Document:

Exhibit 4.2

 

Agrify
Corporation

 

Senior Secured Note due 2026

 

THE ISSUANCE AND SALE OF NEITHER THE SECURITIES
REPRESENTED BY THIS CERTIFICATE NOR THE SECURITIES THAT MAY BE ISSUABLE PURSUANT TO THIS NOTE HAVE BEEN REGISTERED UNDER THE SECURITIES
ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR APPLICABLE STATE SECURITIES LAWS. UNTIL THE DATE THAT IS ONE (1) YEAR AFTER
THE ISSUE DATE (AS DEFINED ON THE REVERSE OF THIS NOTE), THE SECURITIES MAY NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED EXCEPT
PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OR PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT
TO, THE REGISTRATION AND PROSPECTUS-DELIVERY REQUIREMENTS OF THE SECURITIES ACT.

 

     

    

    

 

Agrify
Corporation

 

Senior Secured Note due 2026

 

Certificate No. A-1

 

Agrify Corporation, a Nevada
corporation (the “Company”), for value received, promises to pay to High Trail Special Situations LLC (the “Initial
Holder”), or its registered assigns, the principal sum of sixty five million dollars ($65,000,000) (such principal sum, the
“Principal Amount”) on March 1, 2026, and to pay any outstanding interest thereon, as provided in this Note, in each
case as provided in and subject to the other provisions of this Note, including the earlier redemption or repurchase of this Note.

 

Additional provisions of this
Note are set forth on the other side of this Note.

 

[The Remainder of This Page Intentionally
Left Blank; Signature Page Follows]

 

     

    

    

 

IN WITNESS WHEREOF,
Agrify Corporation has caused this instrument to be duly executed as of the date set forth below.

 

	 	Agrify Corporation

 

	Date:  _________	 	By:	 
	 	 	 	Name:
	 	 	 	Title:

 

(Signature Page to Senior Secured Note due 2026,
Certificate No. A-1)

 

     

    

    

 

Agrify
Corporation

 

Senior Secured Note due 2026

 

This Note (this “Note”
and, collectively with any Note issued in exchange therefor or in substitution thereof, the “Notes”) is issued by Agrify
Corporation, a Nevada corporation (the “Company”), and designated as its “Senior Secured Notes due 2026.”

 

Section
1. Definitions.

 

“Adjusted EBITDA”
means, for any fiscal quarter, the Adjusted EBITDA of the Company, calculated as: (i) total net income (loss); (ii) plus (minus) interest
expense (income) (iii) plus (minus) income taxes (recovery); (iv) plus depreciation; (v) plus amortization; (vi) plus changes in contingent
earnout consideration; (vii) plus extraordinary costs, charges, and expenses, including out-of-pocket transaction expenses incurred in
connection with the consummation of acquisitions, dispositions, debt and equity financings and related transactions, and (viii) plus impairments
of goodwill or intangible assets, in each case determined consistently with the Company's historical accounting practices and as publicly
disclosed in the Company’s historical financial statements included in its most recent Annual Report on Form 10-K and/or Quarterly
Report on Form 10-Q.

 

“Affiliate”
has the meaning set forth in Rule 144 under the Securities Act.

 

“Amortization Date”
means, with respect to a Note, (A) the first calendar day of each month beginning on February 1, 2023; and (B) if not otherwise included
in clause (A), the Maturity Date.

 

“Amortization Payment”
means, with respect to any Amortization Date, an amount equal to two million six hundred thousand dollars ($2,600,000) on each such Amortization
Date.

 

“Authorized Denomination”
means, with respect to the Notes, a Principal Amount thereof equal to $1,000 or any integral multiple of $1,000 in excess thereof, or,
if such Principal Amount then-outstanding is less than $1,000, then such outstanding Principal Amount.

 

“Bankruptcy Law”
means Title 11, United States Code, or any similar U.S. federal or state or non-U.S. law for the relief of debtors.

 

“Board of Directors”
means the board of directors of the Company or a committee of such board duly authorized to act on behalf of such board.

 

“Business Combination
Event” has the meaning set forth in Section 10.

 

“Business Day”
means any day other than a Saturday, a Sunday or any day on which commercial banks in The City of New York are authorized or required
by law or executive order to close or be closed; provided, however, for clarification, commercial banks in
The City of New York shall not be deemed to be authorized or required by law or executive order to close or be closed due to “stay
at home”, “shelter-in-place”, “non-essential employee” or any other similar orders or restrictions or the
closure of any physical branch locations at the direction of any governmental authority so long as the electronic funds transfer systems
(including for wire transfers) of commercial banks in The City of New York are open for use by customers on such day.

 

     

    

    

 

“Capital Lease”
means, with respect to any Person, any leasing or similar arrangement conveying the right to use any property, whether real or personal
property, or a combination thereof, by that Person as lessee that, in conformity with GAAP, is required to be accounted for as a capital
lease on the balance sheet of such Person.

 

“Capital Lease Obligation”
means, at the time any determination is to be made, the amount of the liability in respect of a Capital Lease that would at that time
be required to be capitalized on a balance sheet prepared in accordance with GAAP, and the stated maturity thereof shall be the date of
the last payment of rent or any other amount due under such lease prior to the first date upon which such lease may be prepaid by the
lessee without payment of a penalty.

 

“Capital Stock”
of any Person means any and all shares of, interests in, rights to purchase, warrants or options for, participations in, or other equivalents
of, in each case however designated, the equity of such Person, but excluding any debt securities convertible into such equity.

 

“Cash”
means all cash and liquid funds.

 

“Cash Equivalents”
means, as of any date of determination, any of the following: (A) marketable securities (i) issued or directly and unconditionally guaranteed
as to interest and principal by the United States Government, or (ii) issued by any agency of the United States the obligations of which
are backed by the full faith and credit of the United States, in each case maturing within one (1) year after such date; (B) marketable
direct obligations issued by any state of the United States of America or any political subdivision of any such state or any public instrumentality
thereof, in each case maturing within one (1) year after such date and having, at the time of the acquisition thereof, a rating of at
least A-1 from Standard & Poor’s Corporation or at least P-1 from Moody’s Investors Service; (C) commercial paper maturing
no more than one (1) year from the date of creation thereof and having, at the time of the acquisition thereof, a rating of at least A-1
from Standard & Poor’s Corporation or at least P-1 from Moody’s Investors Service; (D) certificates of deposit or bankers’
acceptances maturing within one (1) year after such date and issued or accepted by any commercial bank organized under the laws of the
United States of America or any State, or the District of Columbia that (i) is at least “adequately capitalized” (as defined
in the regulations of its primary federal banking regulator), and (ii) has Tier 1 capital (as defined in such regulations) of not less
than $5,000,000,000; and (E) shares of any money market mutual fund that (i) has substantially all of its assets invested continuously
in the types of investments referred to in clauses (A) and (B) above, (ii) has net assets of not less than $5,000,000,000, and (iii) has
the highest rating obtainable from either Standard & Poor’s Corporation or Moody’s Investors Service.

 

“Collateral”
has the meaning set forth in the Security Agreements.

 

“Collateral Agent”
means High Trail Special Situations LLC in its capacity as collateral agent for the Holder and each Other Holder, together with any successor
thereto in such capacity.

 

“Commission”
means the U.S. Securities and Exchange Commission.

 

“Common Stock”
means the common stock, par value $0.001 per share, of the Company.

 

“Company Redemption
Date” has the meaning set forth in Section 8(A).

 

“Company Redemption
Notice” has the meaning set forth in Section 8(A).

 

“Company Redemption
Price” means a cash amount equal to one hundred and six point seven five percent (106.75%) of the Principal Amount then outstanding,
plus accrued and unpaid interest.

 

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“Contingent Obligation”
means, as applied to any Person, any direct or indirect liability, contingent or otherwise, of that Person with respect to (A) any Indebtedness
or other obligations of another Person, including any such obligation directly or indirectly guaranteed, endorsed, co-made or discounted
or sold with recourse by that Person, or in respect of which that Person is otherwise directly or indirectly liable; (B) any obligations
with respect to undrawn letters of credit, corporate credit cards or merchant services issued for the account of that Person; and (C)
all obligations arising under any interest rate, currency or commodity swap agreement, interest rate cap agreement, interest rate collar
agreement, or other agreement or arrangement designated to protect a Person against fluctuation in interest rates, currency exchange rates
or commodity prices; provided, however, that the term “Contingent Obligation” shall not include endorsements for collection
or deposit in the ordinary course of business. The amount of any Contingent Obligation shall be deemed to be an amount equal to the stated
or determined amount of the primary obligation in respect of which such Contingent Obligation is made or, if not stated or determinable,
the maximum reasonably anticipated liability in respect thereof as determined by such Person in good faith; provided, however, that such
amount shall not in any event exceed the maximum amount of the obligations under the guarantee or other support arrangement.

 

“Copyright License”
means any written agreement granting any right to use any Copyright or Copyright registration, now owned or hereafter acquired by the
Company or in which the Company now holds or hereafter acquires any interest.

 

“Copyrights”
means all copyrights, whether registered or unregistered, held pursuant to the laws of the United States, any State thereof, or of any
other country.

 

“Daily VWAP”
means, for any VWAP Trading Day, the per share volume-weighted average price of the Common Stock as displayed under the heading “Bloomberg
VWAP” on Bloomberg page “AGFY <EQUITY> VAP” (or, if such page is not available, its equivalent successor page)
in respect of the period from the scheduled open of trading until the scheduled close of trading of the primary trading session on such
VWAP Trading Day (or, if such volume-weighted average price is unavailable, the market value of one share of Common Stock on such VWAP
Trading Day, determined, using a volume-weighted average price method, by a nationally recognized independent investment banking firm
selected by the Company). The Daily VWAP will be determined without regard to after-hours trading or any other trading outside of the
regular trading session.

 

“Default”
means any event that is (or, after notice, passage of time or both, would be) an Event of Default.

 

“Default Interest”
has the meaning set forth in Section 4(B)(ii).

 

“Disqualified Stock”
means, with respect to any Person, any Capital Stock that by its terms (or by the terms of any security into which it is convertible or
for which it is exchangeable at the option of the holder) or upon the happening of any event:

 

(A) matures
or is mandatorily redeemable pursuant to a sinking fund obligation or otherwise;

 

(B) is
convertible or exchangeable for Indebtedness or Disqualified Stock (excluding Capital Stock convertible or exchangeable solely at the
option of the Company or a Subsidiary of the Company; provided that any such conversion or exchange will be deemed an incurrence of Indebtedness
or Disqualified Stock, as applicable); or

 

(C) is
redeemable at the option of the holder thereof, in whole or in part,

 

(D) in
the case of each of clauses (A), (B) and (C), at any point prior to the one hundred eighty-first (181st) day after the Maturity Date.

 

“DTC” means
The Depository Trust Company.

 

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“Eligible Exchange”
means any of The New York Stock Exchange, The NYSE American LLC, The Nasdaq Capital Market, The Nasdaq Global Market or The Nasdaq Global
Select Market (or any of their respective successors).

 

“Equipment”
means all “equipment” as defined in the UCC with such additions to such term as may hereafter be made, and includes
without limitation all machinery, fixtures, goods, vehicles (including motor vehicles and trailers), and any interest in any of the foregoing.

 

“Equity Interests”
shall mean, with respect to any Person, any and all shares, interests, participations or other equivalents, including preferred stock
or membership interests (however designated, whether voting or non-voting), of equity of such Person, including, if such Person is a partnership,
partnership interests (whether general or limited) and including, without limitation, any “equity security” (as that term
is defined under Rule 405 promulgated under the Securities Act), and any other interest or participation that confers on a Person
the right to receive a share of the profits and losses of, or distributions of assets of, such partnership.

 

“Equity Rights”
shall mean, with respect to any Person, any then-outstanding subscriptions, options, warrants, commitments, preemptive rights, convertible
debt, or other equity-linked securities or agreements of any kind for the issuance or sale, of any additional Equity Interests of any
class, or partnership or other ownership interests of any type in, such Person.

 

“ERISA”
means the Employee Retirement Income Security Act of 1974, as amended, and the regulations promulgated thereunder.

 

“Event of Default”
has the meaning set forth in Section 11(A).

 

“Event of Default
Acceleration Amount” means, with respect to the delivery of a notice pursuant to Section 11(B)(ii) declaring this Note
to be due and payable immediately on account of an Event of Default, a cash amount equal to one hundred and fifteen percent (115%) of
the then outstanding Principal Amount of this Note (or such lesser principal amount accelerated pursuant to such notice) plus accrued
and unpaid interest on this Note.

 

“Exchange Act”
means the U.S. Securities Exchange Act of 1934, as amended.

 

“Fundamental Change”
means any of the following events:

 

(A) a
“person” or “group” (within the meaning of Section 13(d)(3) of the Exchange Act), other than the Company or its
Wholly Owned Subsidiaries, or the employee benefit plans of the Company or its Wholly Owned Subsidiaries, files any report with the Commission
indicating that such person or group has become the direct or indirect “beneficial owner” (as defined below) of shares of
the Company’s common equity representing more than fifty percent (50%) of the voting power of all of the Company’s then-outstanding
common equity; or

 

(B) the
consummation of (i) any sale, lease or other transfer, in one transaction or a series of transactions, of all or substantially all of
the assets of the Company and its Subsidiaries, taken as a whole, to any Person (other than solely to one or more of the Company’s
Wholly Owned Subsidiaries); or (ii) any transaction or series of related transactions in connection with which (whether by means of merger,
consolidation, share exchange, combination, reclassification, recapitalization, acquisition, liquidation or otherwise) all of the Common
Stock is exchanged for, converted into, acquired for, or constitutes solely the right to receive, other securities, cash or other property
(other than a subdivision or combination, or solely a change in par value, of the Common Stock); provided, however, that
any merger, consolidation, share exchange or combination of the Company pursuant to which the Persons that directly or indirectly “beneficially
owned” (as defined below) all classes of the Company’s common equity immediately before such transaction directly or indirectly
“beneficially own,” immediately after such transaction, more than fifty percent (50%) of all classes of common equity of the
surviving, continuing or acquiring company or other transferee, as applicable, or the parent thereof, in substantially the same proportions
vis-à-vis each other as immediately before such transaction will be deemed not to be a Fundamental Change pursuant to this clause
(B).

 

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For the purposes of this definition, (x) any transaction
or event described in both clause (A) and in clause (B)(i) or (ii) above (without regard to the proviso in clause
(B)) will be deemed to occur solely pursuant to clause (B) above (subject to such proviso); and (y) whether a Person is a “beneficial
owner” and whether shares are “beneficially owned” will be determined in accordance with Rule 13d-3 under
the Exchange Act.

 

“Fundamental Change
Base Repurchase Price” means, with respect to this Note (or any portion of this Note to be repurchased) upon a Repurchase Upon
Fundamental Change, a cash amount equal to one hundred seven percent (107%) of the then-outstanding Principal Amount of such Note (or
portion thereof) to be so repurchased.

 

“Fundamental Change
Notice” has the meaning set forth in Section 6(C).

 

“Fundamental Change
Repurchase Date” means the date as of which this Note must be repurchased for cash in connection with a Fundamental Change,
as provided in Section 6(B).

 

“Fundamental Change
Repurchase Price” means the cash price payable by the Company to repurchase this Note (or any portion of this Note) upon its
Repurchase Upon Fundamental Change, calculated pursuant to Section 6(D).

 

“GAAP”
means generally accepted accounting principles in the United States of America, as in effect from time to time; provided the definitions
set forth in this Note and any financial calculations required by thereby shall be computed to exclude any change to lease accounting
rules from those in effect pursuant to Financial Accounting Standards Board Accounting Standards Codification 840 (Leases) and other related
lease accounting guidance as in effect on the date hereof.

 

“Holder”
means the person in whose name this Note is registered on the books of the Company, which initially is the Initial Holder.

 

The term “including”
means “including without limitation,” unless the context provides otherwise.

 

“Indebtedness”
means, indebtedness of any kind, including, without duplication (A) all indebtedness for borrowed money or the deferred purchase price
of property or services, including reimbursement and other obligations with respect to surety bonds and letters of credit, (B) all obligations
evidenced by notes, bonds, debentures or similar instruments, (C) all Capital Lease Obligations, (D) all Contingent Obligations, and (E)
Disqualified Stock.

 

“Independent Investigator”
has the meaning set forth in Section 9(S).

 

“Initial Holder”
has the meaning set forth in the cover page of this Note.

 

“Intellectual Property”
means all of the Company’s Copyrights; Trademarks; Patents; Licenses; trade secrets and inventions; mask works; the Company’s
applications therefor and reissues, extensions, or renewals thereof; and the Company’s goodwill associated with any of the foregoing,
together with the Company’s rights to sue for past, present and future infringement of Intellectual Property and the goodwill associated
therewith.

 

“Interest Payment
Date” means (A) each March 1, June 1, September 1 and December 1 of each calendar year, beginning on June 1, 2022; and (B) if
not otherwise included in clause (A), the Maturity Date.

 

“Investment”
means any beneficial ownership (including stock, partnership or limited liability company interests) of or in any Person, or any loan,
advance or capital contribution to any Person or the acquisition of all, or substantially all, of the assets of another Person or the
purchase of any assets of another Person for greater than the fair market value of such assets to solely the extent of the amount in excess
of the fair market value.

 

“Issue Date”
means March __, 2022.

 

“License”
means any Copyright License, Patent License, Trademark License or other license of rights or interests.

  

“Lien”
means any mortgage, deed of trust, pledge, hypothecation, assignment for security, security interest, encumbrance, levy, lien or charge
of any kind, whether voluntarily incurred or arising by operation of law or otherwise, against any property, any conditional sale or other
title retention agreement, and any lease in the nature of a security interest; provided, that for the avoidance of doubt, licenses, strain
escrows and similar provisions in collaboration agreements, research and development agreements that do not create or purport to create
a security interest, encumbrance, levy, lien or charge of any kind shall not be deemed to be Liens for purposes of this Note.

 

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“Market Disruption
Event” means, with respect to any date, the occurrence or existence, during the one-half hour period ending at the scheduled
close of trading on such date on the principal U.S. national or regional securities exchange or other market on which the Common Stock
is listed for trading or trades, of any material suspension or limitation imposed on trading (by reason of movements in price exceeding
limits permitted by the relevant exchange or otherwise) in the Common Stock or in any options contracts or futures contracts relating
to the Common Stock.

 

“Maturity Date”
means March 1, 2026 .

 

The term “or”
is not exclusive, unless the context expressly provides otherwise.

 

“Other Holder”
means any person in whose name any Other Note is registered on the books of the Company.

 

“Other Notes”
means any Notes that are of the same class of this Note and that are represented by one or more certificates other than the certificate
representing this Note.

 

“Patent License”
means any written agreement granting any right with respect to any invention covered by a Patent that is in existence or a Patent application
that is pending, in which agreement the Company now holds or hereafter acquires any interest.

 

“Patents”
means all letters patent of, or rights corresponding thereto, in the United States or in any other country, all registrations and recordings
thereof, and all applications for letters patent of, or rights corresponding thereto, in the United States or any other country.

 

“Permitted Acquisition”
means any transaction or series of related transactions consummated by the Company or one of its Subsidiaries for the purpose of or resulting,
directly or indirectly, in (a) the acquisition of all or substantially all of the assets of a Person, or of any business or division of
a Person, (b) the acquisition of in excess of fifty percent (50%) of the capital stock or equity interests of any Person or otherwise
causing any Person to become a Subsidiary of the Company, or (c) a merger or consolidation or any other combination with another Person;
provided, so long as no Default or Event of Default shall then exist or would exist after giving effect to any of the foregoing; provided
further, that the purchase price or consideration in respect of all of the foregoing in the aggregate (for all such aforementioned purchases,
acquisitions, mergers, consolidations or Investments) at any time shall not exceed an amount equal to the aggregate purchase price of
the Purchased Securities outstanding at such time.

 

“Permitted Indebtedness”
means (A) Indebtedness evidenced by the Notes (as defined in the Securities Purchase Agreement); (B) Indebtedness actually disclosed pursuant
to the Securities Purchase Agreement as of the date of the Securities Purchase Agreement; (C) nonrecourse Indebtedness outstanding at
any time secured by a Lien described in clause (G) of the defined term “Permitted Liens,” provided such Indebtedness does
not exceed the cost of the Equipment or real property interests and related expenses financed with such Indebtedness or in the form of
purchase money Indebtedness (whether in the form of a loan or a lease) used solely to acquire Equipment or real property interests used
in the ordinary course of business and secured only by such Equipment and real property interests and sale and insurance proceeds in respect
thereof, and provided further that the total amount of Permitted Indebtedness permitted pursuant to this clause (C) may not exceed five
million dollars ($5,000,000) in the aggregate; (D) nonrecourse Indebtedness outstanding at any time secured by a Lien described in clause
(H) of the defined term “Permitted Liens,” provided such Indebtedness does not exceed the cost of the software or other intellectual
property and related expenses financed with such Indebtedness or in the form of purchase money Indebtedness (whether in the form of a
loan or a lease) used solely to acquire software or other intellectual property used in the ordinary course of business and secured only
by such software or other intellectual property and sale and insurance proceeds in respect thereof, provided further that the total amount
of Permitted Indebtedness permitted pursuant to this clause (D) may not exceed five hundred thousand dollars ($500,000) in the aggregate;
(E) Indebtedness to trade creditors incurred in the ordinary course of business; (F) Subordinated Indebtedness of the Company; (G) reimbursement
obligations in connection with letters of credit or similar instruments that are secured by Cash or Cash Equivalents and issued on behalf
of the Company or a Subsidiary thereof in an aggregate amount not to exceed five hundred thousand dollars ($500,000) at any time outstanding;
(H) unsecured Indebtedness of the Company, (I) Contingent Obligations that are guarantees of Indebtedness described in clauses (A) through
(H) and (J); and (J) earn-outs incurred in connection with any Permitted Acquisition that are subordinated in full to the Notes to the
satisfaction of the Holder and do not exceed (a) ten million dollars ($10,000,000) in the aggregate due in any twelve-month period and
(b) twenty million dollars ($20,000,000); provided that in no event shall Permitted Indebtedness under (x) clauses (B)-(J) of this definition
exceed in the aggregate an amount equal to the aggregate purchase price of the Purchased Securities outstanding at any time or (y) clauses
(F) or (H) (1) have a final maturity date, amortization payment, sinking fund, put right, mandatory redemption or other repurchase obligation
at the option of the lender or holder of such indebtedness, or be prepayable at the option of the Company, in any case earlier than one
hundred eighty-one (181) days following the Maturity Date or (2) have any covenants that are more restrictive on the Company in any material
respect than the covenants set forth in this Note.

 

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“Permitted Intellectual
Property Licenses” means Intellectual Property (A) licenses in existence at the Issue Date, including those listed on the Schedules
to the Security Agreements, and (B) non-perpetual licenses granted in the ordinary course of business on arm’s length terms consisting
of the licensing of technology, the development of technology or the providing of technical support which may include licenses with unlimited
renewal options solely to the extent such options require mutual consent for renewal or are subject to financial or other conditions as
to the ability of licensee to perform under the license; provided such license was not entered into during an Event of Default or continuance
of a Default.

 

“Permitted Investment”
means: (A) Investments actually disclosed pursuant to the Securities Purchase Agreement, as in effect as of the Issue Date; (B) (i) marketable
direct obligations issued or unconditionally guaranteed by the United States of America or any agency or any State thereof maturing within
one year from the date of acquisition thereof, (ii) commercial paper maturing no more than one year from the date of creation thereof
and currently having a rating of at least A-2 or P-2 from either Standard & Poor’s Corporation or Moody’s Investors Service,
(iii) certificates of deposit issued by any bank headquartered in the United States with assets of at least $5,000,000,000 maturing no
more than one year from the date of investment therein, and (iv) money market accounts; (C) Investments accepted in connection with Permitted
Transfers; (D) Investments (including debt obligations) received in connection with the bankruptcy or reorganization of customers or suppliers
and in settlement of delinquent obligations of, and other disputes with, customers or suppliers arising in the ordinary course of the
Company’s business; (E) Investments consisting of notes receivable of, or prepaid royalties and other credit extensions, to customers
and suppliers in the ordinary course of business and consistent with past practice, provided that this clause (E) shall not apply to Investments
of the Company in any Subsidiary thereof; (F) Investments consisting of (i) loans not involving the net transfer on a substantially contemporaneous
basis of cash proceeds to employees, officers or directors relating to the purchase of capital stock of the Company pursuant to employee
stock purchase plans or other similar agreements approved by the Company’s Board of Directors and (ii) travel advances and employee
relocation loans and other employee loans and advances in the ordinary course of business, provided that the aggregate of all such loans
outstanding may not exceed one hundred thousand ($100,000) at any time; (G) Investments in Wholly Owned Subsidiaries; (H) Permitted Intellectual
Property Licenses; (I) Permitted Acquisitions; (J) loans, advances or other capital contributions to Company customers pursuant to a TTK
Contract with such customer; (K) Investments in a TTK SPV;and (L) Investments in real property.

 

“Permitted Liens”
means any and all of the following: (A) Liens in favor of Holder or the Collateral Agent; (B) Liens deemed to be disclosed pursuant to
the Securities Purchase Agreement, as in effect as of the Issue Date; (C) Liens for taxes, fees, assessments or other governmental charges
or levies, either not delinquent or being contested in good faith by appropriate proceedings; provided, that the Company maintains adequate
reserves therefor in accordance with GAAP; (D) Liens securing claims or demands of materialmen, artisans, mechanics, carriers, warehousemen,
landlords and other like Persons arising in the ordinary course of business; provided, that the payment thereof is not yet required; (E)
Liens arising from judgments, decrees or attachments in circumstances which do not constitute a Default or an Event of Default hereunder;
(F) the following deposits, to the extent made in the ordinary course of business: deposits under workers’ compensation, unemployment
insurance, social security and other similar laws, or to secure the performance of bids, tenders or contracts (other than for the repayment
of borrowed money) or to secure indemnity, performance or other similar bonds for the performance of bids, tenders or contracts (other
than for the repayment of borrowed money) or to secure statutory obligations (other than Liens arising under ERISA or environmental Liens)
or surety or appeal bonds, or to secure indemnity, performance or other similar bonds; (G) Liens on Equipment (but, for the avoidance
of doubt, not software or other intellectual property) or real property interests constituting purchase money Liens or Liens securing
construction financing for real property interests and Liens in connection with Capital Leases securing Indebtedness permitted in clause
(C) of “Permitted Indebtedness”; (H) Liens on software or other intellectual property (but, for the avoidance of doubt, not
Equipment or real property interests related thereto) constituting purchase money Liens and Liens in connection with Capital Leases securing
Indebtedness permitted in clause (D) of “Permitted Indebtedness”; (I) leasehold interests in leases or subleases and licenses
granted in the ordinary course of the Company’s business and not interfering in any material respect with the business of the licensor;
(J) Liens in favor of customs and revenue authorities arising as a matter of law to secure payment of custom duties that are promptly
paid on or before the date they become due; (K) Liens on insurance proceeds securing the payment of financed insurance premiums that are
promptly paid on or before the date they become due (provided that such Liens extend only to such insurance proceeds and not to any other
property or assets); (L) statutory and common law rights of set-off and other similar rights as to deposits of cash and securities in
favor of banks, other depository institutions and brokerage firms; (M) easements, zoning restrictions, rights-of-way and similar encumbrances
on real property imposed by law or arising in the ordinary course of business so long as they do not materially impair the value or marketability
of the related property; (N) Liens on Cash or Cash Equivalents securing obligations permitted under clause (E) and (G) of the definition
of Permitted Indebtedness; (O) Liens securing Subordinated Indebtedness, and (P) Liens incurred in connection with the extension, renewal
or refinancing of the Indebtedness secured by Liens of the type described in clauses (C) through (O) above (other than any Indebtedness
repaid with the proceeds of this Note); provided, that any extension, renewal or replacement Lien shall be limited to the property encumbered
by the existing Lien and the principal amount of the Indebtedness being extended, renewed or refinanced (as may have been reduced by any
payment thereon) does not increase.

 

    7

    

    

 

“Permitted Transfers”
means (A) dispositions of inventory sold, and Permitted Intellectual Property Licenses entered into, in each case, in the ordinary course
of business, (B) dispositions of worn-out, obsolete or surplus property at fair market value in the ordinary course of business; (C) dispositions
of accounts or payment intangibles (each as defined in the UCC) resulting from the compromise or settlement thereof in the ordinary course
of business for less than the full amount thereof; (D) transfers consisting of Permitted Investments in Wholly Owned Subsidiaries under
clause (G) of Permitted Investments; (E) transfers between Grantors (as defined in the Security Agreement); and (F) other transfers of
assets to any Person other than to a joint venture and which have a fair market value of not more than fifty thousand dollars ($50,000)
in the aggregate in any twelve (12) month period.

 

“Person”
or “person” means any individual, sole proprietorship, partnership, limited liability company, joint venture, company,
trust, unincorporated organization, association, corporation, institution, public benefit corporation, firm, joint stock company, estate,
entity or government agency.

 

“Principal Amount”
has the meaning set forth in the cover page of this Note; provided, however, that the Principal Amount of this Note will
be subject to reduction pursuant to Section 6 and Section 8 and by an amount equal to the sum of all Amortization Payments
made prior to date of determination of the Principal Amount of the Note then outstanding.

 

“Repurchase Upon
Fundamental Change” means the repurchase of any Note by the Company pursuant to Section 6.

 

“Rule 144”
means Rule 144 promulgated under the Securities Act.

 

“Securities Act”
means the U.S. Securities Act of 1933, as amended.

 

“Securities Purchase
Agreement” means that certain Securities Purchase Agreement, dated as of March 14, 2022, between the Company and High Trail
Special Situations LLC providing for the issuance of this Note.

 

“Security Agreements”
means those certain Security Agreements, dated March __, 2022, between the Company and the Collateral Agent.

 

“Security Document”
has the meaning set forth in the Security Agreements.

 

“Significant Subsidiary”
means, with respect to any Person, any Subsidiary of such Person that constitutes a “significant subsidiary” (as defined in
Rule 1-02(w) of Regulation S-X under the Exchange Act) of such Person.

 

“Stated Interest”
has the meaning set forth in Section 4(B)(i).

 

“Stated Interest
Rate” means, as of any date, a rate per annum equal to 6.75%.

 

“Subordinated Indebtedness”
means Indebtedness subordinated to the Notes that is (a) in amounts and on terms and conditions satisfactory to the Holder in its sole
discretion or (b) nonrecourse Indebtedness incurred in connection with the consummation of a TTK Contract that is secured only by assets
of the respective TTK SPV, provided that, for the avoidance of doubt, no Indebtedness permitted under this clause (b) shall be guaranteed
by the Company or qualify as a liability of the Company.

 

“Subsidiary”
means, with respect to any Person, (A) any corporation, association or other business entity (other than a partnership or limited liability
company) of which more than fifty percent (50%) of the total voting power of the Capital Stock entitled (without regard to the occurrence
of any contingency, but after giving effect to any voting agreement or stockholders’ agreement that effectively transfers voting
power) to vote in the election of directors, managers or trustees, as applicable, of such corporation, association or other business entity
is owned or controlled, directly or indirectly, by such Person or one or more of the other Subsidiaries of such Person; and (B) any partnership
or limited liability company where (i) more than fifty percent (50%) of the capital accounts, distribution rights, equity and voting interests,
or of the general and limited partnership interests, as applicable, of such partnership or limited liability company are owned or controlled,
directly or indirectly, by such Person or one or more of the other Subsidiaries of such Person, whether in the form of membership, general,
special or limited partnership or limited liability company interests or otherwise; and (ii) such Person or any one or more of the other
Subsidiaries of such Person is a controlling general partner of, or otherwise controls, such partnership or limited liability company.

