in any pre-marketing activities for the Co-Promoted Product prohibited by Applicable Law. All promotional materials for
Co-Promoted Products shall include, in equal prominence, as appropriate and as determined by the JCC, the names of both Astellas and Ambit. 

  

	h.	Performance Criteria. The Parties will agree on criteria for measuring each Party’s performance under the Co-Promotion Agreement. 

 

	i.	 Product Trademarks. The Astellas marketing team for a Co-Promoted Product will select and review with the JCC the trademark under which such
Co-Promoted Product will be exclusively marketed. Astellas will agree to register each such Co-Promoted Product trademark and take all such actions as are required to continue and maintain in full force and effect in the U.S. the trademarks and the
registrations thereof, and such 

  

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 Exhibit D
– page 2 

 CONFIDENTIAL 

 

	 	expenses incurred in connection therewith shall be treated as Allowed Expenses. Astellas will be the exclusive owner of the trademarks. In connection with Ambit’s
use of the Co-Promoted Product trademark in the U.S. in accordance with a license to be granted by Astellas in the Co-Promotion Agreement, Ambit will not represent that it has any ownership interest in the trademarks or registrations thereof, and
Ambit shall acknowledge that its use of the trademark shall not create in its favor any rights therein (except as may be otherwise provided in the Agreement). Ambit’s use of any such trademark shall also be subject to additional terms and
conditions to protect Astellas’s interest therein as set forth in the Co-Promotion Agreement. 

  

	j.	Other Terms. 

  

	 	(i)	The Co-Promoted Product will be included in each Party’s respective sales incentive bonus program for the corresponding representatives, with specified links to
sales performance, as appropriate and consistent with such Party’s other bonus programs for products of comparable opportunity. 

  

	 	(ii)	Astellas will provide Ambit sales representatives equal access to all promotional materials. 

 

	 	(iii)	Astellas will be responsible for providing appropriate health science associates (HSA’s) in accordance with the Co-Promotion Plan, and the costs associated with
such HSA’s shall be included as a Medical Affairs Costs. 

  

	 	(iv)	Each Party will be responsible for the maintenance of accurate records of the activities of its sales representatives engaged in Co-Promotion, including an accurate
monthly record of the number of details, by position. The other Party will have the right to review and audit all such records. From time to time the Parties can, at their own expense and using reputable, independent Third Party data sources to
audit its own and the other Party’s detailing activity to ascertain whether Co-Promotion obligations under the Co-Promotion Agreement have been fulfilled. 

 

	 	(v)	Neither Party may utilize Third Party contracted sales representatives for Co-Promoted Products in the U.S. without the express written consent of the other Party,
provided, however, either Party may, without such consent, engage contracted sales representatives (A) for periods of not more than [...***...], (B) if the agreement between the subcontracting Party and its contracted
sales representatives is primarily intended to provide an opportunity for such Party to hire the contracted sales representatives engaged in Co-Promotion of the applicable Product or (C) as may be reasonably necessary from time to time to
supplement such Party’s sales force on a temporary basis (measured in accordance with a timeline reasonable in light of the circumstances) in order to respond to changes in market conditions or to other events materially affecting the
Commercialization of the Co-Promoted Product in the U.S. (including changes in the number of details performed by the other Party). 

  

