Document:

Exhibit
10.1

 

POLYPID
LTD. 

2012 SHARE OPTION PLAN

 

		1.	Definitions 

As used herein capitalized
terms shall have the meanings set forth in Annex A hereto, unless the context clearly indicates to the contrary.

 

		2.	The Plan 

		2.1	Purpose

The purpose
and intent of the Plan is to advance the interests of the Company by affording to selected employees, officers, directors, consultants
and other services providers of the Company or Affiliated Companies an opportunity to acquire a proprietary interest in the Company
or to increase their proprietary interest therein, as applicable, by the grant in their favor, of Options, thus providing such
Grantee an additional incentive to become, and to remain, employed or engaged by the Company or Affiliated Company, as the case
may be, and encouraging such Grantee’s sense of proprietorship and stimulating his or her active interest in the success
of the Company and the Affiliated Company by which such Grantee is employed or engaged.

 

		2.2	Effective Date and Term

The Plan shall
become effective as of the day it was adopted by the Board, and shall continue in effect until the earlier of (a)
its termination by the Board; or (b) the date on which all of the Options available for issuance under the Plan have
been granted and exercised; or (c) the lapse of ten (10) years from the date the Plan is adopted by the Board.

 

		3.	Administration 

		3.1	This Plan and any Sub-Plans shall be administered by the Board. The Board may appoint a committee
which, subject to any applicable limitations imposed by the Companies Law, and/or by any other applicable Law, shall have all of
the powers of the Board granted herein (in which event of such limitations, such committee may make recommendations to the Board).
Subject to the above, the term "Board" whenever used herein, shall mean the Board or such appointed committee, as applicable.

 

		3.2	Unless specifically required otherwise under applicable Mandatory Law, the Board shall have sole
and full discretion and authority, without the need to submit its determinations or actions to the shareholders of the Company
for their approval or authorization, to administer the Plan and any Sub-Plans and all actions related thereto, including without
limitation the performance, at any time and from time to time, of any and all of the following:

 

		3.2.1	the designation of Grantees;

 

		3.2.2	the determination of the terms of each grant of Options (which need not be identical), including
without limitation the number of Options to be granted in favor of each Grantee and the vesting schedule and the Exercise Price
thereof and the documents to be executed by the Grantee;

 

		3.2.3	the determination of the applicable tax regimes to which the Options will be subject;

 

		3.2.4	the determination of the terms and form of the Option Agreements (which need not be identical),
whether a general form or a specific form with respect to a certain Grantee;

 

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		3.2.5	the modification or amendment of the Exercise Period, vesting schedules (including by way of accelaration)
and/or of the Exercise Price of Options, including without limitation the reduction thereof, either prior to or following their
grant; the repricing of Options or any other action which is or may be treated as repricing under generally accepted accounting
principles; the grant to the holder of an outstanding Option, in exchange for such Option, of a new Option having a purchase price
equal to, lower than or higher than the Exercise Price provided in the Option so surrendered and canceled, and containing such
other terms and conditions as the Board may prescribe;

 

		3.2.6	any other action and/or determination deemed by the Board to be required or advisable for the administration
of the Plan and/or any Sub-Plan or Option Agreement;

 

		3.2.7	the determination of the Fair Market Value of the Shares, and the mechanism of such determination;

 

		3.2.8	the interpretation of the Plan, any Sub-Plans, and the Option Agreements;

 

		3.2.9	the adoption of Sub-Plans, including without limitation the determination, if the Board sees fit
to so determine, that to the extent any terms of such Sub-Plan are inconsistent with the terms of this Plan, the terms of such
Sub-Plan shall prevail; and

 

		3.2.10	the extension of the period of the Plan or any Sub-Plans.

 

		3.3	The Board may, without shareholder approval, amend, modify (including by adding new terms and rules),
and/or cancel or terminate this Plan, any Sub-Plans, and any Options granted under this Plan or any Sub-Plans, any of their terms,
and/or any rules, guidelines or policies relating thereto. Notwithstanding the foregoing (a) material amendments
to the Plan or any Sub-Plans (but not the exercise of discretion under the Plan or any Sub-Plans) shall be subject to shareholder
approval to the extent so required by applicable Mandatory Law; and (b) no termination or amendment of the Plan or
any Sub-Plan shall affect any then outstanding Options nor the Board’s ability to exercise its powers with respect to such
outstanding Options granted prior to the date of such termination, unless expressly provided by the Board.

 

		3.4	Unless otherwise determined by the Board, any amendment or modification of this Plan and/or any
applicable Sub-Plan and/or Option Agreement shall apply to the relationship between the Grantee and the Company; and such amendment
or modification shall be deemed to have been included, ab initio, in the Plan and any such applicable Sub-Plan and/or Option
Agreement, and shall have full force and effect with respect to the relationship between the Company and the Grantee.

 

		4.	Eligibility 

The persons
eligible for participation in the Plan as Grantees include employees, officers, directors, consultants, and other service providers
of the Company or any Affiliated Company (including persons who are responsible for or contribute to the management, growth or
profitability of, or who provide substantial services to, the Company or any Affiliated Company). The Board, in its sole discretion
shall select from time to time the individuals, from among the persons eligible to participate in the Plan, who shall receive Options.
In determining the persons in favor of whom Options are to be granted, the number of Options to be granted thereto and the terms
of such grants, the Board may take into account the nature of the services rendered by such person, his/her present and future
potential contribution to the Company or to the Affiliated Company by which he/she is employed or engaged, and such other factors
as the Board in its discretion shall deem relevant.

 

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		5.	Option Pool 

The total
number of Options to be granted pursuant to this Plan shall be Two Million Nine Hundred and Forty Thousand (2,940,000) and the
Company has reserved Two Million Nine Hundred and Forty Thousand (2,940,000) authorized but unissued Shares for the purpose of
the Plan, subject to adjustment as set forth in Section 12 below, and as shall be amended by the Board from time to time.

 

The Company
shall at all times until the expiration or termination of this Plan keep reserved a sufficient number of Shares to meet the requirements
of this Plan. Any of such Shares, which, as of the expiration or termination of this Plan, remain unissued and not subject to outstanding
Options, shall at such time cease to be reserved for the purposes of this Plan. Should any Option for any reason expire or be canceled
prior to its exercise or relinquishment in full, such Option may be returned to said pool of Options and may again be granted under
this Plan.

 

		6.	Grant of Options 

		6.1	The Options shall be granted for no consideration.

 

		6.2	Each Option granted pursuant to the Plan shall be evidenced by an Option Agreement.

 

		6.3	Each Grantee shall be required to execute, in addition to the Option Agreement, any and all other
documents required by the Company or any Affiliated Company, whether before or after the grant of the Options (including without
limitation any customary documents and undertakings towards a trustee, if any, and/or the tax authorities). Notwithstanding anything
to the contrary in this Plan or in any Sub-Plan, no Option shall be deemed granted unless all documents required by the Company
or any Affiliated Company to be signed by the Grantee prior to or upon the grant of such Option, shall have been duly signed and
delivered to the Company or such Affiliated Company.

 

		7.	Terms of Options 

Option agreements
between the Company and a Grantee will be in such form approved by the Board, which may be a general form or a specific form with
respect to a certain Grantee.

 

Unless otherwise
determined by the Board (which determination shall not require shareholder approval, unless so required in order to comply with
the provisions of applicable Mandatory Law) and provided accordingly in the applicable Option Agreement, such Option Agreement
shall set forth, by appropriate language, the number of Options granted thereunder and the substance of all of the following provisions:

 

		7.1	Exercise Price: The Exercise Price for each Grantee shall be as determined by the
Board and specified in the applicable Option Agreement. Without derogating from and in addition to the provisions of Section 18
of the Plan, the Exercise Price shall be denominated in the currency of the primary economic environment of, at the Company’s
discretion, either the Company or the Grantee (that is the functional currency of the Company or the currency in which the Grantee
is paid).

 

7.2      Vesting:
Unless otherwise determined by the Board with respect to any specific Grantee and/or to any specific grant (which determination
shall not require shareholder approval unless so required in order to comply with the provisions of applicable Mandatory Law) and
provided accordingly in the applicable Option Agreement, the Options shall vest (become exercisable) according to the following
3 year vesting schedule:

 

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	Period of Grantee’s Continuous Service from

the Start Date:	Portion of Total Number of Options

that becomes Vested and Exercisable
	Upon the completion of a full twelve (12) months of continuous Service	33%
	Upon the lapse of each full additional three month(s) of the Grantee’s continuous Service thereafter, until all the Options are vested (i.e. 100% of the grant will be vested after 4 years)	8.375%

 

For the
purposes hereof, the “Start Date” shall mean the Date of Grant, unless otherwise determined by the Board (which
determination shall not require shareholder approval unless so required in order to comply with the provisions of the Companies
Law), and provided accordingly in the applicable Option Agreement.

 

For
the purposes hereof, the term “Service” means a Grantee’s employment or engagement by the Company or
an Affiliated Company. Service shall be deemed terminated upon the effective date of the termination of the employment/engagement
relationship. A Grantee’s Service shall not be deemed terminated or interrupted solely as a result of a change in the capacity
in which the Grantee renders Service to the Company or an Affiliated Company (i.e., as an employee, officer, director, consultant,
etc.); nor shall it be deemed terminated or interrupted due solely to a change in the identity of the specific entity (out of
the Company and its Affiliated Companies) to which the Grantee renders such Service, provided that there is no actual interruption
or termination of the continuous provision by the Grantee of such Service to any of the Company and its Affiliated Companies.
Furthermore, a Grantee’s Service with the Company or Affiliated Company shall not be deemed terminated or interrupted as
a result of any military leave, sick leave, or other bona fide leave of absence taken by the Grantee and approved by the Company
or such Affiliated Company by which the Grantee is employed or engaged, as applicable; provided, however, that if any such leave
exceeds ninety (90) days, then on the ninety-first (91st) day of such leave the Grantee’s Service shall be deemed
to have terminated unless the Grantee’s right to return to Service with the Company or such Affiliated Company is secured
by statute or contract. Notwithstanding the foregoing, unless otherwise designated by the Company or Affiliated Company, as the
case may be, or required by law, time spent in a leave of absence shall not be treated as time spent providing Service for the
purposes of calculating accrued vesting rights under the vesting schedule of the Options. Without derogating from the aforesaid,
the Service of a Grantee to an Affiliated Company shall also be deemed terminated in the event that such Affiliated Company for
which the Grantee performs Service ceases to fall within the definition of an “Affiliated Company” under this Plan,
effective as of the date said Affiliated Company ceases to be such. In all other cases in which any doubt may arise regarding
the termination of a Grantee’s Service or the effective date of such termination, or the implications of absence from Service
on vesting, the Corporation, in its discretion, shall determine whether the Grantee’s Service has terminated and the effective
date of such termination and the implications, if any, on vesting.