 

    8

    

    

 

“Successor Corporation”
has the meaning set forth in Section 10(A).

 

“Target Adjusted
EBITDA” means, (i) with respect to the fiscal quarter ending March 31, 2022, negative six million one hundred thousand dollars
(-$6,100,000), (ii) with respect to the fiscal quarter ending June 30, 2022, negative five million five hundred thousand dollars (-$5,500,000),
(iii) with respect to the fiscal quarter ending September 30, 2022, negative five million dollars (-$5,000,000), (iv) with respect to
the fiscal quarter ending December 31, 2022, negative five million dollars (-$5,000,000), (v) with respect to the fiscal quarter ending
March 31, 2023, negative four million dollars (-$4,000,000), (vi) with respect to the fiscal quarter ending June 30, 2023, negative three
million dollars (-$3,000,000), (vii) with respect to the fiscal quarter ending September 30, 2023, negative two million dollars (-$2,000,000),
(viii) with respect to the fiscal quarter ending December 31, 2023, zero dollars ($0), (ix) with respect to the fiscal quarter ending
March 31, 2024, zero dollars ($0), (x) with respect to the fiscal quarter ending June 30, 2024, zero dollars ($0), (xi) with respect to
the fiscal quarter ending September 30, 2024, zero dollars ($0), and (xii) with respect to the fiscal quarter ending December 31, 2024,
zero dollars ($0).

 

“Target Revenue”
means, (i) with respect to the fiscal quarter ending March 31, 2022, twenty five million dollars ($25,000,000), (ii) with respect to the
fiscal quarter ending June 30, 2022, twenty five million dollars ($25,000,000), (iii) with respect to the fiscal quarter ending September
30, 2022, twenty five million dollars ($25,000,000), (iv) with respect to the fiscal quarter ending December 31, 2022, twenty five million
dollars ($25,000,000), (v) with respect to the fiscal quarter ending March 31, 2023, thirty five million dollars ($35,000,000), (vi) with
respect to the fiscal quarter ending June 30, 2023, thirty five million dollars ($35,000,000), (vii) with respect to the fiscal quarter
ending September 30, 2023, thirty five million dollars ($35,000,000), (viii) with respect to the fiscal quarter ending December 31, 2023,
thirty five million dollars ($35,000,000), (ix) with respect to the fiscal quarter ending March 31, 2024, thirty five million dollars
($35,000,000), (x) with respect to the fiscal quarter ending June 30, 2024, thirty five million dollars ($35,000,000), (xi) with respect
to the fiscal quarter ending September 30, 2024, thirty five million dollars ($35,000,000), and (xii) with respect to the fiscal quarter
ending December 31, 2024, thirty five million dollars ($35,000,000).

 

“Trademark License”
means any written agreement granting any right to use any Trademark or Trademark registration, now owned or hereafter acquired by the
Company or in which the Company now holds or hereafter acquires any interest.

 

“Trademarks”
means all trademarks (registered, common law or otherwise) and any applications in connection therewith, including registrations, recordings
and applications in the United States Patent and Trademark Office or in any similar office or agency of the United States, any State thereof
or any other country or any political subdivision thereof.

 

“Trading Day”
means any day on which (A) trading in the Common Stock generally occurs on the principal U.S. national or regional securities exchange
on which the Common Stock is then listed or, if the Common Stock is not then listed on a U.S. national or regional securities exchange,
on the principal other market on which the Common Stock is then traded; and (B) there is no Market Disruption Event. If the Common Stock
is not so listed or traded, then “Trading Day” means a Business Day.

 

“Transaction Documents”
has the meaning set forth in the Securities Purchase Agreement.

 

“TTK Contracts”means
Total Turn-Key Solution contracts entered into between the Company and customers thereof to implement a TTK Transaction, which include,
without limitation, financing, construction, vertical farming unit leasing, extraction or processing equipment leasing, software, brand
and/or marketing consulting and production-based fee contracts.

 

“TTK SPV”
means a special purpose vehicle established to implement a TTK Transaction with a customer of the Company .

 

“TTK Transaction”
means a long-term partnership between the Company and a customer of the Company designed to provide such customer with access to vertical
farming units, extraction or processing equipment, construction and/or equipment funding, facility design and construction services, cultivation
equipment and software, standard operating procedures, training, data and insights, and ongoing maintenance, support, and equipment upgrades.

 

    9

    

    

 

“UCC” means
the Uniform Commercial Code as the same is, from time to time, in effect in the State of New York.

 

“VWAP Market Disruption
Event” means, with respect to any date, (A) the failure by the principal U.S. national or regional securities exchange on which
the Common Stock is then listed, or, if the Common Stock is not then listed on a U.S. national or regional securities exchange, the principal
other market on which the Common Stock is then traded, to open for trading during its regular trading session on such date; or (B) the
occurrence or existence, for more than one half hour period in the aggregate, of any suspension or limitation imposed on trading (by reason
of movements in price exceeding limits permitted by the relevant exchange or otherwise) in the Common Stock or in any options contracts
or futures contracts relating to the Common Stock, and such suspension or limitation occurs or exists at any time before 1:00 p.m., New
York City time, on such date.

 

“VWAP Trading Day”
means a day on which (A) there is no VWAP Market Disruption Event; provided that the Holder, by written notice to the Company, may waive
any such VWAP Market Disruption Event; and (B) trading in the Common Stock generally occurs on the principal U.S. national or regional
securities exchange on which the Common Stock is then listed or, if the Common Stock is not then listed on a U.S. national or regional
securities exchange, on the principal other market on which the Common Stock is then traded. If the Common Stock is not so listed or traded,
then “VWAP Trading Day” means a Business Day.

 

“Wholly Owned Subsidiary”
of a Person means any Subsidiary of such Person all of the outstanding Capital Stock or other ownership interests of which (other than
directors’ qualifying shares) are owned by such Person or one or more Wholly Owned Subsidiaries of such Person.

 

Section
2. Persons Deemed Owners.

 

The Holder of this Note will
be treated as the owner of this Note for all purposes.

 

Section
3. Registered Form.

 

This Note, and any Note issued
in exchange therefor or in substitution thereof, will be in registered form, without coupons.

 

Section
4. Amortization Payments; Interest; Maturity Date Payment; Prepayment.

 

(A) Amortization
Payments. The Company shall make an amortization payment with respect to this Note equal to the applicable Amortization Payment (or
portion thereof, if applicable) on each Amortization Date.

 

(B) Interest.

 

(i) This
Note will accrue interest (the “Stated Interest”) at a rate per annum equal to the Stated Interest Rate. Stated Interest
on this Note will (i) accrue on the Principal Amount of this Note; (ii) accrue from, and including, the most recent date to which Stated
Interest has been paid or duly provided for (or, if no Stated Interest has theretofore been paid or duly provided for, the Issue Date)
to, but excluding, the date of payment of such Stated Interest; (iii) be paid to Holder in cash on each Interest Payment Date in accordance
with Section 5(A); and (iv) be computed on the basis of a 360-day year comprised of twelve 30-day months. Notwithstanding the foregoing,
after the one-year anniversary of the Issue Date, the Company may, by giving irrevocable written notice to the Holder at least five (5)
Trading Days prior to an Interest Payment Date, elect to pay the Stated Interest for such Interest Payment Date in kind, in which case
on such Interest Payment Date the amount of such Stated Interest (calculated at an interest rate of 8.75% rather than the Stated Interest
Rate) shall be added to the Principal Amount then outstanding, and after such Interest Payment Date, Stated Interest will accrue on the
Principal Amount as so increased. For the avoidance of doubt, the Company may not elect to pay Default Interest (defined below) in kind
pursuant to this Section 4(B)(i).

 

(ii) If
a Default or an Event of Default occurs, then in each case, to the extent lawful, interest (“Default Interest”) will
accrue (rather than at the Stated Interest Rate, if applicable) on the Principal Amount outstanding as of the date of such Default or
Event of Default at a rate per annum equal to fifteen percent (15.0%), from, and including, the date of such Default or Event of Default,
as applicable, to, but excluding, the date such Default is cured and all outstanding Default Interest under this Note has been paid. Default
Interest hereunder will be payable in arrears on the earlier of (i) the first day of each calendar month and (ii) the date such Default
is cured, and will be computed on the basis of a 360-day year comprised of twelve 30-day months.

 

(C) Maturity
Date Payment. On the Maturity Date, the Company will pay the Holder an amount in cash equal to the then-outstanding Principal Amount
of this Note plus any accrued and unpaid interest on this Note.

 

(D) Prepayment.
The Company may not prepay the Note without the written consent of the Holder other than pursuant to Section 8(A).

 

    10

    

    

 

Section
5. Method of Payment; When Payment Date is Not a Business Day.

 

(A) Method
of Payment. The Company will pay all cash amounts due under this Note by wire transfer of immediately available funds to the account
of the Holder set forth in the Flow of Funds Letter (as defined in the Securities Purchase Agreement) (or, if such Holder provides the
Company, at least three (3) Business Days before the date such amount is due, with written notice of an account or address of such Holder
within the United States, as applicable, by wire transfer of immediately available funds or check to such account or address set forth
in such written notice, as applicable).

 

(B) Delay
of Payment when Payment Date is Not a Business Day. If the due date for a payment on this Note as provided in this Note is not a Business
Day, then, notwithstanding anything to the contrary in this Note, such payment may be made on the immediately following Business Day and
no interest will accrue on such payment as a result of the related delay.

 

Section
6. Required Repurchase of Note upon a Fundamental Change.

 

(A) Repurchase
Upon Fundamental Change. Subject to the other terms of this Section 6, if a Fundamental Change occurs, then the Holder will
have the right to require the Company to repurchase this Note (or any portion of this Note in an Authorized Denomination) on the Fundamental
Change Repurchase Date for such Fundamental Change for a cash purchase price equal to the Fundamental Change Repurchase Price.

 

(B) Fundamental
Change Repurchase Date. The Fundamental Change Repurchase Date for any Fundamental Change will be a Business Day of the Holder’s
choosing that is no more than twenty (20) Business Days after the later of (x) the date the Company delivers to the Holder the related
Fundamental Change Notice pursuant to Section 6(C); and (y) the effective date of such Fundamental Change.

 

(C) Fundamental
Change Notice. No later than the eighth (8th) Business Day before the occurrence of any Fundamental Change, the Company will send
to the Holder a written notice (the “Fundamental Change Notice”) thereof (provided, however, in no event shall such
notice be required prior to the actual public notice of such Fundamental Change), stating the expected date such Fundamental Change will
occur. No later than the fifth (5th) Business Day after the date of delivery of the Fundamental Change Notice, the Holder shall
notify the Company in writing whether it will require the Company to repurchase this Note and specify the Fundamental Change Repurchase
Date.

 

(D) Fundamental
Change Repurchase Price. The Fundamental Change Repurchase Price for this Note (or any portion of this Note to be repurchased) upon
a Repurchase Upon Fundamental Change following a Fundamental Change is an amount in cash equal to the Fundamental Change Base Repurchase
Price for such Fundamental Change plus any accrued and unpaid interest on this Note (or such portion of this Note) to, but excluding,
the Fundamental Change Repurchase Date for such Fundamental Change.

 

(E) Effect
of Repurchase. If this Note (or any portion of this Note) is to be repurchased upon a Repurchase Upon Fundamental Change, then, from
and after the date the related Fundamental Change Repurchase Price is paid in full, this Note (or such portion) will cease to be outstanding.

 

Section
7. [RESERVED.]

 

Section
8. Redemption of this Note.

 

(A) Company
Redemption Election.  The Company may redeem all (but not less than all) of the then outstanding Principal Amount on any date
on or after the one-year anniversary of the Issue Date by paying on the Company Redemption Date (as defined below) a cash redemption price
equal to the Company Redemption Price; provided, that the Company must provide irrevocable written notice thereof (a “Company
Redemption Notice”) certifying that no Default has occurred or is continuing as of the date of such notice and that no Event
of Default has occurred as of the date of such notice that has not been waived and setting forth the date upon which such redemption shall
occur (the “Company Redemption Date”) at least ten (10) days prior to the Company Redemption Date and the Company must
have, on or prior to 9:00 am, New York City time, on such notice delivery date, publicly disclosed any material, non-public information
regarding the Company (including the fact that the Company is redeeming the Note) on a Form 8-K or otherwise; provided, however, that
this Section 8(A) will cease to have any force and effect if a Default has occurred and is continuing or an Event of Default has
occurred and has not been waived by the Required Holders. If this Note is to be redeemed in full pursuant to this Section 8(A),
then, from and after the date the related Company Redemption Price is paid in full, this Note will cease to be outstanding.

 

    11

    

    

 

Section
9. Affirmative and Negative Covenants.

 

(A) Stay,
Extension and Usury Laws. To the extent that it may lawfully do so, the Company (A) agrees that it will not at any time insist upon,
plead, or in any manner whatsoever claim or take the benefit or advantage of, any stay, extension or usury law (wherever or whenever enacted
or in force) that may affect the covenants or the performance of this Note; and (B) expressly waives all benefits or advantages of any
such law and agrees that it will not, by resort to any such law, hinder, delay or impede the execution of any power granted to the Holder
by this Note, but will suffer and permit the execution of every such power as though no such law has been enacted.

 

(B) Corporate
Existence. Subject to Section 10, the Company will cause to preserve and keep in full force and effect:

 

(i) its
corporate existence and the corporate existence of its Subsidiaries in accordance with the organizational documents of the Company or
its Subsidiaries, as applicable; and

 

(ii) the
material rights (charter and statutory), licenses and franchises of the Company and its Subsidiaries;

 

provided, however, that the Company
need not preserve or keep in full force and effect any such rights (charter and statutory), license or franchise or existence of any of
its Subsidiaries if the Board of Directors determines in good faith that (x) the preservation thereof is no longer desirable in the conduct
of the business of the Company and its Subsidiaries, taken as a whole; and (y) the loss thereof is not, individually or in the aggregate,
materially adverse to the Holder.

 

(C) Ranking.
All payments due under this Note (i) shall rank pari passu with all Other Notes and (ii) shall rank senior to all other indebtedness of
the Company (other than the indebtedness described in clauses (i)) and any Subordinated Indebtedness.

 

(D) Indebtedness;
Amendments to Indebtedness. The Company shall not and shall not permit any Subsidiary to: (a) create, incur, assume, guarantee or
be or remain liable with respect to any Indebtedness, other than Permitted Indebtedness; (b) prepay any Indebtedness except for (i) by
the conversion of Indebtedness into equity securities (other than Disqualified Stock) and the payment of cash in lieu of fractional shares
in connection with such conversion, and (ii) a refinancing of the entire amount of such Indebtedness which does not impose materially
more burdensome terms upon the Company or its Subsidiaries than exist in such Indebtedness prior to such refinancing, but with a maturity
date which is later than one hundred eighty-one (181) days following the Maturity Date; or (c) amend or modify any documents or notes
evidencing any Indebtedness in any manner which shortens the maturity date or any amortization, redemption or interest payment date thereof
or otherwise imposes materially more burdensome terms upon the Company or its Subsidiaries than exist in such Indebtedness prior to such
amendment or modification without the prior written consent of Holder. The Company shall not and shall not permit any Subsidiary to incur
any Indebtedness that would cause a breach or Default under the Notes or prohibit or restrict the performance of any of the Company’s
or its Subsidiaries’ obligations under the Notes, including without limitation, the payment of interest and principal thereon.

 

(E) Liens.
The Company will not, and will not permit any of its Subsidiaries to, directly or indirectly, create, incur, assume or permit to exist
any Lien of any kind on any asset now owned or hereafter acquired, except Permitted Liens.

 

(F)  Investments.
The Company shall not directly or indirectly acquire or own, or make any Investment in or to any Person, or permit any of its Subsidiaries
so to do, other than Permitted Investments; provided that the Company may not make any Investment (including a Permitted Investment)
or permit any of its Subsidiaries to make any Investment (including a Permitted Investment) if (i) any Event of Default has occurred hereunder
or (ii) any event or circumstance has occurred and is continuing which, with the giving of notice or passage of time or both, could constitute
an Event of Default with respect to Section 11(A)(ii), Section 11(A)(iii), Section 11(A)(ix), Section 11(A)(xi),
Section 11(A)(xiv) or Section 11(A)(xv).

 

(G) Distributions.
The Company shall not, and shall not allow any Subsidiary to, (a) repurchase or redeem any class of stock or other Equity Interest
other than pursuant to employee, director or consultant repurchase plans or other similar agreements provided under plans approved by
the Board of Directors; provided, however, in each case the repurchase or redemption price does not exceed the original consideration
paid for such stock or Equity Interest, or (b) declare or pay any cash dividend or make a cash distribution on any class of stock or other
Equity Interest, except that a Subsidiary of the Company may pay dividends or make distributions to the Company or a parent company that
is a direct or indirect Wholly Owned Subsidiary of the Company, or (c) lend money to any employees, officers or directors (except as permitted
under clause (F) of the definition of Permitted Investment), or guarantee the payment of any such loans granted by a third party in excess
of fifty thousand dollars ($50,000) in the aggregate or (d) waive, release or forgive any Indebtedness owed by any employees, officers
or directors in excess of fifty thousand dollars ($50,000) in the aggregate. Within one (1) Business Day following the date on which the
Company files an Annual Report on Form 10-K or Quarterly Report on Form 10-Q with the Commission, the Company will provide the Holder
with a written notice setting forth the aggregate amount of dividends or distributions made by the Company or any Subsidiary pursuant
to this Section 9(G) for the period covered by such Annual Report on Form 10-K or Quarterly Report on Form 10-Q, as applicable.
Notwithstanding anything herein to the contrary, the Company shall not, and shall not allow any Subsidiary to, declare or pay any cash
dividend or make a cash distribution on any class of stock or other Equity Interest if (A) any Event of Default has occurred hereunder
and has not been waived by the Required Holders or (B) any event or circumstance has occurred and is continuing which, with the giving
of notice or passage of time or both, could constitute an Event of Default with respect to Section 11(A)(ii), Section 11(A)(iii),
Section 11(A)(ix), Section 11(A)(xi), Section 11(A)(xiv) or Section 11(A)(xv).

 

    12

    

    

 

(H) Transfers.
The Company shall not, and shall not allow any Subsidiary to, voluntarily or involuntarily transfer, sell, lease, license, lend or in
any other manner convey any equitable, beneficial or legal interest in any material portion of the assets of the Company and its Subsidiaries
(taken as a whole), except for Permitted Transfers and Permitted Investments.

 

(I) Taxes.
The Company and its Subsidiaries shall pay when due all material taxes, fees or other similar governmental charges (together with any
related interest or penalties) now or hereafter imposed or assessed against the Company and its Subsidiaries or their respective assets
or upon their ownership, possession, use, operation or disposition thereof or upon their rents, receipts or earnings arising therefrom.
The Company and its Subsidiaries shall file on or before the due date therefor all material personal property tax returns. Notwithstanding
the foregoing, the Company and its Subsidiaries may contest, in good faith and by appropriate proceedings, taxes for which they maintain
adequate reserves therefor in accordance with GAAP.

 

(J) Minimum
Liquidity.

 

(i) The
Company and its Subsidiaries shall have at all times liquidity calculated as unrestricted, unencumbered Cash and Cash Equivalents in one
or more deposit accounts located in the United States and subject to a Control Agreement (as defined in the Security Agreements) entered
into in favor of the Collateral Agent in a minimum amount equal to thirty million dollars ($30,000,000).

 

(ii) On
or prior to the first (1st) Business Day of each month, the Company shall provide to the Holder a certification, executed on
behalf of the Company by the Chief Financial Officer of the Company, certifying whether or not the Company has satisfied the requirements
of Section 9(J)(i) and Section 9(G) during the immediately preceding calendar month, and on the day that the Company files
its Form 10-K or Form 10-Q or otherwise publicly discloses its financial results for its most recently completed three-month period, the
Company shall provide to the Holder a certification, executed on behalf of the Company by the Chief Financial Officer of the Company,
certifying whether or not the Company has satisfied the requirements of Section 9(K) and Section 9(L) during such three-month
period. If the Company determines in its sole discretion that such information constitutes material non-public information, then the Company
will so indicate in the certification provided pursuant to the preceding sentence and the Company will concurrently disclose such material
non-public information on a Current Report on Form 8-K or otherwise.

 

(K) Adjusted
EBITDA. As of the last day of each applicable fiscal quarter, the Company and its consolidated Subsidiaries shall have Adjusted EBITDA
of not less than Target Adjusted EBITDA for the three (3)-month period ending on such day.

 

(L) Minimum
Revenue. As of the last day of each applicable fiscal quarter, the Company and its consolidated Subsidiaries shall have revenue (calculated
in accordance with GAAP) of not less than Target Revenue for the three (3)-month period ending on such day.

 

(M) Change
in Nature of Business. The Company shall not, and the Company shall cause each of its Subsidiaries to not, directly or indirectly,
engage in any material line of business substantially different from those lines of business conducted by or publicly contemplated to
be conducted by the Company and each of its Subsidiaries on the Issue Date; provided, that the foregoing shall not prevent the
Company and its Subsidiaries from engaging in any business that is reasonably related or incidental or ancillary to its or their business.

 

(N) Maintenance
of Properties, Etc. The Company shall maintain and preserve, and the Company shall cause each of its Subsidiaries to maintain and
preserve, all of its properties which are necessary or useful (as determined by the Company in good faith) to the conduct of its business
in good working order and condition, ordinary wear and tear excepted, and comply at all times with the provisions of all leases to which
it is a party as lessee or under which it occupies property, so as to prevent any loss or forfeiture thereof or thereunder (except where
the failure to do so would not, individually or in the aggregate, have a material effect on the Company or any Subsidiary).

 

(O) Maintenance
of Intellectual Property. The Company will take, and the Company shall cause each of its Subsidiaries to take, all actions necessary
or advisable to maintain all of the Intellectual Property Rights (as defined in the Securities Purchase Agreement) of the Company or such
Subsidiary that are necessary or material (as determined by the Company in good faith) to the conduct of its business in full force and
effect.

 

    13

    

    

 

(P) Maintenance
of Insurance. The Company shall maintain, and the Company shall cause each of its Subsidiaries to maintain, insurance with responsible
and reputable insurance companies or associations (including, without limitation, comprehensive general liability, hazard, rent and business
interruption insurance) with respect to its properties (including all real properties leased or owned by it) and business, in such amounts
and covering such risks as is required by any governmental authority having jurisdiction with respect thereto or as is carried generally
in accordance with sound business practice by companies in similar businesses similarly situated.

 

(Q) Transactions
with Affiliates. Neither the Company, nor any of its Subsidiaries, shall enter into, renew, extend or be a party to, any transaction
or series of related transactions (including, without limitation, the purchase, sale, lease, transfer or exchange of property or assets
of any kind or the rendering of services of any kind) with any affiliate (other than the Company or any of its Wholly Owned Subsidiaries),
except (i) transactions for fair consideration and on terms no less favorable to it than would be obtainable in a comparable arm’s
length transaction with a Person that is not an affiliate thereof, (ii) loans or advances made by the Company or one of its Subsidiaries
to its directors, officers and other employees in the ordinary course of business for reasonable travel and entertainment expenses, and
relocation costs up to a maximum of one hundred thousand dollars ($100,000) in the aggregate at any one time outstanding, and (iii) distributions
permitted by Section 9(G).

 

(R) Restricted
Issuances. The Company shall not, and shall cause its Subsidiaries not to, directly or indirectly, without the prior written consent
of the holders of a majority in aggregate principal amount of the Notes then outstanding, (i) issue any Notes (other than as contemplated
by the Securities Purchase Agreement and the Notes) or (ii) issue any other securities or incur any Indebtedness, in each case, that would
cause a breach or Default under the Notes or that by its terms would prohibit or restrict the performance of any of the Company’s
or its Subsidiaries’ obligations under the Notes, including without limitation, the payment of interest and principal thereon.

 

(S) Independent
Investigation. At the request of the Required Holders (as defined in the Securities Purchase Agreement) at any time the Required Holders
have determined in good faith that (i) an Event of Default has occurred or (ii) any event or circumstance has occurred and is continuing
which, with the giving of notice or passage of time or both, could constitute an Event of Default but the Company has not timely agreed
to such determination in writing, the Company shall hire an independent, reputable investment bank selected by the Company and approved
by the Required Holders to investigate as to whether such Event of Default or event or circumstance has occurred (the “Independent
Investigator”). If the Independent Investigator determines that such Event of Default or event or circumstance has occurred,
the Independent Investigator shall notify the Company of such Event of Default or occurrence of such event or circumstance and the Company
shall promptly deliver written notice to the Holder of such Event of Default if such Event of Default has occurred. In connection with
such investigation, the Independent Investigator may, during normal business hours and upon signing a confidentiality agreement in a form
reasonably acceptable to the Company, inspect all contracts, books, records, personnel, offices and other facilities and properties of
the Company and its Subsidiaries and, to the extent available to the Company after the Company uses reasonable efforts to obtain them,
the records of its accountants (including the accountants’ work papers) and any books of account, records, reports and other papers
not contractually required of the Company to be confidential or secret, or subject to attorney-client or other evidentiary privilege,
and the Independent Investigator may make such copies and inspections thereof as the Independent Investigator may reasonably request.
The Company shall furnish the Independent Investigator with such financial and operating data and other information with respect to the
business and properties of the Company as the Independent Investigator may reasonably request. The Company shall permit the Independent
Investigator to discuss the affairs, finances and accounts of the Company with, and to make proposals and furnish advice with respect
thereto to, any of the Company’s officers, directors, key employees and independent public accountants (and by this provision the
Company authorizes said accountants to discuss with such Independent Investigator the finances and affairs of the Company and any Subsidiaries);
provided, that the Company’s chief executive officer and chief financial officer shall be invited to join any such discussion, all
at such reasonable times, upon reasonable notice, and as often as may be reasonably requested.

 

(T) Upon
delivery by the Company to the Holder (or receipt by the Company from the Holder) of any notice in accordance with the terms of this Note,
unless the Company has in good faith determined that the matters relating to such notice do not constitute material, non-public information
relating to the Company or any of its Subsidiaries, the Company shall on or prior to 9:00 am, New York City time on the Business Day immediately
following such notice delivery date, publicly disclose such material, non-public information on a Form 8-K or otherwise. In the event
that the Company believes that a notice contains material, non-public information relating to the Company or any of its Subsidiaries,
the Company so shall indicate to the Holder explicitly in writing in such notice (or immediately upon receipt of notice from the Holder,
as applicable), and in the absence of any such written indication in such notice (or notification from the Company immediately upon receipt
of notice from the Holder), the Holder shall be entitled to presume that information contained in the notice does not constitute material,
non-public information relating to the Company or any of its Subsidiaries. Nothing contained in this Section 9(T) shall limit any
obligations of the Company, or any rights of the Holder, under the Securities Purchase Agreement.

 

    14

    

    

 

(U) The
Company acknowledges and agrees that the Holder is not a fiduciary or agent of the Company, the Holder will not have any obligations hereunder
except those obligations expressly set forth herein (and in the Securities Purchase Agreement) and the Holder is acting solely in the
capacity of an arm’s length contractual counterparty to the Company with respect to the Note and not as a fiduciary or agent of
the Company. The Company agrees that it will not assert any claim against the Holder based on an alleged breach of fiduciary duty by the
Holder in connection with the Note. The Company acknowledges that the Holder shall have no obligation to (a) maintain the confidentiality
of any information provided by the Company or (b) refrain from trading any securities while in possession of such information in the absence
of a written non-disclosure agreement signed by an officer of the Holder that explicitly provides for such confidentiality and trading
restrictions. In the absence of such an executed, written non-disclosure agreement, the Company acknowledges that the Holder may freely
trade in any securities issued by the Company, may possess and use any information provided by the Company in connection with such trading
activity, and may disclose any such information to any third party.

 

(V) The
Company shall cause this Note to be eligible to be offered, sold or otherwise transferred by the Holder pursuant to Rule 144, without
any requirements as to volume, manner of sale, availability of current public information (whether or not then satisfied) or notice under
the Securities Act and without any requirement for registration under any state securities or “blue sky” law, on and after
the date that is six (6) months following the Issue Date. If this Note is to be transferred, the Holder shall notify the Company and surrender
this Note to the Company (or provide the Company an affidavit in a form reasonably acceptable to the Company that this Note was lost,
stolen or destroyed), whereupon the Company will forthwith issue and deliver upon the order of the Holder a new Note, registered as the
Holder may request. The Company shall not be obligated to pay any tax which may be payable with respect to any transfer (or deemed transfer)
arising in connection with the registration of any certificates for Notes in the name of any Person other than the Holder or any of its
Affiliates.

 

(W) The
Company shall at all times have authorized and unissued no less than a number of shares of Common Stock equal to the sum of (x) 100% of
the maximum number of shares of Common Stock as shall be necessary to satisfy the Company’s obligation to issue shares of Common
Stock under the Warrants then outstanding, reserved for the purpose of issuance pursuant to the Warrants, plus (y) following the Company's
next annual meeting of stockholders, but in no event later than June 30, 2022, an additional ten million (10,000,000) unreserved shares
of Common Stock. At the Company's next annual meeting of stockholders, but in no event later than June 30, 2022, the Company shall increase
its authorized shares of Common Stock to no less than eighty million (80,000,000) shares.

 

Section
10.Successors.

 

The Company will not consolidate
with or merge with or into, or (directly, or indirectly through one or more of its Subsidiaries) sell, lease or otherwise transfer, in
one transaction or a series of transactions, all or substantially all of the assets of the Company and its Subsidiaries, taken as a whole,
to another Person, other than the Holder or any of its Affiliates (a “Business Combination Event”), unless:

 

(A) the
resulting, surviving or transferee Person either (x) is the Company or (y) if not the Company, is a corporation (the “Successor
Corporation”) duly organized and existing under the laws of the United States of America, any State thereof or the District
of Columbia that expressly assumes (by executing and delivering to the Holder, at or before the effective time of such Business Combination
Event, a supplement to this instrument) all of the Company’s obligations under this Note; and

 

(B) immediately
after giving effect to such Business Combination Event, no Default or Event of Default will have occurred and be continuing.

 

At the effective time of any
Business Combination Event, the Successor Corporation (if not the Company) will succeed to, and may exercise every right and power of,
the Company under this Note with the same effect as if such Successor Corporation had been named as the Company in this Note, and, except
in the case of a lease, the predecessor Company will be discharged from its obligations under this Note.