***Confidential Treatment Requested 

  
 Exhibit D
– page 3 

 CONFIDENTIAL 

 
 EXHIBIT E 

TERMS FOR CERTAIN TYPES OF ARBITRATION 
 Expedited Arbitration. For any Dispute under this Agreement that is expressly designated under Section 2.7.1 or 3.9.4 of this Agreement to be submitted for expedited arbitration pursuant to
this Exhibit E, the provisions of Section 10.7.3 shall apply, except as follows: Each Party shall prepare and submit a written summary of such Party’s position and any relevant evidence in support thereof to the arbitrator and to the other
Party within thirty (30) days of the selection of the arbitrator, which, in the case of any Disputes arising under Section 2.7.1 or 3.9.4, shall be consistent with the written position submitted to the Executive Officers. Within fifteen
(15) days of the delivery of such summaries by the Parties, each Party shall submit a written rebuttal to the other Party’s summary. At a hearing lasting no more than three (3) days and to commence no later than ten (10) days
after delivery of the written rebuttals, each Party shall have an opportunity to submit evidence and argue for its position before the arbitrator, subject to reasonable time limitations to be determined by the arbitrator. The arbitrator shall issue
a reasoned award with respect to the matter in dispute within thirty (30) days following conclusion of the hearing. In the case of a Proposed Expense Dispute arising under Section 3.9.4, the arbitrator shall determine as an initial matter
whether the budget proposed by Astellas represents Commercially Reasonable Efforts with respect to commercialization of the Co-Promoted Product in the U.S. If the arbitrator determines that such budget does not represent Commercially Reasonable
Efforts, then the arbitrator may determine a proper level of expenditure that the arbitrator determines will represent Commercially Reasonable Efforts (but may not require or preclude the conduct of specific activities) of Direct Marketing/Promotion
Expenses and Indirect Marketing Expenses, which level of expenditure shall be within the range of the budgets proposed by the Parties (such level of expenditure, the “Arbitrator-Determined Marketing Budget”). 

Baseball Arbitration. For any dispute under Section 3.8.2 of this Agreement to be submitted for arbitration pursuant to this Exhibit
E, the provisions of Section 10.7.3 shall apply, except as follows: 
 (a) The Party invoking baseball-style arbitration under this Exhibit
E shall so notify the other Party in writing. The notice shall contain a list of all issues (of those that are expressly designated under this Agreement to be submitted to arbitration pursuant to this Exhibit E) the Party proposes to submit to
arbitration. Within twenty (20) days after receipt of any such notice, the Party receiving the notice shall promptly notify the initiating Party of any additional issues within the scope of issues that may be submitted to arbitration pursuant
to this Exhibit E that the receiving Party intends to include in the arbitration. The issues listed in the notice and in such reply will be the only issues submitted to such arbitration. 
 (b) If the Parties are not able to agree on an arbitrator within five (5) days after submission to arbitration, then either or both Parties may immediately request AAA to select an arbitrator.

 (c) Within fifteen (15) days after the designation of the arbitrator, the Parties shall each simultaneously submit to the arbitrator and
one another in writing a proposal that contains that Party’s “final best offer” as to the matter that is the subject of the Dispute, which, with respect to establishing the Co-Promotion Agreement, shall be the agreement in the form
acceptable to the 

  
 Exhibit E
– page 1 

 CONFIDENTIAL 
 submitting Party. If a Party fails to submit a proposal within such timeframe, then the proposal of the submitting Party shall prevail. Each Party shall have five (5) days from receipt of the other
Party’s submission to submit a written response to such summary and at a hearing to take place on no more than three (3) business days and to commence no later than ten (10) days after submission of the written, responses, each Party
shall have a reasonable period of time to be determined by the arbitrator (which period of time shall be sufficient for the arbitrator to fully understand the proposals and the relative merits thereof) to argue for its proposal before the
arbitrator. To the extent permitted by the AAA’s Commercial Arbitration Rules the arbitrator shall have the right to meet with the Parties, either alone or together, as necessary to make a determination. 

(d) The arbitrator shall, within ten (10) days after the submission of the responses, or such longer period as the Parties may agree, select the
single proposal of a Party that, in the determination of the arbitrator, as a whole is the most consistent with the requirements of this Agreement and is the most fair and reasonable to the Parties in light of the totality of the circumstances and
the terms of this Agreement. At any time prior to the determination, either Party may accept the other Party’s position on any unresolved issue. The Parties shall inform the arbitrator of such accepted position and in such event such position
will be deemed part of the final agreement and no longer subject to arbitration. For clarity, the arbitrator can only select one proposal in its entirety, and cannot “blend” the proposals or modify any proposal. 