 

The
Board shall be entitled, but not obliged, at its sole discretion, to accelerate, in whole or in part, the vesting schedule of
any Option, including, without limitation, in connection with a Merger Transaction and/or an IPO.

 

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		7.3	Expiration Date: Unless expired earlier pursuant to either Section 7.4 or Section
9 below, unexercised Options shall expire and terminate and become null and void upon the lapse of ten (10) years from the Date
of Grant (the “Expiration Date”).

 

		7.4	Exercise Period:

		7.4.1	Each Option shall be exercisable from the date upon which it becomes vested until the Expiration
Date of such Option (the “Exercise Period”).

 

		7.4.2	Notwithstanding anything to the contrary contained in this Plan, in the event of a merger of the
Company with or into another corporation, or the sale of all or substantially all the assets or the shares of the Company (such
merger or sale: a “Merger Transaction”), the surviving or the acquiring entity, as the case may be, or
its respective parent company or subsidiary (the “Successor Entity”) may either assume the Company's rights
and obligations under outstanding Options or substitute the outstanding Options, as follows:

 

		(a)	For purposes of this Section 7.4.2, the outstanding Options shall be deemed assumed or substituted
by the Successor Entity if, following the consummation of the Merger Transaction, the outstanding Options confer the right to receive,
for each share underlying any outstanding Option immediately prior to the consummation of the Merger Transaction, the same consideration
(whether shares, cash or other securities or property) to which an existing holder of a Share on the effective date of consummation
of the Merger Transaction was entitled; provided, however, that if the consideration to which such existing holder is entitled
comprises consideration other than or in addition to securities of the Successor Entity, then the Board may determine, with the
consent of the Successor Entity, that the consideration to be received by the Grantees for their outstanding Options will comprise
solely securities of the Successor Entity equal in their market value to the per share consideration received by the holders of
Shares in the Merger Transaction.

 

		(b)	In the event that the Successor Entity neither assumes nor substitutes all of the outstanding Options
of a Grantee, then such Grantee shall have a period of 15 days (or if so decided by the Board, such longer period as the Board
may determine in its sole discretion) from the date designated by the Company in a written notice given to the Grantee (such date
to be no earlier than the date upon which said notice is delivered to the Grantee) to exercise his or her Vested Options.

 

		(c)	All Options, whether vested or not, which are neither assumed or substituted by the Successor Entity,
nor exercised by the end of the said 15-day period, shall expire effective as of the date of the consummation of the Merger Transaction,
whereupon they shall become null and void and shall no longer entitle the Grantee to any right in or towards the Company or the
Successor Entity.

 

		7.5	Exercise Notice and Payment:

Vested Options
may be exercised at one time or from time to time during the Exercise Period, by giving a written notice of exercise (the “Exercise
Notice”) to the Company, at their principal offices, in accordance with the following terms, or such other procedures
as shall be determined from time to time by the Board and notified in writing to the Grantees:

 

		(a)	The Exercise Notice must be signed by the Grantee and must be delivered to the Company, prior to
the termination of the Options, by certified or registered mail - return receipt requested, with a copy delivered to the Chief
Financial Officer (or such other authorized representative) of the Affiliated Company with which the Grantee is employed or engaged,
if applicable.

 

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		(b)	The Exercise Notice will specify the number of Vested Options being exercised.

 

		(c)	The Exercise Notice will be accompanied by payment in full of the Exercise Price for the exercised
Options and by such other representations and agreements as required by the Company with respect to the Grantee’s investment
intent regarding the Exercised Shares. Payment will be made by personal check or cashier’s check payable to the order of
the Company, or at the discretion of the Board, payment of such other lawful consideration as the Board may determine (such as,
by way of example, cashless exercise), provided however, that in case of payment by check, the Options shall not be deemed exercised,
and the Company shall not issue the Exercised Shares in respect thereof, until the check shall have been fully and irrevocably
honored by the bank on which it was drawn.

 

		7.6	Conditions of Issuance 

No Options
shall be deemed exercised nor shall any Share be issued thereunder, until the Company has been provided with confirmation by the
applicable tax authorities or is otherwise under a tax arrangement, which either: (a) waives or defers the tax withholding
obligation with respect to such exercise and issuance; or (b) confirms receipt of the payment of all the tax due
with respect to such exercise; or (c) confirms the conclusion of another arrangement with the Grantee regarding the
tax amounts, if any, that are to be withheld by the Company or any Affiliated Company under Law with respect to such exercise,
and which arrangement is satisfactory to the Company. If such confirmations/exemptions/arrangements are not available under the
tax subjections of the Grantee, the Company shall be entitled to require as a condition of issuance that the Grantee remit an amount
sufficient to satisfy all federal, state and other governmental withholding tax requirements related thereto. A determination of
the Company’s counsel that a withholding tax is required in connection with the exercise of Options shall be conclusive for
the purposes of this requirement condition.

 

Furthermore,
notwithstanding any other provision of this Plan, the Company shall have no obligation to issue or deliver Shares under the Plan
unless the exercise of the Option and the issuance and delivery of the underlying Shares comply with, and do not result in a breach
of, all applicable Laws, to the satisfaction of the Company in its sole discretion, and have received, if deemed desirable by the
Company, the approval of legal counsel for the Company with respect to such compliance. The Company may further require the Grantee
to satisfy any qualifications that may be necessary or appropriate, to evidence compliance with applicable Laws.

 

As a condition
to the exercise of an Option, the Company may require, among other things, that: (a) the Grantee represent and warrant
at the time of any exercise that the underlying Shares are being purchased only for investment and without any present intention
to sell or distribute such Shares, and make such other representations, warranties and covenants as may be reasonably required
to comply with applicable laws; (b) a legend be stamped on the certificates representing such underlying Shares indicating
that they may not be pledged, sold or otherwise transferred unless an opinion of legal counsel (acceptable by the Company’s
counsel) stating that such transfer is not in violation of any applicable Law, is provided; and (c) the Grantee execute
and deliver to the Company such an agreement as may be in use by the Company setting forth certain terms and conditions applicable
to the Shares.

 

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		8.	Transferability 

		8.1	The Options are not publicly traded.

 

		8.2	Other than by will or laws of descent, neither the Options nor any of the rights in connection
therewith shall be assignable, transferable, made subject to attachment, lien or encumbrance of any kind, and the Grantee shall
not grant with respect thereto any power of attorney or transfer deed, whether valid immediately or in the future.

 

		8.3	Following the exercise of Vested Options, the Exercised Shares shall be transferable; provided,
however, that Exercised Shares may be subject to applicable securities regulations, a right of first refusal, one or more repurchase
options, market stand-off provisions, lock up periods and such other conditions and restrictions as may be included in the Company’s
Articles, the Plan, any applicable Sub-Plan, the applicable Option Agreement, and/or any conditions and restrictions included in
the Company’s Securities Law Compliance Manual/Insider Trade Policy, or similar document, if any, all as determined by the
Board in its discretion, provided however, that if the Options are subject to a right of first refusal or a repurchase option,
then for as long as the Company is not publicly traded, a Grantee shall not transfer any Exercised Shares, prior to the lapse of
six (6) months and one day from the date on which s/he exercised the Options. The Company shall have the right to assign at any
time any repurchase or right of first refusal right it may have, whether or not such right is then exercisable, to one or more
persons as may be selected by the Company. Upon request by the Company, the Grantee shall execute any agreement or document evidencing
such transfer restrictions prior to the receipt of Exercised Shares hereunder, and shall promptly present to the Company any and
all certificates representing Exercised Shares for the placement on such certificates of appropriate legends evidencing any such
transfer restrictions.

 

The Grantee
may transfer or sell only Exercised Shares, or any part thereof, to any third party, provided that all of the following conditions
have been met prior to such transfer: (a) the transfer is made in accordance with and subject to the provisions of
the Company’s Articles (including, without limitation, any rights of first refusal provided therein, if any); and (b)
the transferee confirmed in writing its acceptance of the terms and conditions of the Plan, any applicable Sub-Plan and the applicable
Option Agreement with respect to the Exercised Shares being transferred, instead of the Grantee, to the satisfaction of the Board
(including the execution of the proxy referred to in Section 10.2 below); and (c) actual payment of all taxes required
to be paid upon such sale and transfer of the Exercised Shares has been made to the tax assessor, and the trustee (if applicable)
received confirmation from the tax assessor that all taxes required to be paid upon such sale and transfer have been paid.

 

Any transfer
that is not made in accordance with the Plan, any applicable Sub-Plan or the applicable Option Agreement shall be null and void.

 

		8.4	No transfer of an Exercised Share or Option by the Grantee by will or by the laws of descent shall
be effective against the Company, unless and until: (a) the Company shall have been furnished with written notice
thereof, accompanied by an authenticated copy of probate of a will together with the will or inheritance order and/or such other
evidence as the Board may deem necessary to establish the validity of the transfer; and (b) the contemplated transferee(s)
shall have confirmed to the Company in writing its acceptance of the terms and conditions of the Plan, any applicable Sub-Plan
and Option Agreement, with respect to the Exercised Share or Options being transferred, to the satisfaction of the Board.

 

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		8.5	In the event that prior to an IPO, holders holding in the aggregate no less than a controlling
interest in the Company (“Selling Shareholders”) elect to sell all or substantially all of their shares in the
Company either to a third party or to one shareholder of the Company, then, if so requested by the purchaser, the Grantee shall
be obligated to join the sale and sell all of his/her Shares in the Company (and if requested, also his/her unexpired Vested Options),
all under the same terms under which the Selling Shareholders have agreed to sell their shares (provided that with respect to Vested
Options, the Exercise Price shall be deducted from the purchase price paid for the shares in such transaction) and in accordance
with the provisions of the Articles of the Company.

 

		9.	Termination of Options and Repurchase of Exercised Shares 

		9.1	Notwithstanding anything to the contrary, any Option granted in favor of any Grantee but not exercised
by such Grantee within the Exercise Period and in strict accordance with the terms of the Plan, any applicable Sub-Plan and the
applicable Option Agreement, shall, upon the lapse of the Exercise Period, immediately expire and terminate and become null and
void.

 

		9.2	Upon the termination of a Grantee's Service, for any reason whatsoever, any Options granted in
favor of such Grantee, which are not Vested Options, shall immediately expire and terminate and become null and void.

 

		9.3	Additionally, in the event of the termination of a Grantee’s Service for Cause (a) all of
such Grantee’s Vested Options shall also, upon such termination for Cause, immediately expire and terminate and become null
and void; and (b) any and all of such Grantee’s Exercise Shares shall be subject to the Company’s “Repurchase
Right”, as described below.