 

Section
11.Defaults and Remedies

 

(A) Events
of Default. “Event of Default” means the occurrence of any of the following:

 

(i) a
default in the payment when due of an Amortization Payment, the Principal Amount, any amount due under Section 8 or the Fundamental
Change Repurchase Price under this Note;

 

(ii) a
default for three (3) Business Days in the payment when due of the interest on this Note;

 

    15

    

    

 

(iii) a
default in the Company’s obligation to timely deliver a Fundamental Change Notice pursuant to Section 6(C), and such default
continues for three (3) Business Days, or the delivery of a materially false or inaccurate Fundamental Change Notice or Company Redemption
Notice;

 

(iv) a
default in the Company’s obligation to deliver when due any Event of Default Acceleration Amount;

 

(v) any
failure to timely deliver an Event of Default Notice or a materially false or inaccurate certification as to whether any Event of Default
has occurred or as to whether the Equity Conditions (as defined in the Securities Purchase Agreement) have been satisfied;

 

(vi) a
default in any of the Company’s obligations or agreements under this Note or the Transaction Documents (in each case, other than
a default set forth in clauses (i) - (v) or (vii) – (xviii) of this Section 11(A)), or a breach
of any representation or warranty in any material respect (other than representations or warranties subject to material adverse effect
or materiality qualifications, which may not be breached in any respect) of any Transaction Document; provided, however,
that if such default can be cured, then such default shall not be an Event of Default unless the Company has failed to cure such default
within ten (10) Business Days days after its occurrence;

 

(vii) any
provision of any Transaction Document at any time for any reason (other than pursuant to the express terms thereof) ceases to be valid
and binding on or enforceable against the parties thereto, or the validity or enforceability thereof is contested, directly or indirectly,
by the Company or any of its Subsidiaries, or a proceeding is commenced by the Company or any of its Subsidiaries or any governmental
authority having jurisdiction over any of them, seeking to establish the invalidity or unenforceability thereof;

 

(viii) the
Company fails to comply with any covenant set forth in Section 9(D), Section 9(E), Section 9(F), Section 9(G),
Section 9(H), Section 9(J), Section 9(K), Section 9(L),Section 9(R) or Section 9(W) of this Note;

 

(ix) the
suspension from trading or failure of the Common Stock to be trading or listed on an Eligible Exchange for a period of three (3) consecutive
Trading Days;

 

(x) (i)
the failure of the Company or any of its Subsidiaries to pay when due or within any applicable grace period any Indebtedness having an
individual principal amount in excess of at least five hundred thousand dollars ($500,000) (or its foreign currency equivalent) in the
aggregate of the Company or any of its Subsidiaries, whether such Indebtedness exists as of the Issue Date or is thereafter created, and
whether such default has been waived for any period of time or is subsequently cured; or (ii) the occurrence of any breach or default
under any terms or provisions of any other Indebtedness of at least five hundred thousand dollars ($500,000) (or its foreign currency
equivalent) in the aggregate of the Company or any of its Subsidiaries, if the effect of such failure or occurrence is to cause or to
permit the holder or holders of any such indebtedness, to cause, Indebtedness having an individual principal amount in excess of five
hundred thousand dollars ($500,000) to become or be declared due prior to its stated maturity;

 

(xi) one
or more final judgments, orders or awards (or any settlement of any litigation or other proceeding that, if breached, could result in
a judgment, order or award) for the payment of at least five hundred thousand dollars ($500,000) (or its foreign currency equivalent)
in the aggregate (excluding any amounts covered by insurance pursuant to which the insurer has been notified and has not denied coverage),
is rendered against the Company or any of its Subsidiaries and remains unsatisfied and (i) enforcement proceedings shall have been commenced
by any creditor upon any such judgment, order, award or settlement or (ii) there shall be a period of ten (10) consecutive Trading Days
after entry thereof during which (A) a stay of enforcement thereof is not in effect or (B) the same is not vacated, discharged, stayed
or bonded pending appeal;

 

(xii) (A)
the Company fails to timely file its quarterly reports on Form 10-Q or its annual reports on Form 10-K with the Commission in the manner
and within the time periods required by the Exchange Act in a manner that results in the Company failing for any reason to satisfy the
requirements of Rule 144(c)(1) under the Securities Act, including, without limitation, the failure to satisfy the current public information
requirement under Rule 144(c), or (B) the Company withdraws or restates in any material respect any such quarterly report or annual report
previously filed with the Commission;

 

(xiii) any
Security Document shall for any reason fail or cease to create a separate valid and perfected first priority Lien on the Collateral, in
each case, in favor of the Collateral Agent in accordance with the terms thereof, or any material provision of any Security Document shall
at any time for any reason cease to be valid and binding on or enforceable against the Company or the validity or enforceability thereof
shall be contested by any party thereto, or a proceeding shall be commenced by the Company or any governmental authority having jurisdiction
over the Company, seeking to establish the invalidity or unenforceability thereof;

 

    16

    

    

 

(xiv) any
material damage to, or loss, theft or destruction of, any Collateral (provided that any damage, loss, theft or destruction of the Collateral
that reduces the value of such Collateral by one million dollars ($1,000,000) or more shall be deemed to be material), that is not insured,
or any strike, lockout, labor dispute, embargo, condemnation, act of God or public enemy, or other casualty which causes, for more than
fifteen (15) consecutive days, the cessation or substantial curtailment of revenue producing activities at any facility of the Company
or any Subsidiary, if any such event or circumstance could reasonably be expected to have a Material Adverse Effect (as defined in the
Securities Purchase Agreement). For clarity, an Event of Default under this Section 11(A)(xiv) will not require any curtailment
of revenue;

 

(xv) the
Company fails to remove any restrictive legend on any certificate or any shares of Common Stock issued to the Holder pursuant to any Securities
(as defined in the Securities Purchase Agreement) acquired by the Holder under the Securities Purchase Agreement as and when required
by such Securities or the Securities Purchase Agreement, unless otherwise then prohibited by applicable federal securities laws and such
failure continues for more than five (5) Trading Days;

 

(xvi) the
Company or any of its Significant Subsidiaries, pursuant to or within the meaning of any Bankruptcy Law, either:

 

(1) commences
a voluntary case or proceeding;

 

(2) consents
to the entry of an order for relief against it in an involuntary case or proceeding;

 

(3) consents
to the appointment of a custodian of it or for any substantial part of its property;

 

(4) makes
a general assignment for the benefit of its creditors;

 

(5) takes
any comparable action under any foreign Bankruptcy Law; or

 

(6) generally
is not paying its debts as they become due; or

 

(xvii) a
court of competent jurisdiction enters an order or decree under any Bankruptcy Law that either:

 

(1) is
for relief against Company or any of its Significant Subsidiaries in an involuntary case or proceeding;

 

(2) appoints
a custodian of the Company or any of its Significant Subsidiaries, or for any substantial part of the property of the Company or any of
its Significant Subsidiaries;

 

(3) orders
the winding up or liquidation of the Company or any of its Significant Subsidiaries; or

 

(4) grants
any similar relief with respect to the Company or any of its Significant Subsidiaries under any foreign Bankruptcy Law,

 

and, in each case under this Section 11(A)(xvii),
such order or decree remains unstayed and in effect for at least thirty (30) days.

 

(xviii) the
Company’s stockholders approve any plan for the liquidation or dissolution of the Company:

 

(B) Acceleration.

 

(i) Automatic
Acceleration in Certain Circumstances. If an Event of Default set forth in Section 11(A)(xvi) or Section 11(A)(xvii)
occurs with respect to the Company (and not solely with respect to a Significant Subsidiary of the Company), then the then outstanding
portion of the Principal Amount of, and all accrued and unpaid interest on, this Note will immediately become due and payable without
any further action or notice by any Person.

 

(ii) Optional
Acceleration. If an Event of Default (other than an Event of Default set forth in Section 11(A)(xvi) or Section 11(A)(xvii)
with respect to the Company and not solely with respect to a Subsidiary of the Company) occurs and has not been waived by the Holder,
then the Holder, by notice to the Company, may declare this Note (or any portion thereof) to become due and payable immediately for cash
in an amount equal to the Event of Default Acceleration Amount.

 

(C) Notice
of Events of Default. Promptly, but in no event later than two (2) Business Days after an Event of Default, the Company will provide
written notice of such Event of Default to the Holder (an “Event of Default Notice”), which Event of Default Notice
shall include (i) a reasonable description of the applicable Event of Default, (ii) the date on which the Event of Default occurred and
(iii) the date on which the Default underlying such Event of Default initially occurred, if different than the date on which the Event
of Default occurred.

 

    17

    

    

 

Section
12. Ranking.

 

All payments due under this
Note shall rank (i) pari passu with all Other Notes, (ii) effectively senior to all unsecured indebtedness of the Company to the extent
of the value of the Collateral securing the Notes for so long as the Collateral so secures the Notes in accordance with the terms hereof
and (iii) senior to any Subordinated Indebtedness.

 

Section
13. Replacement Notes.

 

If the Holder of this Note
claims that this Note has been mutilated, lost, destroyed or wrongfully taken, then the Company will issue, execute and deliver a replacement
Note upon surrender to the Company of such mutilated Note, or upon delivery to the Company of evidence of such loss, destruction or wrongful
taking reasonably satisfactory to the Company. In the case of a lost, destroyed or wrongfully taken Note, the Company may require the
Holder to provide such security or an indemnity that is reasonably satisfactory to the Company to protect the Company from any loss that
it may suffer if this Note is replaced.

 

Section
14. Notices.

 

Any notice or communication
to the Company will be deemed to have been duly given if in writing and delivered in person or by first class mail (registered or certified,
return receipt requested), electronic transmission (including e-mail) or other similar means of unsecured electronic communication or
overnight air courier guaranteeing next day delivery, or to the other’s address, which initially is as follows:

 

Agrify Corporation

76 Treble Cove Rd., Building 3

Billerica, MA 01862

Attention: Joshua Savitz, Esq., Associate General Counsel

Email address: josh.savitz@agrify.com

 

Burns & Levinson LLP

125 Summer Street

Boston, MA 02110

Telephone: 617-345-3684

Attention: Frank A. Segall, Esq.

Email: FSegall@burnslev.com

 

The Company, by notice to
the Holder, may designate additional or different addresses for subsequent notices or communications.

 

Any notice or communication
to the Holder will be by email to its email address, which initially are as set forth in the Securities Purchase Agreement. The Holder,
by notice to the Company, may designate additional or different addresses for subsequent notices or communications.

 

If a notice or communication
is mailed in the manner provided above within the time prescribed, it will be deemed to have been duly given, whether or not the addressee
receives it.

 

Section
15.Successors and Assigns.

 

All agreements of the Company
in this Note will bind its successors and will inure to the benefit of the Holder's successors and assigns.

 

Section
16.Severability.

 

If any provision of this Note
is invalid, illegal or unenforceable, then the validity, legality and enforceability of the remaining provisions of this Note will not
in any way be affected or impaired thereby.

 

    18

    

    

 

Section
17.Headings, Etc.

 

The headings of the Sections
of this Note have been inserted for convenience of reference only, are not to be considered a part of this Note and will in no way modify
or restrict any of the terms or provisions of this Note.

 

Section
18.Amendments

 

This Note may not be amended
or modified unless in writing by the Company and the Required Holders (as defined in the Securities Purchase Agreement), and no condition
herein (express or implied) may be waived unless waived in writing by each party whom the condition is meant to benefit.

 

Section
19.Governing Law; Waiver of Jury Trial.

 

All questions concerning the
construction, validity, enforcement and interpretation of this Note shall be governed by the internal laws of the State of Delaware, without
giving effect to any choice of law or conflict of law provision or rule (whether of the State of Delaware or any other jurisdictions)
that would cause the application of the laws of any jurisdictions other than the State of Delaware. The Company and each Holder hereby
irrevocably submits to the exclusive jurisdiction of the Court of Chancery of the State of Delaware, for the adjudication of any dispute
hereunder or in connection herewith or under any of the other Transaction Documents or with any transaction contemplated hereby or thereby,
and hereby irrevocably waives, and agrees not to assert in any suit, action or proceeding, any claim that it is not personally subject
to the jurisdiction of any such court, that such suit, action or proceeding is brought in an inconvenient forum or that the venue of such
suit, action or proceeding is improper. Each party hereby irrevocably waives personal service of process and consents to process being
served in any such suit, action or proceeding by mailing a copy thereof to such party at the address for such notices to it under this
Note and agrees that such service shall constitute good and sufficient service of process and notice thereof. Nothing contained herein
shall be deemed to limit in any way any right to serve process in any manner permitted by law. Nothing contained herein shall be deemed
or operate to preclude any Holder from bringing suit or taking other legal action against the Company in any other jurisdiction to collect
on the Company’s obligations to such Holder or to enforce a judgment or other court ruling in favor of such Holder. EACH PARTY HEREBY
IRREVOCABLY WAIVES ANY RIGHT IT MAY HAVE TO, AND AGREES NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR
UNDER ANY OTHER TRANSACTION DOCUMENT OR IN CONNECTION WITH OR ARISING OUT OF THIS NOTE OR ANY OTHER TRANSACTION DOCUMENT OR ANY TRANSACTION
CONTEMPLATED HEREBY OR THEREBY.

 

Section
20.Submission to Jurisdiction.

 

The Company and each Holder
(A) agree that any suit, action or proceeding against it arising out of or relating to this Note shall be instituted in the Court of Chancery
of the State of Delaware; (B) waive, to the fullest extent permitted by applicable law, (i) any objection that it may now or hereafter
have to the laying of venue of any such suit, action or proceeding; and (ii) any claim that it may now or hereafter have that any such
suit, action or proceeding in such a court has been brought in an inconvenient forum; and (C) submit to the nonexclusive jurisdiction
of such court in any such suit, action or proceeding.

 

Section
21.Enforcement Fees.

 

The Company agrees to pay
all costs and expenses of the Holder incurred as a result of enforcement of this Note and the collection of any amounts owed to the Holder
hereunder (whether in cash, Common Stock or otherwise), including, without limitation, reasonable attorneys’ fees and expenses.

 

Section
22.Electronic Execution.

 

The words “execution,”
“signed,” “signature,” and words of similar import in the Note shall be deemed to include electronic or digital
signatures or the keeping of records in electronic form, each of which shall be of the same effect, validity, and enforceability as manually
executed signatures or a paper-based recordkeeping system, as the case may be, to the extent and as provided for under applicable law,
including the Electronic Signatures in Global and National Commerce Act of 2000 (15 U.S.C. §§ 7001-7006), the Electronic Signatures
and Records Act of 1999 (N.Y. State Tech. §§ 301-309), or any other similar state laws based on the Uniform Electronic Transactions
Act.

 

* * *

 

 

19Exhibit 10.1

 

Execution Version

 

SECURITIES PURCHASE AGREEMENT

 

This SECURITIES PURCHASE AGREEMENT (the
“Agreement”), dated as of March 14, 2022, is by and among Agrify Corporation, a Nevada corporation with offices located
at 76 Treble Cove Road, Building 3, Billerica, MA 01862 (the “Company”), and each of the investors listed on the Schedule
of Buyers attached hereto (individually, a “Buyer” and collectively, the “Buyers”).

 

RECITALS

 

A. The
Company and each Buyer is executing and delivering this Agreement in reliance upon the exemption from securities registration afforded
by Section 4(a)(2) of the Securities Act of 1933, as amended (the “1933 Act”), and Rule 506(b) of Regulation D (“Regulation
D”) as promulgated by the United States Securities and Exchange Commission (the “SEC”) under the 1933 Act.

 

B. The
Company has authorized a new series of Senior Secured Notes in the form attached hereto as Exhibit A.

 

C. The
Company has also authorized the issuance of the Warrants (as defined below) to purchase the Company’s common stock, par value $0.001
per share (together with any capital stock into which such common stock shall have been changed or any share capital resulting from a
reclassification of such common stock, the “Common Stock”) in the form attached hereto as Exhibit B (such
underlying shares of Common Stock issuable upon exercise of the Warrants, collectively, the “Warrant Shares” or the
“Underlying Shares”).

 

D. Each
Buyer wishes to purchase, and the Company wishes to sell, upon the terms and conditions stated in this Agreement, the aggregate principal
amount of Notes set forth opposite such Buyer’s name in columns (3) and (5) on the Schedule of Buyers.

 

E. Each
Buyer wishes to purchase, and the Company wishes to sell, the Warrants, upon the terms and conditions stated in this Agreement.

 

F. At
the Initial Closing (as defined below), the parties hereto shall execute and deliver the Security Agreements, in the form attached hereto
as Exhibit C (the “Security Agreements”), pursuant to which the Company has agreed to grant a first priority
security interest to the Collateral Agent (as defined in the Security Agreements), as collateral agent for the holders of the Notes in
all assets of the Company.

 

G. The
Notes, Warrants, and Warrant Shares are collectively referred to herein as the “Securities.”

 

H. At
or before the Initial Closing, each of the parties set forth on Exhibit D shall execute and deliver a Stockholder Agreement,
in the form attached hereto as Exhibit E (the “Stockholder Agreement”), pursuant to which such parties
shall agree to certain restrictions on the transfer of their shares of the Company’s Common Stock.

 

 

    1

     

    

 

AGREEMENT

 

NOW, THEREFORE, in consideration of the premises
and the mutual covenants and agreements contained herein and for other good and valuable consideration, the receipt and sufficiency of
which are hereby acknowledged, the Company and each Buyer hereby agree as follows:

 

		1.	PURCHASE AND SALE OF PURCHASED SECURITIES.

 

(a) Purchase
of Purchased Securities. 

 

(i) Purchase
of Initial Purchased Securities.  Subject to the satisfaction (or waiver) of the conditions set forth in Sections 6 and 7(a),
as applicable, the Company shall, in reliance upon the exemptions from securities registration afforded by Section 4(a)(2) of the 1933
Act and Rule 506(b) of Regulation D, issue and sell to each Buyer, and each Buyer severally, but not jointly, agrees to purchase from
the Company on the Initial Closing Date (as defined below) the following Securities (collectively, the “Initial Purchased Securities”):

 

(A) the
aggregate principal amount of Notes as is set forth opposite such Buyer’s name in column (3) on the Schedule of Buyers (an
“Initial Purchased Note”); and

 

(B) a
Warrant exercisable for a number of Warrant Shares equal to forty two million two hundred fifty thousand dollars ($42,250,000) divided
by the Closing Sale Price (as defined in the Warrants) on the Trading Day (as defined in the Warrants) completed most recently prior to
the execution of this Agreement, rounded up to the nearest whole number (an “Initial Purchased Warrant”).

 

(ii) Initial
Closing.  The closing (the “Initial Closing”) of the purchase of the Initial Purchased Securities by the Buyers
shall occur by electronic transmission or other transmission as mutually acceptable to the parties. The date and time of the Initial Closing
(the “Initial Closing Date”) shall be 10:00 a.m., New York time, on the first (1st) Business Day on which the conditions
to the Initial Closing set forth in Sections 6 and 7(a) are satisfied or waived (or such other date as is mutually agreed to by the Company
and each Buyer).  As used herein “Business Day” means any day other than a Saturday, a Sunday or any day on which
commercial banks in The City of New York are authorized or required by law or executive order to close or be closed; provided, however,
for clarification, commercial banks in The City of New York shall not be deemed to be authorized or required by law or executive order
to close or be closed due to “stay at home”, “shelter-in-place”, “non-essential employee” or any other
similar orders or restrictions or the closure of any physical branch locations at the direction of any governmental authority so long
as the electronic funds transfer systems (including for wire transfers) of commercial banks in The City of New York are open for use by
customers on such day.

 

    2

     

    

 

(iii) Securities
Purchase Price.  The aggregate purchase price for the Initial Purchased Securities to be purchased by each Buyer at the Initial
Closing (the “Initial Securities Purchase Price”) shall be the amount set forth opposite such Buyer’s name in
column (3) on the Schedule of Buyers.

 

(iv) Form of
Payment for Initial Purchased Securities.  On the Initial Closing Date, (i) each Buyer shall pay its respective purchase
price to the Company for the Initial Purchased Securities to be issued and sold to such Buyer at the Initial Closing Date set forth opposite
such Buyer’s name in columns (3) on the Schedule of Buyers, by wire transfer of immediately available funds in accordance with
a Flow of Funds Letter (as defined below) with respect to the Initial Purchased Securities and (ii) the Company shall:

 

(A) deliver
to each Buyer the aggregate principal amount of Initial Purchased Notes as is set forth opposite such Buyer’s name in column (3)
of the Schedule of Buyers, duly executed on behalf of the Company and registered on the books and records of the Company in the name of
such Buyer or its designee; and

 

(B) deliver
to each Buyer an Initial Purchased Warrant, exercisable for the aggregate number of Warrant Shares described in Section 1(a)(i)(B), duly
executed on behalf of the Company and registered on the books and records of the Company in the name of such Buyer or its designee.

 

(v) Purchase
of First Subsequently Purchased Securities.  Subject to the satisfaction (or waiver) of the conditions set forth in Sections
6 and 7(b), as applicable, the Company shall, in reliance upon the exemptions from securities registration afforded by Section 4(a)(2)
of the 1933 Act and Rule 506(b) of Regulation D, issue and sell to each Buyer, and each Buyer severally, but not jointly, agrees to purchase
from the Company on the First Subsequent Closing Date (as defined below) the following Securities (collectively, the “First Subsequently
Purchased Securities”):

 

(A) the
aggregate principal amount of Notes as is set forth opposite such Buyer’s name in column (5) on the Schedule of Buyers (reduced,
proportionately, if applicable, to the extent that the Buyers approved the First Subsequent Closing (as defined below) in part pursuant
to Section 1(a)(vi)(B) hereof) (the “First Subsequently Purchased Notes”); and

 

(B) a
Warrant exercisable for a number of Warrant Shares equal to twenty two million seven hundred fifty thousand dollars ($22,750,000) (reduced,
proportionately, if applicable, to the extent that the Buyers approved the First Subsequent Closing in part pursuant to Section 1(a)(vi)(B)
hereof) divided by the Closing Sale Price on the Trading Day completed immediately prior to the First Subsequent Closing Determination
Date (as defined below), rounded up to the nearest whole number (the “First Subsequently Purchased Warrant”).

 

    3

     

    

 

(vi) First
Subsequent Closing.  Provided that the following conditions are satisfied or otherwise waived by the Buyers (the date such satisfaction
or waiver occurs referred to herein as the “First Subsequent Closing Determination Date”):

 

(A) The
Company has entered into agreements with counterparties determined by the Company in good faith and in accordance with past practices
to be creditworthy, pursuant to which the Company and such counterparties have made irrevocable commitments to deploy the net proceeds
from the Initial Closing in bona fide TTK Contracts (as defined below) and the Company has made public disclosure thereof;

 

(B) The
Buyers have provided written consent approving the First Subsequent Closing in whole or in part in their sole discretion; and

 

(C) The Resale Registration Statement
(as defined below) for the Underlying Shares issued or issuable pursuant to the Initial Purchased Securities shall be effective, the
closing (the “First Subsequent Closing”) of the purchase of the First Subsequently Purchased Securities by the
Buyers shall occur by electronic transmission or other transmission as mutually acceptable at 10:00 a.m., New York time, on the
first (1st) Business Day on which the conditions to the Closing set forth in Sections 6 and 7(b) are satisfied or waived (or such
other date as is mutually agreed to by the Company and each Buyer) (the “First Subsequent Closing Date”),
provided that, in any event, the First Subsequent Closing Date shall occur no later than the third (3rd) day following
the First Subsequent Closing Determination Date. As used herein, a “TTK Contract” shall mean a Total
Turn-Key Solution contract entered into between the Company and customers thereof to implement a long-term partnership between the
Company and such customer designed to provide such customer with access to vertical farming units, extraction or processing
equipment, construction and/or equipment funding, facility design and construction services, cultivation equipment and software,
standard operating procedures, training, data and insights, and ongoing maintenance, support, and equipment upgrades, which TTK
Contracts include, without limitation, financing, construction, vertical farming unit leasing, extraction or processing equipment
leasing, software, brand and/or marketing consulting and production-based fee contracts.

 

(vii) Securities
Purchase Price.  The aggregate purchase price for the First Subsequently Purchased Securities to be purchased by each Buyer at
the First Subsequent Closing (the “First Subsequent Securities Purchase Price”) shall be the amount set forth opposite
such Buyer’s name in column (5) on the Schedule of Buyers (reduced, proportionately, if applicable, to the extent that the
Buyers approved the First Subsequent Closing in part pursuant to Section 1(a)(vi)(B) hereof).

 

(viii) Form of
Payment for First Subsequently Purchased Securities.  On the First Subsequent Closing Date, (i) each Buyer shall pay its
respective purchase price to the Company for the First Subsequently Purchased Securities to be issued and sold to such Buyer at the First
Subsequent Closing Date set forth opposite such Buyer’s name in column (5) on the Schedule of Buyers (reduced, proportionately,
if applicable, to the extent that the Buyers approved the First Subsequent Closing in part pursuant to Section 1(a)(vi)(B) hereof), by
wire transfer of immediately available funds in accordance with a Flow of Funds Letter with respect to the First Subsequently Purchased
Securities and (ii) the Company shall:

 

(A) deliver
to each Buyer the aggregate principal amount of First Subsequently Purchased Notes as is set forth opposite such Buyer’s name in
column (5) of the Schedule of Buyers (reduced, proportionately, if applicable, to the extent that the Buyers approved the First Subsequent
Closing in part pursuant to Section 1(a)(vi)(B) hereof), duly executed on behalf of the Company and registered on the books and records
of the Company in the name of such Buyer or its designee; and

 

    4

     

    

 

(B) deliver
to each Buyer a First Subsequently Purchased Warrant, exercisable for the aggregate number of Warrant Shares described in Section 1(a)(v)(B),
duly executed on behalf of the Company and registered on the books and records of the Company in the name of such Buyer or its designee.

 

(ix) Purchase
of Second Subsequently Purchased Securities.  Subject to the satisfaction (or waiver) of the conditions set forth in Sections
6 and 7(c), as applicable, the Company shall, in reliance upon the exemptions from securities registration afforded by Section 4(a)(2)
of the 1933 Act and Rule 506(b) of Regulation D, issue and sell to each Buyer, and each Buyer severally, but not jointly, agrees to purchase
from the Company on the Second Subsequent Closing Date (as defined below) the following Securities (collectively, the “Second
Subsequently Purchased Securities” and together with the Initial Purchased Securities and the First Subsequently Purchased Securities,
the “Purchased Securities”):

 

(A) the
aggregate principal amount of Notes as is set forth opposite such Buyer’s name in column (5) on the Schedule of Buyers (reduced,
proportionately, if applicable, to the extent that the Buyers approved the Second Subsequent Closing (as defined below) in part pursuant
to Section 1(a)(x)(B) hereof) (the “Second Subsequently Purchased Notes” and together with the Initial Purchased Notes
and the First Subsequently Purchased Notes, the “Notes”); and

 

(B) a
Warrant exercisable for a number of Warrant Shares equal to twenty two million seven hundred fifty thousand dollars ($22,750,000) (reduced,
proportionately, if applicable, to the extent that the Buyers approved the Second Subsequent Closing in part pursuant to Section 1(a)(x)(B)
hereof) divided by the Closing Sale Price on the Trading Day completed immediately prior to the Second Subsequent Closing Determination
Date (as defined below), rounded up to the nearest whole number (the “Second Subsequently Purchased Warrant” and together
with the Initial Purchased Warrant and the First Subsequently Purchased Warrant, the “Warrants”).

 

(x) Second
Subsequent Closing.  Provided that the following conditions are satisfied or otherwise waived by the Buyers (the date such satisfaction
or waiver occurs referred to herein as the “Second Subsequent Closing Determination Date”): 

 

(A) The
Company has entered into agreements with counterparties determined by the Company in good faith and in accordance with past practices
to be creditworthy, pursuant to which the Company and such counterparties have made irrevocable commitments to deploy the net proceeds
from the Initial Closing and the First Subsequent Closing in bona fide TTK Contracts and the Company has made public disclosure thereof;

 

    5

     

    

 

(B) The
Buyers have provided written consent approving the Second Subsequent Closing in whole or in part in their sole discretion; and

 

(C) The
Resale Registration Statement for the Underlying Shares issued or issuable pursuant to the Initial Purchased Securities and the First
Subsequently Purchased Securities shall be effective,

 

the closing (the “Second Subsequent
Closing” and together with the Initial Closing and the First Subsequent Closing, each a “Closing”) of the
purchase of the Second Subsequently Purchased Securities by the Buyers shall occur by electronic transmission or other transmission as
mutually acceptable at 10:00 a.m., New York time, on the first (1st) Business Day on which the conditions to the Closing set forth in
Sections 6 and 7(c) are satisfied or waived (or such other date as is mutually agreed to by the Company and each Buyer) (the “Second
Subsequent Closing Date” and, together with the Initial Closing Date and the First Subsequent Closing Date, each a “Closing
Date”), provided that, in any event, the Second Subsequent Closing Date shall occur no later than the third (3rd)
day following the Second Subsequent Closing Determination Date.

 

(xi) Securities
Purchase Price.  The aggregate purchase price for the Second Subsequently Purchased Securities to be purchased by each Buyer
at the Second Subsequent Closing (the “Second Subsequent Securities Purchase Price”) shall be the amount set forth
opposite such Buyer’s name in column (5) on the Schedule of Buyers (reduced, proportionately, if applicable, to the extent
that the Buyers approved the Second Subsequent Closing in part pursuant to Section 1(a)(x)(B) hereof).

 

(xii) Form of
Payment for Second Subsequently Purchased Securities.  On the Second Subsequent Closing Date, (i) each Buyer shall pay its
respective purchase price to the Company for the Second Subsequently Purchased Securities to be issued and sold to such Buyer at the Second
Subsequent Closing Date set forth opposite such Buyer’s name in column (5) on the Schedule of Buyers (reduced, proportionately,
if applicable, to the extent that the Buyers approved the Second Subsequent Closing in part pursuant to Section 1(a)(x)(B) hereof), by
wire transfer of immediately available funds in accordance with a Flow of Funds Letter with respect to the Second Subsequently Purchased
Securities and (ii) the Company shall:

 

(A) deliver
to each Buyer the aggregate principal amount of Second Subsequently Purchased Notes as is set forth opposite such Buyer’s name in
column (5) of the Schedule of Buyers (reduced, proportionately, if applicable, to the extent that the Buyers approved the Second Subsequent
Closing in part pursuant to Section 1(a)(x)(B) hereof), duly executed on behalf of the Company and registered on the books and records
of the Company in the name of such Buyer or its designee; and

 

(B) deliver
to each Buyer a Second Subsequently Purchased Warrant, exercisable for the aggregate number of Warrant Shares described in Section 1(a)(ix)(B),
duly executed on behalf of the Company and registered on the books and records of the Company in the name of such Buyer or its designee.

 

    6

     

    

 

(b) Purchase
Price Allocation.  Each Buyer and the Company agree that the Notes and the Warrants constitute an “investment unit”
for purposes of Section 1273(c)(2) of the Internal Revenue Code of 1986, as amended (the “Code”). Prior to each Closing,
the Buyers and the Company shall mutually agree to the allocation of the issue price of such investment unit between the Notes and the
Warrants purchased in such Closing, in each case in accordance with Section 1273(c)(2) of the Code and Treasury Regulation Section 1.1273-2(h),
and neither the Buyers nor the Company shall take any position inconsistent with such allocation in any tax return or in any judicial
or administrative proceeding in respect of taxes.

 

		2.	BUYER’S REPRESENTATIONS AND WARRANTIES.

 

Each Buyer, severally and not jointly, represents
and warrants to the Company with respect to only itself that, as of the date hereof and as of the Initial Closing Date, the First Subsequent
Closing Date and the Second Subsequent Closing Date:

 

(a) Organization;
Authority.  Such Buyer is an entity duly organized, validly existing and in good standing under the laws of the jurisdiction
of its organization with the requisite power and authority to enter into and to consummate the transactions contemplated by the Transaction
Documents (as defined below) to which it is a party and otherwise to carry out its obligations hereunder and thereunder.

 

(b) No
Public Sale or Distribution. Such Buyer (i) is acquiring its Purchased Securities, and (ii) upon exercise of, or otherwise in accordance
with, its Purchased Securities will acquire the Underlying Shares issuable upon exercise thereof, or otherwise in accordance therewith,
in each case, for its own account and not with a view towards, or for resale in connection with, the public sale or distribution thereof
in violation of applicable securities laws, except pursuant to sales registered or exempted under the 1933 Act; provided, however, by
making the representations herein, such Buyer does not agree, or make any representation or warranty, to hold any of the Securities for
any minimum or other specific term and reserves the right to dispose of the Securities at any time in accordance with or pursuant to a
registration statement or an exemption from registration under the 1933 Act. Such Buyer does not presently have any agreement or understanding,
directly or indirectly, with any Person to distribute any of the Securities in violation of applicable securities laws. For purposes of
this Agreement, “Person” means an individual, a limited liability company, a partnership, a joint venture, a corporation,
a trust, an unincorporated organization, any other entity and any Governmental Entity (as defined below) or any department or agency thereof.