  
 Exhibit E
– page 2 

 CONFIDENTIAL 

 
 Exhibit F 

Form of Joint Press Release 
  

 
 AMBIT BIOSCIENCES AND ASTELLAS ENTER STRATEGIC PARTNERSHIP TO 

RESEARCH, DEVELOP AND COMMERCIALIZE FLT3 KINASE INHIBITORS IN 

MULTIPLE INDICATIONS 
 Ambit to Receive a $40 Million Upfront Cash Payment; Up to $350 Million in Pre-Commercialization 
 Milestones, Double-Digit Royalties with Option to Co-promote and Share Profits in U.S. 
 San Diego, CA, and Tokyo, December XX, 2009 – Ambit Biosciences Corporation and Astellas Pharma Inc. today announced that they have entered into a worldwide agreement to jointly develop and
commercialize FLT3 kinase inhibitors in oncology and non-oncology indications. This partnership includes AC220, Ambit’s lead clinical-stage investigational drug that entered into a Phase 2 clinical trial earlier this month in
relapsed/refractory acute myeloid leukemia (AML), and other undisclosed FLT3 kinase inhibitors. AC220 is a novel, orally available, potent and highly selective small molecule that was specifically designed as a second generation FMS-like tyrosine
kinase-3 (FLT3) inhibitor using Ambit’s proprietary drug discovery engine, KINOMEscanTM. 
 The companies will collaborate to
develop AC220 for AML and other indications. The parties will also collaborate on a research and development program for a series of novel FLT3 inhibitors for a variety of oncology and non-oncology indications. The companies will share equally in
the responsibilities and expenses for the development of AC220 and any additional products in the U.S. and Europe, while Astellas will have sole responsibility to fund development in all other territories. Under the terms of the agreement, Ambit
will receive an up-front cash payment of $40 million and will be eligible to receive pre-commercialization payments of up to $350 million. 

Astellas will have sole responsibility for funding and implementing the commercialization of all products, and Ambit will be entitled to post-approval
milestone payments upon the achievement of certain sales thresholds, as well as tiered double-digit royalties on net sales. In the U.S., Ambit will also have the option to co-promote AC220 and other products under a profit sharing arrangement where
Astellas and Ambit share equally in profits and losses generated from U.S. sales. 
 “We are pleased to have entered into a great
partnership with Ambit,” stated Masafumi Nogimori, president and chief executive officer of Astellas. “We believe that AC220, as the most selective and advanced FLT3 kinase inhibitor, has the potential to provide a new treatment option for
AML where high unmet medical needs exist. Astellas is strongly committed to focus on oncology and this partnership is a significant milestone to establish our franchise in oncology.” 
 “With their strategic commitment to the development and commercialization of innovative oncology products, Astellas is an ideal partner for Ambit,” said Scott Salka, Chief Executive Officer of
Ambit Biosciences. “This collaboration establishes a comprehensive and global leadership position in the 

  
 Exhibit F
– page 1 

 CONFIDENTIAL 
 discovery and development of FLT3 kinase inhibitors, and we look forward to working closely with Astellas to explore the clinical utility of AC220 in AML and other indications”. 

About AC220 
 AC220, Ambit’s lead
product candidate, is being developed in collaboration with Astellas Pharma Inc. and is a novel, potent, highly selective, orally bioavailable second-generation FLT3 inhibitor. AC220 is currently under evaluation in a Phase 2 clinical trial designed
to support potential registration of AC220 as monotherapy treatment in adult and elderly patients with relapsed/refractory AML that have the internal tandem duplication (ITD) mutation in the FLT3 kinase. AML is one of the most common types of blood
cancers in adults, and the FLT3 kinase is mutated and constitutively activated in 25-40 percent of such patients. FLT3 ITD mutations predict poor prognosis and decreased response to existing treatments, including chemotherapy and hematopoietic stem
cell transplant. Ambit leveraged KINOMEscanTM, the company’s proprietary, high-throughput method for screening small molecule compounds against a large number of human kinases, to advance AC220 from initial chemistry to clinical candidate
selection for IND-enabling studies in only 18 months. 
 About Acute Myeloid Leukemia (AML) 