 

For the purposes
hereof the term “Cause” shall mean (a) the conviction of the Grantee for any felony involving
moral turpitude or affecting the Company or any Affiliated Company; (b) the embezzlement of funds of the Company
or any Affiliated Company; (c) any breach of the Grantee’s fiduciary duties or duties of care towards
the Company or any Affiliated Company (including without limitation any disclosure of confidential information of the Company or
any Affiliated Company or any breach of a non-competition undertaking); (d) any conduct in bad faith reasonably
determined by the Board to be materially detrimental to the Company or, with respect to any Affiliated Company, reasonably determined
by the Board of Directors of such Affiliated Company to be materially detrimental to either the Company or such Affiliated Company;
or (e) any other event classified under any applicable agreement between the Grantee and the Company or the
Affiliated Company, as applicable, as a “cause” for termination or by other language of similar substance. 

 

The Company’s
“Repurchase Right” shall be as follows: If any Grantee’s Service is terminated by the Company
for Cause, then, within 180 days after such termination, the Company shall have the right, but not the obligation, to repurchase
from the Grantee, or his or her legal representative, as the case may be, all or part of the Shares s/he exercised pursuant to
the Options, if any. The Repurchase Right shall be exercised by the Company by giving the Grantee, or his/her legal representative
written notice, within said 180 days, of its intention to exercise the Repurchase Right, indicating the number of such Exercised
Shares to be repurchased and the date on which the repurchase is to be effected, and shall pay the Grantee for each such Exercised
Share being repurchased, an amount equal to the price originally paid by the Grantee for such Exercised Shares, subject to adjustments
as provided in Section 12 below. The certificate(s) representing such Exercised Shares to be repurchased shall, prior to the close
of business on the date specified for the repurchase, be delivered to the Company together with a duly endorsed stock assignment
certificate. Payment shall be made in cash, cash equivalents, or in any other way of payment allowed under any applicable Law,
and authorized by the Board. Concurrently with the exercise of the Repurchase Right, if exercised, the Grantee (or the holder of
the Exercised Shares so repurchased) shall no longer have any rights as a holder of such repurchased Exercised Shares. Such repurchased
Exercised Shares shall be deemed to have been repurchased, whether or not the certificate(s) therefor have been delivered. If the
Grantee fails to deliver such stock certificate(s), the Company shall be entitled to take such action as may be necessary to remove
the requisite number of Shares registered in the name of the Grantee from the books and records of the Company. The Repurchase
Right shall be in addition to any and all other rights and remedies available to the Company.

 

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In the event
that the Company shall be prohibited, on account of any applicable Mandatory Law, from repurchasing Exercised Shares, the Company
may assign the Repurchase Right to it wholly owned subsidiary, or if the same is not possible on account of any applicable Law,
to all of the stockholders of the Company at the time of the exercise of said right (excluding other shareholders pursuant to the
exercise of Options), on a pro-rata, as converted basis, all under the same terms and conditions set forth in this Plan, in which
event the Company portion shall inform the Grantee of the identity of the particular assignee in the Company’s Notice, and
the provisions of this Section regarding the Company shall apply to such assignee(s), mutatis mutandis.

 

In the event
that at the time the Company wishes to exercise its Repurchase Right, the Grantee does not own a sufficient number of Exercised
Shares to satisfy the Company’s Repurchase Right, in addition to performing any obligations necessary to satisfy the Company’s
Repurchase Right, the Company may require the Grantee to deliver to the Company, for each Exercised Share that is the subject of
the Repurchase Right and is not available for repurchase as it has been sold or transferred, an aggregate cash amount, equal to
the difference between the fair market value of each such missing Share and the price originally paid by the Grantee to the Company
for each such Exercised Share, as adjusted.

 

		9.4	Unless otherwise determined by the Board (which determination shall not require shareholder approval,
unless so required in order to comply with the provisions of applicable Mandatory Law), following termination of Grantee’s
Service other than for Cause, the Expiration Date of such Grantee’s Vested Options shall be deemed the earlier of: (a) the
Expiration Date of such Vested Options as was in effect immediately prior to such termination; or (b) 3 (three)
calendar months following the date of such termination or, if such termination is the result of death or disability of the Grantee,
12 (twelve) calendar months from the date of such termination.

 

		9.5	Notwithstanding anything to the contrary herein, upon the issuance of a court order declaring the
bankruptcy of a Grantee, or the appointment of a receiver or a provisional receiver for a Grantee over all of his assets, or any
material part thereof, or upon making a general assignment for the benefit of his creditors, any outstanding Options issued in
favor of such Grantee (whether vested or not) shall immediately expire and terminate and become null and void and shall entitle
neither the Grantee nor the Grantee’s receiver, successors, creditors or assignees to any right in or towards the Company
or any Affiliated Company in connection with the same, and all interests and rights of the Grantee or the Grantee’s receiver,
successors, creditors or assignees in and to the same, shall expire.

 

		10.	Rights as Shareholder, Voting Rights, Dividends and Bonus Shares 

		10.1	It is hereby clarified that a Grantee shall not, by virtue of this Plan, any applicable Sub-Plan
or the applicable Option Agreement or any Option granted to the Grantee, have any of the rights of a shareholder with respect to
the Shares underlying the Options, until the Options have been exercised and the Exercised Shares issued in the Grantee’s
name.

 

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		10.2	Prior to the closing of an IPO, the Board shall be entitled to require, as a condition to the exercise
of any Option, that the Grantee (and the trustee, if there is a trustee who is the holder of the Exercised Shares) sign and deliver
to such person as may be designated by the Board (the “Nominee”) an irrevocable proxy, in a form to be provided
by the Company, appointing the Nominee as the sole person entitled to exercise the voting rights conferred by such shares. The
Nominee shall not exercise the voting rights conferred by the Exercised Shares held by him or with respect to which the Nominee
has been given an irrevocable proxy as aforesaid, in any way whatsoever, and shall not issue a proxy to any person or entity to
vote such shares, unless otherwise instructed by the Board, and in accordance with such instructions. Unless instructed otherwise
by the Board, the Nominee shall vote such Exercised Shares in a manner pro-rata to the votes of the other voting shares, such that
the votes of the Exercised Shares shall not affect the end result of the vote. The Nominee shall be indemnified and held harmless
by the Company, to the extent permitted by applicable law, against any cost or expense (including counsel fees) reasonably incurred
by him/it, or any liability (including any sum paid in settlement of a claim with the approval of the Company) arising out of any
act or omission to act in connection with the voting of the aforesaid proxy unless arising out of such Nominee’s own fraud
or bad faith. Such indemnification shall be in addition to any rights of indemnification the Nominee(s) may have as a director
or otherwise under the Company’s Articles, any agreement, any vote of shareholders or disinterested directors, insurance
policy or otherwise.

 

		10.3	Notwithstanding anything to the contrary herein or in the Company’s Articles, none of the
Grantees shall have (and they hereby waive the right to have), any pre-emptive rights to purchase, along with the other shareholders
in the Company, a pro rata portion of any securities proposed to be offered by the Company prior to the offering thereof to any
third party or any rights of first refusal to purchase any securities of the Company offered by the other shareholders of the Company.

 

		10.4	Cash dividends paid or distributed, if any, with respect to the Exercised Shares shall be remitted
directly to the Grantee who is entitled to the Exercised Shares for which the dividends are being paid or distributed, subject
to any applicable taxation on such distribution of dividend, and the withholding thereof.

 

		10.5	All bonus shares to be issued by the Company, if any, with regard to the Exercised Shares held
by a trustee, if any, shall be registered in the name of such trustee and all provisions applying to such Exercised Shares, shall
apply to the bonus shares issued by virtue thereof, mutatis mutandis.

 

		11.	Liquidation

In the event
that the Company is liquidated or dissolved while unexercised Options remain outstanding under the Plan, then all or part of such
outstanding Options may be exercised in full by the Grantees as of immediately prior to the effective date of such liquidation
or dissolution of the Company, without regard to the vesting terms thereof.

 

		12.	Adjustments 

The number
of Shares to which each outstanding Option is exercisable, together with those Shares otherwise reserved for the purposes of the
Plan for Options not yet exercised as provided under Section 5 above, shall be proportionately adjusted for any increase or decrease
in the number of Shares resulting from a stock split, reverse stock split, combination or reclassification of the Shares, as well
as for any distribution of bonus shares. Such adjustment shall be made by the Board, whose determination in that respect shall
be final, binding and conclusive.

 

    	10

    	 

    

 

 

All provisions
applying to the Exercised Shares shall apply to all Shares received as a result of an adjustment as described above.

 

No adjustment
shall be made by virtue of the distribution, if any, of any cash or similar dividend.

 

		13.	No Interference

Neither the
Plan nor any applicable Sub-Plan or Option Agreement shall affect, in any way, the rights or powers of the Company or its shareholders
to make or to authorize any sale, transfer or change whatsoever in all or any part of the Company's assets, obligations or business,
or any other business, commercial or corporate act or proceeding, whether of a similar character or otherwise; any adjustments,
recapitalizations, reorganizations or other changes in the Company's capital structure or business; any merger or consolidation
of the Company; any issue of bonds, debentures, shares (including preferred or prior preference shares ahead of or affecting the
existing shares of the Company including the shares into which the Options granted hereunder are exercisable or the Exercised Shares
or the rights thereof, etc.); or the dissolution or liquidation of the Company; and none of the above acts or authorizations shall
entitle the Grantee to any right or remedy, including without limitation, any right of compensation for any dilution resulting
from any issuance of any shares or of any other securities in the Company to any person or entity whatsoever.

 

		14.	No Employment/Engagement/Continuance of Service Obligations

Nothing in
the Plan, in any applicable Sub-Plan or Option Agreements, or in any Option granted hereunder shall be construed as guaranteeing
the Grantee’s continuous employment, engagement or service with the Company or any Affiliated Company, and no obligation
of the Company or any Affiliated Company as to the length of the Grantee’s employment, engagement or service shall be implied
by the same. The Company and its Affiliated Companies reserve the right to terminate the employment, engagement or service of any
Grantee pursuant to such Grantee’s terms of employment, engagement or service and any law.

 

		15.	No Representation 

The Company
does not and shall not, through this Plan, any applicable Sub-Plan or the applicable Option Agreement, make any representation
towards any Grantee with respect to the Company, its business, its value or either its shares in general or the Exercised Shares
in particular.