 

(c) Accredited
Investor Status. At the time such Buyer was offered the Securities, it was and, as of the date hereof, such Buyer is an “accredited
investor” as that term is defined in Rule 501(a) of Regulation D.

 

(d) Reliance
on Exemptions. Such Buyer understands that the Securities are being offered and sold to it in reliance on specific exemptions from
the registration requirements of United States federal and state securities laws and that the Company is relying in part upon the truth
and accuracy of, and such Buyer’s compliance with, the representations, warranties, agreements, acknowledgments and understandings
of such Buyer set forth herein in order to determine the availability of such exemptions and the eligibility of such Buyer to acquire
the Securities.

 

    7

     

    

 

(e) Information.
Such Buyer and its advisors, if any, have been furnished with all materials relating to the business, finances and operations of the Company
and materials relating to the offer and sale of the Securities that have been requested by such Buyer. Such Buyer and its advisors, if
any, have had (i) the opportunity to review the Transaction Documents and the SEC Documents (as defined below) and has been afforded the
opportunity to ask such questions of the Company as it has deemed necessary of, and to receive answers from, representatives of the Company
concerning the terms and conditions of the offering of the Securities and the merits and risks of investing in the Securities; (ii) access
to information about the Company and its financial condition, results of operations, business, properties, management and prospects sufficient
to enable it to evaluate its investment; and (iii) the opportunity to obtain such additional information that the Company possesses or
can acquire without unreasonable effort or expense that is necessary to make an informed investment decision with respect to the investment.
Neither such inquiries nor any other due diligence investigations conducted by such Buyer or its advisors, if any, or its representatives
shall modify, amend or affect such Buyer’s right to rely on the Company’s representations and warranties contained herein.
Such Buyer understands that its investment in the Securities involves a high degree of risk. Such Buyer acknowledges that it can bear
the economic risk and complete loss of its investment in the Securities and has such knowledge and experience in financial or business
matters that it is capable of evaluating the merits and risks of the investment contemplated hereby. Such Buyer did not learn of the investment
in the Securities as a result of any general solicitation or general advertising. Such Buyer has sought such accounting, legal and tax
advice as it has considered necessary to make an informed investment decision with respect to its acquisition of the Securities. Such
Buyer is not relying upon, and has not relied upon, any statement, representation or warranty made by any person, except for statements,
representations and warranties contained in this Agreement, in making its investment or decision to invest in the Company.

 

(f) No
Governmental Review. Such Buyer understands that no United States federal or state agency or any other government or governmental
agency has passed on or made any recommendation or endorsement of the Securities or the fairness or suitability of the investment in the
Securities nor have such authorities passed upon or endorsed the merits of the offering of the Securities.

 

    8

     

    

 

(g) Transfer
or Resale. Such Buyer understands that: (i) the Securities have not been registered under the 1933 Act or any state securities laws,
and may not be offered for sale, sold, assigned or transferred by any Buyer or any other holder of such Securities unless (A) subsequently
registered thereunder, (B) such Buyer shall have delivered to the Company (if requested by the Company) an opinion of counsel, in a form
reasonably acceptable to the Company, to the effect that such Securities to be sold, assigned or transferred may be sold, assigned or
transferred pursuant to an exemption from such registration, or (C) such Buyer provides the Company with reasonable assurance that such
Securities can be sold, assigned or transferred pursuant to Rule 144 or Rule 144A promulgated under the 1933 Act (or a successor rule
thereto) (collectively, “Rule 144”); and (ii) any sale of the Securities made in reliance on Rule 144 may be made only
in accordance with the terms of Rule 144, and further, if Rule 144 is not applicable, any resale of the Securities under circumstances
in which the seller (or the Person through whom the sale is made) may be deemed to be an underwriter (as that term is defined in the 1933
Act) may require compliance with some other exemption under the 1933 Act or the rules and regulations of the SEC promulgated thereunder;
provided, that, from and after the date that is six (6) months following (x) the date hereof with respect to the Initial Purchased Securities,
(y) the First Subsequent Closing Date with respect to the First Subsequently Purchased Securities, and (z) the Second Subsequent Closing
Date with respect to the Second Subsequently Purchased Securities at the request of any Buyer, the Company shall, if the Company is then
in compliance with Section 4(c) hereof, deliver to such Buyer or the Company’s transfer agent, as applicable, an opinion of counsel
to the Company, at the Company’s expense and in a form reasonably acceptable to such Buyer, that (A) adequate public information
with respect to the Company is then available (within the meaning of Rule 144(c)) and (B) that a sale of the Securities may otherwise
be made in accordance with the terms of Rule 144. Notwithstanding the foregoing, the Securities may be pledged in connection with a bona
fide margin account or other loan or financing arrangement secured by the Securities and such pledge of Securities shall not be deemed
to be a transfer, sale or assignment of the Securities hereunder, and no Buyer effecting a pledge of Securities shall be required to provide
the Company with any notice thereof or otherwise make any delivery to the Company pursuant to this Agreement or any other Transaction
Document (as defined in Section 3(b)), including, without limitation, this Section 2(g).

 

(h) Validity;
Enforcement.  This Agreement, the Security Agreements and the Security Documents (as defined in the Security Agreements) have
been duly and validly authorized, executed and delivered on behalf of such Buyer and shall constitute the legal, valid and binding obligations
of such Buyer enforceable against such Buyer in accordance with their respective terms, except as such enforceability may be limited by
general principles of equity or to applicable bankruptcy, insolvency, reorganization, moratorium, liquidation and other similar laws relating
to, or affecting generally, the enforcement of applicable creditors’ rights and remedies.

 

(i) No
Conflicts.  The execution, delivery and performance by such Buyer of this Agreement, the Security Agreements and the Security
Documents and the consummation by such Buyer of the transactions contemplated hereby and thereby will not (i) result in a violation
of the organizational documents of such Buyer, or (ii) conflict with, or constitute a default (or an event which with notice or lapse
of time or both would become a default) under, or give to others any rights of termination, amendment, acceleration or cancellation of,
any agreement, indenture or instrument to which such Buyer is a party, or (iii) result in a violation of any law, rule, regulation,
order, judgment or decree (including federal and state securities laws) applicable to such Buyer, except in the case of clauses (ii) and
(iii) above, for such conflicts, defaults, rights or violations which could not, individually or in the aggregate, reasonably be
expected to have a material adverse effect on the ability of such Buyer to perform its obligations hereunder.

 

    9

     

    

 

(j) Each
Buyer acknowledges and agrees that neither the Company nor any Subsidiary of the Company makes or has made any representations or warranties
with respect to the Company or its Subsidiaries, or transactions contemplated hereby, other than those specifically set forth in Section
3.

 

(k) No
Bad Actor Disqualification Event.  Such Buyer represents, after reasonable inquiry, that none of the “Bad Actor”
disqualifying events described in Rule 506(d)(l)(i) to (viii) under the 1933 Act (a “Disqualification Event”) is applicable
to such Buyer or any of its Rule 506(d) Related Parties (if any). “Rule 506(d) Related Party” means a person or entity
that is a beneficial owner of such Buyer’s securities for purposes of Rule 506(d).

 

		3.	REPRESENTATIONS AND WARRANTIES OF THE COMPANY.

 

The Company represents and warrants to each of
the Buyers that, as of the date hereof and as of the Initial Closing Date, the First Subsequent Closing Date and the Second Subsequent
Closing Date:

 

(a) Organization
and Qualification.  Each of the Company and each of its Subsidiaries are entities duly organized and validly existing and in
good standing under the laws of the jurisdiction in which they are formed, and have the requisite power and authority to own their properties
and to carry on their business as now being conducted.  Each of the Company and each of its Subsidiaries is duly qualified as a foreign
entity to do business and is in good standing in every jurisdiction in which its ownership of property or the nature of the business conducted
by it makes such qualification necessary, except to the extent that the failure to be so qualified or be in good standing would not reasonably
be expected to have a Material Adverse Effect (as defined below).  As used in this Agreement, “Material Adverse Effect”
means any material adverse effect on (i) the business, properties, assets, liabilities, operations (including results thereof) or
condition (financial or otherwise) of the Company or its Subsidiaries, taken as a whole, (ii) the transactions contemplated hereby
or in any of the other Transaction Documents or any other agreements or instruments entered into in connection herewith or therewith or
(iii) the authority or ability of the Company or any of its Subsidiaries to perform any of their respective obligations under any
of the Transaction Documents.  Other than the Persons (as defined below) set forth on Schedule 3(a), the Company has
no significant Subsidiaries within the meaning of Rule 1-02(w) of Regulation S-X.  “Subsidiaries” means
any Person in which the Company, directly or indirectly, (I) owns any of the outstanding capital stock or holds any equity or similar
interest of such Person or (II) controls or operates all or any part of the business, operations or administration of such Person,
and each of the foregoing, is individually referred to herein as a “Subsidiary.”

 

    10

     

    

 

(b) Authorization;
Enforcement; Validity.  The Company has the requisite power and authority to enter into and perform its obligations under this
Agreement and the other Transaction Documents and to issue the Securities in accordance with the terms hereof and thereof.  Each
Subsidiary has the requisite power and authority to enter into and perform its obligations under the Transaction Documents to which it
is a party.  The execution and delivery of this Agreement and the other Transaction Documents by the Company, and the consummation
by the Company and its Subsidiaries of the transactions contemplated hereby and thereby (including, without limitation, the issuance of
the Notes and the Warrants and the reservation for issuance and issuance of the Underlying Shares issuable pursuant to the Warrants),
have been duly authorized by the Company’s board of directors (the “Board of Directors”), and (other than (i)  any
filings as may be required by any state securities agencies and (ii) a Listing of Additional Shares Notification with the Principal
Market (as defined below) (collectively, the “Required Filings”)) no further filing, consent or authorization is required
by the Company, its Subsidiaries, their respective boards of directors or their stockholders or other governing body in connection therewith. 
This Agreement has been, and the other Transaction Documents to which it is a party will be prior to the Initial Closing, duly executed
and delivered by the Company, and each constitutes the legal, valid and binding obligations of the Company, enforceable against the Company
in accordance with its respective terms, except as such enforceability may be limited by general principles of equity or applicable bankruptcy,
insolvency, reorganization, moratorium, liquidation or similar laws relating to, or affecting generally, the enforcement of applicable
creditors’ rights and remedies and except as rights to indemnification and to contribution may be limited by federal or state securities
law.  “Transaction Documents” means, collectively, this Agreement, the Notes, the Warrants, the Security Agreements,
the Security Documents, the Stockholder Agreements, the Irrevocable Transfer Agent Instructions (as defined below) and each of the other
written agreements and instruments entered into or delivered by any of the parties hereto in connection with the transactions contemplated
hereby and thereby, as may be amended from time to time; provided, that, the Transaction Documents shall not include the Term Sheet (as
defined below).

 

(c) Issuance
of Securities.  The issuance of the Securities is duly authorized and when issued and delivered in accordance with the terms
of the Transaction Documents, the Securities shall be validly issued, fully paid and non-assessable and free from all preemptive or similar
rights, mortgages, defects, claims, liens, pledges, charges, taxes, rights of first refusal, encumbrances, security interests and other
encumbrances (collectively “Liens”) with respect to the issuance thereof.  As of the Closing Date with respect
to which this representation is being made, the Company shall have not less than a number of shares of authorized but unissued Common
Stock equal to the sum of (x) 100% of the maximum number of shares of Common Stock as shall be necessary to satisfy the Company’s
obligation to issue shares of Common Stock under the Warrants, reserved for the purposes of issuance pursuant to the Warrants, plus (y)
following the Company's next annual meeting of stockholders, but in no event later than June 30, 2022, an additional ten million (10,000,000)
unreserved shares of Common Stock.  Upon issuance in accordance with the Warrants, the Underlying Shares will be validly issued,
fully paid and nonassessable and free from all preemptive or similar rights or Liens with respect to the issuance thereof, with the holders
being entitled to all rights accorded to a holder of Common Stock. Subject to the accuracy of the representations and warranties of the
Buyers in this Agreement, the offer and issuance by the Company of the Securities is exempt from registration under the 1933 Act.

 

    11

     

    

 

(d) No
Conflicts.  The execution, delivery and performance of the Transaction Documents by the Company and the consummation by the Company
of the transactions contemplated hereby and thereby (including, without limitation, the issuance of the Notes, the Warrants and the Underlying
Shares and the reservation for issuance of the Underlying Shares) will not (i) result in a violation of the Articles of Incorporation
(as defined below), Bylaws (as defined below), certificate of formation, memorandum of association, articles of association, bylaws or
other organizational documents of the Company or any of its Subsidiaries, or any capital stock or other securities of the Company or any
of its Subsidiaries, (ii) conflict with, or constitute a default (or an event which with notice or lapse of time or both would become
a default) in any respect under, or give to others any rights of termination, amendment, acceleration or cancellation of, any agreement,
indenture or instrument to which the Company or any of its Subsidiaries is a party, or (iii) assuming the accuracy of the representations
and warranties in Section 2, result in a violation of any law, rule, regulation, order, judgment or decree (including, without limitation,
foreign, federal and state securities laws and regulations and the rules and regulations of the Nasdaq Capital Market (the “Principal
Market”) and including all applicable foreign, federal and state laws, rules and regulations) applicable to the Company
or any of its Subsidiaries or by which any property or asset of the Company or any of its Subsidiaries is bound or affected, assuming,
with respect to clauses (ii) and (iii) above, the making of the Required Filings and except in the case of clauses (ii) and
(iii) above, for such breaches, violations or conflicts as would not reasonably be expected, individually or in the aggregate, to have
a Material Adverse Effect.

 

(e) Consents. 
Neither the Company nor any Subsidiary is required to obtain any consent from, authorization or order of, or make any filing or registration
with (other than the Required Filings, filings necessary to perfect the Liens granted under the Security Agreements and such consents,
authorizations, filings or registrations the absence of which would not, individually or in the aggregate, reasonably be expected to have
a Material Adverse Effect), any Governmental Entity or any regulatory or self-regulatory agency or any other Person in order for it to
execute, deliver or perform any of its respective obligations under or contemplated by the Transaction Documents, in each case, in accordance
with the terms hereof or thereof.  To the Company’s knowledge, other than the Required Filings, all consents, authorizations,
orders, filings and registrations which the Company or any Subsidiary is required to obtain pursuant to the preceding sentence have been
or will be obtained or effected on or prior to the Initial Closing Date, and neither the Company nor any of its Subsidiaries are aware
of any facts or circumstances which might prevent the Company or any of its Subsidiaries from obtaining or effecting any of the registration,
application or filings contemplated by the Transaction Documents.  The Company is not in violation of the requirements of the Principal
Market and has no knowledge of any facts or circumstances which could reasonably lead to delisting or suspension of the Common Stock. 
“Governmental Entity” means any nation, state, county, city, town, village, district, or other political jurisdiction
of any nature, federal, state, local, municipal, foreign, or other government, governmental or quasi-governmental authority of any nature
(including any governmental agency, branch, department, official, or entity and any court or other tribunal), multi-national organization
or body; or body exercising, or entitled to exercise, any administrative, executive, judicial, legislative, police, regulatory, or taxing
authority or power of any nature or instrumentality of any of the foregoing, including any entity or enterprise owned or controlled by
a government or a public international organization or any of the foregoing.

 

    12

     

    

 

(f) Acknowledgment
Regarding Buyer’s Purchase of Securities.  The Company acknowledges and agrees that each Buyer is acting solely in the
capacity of an arm’s length purchaser with respect to the Transaction Documents and the transactions contemplated hereby and thereby
and that no Buyer is (i) an officer or director of the Company or any of its Subsidiaries, (ii) an “affiliate” (as
defined in Rule 144) of the Company or any of its Subsidiaries or (iii) to its knowledge, a “beneficial owner” of
more than 4.99% of the shares of Common Stock (as defined for purposes of Rule 13d-3 of the Securities Exchange Act of 1934, as amended
(the “1934 Act”)).  The Company further acknowledges that no Buyer is acting as a financial advisor or fiduciary
of the Company or any of its Subsidiaries (or in any similar capacity) with respect to the Transaction Documents and the transactions
contemplated hereby and thereby, and any advice given by a Buyer or any of its representatives or agents in connection with the Transaction
Documents and the transactions contemplated hereby and thereby is merely incidental to such Buyer’s purchase of the Securities. 
The Company further represents to each Buyer that the Company’s and each Subsidiary’s decision to enter into the Transaction
Documents to which it is a party has been based solely on the independent evaluation by the Company, each Subsidiary and their respective
representatives.

 

(g) No
General Solicitation; No Placement Agent.  Neither the Company, nor any of its Subsidiaries or affiliates, nor any Person acting
on its or their behalf, has engaged in any form of general solicitation or general advertising (within the meaning of Regulation D) in
connection with the offer or sale of the Securities. Except for A.G.P./Alliance Global Partners, neither the Company nor any of its Subsidiaries
has engaged any placement agent or other agent in connection with the offer or sale of the Securities. The Company shall pay, and hold
each Buyer harmless against, any liability, loss or expense (including, without limitation, attorney’s fees and reasonable and documented
out-of-pocket expenses) arising in connection with any claim for the payment of any placement agent’s fees, financial advisory fees,
or brokers’ commissions (other than for Persons engaged by any Buyer) relating to or arising out of the transactions contemplated
hereby.

 

(h) No
Integrated Offering.  None of the Company, its Subsidiaries or any of their affiliates, nor any Person acting on their behalf
has, directly or indirectly, made any offers or sales of any security or solicited any offers to buy any security, under circumstances
that would require registration of the issuance of any of the Securities under the 1933 Act, whether through integration with prior offerings
or otherwise, or cause this offering of the Securities to require approval of stockholders of the Company in connection with the offering
of the Securities for purposes of the 1933 Act or under any applicable stockholder approval provisions, including, without limitation,
under the rules and regulations of any exchange or automated quotation system on which any of the securities of the Company are listed
or designated for quotation.  None of the Company, its Subsidiaries, their affiliates nor any Person acting on their behalf has taken
or will take any action or steps that would require registration of the issuance of any of the Securities under the 1933 Act or cause
the offering of any of the Securities to be integrated with other offerings of securities of the Company.

 

(i) Dilutive
Effect.  The Company understands and acknowledges that the number of Underlying Shares will increase in certain circumstances. 
The Company further acknowledges that its obligation to issue the Underlying Shares pursuant to the terms of the Notes and the Warrants
in accordance with this Agreement is absolute and unconditional regardless of the dilutive effect that such issuance may have on the ownership
interests of other stockholders of the Company.

 

(j) Application
of Takeover Protections.  The Company and its Board of Directors have taken or will take prior to the Initial Closing Date all
necessary action, if any, in order to render inapplicable any control share acquisition, interested stockholder, business combination,
poison pill, stockholder rights plan or other similar anti-takeover provision under the Articles of Incorporation, Bylaws or other organizational
documents or the laws of the jurisdiction of its incorporation which is or could become applicable to any Buyer as a result of the
transactions contemplated by this Agreement, including, without limitation, the Company’s issuance of the Securities and any Buyer’s
ownership of the Securities. 

 

    13

     

    

 

(k) Financial
Statements.  Except as set forth on Schedule 3(k), during the one (1) year prior to the date hereof and the Closing Date
with respect to which this representation is being made, the Company has timely filed all reports, schedules, forms, proxy statements,
statements and other documents required to be filed by it with the SEC (other than Section 16 ownership filings) pursuant to the
reporting requirements of the 1934 Act (reports filed in compliance with the time period specified in Rule 12b-25 promulgated under
the 1934 Act shall be considered timely for this purpose) (all of the foregoing filed prior to the date hereof and the Closing Date with
respect to which this representation is being made and all exhibits and appendices included therein and financial statements, notes and
schedules thereto and documents incorporated by reference therein being hereinafter referred to as the “SEC Documents”). 
The Company has delivered or has made available to the Buyers or their respective representatives true, correct and complete copies of
each of the SEC Documents not available on the EDGAR system.  As of their respective dates, the SEC Documents complied in all material
respects with the requirements of the 1934 Act and the rules and regulations of the SEC promulgated thereunder applicable to the
SEC Documents, and none of the SEC Documents, at the time they were filed with the SEC, contained any untrue statement of a material fact
or omitted to state a material fact required to be stated therein or necessary in order to make the statements therein, in the light of
the circumstances under which they were made, not misleading.  As of their respective dates, the financial statements of the Company
included in the SEC Documents complied in all material respects with applicable accounting requirements and the published rules and
regulations of the SEC with respect thereto as in effect as of the time of filing.  Such financial statements have been prepared
in accordance with generally accepted accounting principles (“GAAP”), consistently applied, during the periods involved
(except (i) as may be otherwise indicated in such financial statements or the notes thereto, or (ii) in the case of unaudited
interim statements, to the extent they may exclude footnotes or may be condensed or summary statements) and fairly present in all material
respects the financial position of the Company as of the dates thereof and the results of its operations and cash flows for the periods
then ended (subject, in the case of unaudited statements, to normal year-end audit adjustments which will not be material, either individually
or in the aggregate).  No other information provided by or on behalf of the Company to any of the Buyers which is not included in
the SEC Documents (including, without limitation, information referred to in Section 2(e) of this Agreement or in the disclosure schedules
to this Agreement) contains any untrue statement of a material fact or omits to state any material fact necessary in order to make the
statements therein not misleading, in the light of the circumstance under which they are or were made.  The Company is not currently
contemplating to amend or restate any of the financial statements (including, without limitation, any notes or any letter of the independent
accountants of the Company with respect thereto) included in the SEC Documents (the “Financial Statements”), nor is
the Company currently aware of facts or circumstances which would require the Company to amend or restate any of the Financial Statements,
in each case, in order for any of the Financials Statements to be in material compliance with GAAP and the rules and regulations
of the SEC.  The Company has not been informed by its independent accountants that they recommend that the Company amend or restate
any of the Financial Statements or that there is any need for the Company to amend or restate any of the Financial Statements.

 

    14

     

    

 

(l) Absence
of Certain Changes.  Since the date of the Company’s most recent audited financial statements contained in a Form 10-K,
there has been no Material Adverse Effect.  Since the date of the Company’s most recent audited financial statements contained
in a Form 10-K, neither the Company nor any of its Subsidiaries has (i) declared or paid any dividends, (ii) sold any assets,
individually or in the aggregate, outside of the ordinary course of business, (iii) made any capital expenditures, individually or
in the aggregate, outside of the ordinary course of business or (iv) made any revaluation of any of their respective assets, including,
without limitation, writing down the value of capitalized inventory or writing off notes or accounts receivable or any sale of assets
other than in the ordinary course of business.

 

(m) Insolvency.
 Neither the Company nor any of its Subsidiaries has taken any steps to seek protection pursuant to any law or statute relating to
bankruptcy, insolvency, reorganization, receivership, liquidation or winding up, nor does the Company or any Subsidiary have any knowledge
or reason to believe that any of their respective creditors intend to initiate involuntary bankruptcy proceedings or any actual knowledge
of any fact which would reasonably lead a creditor to do so.  The Company and its Subsidiaries, individually and on a consolidated
basis, are not as of the date hereof and as of the Closing Date with respect to which this representation is being made, and after giving
effect to the transactions contemplated hereby to occur on the Closing Date with respect to which this representation is being made, will
not be Insolvent (as defined below).  For purposes of this Section 3(m), “Insolvent” means, (i) with
respect to the Company and its Subsidiaries, on a consolidated basis, (A) the present fair saleable value of the Company’s
and its Subsidiaries’ assets is less than the amount required to pay the Company’s and its Subsidiaries’ total Indebtedness
(as defined below), (B) the Company and its Subsidiaries are unable to pay their debts and liabilities, subordinated, contingent
or otherwise, as such debts and liabilities become absolute and matured or (C) the Company and its Subsidiaries intend to incur or
believe that they will incur debts that would be beyond their ability to pay as such debts mature; and (ii) with respect to the Company
and each Subsidiary, individually, (A) the present fair saleable value of the Company’s or such Subsidiary’s (as the
case may be) assets is less than the amount required to pay its respective total Indebtedness, (B) the Company or such Subsidiary
(as the case may be) is unable to pay its respective debts and liabilities, subordinated, contingent or otherwise, as such debts and liabilities
become absolute and matured or (C) the Company or such Subsidiary (as the case may be) intends to incur or believes that it will
incur debts that would be beyond its respective ability to pay as such debts mature.

 

(n) Regulatory
Permits.  During the one year prior to the date hereof and prior to the Closing Date with respect to which this representation
is being made, (i) the Common Stock has been listed or designated for quotation on the Principal Market, (ii) trading in the
Common Stock has not been suspended by the SEC or the Principal Market and (iii) the Company has received no communication, written
or oral, from the SEC or the Principal Market regarding the suspension or delisting of the Common Stock from the Principal Market. 
The Company and each of its Subsidiaries possess all material certificates, authorizations and permits issued by the appropriate regulatory
authorities necessary to conduct their respective businesses and neither the Company nor any such Subsidiary has received any notice of
proceedings relating to the revocation or modification of any such certificate, authorization or permit.

 

    15

     

    

 

(o) Foreign
Corrupt Practices.  Neither the Company, any of the Company’s Subsidiaries, nor any director, officer, employee thereof,
nor, to the Company’s knowledge, any agent or any other person acting for or on behalf of the foregoing (individually and collectively,
a “Company Affiliate”) have violated the U.S. Foreign Corrupt Practices Act or any other applicable anti-bribery or
anti-corruption laws (individually and collectively, “Anti-Corruption Laws”), nor, to the Company’s knowledge,
has any Company Affiliate offered, paid, promised to pay, or authorized the payment of any money, or offered, given, promised to give,
or authorized the giving of anything of value, to any officer, employee or any other person acting in an official capacity for any Governmental
Entity to any political party or official thereof or to any candidate for political office (individually and collectively, a “Government
Official”) or to any person under circumstances where such Company Affiliate knew or was aware of a high probability that all
or a portion of such money or thing of value would be offered, given or promised, directly or indirectly, to any Government Official,
for the purpose of:

 

(i) (A) influencing
any act or decision of such Government Official in his/her official capacity, (B) inducing such Government Official to do or omit
to do any act in violation of his/her lawful duty, (C) securing any improper advantage, or (D) inducing such Government Official
to influence or affect any act or decision of any Governmental Entity, or

 

(ii) assisting
the Company or its Subsidiaries in obtaining or retaining business for or with, or directing business to, the Company or its Subsidiaries.

 

Neither of the Company nor any of its Subsidiaries
will use, directly or indirectly, any part of the proceeds of the offering in any manner that would constitute a violation of Anti-Corruption
Laws.

 

(p) Sarbanes-Oxley
Act.  The Company and each of its Subsidiaries is in material compliance with any and all applicable requirements of the
Sarbanes-Oxley Act of 2002, as amended, and any and all applicable rules and regulations promulgated by the SEC thereunder.

 

(q) Transactions
With Affiliates.  Except as set forth on Schedule 3(q), no current or former employee, partner, director, officer or shareholder
(direct or indirect) of the Company or its Subsidiaries, or any associate, or, to the knowledge of the Company, any affiliate of any thereof,
or any immediate family member of any of the foregoing, is presently, or during the one-year period prior to the date with respect to
which this representation is being made, was, (i) a party to any transaction with the Company or its Subsidiaries (including any contract,
agreement or other arrangement providing for the furnishing of services by, or rental of real or personal property from, or otherwise
requiring payments to, any such director, officer or shareholder or such associate or affiliate or relative Subsidiaries (other than for
ordinary course services as employees, officers or directors of the Company or any of its Subsidiaries)) or (ii) the direct or indirect
owner of an interest in any corporation, firm, association or business organization which is a competitor, supplier or customer of the
Company or its Subsidiaries (except for a passive investment (direct or indirect) in less than 5% of the common stock or ordinary shares,
as applicable, of a company whose securities are traded on or quoted through an Eligible Market (as defined below)), nor does any such
Person receive income from any source other than the Company or its Subsidiaries which relates to the business of the Company or its Subsidiaries
or should properly accrue to the Company or its Subsidiaries. Except as set forth on Schedule 3(q), no employee, officer, shareholder
or director of the Company or any of its Subsidiaries or member of his or her immediate family is indebted to the Company or its Subsidiaries,
as the case may be, nor is the Company or any of its Subsidiaries indebted (or committed to make loans or extend or guarantee credit)
to any of them, other than (i) for payment of salary for services rendered, (ii) reimbursement for reasonable expenses incurred on behalf
of the Company or its Subsidiaries, as the case may be, and (iii) for other standard employee benefits made generally available to all
employees or executives (including share option agreements outstanding under any share option plan approved by the Board of Directors
of the Company).

 

    16

     

    

 

(r) Equity
Capitalization.

 

(i) Authorized
and Outstanding Capital Stock.  As of the date of this Agreement and as of the Initial Closing, the authorized capital stock
of the Company consists of (A) 50,000,000 shares of Common Stock, of which, 26,542,890 are issued and outstanding and 6,832,913 shares
are reserved for issuance pursuant to Convertible Securities (as defined below) (other than the Notes and the Warrants) exercisable or
exchangeable for, or convertible into, shares of Common Stock and (B) 3,000,000 shares of Preferred Stock, of which no shares are
issued and outstanding, 105,000 shares of the Preferred Stock are designated Series A Convertible Preferred Stock.  No shares of
Common Stock are held in the treasury of the Company. “Convertible Securities” means any capital stock or other security
of the Company or any of its Subsidiaries that is at any time and under any circumstances directly or indirectly convertible into, exercisable
or exchangeable for, or which otherwise entitles the holder thereof to acquire, any capital stock or other security of the Company (including,
without limitation, Common Stock and any rights, warrants or options to subscribe for or purchase shares of Common Stock or Convertible
Securities (collectively, “Options”)) or any of its Subsidiaries.

 

(ii) Valid
Issuance; Available Shares; Affiliates.  All of the Company’s outstanding shares are duly authorized and have been validly
issued and are fully paid and nonassessable.  Schedule 3(r)(ii) sets forth the number of shares of Common Stock that
are (A) reserved for issuance pursuant to Convertible Securities (other than the Warrants and the Notes) as of the date hereof and
as of the Initial Closing and (B)  as of the date hereof and as of the Initial Closing, owned by Persons who are “affiliates”
(as defined in Rule 405 of the 1933 Act and calculated based on the assumption that only officers, directors and holders of at least
10% of the Company’s issued and outstanding Common Stock are “affiliates” without conceding that any such Persons are
“affiliates” for purposes of federal securities laws) of the Company or any of its Subsidiaries.  To the Company’s
knowledge, as of the date hereof and the Closing Date with respect to which this representation is being made no Person owns 10% or more
of the Company’s issued and outstanding shares of Common Stock (calculated based on the assumption that all Convertible Securities,
whether or not presently exercisable or convertible, have been fully exercised or converted (as the case may be) taking account
of any limitations on exercise or conversion (including “blockers”) contained therein without conceding that such identified
Person is a 10% stockholder for purposes of federal securities laws).