Acute myeloid leukemia is a form of blood cancer. According to the American Cancer Society, approximately 13,000 new cases of AML will be diagnosed in the
United States in 2008. The median age of a patient with AML is about 67 years. Standard treatment for patients 60 years or older with AML includes systemic combination chemotherapy. The median survival for patients receiving induction chemotherapy,
which is associated with high mortality, is 6-11 months, with shorter survival for patients over the age of 60 years. The five-year survival rate for AML is less than 15 percent. According to a report from Decision Resources, the U.S. AML market is
expected to more than double by 2015. 
 About Ambit Biosciences 
 Ambit Biosciences is a privately-held biopharmaceutical company engaged in the discovery and development of small molecule kinase inhibitors for the treatment of cancer, inflammatory disease, and other
indications. Ambit employs a novel and proprietary kinase profiling technology, KINOMEscanTM, to screen compounds against 442 human kinases. 
 Ambit’s lead compound, AC220, is in clinical development for the treatment of AML and other indications. Ambit has initiated a Phase 2 pivotal trial in patients with relapsed or refractory AML and
plans to commence several other clinical studies with AC220 in 2010. Ambit’s clinical pipeline also includes AC480, an oral pan-HER inhibitor that was in-licensed from BMS. Ambit is conducting Phase 2 studies with AC480 in patients with solid
tumor cancers. Additionally, Ambit has an advancing pool of preclinical candidates targeting BRAF (in collaboration with Cephalon), JAK2, Aurora, and CSF1R. Through its KINOMEscan Division, Ambit markets its technology as a profiling service.
For more information, visit www.ambitbio.com. 
 About Astellas 
 Astellas Pharma Inc., located in Tokyo, Japan, is a pharmaceutical company dedicated to improving the health of people around the world through the provision of innovative and reliable pharmaceuticals.
Astellas has approximately 15,000 employees worldwide. The organization is committed to becoming a global category leader in urology, immunology & infectious diseases, neuroscience, DM complications & metabolic diseases and
oncology. For more information on Astellas Pharma Inc., please visit our website at http://www.astellas.com/en. 
 Contact: –

  

											
	Ambit Biosciences:	  	 	  	 	  	 	  	Astellas Pharma:	  	
						
	 M. Scott Salka
  

(858) 334-2101
	  		  		  		  	 Corporate Communications
  

+81-(0)3-3244-3201
	  	

  
 Exhibit F
– page 2 

 CONFIDENTIAL 

http://www.astellas.com/en/ 
 Christopher Morl (Corporate Development) 
 (858) 334-2134 

Scott Lerman (media) 
 The Ruth Group

 (646) 536-7013 

slerman@theruthgroup.com 
 Sara
Pellegrino (investors) 
 The Ruth Group 

(646) 536-7002 

spellegrino@theruthgroup.com 

  
 Exhibit F
– page 3 

 CONFIDENTIAL 

 
 Exhibit G 

“Manufacturing Cost” means, with respect to a Product (including any intermediate thereof or any Licensed Compound or other material
contained therein), all costs and expenses incurred or accrued by a Party or its Affiliates reasonably allocable to the manufacture of such product for commercial sale, as calculated and reported by such Party in accordance with its then-current
standard cost methodology including the calculation and allocation of depreciation that is applied consistently to pharmaceutical products manufactured or sold by such Party. 
 If the Product is manufactured in whole or part using a Third Party manufacturer, Manufacturing Costs shall include (a) [...***...]. 

If the Product is manufactured in whole or part by a Party or its Affiliates directly, Manufacturing Costs shall include
(i) [...***...]. 

  

***Confidential Treatment Requested 

  
 Exhibit G
– page 1 

 CONFIDENTIAL 

 
 Schedule 5.2.1 

[...***...] 

  

***Confidential Treatment Requested 

  
 Schedule 5.2.1
– page 1

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