 

Each Grantee,
upon entering into the applicable Option Agreement, shall represent and warrant toward the Company that his/her consent to the
grant of the Options issued in his/her favor and the exercise (if so exercised) thereof, neither is nor shall be made, in any respect,
upon the basis of any representation or warranty made by the Company or by any of its directors, officers, shareholders or employees,
and is and shall be made based only upon his/her examination and expectations of the Company, on an “as is” basis.
Each Grantee shall waive any claim whatsoever of “non-conformity” of any kind, and any other cause of action or claim
of any kind with respect to the Options and/or their underlying Shares.

 

		16.	Tax Consequences 

		16.1	Any and all tax and/or other mandatory payment consequences arising from the grant or exercise
of any Option, the payment for or the transfer of the Exercised Shares to the Grantee, or the sale of the Exercised Shares by the
Grantee, or from any other event or act in connection therewith (including without limitation, in the event that the Options do
not qualify under the tax classification/tax track in which they were intended) (whether of the Company, any Affiliated Company,
a trustee, if applicable, or the Grantee), shall be borne solely by the Grantee.

 

    	11

    	 

    

 

 

		16.2	The Company, any Affiliated Company and a trustee, if applicable, may each withhold (including
at source), deduct and/or set-off, from any payment made to the Grantee, the amount of the tax and/or other mandatory payment the
withholding of which is required with respect to the Options and/or the Exercised Shares under any applicable Law. The Company
or an Affiliated Company may require the Grantee, through payroll withholding, cash payment or otherwise, to make adequate provision
for any such tax withholding obligations of the Company, Affiliated Company or a trustee, if applicable, arising in connection
with the Options or the Exercised Shares. Without derogating from the aforesaid, each Grantee shall provide the Company and/or
any applicable Affiliated Company with any executed documents, certificates and/or forms that may be required from time to time
by the Company or such Affiliated Company in order to determine and/or establish the tax liability of such Grantee.

 

		16.3	Furthermore, each Grantee shall indemnify the Company, any applicable Affiliated Company and a
trustee, if applicable, or any one thereof, and hold them harmless from and against any and all liability in relation with any
such tax and/or other mandatory payments or interest or penalty thereon, including without limitation, liabilities relating to
the necessity to withhold, or to have withheld, any such tax and/or other mandatory payments from any payment made to the Grantee.

 

		17.	Non-Exclusivity of the Plan

The adoption
by the Board of this Plan and any Sub-Plans shall not be construed as amending, modifying or rescinding any previously approved
incentive arrangements, or as creating any limitations on the power of the Board to adopt such other incentive arrangements as
it may deem desirable, including without limitation the grant of options for shares in the Company otherwise than under the Plan,
and such arrangements may be either applicable generally or only in specific cases.

 

		18.	Currency Exchange Rates

Except as
otherwise determined by the Board, all monetary values with respect to Options granted pursuant to this Plan, including without
limitation the fair market value and the Exercise Price of each Option, shall be stated in United States Dollars. In the event
that the Exercise Price is in fact to be paid in New Israeli Shekels, the conversion rate shall be the last known representative
rate of the US Dollar to the New Israeli Shekels on the date of payment.

 

    	12

    	 

    

 

 

ANNEX A

 

Capitalized Terms used in the 2012 Share
Option Plan, shall have the meanings set forth below:

 

		1.1	“Affiliated Company” – means any present or future entity (a) which
holds a controlling interest in the Company; (b) in which the Company holds a controlling interest; (c) in
which a controlling interest is held by another entity, who also holds a controlling interest in the Company; or (d) which
has been designated an “Affiliated Company” by resolution of the Board.

 

		1.2	"Board" – means the Board of Directors of the Company.

 

		1.3	“Cause” – as defined in Section 9.3 of the Plan.

 

		1.4	“Company” – PolyPid Ltd.

 

		1.5	“Companies Law” – the State of Israel’s Companies Law, 5759 –
1999, as amended from time to time, and the rules and regulations promulgated thereunder.

 

		1.6	“Date of Grant” – the date determined by the Board to be the effective
date of the grant of Options to a Grantee, or, if the Board has not determined such effective date, the date of the resolution
of the Board approving the grant of such Options.

 

		1.7	“Exercise Notice” - as defined in
Section 7.5 of the Plan.

 

		1.8	"Exercise Period" - as defined in Section
7.4 of the Plan.

 

		1.9	"Exercise Price" - the price to be paid
for the exercise of each Option.

 

		1.10	"Exercised Shares" - the Shares that
are issued upon the exercise of the Options.

 

		1.11	“Expiration Date” - as defined in
Section 7.3 of the Plan.

 

		1.12	“Fair Market Value” means as of any
date, the value of a Share determined as follows:

		(i)	If the Shares are listed on any established stock exchange or a national market system, including
without limitation the Tel -Aviv Stock Exchange, the NASDAQ National Market System or the NASDAQ SmallCap Market, the Fair Market
Value shall be the last reported sale price for such Shares (or the highest closing bid, if no sales were reported), as quoted
on such exchange or system for the last market trading day prior to time of determination, as reported in The Wall Street Journal,
or such other source as the Board deems reliable;

 

		(ii)	If the Shares are regularly quoted by one or more recognized securities dealers, but selling prices
are not reported, the Fair Market Value shall be the mean between the highest bid and lowest asked prices for the Shares on the
last market trading day prior to the day of determination; or

 

		(iii)	In the absence of an established market for the Shares, the Fair Market Value thereof shall be
determined in good faith by the Board.

 

		1.13	"Grantee" – a person or entity to whom Options are granted.

 

    	13

    	 

    

 

 

		1.14	“IPO” – an initial public offering of securities of the Company in a recognized
stock exchange market or the listing thereof on NASDAQ or another recognized automated quotation system.

 

		1.15	“Law” – federal, state and/or foreign, laws, rules and/or regulations
and/or rules, regulations, guidelines and/or requirements of any relevant securities and exchange and/or tax commission and/or
authority and/or any relevant stock exchange or quotations systems.

 

		1.16	“Mandatory Law” – provisions of Law, which may not be contrarily addressed
or regulated by the determination and/or consent of the Company and/or other parties.

 

		1.17	“Merger Transaction” - as defined in Section 7.4 of the Plan.

 

		1.18	“Option(s)” - an option(s) granted within the framework of this Plan, each of
which imparts the right to purchase one Share.

 

		1.19	“Option Agreement” – with respect to any Grantee – a written option
agreement or a written instrument, executed by and between the Company and the Grantee, which shall set forth the terms and conditions
with respect to the Options.

 

		1.20	“Plan” - this Company's 2012 Israeli Share Option Plan, as may be amended from
time to time as set forth herein.

 

		1.21	“Service” – as defined in Section 7.2 of the Plan.

 

		1.22	“Share(s)” – Ordinary Share(s) of the Company, par value of NIS 0.10 each,
to which, subject to the provisions herein, are attached the rights specified in the Company's Articles, as may be amended from
time to time.

 

		1.23	“Start Date” – as defined in Section 7.2 of the Plan.

 

		1.24	“Sub-Plan” - any supplements or sub-plans to the Plan adopted by the Board,
applicable to Grantees employed in a certain country or region or subject to the laws of a certain country or region, as deemed
by the Board to be necessary or desirable to comply with the laws of such region or country, or to accommodate the tax policy or
custom thereof, which, if and to the extent applicable to any particular Grantee, shall constitute an integral part of the Plan.

 

		1.25	“Vested Option(s)” – that portion of the Options which the Grantee is
entitled to exercise in accordance with the provisions of Section 7.2 of the Plan or, if inconsistent with the provisions of Section
7.2 of the Plan - the provisions of the Option Agreement of such Grantee.

 

    	14

    	 

    

 

 

POLYPID
LTD. - 2012 SHARE OPTION PLAN

Sub-Plan
for Grantees Subject to Israeli Taxation

 

This Sub-Plan (“Sub-Plan”) to the 2012 PolyPid
Ltd. Share Option Plan (the “Plan”) is hereby established effective_ ________, 2012.

 

		1.	Definitions 

As used herein, the following terms shall have the
meanings hereinafter set forth, unless the context clearly indicates to the contrary. Any capitalized term used herein which is
not specifically defined in this Sub-Plan shall have the meaning set forth in the Plan.

 

		1.1	“Affiliated Company,” for purposes of eligibility under the Sub-Plan shall have the meaning of the term
in the Plan, provided however that any affiliated entity shall be an “employing company” within the meaning of such
term in Section 102 of the Ordinance.

 

		1.2	“Controlling Shareholder” - shall have the meaning ascribed to it in Section
32(9) of the Ordinance.

 

		1.3	“Election” – the election by the Company, with respect to grant of 102
Trustee Options, of either one of the following tax tracks – “Capital Gains Tax Track” or “Ordinary Income
Tax Track”, as provided in and in accordance with the Section 102.

 

		1.4	“Employee” - a person who is employed by the Company or its Affiliated Company, including an individual
who is serving as a director or an office holder, but excluding any Controlling Shareholder, all as determined in Section 102 of
the Ordinance.

		1.5	“Fair Market Value” - solely for the purposes of 102 Trustee Options, if and to the extent Section 102 prescribes
a specific mechanism for determining the Fair Market Value of the Exercised Shares, then notwithstanding the definition in the
Plan, the Fair Market Value of 102 Trustee Options shall be as prescribed in Section 102, if applicable.

Without derogating from the definition of “Fair
Market Value” enclosed in the Plan and solely for the purpose of determining the tax liability pursuant to Section 102(b)(3)
of the Ordinance, if at the date of grant the Company’s shares are listed on any established stock exchange or a national
market system or if the Company’s shares will be registered for trading within ninety (90) days following the date of grant
of the Capital Gains Tax Track options, the fair market value of the Shares at the date of grant shall be determined in accordance
with the average value of the Company’s shares on the thirty (30) trading days preceding the date of grant or on the thirty
(30) trading days following the date of registration for trading, as the case may be.

 

		1.6	“ITA” - the Israeli Tax Authorities.

  

		1.7	“102 Non-Trustee Option” – an Option granted not through a Trustee in accordance with and pursuant
to Section 102.

 

		1.8	“3(i) Option” – an Option granted pursuant to Section 3(i) of the Ordinance.

 

		1.9	“Ordinance” - the Israeli Income Tax Ordinance [New Version], 1961, and the rules and regulations promulgated
thereunder, as are in effect from time to time, and any similar successor rules and regulations.

 

		1.10	“Restricted Period” – as defined in Section 4.3 hereinbelow.

 

		1.11	“Section 102” – Section 102 of the Ordinance and the rules and regulations promulgated thereunder,
as are in effect from time to time, and any similar successor rules and regulations.