 

    17

     

    

 

(iii) Existing
Securities; Obligations.  Except as set forth on Schedule 3(r)(iii): (A) none of the Company’s or any Subsidiary’s
shares, interests or capital stock is subject to preemptive rights or any other similar rights or Liens suffered or permitted by the Company
or any Subsidiary; (B) other than stock options and restricted stock awarded to employees, directors and consultants of the Company
under equity incentive plans adopted by the Board of Directors of the Company and described in the SEC Documents, there are no outstanding
options, warrants, scrip, rights to subscribe to, calls or commitments of any character whatsoever relating to, or securities or rights
convertible into, or exercisable or exchangeable for, any shares, interests or capital stock of the Company or any of its Subsidiaries,
or contracts, commitments, understandings or arrangements by which the Company or any of its Subsidiaries is or may become bound to issue
additional shares, interests or capital stock of the Company or any of its Subsidiaries or options, warrants, scrip, rights to subscribe
to, calls or commitments of any character whatsoever relating to, or securities or rights convertible into, or exercisable or exchangeable
for, any shares, interests or capital stock of the Company or any of its Subsidiaries; (C) there are no agreements or arrangements
under which the Company or any of its Subsidiaries is obligated to register the sale of any of their securities under the 1933 Act; (D) there
are no outstanding securities or instruments of the Company or any of its Subsidiaries which contain any redemption or similar provisions,
and there are no contracts, commitments, understandings or arrangements by which the Company or any of its Subsidiaries is or may become
bound to redeem a security of the Company or any of its Subsidiaries; (E) there are no securities or instruments containing anti-dilution
or similar provisions that will be triggered by the issuance of the Securities; and (F) neither the Company nor any Subsidiary has
any stock appreciation rights or “phantom stock” plans or agreements or any similar plan or agreement.

 

(iv) Organizational
Documents.  The Company has furnished to the Buyers true, correct and complete copies of the Company’s Articles of Incorporation,
as amended and as in effect on the date hereof (the “Articles of Incorporation”) and the Company’s bylaws, as
amended and as in effect on the date hereof and the Closing Date with respect to which this representation is being made (the “Bylaws”),
and the terms of all Convertible Securities and the material rights of the holders thereof in respect thereto.

 

    18

     

    

 

(s) Indebtedness
and Other Contracts.  Except as set forth on Schedule 3(s), neither the Company nor any of its Subsidiaries (i) has
any outstanding debt securities, notes, credit agreements, credit facilities or other agreements, documents or instruments evidencing
Indebtedness of the Company or any of its Subsidiaries or by which the Company or any of its Subsidiaries is or may become bound, (ii) has
any financing statements securing obligations in any amounts filed against the Company or any of its Subsidiaries or with respect to any
of their respective assets; (iii) is in violation of any term of, or in default under, any contract, agreement or instrument relating
to any Indebtedness, except where such violations and defaults would not result, individually or in the aggregate, in a Material Adverse
Effect, or (iv) is a party to any contract, agreement or instrument relating to any Indebtedness, the performance of which, in the
judgment of the Company’s officers, has or is expected to have a Material Adverse Effect.  Neither the Company nor any of its
Subsidiaries have any liabilities or obligations required to be disclosed in the SEC Documents which are not so disclosed in the SEC Documents,
other than those incurred in the ordinary course of the Company’s or its Subsidiaries’ respective businesses consistent with
past practices and which, individually or in the aggregate, do not or could not have a Material Adverse Effect.  For purposes of
this Agreement:  (x) “Indebtedness” of any Person means, without duplication, (A) all indebtedness for
borrowed money, (B) all obligations issued, undertaken or assumed as the deferred purchase price of property or services (including,
without limitation, “capital leases” in accordance with GAAP) (other than trade payables entered into in the ordinary course
of business consistent with past practice), (C) all reimbursement or payment obligations with respect to letters of credit, surety
bonds and other similar instruments, (D) all obligations evidenced by notes, bonds, debentures or similar instruments, including
obligations so evidenced incurred in connection with the acquisition of property, assets or businesses, (E) all indebtedness created
or arising under any conditional sale or other title retention agreement, or incurred as financing, in either case with respect to any
property or assets acquired with the proceeds of such indebtedness (even though the rights and remedies of the seller or bank under such
agreement in the event of default are limited to repossession or sale of such property), (F) all monetary obligations under any leasing
or similar arrangement which, in connection with GAAP, consistently applied for the periods covered thereby, is classified as a capital
lease, (G) all indebtedness referred to in clauses (A) through (F) above secured by (or for which the holder of such Indebtedness
has an existing right, contingent or otherwise, to be secured by) any Lien upon or in any property or assets (including accounts and contract
rights) owned by any Person, even though the Person which owns such assets or property has not assumed or become liable for the payment
of such indebtedness, and (H) all Contingent Obligations in respect of indebtedness or obligations of others of the kinds referred
to in clauses (A) through (G) above; and (y) “Contingent Obligation” means, as to any Person, any direct
or indirect liability, contingent or otherwise, of that Person with respect to any Indebtedness, lease, dividend or other obligation of
another Person if the primary purpose or intent of the Person incurring such liability, or the primary effect thereof, is to provide assurance
to the obligee of such liability that such liability will be paid or discharged, or that any agreements relating thereto will be complied
with, or that the holders of such liability will be protected (in whole or in part) against loss with respect thereto.

 

(t) Litigation. 
There is no material action, suit, arbitration, proceeding, or, to the knowledge of the Company, inquiry or investigation before or by
the Principal Market, any court, public board, other Governmental Entity, self-regulatory organization or body pending or, to the knowledge
of the Company, threatened against or affecting the Company or any of its Subsidiaries, the Common Stock or any of the Company’s
or its Subsidiaries’ officers or directors, whether of a civil or criminal nature or otherwise, in their capacities as such, except
as set forth in Schedule 3(t).  To the knowledge of the Company, no director, officer or employee of the Company or any of
its Subsidiaries has willfully violated 18 U.S.C. §1519 or engaged in spoliation in reasonable anticipation of litigation. 
Without limitation of the foregoing, there has not been, and to the knowledge of the Company, there is not pending, contemplated or anticipated,
any inquiry or investigation by the SEC involving the Company, any of its Subsidiaries or any current or former director or officer of
the Company or any of its Subsidiaries.  The SEC has not issued any stop order or other order suspending the effectiveness of any
registration statement filed by the Company under the 1933 Act or the 1934 Act.  After reasonable inquiry of its officers (as defined
in Rule 16a-1(f) promulgated under the 1934 Act) and members of its Board of Directors, the Company is not aware of any fact
which might result in or form the basis for any such action, suit, arbitration, investigation, inquiry or other proceeding.  Neither
the Company nor any of its Subsidiaries is subject to any order, writ, judgment, injunction, decree, determination or award of any Governmental
Entity.

 

    19

     

    

 

(u) Insurance. 
The Company and each of its Subsidiaries are insured by insurers of recognized financial responsibility against such losses and risks
and in such amounts as management of the Company believes to be prudent and customary in the businesses in which the Company and its Subsidiaries
are engaged. Neither the Company nor any of its Subsidiaries has been refused any insurance coverage sought or applied for, and neither
the Company nor any of its Subsidiaries has any reason to believe that it will be unable to renew its existing insurance coverage as and
when such coverage expires or to obtain similar coverage from similar insurers as may be necessary to continue its business at a cost
that would not have a Material Adverse Effect.

 

(v) Employee
Relations.  Neither the Company nor any of its Subsidiaries is a party to any collective bargaining agreement or employs any
member of a union.  The Company and its Subsidiaries believe that their relations with their employees are good.  No executive
officer (as defined in Rule 501(f) promulgated under the 1933 Act) or other key employee of the Company or any of its Subsidiaries
has notified the Company or any such Subsidiary that such officer intends to leave the Company or any such Subsidiary or otherwise terminate
such officer’s employment with the Company or any such Subsidiary.  To the knowledge of the Company, no executive officer or
other key employee of the Company or any of its Subsidiaries is, or is now expected to be, in violation of any material term of any employment
contract, confidentiality, disclosure or proprietary information agreement, non-competition agreement, or any other contract or agreement
or any restrictive covenant, and the continued employment of each such executive officer or other key employee (as the case may be) does
not subject the Company or any of its Subsidiaries to any liability with respect to any of the foregoing matters.  The Company and
its Subsidiaries are in material compliance with all applicable federal, state, local and foreign laws and regulations respecting labor,
employment and employment practices and benefits, terms and conditions of employment and wages and hours, except where failure to be in
compliance would not, either individually or in the aggregate, reasonably be expected to result in a Material Adverse Effect.

 

(w) Title.
Each of the Company and its Subsidiaries holds good title to, or a valid leasehold interests in, all real property, leases in real property,
facilities or other interests in real property owned or held by the Company or any of its Subsidiaries that is material to the business
of the Company (the “Real Property”).  The Real Property is free and clear of all Liens and is not subject to
any rights of way, building use restrictions, exceptions, variances, reservations, or limitations of any nature except for (a) Liens
for current taxes not yet due, (b) zoning laws and other land use restrictions that do not impair the present or anticipated use
of the property subject thereto,(c) those that are not likely, individually or in the aggregate, to result in a Material Adverse
Effect, and (d) other Permitted Liens (as defined in the Senior Convertible Notes).  Any Real Property held under lease by the Company
or any of its Subsidiaries are held by them under valid, subsisting and enforceable leases with such exceptions as are not material and
do not interfere in any material respect with the use made and proposed to be made of such property and buildings by the Company or any
of its Subsidiaries.

 

    20

     

    

 

(x)   Fixtures
and Equipment. Each of the Company and its Subsidiaries (as applicable) has good title to, or a valid leasehold interest in,
the tangible personal property, equipment, improvements, fixtures, and other personal property and appurtenances that are used by the
Company and its Subsidiaries to conduct their respective businesses (the “Fixtures and Equipment”). The Fixtures and
Equipment are structurally sound, are in good operating condition and repair (ordinary wear and tear excepted), are adequate for the
uses to which they are being put, are not in need of maintenance or repairs except for ordinary, routine maintenance and repairs and
are sufficient for the conduct of the Company’s and/or its Subsidiaries’ businesses (as applicable) in the manner as conducted
prior to the date hereof and the Closing Date with respect to which this representation is being made. Except as set forth on Schedule
3(x), each of the Company and its Subsidiaries owns all of its Fixtures and Equipment free and clear of all Liens except for (i)
Liens for current taxes not yet due,(ii) zoning laws and other land use restrictions that do not impair the present or anticipated use
of the property subject thereto and (iii) other Permitted Liens (as defined in the Senior Convertible Notes).

 

(y)   Intellectual
Property Rights. The Company and its Subsidiaries own or possess adequate rights or licenses to use all trademarks, trade names,
service marks, service mark registrations, service names, original works of authorship, patents, patent rights, copyrights, inventions,
licenses, approvals, governmental authorizations, trade secrets and other intellectual property rights and all applications and registrations
therefor (“Intellectual Property Rights”) necessary to conduct their respective businesses as now conducted. 
The Company does not have any knowledge of any infringement by the Company or its Subsidiaries of Intellectual Property Rights of others. 
There is no claim, action or proceeding being made or brought, or to the knowledge of the Company or any of its Subsidiaries, being threatened,
against the Company or any of its Subsidiaries regarding its Intellectual Property Rights, except where such claim, action or proceeding
is not reasonably likely to result in a Material Adverse Effect. Neither the Company nor any of its Subsidiaries has received any
notice alleging any such infringement or claim, action or proceeding.

 

(z)   Environmental
Laws. (i) The Company and its Subsidiaries (A) are in compliance with any and all Environmental Laws (as defined
below), (B) have received all permits, licenses or other approvals required of them under applicable Environmental Laws to conduct
their respective businesses and (C) are in compliance with all terms and conditions of any such permit, license or approval where,
except in each of the foregoing clauses (A), (B) and (C), where the failure to so comply or having such permits, licenses or other
approval would not reasonably be expected to have, individually or in the aggregate, a Material Adverse Effect. The term “Environmental
Laws” means all federal, state, local or foreign laws or regulations relating to pollution or protection of human health or
the environment (including, without limitation, ambient air, surface water, groundwater, land surface or subsurface strata), including,
without limitation, laws relating to emissions, discharges, releases or threatened releases of chemicals, pollutants, contaminants, or
toxic or hazardous materials, substances or wastes (collectively, “Hazardous Materials”) into the environment, or
otherwise relating to the manufacture, processing, distribution, use, treatment, storage, disposal, transport or handling of, or exposure
to, Hazardous Materials, as well as all authorizations, codes, decrees, demands or demand letters, injunctions, judgments, licenses,
notices or notice letters, orders, permits, plans or regulations issued, entered, promulgated or approved thereunder.

 

    21

     

    

 

(i)   No
Hazardous Materials:

 

(A)   to
the Company’s knowledge, have been disposed of or otherwise released from any Real Property of the Company or any of its Subsidiaries
in violation of any Environmental Laws; or

 

(B)   to
the Company’s knowledge, are present on, over, beneath, in or upon any Real Property or any portion thereof in quantities that
would constitute a violation of any Environmental Laws or in quantities, a manner or location that would reasonably be expected to require
remedial action pursuant to any Environmental Laws. No prior use by the Company or any of its Subsidiaries of any Real Property
has occurred that violates any Environmental Laws, which violation would have a Material Adverse Effect on the business of the Company
or any of its Subsidiaries.

 

(ii)   To
the Company’s knowledge, neither the Company nor any of its Subsidiaries knows of any other Person that has stored, treated, recycled,
disposed of or otherwise located on any Real Property any Hazardous Materials, including, without limitation, such substances as asbestos
and polychlorinated biphenyls.

 

(iii)   To
the knowledge of the Company, none of the Real Property is on any federal or state “Superfund” list or Comprehensive Environmental
Response, Compensation and Liability Information System (“CERCLIS”) list or any state environmental agency list of
sites under consideration for CERCLIS, nor subject to any environmental related Liens.

 

(iv)   Neither
the Company nor its Subsidiaries is subject to any pending or, to the knowledge of the Company and its Subsidiaries, threatened claim
or proceeding to any Environmental Laws, except for any claims or proceeding that would not reasonably be expected to have, individually
or in the aggregate, a Material Adverse Effect.

 

(aa) Tax
Status. Except as set forth on Schedule 3(aa), the Company and each of its Subsidiaries (i) has timely made or filed all
foreign, federal and state income and all other tax returns, reports and declarations required by any jurisdiction to which it is subject
through the date of this Agreement or have requested extensions thereof (except where the failure to file would not, individually or
in the aggregate, have a Material Adverse Effect) and (ii) has timely paid all taxes and other governmental assessments and charges
shown or determined to be due on such returns, reports and declarations, except those being contested in good faith and for which reserves
required by GAAP have been created in the financial statements of the Company or for cases in which the failure to pay would not have
a Material Adverse Effect. There is no tax deficiency that has been determined adversely to the Company or any of its Subsidiaries
which has had a Material Adverse Effect, nor does the Company or its Subsidiaries have any knowledge or notice of any tax deficiency
which could reasonably be expected to be determined adversely to the Company or its Subsidiaries and which could reasonably be expected
to have a Material Adverse Effect.

 

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(bb) Internal
Accounting and Disclosure Controls. The Company and each of its Subsidiaries maintains internal control over financial reporting
(as such term is defined in Rule 13a-15(f) under the 1934 Act) that is effective to provide reasonable assurance regarding
the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with GAAP, including
that (i) transactions are executed in accordance with management’s general or specific authorizations, (ii) transactions
are recorded as necessary to permit preparation of financial statements in conformity with GAAP and to maintain asset and liability accountability,
(iii) access to assets or incurrence of liabilities is permitted only in accordance with management’s general or specific
authorization and (iv) the recorded accountability for assets and liabilities is compared with the existing assets and liabilities
at reasonable intervals and appropriate action is taken with respect to any difference. Except as set forth on Schedule 3(bb),
the Company maintains disclosure controls and procedures (as such term is defined in Rule 13a-15(e) under the 1934 Act) that
are effective in ensuring that information required to be disclosed by the Company in the reports that it files or submits under the
1934 Act is recorded, processed, summarized and reported, within the time periods specified in the rules and forms of the SEC, including,
without limitation, controls and procedures designed to ensure that information required to be disclosed by the Company in the reports
that it files or submits under the 1934 Act is accumulated and communicated to the Company’s management, including its principal
executive officer or officers and its principal financial officer or officers, as appropriate, to allow timely decisions regarding required
disclosure. Since the filing of the Annual Report on Form 10-K for the year ended December 31, 2019, neither the Company nor any
of its Subsidiaries has received any notice or correspondence from any accountant, Governmental Entity or other Person relating to any
potential material weakness or significant deficiency in any part of the internal controls over financial reporting of the Company or
any of its Subsidiaries.

 

(cc) Off
Balance Sheet Arrangements. There is no transaction, arrangement, or other relationship between the Company or any of its Subsidiaries
and an unconsolidated or other off balance sheet entity that is required to be disclosed by the Company in its 1934 Act filings and is
not so disclosed or that otherwise could be reasonably likely to have a Material Adverse Effect.

 

(dd) Investment
Company Status. The Company is not, and upon consummation of the sale of the Securities and the application of the proceeds
thereof, will not be, an “investment company,” or a company controlled by an “investment company” as such
term is defined in the Investment Company Act of 1940, as amended.

 

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(ee) Acknowledgement
Regarding Buyers’ Trading Activity. It is understood and acknowledged by the Company that (i) following the public
disclosure of the transactions contemplated by the Transaction Documents in the Press Release (as defined below), none of the Buyers
have been asked by the Company or any of its Subsidiaries to agree, nor has any Buyer agreed with the Company or any of its Subsidiaries,
to desist from effecting any transactions in or with respect to (including, without limitation, purchasing or selling, long and/or short)
any securities of the Company, or “derivative” securities based on securities issued by the Company or to hold any of the
Securities for any specified term; (ii) any Buyer, and counterparties in “derivative” transactions to which any such Buyer
is a party, directly or indirectly, presently may have a “short” position in the Common Stock which was established prior
to such Buyer’s knowledge of the transactions contemplated by the Transaction Documents; (iii) each Buyer shall not be deemed
to have any affiliation with or control over any arm’s length counterparty in any “derivative” transaction; and (iv) each
Buyer may rely on the Company’s obligation to timely deliver shares of Common Stock as and when required pursuant to the Transaction
Documents for purposes of effecting trading in the Common Stock of the Company. The Company further understands and acknowledges
that following the public disclosure of the transactions contemplated by the Transaction Documents pursuant to the Press Release one
or more Buyers may engage in hedging and/or trading activities (including, without limitation, the location and/or reservation of borrowable
shares of Common Stock) at various times prior to or during the period that the Securities are outstanding, including, without limitation,
during the periods that the value and/or number of the Underlying Shares deliverable with respect to the Securities are being determined
and such hedging and/or trading activities (including, without limitation, the location and/or reservation of borrowable shares of Common
Stock), if any, can reduce the value of the existing stockholders’ equity interest in the Company both at and after the time the
hedging and/or trading activities are being conducted. The Company acknowledges that such aforementioned hedging and/or trading activities
do not constitute a breach of this Agreement, the Notes, the Warrants or any other Transaction Document or any of the documents executed
in connection herewith or therewith.

 

(ff) Manipulation
of Price. Neither the Company nor any of its Subsidiaries has, and, to the knowledge of the Company, no Person acting on their
behalf has, directly or indirectly, (i) taken any action designed to cause or to result in the stabilization or manipulation of
the price of any security of the Company or any of its Subsidiaries to facilitate the sale or resale of any of the Securities, (ii) sold,
bid for, purchased, or paid any compensation for soliciting purchases of, any of the Securities, (iii) paid or agreed to pay to
any Person any compensation for soliciting another to purchase any other securities of the Company or any of its Subsidiaries or (iv) paid
or agreed to pay any Person for research services with respect to any securities of the Company or any of its Subsidiaries.

 

(gg) U.S.
Real Property Holding Corporation. Neither the Company nor any of its Subsidiaries is, or has ever been, and so long as any
of the Securities are held by any of the Buyers, shall become, a U.S. real property holding corporation within the meaning of Section 897
of the Code, and the Company and each Subsidiary shall so certify upon any Buyer’s request.

 

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(hh) Transfer
Taxes. All stock transfer or other taxes (other than income or similar taxes) which are required to be paid in connection with
the issuance, sale and transfer of the Securities to be sold to each Buyer hereunder will be, or will have been, fully paid or provided
for by the Company, and all laws imposing such taxes will be or will have been complied with; provided that the Company shall not be
required to pay any tax that may be payable in respect of any transfer involved in the issuance and delivery of any Underlying Shares
pursuant to the Warrants, in a name other than that of the Buyer of such Warrants or Notes, and the Company shall not be required to
issue or deliver such Underlying Shares unless or until the Person or Persons requesting the issuance thereof shall have paid to the
Company the amount of such tax or shall have established to the satisfaction of the Company that such tax has been paid.

 

(ii)   Bank
Holding Company Act. Neither the Company nor any of its Subsidiaries is subject to the Bank Holding Company Act of 1956, as
amended (the “BHCA”) and to regulation by the Board of Governors of the Federal Reserve System (the “Federal
Reserve”). Neither the Company nor any of its Subsidiaries owns or controls, directly or indirectly, five percent (5%)
or more of the outstanding shares of any class of voting securities or twenty-five percent (25%) or more of the total equity of a bank
or any entity that is subject to the BHCA and to regulation by the Federal Reserve. Neither the Company nor any of its Subsidiaries
exercises a controlling influence over the management or policies of a bank or any entity that is subject to the BHCA and to regulation
by the Federal Reserve.

 

(jj) Shell
Company Status. The Company is not, and has never been, an issuer identified in, or subject to, Rule 144(i).

 

(kk) Illegal
or Unauthorized Payments; Political Contributions. Neither the Company nor any of its Subsidiaries nor, to the best of the
Company’s knowledge (after reasonable inquiry of its officers and directors), any of the officers, directors, employees, agents
or other representatives of the Company or any of its Subsidiaries or affiliates, has, directly or indirectly, made or authorized any
payment, contribution or gift of money, property, or services, whether or not in contravention of applicable law, (i) as a kickback
or bribe to any Person or (ii) to any political organization, or the holder of or any aspirant to any elective or appointive public
office to influence official action or secure an improper advantage, except for personal political contributions not involving the direct
or indirect use of funds of the Company or any of its Subsidiaries.

 

(ll) Money
Laundering. The operations of the Company and its Subsidiaries are and have been conducted at all times in material compliance
with the USA Patriot Act of 2001 and all other applicable U.S. and non-U.S. anti-money laundering laws and regulations.

 

(mm) Sanctions. 
None of the Company, any of its Subsidiaries or any director, officer, employee or, to the knowledge of the Company and its Subsidiaries,
agent or other person acting for or on behalf of the foregoing is the subject or target of any economic or financial sanctions imposed,
administered or enforced by the United States (including the U.S. Department of the Treasury Office of Foreign Assets Control and the
U.S. Department of State) or other relevant sanctions authority (collectively, “Sanctions” and each such Person, a
“Sanctioned Person”). The operations of the Company and its Subsidiaries are, and have been conducted within the past
five (5) years, in compliance with applicable Sanctions. Neither the Company nor any of its Subsidiaries will, directly or indirectly,
use any part of the proceeds of this offering, or lend, contribute or otherwise make available such proceeds to any subsidiary, joint
venture partner or other Person, to fund or facilitate any dealings or transactions with, involving or for the benefit of any Sanctioned
Person, or otherwise in any manner that would constitute or give rise to a violation of any Sanctions by any Person (including any Person
participating in the offering, whether as buyer, underwriter, advisor, investor or otherwise).

 

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(nn) Management. 
During the past one year period, no current or former officer or director, to the knowledge of the Company, has been the subject of:

 

(i)   a
petition under bankruptcy laws or any other insolvency or moratorium law or the appointment by a court of a receiver, fiscal agent or
similar officer for such Person, or any partnership in which such person was a general partner at or within two years before the filing
of such petition or such appointment, or any corporation or business association of which such person was an executive officer at or
within two years before the time of the filing of such petition or such appointment;

 

(ii)   a
conviction in a criminal proceeding or a named subject of a pending criminal proceeding (excluding traffic violations that do not relate
to driving while intoxicated or driving under the influence);

 

(iii)   any
order, judgment or decree, not subsequently reversed, suspended or vacated, of any court of competent jurisdiction, permanently or temporarily
enjoining any such person from, or otherwise limiting, the following activities:

 

(1)   Acting
as a futures commission merchant, introducing broker, commodity trading advisor, commodity pool operator, floor broker, leverage transaction
merchant, any other person regulated by the United States Commodity Futures Trading Commission or an associated person of any of the
foregoing, or as an investment adviser, underwriter, broker or dealer in securities, or as an affiliated person, director or employee
of any investment company, bank, savings and loan association or insurance company, or engaging in or continuing any conduct or practice
in connection with such activity;

 

(2)   Engaging
in any particular type of business practice; or

 

(3)   Engaging
in any activity in connection with the purchase or sale of any security or commodity or in connection with any violation of securities
laws or commodities laws;

 

(iv)   any
order, judgment or decree, not subsequently reversed, suspended or vacated, of any authority barring, suspending or otherwise limiting
for more than sixty (60) days the right of any such person to engage in any activity described in the preceding sub paragraph, or to
be associated with persons engaged in any such activity;

 

(v)   a
finding by a court of competent jurisdiction in a civil action or by the SEC or other authority to have violated any securities law,
regulation or decree and the judgment in such civil action or finding by the SEC or any other authority has not been subsequently reversed,
suspended or vacated; or

 

(vi)   a
finding by a court of competent jurisdiction in a civil action or by the Commodity Futures Trading Commission to have violated any federal
commodities law, and the judgment in such civil action or finding has not been subsequently reversed, suspended or vacated.

 

(oo)   Stock
Option Plans. Each stock option granted by the Company was granted (i) in accordance with the terms of the applicable
stock option plan of the Company and (ii) with an exercise price at least equal to the fair market value of the Common Stock on
the date such stock option would be considered granted under GAAP and applicable law. To the Company’s knowledge, no stock
option granted under the Company’s stock option plan has been backdated. The Company has not knowingly granted, and there
is no and has been no policy or practice of the Company to knowingly grant, stock options prior to, or otherwise knowingly coordinate
the grant of stock options with, the release or other public announcement of material information regarding the Company or its Subsidiaries
or their financial results or prospects.

 

    26

     

    

 

(pp) Cybersecurity. 
The information technology assets and equipment, computers, systems, networks, hardware, software, websites, applications, and databases
used or owned by, or leased or licensed to, the Company or any of its Subsidiaries (collectively, “IT Systems”) are
adequate for, and operate and perform in all material respects as required in connection with the operation of the business of the Company
and its Subsidiaries as currently conducted, to the Company’s knowledge, free and clear of all material bugs, errors, defects,
Trojan horses, time bombs, malware and other corruptants. The Company and its Subsidiaries have implemented and maintained commercially
reasonable physical, technical and administrative controls, policies, procedures, and safeguards to maintain and protect their material
confidential information and the integrity, continuous operation, redundancy and security of all IT Systems and data, including “Personal
Data,” used in connection with their businesses. “Personal Data” means (i) a natural person’s name, street
address, telephone number, e-mail address, photograph, social security number or tax identification number, driver’s license number,
passport number, credit card number, bank information, or customer or account number; (ii) any information which would qualify as “personally
identifying information” under the Federal Trade Commission Act, as amended; (iii) any information which would qualify as “protected
health information” under the Health Insurance Portability and Accountability Act of 1996, as amended by the Health Information
Technology for Economic and Clinical Health Act (collectively, “HIPAA”); and (iv) any other piece of information that
allows the identification of such natural person, or his or her family, or permits the collection or analysis of any data related to
an identified person’s health or sexual orientation. To the Company’s knowledge, there have been no breaches, violations,
outages or unauthorized uses of or accesses to same, except for those that have been remedied without material cost or liability or the
duty to notify any other person, nor any incidents under internal review or investigations relating to the same. The Company and its
Subsidiaries are presently in material compliance with all applicable laws or statutes and all judgments, orders, rules and regulations
of any court or arbitrator or governmental or regulatory authority, internal policies and contractual obligations relating to the privacy
and security of IT Systems and Personal Data and to the protection of such IT Systems and Personal Data from unauthorized use, access,
misappropriation or modification.

 

(qq) Compliance
with Data Privacy Laws. The Company and its Subsidiaries are, and at all prior times were, in material compliance with all
applicable state and federal data privacy and security laws and regulations, including without limitation HIPAA (collectively, the “Privacy
Laws”) and, to the Company’s knowledge, the Company and its Subsidiaries are not subject to any material requirements
of the European Union General Data Protection Regulation (EU 2016/679). To ensure compliance with the Privacy Laws, the Company and its
Subsidiaries have in place, comply with, and take appropriate steps reasonably designed to ensure compliance in all material respects
with their policies and procedures relating to data privacy and security and the collection, storage, use, disclosure, handling, and
analysis of Personal Data (the “Policies”). The Company and its Subsidiaries have at all times made all disclosures
to users or customers required by applicable laws and regulatory rules or requirements, and none of such disclosures made or contained
in any Policy have, to the knowledge of the Company, been inaccurate or in violation of any applicable laws and regulatory rules or requirements
in any material respect. Neither the Company nor any Subsidiary: (i) has received notice of any actual or potential liability under or
relating to, or actual or potential violation of, any of the Privacy Laws, and has no knowledge of any event or condition that would
reasonably be expected to result in any such notice; (ii) is currently conducting or paying for, in whole or in part, any investigation,
remediation, or other corrective action pursuant to any Privacy Law; or (iii) is a party to any order, decree, or agreement that imposes
any obligation or liability under any Privacy Law.

 

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(rr) No
Disqualification Event. With respect to Securities to be offered and sold hereunder in reliance on Rule 506(b) under the 1933
Act (“Regulation D Securities”), none of the Company, any of its predecessors, any affiliated issuer, any director,
executive officer, other officer of the Company participating in the offering contemplated hereby, or, to the Company’s knowledge,
any beneficial owner of 20% or more of the Company’s outstanding voting equity securities, calculated on the basis of voting power,
nor any promoter (as that term is defined in Rule 405 under the 1933 Act) connected with the Company in any capacity at the time of sale
(each, an “Issuer Covered Person” and, together, “Issuer Covered Persons”) is subject to any Disqualification
Event, except for a Disqualification Event covered by Rule 506(d)(2) or (d)(3). The Company has exercised reasonable care to determine
whether any Issuer Covered Person is subject to a Disqualification Event. The Company has complied, to the extent applicable, with its
disclosure obligations under Rule 506(e), and has furnished to the Buyers a copy of any disclosures provided thereunder.

 

(ss) Other
Covered Persons. The Company is not aware of any Person that has been or will be paid (directly or indirectly) remuneration
for solicitation of Buyers or potential purchasers in connection with the sale of any Regulation D Securities.

 

(tt) Margin
Stock. The application of the proceeds received by the Company from the issuance, sale and delivery of the Notes as described
in the Transaction Documents will not violate Regulation T, U or X of the Board of Governors of the Federal Reserve system or any other
regulation of such Board of Governors.

 

(uu) Disclosure. 
The Company confirms that neither it nor any other Person acting on its behalf has provided any of the Buyers or their agents or counsel
with any information that constitutes or could reasonably be expected to constitute material, non-public information concerning the Company
or any of its Subsidiaries, other than the existence of the transactions contemplated by this Agreement and the other Transaction Documents. 
The Company understands and confirms that each of the Buyers have relied on and will rely on the foregoing representations in effecting
transactions in securities of the Company. All disclosure provided in this Agreement and the other Transaction Documents to the
Buyers regarding the Company and its Subsidiaries, their businesses and the transactions contemplated hereby, including the schedules
to this Agreement, furnished by or on behalf of the Company or any of its Subsidiaries is true and correct and does not contain any untrue
statement of a material fact or omit to state any material fact necessary in order to make the statements made therein, in the light
of the circumstances under which they were made, not misleading. All of the written information furnished after the date hereof
by or on behalf of the Company or any of its Subsidiaries to each Buyer pursuant to or in connection with this Agreement and the other
Transaction Documents, taken as a whole, will be true and correct in all material respects as of the date on which such information is
so provided and will not contain any untrue statement of a material fact or omit to state any material fact necessary in order to make
the statements made therein, in the light of the circumstances under which they were made, not misleading. The Company acknowledges
and agrees that no Buyer makes or has made any representations or warranties with respect to the transactions contemplated hereby other
than those specifically set forth in Section 2. Except for the representations and warranties contained in this Section 3 (including
the related portions of the disclosure schedules), neither the Company nor any other Person has made or makes any other express or implied
representation or warranty, either written or oral, on behalf of the Company or any Subsidiary of the Company.