 

    	15

    	 

    

 

		1.12	“Trustee” - the trustee designated or
                                         replaced by the Company and/or applicable Affiliated Company for the purposes of the
                                         Plan and approved by the Israeli Tax Authorities all in accordance with the provisions
                                         of Section 102.

 

		1.13	“102 Trustee Option” – an Option granted through a Trustee in accordance with and pursuant to Section 102.

 

		2.	General

		2.1	The purpose of this Sub-Plan is to establish certain rules and limitations applicable to Options
granted to Grantees, the grant of Options to whom (or the exercise thereof by whom) are subject to taxation by the Israeli Income
Tax (“Israeli Grantees”), in order that such Options may comply with the requirements of Israeli law, including,
if applicable, Section 102.

 

		2.2	The Plan and this Sub-Plan are complementary to each other and shall be read and deemed as one. In the event of any contradiction,
whether explicit or implied, between the provisions of this Sub-Plan and the Plan, the provisions of this Sub-Plan shall prevail
with respect to Options granted to Israeli Grantees.

 

		2.3	Options may be granted under this Sub-Plan in one of the following tax tracks, at the Company’s discretion and subject
to applicable restrictions or limitations as provided in applicable law including without limitation any applicable restrictions
and limitations in Section 102 regarding the eligibility of Israeli Grantees to each of the following tax tracks, based on their
capacity and relationship towards the Company:

		(i)	102 Trustee Options - in such tax track as determined in accordance with the Election; or

		(ii)	102 Non-Trustee Options; or

		(iii)	3(i) Options.

For avoidance of doubt, the designation Options to
any of the above tax tracks shall be subject to the terms and conditions set forth in Section 102.

 

		2.3(a)	The Company’s Election of the type of 102 Trustee Options as Capital Gain Tax Track or Ordinary Income Tax Track granted
to Employees, shall be appropriately filed with the ITA before the Date of Grant of an 102 Trustee Option. Such Election shall
become effective beginning the first Date of Grant of an 102 Trustee Option under this Plan and shall remain in effect until the
end of the year following the year during which the Company first granted 102 Trustee Options. The Election shall obligate the
Company to grant only the type of 102 Trustee Option it has elected, and shall apply to all Israeli Grantees who were granted
102 Trustee Options during the period indicated herein, all in accordance with the provisions of Section 102(g) of the Ordinance.
For the avoidance of doubt, such Election shall not prevent the Company from granting 102 Non-Trustee Options simultaneously.

 

		3.	Administration 

Without derogating from the powers and authorities
of the Board detailed in the Plan, the Board shall have the sole and full discretion and authority, without the need to submit
its determinations or actions to the shareholders of the Company for their approval or authorization, unless such approval is required
to comply with applicable Mandatory Law, to administer this Sub-Plan and to take all actions related hereto and to such administration,
including without limitation the performance, from time to time and at any time, of any and all of the following:

 

		(a)	the determination of the specific tax track (as described in Section 2.3 and 2.3(a) above) in which
the Options are to be issued.

 

		(b)	the Election;

 

		(c)	the appointment of the Trustee;

 

		(d)	the adoption of forms of Option Agreements to be applied with respect to Israeli Grantees (the
“Israeli Option Agreement”), incorporating and reflecting, inter alia, relevant provisions regarding
the grant of Options in accordance with this Sub-Plan, and the amendment or modification from time to time of the terms of such
Israeli Option Agreements.

 

    	16

    	 

    

 

		4.	102 Trustee Options

		4.1	Grant in the Name of Trustee:

Notwithstanding anything to the contrary in the Plan,
102 Trustee Options granted hereunder shall be granted to, and the Exercised Shares issued pursuant thereto and all rights attached
thereto (including bonus shares), issued to, the Trustee, and all shall be registered in the name of the Trustee, who shall hold
them in trust until such time as they are released by the transfer or sale thereof by the Trustee. In the case the requirements
of Section 102 for 102 Trustee Options are not met, than the 102 Trustee Options may be regarded as 102 Non-Trustee Option, all
in accordance with the provisions of Section 102. Notwithstanding anything to the contrary in the Plan, the Date of Grant of a
102 Trustee Option shall be the date determined by the Board to be the effective date of the grant of the 102 Trustee Options to
an Israeli Grantee, or, if the Board has not determined such effective date, the date of the resolution of the Board approving
the grant of such Options, which in the case of 102 Trustee Options shall not be before the lapse of 30 days (or such other period
which may be determined by the Ordinance from time to time) from the date upon which the Plan is first submitted to the relevant
Israeli Tax Authorities.

 

		4.2	The persons eligible for participation in the Israeli Sub Plan as Israeli Grantees shall include any Employees and/or Non-Employees
of the Company or of any Affiliated Company; provided, however, that (i) Employees may only be granted 102 Trustee Options; and
(ii) Non-Employees and/or Controlling Shareholders may only be granted 3(i) Options.

 

		4.3	The Company may designate Options granted to Employees pursuant to Section 102 as 102 Non-Trustee
Options or 102 Trustee Options.

 

		4.4	The grant of 102 Trustee Options shall be made under this Sub Plan adopted by the Board, and shall
be conditioned upon the approval of this Sub Plan by the ITA.

 

		4.5	102 Trustee Options may either be classified as Capital Gain Tax Track Options or Ordinary Income
Tax Track Options.

 

		4.6	No 102 Trustee Options may be granted under this Sub Plan to any eligible Employee, unless and until, the Company’s Election,
is appropriately filed with the ITA. Such Election shall become effective beginning the first date of grant of a 102 Trustee Options
under this Sub Plan and shall remain in effect at least until the end of the year following the year during which the Company first
granted 102 Trustee Options. The Election shall obligate the Company to grant only the type of 102 Trustee Options it has
elected, and shall apply to all Israeli Grantees who were granted 102 Trustee Options during the period indicated herein, all in
accordance with the provisions of Section 102(g) of the Ordinance. For the avoidance of doubt, such Election shall not prevent
the Company from granting 102 Non-Trustee Options simultaneously.

 

		4.7	All 102 Trustee Options must be held in trust by a Trustee.

 

		4.8	For the avoidance of doubt, the designation of 102 Non-Trustee Options and 102 Trustee Options
shall be subject to the terms and conditions set forth in Section 102.

 

		4.9	Exercise of Vested 102 Trustee Options: 

Unless other procedures shall be determined from time
to time by the Board and notified to the Israeli Grantees, the mechanism of exercising vested 102 Trustee Options shall be in accordance
with the provisions of the Plan and of the Israeli Sub Plan, except that any notice of exercise of 102 Trustee Options shall be
made in such form and method in compliance with the provisions of Section 102 and shall also be delivered in copy to the authorized
representative of the Affiliated Company with which the Israeli Grantee is employed and/or engaged, if applicable, and to the Trustee.

 

    	17

    	 

    

 

		4.10	Restrictions on Transfer: 

		(a)	102 Trustee Options and the Exercised Shares issued pursuant to the exercise thereof, and all rights attached thereto (including
bonus shares), shall be held by the Trustee for such period of time as required by the provisions of Section 102 applicable to
Options granted through a Trustee in the applicable tax track, as per the Election (the “Restricted Period”).

 

		(b)	Subject to the provisions of Section 102 and any rules or regulation or orders or procedures promulgated thereunder, the Israeli
Grantee shall provide the Company and the Trustee with a written undertaking and confirmation under which the Israeli Grantee confirms
that he/she is aware of the provisions of Section 102 and the Elected tax track and agrees to the provisions of the Trust Note
between the Company and the Trustee, and undertakes not to release, by sale or transfer, the 102 Trustee Options, and the Exercised
Shares issued pursuant to the exercise thereof, and all rights attached thereto (including bonus shares) prior to the lapse of
the Restricted Period. The Israeli Grantee shall not be entitled to sell or release from trust the 102 Trustee Options, nor the
Exercised Shares issued pursuant to the exercise thereof, nor any right attached thereto (including bonus shares), nor to request
the transfer or sale of any of the same to any third party, before the lapse of the Restricted Period. Notwithstanding the above,
if any such sale or transfer occurs during the Restricted Period, the sanctions under Section 102 of the Ordinance and under any
rules or regulation or orders or procedures promulgated thereunder shall apply to and shall be borne by such Israeli Grantee.

 

		(c)	Without derogating and subject to the above, and to all other applicable restrictions in the Plan, this Sub-Plan, the Option
Agreement and applicable Law, the Trustee shall not release, by sale or transfer, the Exercised Shares issued pursuant to the exercise
of the 102 Trustee Options, and all rights attached thereto (including bonus shares) to the Israeli Grantee, or to any third party
to whom the Israeli Grantee wishes to sell the Exercised Shares (unless the contemplated transfer is by will or laws of descent)
unless and until the Trustee has either (a) withheld payment of all taxes required to be paid upon the sale or transfer thereof,
if any, or (b) received confirmation either that such payment, if any, was remitted to the tax authorities or of another arrangement
regarding such payment, which is satisfactory to the Company and the Trustee. For the removal of doubt, it is clarified that the
Trustee may release by sale or transfer to a third party only Exercised Shares (and not Options).

 

		4.11	Rights as Stockholder: 

Without derogating from the provisions of the Plan,
it is hereby further clarified that with respect to Exercised Shares issued pursuant to the exercise of 102 Trustee Options, as
long as they are registered in the name of the Trustee, the Trustee shall be the registered owner of such shares. Notwithstanding,
the Trustee shall not exercise the voting rights conferred by such Exercised Shares in any way whatsoever, and shall not issue
a proxy to any person or entity to vote such shares (other than to the applicable Israeli Grantee, subject to and in accordance
with the provisions of Section 102). Notwithstanding, the Company shall be entitled at its sole discretion, and not required, to
distribute dividends directly to the Trustee and the Trustee shall make reasonable efforts to remit the amount of cash dividends
to the Israeli Grantees who is entitled to the Exercised Shares for which the dividends are being paid or distributed, subject
to any applicable taxation on such distribution of dividend, applicable laws and the withholding thereof.

 

		4.12	Bonus Shares: 

All bonus shares to be issued by the Company, if
any, with regard to Exercised Shares issued pursuant to the exercise of 102 Trustee Options, while held by the Trustee, shall be
registered in the name of the Trustee; and all provisions applying to such Exercised Shares shall apply to bonus shares issued
by virtue thereof, if any, mutatis mutandis. Said bonus shares shall be subject to the Restricted Period of the Exercised
Shares by virtue of which they were issued.

 

		4.13	Voting: 

Without derogating from the provisions of Section
10.2 of the Plan, with respect to Exercised Shares of 102 Trustee Options, such Exercised Shares shall be voted in accordance with
the provisions of Section 102.