 

(vv) No
Additional Agreements. The Company does not have any agreement or understanding with any Buyer with respect to the transactions
contemplated by the Transaction Documents other than as specified in the Transaction Documents.

 

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		4.	COVENANTS.

 

(a)   Best
Efforts. Each Buyer shall use reasonable best efforts to timely satisfy each of the covenants hereunder and conditions to be
satisfied by it as provided in Section 6 of this Agreement. The Company shall use reasonable best efforts to timely satisfy
each of the covenants hereunder and conditions to be satisfied by it as provided in Section 7 of this Agreement.

 

(b)   Blue
Sky. The Company shall, on or before the Initial Closing Date take such action as the Company shall reasonably determine is
necessary in order to obtain an exemption for, or to, qualify the Securities for sale to the Buyers at the Initial Closing, First Subsequent
Closing and Second Subsequent Closing pursuant to this Agreement under applicable securities or “Blue Sky” laws of the states
of the United States (or to obtain an exemption from such qualification), and shall provide evidence of any such action so taken to the
Buyers on or prior to the Initial Closing Date. Without limiting any other obligation of the Company under this Agreement, the
Company shall timely make all filings and reports relating to the offer and sale of the Securities required under all applicable securities
laws (including, without limitation, all applicable federal securities laws and all applicable “Blue Sky” laws), and the
Company shall comply with all applicable foreign, federal, state and local laws, statutes, rules, regulations and the like relating to
the offering and sale of the Securities to the Buyers.

 

(c)   Reporting
Status. Until the earlier of (i) the date upon which the Buyers shall have sold all of the Securities and (ii) the one-year
anniversary of the termination of the Notes and full exercise or expiration of the Warrants (the “Reporting Period”),
the Company shall timely file all reports required to be filed with the SEC pursuant to the 1934 Act (reports filed in compliance with
the time period specified in Rule 12b-25 promulgated under the 1934 Act shall be considered timely for this purpose), and the Company
shall not terminate its status as an issuer required to file reports under the 1934 Act even if the 1934 Act or the rules and regulations
thereunder would no longer require or otherwise permit such termination.

 

(d)   Use
of Proceeds. The Company will use the net proceeds from the sale of the Securities to fund working capital and general corporate
purposes, but not, directly or indirectly, for (i) the redemption or repurchase of any securities of the Company or any of its Subsidiaries
or repayment of any Indebtedness or (ii) the settlement of any outstanding litigation.

 

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(e)   Financial
Information. The Company agrees to send the following to each Buyer during the Reporting Period (i) unless the following are
filed with the SEC through EDGAR and are available to the public through the EDGAR system, within one (1) Business Day after the filing
thereof with the SEC, a copy of its Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q, any interim reports or any consolidated
balance sheets, income statements, stockholders’ equity statements and/or cash flow statements for any period other than annual,
any Current Reports on Form 8-K and any registration statements (other than on Form S-8 or Form S-4) or amendments filed pursuant to
the 1933 Act, (ii) unless the following are either filed with the SEC through EDGAR or are otherwise widely disseminated via a recognized
news release service (such as PR Newswire), on the same day as the release thereof, facsimile copies of all press releases issued by
the Company or any of its Subsidiaries and (iii) unless the following are filed with the SEC through EDGAR, copies of any notices and
other information made available or given to the stockholders of the Company generally, contemporaneously with the making available or
giving thereof to the stockholders.

 

(f) Listing.
The Company shall promptly secure the listing or designation for quotation (as the case may be) of all of the Underlying Shares upon
each national securities exchange and automated quotation system, if any, upon which the Common Stock is then listed or designated
for quotation (as the case may be) (subject to official notice of issuance) and shall maintain such listing or designation for
quotation (as the case may be) of all Underlying Shares from time to time issuable under the terms of the Transaction Documents on
such national securities exchange or automated quotation system. The Company shall maintain the Common Stock’s listing or
authorization for quotation (as the case may be) on the Principal Market, The New York Stock Exchange, the NYSE American, the Nasdaq
Global Market or the Nasdaq Global Select Market (each, an “Eligible Market”). Neither the Company nor any of its
Subsidiaries shall take any action which could be reasonably expected to result in the delisting or suspension of the Common Stock
on an Eligible Market. The Company shall pay all fees and expenses in connection with satisfying its obligations under this
Section 4(f).

 

(g)   Fees. The
Company shall pay for the reasonable and documented due diligence and legal fees and expenses incurred by the lead Buyer in connection
with the structuring, documentation, negotiation, and closing of the transactions contemplated by the Transaction Documents (and the
enforcement thereof by the Buyers), including, without limitation, all consultant fees, all reasonable legal fees and disbursements of
Latham & Watkins LLP, counsel to the lead Buyer, and due diligence and regulatory filings in connection therewith (the “Transaction
Expenses”) and such Transaction Expenses, to the extent they have not already been paid to the Buyer, may be withheld by the
lead Buyer from its Purchase Price at each of the Initial Closing, the First Subsequent Closing and the Second Subsequent Closing. The
Company shall be responsible for the payment of any placement agent’s fees, financial advisory fees, transfer agent fees, The Depository
Trust Company (“DTC”) fees or broker’s commissions incurred solely by the Company and not for Persons engaged
by any Buyer relating to or arising out of the transactions contemplated hereby. The Company shall pay, and hold each Buyer harmless
against, any liability, loss or expense (including, without limitation, reasonable attorneys’ fees and reasonable and documented
out-of-pocket expenses) arising in connection with any claim relating to any such payment incurred by the Company. Except as otherwise
set forth in the Transaction Documents, each party to this Agreement shall bear its own expenses in connection with the sale of the Securities
to the Buyers.

 

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(h)   Pledge
of Securities. Notwithstanding anything to the contrary contained in this Agreement, the Company acknowledges and agrees that
the Securities may be pledged by a Buyer in connection with a bona fide margin agreement or other loan or financing arrangement that
is secured by the Securities. The pledge of Securities shall not be deemed to be a transfer, sale or assignment of the Securities
hereunder, and no Buyer effecting a pledge of Securities shall be required to provide the Company with any notice thereof or otherwise
make any delivery to the Company pursuant to this Agreement or any other Transaction Document, including, without limitation, Section
2(g) hereof; provided that a Buyer and its pledgee shall be required to comply with the provisions of Section 2(g) hereof in order to
effect a sale, transfer or assignment of Securities to such pledgee. The Company hereby agrees to execute and deliver such documentation
as a pledgee of the Securities may reasonably request in connection with a pledge of the Securities to such pledgee by a Buyer.

 

(i)   Disclosure
of Transactions and Other Material Information.

 

(i)   Disclosure
of Transaction. No later than 9:30 a.m., New York time, on the first Business Day after the date of this Agreement, the
Company shall issue a press release (the “Press Release”) reasonably acceptable to the Buyers disclosing all the material
terms of the transactions contemplated by the Transaction Documents. No later than 5:30 p.m., New York time, on the fourth (4th)
Business Day after the date of this Agreement, the Company shall file a Current Report on Form 8-K describing all the material terms
of the transactions contemplated by the Transaction Documents in the form required by the 1934 Act and attaching all the material Transaction
Documents (the “8-K Filing”). From and after the issuance of the Press Release, the Company shall have disclosed
all material, non-public information (if any) provided to any of the Buyers by the Company or any of its Subsidiaries or any of their
respective officers, directors, employees or agents. In addition, effective upon the issuance of the Press Release, the Company
acknowledges and agrees that any and all confidentiality or similar obligations under any agreement, whether written or oral, between
the Company, any of its Subsidiaries or any of their respective officers, directors, affiliates, employees or agents, on the one hand,
and any of the Buyers or any of their affiliates, on the other hand, terminated and none of the Buyers have been subject to any such
obligation since the issuance of the Press Release.

 

(ii)   Limitations
on Disclosure. Other than as required under the Transaction Documents (but subject to any other disclosure obligations of the
Company with respect thereto), the Company shall not, and the Company shall cause each of its Subsidiaries and each of its and their
respective officers, directors, employees and agents not to, provide any Buyer with any material, non-public information regarding the
Company or any of its Subsidiaries from and after the date hereof unless prior thereto such Buyer shall have consented in writing
to the receipt of such information and agreed with the Company to keep such information confidential. If any material, non-public
information is required to be provided by the Company or any of its Subsidiaries to any Buyer pursuant to the Transaction Documents,
the Company shall obtain each Buyer’s prior written consent prior to providing such information to such Buyer, and if any Buyer
fails to provide such written consent, the Company shall not be deemed to be in breach of any of the Transaction Documents as a result
of the failure to provide such information. To the extent that the Company delivers any material, non-public information to a Buyer without
such Buyer’s prior written consent in breach of the foregoing sentence, the Company hereby covenants and agrees that such Buyer
shall not have any duty of confidentiality with respect to, or a duty not to trade on the basis of, such material, non-public information,
provided that the Buyer shall remain subject to applicable law. Subject to the foregoing, neither the Company, its Subsidiaries
nor any Buyer shall issue any press releases or any other public statements with respect to the transactions contemplated hereby; provided,
however, the Company shall be entitled, without the prior approval of any Buyer, to make any press release or other public disclosure
with respect to such transactions (i) in substantial conformity with the 8-K Filing and (ii) as is required by applicable law
and regulations (provided that in the case of clause (i) above, each Buyer shall be consulted by the Company in connection with
any such press release or other public disclosure prior to its release). Without the prior written consent of the applicable Buyer
(which may be granted or withheld in such Buyer’s sole discretion), the Company shall not (and shall cause each of its Subsidiaries
and affiliates to not) disclose the name of such Buyer in any filing, announcement, release or otherwise, except in the 8-K Filing and
as otherwise may be required by applicable law or regulations. Notwithstanding anything contained in this Agreement to the contrary
and without implication that the contrary would otherwise be true, the Company expressly acknowledges and agrees that no Buyer shall
have (unless expressly agreed to by a particular Buyer after the date hereof in a written definitive and binding agreement executed by
the Company and such particular Buyer (it being understood and agreed that no Buyer may bind any other Buyer with respect thereto)),
any duty of confidentiality with respect to, or a duty not to trade on the basis of, any material, non-public information regarding the
Company or any of its Subsidiaries.

 

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(j)   Additional
Issuance of Securities. 

 

(i)   The
Company agrees that for (x) the period commencing on the date hereof and ending on the date immediately following the 90th calendar day
after the Initial Closing Date, (y) the period commencing on the First Subsequent Closing Determination Date and ending on the date immediately
following the 30th calendar day after the First Subsequent Closing Date and (z) the period commencing on the Second Subsequent Closing
Determination Date and ending on the date immediately following the 30th calendar day after the Second Subsequent Closing Date (each
such period, a “Restricted Period”), neither the Company nor any of its Subsidiaries shall directly or indirectly
issue, offer, sell, grant any option or right to purchase, or otherwise dispose of (or register or amend any outstanding registration
statements or file any shelf registration statements or announce any issuance, offer, sale, grant of any option or right to purchase
or other disposition of) any equity security or any equity-linked or related security (including, without limitation, any “equity
security” (as that term is defined under Rule 405 promulgated under the 1933 Act), any Convertible Securities, any preferred stock
or any purchase rights). Notwithstanding the foregoing, this Section 4(j)(i) shall not apply (A) during a Restricted Period in respect
of (i) the issuance of Options or Convertible Securities issued under any Approved Stock Plan, so long as the aggregate number of shares
issued and issuable pursuant thereto does not exceed 5% of the Common Stock issued and outstanding immediately prior to the date hereof,
(ii) the filing of a shelf registration statement on Form S-3 with the SEC concurrently with one of the Resale Registration Statement
(as defined below), provided that no offers or sales under such registration statement shall take place during a Restricted Period, or
(iii) the issuances of Underlying Shares, (B) during the period commencing thirty (30) days after the effectiveness of the Resale Registration
Statement for the Initial Purchased Securities and ending upon the termination of the Restricted Period that commenced upon the date
hereof, with respect to shares of Common Stock offered or sold in an offering of solely Common Stock for the purpose of raising capital
at a price per share in excess of one hundred twenty percent (120%) of the exercise price of the Initial Purchased Warrant, (C) to Common
Stock issued as consideration in acquisitions approved by the Board of Directors; provided such issuance shall only be to a Person (or
to the equity holders of a Person) which is, itself or through its subsidiaries, an operating company or an asset in a business synergistic
with the business of the Company and shall provide to the Company additional benefits in addition to the investment of funds, but shall
not include a transaction in which the Company is issuing securities primarily for the purpose of raising capital or to an entity whose
primary business is investing in securities; and provided further that such Common Stock is subject to restrictions on transfer during
the Restricted Period and are not registered for resale during the Restricted Period or (D) the issuance of shares during the Restricted
Periods commencing on the First Subsequent Closing Determination Date or the Second Subsequent Closing Determination Date pursuant to
any “at-the-market” program within the meaning of Rule 415(a)(4) of the Securities Act in effect as of the date hereof. An
“Approved Stock Plan” means any security-based compensation plan which has been approved by the Board of Directors
of the Company prior to the date hereof, or any security-based compensation plan which is approved by the Board of Directors or the compensation
committee thereof and the stockholders of the Company after the date hereof, pursuant to which shares of Common Stock, options to purchase
Common Stock and other incentive equity awards may be issued to any employee, officer, consultant or director for services provided to
the Company in their capacity as such, and not for the purpose of raising capital, pursuant to any consulting agreement, advisory agreement
or independent contractor agreement approved by the Board of Directors or the compensation committee thereof.

 

(ii)   So
long as any Notes remain outstanding, the Company and each Subsidiary shall be prohibited from effecting, or entering into an agreement
directly or indirectly to effect a Variable Rate Transaction (other than with the Buyers as contemplated hereby). “Variable
Rate Transaction” means a transaction in which the Company or any Subsidiary (i) issues or sells any Convertible Securities
either (A) at a conversion, exercise or exchange rate or other price that is based upon and/or varies with the trading prices of or quotations
for the shares of Common Stock at any time after the initial issuance of such Convertible Securities, or (B) with a conversion, exercise
or exchange price that is subject to being reset at some future date after the initial issuance of such Convertible Securities or upon
the occurrence of specified or contingent events directly or indirectly related to the business of the Company or the market for the
Common Stock, other than pursuant to customary adjustments for stock splits, stock dividends, stock combinations, recapitalizations and
similar events or (ii) enters into any agreement (including, without limitation, an equity line of credit) whereby the Company or any
Subsidiary may sell securities at a future determined price; provided that, for avoidance of doubt (x) the entry into any “at-the-market”
offering within the meaning of Rule 415(a)(4) of the Securities Act (an “ATM Issuance”) whereby the Company or any
Subsidiary may sell securities at a future determined price and any issuance of any securities pursuant thereto, shall not be considered
a “Variable Rate Transaction”.

 

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(iii)   So
long as any Notes or Warrants remain outstanding, the Company will not, without the prior written consent of the Required Holders (as
defined below), issue any Notes or Warrants (other than to the Buyers as contemplated hereby) and the Company shall not issue any other
securities that would cause a breach or default under the Notes or the Warrants.

 

(iv)   Each
Buyer shall be entitled to obtain injunctive relief against the Company and its Subsidiaries to preclude any issuance prohibited by this
Section 4(j), which remedy shall be in addition to any right to collect damages.

 

(k)   Reservation
of Shares. So long as any of the Warrants or the Notes remain outstanding, the Company shall at all times have no less than
a number of shares of authorized but unissued Common Stock equal to the sum of (x) 100% of the maximum number of shares of Common Stock
as shall be necessary to satisfy the Company’s obligation to issue shares of Common Stock under the Warrants then outstanding,
reserved for the purposes of issuance pursuant to the Warrants, plus (y) following the Company's next annual meeting of stockholders,
but in no event later than June 30, 2022, an additional ten million (10,000,000) unreserved shares of Common Stock (collectively, the
“Required Reserve Amount”); provided that at no time shall the number of shares of Common Stock reserved pursuant
to this Section 4(k) be reduced other than in connection with any stock combination, reverse stock split or other similar transaction
or proportionally in connection with any issuance of Underlying Shares pursuant to the Warrants. The amounts set forth in clause
(x) of the definition of Required Reserve Amount (including, without limitation, each increase in the number of shares so reserved) shall
be allocated pro rata among the holders of the Notes based on the number of shares of Common Stock issuable upon conversion of the Warrants
held by each holder thereof on the date of issuance of the Notes (without regards to any limitations on conversion) (collectively, the
“Authorized Share Allocation”). In the event that a holder shall sell or otherwise transfer any of such holder’s
Notes, each transferee shall be allocated a pro rata portion of such holder’s Authorized Share Allocation. Any shares of Common
Stock reserved and allocated to any Person which ceases to hold any Notes shall be allocated to the remaining holders of the Notes, pro
rata based on the number of shares of Common Stock issuable upon conversion of the Warrants then held by such holders thereof (without
regard to any limitations on conversion). If at any time the number of shares of Common Stock authorized and reserved for issuance is
not sufficient to meet the Required Reserve Amount, the Company will promptly take all corporate action necessary to authorize and reserve
a sufficient number of shares, including, without limitation, calling a special meeting of stockholders to authorize additional shares
to meet the Company’s obligations pursuant to the Transaction Documents, in the case of an insufficient number of authorized shares,
obtain stockholder approval (if required) of an increase in such authorized number of shares, and voting the management shares of the
Company in favor of an increase in the authorized shares of the Company to ensure that the number of authorized shares is sufficient
to meet the Required Reserve Amount.

 

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(l)   Requisite
Stockholder Approval. Following the First Subsequent Closing and the Second Subsequent Closing, as applicable, if the exercise price
of the Warrant issued at such Closing shall be below the Minimum Price (as defined in Nasdaq Listing Rule 5635(d)) with respect to such
Warrant, as measured with respect to the date of the Securities Purchase Agreement, then the Company agrees to use reasonable best efforts
to obtain, at the next annual meeting of the stockholders of the Company (at which a quorum is present), but in no event later than the
earlier to occur of (i) one hundred eighty days (180 days) after the issuance of such Warrant or (ii) the first annual meeting of stockholders
to take place after the issuance of such Warrant (the “Stockholder Meeting”) the Requisite Stockholder Approval (as
defined below). The Company will prepare and file with the SEC a proxy statement to be sent to the Company’s stockholders in connection
with the Stockholder Meeting (the “Proxy Statement”). The Proxy Statement shall include the Board of Directors’
recommendation that the holders of shares of the Company’s Common Stock vote in favor of the Requisite Stockholder Approval. If
the Requisite Stockholder Approval is not obtained at or prior to the Stockholder Meeting, the Company will hold a special meeting of
the stockholders of the Company for the purposes of obtaining such Requisite Stockholder Approval no less often than every ninety (90)
days following the date of the Stockholder Meeting until the Requisite Stockholder Approval is obtained, and the Board of Directors will
recommend that the holders of shares of the Company’s Common Stock vote in favor of the Requisite Stockholder Approval at each
such meeting. As used herein, “Requisite Stockholder Approval” means the stockholder approval contemplated by Nasdaq
Listing Rule 5635(d) with respect to the issuance of shares of Common Stock pursuant to the Warrants in excess of the limitations imposed
by such rule; provided, however, that the Requisite Stockholder Approval will be deemed to be obtained if, due to any amendment or binding
change in the interpretation of the applicable listing standards of the Nasdaq Capital Market, such stockholder approval is no longer
required for the Company to issue shares Common Stock pursuant to the Warrants. At the Company's next annual meeting of stockholders,
but in no event later than June 30, 2022, the Company shall increase its authorized shares of Common Stock to no less than eighty million
(80,000,000) shares.

 

(m)   Compliance
with Laws. None of the Company or any of its Subsidiaries shall violate any law, ordinance or regulation of any Governmental
Entity, except where such violations would not reasonably be expected to result, either individually or in the aggregate, in a Material
Adverse Effect.

 

(n)   Passive
Foreign Investment Company. The Company shall conduct its business, and shall cause its Subsidiaries to conduct their respective
businesses, in such a manner as will ensure that the Company will not be deemed to constitute a passive foreign investment company within
the meaning of Section 1297 of the Code.

 

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(o)   Restriction
on Redemption and Cash Dividends. So long as any of the Notes are outstanding, except as otherwise permitted under the Notes,
the Company shall not, directly or indirectly, redeem, or declare or pay any cash dividend or distribution on, any securities of the
Company without the prior express written consent of the Required Holders (other than as required by the Notes or as required by the
terms thereof as in effect on the date hereof); provided, however, that such written consent shall not be required for any repurchases,
forfeitures, withholdings or transfers of securities pursuant to a net exercise of a Convertible Security to cover the payment of the
exercise prices or the payment of withholding of taxes associated with the exercise or vesting of equity awards under any equity compensation
plan of the Company or repurchases of Common Stock upon an employee’s, contractor’s or consultant’s termination of
services pursuant to agreements outstanding as of the date of this Agreement.

 

(p)   Corporate
Existence. So long as any Notes or Warrants remain outstanding, the Company shall not be party to any Fundamental Change (as
defined in the Notes) or a Fundamental Transaction (as defined in the Warrants) unless the Company is in compliance with the applicable
provisions governing Fundamental Changes set forth in the Notes and the applicable provisions governing Fundamental Transactions set
forth in the Warrants.

 

(q)   Exercise
Procedures. The form of exercise notice included in the Warrants sets forth the totality of the procedures required of the
Buyers in order to exercise the Warrants. Except as set forth in Section 5(c), no additional legal opinion, other information or
instructions shall be required of the Buyers to exercise their Warrants. The Company shall honor exercises of the Warrants and
shall deliver the Underlying Shares in accordance with the terms, conditions and time periods set forth in the Warrants . Except as explicitly
set forth in the Warrants , no legal opinion, information or instructions shall be required of the Buyers to receive Underlying Shares
pursuant to the Warrants.

 

(r)   Regulation
M. The Company will not take any action prohibited by Regulation M under the 1934 Act, in connection with the distribution
of the Securities contemplated hereby.

 

(s)   General
Solicitation. None of the Company, any of its affiliates (as defined in Rule 501(b) under the 1933 Act) or any person acting
on behalf of the Company or such affiliate will solicit any offer to buy or offer to sell the Securities by means of any form of general
solicitation or general advertising within the meaning of Regulation D, including: (i) any advertisement, article, notice or other communication
published in any newspaper, magazine or similar medium or broadcast over television or radio; and (ii) any seminar or meeting whose attendees
have been invited by any general solicitation or general advertising.

 

(t)   Integration. 
None of the Company, any of its affiliates (as defined in Rule 501(b) under the 1933 Act), or any person acting on behalf of
the Company or such affiliate will sell, offer for sale, or solicit offers to buy or otherwise negotiate in respect of any security (as
defined in the 1933 Act) which will be integrated with the sale of the Securities in a manner which would require the registration of
the Securities under the 1933 Act or require stockholder approval under the rules and regulations of the Principal Market and the
Company will take all action that is appropriate or necessary to assure that its offerings of other securities will not be integrated
for purposes of the 1933 Act or the rules and regulations of the Principal Market, with the issuance of Securities contemplated
hereby.

 

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(u)   Right
to Participate. Until the date the Notes are no longer outstanding the Company will not, directly or indirectly, offer, sell, grant
any option to purchase, or otherwise dispose of (or announce any offer, sale, grant or any option to purchase or other disposition of)
any of its or any Subsidiaries’ debt, equity (other than an offering of solely Common Stock), or equity-linked securities, including
without limitation any debt, preferred stock or other instrument or security (any such offer, sale, grant, disposition or announcement
being referred to as a “Subsequent Placement”), unless the Company shall have first complied with this Section 4(u).

 

(A)   The
Company shall deliver to each Buyer an irrevocable written notice (the “Offer Notice”) of any proposed or intended
issuance or sale or exchange (the “Offer”) of the securities being offered (the “Offered Securities”)
in a Subsequent Placement, which Offer Notice shall (v) include any offering documents and definitive documentation in connection with
such Offer, (w) identify and describe the Offered Securities, (x) describe the price and other terms upon which they are to be issued,
sold or exchanged, and the number or amount of the Offered Securities to be issued, sold or exchanged, (y) identify the persons
or entities to which or with which the Offered Securities are to be offered, issued, sold or exchanged and (z) offer to issue and sell
to or exchange with such Buyers up to an aggregate of thirty percent (30%) of the Offered Securities, allocated among such Buyers based
on such Buyer’s pro rata portion of the aggregate principal amount of Notes purchased hereunder (the “Basic Amount”).
The terms and conditions upon which any Offer of the Offered Securities pursuant to any Offer Notice shall be identical for each Buyer.
For the avoidance of doubt, each Buyer hereby acknowledges that any Offer Notice may constitute or contain material, non-public information,
and each Buyer hereby consents to the receipt of any Offer Notice and any material, non-public information that may be included in an
Offer Notice. If a Buyer notifies the Company that it does not consent to the receipt of an Offer Notice and any material, non-public
information that may be included in an Offer Notice, then such Buyer shall be deemed to have waived its right to participate in such
Subsequent Placement, and the Company shall be deemed to have complied with this Section 4(u).

 

(B)   To
accept an Offer, in whole or in part, such Buyer must deliver a written notice to the Company prior to the end of the second (2nd)
Trading Day after such Buyer’s receipt of the Offer Notice (the “Offer Period”), setting forth the portion of
such Buyer’s Basic Amount that such Buyer, or an affiliate of such Buyer that it designates, elects to purchase and, if such Buyer
or its designee shall elect to purchase all of its Basic Amount, the amount, if any, of the other Buyers’ allocations that such
Buyer is offering to purchase in the event that such other Buyers do not elect to purchase their full Basic Amounts (in either case,
the “Notice of Acceptance”). Notwithstanding anything to the contrary contained herein, if the Company desires to
modify or amend the terms and conditions of the Offer prior to the expiration of the Offer Period, the Company may deliver to the Buyers
a new Offer Notice and the Offer Period shall expire at the end of the second (2nd) Trading Day following such Buyer’s
receipt of such new Offer Notice.

 

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(C)   The
Company shall have two (2) Trading Days from the expiration of the Offer Period to offer, issue, sell or exchange all or any part of
such Offered Securities as to which a Notice of Acceptance has not been given by the Buyers (the “Refused Securities”)
pursuant to a definitive agreement (the “Subsequent Placement Agreement”), but only to the offerees described in the
Offer Notice (if so described therein) and only upon terms and conditions (including, without limitation, prices and interest rates)
that are not more favorable to the acquiring Person or Persons or less favorable to the Company than those set forth in the Offer Notice
and to publicly announce (a) the execution of such Subsequent Placement Agreement and (b) either (x) the consummation of the transactions
contemplated by such Subsequent Placement Agreement or (y) the termination of such Subsequent Placement Agreement, which shall be filed
with the SEC on a Current Report on Form 8-K with such Subsequent Placement Agreement and any documents contemplated therein filed as
exhibits thereto.

 

(D)   In
the event the Company shall propose to sell less than all the Refused Securities (any such sale to be in the manner and on the terms
specified in Section 4(u)(C) above), then each Buyer may, at its sole option and in its sole discretion, reduce the number or amount
of the Offered Securities specified in its Notice of Acceptance to an amount that shall be not less than the number or amount of the
Offered Securities that such Buyer or its designee elected to purchase pursuant to Section 4(u)(B) above multiplied by a fraction, (i)
the numerator of which shall be the number or amount of Offered Securities the Company actually proposes to issue, sell or exchange (including
Offered Securities to be issued or sold to Buyers or their designees pursuant to Section 4(u)(C) above prior to such reduction, but giving
effect to the Refused Securities that the Company has determined not to issue, sell or exchange) and (ii) the denominator of which shall
be the original amount of the Offered Securities. In the event that any Buyer so elects to reduce the number or amount of Offered Securities
specified in its Notice of Acceptance, the Company may not issue, sell or exchange more than the reduced number or amount of the Offered
Securities unless and until such securities have again been offered to the Buyers in accordance with Section 4(u)(A) above.

 

(E)   Upon
the closing of the issuance, sale or exchange of all or less than all of the Refused Securities, the Buyers or their designees shall
acquire from the Company, and the Company shall issue to the Buyers, the number or amount of Offered Securities specified in the Notices
of Acceptance, as reduced pursuant to Section 4(u)(D) above if the Buyers have so elected, upon the terms and conditions specified in
the Offer. Notwithstanding anything to the contrary contained in this Agreement, if the Company does not consummate the closing of the
issuance, sale or exchange of all or less than all of the Refused Securities, within two (2) Business Days of the expiration of the Offer
Period, the Company shall issue to the Buyers or their designees, the number or amount of Offered Securities specified in the Notice
of Acceptance, as reduced pursuant to Section 4(u)(D) above if the Buyers have so elected, upon the terms and conditions specified in
the Offer. The purchase by the Buyers of any Offered Securities is subject in all cases to the preparation, execution and delivery by
the Company and the Buyers of a purchase agreement relating to such Offered Securities reasonably satisfactory in form and substance
to the Buyers and their respective counsel.

 

(F)   Any
Offered Securities not acquired by the Buyers or other persons in accordance with Section 4(u)(C) above may not be issued, sold or exchanged
until they are again offered to the Buyers under the procedures specified in this Section 4(u).

 

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(G)   The
Company and the Buyers agree that if any Buyer elects to participate in the Offer, (x) neither the Subsequent Placement Agreement with
respect to such Offer nor any other transaction documents related thereto shall include any term or provisions whereby any Buyer shall
be required to agree to any restrictions in trading as to any securities of the Company owned by such Buyer prior to such Subsequent
Placement, (y) neither the Subsequent Placement Agreement with respect to such Offer nor any other transaction documents related thereto
shall include any term or provisions more restrictive to the investors in such Subsequent Placement than those contained in the Transaction
Documents and (z) the Buyers or their designees shall be entitled to the same registration rights provided to other investors in the
Subsequent Placement. In addition, the Company and each Buyer agree that, in connection with a Subsequent Placement, the transaction
documents related to the Subsequent Placement shall include a requirement for the Company to issue a widely disseminated press release
by 9:30 a.m. (New York City time) on the Trading Day of execution of the transaction documents in such Subsequent Placement (or, if the
date of execution is not a Trading Day, or if the time of execution is after 4:00 p.m. (New York City time) on a Trading Day, on the
immediately following Trading Day) that discloses the material terms of the transactions contemplated by the transaction documents in
such Subsequent Placement.

 

(H)   Notwithstanding
anything to the contrary in this Section 4(u) and unless otherwise agreed to by the Buyers, the Company shall either confirm in writing
to the Buyers that the transaction with respect to the Subsequent Placement has been abandoned or shall publicly disclose its intention
to issue the Offered Securities, in either case in such a manner such that such Buyer will not be in possession of any material, non-public
information, by the second (2nd) Trading Day following the date of delivery of the Offer Notice. If by such second (2nd)
Trading Day no public disclosure regarding a transaction with respect to the Offered Securities has been made, and no notice regarding
the abandonment of such transaction has been received by the Buyers, such transaction shall be deemed to have been abandoned and the
Buyers shall not be deemed to be in possession of any material, nonpublic information with respect to the Company. Should the Company
decide to pursue such transaction with respect to the Offered Securities, the Company shall provide each Buyer with another Offer Notice
and each Buyer will again have the right of participation set forth in this Section 4(u). The Company shall not be permitted to deliver
to the Buyers, in any 30-day period, more than one such Offer Notice, other than the Offer Notices contemplated by the last sentence
of Section 4(u)(B) of this Agreement.

 

(I)   The
restrictions contained in this Section 4(u) shall not apply in connection with any of the following; (x) Options or Convertible Securities
issued under any Approved Stock Plan, or (y) the issuance of Common Stock upon the exercise of Options or warrants, the settlement or
vesting of restricted stock units, stock appreciation rights or restricted stock awards (including shares of Common Stock withheld by
the Company for the purpose of paying on behalf of the holder thereof the exercise price of stock options or for paying taxes due as
a result of such exercise or lapse of forfeiture restrictions), or the conversion of outstanding preferred stock or other outstanding
Convertible Securities which are outstanding on the Initial Closing Date or granted pursuant to an Approved Stock Plan after the Initial
Closing Date; provided, that such issuance of Common Stock upon exercise of such Options or Convertible Securities is made pursuant to
the terms of either: (I) such Approved Stock Plan or (II) such Options or Convertible Securities in effect on the Initial Closing Date
and, in the case of (II), such Options or Convertible Securities are not amended, modified or changed on or after the Initial Closing
Date to increase the number of such securities or to decrease the exercise price, exchange price or conversion price of such securities.

 

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(v)   Rule
144. The Company shall cause the Securities and any shares of Common Stock issuable pursuant to the Warrants or the Notes to
be eligible to be offered, sold or otherwise transferred by the Buyers pursuant to Rule 144 under the Securities Act, without any requirements
as to volume, manner of sale, availability of current public information (whether or not then satisfied) or notice under the Securities
Act and without any requirement for registration under any state securities or “blue sky” law, on and after the date that
is six (6) months following the (A) Initial Closing Date with respect to the Initial Purchased Securities and the Underlying Shares with
respect thereto, (B) the First Subsequent Closing with respect to the First Subsequently Purchased Securities and the Underlying Shares
with respect thereto, and (C) the Second Subsequent Closing with respect to the Second Subsequently Purchased Securities and the Underlying
Shares with respect thereto.

 

(w)   Press
Releases. The Company shall not, and shall not permit any of its Subsidiaries to, issue or disseminate to the public (by advertisement,
press release or otherwise), submit for publication or otherwise cause or seek to publish any information naming any of the Buyers without
the prior written consent of such Buyer; provided that, nothing in the foregoing shall be construed to prohibit the Company from making
any submission or filing (i) which it is required to make by applicable law or pursuant to judicial process, (ii) as required by federal
securities law in connection with the filing of final Transaction Documents with the SEC, or (iii) to the extent such disclosure is required
by law or the Principal Market regulations; provided further, that (i) such filing or submission shall contain only such information
as is necessary to comply with applicable law or judicial process and (ii) unless specifically prohibited by applicable law or court
order, the Company shall promptly notify the Buyers of the requirement to make such submission or filing and provide the Buyers with
a copy thereof.

 

(x)   Registration
Rights. The Company shall:

 

(i)   file
registration statements with the SEC as soon as practicable but in no event later than (A) forty-five (45) days after the Initial Closing
Date with respect to the Initial Purchased Securities, (B) forty-five (45) days after the First Subsequent Closing Date with respect
to the First Subsequently Purchased Securities and (C) forty-five (45) days after the Second Subsequent Closing Date with respect to
the Second Subsequently Purchased Securities, (each such date, a “Filing Date”) to register all Shares underlying
the Initial Purchased Securities, First Subsequently Purchased Securities and Second Subsequently Purchased Securities, respectively
(the “Registrable Shares”) on Form S-1 or Form S-3 under the Securities Act (providing for shelf registration of such
Registrable Shares under SEC Rule 415) (each such registration statement, including any preliminary prospectus, final prospectus, exhibit
or amendment included in or relating to such registration statement being the “Resale Registration Statement”);

 

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(ii)   use
its commercially reasonable efforts to cause each such Resale Registration Statement to be declared effective as soon as practicable
and in any event within 30 days of the filing thereof (or, in the event the staff of the SEC (the “Staff”) reviews
and has written comments to such Resale Registration Statement, within 60 days of the filing thereof), such efforts to include, without
limiting the generality of the foregoing, preparing and filing with the SEC any financial statements or other information that is required
to be filed prior to the effectiveness of such Resale Registration Statement;

 

(iii)   not
less than two (2) Trading Days prior to the filing of each such Resale Registration Statement or any related prospectus or any amendment
or supplement thereto, furnish via email to the Buyers copies of all such documents proposed to be filed, which documents (other than
any document that is incorporated or deemed to be incorporated by reference therein) will be subject to the review of the Buyers. The
Company shall reflect in each such document when so filed with the SEC such comments regarding the Buyers and the plan of distribution
as the Buyers may reasonably and promptly propose no later than two (2) Trading Days after the Buyers has been so furnished with copies
of such documents as aforesaid;

 

(iv)   promptly
prepare and file with the SEC such amendments and supplements to each such Resale Registration Statement and the prospectus used in connection
therewith as may be necessary to keep such Resale Registration Statement continuously effective and free from any material misstatement
or omission to state a material fact therein until termination of such obligation as provided in Section 4(aa) below, subject to the
Company’s right to suspend pursuant to Section 4(z) below;

 

(v)   furnish
to the Buyers such number of copies of prospectuses in conformity with the requirements of the Securities Act and such other documents
as the Buyers may reasonably request, in order to facilitate the public sale or other disposition of all or any of the Registrable Shares
by the Buyers;

 

(vi)   file
such documents as may be required of the Company for normal securities law clearance for the resale of the Registrable Shares in such
states of the United States as may be reasonably requested by the Buyers and use its commercially reasonable efforts to maintain such
blue sky qualifications during the period the Company is required to maintain effectiveness of each such Resale Registration Statement;
provided, however, that the Company shall not be required in connection with this Section 4(x)(vi) to qualify as a foreign corporation
or execute a general consent to service of process in any jurisdiction in which it is not now so qualified or has not so consented;

 

(vii)   upon
notification by the SEC that a Resale Registration Statement will not be reviewed or is not subject to further review by the SEC, the
Company shall within three (3) Trading Days following the date of such notification request acceleration of such Resale Registration
Statement (with the requested effectiveness date to be not more than two (2) Trading Days later);

 

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(viii)   upon
notification by the SEC that a Resale Registration Statement has been declared effective by the SEC, the Company shall file the final
prospectus under Rule 424 of the Securities Act (“Rule 424”) within the applicable time period prescribed by Rule
424;

 

(ix)   advise
the Buyers promptly (and in any event within two (2) Trading Days thereof):

 

(A)   of
the effectiveness of a Resale Registration Statement or any post-effective amendments thereto;

 

(B)   of
any request by the SEC for amendments to a Resale Registration Statement or amendments to the prospectus or for additional information
relating thereto;

 

(C)   of
the issuance by the SEC of any stop order suspending the effectiveness of a Resale Registration Statement under the Securities Act or
of the suspension by any state securities commission of the qualification of the Registrable Shares for offering or sale in any jurisdiction,
or the initiation of any proceeding for any of the preceding purposes; and;

 

(D)   of
the existence of any fact and the happening of any event that makes any statement of a material fact made in a Resale Registration Statement,
the prospectus and amendment or supplement thereto, or any document incorporated by reference therein, untrue, or that requires the making
of any additions to or changes in a Resale Registration Statement or the prospectus in order to make the statements therein not misleading;

 

(x)   cause
all Registrable Shares to be listed on each securities exchange, if any, on which equity securities by the Company are then listed; and

 

(xi)   bear
all expenses in connection with the procedures in paragraphs (i) through (x) of this Section 4(x) and the registration of the Registrable
Shares on each such Resale Registration Statement and the satisfaction of the blue sky laws of such states.

 

(y)   Registration
Rights Indemnification.

 

(i)   The
Company agrees to indemnify and hold harmless the Buyers and their respective affiliates, partners, members, officers, directors, agents
and representatives, and each person, if any, who controls a Buyer within the meaning of Section 15 of the Securities Act or Section
20 the 1934 Act (each, a “Purchaser Party” and collectively the “Purchaser Parties”), to the fullest
extent permitted by applicable law, from and against any losses, claims, damages or liabilities (collectively, “Losses”)
to which they may become subject (under the Securities Act or otherwise) insofar as such Losses (or actions or proceedings in respect
thereof) arise out of, or are based upon, any untrue statement or alleged untrue statement of a material fact contained in a Resale Registration
Statement or any omission or alleged omission to state therein a material fact required to be stated therein or necessary to make the
statements therein, in light of the circumstances under which they were made, not misleading or arise out of any failure by the Company
to fulfill any undertaking included in a Resale Registration Statement and the Company will, as incurred, reimburse the Purchaser Parties
for any legal or other expenses reasonably incurred in investigating, defending or preparing to defend any such action, proceeding or
claim; provided, however, that the Company shall not be liable in any such case to the extent that such Loss arises out of, or is based
upon an untrue statement or omission or alleged untrue statement or omission made in a Resale Registration Statement in reliance upon
and in conformity with written information furnished to the Company by or on behalf of the Buyers specifically for use in preparation
of a Resale Registration Statement; provided further, however, that the Company shall not be liable to any Purchaser Party (or any partner,
member, officer, director or controlling person of a Buyer) to the extent that any such Loss is caused by an untrue statement or omission
or alleged untrue statement or omission made in any preliminary prospectus if either (i) (A) the Buyers failed to send or deliver a copy
of the final prospectus with or prior to, or the Buyers failed to confirm that a final prospectus was deemed to be delivered prior to
(in accordance with Rule 172 of the Securities Act), the delivery of written confirmation of the sale by the Buyers to the person asserting
the claim from which such Loss resulted and (B) the final prospectus corrected such untrue statement or omission, or (ii) (X) such untrue
statement or omission is corrected in an amendment or supplement to the prospectus and (Y) having previously been furnished by or on
behalf of the Company with copies of the prospectus as so amended or supplemented or notified by the Company that such amended or supplemented
prospectus has been filed with the SEC, in accordance with Rule 172 of the Securities Act, the Buyers thereafter fails to deliver such
prospectus as so amended or supplemented, with or prior to or the Buyers fails to confirm that the prospectus as so amended or supplemented
was deemed to be delivered prior to (in accordance with Rule 172 of the Securities Act), the delivery of written confirmation of the
sale by the Buyers to the person asserting the claim from which such Loss resulted.

 

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(ii)   The
Buyers agree to indemnify and hold harmless the Company and its officers, directors, affiliates, agents and representatives and each
person, if any, who controls the Company within the meaning of Section 15 of the Securities Act or Section 20 of the 1934 Act (each a
“Company Party” and collectively the “Company Parties”), to the fullest extent permitted by applicable
law, from and against any Losses to which the Company Parties may become subject (under the Securities Act or otherwise), insofar as
such Losses (or actions or proceedings in respect thereof) arise out of, or are based upon, any untrue statement or alleged untrue statement
of a material fact contained in a Resale Registration Statement (or any omission or alleged omission to state therein a material fact
required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made,
not misleading in each case, on the effective date thereof), if, and only to the extent, such untrue statement or omission or alleged
untrue statement or omission was made in reliance upon and in conformity with written information furnished by or on behalf of the Buyers
specifically for use in preparation of a Resale Registration Statement, and the Buyers will, as incurred, reimburse each Company Party
for any legal or other expenses reasonably incurred in investigating, defending or preparing to defend any such action, proceeding or
claim; provided, however, that in no event shall any indemnity under this Section 4(y) be greater in amount than the dollar amount of
the net proceeds received by the Buyers upon their sale of the Registrable Shares included in the Resale Registration Statement giving
rise to such indemnification obligation.

 

(iii)   Promptly
after receipt by any indemnified person of a notice of a claim or the beginning of any action in respect of which indemnity is to be
sought against an indemnifying person pursuant to this Section 4(y), such indemnified person shall notify the indemnifying person in
writing of such claim or of the commencement of such action, and, subject to the provisions hereinafter stated, in case any such action
shall be brought against an indemnified person and such indemnifying person shall have been notified thereof, such indemnifying person
shall be entitled to participate therein, and, to the extent that it shall wish, to assume the defense thereof, with counsel reasonably
satisfactory to such indemnified person. After notice from the indemnifying person to such indemnified person of its election to assume
the defense thereof, such indemnifying person shall not be liable to such indemnified person for any legal expenses subsequently incurred
by such indemnified person in connection with the defense thereof; provided, however, that if there exists or shall exist a conflict
of interest that would make it inappropriate in the reasonable judgment of the indemnified person for the same counsel to represent both
the indemnified person and such indemnifying person or any affiliate or associate thereof, the indemnified person shall be entitled to
retain its own counsel at the expense of such indemnifying person; provided, further, that no indemnifying person shall be responsible
for the fees and expense of more than one separate counsel for all indemnified parties. The indemnifying party shall not settle an action
without the consent of the indemnified party, which consent shall not be unreasonably withheld.

 

(iv)   If
after proper notice of a claim or the commencement of any action against the indemnified party, the indemnifying party does not choose
to participate, then the indemnified party shall assume the defense thereof and upon written notice by the indemnified party requesting
advance payment of a stated amount for its reasonable defense costs and expenses, the indemnifying party shall advance payment for such
reasonable defense costs and expenses (the “Advance Indemnification Payment”) to the indemnified party. In the event
that the indemnified party’s actual defense costs and expenses exceed the amount of the Advance Indemnification Payment, then upon
written request by the indemnified party, the indemnifying party shall reimburse the indemnified party for such difference; in the event
that the Advance Indemnification Payment exceeds the indemnified party’s actual costs and expenses, the indemnified party shall
promptly remit payment of such difference to the indemnifying party.

 

(v)   If
the indemnification provided for in this Section 4(y) is held by a court of competent jurisdiction to be unavailable to an indemnified
party with respect to any losses, claims, damages or liabilities referred to herein, the indemnifying party, in lieu of indemnifying
such indemnified party thereunder, shall to the extent permitted by applicable law contribute to the amount paid or payable by such indemnified
party as a result of such loss, claim, damage or liability in such proportion as is appropriate to reflect the relative fault of the
indemnifying party on the one hand and of the indemnified party on the other, as well as any other relevant equitable considerations;
provided, that in no event shall any contribution by an indemnifying party hereunder be greater in amount than the dollar amount of the
proceeds received by such indemnifying party upon the sale of such Registrable Shares.

 

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(z)   Suspensions.
The Buyers acknowledge that there may be times when the Company must suspend the use of the prospectus forming a part of a Resale Registration
Statement until such time as an amendment to such Resale Registration Statement has been filed by the Company and declared effective
by the SEC, or until such time as the Company has filed an appropriate report with the SEC pursuant to the Exchange Act. The Buyers hereby
covenant that they will not sell any Registrable Shares pursuant to said prospectus during the period commencing at the time at which
the Company gives the Buyers notice of the suspension of the use of said prospectus and ending at the time the Company gives the Buyers
notice that the Buyers may thereafter effect sales pursuant to said prospectus; provided, that such suspension periods shall in no event
exceed 30 days in any 12 month period and that, in the good faith judgment of the Board of Directors, the Company would, in the absence
of such delay or suspension hereunder, be required under state or federal securities laws to disclose any corporate development, a potentially
significant transaction or event involving the Company, or any negotiations, discussions, or proposals directly relating thereto, in
either case the disclosure of which would reasonably be expected to have a Material Adverse Effect upon the Company or its stockholders.

 

(aa) Termination
of Registration Rights. The obligations of the Company pursuant to Section 4(x) hereof shall cease and terminate, with respect to
any Registrable Shares, upon such time as such Registrable Shares have been resold.

 

		5.	REGISTER;
                                            TRANSFER AGENT INSTRUCTIONS.

 

(a)   Register. 
The Company shall maintain at its principal executive offices (or such other office or agency of the Company as it may designate by notice
to each holder of Securities), a register for the registration of the Securities in which the Company shall record the name and address
of the Person in whose name the Purchased Securities have been issued (including the name and address of each transferee), the aggregate
amount of the Notes and the Warrants held by such Person, and the number of Warrant Shares issuable pursuant to the terms of the Warrants
held by such Person. The Company shall keep the register open and available at all times during business hours for inspection of
any Buyer or its legal representatives. This provision shall be construed such that the Securities, the Notes, and the Warrants are at
all times maintained in “registered form” within the meanings of Sections 163(f), 871(h)(2) and 881(c)(2) of the Code and
any Treasury Regulations promulgated thereunder.

 

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(b) Transfer
Agent Instructions.  The Company shall issue irrevocable instructions to its transfer agent and any subsequent transfer agent
(as applicable) (the “Transfer Agent”) in a form acceptable to each of the Buyers (the “Irrevocable Transfer
Agent Instructions”) to credit shares to each such Buyer’s (or its designee’s) account at DTC through its Deposit/Withdrawal
At Custodian (“DWAC”) System, provided that the Transfer Agent is participating in the DTC Fast Automated Securities
Transfer Program (“FAST”) and the shares are then eligible for transfer through the DWAC System, or, if the Transfer
Agent is not participating in FAST or if the shares are not then eligible for transfer through the DWAC system, issue and dispatch by
overnight courier to the address as specified in the exercise notice of the Warrant a certificate, registered in the name of such Buyer
or its designee, for the number of Warrant Shares to which the Buyer is entitled pursuant to such exercise, , for the Underlying Shares
in such amounts as specified from time to time by each Buyer to the Company pursuant to the Warrants, and that if such Underlying Shares
shall be issued on or after the date that is six (6) months following the (i) Initial Closing Date with respect to the Initial Purchased
Securities, (ii) First Subsequent Closing Date with respect to the First Subsequently Purchased Securities and (iii) Second Subsequent
Closing Date with respect to the Second Subsequently Purchased Securities, and the Company is then in compliance with its obligations
under Section 4(c) hereof (or if such Underlying Shares shall be issued on or after the date that is twelve (12) months following the
(i) Initial Closing Date with respect to the Initial Purchased Securities, (ii) First Subsequent Closing Date with respect to the First
Subsequently Purchased Securities and (iii) Second Subsequent Closing Date with respect to the Second Subsequently Purchased Securities,
regardless of whether the Company is then in compliance with its obligations under Section 4(c) hereof) such shares shall not bear any
legend referring to transfer restrictions under the Securities Act or other securities law.  The Company represents and warrants
that no instruction other than the Irrevocable Transfer Agent Instructions referred to in this Section 5(b), and stop transfer instructions
to give effect to Section 2(g) hereof, will be given by the Company to the Transfer Agent with respect to the Securities, and that the
Securities shall otherwise be freely transferable on the books and records of the Company, as applicable, to the extent provided in this
Agreement and the other Transaction Documents.  If a Buyer effects a sale, assignment or transfer of the Securities in accordance
with Section 2(g), the Company shall permit the transfer and shall promptly instruct the Transfer Agent to issue one or more certificates
or credit shares to the applicable balance accounts at DTC in such name and in such denominations as specified by such Buyer to effect
such sale, transfer or assignment.  In the event that such sale, assignment or transfer involves Underlying Shares sold, assigned
or transferred pursuant to an effective registration statement or in compliance with Rule 144, the Transfer Agent shall issue such shares
to such Buyer, assignee or transferee (as the case may be) without any restrictive legend in accordance with Section 5(d). The Company
acknowledges that a breach by it of its obligations hereunder will cause irreparable harm to a Buyer.  Accordingly, the Company acknowledges
that the remedy at law for a breach of its obligations under this Section 5(b) will be inadequate and agrees, in the event of
a breach or threatened breach by the Company of the provisions of this Section 5(b), that a Buyer shall be entitled, in addition
to all other available remedies, to an order and/or injunction restraining any breach and requiring immediate issuance and transfer, without
the necessity of showing economic loss and without any bond or other security being required.  Any fees (with respect to the Transfer
Agent, counsel to the Company or otherwise) associated with the removal of any legends on any of the Securities shall be borne by the
Company.

 

(c) Legends. 
Each Buyer understands that the Securities have been issued (or will be issued in the case of the Underlying Shares) pursuant to an exemption
from registration or qualification under the 1933 Act and applicable state securities laws, and except as set forth herein, the Securities
shall bear any legend as required by the “blue sky” laws of any state and a restrictive legend in substantially the following
form (and a stop-transfer order may be placed against transfer of such stock certificates):

 

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Note Legend

 

THE ISSUANCE AND SALE OF THE SECURITIES REPRESENTED BY THIS
CERTIFICATE HAVE BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR APPLICABLE STATE
SECURITIES LAWS. UNTIL THE DATE THAT IS ONE (1) YEAR AFTER THE ISSUE DATE (AS DEFINED ON THE REVERSE OF THIS NOTE), THE SECURITIES MAY
NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT
OR PURSUANT TO AN EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION AND PROSPECTUS-DELIVERY REQUIREMENTS OF THE SECURITIES
ACT.

 

Underlying Shares Legend

 

THE SECURITIES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN
REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS.  THE SECURITIES MAY NOT BE OFFERED
FOR SALE, SOLD, TRANSFERRED OR ASSIGNED (I) IN THE ABSENCE OF (A) AN EFFECTIVE REGISTRATION STATEMENT FOR THE SECURITIES UNDER
THE SECURITIES ACT OF 1933, AS AMENDED, OR (B) AN OPINION OF COUNSEL TO THE HOLDER (IF REQUESTED BY THE COMPANY), IN A FORM REASONABLY
ACCEPTABLE TO THE COMPANY, THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR (II) UNLESS SOLD OR ELIGIBLE TO BE SOLD PURSUANT TO
RULE 144 OR RULE 144A UNDER SAID ACT.  NOTWITHSTANDING THE FOREGOING, THE SECURITIES MAY BE PLEDGED IN CONNECTION WITH A BONA
FIDE MARGIN ACCOUNT OR OTHER LOAN OR FINANCING ARRANGEMENT SECURED BY THE SECURITIES.

 

Warrant Legend

 

THE SECURITIES REPRESENTED BY THIS WARRANT, AND THE SECURITIES
ISSUABLE UPON EXERCISE HEREOF, HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS.
THE SECURITIES HAVE BEEN ACQUIRED FOR INVESTMENT AND MAY NOT BE OFFERED FOR SALE, SOLD, TRANSFERRED OR ASSIGNED IN THE ABSENCE OF AN EFFECTIVE
REGISTRATION STATEMENT FOR THE SECURITIES UNDER THE SECURITIES ACT OF 1933, AS AMENDED, OR APPLICABLE STATE SECURITIES LAWS, OR AN OPINION
OF COUNSEL IN A FORM REASONABLY SATISFACTORY TO THE ISSUER THAT REGISTRATION IS NOT REQUIRED UNDER SAID ACT OR APPLICABLE STATE SECURITIES
LAWS.

 

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(d) Removal
of Legends.  Certificates evidencing Securities shall not be required to contain the legend set forth in Section 5(c) or any
other legend (i) while a registration statement covering the resale of such Securities is effective under the 1933 Act, (ii) following
any sale of such Securities pursuant to Rule 144 (assuming the transferor is not an affiliate of the Company), provided that a Buyer furnishes
the Company with reasonable assurances that such Securities are eligible for sale, assignment or transfer under Rule 144, which shall
not include an opinion of Buyer’s counsel, (iii) if such Securities are eligible to be sold, assigned or transferred under Rule
144 free of the current public information reporting requirement contained in Rule 144(c)(1), (iv) in connection with a sale, assignment
or other transfer (other than under Rule 144), provided that such Buyer provides the Company with an opinion of counsel to such Buyer,
in a generally acceptable form, to the effect that such sale, assignment or transfer of the Securities may be made without registration
under the applicable provisions of the 1933 Act or (v) if such legend is not required under applicable requirements of the 1933 Act (including,
without limitation, controlling judicial interpretations and pronouncements issued by the SEC). If a legend is not required pursuant to
the foregoing, the Company shall no later than two (2) Business Days (or such earlier date as required pursuant to the 1934 Act or other
applicable law, rule or regulation for the settlement of a trade initiated on the date such Buyer delivers such legended certificate representing
such Securities to the Company) following the delivery by a Buyer to the Company or the Transfer Agent (with notice to the Company) of
a legended certificate representing such Securities (endorsed or with stock powers attached, signatures guaranteed, and otherwise in form
necessary to affect the reissuance and/or transfer, if applicable), together with any other deliveries from such Buyer as may be reasonably
required above in this Section 5(d) (such date, the “Legend Removal Date”), as directed by such Buyer, either: (A)
provided that the Transfer Agent is participating in FAST, credit the applicable number of shares of Common Stock to which such Buyer
shall be entitled to such Buyer’s or its designee’s balance account with DTC through its DWAC system or (B) if the Transfer
Agent is not participating in FAST, issue and deliver (via reputable overnight courier) to such Buyer, a certificate representing such
Securities that is free from all restrictive and other legends, registered in the name of such Buyer or its designee. The Company shall
be responsible for any transfer agent fees or DTC fees with respect to any issuance of Securities or the removal of any legends with respect
to any Securities in accordance herewith and the Buyer shall not be required to deliver or cause to be delivered a legal opinion in connection
with a sale of such Securities pursuant to Rule 144.

 

(e) If
the Company or the Transfer Agent fails to deliver shares to a Buyer or an applicable assignee or transferee (as the case may be) without
any restrictive legend in accordance with Section 5(b) or Section 5(d), then in addition to such Buyer’s other available remedies
hereunder, the Company shall pay to such Buyer, in cash, (1) as partial liquidated damages and not as a penalty, for each $1,000 of Underlying
Shares (based on the Weighted Average Price (as defined in the Warrants) of the Common Stock on the date such Buyer delivers notice or
a legended certificate, as applicable, to the Company or the Transfer Agent) for which the Company or the Transfer Agent fails to deliver
shares without any restrictive legend an amount equal to $10 per Trading Day (increasing to $20 per Trading Day five (5) Trading Days
after such damages have begun to accrue) for each Trading Day after the Legend Removal Date until such undelivered shares are delivered
without a legend; and (2) if the Company is obligated to remove the restrictive legends pursuant to Section 5(d) but fails to (a) issue
and deliver (or cause to be delivered) shares to a Buyer by the Legend Removal Date that are free from all restrictive and other legends
and (b) if after the Legend Removal Date a Buyer purchases (in an open market transaction or otherwise) shares of Common Stock to deliver
in settlement of a sale by the Buyer of all or any portion of the number of shares of Common Stock, or a sale of a number of shares of
Common Stock equal to all or any portion of the number of shares of Common Stock, that the Buyer anticipated receiving from the Company
without any restrictive legend, then an amount equal to the excess of the Buyer’s total purchase price (including brokerage commissions
and other out-of-pocket expenses, if any) for the shares of Common Stock so purchased (including brokerage commissions and other out-of-pocket
expenses, if any) over the product of (A) such number of shares of Common Stock that the Company was required to deliver to the Buyer
by the Legend Removal Date multiplied by (B) the price at which the sell order giving rise to such purchase obligation was executed. For
avoidance of doubt, this Section 5(e) shall not be duplicative with any provisions in the Notes or the Warrants addressing any failure
to deliver shares without restrictive legends.

 

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(f) FAST
Compliance.  While any Notes or Warrants remain outstanding, the Company shall maintain a transfer agent that participates in
FAST.

 

		6.	CONDITIONS TO THE COMPANY’S OBLIGATION TO SELL the purchased securities.

 

(a) The
obligation of the Company hereunder to issue and sell the Purchased Securities to each Buyer at the Initial Closing, the First Subsequent
Closing and the Second Subsequent Closing is subject to the satisfaction, at or before the Initial Closing Date, the First Subsequent
Closing Date and the Second Subsequent Closing Date, of each of the following conditions, provided that these conditions are for the Company’s
sole benefit and may be waived by the Company at any time in its sole discretion by providing each Buyer with prior written notice thereof:

 

(i) Such
Buyer shall have executed each of the other Transaction Documents to which it is a party and delivered the same to the Company.

 

(ii) Such
Buyer and each other Buyer shall have delivered to the Company the Purchase Price for the Purchased Securities being purchased by such
Buyer at such Closing by wire transfer of immediately available funds in accordance with a Flow of Funds Letter with respect to the Purchased
Securities to be purchased at such Closing.

 

(iii) The
representations and warranties of such Buyer shall be true and correct in all material respects (except for such representations and warranties
that are qualified by materiality or material adverse effect, which shall be true and correct in all respects) as of the date when made
and as of the date of such Closing as though originally made at that time (except for representations and warranties that speak as of
a specific date, which shall be true and correct as of such specific date), and such Buyer shall have performed, satisfied and complied
in all material respects with the covenants, agreements and conditions required by this Agreement to be performed, satisfied or complied
with by such Buyer at or prior to the date of such Closing.

 

(iv) The
Buyers and the Company shall have mutually agreed to the allocation of the issue price between the Notes and the Warrants in accordance
with Section 1(b).

 

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		7.	CONDITIONS TO EACH BUYER’S OBLIGATION TO PURCHASE the purchased securities.

 

(a) The
obligation of each Buyer hereunder to purchase its Purchased Securities at the Initial Closing is subject to the satisfaction, at or before
the Initial Closing Date, of each of the following conditions, provided that these conditions are for each Buyer’s sole benefit
and may be waived by such Buyer at any time in its sole discretion by providing the Company with prior written notice thereof:

 

(i) The
Company and each Subsidiary (as the case may be) shall have duly executed and delivered to such Buyer each of the Transaction Documents
to which it is a party and the Company shall have duly executed and delivered to such Buyer the Initial Purchased Securities set forth
across from such Buyer’s name on the Schedule of Buyers at the Initial Closing pursuant to this Agreement.

 

(ii) Such
Buyer shall have received the opinion of Burns & Levinson LLP, the Company’s counsel, dated as of the Initial Closing Date,
in the form acceptable to such Buyer.

 

(iii) Such
Buyer shall have received the opinion of Sherman & Howard LLC, in its capacity as the Company’s Nevada counsel, dated as of
the Initial Closing Date, in the form acceptable to such Buyer.

 

(iv) Such
Buyer shall have received the opinion of Sherman & Howard LLC, in its capacity as the Company’s Colorado counsel, dated as of
the Initial Closing Date, in the form acceptable to such Buyer.

 

(v) The
Company shall have delivered to such Buyer a copy of the Irrevocable Transfer Agent Instructions, dated as of the Initial Closing Date,
in the form acceptable to such Buyer, which instructions shall have been delivered to and acknowledged in writing by the Transfer Agent.

 

(vi) The
Company shall have delivered to such Buyer a certificate evidencing the formation and good standing of the Company and each of its Subsidiaries
in each such entity’s jurisdiction of formation issued by the Secretary of State (or comparable office) of such jurisdiction of
formation as of a date within ten (10) days of the Initial Closing Date.

 

(vii) The
Company shall have delivered to such Buyer a certified copy of the Articles of Incorporation of the Company as certified by the Nevada
Secretary of State within ten (10) days of the Initial Closing Date.

 

(viii) The
Company shall have delivered to such Buyer a certificate, in the form acceptable to such Buyer, executed by the Secretary of the Company
and dated as of the Initial Closing Date, as to (i) the resolutions consistent with Section 3(b) as adopted by the Company’s
Board of Directors or a committee thereof in a form reasonably acceptable to such Buyer, (ii) the Articles of Incorporation of the
Company and (iii) the Bylaws of the Company, each as in effect at the Initial Closing.