 

    	18

    	 

    

 

		4.14.	Conditions of Issuance: 

Without derogating from the provisions of Section 7.6
of the Plan, and in addition thereto, the arrangements with the ITA referred to therein shall, in the event of 102 Trustee Options
also need to be satisfactory to the Trustee.

 

		5.	102 Non-Trustee Options

		5.1	102 Non-Trustee Options granted hereunder shall be granted to, and the Exercised Shares issued pursuant to the exercise thereof,
issued to, the Israeli Grantee.

 

		5.2	Without derogating and subject to the above, and to all other applicable restrictions in the Plan, this Sub-Plan, the Option
Agreement and applicable Law, the Exercised Shares issued pursuant to the exercise of the 102 Non-Trustee Options, and all rights
attached thereto (including bonus shares) shall not be transferred unless and until the Company has either (a) withheld payment
of all taxes required to be paid upon the sale or transfer thereof, if any, or (b) received confirmation either that such payment,
if any, was remitted to the ITA or of another arrangement regarding such payment, which is satisfactory to the Company.

 

		5.3	An Israeli Grantee to whom 102 Non-Trustee Options are granted must provide, upon termination of his/her employment, a surety
or guarantee to the satisfaction of the Company, to secure payment of all taxes which may become due upon the future transfer of
his/her Exercised Shares to be issued upon the exercise of his/her outstanding 102 Non-Trustee Options, all in accordance with
the provisions of Section 102.

 

		6.	3(i) Options

		6.1	3(i) Options granted hereunder shall be granted to, and the Exercised Shares issued pursuant thereto
issued to, the Israeli Grantee.

 

		6.2	Without derogating and subject to the above, and to all other applicable restrictions in the Plan, this Sub-Plan, the Option
Agreement and applicable law, the Exercised Shares issued pursuant to the exercise of the 3(i) Options, and all rights attached
thereto (including bonus shares) shall not be transferred unless and until the Company has either (a) withheld payment of all taxes
required to be paid upon the sale or transfer thereof, if any, or (b) received confirmation either that such payment, if any, was
remitted to the tax authorities or of another arrangement regarding such payment, which is satisfactory to the Company.

 

		6.3	The Company may require, as a condition to the grant of the 3(i) Options, that an Israeli Grantee to whom 3(i) Options are
to be granted, provide a surety or guarantee to the satisfaction of the Company, to secure payment of all taxes which may become
due upon the future transfer of his/her Exercised Shares to be issued upon the exercise of his/her outstanding 3(i) Options.

 

		7.	Tax Consequences 

Without derogating from and in addition to any provisions
of the Plan, any and all tax and/or other mandatory payment consequences arising from the grant or exercise of Options, the payment
for or the transfer or sale of Exercised Shares, or from any other event or act in connection therewith (including without limitation,
in the event that the Options do not qualify under the tax classification/tax track in which they were intended) whether of the
Company, an Affiliated Company, the Trustee or the Israeli Grantee, including without limitation any non-compliance of the Israeli
Grantee with the provisions hereof, shall be borne solely by the Israeli Grantee. The Company, any applicable Affiliated Company,
and the Trustee, may each withhold (including at source), deduct and/or set-off, from any payment made to the Israeli Grantee,
the amount of the taxes and/or other mandatory payments the of which is required with respect to the Options and/or Exercised Shares.
Furthermore, each Israeli Grantee shall indemnify the Company, the applicable Affiliated Company and the Trustee, or any one thereof,
and to hold them harmless from any and all liability for any such tax and/or other mandatory payments or interest or penalty thereupon,
including without limitation liabilities relating to the necessity to withhold, or to have withheld, any such tax and/or other
mandatory payments from any payment made to the Israeli Grantee.

 

    	19

    	 

    

 

Without derogating from the aforesaid, each Israeli
Grantee shall provide the Company and/or any applicable Affiliated Company with any executed documents, certificates and/or forms
that may be required from time to time by the Company or such Affiliated Company in order to determine and/or establish the tax
liability of such Israeli Grantee.

 

Without derogating from the foregoing, it is hereby
clarified that the Israeli Grantee shall bear and be liable for all tax and other consequences in the event that his/her 102 Trustee
Options and/or the Exercised Shares issued pursuant to the exercise thereof are not held for the entire Restricted Period, all
as provided in Section 102.

 

The Company and or when applicable the Trustee shall
not be required to release any Share Certificate to an Israeli Grantee until all required payments have been fully made.

 

		8.	Currency Exchange Rates 

Except as otherwise determined by the Board, all
monetary values with respect to Options granted pursuant to this Sub-Plan, including without limitation the Fair Market Value and
the Exercise Price of each Option, shall be stated in United States Dollars. In the event that the Exercise Price is in fact to
be paid in New Israeli Shekels, at the sole discretion of the Board, the conversion rate shall be the last known representative
rate of the US Dollar to the New Israeli Shekels on the date of payment.

 

		9.	Subordination to the Ordinance 

		9.1	It is clarified that the grant of the 102 Trustee Options hereunder is subject to the approval
by the ITA of the Plan, this Sub-Plan and the Trustee, in accordance with Section 102.

 

		9.2	Any provisions of the Section 102 or Section 3(i) of the Ordinance and/or any of the rules or regulations promulgated thereunder,
which is not expressly specified in the Plan or in the applicable Option Agreement, including without limitation any such provision
which is necessary in order to receive and/or to keep any tax benefit, shall be deemed incorporated into this Sub-Plan and binding
upon the Company, and applicable Affiliated Company and the Israeli Grantee.

 

		9.3	With regards to 102 Trustee Option, the provisions of the Plan and/or this Sub-Plan and/or the Option Agreement shall be subject
to the provisions of Section 102 and the Tax Assessing Officer’s permit, and the said provisions and permit shall be deemed
an integral part of the Plan and of this Sub-Plan and of the Option Agreement.

 

		9.4	The Options, the Plan, this Sub-Plan and any applicable Option Agreements are subject to the applicable provisions of the Ordinance,
which shall be deemed an integral part of each, and which shall prevail over any term that is inconsistent therewith.

 

		9.5	Any provision of Section 102 and/or the said permit which is necessary in order to receive and/or
to keep any tax benefit pursuant to Section 102, which is not expressly specified in the Plan or the Sub Plan or the Option Agreement,
shall be considered binding upon the Company and the Israeli Grantees.

 

    	20Exhibit 10.2

 

EMPLOYMENT AGREEMENT

 

THIS EMPLOYMENT AGREEMENT
(the “Agreement”) is made and entered into as of the Company's IPO by and between Polypid Ltd. (the “Company”),
and Amir Weisberg (I.D. No. 053568135), an individual residing at 24 Hacalanit, Raanna, Israel (the “Employee”).

 

WHEREAS, the
Employee is currently employed by the Company on a part time basis and is providing services to the Company through a company on
its behalf pursuant to a certain Services Agreement entered between the Company and the service provider indicated in Schedule
A attached hereto ("Services Agreement");

 

WHEREAS, the Company
wishes to terminate the Services Agreement and employ the Employee on a full time basis;

 

WHEREAS, the parties
wish to update and replace the current employment agreement entered between the parties in November 2013, by this Agreement, as
of the Effective Date and throughout the Term (as such terms are defined hereunder).

 

NOW, THEREFORE,
in consideration of the mutual promises, covenants and undertakings contained herein, the parties hereto agree as follows:

 

		1.	Employment; Position

 

		1.1.	The Company desires to amend the employment engagement with the Employee and employ the Employee
and the Employee desires to be employed by the Company pursuant to the terms set forth in this Agreement, as of the date indicated
in Schedule A attached hereto (“Effective Date”) and until this Agreement shall be terminated
in accordance with the provisions of Section 8 below (“Term”).

 

		1.2.	The Employee shall be employed on a full time basis in the position indicated in Schedule
A attached hereto (“Position”). The Employee shall have the authority, functions, duties and responsibilities,
as may be stipulated from time to time by the person or organ indicated in Schedule A attached hereto (“Direct
Supervisor”) and shall report thereto.

 

		1.3.	The Employee shall perform his duties and obligations hereunder from the Company's offices or from
any other place as shall be instructed, from time to time, by the Direct Supervisor.

 

		1.4.	Employee acknowledges that he is employed hereunder in a management position which requires a special
degree of trust, and therefore, the Hours of Work and Rest Law 1951 (“Work and Rest Law”) and any other law
amending or replacing such law, does not apply to you or to his employment with the Company. Employee acknowledges that the Salary
set hereunder nevertheless includes within it consideration that would otherwise have been due to Employee pursuant to such law.

 

		2.	Duties and Obligations

 

The Employee affirms and undertakes,
throughout the Term, as follows:

 

		2.1.	The Employee shall devote the Employee's working time, know-how, energy, expertise, talent, experience
and best efforts to the business and affairs of the Company and to the performance of the Employee’s duties with the Company.

 

		2.2.	The Employee shall perform and discharge well and faithfully, with devotion, honesty and fidelity,
all of the Employee’s obligations derived from Employee’s Position and from this Agreement.

 

    	 

    	 

    

  

		2.3.	The Employee shall comply with all the Company’s disciplinary regulations, work rules, policies,
procedures and objectives, as may be determined by the Company from time to time.

 

		2.4.	The Employee shall travel abroad from time to time if and as may be required pursuant to Employee’s
Position.

 

		2.5.	The Employee shall refrain from being involved in, directly or indirectly, and to inform the Direct
Supervisor, immediately and without delay, of any affairs and/or matters that constitute a conflict of interest with Employee’s
Position and/or employment with the Company.

 

		2.6.	In his free time, the Employee may engage in other business unrelated
to the Company (other than competitor business), provided that the Company shall pre-approve such engagement. The Company acknowledges
and accepts that the Employee is engaged in the management of a group of investors and the holdings of such group.

 

		3.	Representations and Warranties

 

The Employee represents and
warrants to the Company as follows:

 

		3.1.	The Employee is free to be employed by the Company pursuant to the terms contained in this Agreement
and there are no contracts, impediments and/or restrictive covenants preventing full performance of the Employee’s duties
and obligations hereunder.

 

		3.2.	The Employee has the requisite qualifications, experience and knowledge to perform the Employee’s
obligations under this Agreement.

 

		3.3.	All work under this Agreement shall be the Employee’s original work and none of his work
product or any development arising from his work, use, production, distribution or exploitation thereof will, to Employee's knowledge,
infringe, misappropriate or violate any intellectual property or other right of any person or entity; it being understood that
Employee shall not use any confidential information or information owned by third parties in connection with previous employment/engagement
or involvement of Employee with other ventures or businesses and any use of such information will be deemed as breach of this Agreement.

 

		3.4.	The Employee is not involved, directly or indirectly, in any business and/or affairs and/or matters
that constitute or may constitute a conflict of interests with Employee’s employment with the Company under this Agreement.

 

		3.5.	In the event that the Employee becomes aware that the performance of his obligations and duties
under this Agreement may violate any third-party rights, he will disclose this to the Company without delay.

 

		4.	Compensation 

 

		4.1.	Subject to and in consideration for the Employee’s fulfillment of Employee’s obligations
under this Agreement, the Company shall pay Employee a monthly gross salary in the amount indicated in Schedule A
attached hereto (the “Salary”).

 

		4.2.	Without derogating from the above said in Section 1.4, it is hereby clarified that the Salary is
calculated based on three separate components as follows:

 

		4.2.1.	A gross monthly base salary in the amount indicated in Schedule A attached hereto
(the “Base Salary”);

 

		4.2.2.	A gross monthly global compensation for overtime hours of work in the amount indicated in Schedule
A attached hereto (the “Global Overtime Compensation”). The Global Overtime Compensation has been determined
based on the Company’s knowledgeable estimation of the average of overtime hours per month that the Position requires. It
is hereby agreed and acknowledged that the Global Overtime Compensation shall constitute the full consideration to which the Employee
shall be entitled for the Employee’s work during Overtime Hours as provided above; and

 

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		4.2.3.	The amount indicated in Schedule A attached hereto is paid as a special consideration
for Employee’s commitments under the NDA (as defined below) (“Special Component”).

 

In the event that it is claimed
or determined that the Work and Rest Law is applicable to the Position under this Employment Agreement despite the specific agreement
herein, the Global Overtime Compensation represents any amounts due and payable under such law.

 

		4.3.	Israeli income tax and other applicable withholdings with respect to the Salary shall be deducted
from the Salary by the Company at source.

 

		4.4.	The Salary shall serve as the basis for the calculation of all social benefits to which Employee
is entitled hereunder. No other amount paid to Employee, including any bonuses and signing bonus (to the extent granted), shall
be taken into account in the calculation of any social benefits to which Employee may be entitled.

 

		5.	Social and Fringe benefits

 

		5.1.	Pension 

 

		5.1.1.	The Company will insure the Employee under a "Manager's Insurance Policy" ("Bituach
Menahalim") ("Policy") or a Pension Fund ("Pension Fund", and together with the Policy,
the "Insurance Scheme") to be selected by the Employee. At the end of each month during the employment of Employee,
the Company shall pay an aggregate amount equal to 13.33% of the Salary for the preceding month to the Policy or 14.33% of the
Salary for the preceding month to the Pension Fund (the "Company's Contribution"), as follows: (a) 8.33% for severance
pay component; and (b) for savings and risk component, either (i) in the case of a Policy, 6%, subject to deduction of 7% from
the Salary by the Employee, as detailed below; or (ii) in the case of a Pension Fund, 6%, subject to deduction of 5.5% from the
Salary, as detailed below. In addition, if the Employee shall elect a Policy, the Company shall pay up to 2.5% of the Salary towards
loss of working capacity disability insurance (depending on the cost to the Company necessary to provide coverage) to be purchased
by the Company. The Employee agrees that the Company shall deduct from the Salary an amount equal to 5% or 5.5% of the Salary for
the preceding month, and shall pay such amount as premium payable in respect for savings and risk component of the Policy or the
Pension Fund, as the case may be (the “Employee’s Contributions”). If the Employee elects to be insured
under a combination of the Policy and Pension Plan, the Employee may determine the allocation between the two, provided
that, in any event the Company's contributions will not exceed the maximum amounts set forth above.

 

		5.1.2.	The Company and Employee agree and acknowledge that the Company’s Contribution to the Insurance
Scheme in accordance with Section 5.1.1. above, shall, provided contribution is made in full, be instead of severance payment to
which the Employee (or his beneficiaries) is entitled with respect to the Salary upon which such contributions were made and for
the period in which they were made (the "Exempt Salary"), pursuant to Section 14 of the Severance Pay Law 5713
– 1953 (the "Severance Law"). The parties hereby adopt the General Approval of the Minister of Labor and
Welfare, which is attached hereto as Exhibit A. The Company hereby forfeits any right it may have in the reimbursement
of sums paid by Company into the Insurance Scheme, except: (i) in the event that Employee withdraws such sums from the Insurance
Scheme, other than in the event of death, disability or retirement at the age of 60 or more; or (ii) upon the occurrence of any
of the events provided for in Sections 16 and 17 of the Severance Law. Nothing in this Agreement shall derogate from the Employee’s
rights to severance payment in accordance with the Severance Law or agreement or applicable ministerial order including the General
Approval of the Minister of Labor and Welfare, as set forth in this Section 5, in the event contributions to the Insurance Scheme
have not been made in full.

 

    	3

    	 

    

  

		5.2.	Study Fund.

 

		5.2.1.	Notwithstanding anything herein to the contrary, for the purpose of this Section 5.2, the term
“Salary” shall mean that portion of the Salary which does not exceed the recognized ceiling for withholdings
that are exempted from taxes under the provisions of applicable law in effect from time to time (the “Advanced Study Fund
Ceiling”). For the removal of any doubt, it is hereby agreed that the Advanced Study Fund Ceiling shall serve
as the basis for the calculation of deductions and contributions to the Advanced Study Fund.

 

		5.2.2.	The Company shall contribute an aggregate monthly amount equal to 7.5% of the Salary towards an
advanced study fund of Employees’s choice (Keren Hishtalmut) (“Advanced Study Fund”).

 

		5.2.3.	Employee shall contribute, and for that purpose she hereby irrevocably authorizes and instructs
Company to deduct from Employee’s Salary at source, an aggregate monthly amount equal to 2.5% of the Salary as Employee’s
participation in such Advanced Study Fund.

 

		5.2.4.	Employee shall bear any and all taxes applicable and required by law in connection with amounts
payable by Employee and/or Company to the Advanced Study Fund under this Section 5.2.

 

		5.3.	Vacation. Employee shall be entitled to an annual leave per year as indicated in Schedule
A attached hereto. Each leave shall be coordinated with the Direct Supervisor with adequate regard to the needs of the
Company.

 

		5.4.	Sick Leave; Recreation Pay. Employee shall be entitled to sick leave and to annual recreation
pay in accordance with applicable laws and regulations as in effect from time to time.

 

		5.5.	Military Reserve Duty. Employee shall inform the Company of any military reserve duty Employee
has been ordered to perform, immediately after Employee has been notified of the same. In the absence of Employee due to military
reserve duty, Employee shall be entitled to receive Employee’s Salary, including payments for social benefits and other rights
to which Employee is entitled pursuant to this Agreement. Employee undertakes to provide the Company with proper confirmation of
active military reserve duty so that Company may collect from the National Insurance Institute all amounts to which Employee is
entitled in connection with such service.

 

		5.6.	Equipment. The Company may, from time to time, in its sole discretion, provide the Employee
with various equipment (the “Equipment”) for the Employee’s use in the course of performing the Employee’s
obligations pursuant to the Position, provided that the Company’s procedures in respect thereof are followed. Employee shall
bear and pay all (if any) taxes applicable to him in connection with any such Equipment provided. The Employee shall return any
such Equipment to the Company’s principal office immediately following the cessation of the Employee’s employment hereunder,
and the Employee shall not have any rights of lien, delay or set-off with respect to the Equipment.

 

    	4

    	 

    

  

		6.	Reimbursement of Expenses and Laptop. During the term of this Agreement, the Company
shall (a) reimburse the Employee for cellular phone costs; and (b) provide the Employee a laptop for his disposal. The Employee
undertakes to take good care of the laptop and to return it to the Company immediately upon the termination of this Agreement.

 

		7.	Confidentiality, Inventions, Non-Competition and Non-Solicitation Agreement

 

The Employee has executed the
Confidentiality, Inventions, Non-Competition and Non-Solicitation Agreement in the form attached to his previous employment agreement
with the Company (the “NDA”). The Special Component is the sole consideration for Employee’s commitments
under the NDA and Employee will not be entitled to any further consideration for such commitments, including any entitlement to
royalties for any Service Inventions as defined in Section 132 of the Patent Law, 1967 (the “Patent Law”). This
clause constitutes an express agreement between the Employee and the Company for the purposes of Section 134 of the Patent Law.

 

		8.	Termination

 

		8.1.	Either party may, at any time during the Term, furnish the other party hereto with a written notice
that this Agreement is terminated (“Termination Notice”). The Termination Notice must be furnished, in
writing, to the other party, as indicated in Schedule A attached hereto, prior to the Termination Notice having effect
(the “Notice Period”). The Termination Notice shall set forth both the date on which said notice is being furnished
and the date on which the Termination Notice shall be effective.

 

		8.2.	In the event that a Termination Notice is delivered by either party hereto, the following shall
apply:

 

		8.2.1.	During the Notice Period, the Employee shall be obligated to continue to discharge and perform
all of Employee’s duties and obligations with the Company and to take all steps, satisfactory to the Company, to ensure the
orderly transition to any persons designated by the Company of all matters handled by Employee during the course of Employee’s
employment with the Company.

 

		8.2.2.	Notwithstanding the provisions of Section 8.2.1 above to the contrary, by notifying Employee concurrently
with or at any time after a Termination Notice is delivered by either party hereto, the Company shall be entitled to either: (i)
waive any and/or all of Employee’s services with the Company during the Notice Period or any part thereof or; (ii) terminate
the employer-employee relationship prior to the completion of the Notice Period; provided that in any such event, the Company shall
pay Employee for the aforesaid Notice Period or any part thereof, a sum equal to the full value of salary, social benefits (i.e.
Managers' Insurance) according to this Agreement and as required under applicable laws and in accordance with the Prior Notice
Law.

 

By the end of the Notice Period
or the termination of the employer-employee relationship, which ever comes first, or in the event the Company has waived Employee’s
services during the Notice Period, then upon the furnishing of a notice to Employee to that effect, Employee shall return to the
Company any Equipment provided to him by the Company.

 

		8.3.	Notwithstanding the provisions of Sections 8.1 and 8.2 above, the Company, by furnishing a notice
to Employee, shall be entitled to terminate Employee’s employment with the Company with immediate effect in the event that
said termination is Termination for Cause (as defined below). In the event of such Termination of Cause, then without derogating
from the rights of the Company under this Agreement and/or any applicable law, the Employee shall not be entitled to any of the
consideration specified in Section 8.2 above.

 

    	5

    	 

    

  

		8.4.	As used in this Agreement, the term “Termination for Cause” shall mean termination
of Employee’s employment with Company as a result of the occurrence of any one of the following: (i) Employee has committed
a criminal offense directly related to the Employee's engagement with the Company and provided that such offense involves moral
turpitude; (ii) Employee is in material, malicious breach of Employee’s duties of trust or loyalty to the Company; (iii)
any intentional material breach of this Agreement which has not been cured by Employee within fifteen (15) after his receipt of
notice from the Company containing a description of such breach, (iv) Employee deliberately causes malicious harm to the Company’s
business affairs; (v) Employee materially, maliciously breaches any of the provisions of the NDA; and/or (vi) circumstances that
constitute “cause” or do not entitle Employee to severance payments under any applicable law and/or under any judicial
decision of a competent tribunal.

 

		8.5.	Without derogating from the Company’s rights pursuant to any applicable law, in the event
that Employee shall terminate Employee’s employment with the Company with immediate effect or upon shorter notice than the
Notice Period, the Company shall have the right to offset the amount of compensatory payment to which Employee would otherwise
have been entitled under the Prior Notice Law or any part thereof, as the case may be, from any other payments payable to Employee.

 

		8.6.	Upon termination of Employee’s employment with the Company, and as a condition to the fulfillment
of Company’s obligations, if any, towards Employee at such time, Employee affirms and undertakes to transfer Employee’s
Position to its replacement, as shall reasonably be determined by Company, in an efficient, complete, appropriate and orderly manner,
and to fulfill Employee’s obligations under this Agreement, provided that the foregoing shall not apply following the expiration
of 30 days after the effective termination of this Agreement.

 

		9.	General Provisions

 

		9.1.	Employee may not assign or transfer any right, claim or obligation provided herein.

 

		9.2.	Employee shall not be entitled to any additional bonus, payment or other compensation in connection
with Employee's employment with the Company, other than as provided herein.

 

		9.3.	The Company shall withhold, or charge Employee with, all taxes and other compulsory payments as
required under applicable law with respect to all payments, benefits and/or other compensation paid to Employee in connection with
Employee’s employment with the Company.

 

		9.4.	In the event of an Exit (as defined below), the Company shall be entitled to assign or transfer
any right, claim or obligation provided herein.

 

“Exit” shall
mean (i) a merger, acquisition, reorganization or similar transaction pursuant to which the holders of equity interests of the
Company prior to the consummation of such transaction represent less than 50% of the equity interests of the Company following
such transaction (directly or indirectly), or (ii) a sale of all or substantially all of the assets of the Company.

 

		9.5.	The Company shall be entitled to offset from any and/or all payments to which Employee shall be
entitled thereof, any and/or all amounts to which the Company shall be entitled from Employee at such time; and for that purpose
Employee hereby irrevocably authorizes and instructs the Company to offset from any amounts which may be due or owing to Employee
from the Company, all amounts to which the Company shall be entitled from Employee at any time, to the extent applicable by the
Israeli Law.

 

    	6

    	 

    

  

		9.6.	The Company’s failure or delay in enforcing any of the provisions of this Agreement shall
not, in any way, be construed as a waiver of any such provisions, or prevent the Company thereafter from enforcing each and every
other provision of this Agreement, including those which were previously not enforced.

 

		9.7.	This Agreement shall not be amended, modified or varied by any oral agreement or representation
other than by a written instrument executed by both parties, or their duly authorized representatives.

 

		9.8.	This Agreement shall be interpreted and construed in accordance with the laws of the State of Israel.
The parties submit to the exclusive jurisdiction of the competent courts of the city of Tel Aviv in any dispute related to this
Agreement.

 

		9.9.	This Agreement and the NDA constitute the entire agreement of the parties hereto with respect to
the subject matters hereof, and supersede all prior agreements and understandings between the parties with respect thereto. The
parties hereto hereby acknowledges that any previous agreement with respect to provision of services to the Company by the Employee
and/or its affiliates, and/or employment of he Employee by the Company, including without limitation, the Services Agreement and
the Original Employment Agreement by and between the Company, are hereby terminated and shall have no force and effect.

 

For the avoidance of doubt,
nothing herein shall affect any option agreement or any other equity-based incentive plan which has been signed between the Company
and the Employee and such option agreement(s) will continue to be in full force and effect.

 

		9.10.	Captions and paragraph headings used in this Agreement are for convenience purposes only and shall
not be used for the interpretation thereof.

 

		9.11.	Notices given hereunder shall be in writing and shall be deemed to have been duly given on the
date of personal delivery, on the date of postmark if mailed by certified or registered mail, or on the date sent by facsimile
upon transmission and electronic confirmation of receipt or (if transmitted and received on a non-business day) on the first business
day following transmission and electronic confirmation of receipt, addressed as set forth above or such other address as either
party may designate to the other in accordance with the aforesaid procedure.

 

		9.12.	The parties agree that this Agreement constitutes, among other things, notification in accordance
with the Notice to Employee Law (Terms of Employment), 2002.

 

THE EMPLOYEE ACKNOWLEDGES
THAT HE IS FAMILIAR WITH AND UNDERSTANDS THE ENGLISH LANGUAGE AND DOES NOT REQUIRE TRANSLATION OF THIS AGREEMENT AND ITS EXHIBITS
TO ANY OTHER LANGUAGE. THE EMPLOYEE FURTHER ACKNOLWEDGES THAT THE COMPANY HAS ADVISED HIM THAT HE MAY CONSULT AN ATTORNEY BEFORE
EXECUTING THIS AGREEMENT AND THAT HE HAS BEEN AFFORDED AN OPPORTUNITY TO DO SO. 

 

	העובד מצהיר בזאת כי השפה האנגלית מוכרת ומובנת לו וכי הוא אינו זקוק לתרגום הסכם זה ונספחיו לשפה אחרת. העובד גם מצהיר ומודיע כי הומלץ בפניו על ידי החברה לקבל ייעוץ משפטי בקשר להסכם זה בטרם החתימה עליו וכי ניתנה לו הזדמנות נאותה לעשות כן.

 

    	7

    	 

    

  

IN WITNESS WHEREOF,
the parties hereto have duly executed this Agreement on the day and year first set forth above.

 

	 	COMPANY:
	 	 
	 	POLYPID LTD.
	 	 
	 	By:	/s/ Noam Emanuel
	 	Name: Noam Emanuel
	 	Title: CTO
	 	 
	 	EMPLOYEE:
	 	 
	 	/s/ Amir Weisberg
	 	 
	 	/Amir Weisberg

 

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Schedule A

 

	1.     Name of Employee:	Amir Weisberg
	 	 
	2.      I.D. No. of Employee:	053568135
	 	 
	3.      Address of Employee:	24 Hacalanit, Raanna, Israel
	 	 
	4.      Position in the Company:	CEO
	 	 
	5.      Direct Supervisor:	The board of directors
	 	 
	6.      Effective Date:	As of the company's IPO
	 	 
	7.      Notice Period:	6 months notice period
	 	 
	8.     Salary:	NIS 67,000 gross per month (comprised of  (i) Base Salary in the amount of NIS 60,300, (ii) Global Overtime Compensation in the amount of NIS 1,340  and (iii) Special Component in the amount of NIS 5,360
	 	 
	9.      Vacation Days Per Year:	24 
	 	 
	10.      Employee shall be entitled to company car according to the company policy.  If employee elects not to use such a car, his salary shall be increased by NIS 11,000.	 

 

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Exhibit A

 

GENERAL APPROVAL
REGARDING PAYMENTS BY EMPLOYERS TO A PENSION FUND AND INSURANCE FUND IN LIEU OF SEVERANCE PAY

 

By virtue of my power
under section 14 of the Severance Pay Law, 1963 (hereinafter: the “Law"), I certify that payments made by an
employer commencing from the date of the publication of this approval publication for his employee to a comprehensive pension benefit
fund that is not an insurance fund within the meaning thereof in the Income Tax (Rules for the Approval and Conduct of Benefit
Funds) Regulations, 1964 (hereinafter: the “Pension Fund") or to managers insurance including the possibility
of an insurance pension fund or a combination of payments to an annuity fund and to a non-annuity fund (hereinafter: the “Insurance
Fund), including payments made by him by a combination of payments to a Pension Fund and an Insurance Fund, whether or not
the Insurance Fund has an annuity fund (hereinafter: the “Employer's Payments), shall be made in lieu of the severance
pay due to the said employee in respect of the salary from which the said payments were made and for the period they were paid
(hereinafter: the “Exempt Salary"), provided that all the following conditions are fulfilled:

 

		(1)	The Employer's Payments -

 

		(a)	To the Pension Fund are not less than 141/3% of the Exempt Salary or 12%
of the Exempt Salary if the employer pays for his employee in addition thereto also payments to supplement severance pay to a benefit
fund for severance pay or to an Insurance Fund in the employee's name in an amount of 21/3% of the Exempt
Salary. In the event the employer has not paid an addition to the said 12%, his payments shall be only in lieu of 72% of the employee's
severance pay;

 

		(b)	To the Insurance Fund are not less than one of the following:

 

		(2)	131/3% of the Exempt Salary, if the employer pays for his employee in addition
thereto also payments to secure monthly income in the event of disability, in a plan approved by the Commissioner of the Capital
Market, Insurance and Savings Department of the Ministry of Finance, in an amount required to secure at least 75% of the Exempt
Salary or in an amount of 21/2% of the Exempt Salary, the lower of the two (hereinafter: “Disability
Insurance");

 

		(3)	11% of the Exempt Salary, if the employer paid, in addition, a payment to the Disability Insurance,
and in such case the Employer's Payments shall only replace 72% of the Employee's severance pay; In the event the employer has
paid in addition to the foregoing payments to supplement severance pay to a benefit fund for severance pay or to an Insurance Fund
in the employee's name in an amount of 21/3% of the Exempt Salary, the Employer's Payments shall replace
100% of the employee's severance pay.

 

		(4)	No later than three months from the commencement of the Employer's Payments, a written agreement
is executed between the employer and the employee in which -

 

		(a)	The employee has agreed to the arrangement pursuant to this approval in a text specifying the Employer's
Payments, the Pension Fund and Insurance Fund, as the case may be; the said agreement shall also include the text of this approval;

 

		(b)	The employer waives in advance any right, which it may have to a refund of monies from his payments,
unless the employee’s right to severance pay has been revoked by a judgment by virtue of Section 16 and 17 of the Law, and
to the extent so revoked and/or the employee has withdrawn monies from the Pension Fund or Insurance Fund other than by reason
of an entitling event; in such regard "Entitling Event" means death, disability or retirement at after the age of 60.

 

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		(5)	This approval is not such as to derogate from the employee's right to severance pay pursuant to
any law, collective agreement, extension order or employment agreement, in respect of salary over and above the Exempt Salary.

 

    	11

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00236-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00236-of-00352.parquet"}]]