 

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(ix) Each
and every representation and warranty of the Company shall be true and correct in all material respects (except for such representations
and warranties that are qualified by materiality or material adverse effect, which shall be true and correct in all respects) as of the
date when made and as of the Initial Closing Date as though originally made at that time (except for representations and warranties that
speak as of a specific date, which shall be true and correct as of such specific date) and the Company shall have performed, satisfied
and complied in all respects with the covenants, agreements and conditions required to be performed, satisfied or complied with by the
Company at or prior to the Initial Closing Date.  Such Buyer shall have received a certificate, duly executed by the Chief Executive
Officer or Chief Financial Officer of the Company, dated as of the Initial Closing Date, to the foregoing effect and as to such other
matters as may be reasonably requested by such Buyer in the form acceptable to such Buyer.

 

(x) The
Company shall have delivered to such Buyer a letter from the Transfer Agent certifying the number of shares of Common Stock outstanding
on the Initial Closing Date immediately prior to the Initial Closing.

 

(xi) The
Common Stock (A) shall be designated for quotation or listed (as applicable) on the Principal Market and (B) shall not have
been suspended, as of the Initial Closing Date, by the SEC or the Principal Market from trading on the Principal Market nor shall suspension
by the SEC or the Principal Market have been threatened, as of the Initial Closing Date, either (1) in writing by the SEC or the
Principal Market or (2) by falling below the minimum maintenance requirements of the Principal Market.

 

(xii) The
Company shall have obtained all governmental, regulatory or third party consents and approvals, if any, necessary for the sale of the
Initial Purchased Securities, including without limitation, those required by the Principal Market, if any.

 

(xiii) No
statute, rule, regulation, executive order, decree, ruling or injunction shall have been enacted, entered, promulgated or endorsed by
any court or Governmental Entity of competent jurisdiction that prohibits the consummation of any of the transactions contemplated by
the Transaction Documents.

 

(xiv) Since
the date of execution of this Agreement, no event or series of events shall have occurred that would have or result in a Material Adverse
Effect.

 

(xv) The
Company shall have obtained approval of the Principal Market to list or designate for quotation (as the case may be) the Underlying Shares
for the Initial Purchased Securities and confirmation from the Principal Market that no stockholder vote or other conditions under the
rules of the Principal Market shall apply to the sale of the Initial Purchased Securities or the issuance of such Underlying Shares.

 

(xvi) Such
Buyer shall have received a letter on the letterhead of the Company, duly executed by the Chief Executive Officer or Chief Financial Officer
of the Company, setting forth the wire amounts of each Buyer and the wire transfer instructions of the Company (a “Flow of Funds
Letter”) with respect to the Initial Purchased Securities.

 

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(xvii) The
Company shall have delivered to such Buyer the results of a recent lien, bankruptcy and judgment search in each relevant jurisdiction
with respect to the Company and its Subsidiaries and such search shall reveal no Liens on any of the Collateral (as such term is defined
in the Security Agreements) or other assets of the Company and its Subsidiaries except, in the case of assets other than Collateral, for
Permitted Liens (as such term is defined in the Notes) and except for Liens to be discharged on or prior to the Initial Closing Date pursuant
to documentation reasonably satisfactory to the Buyer.

 

(xviii) The
Company shall have delivered to Buyer a duly completed and executed perfection certificate dated no earlier than three (3) days prior
to the Initial Closing Date, in the form attached hereto as Exhibit F.

 

(xix) All
costs, fees, expenses (including, without limitation legal fees and expenses) contemplated hereby to be payable to the Buyers shall have
been paid to the extent due and, in the case of expenses of the Buyers that are reimbursable in accordance herewith, invoiced at least
one day prior to the Initial Closing Date.

 

(xx) The
Company shall have delivered to such Buyer executed copies of the Stockholder Agreements executed by each of the parties set forth on
Exhibit D.

 

(xxi) The
Buyers and the Company shall have mutually agreed to the allocation of the issue price between the Notes and the Warrants in accordance
with Section 1(b).

 

(xxii) The
Company and its Subsidiaries shall have delivered to such Buyer such other documents, instruments or certificates relating to the transactions
contemplated by the Transaction Documents as such Buyer or its counsel may reasonably request.

 

(b) The
obligation of each Buyer hereunder to purchase its First Subsequently Purchased Securities at the First Subsequent Closing is subject
to the satisfaction, at or before the First Subsequent Closing Date, of each of the following conditions, provided that these conditions
are for each Buyer’s sole benefit and may be waived by such Buyer at any time in its sole discretion by providing the Company with
prior written notice thereof:

 

(i) The
Equity Conditions shall be then satisfied and the Buyers shall have received a certificate, duly executed by the Chief Executive Officer
or Chief Financial Officer of the Company, dated as of the First Subsequent Closing Date, to the foregoing effect. “Equity Conditions”
will be deemed to be satisfied as of any date if all of the following conditions are satisfied as of such date and on each of the twenty
(20) previous Trading Days: (i) the Buyers are not in possession of any material non-public information provided by or on behalf of the
Company; (ii) the issuance of shares issuable upon conversion of the Warrants will not be limited by Section 1(i) of the Warrants; (iii)
no public announcement of a pending, proposed or intended Fundamental Change (as defined in the Notes) has occurred that has not been
abandoned, terminated or consummated; (iv) the Daily VWAP (as defined in the Notes) per share of Common Stock on the Nasdaq Stock Market
is not less than $10.00 subject to proportionate adjustments for stock dividends, splits or combinations and the like occurring after
the date of this Agreement; (v) the daily dollar trading volume (as reported on Bloomberg) of the Common Stock on the Nasdaq Stock Market
is not less than two million dollars ($2,000,000); (vi) no Default or Event of Default (as defined in the Notes) will have occurred or
be continuing; and (vii) there shall be no limitations on issuance of the Underlying Shares under the Company’s organizational documents,
stock exchange rules or other applicable regulatory requirements.

 

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(ii) The
Company and each Subsidiary (as the case may be) shall have duly executed and delivered to such Buyer each of the Transaction Documents
to which it is a party and the Company shall have duly executed and delivered to such Buyer the First Subsequently Purchased Securities
set forth across from such Buyer’s name on the Schedule of Buyers (reduced, proportionately, if applicable, to the extent that the
Buyers approved the First Subsequent Closing in part pursuant to Section 1(a)(vi)(B) hereof) at the First Subsequent Closing Date pursuant
to this Agreement.

 

(iii) Such
Buyer shall have received the opinion of Burns & Levinson LLP, the Company’s counsel, dated as of the First Subsequent Closing
Date, in the form acceptable to such Buyer.

 

(iv) Such
Buyer shall have received the opinion of Sherman & Howard LLC, the Company’s Nevada counsel, dated as of the First Subsequent
Closing Date, in the form acceptable to such Buyer.

 

(v) The
Company shall have delivered to such Buyer a copy of the Irrevocable Transfer Agent Instructions, dated as of the First Subsequent Closing
Date, in the form acceptable to such Buyer, which instructions shall have been delivered to and acknowledged in writing by the Transfer
Agent.

 

(vi) The
Company shall have delivered to such Buyer a certificate evidencing the formation and good standing of the Company and each of its Subsidiaries
in each such entity’s jurisdiction of formation issued by the Secretary of State (or comparable office) of such jurisdiction of
formation as of a date within ten (10) days of the First Subsequent Closing Date.

 

(vii) The
Company shall have delivered to such Buyer a certified copy of the Articles of Incorporation of the Company as certified by the Nevada
Secretary of State within ten (10) days of the First Subsequent Closing Date.

 

(viii) The
Company shall have delivered to such Buyer a certificate, in the form acceptable to such Buyer, executed by the Secretary of the Company
and dated as of the First Subsequent Closing Date, as to (i) the resolutions consistent with Section 3(b) as adopted by the Company’s
Board of Directors or a committee thereof in a form reasonably acceptable to such Buyer, (ii) the Articles of Incorporation of the
Company and (iii) the Bylaws of the Company, each as in effect at the First Subsequent Closing Date.

 

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(ix) Each
and every representation and warranty of the Company shall be true and correct in all material respects (except for such representations
and warranties that are qualified by materiality or material adverse effect, which shall be true and correct in all respects) as of the
date when made and as of the First Subsequent Closing Date as though originally made at that time (except for representations and warranties
that speak as of a specific date, which shall be true and correct as of such specific date) and the Company shall have performed, satisfied
and complied in all material respects with the covenants, agreements and conditions required to be performed, satisfied or complied with
by the Company at or prior to the First Subsequent Closing Date.  Such Buyer shall have received a certificate, duly executed by
the Chief Executive Officer or Chief Financial Officer of the Company, dated as of the First Subsequent Closing Date, to the foregoing
effect and as to such other matters as may be reasonably requested by such Buyer in the form acceptable to such Buyer.

 

(x) The
Company shall have delivered to such Buyer a letter from the Transfer Agent certifying the number of shares of Common Stock outstanding
on the First Subsequent Closing Date immediately prior to the First Subsequent Closing.

 

(xi) The
Common Stock (A) shall be designated for quotation or listed (as applicable) on the Principal Market and (B) shall not have
been suspended, as of the First Subsequent Closing Date, by the SEC or the Principal Market from trading on the Principal Market nor shall
suspension by the SEC or the Principal Market have been threatened, as of the First Subsequent Closing Date, either (1) in writing
by the SEC or the Principal Market or (2) by falling below the minimum maintenance requirements of the Principal Market.

 

(xii) The
Company shall have obtained all governmental, regulatory or third party consents and approvals, if any, necessary for the sale of the
First Subsequently Purchased Securities, including without limitation, those required by the Principal Market, if any.

 

(xiii) No
statute, rule, regulation, executive order, decree, ruling or injunction shall have been enacted, entered, promulgated or endorsed by
any court or Governmental Entity of competent jurisdiction that prohibits the consummation of any of the transactions contemplated by
the Transaction Documents.

 

(xiv) Since
the date of execution of this Agreement, no event or series of events shall have occurred that would have or result in a Material Adverse
Effect.

 

(xv) The
Company shall have obtained approval of the Principal Market to list or designate for quotation (as the case may be) the Underlying Shares
for the First Subsequently Purchased Securities and confirmation from the Principal Market that no stockholder vote or other conditions
under the rules of the Principal Market shall apply to the sale of the First Subsequently Purchased Securities or the issuance of such
Underlying Shares.

 

(xvi) Such
Buyer shall have received a Flow of Funds Letter with respect to the First Subsequently Purchased Securities.

 

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(xvii) The
Company shall have delivered to such Buyer the results of a recent lien, bankruptcy and judgment search in each relevant jurisdiction
with respect to the Company and its Subsidiaries and such search shall reveal no Liens on any of the Collateral (as such term is defined
in the Security Agreements) or other assets of the Company and its Subsidiaries except, in the case of assets other than Collateral, for
Permitted Liens (as such term is defined in the Notes).

 

(xviii) The
Company shall have delivered to Buyer a duly completed and executed perfection certificate dated no earlier than three (3) days prior
to the First Subsequent Closing Date, in the form attached hereto as Exhibit F.

 

(xix) All
costs, fees, expenses (including, without limitation legal fees and expenses) contemplated hereby to be payable to the Buyers shall have
been paid to the extent due and, in the case of expenses of the Buyers that are reimbursable in accordance herewith, invoiced at least
one day prior to the First Subsequent Closing Date.

 

(xx) The
Buyers and the Company shall have mutually agreed to the allocation of the issue price between the Notes and the Warrants purchased in
the First Subsequent Closing in accordance with Section 1(b).

 

(xxi) The
Company and its Subsidiaries shall have delivered to such Buyer such other documents, instruments or certificates relating to the transactions
contemplated by the Transaction Documents as such Buyer or its counsel may reasonably request.

 

(c) The
obligation of each Buyer hereunder to purchase its Second Subsequently Purchased Securities at the Second Subsequent Closing is subject
to the satisfaction, at or before the Second Subsequent Closing Date, of each of the following conditions, provided that these conditions
are for each Buyer’s sole benefit and may be waived by such Buyer at any time in its sole discretion by providing the Company with
prior written notice thereof:

 

(i) The
Equity Conditions shall be then satisfied and the Buyers shall have received a certificate, duly executed by the Chief Executive Officer
or Chief Financial Officer of the Company, dated as of the Second Subsequent Closing Date, to the foregoing effect.

 

(ii) The
Company and each Subsidiary (as the case may be) shall have duly executed and delivered to such Buyer each of the Transaction Documents
to which it is a party and the Company shall have duly executed and delivered to such Buyer the Second Subsequently Purchased Securities
set forth across from such Buyer’s name on the Schedule of Buyers (reduced, proportionately, if applicable, to the extent that the
Buyers approved the Second Subsequent Closing in part pursuant to Section 1(a)(x)(B) hereof) at the Second Subsequent Closing Date pursuant
to this Agreement.

 

(iii) Such
Buyer shall have received the opinion of Burns & Levinson LLP, the Company’s counsel, dated as of the Second Subsequent Closing
Date, in the form acceptable to such Buyer.

 

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(iv) Such
Buyer shall have received the opinion of Sherman & Howard LLC, the Company’s Nevada counsel, dated as of the Second Subsequent
Closing Date, in the form acceptable to such Buyer.

 

(v) The
Company shall have delivered to such Buyer a copy of the Irrevocable Transfer Agent Instructions, dated as of the Second Subsequent Closing
Date, in the form acceptable to such Buyer, which instructions shall have been delivered to and acknowledged in writing by the Transfer
Agent.

 

(vi) The
Company shall have delivered to such Buyer a certificate evidencing the formation and good standing of the Company and each of its Subsidiaries
in each such entity’s jurisdiction of formation issued by the Secretary of State (or comparable office) of such jurisdiction of
formation as of a date within ten (10) days of the Second Subsequent Closing Date.

 

(vii) The
Company shall have delivered to such Buyer a certified copy of the Articles of Incorporation of the Company as certified by the Nevada
Secretary of State within ten (10) days of the Second Subsequent Closing Date.

 

(viii) The
Company shall have delivered to such Buyer a certificate, in the form acceptable to such Buyer, executed by the Secretary of the Company
and dated as of the Second Subsequent Closing Date, as to (i) the resolutions consistent with Section 3(b) as adopted by the Company’s
Board of Directors or a committee thereof in a form reasonably acceptable to such Buyer, (ii) the Articles of Incorporation of the
Company and (iii) the Bylaws of the Company, each as in effect at the Second Subsequent Closing Date.

 

(ix) Each
and every representation and warranty of the Company shall be true and correct in all material respects (except for such representations
and warranties that are qualified by materiality or material adverse effect, which shall be true and correct in all respects) as of the
date when made and as of the Second Subsequent Closing Date as though originally made at that time (except for representations and warranties
that speak as of a specific date, which shall be true and correct as of such specific date) and the Company shall have performed, satisfied
and complied in all material respects with the covenants, agreements and conditions required to be performed, satisfied or complied with
by the Company at or prior to the Second Subsequent Closing Date.  Such Buyer shall have received a certificate, duly executed by
the Chief Executive Officer or Chief Financial Officer of the Company, dated as of the Second Subsequent Closing Date, to the foregoing
effect and as to such other matters as may be reasonably requested by such Buyer in the form acceptable to such Buyer.

 

(x) The
Company shall have delivered to such Buyer a letter from the Transfer Agent certifying the number of shares of Common Stock outstanding
on the Second Subsequent Closing Date immediately prior to the Second Subsequent Closing.

 

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(xi) The
Common Stock (A) shall be designated for quotation or listed (as applicable) on the Principal Market and (B) shall not have
been suspended, as of the Second Subsequent Closing Date, by the SEC or the Principal Market from trading on the Principal Market nor
shall suspension by the SEC or the Principal Market have been threatened, as of the Second Subsequent Closing Date, either (1) in
writing by the SEC or the Principal Market or (2) by falling below the minimum maintenance requirements of the Principal Market.

 

(xii) The
Company shall have obtained all governmental, regulatory or third party consents and approvals, if any, necessary for the sale of the
Second Subsequently Purchased Securities, including without limitation, those required by the Principal Market, if any.

 

(xiii) No
statute, rule, regulation, executive order, decree, ruling or injunction shall have been enacted, entered, promulgated or endorsed by
any court or Governmental Entity of competent jurisdiction that prohibits the consummation of any of the transactions contemplated by
the Transaction Documents.

 

(xiv) Since
the date of execution of this Agreement, no event or series of events shall have occurred that would have or result in a Material Adverse
Effect.

 

(xv) The
Company shall have obtained approval of the Principal Market to list or designate for quotation (as the case may be) the Underlying Shares
for the Second Subsequently Purchased Securities and confirmation from the Principal Market that no stockholder vote or other conditions
under the rules of the Principal Market shall apply to the sale of the Second Subsequently Purchased Securities or the issuance of such
Underlying Shares.

 

(xvi) Such
Buyer shall have received a Flow of Funds Letter with respect to the Second Subsequently Purchased Securities.

 

(xvii) The
Company shall have delivered to such Buyer the results of a recent lien, bankruptcy and judgment search in each relevant jurisdiction
with respect to the Company and its Subsidiaries and such search shall reveal no Liens on any of the Collateral (as such term is defined
in the Security Agreements) or other assets of the Company and its Subsidiaries except, in the case of assets other than Collateral, for
Permitted Liens (as such term is defined in the Notes).

 

(xviii) The
Company shall have delivered to Buyer a duly completed and executed perfection certificate dated no earlier than three (3) days prior
to the Second Subsequent Closing Date, in the form attached hereto as Exhibit F.

 

(xix) All
costs, fees, expenses (including, without limitation, legal fees and expenses) contemplated hereby to be payable to the Buyers shall have
been paid to the extent due and, in the case of expenses of the Buyers that are reimbursable in accordance herewith, invoiced at least
one day prior to the Second Subsequent Closing Date.

 

(xx) The
Buyers and the Company shall have mutually agreed to the allocation of the issue price between the Notes and the Warrants purchased in
the Second Subsequent Closing in accordance with Section 1(b).

 

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(xxi) The
Company and its Subsidiaries shall have delivered to such Buyer such other documents, instruments or certificates relating to the transactions
contemplated by the Transaction Documents as such Buyer or its counsel may reasonably request.

 

		8.	TERMINATION.

 

In the event that the Initial Closing shall not
have occurred with respect to a Buyer within five (5) Business Days of the date hereof, then such Buyer shall have the right to terminate
its obligations under this Agreement with respect to itself at any time on or after the close of business on such date without liability
of such Buyer to any other party; provided, however, (i) the right to terminate this Agreement under this Section 8 shall not
be available to such Buyer if the failure of the transactions contemplated by this Agreement to have been consummated by such date is
the result of such Buyer’s breach of this Agreement and (ii) the abandonment of the sale and purchase of the Purchased Securities
shall be applicable only to such Buyer providing such written notice; provided further that no such termination shall affect any obligation
of the Company under this Agreement to reimburse such Buyer for the expenses described in Section 4(g) above.  Nothing contained
in this Section 8 shall be deemed to release any party from any liability for any breach by such party of the terms and provisions
of this Agreement or the other Transaction Documents or to impair the right of any party to compel specific performance by any other party
of its obligations under this Agreement or the other Transaction Documents; provided, that, notwithstanding anything herein to the contrary,
upon the consummation of the Initial Closing, (i) that certain term sheet entered into between the parties on December 29, 2021, as amended
and restated by that certain term sheet entered into between the parties dated February 16, 2022 (the “Term Sheet”)
shall without the need for any further action, automatically terminate and be of no further force or effect, and (ii) each party automatically
releases each other party and its affiliates and their respective officers, directors, employees, shareholders and agents from any and
all demands, causes of action or other claims whatsoever related to, arising under, or concerning the Term Sheet, whether known or unknown,
which it, its successors or assigns had, now have or may hereafter have against any of them; provided further, however, that in the event
that this Agreement is terminated prior to the consummation of the Initial Closing, the Term Sheet and all rights and obligations thereunder
shall continue to survive and be enforceable in accordance with the term of the Term Sheet.

 

		9.	MISCELLANEOUS.

 

(a) Governing
Law; Jurisdiction; Jury Trial.  All questions concerning the construction, validity, enforcement and interpretation of this Agreement
shall be governed by the internal laws of the State of Delaware, without giving effect to any choice of law or conflict of law provision
or rule (whether of the State of Delaware or any other jurisdictions) that would cause the application of the laws of any jurisdictions
other than the State of Delaware.  The Company and each Buyer hereby irrevocably submits to the exclusive jurisdiction of the Court
of Chancery of the State of Delaware for the adjudication of any dispute hereunder or in connection herewith or under any of the other
Transaction Documents or with any transaction contemplated hereby or thereby, and hereby irrevocably waives, and agrees not to assert
in any suit, action or proceeding, any claim that it is not personally subject to the jurisdiction of any such court, that such suit,
action or proceeding is brought in an inconvenient forum or that the venue of such suit, action or proceeding is improper.  Each
party hereby irrevocably waives personal service of process and consents to process being served in any such suit, action or proceeding
by mailing a copy thereof to such party at the address for such notices to it under this Agreement and agrees that such service shall
constitute good and sufficient service of process and notice thereof.  Nothing contained herein shall be deemed to limit in any way
any right to serve process in any manner permitted by law.  Nothing contained herein shall be deemed or operate to preclude any Buyer
from bringing suit or taking other legal action against the Company in any other jurisdiction to collect on the Company’s obligations
to such Buyer or to enforce a judgment or other court ruling in favor of such Buyer.  EACH PARTY HEREBY IRREVOCABLY WAIVES ANY
RIGHT IT MAY HAVE TO, AND AGREES NOT TO REQUEST, A JURY TRIAL FOR THE ADJUDICATION OF ANY DISPUTE HEREUNDER OR UNDER ANY OTHER TRANSACTION
DOCUMENT OR IN CONNECTION WITH OR ARISING OUT OF THIS AGREEMENT, ANY OTHER TRANSACTION DOCUMENT OR ANY TRANSACTION CONTEMPLATED HEREBY
OR THEREBY.

 

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(b) Counterparts;
Electronic Signatures.  This Agreement may be executed in two or more identical counterparts, all of which shall be considered
one and the same agreement and shall become effective when counterparts have been signed by each party and delivered to the other party. 
In the event that any signature is delivered by facsimile transmission or by an e-mail which contains a portable document format (.pdf)
file of an executed signature page, such signature page shall create a valid and binding obligation of the party executing (or on
whose behalf such signature is executed) with the same force and effect as if such signature page were an original thereof. A party’s
electronic signature (complying with the New York Electronic Signatures and Records Act (N.Y. State Tech. §§ 301-309), as amended
from time to time, or other applicable law) of this Agreement shall have the same validity and effect as a signature affixed by the party’s
hand.

 

(c) Headings;
Gender; Interpretation.  The headings of this Agreement are for convenience of reference and shall not form part of, or affect
the interpretation of, this Agreement.  Unless the context clearly indicates otherwise, each pronoun herein shall be deemed to include
the masculine, feminine, neuter, singular and plural forms thereof.  The terms “including,” “includes,” “include”
and words of like import shall be construed broadly as if followed by the words “without limitation.”  The terms “herein,”
“hereunder,” “hereof” and words of like import refer to this entire Agreement instead of just the provision in
which they are found. Unless the context otherwise requires, references herein: (x) to Articles, Sections, Schedules and Exhibits mean
the Articles and Sections of, and Schedules and Exhibits attached to, this Agreement; (y) to an agreement, instrument or other document
means such agreement, instrument or other document as amended, supplemented and modified from time to time to the extent permitted by
the provisions thereof and (z) to a statute means such statute as amended from time to time and includes any successor legislation thereto
and any regulations promulgated thereunder.

 

(d) Severability;
Maximum Payment Amounts.  If any provision of this Agreement is prohibited by law or otherwise determined to be invalid or unenforceable
by a court of competent jurisdiction, the provision that would otherwise be prohibited, invalid or unenforceable shall be deemed amended
to apply to the broadest extent that it would be valid and enforceable, and the invalidity or unenforceability of such provision shall
not affect the validity of the remaining provisions of this Agreement so long as this Agreement as so modified continues to express, without
material change, the original intentions of the parties as to the subject matter hereof and the prohibited nature, invalidity or unenforceability
of the provision(s) in question does not substantially impair the respective expectations or reciprocal obligations of the parties
or the practical realization of the benefits that would otherwise be conferred upon the parties.  The parties will endeavor in good
faith negotiations to replace the prohibited, invalid or unenforceable provision(s) with a valid provision(s), the effect of which
comes as close as possible to that of the prohibited, invalid or unenforceable provision(s).  Notwithstanding anything to the contrary
contained in this Agreement or any other Transaction Document (and without implication that the following is required or applicable),
it is the intention of the parties that in no event shall amounts and value paid by the Company and/or any of its Subsidiaries (as the
case may be), or payable to or received by any of the Buyers, under the Transaction Documents (including without limitation, any amounts
that would be characterized as “interest” under applicable law) exceed amounts permitted under any applicable law.  Accordingly,
if any obligation to pay, payment made to any Buyer, or collection by any Buyer pursuant the Transaction Documents is finally judicially
determined to be contrary to any such applicable law, such obligation to pay, payment or collection shall be deemed to have been made
by mutual mistake of such Buyer, the Company and its Subsidiaries and such amount shall be deemed to have been adjusted with retroactive
effect to the maximum amount or rate of interest, as the case may be, as would not be so prohibited by the applicable law.  Such
adjustment shall be effected, to the extent necessary, by reducing or refunding, at the option of such Buyer, the amount of interest or
any other amounts which would constitute unlawful amounts required to be paid or actually paid to such Buyer under the Transaction Documents. 
For greater certainty, to the extent that any interest, charges, fees, expenses or other amounts required to be paid to or received by
such Buyer under any of the Transaction Documents or related thereto are held to be within the meaning of “interest” or another
applicable term to otherwise be violative of applicable law, such amounts shall be pro-rated over the period of time to which they relate.

 

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(e) Entire
Agreement; Amendments.  This Agreement, the other Transaction Documents and the schedules and exhibits attached hereto and thereto
and the instruments referenced herein and therein supersede all other prior oral or written agreements between the Buyers, the Company,
its Subsidiaries, their affiliates and Persons acting on their behalf, including, without limitation, any transactions by any Buyer with
respect to Common Stock or the Securities, and the other matters contained herein and therein, and this Agreement, the other Transaction
Documents, the schedules and exhibits attached hereto and thereto and the instruments referenced herein and therein contain the entire
understanding of the parties solely with respect to the matters covered herein and therein; provided, however, nothing contained in this
Agreement or any other Transaction Document shall (or shall be deemed to)  have any effect on any agreements any Buyer has entered
into with, or any instruments any Buyer has received from, the Company or any of its Subsidiaries prior to the date hereof with respect
to any prior investment made by such Buyer in the Company.  Except as specifically set forth herein or therein, neither the Company
nor any Buyer makes any representation, warranty, covenant or undertaking.  For clarification purposes, the Recitals are part of
this Agreement.  No provision of this Agreement may be amended other than by an instrument in writing signed by the Company and the
Required Holders, and any amendment to any provision of this Agreement made in conformity with the provisions of this Section 9(e) shall
be binding on all Buyers and holders of Securities, as applicable; provided that no such amendment shall be effective to the extent that
it (A) applies to less than all of the holders of the Securities then outstanding or (B) imposes any obligation or liability
on any Buyer without such Buyer’s prior written consent (which may be granted or withheld in such Buyer’s sole discretion). 
No waiver shall be effective unless it is in writing and signed by an authorized representative of the waiving party, provided that the
Required Holders may waive any provision of this Agreement, and any waiver of any provision of this Agreement made in conformity with
the provisions of this Section 9(e) shall be binding on all Buyers and holders of Securities, as applicable, provided that no
such waiver shall be effective to the extent that it (1) applies to less than all of the holders of the Securities then outstanding
(unless a party gives a waiver as to itself only) or (2) imposes any obligation or liability on any Buyer without such Buyer’s
prior written consent (which may be granted or withheld in such Buyer’s sole discretion).  No consideration (other than reimbursement
of legal fees) shall be offered or paid to any Person to amend or consent to a waiver or modification of any provision of any of the Transaction
Documents unless the same consideration also is offered to all of the parties to the Transaction Documents and all holders of the Purchased
Securities.  From the date hereof and while any Purchased Securities are outstanding, the Company shall not be permitted to receive
any consideration from a Buyer or a holder of Purchased Securities that is not otherwise contemplated by the Transaction Documents in
order to, directly or indirectly, induce the Company or any Subsidiary (i) to treat such Buyer or holder of Purchased Securities
in a manner that is more favorable than to other similarly situated Buyers or holders of Purchased Securities, or (ii) to treat any
Buyer(s) or holder(s) of Purchased Securities in a manner that is less favorable than the Buyer or holder of Purchased Securities
that is paying such consideration; provided, however, that the determination of whether a Buyer has been treated more or less favorably
than another Buyer shall disregard any securities of the Company purchased or sold by any Buyer.  The Company has not, directly or
indirectly, made any agreements with any Buyers relating to the terms or conditions of the transactions contemplated by the Transaction
Documents except as set forth in the Transaction Documents.  Without limiting the foregoing, the Company confirms that, except as
set forth in this Agreement, no Buyer has made any commitment or promise or has any other obligation to provide any financing to the Company,
any Subsidiary or otherwise.  As a material inducement for each Buyer to enter into this Agreement, the Company expressly acknowledges
and agrees that (x) no due diligence or other investigation or inquiry conducted by a Buyer, any of its advisors or any of its representatives
shall affect such Buyer’s right to rely on, or shall modify or qualify in any manner or be an exception to any of, the Company’s
representations and warranties contained in this Agreement or any other Transaction Document and (y) unless a provision of this Agreement
or any other Transaction Document is expressly preceded by the phrase “Except as disclosed in the SEC Documents” or other
similar language, nothing contained in any of the SEC Documents shall affect such Buyer’s right to rely on, or shall modify or qualify
in any manner or be an exception to any of, the Company’s representations and warranties contained in this Agreement or any other
Transaction Document.  “Required Holders” means (I) prior to the Initial Closing Date, each Buyer entitled
to purchase Initial Purchased Securities at the Closing, and (II) on or after the Initial Closing Date, holders of a majority of
the Underlying Shares in the aggregate as of such time issued or issuable hereunder or pursuant to the Warrants; provided that such majority
must include High Trail Special Situations LLC, so long as High Trail Special Situations LLC or any of its affiliates holds at least 50%
of the aggregate principal amount of the Notes outstanding or fifty percent (50%) of the outstanding Warrants.

 

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(f) Notices. 
Any notices, consents, waivers or other communications required or permitted to be given under the terms of this Agreement must be in
writing and will be deemed to have been delivered:  (i) upon receipt, when delivered personally; (ii) upon receipt, when
sent by electronic mail (provided that such sent email is kept on file (whether electronically or otherwise) by the sending party and
the sending party does not receive an automatically generated message from the recipient’s email server that such e-mail could not
be delivered to such recipient); or (iii) one (1) Business Day after deposit with an overnight courier service with next day
delivery specified, in each case, properly addressed to the party to receive the same.  The addresses and e-mail addresses for such
communications shall be:

 

If to the Company:

 

Agrify Corporation

76 Treble Cove Road, Building 3

Billerica, MA 01862

 

	 	Telephone:	(919) 619-7346
	 	Attention:	Joshua Savitz, Esq., Associate General Counsel
	 	E-Mail:	josh.savitz@agrify.com

 

With a copy (for informational purposes only) to:

 

Burns & Levinson LLP

125 Summer Street

Boston, MA 02110

Telephone: 617-345-3684

Attention: Frank A. Segall, Esq.

Email: FSegall@burnslev.com

 

If to the Transfer Agent:

 

Broadridge Financial Solutions, Inc.

51 Mercedes Way

Edgewood, NY 11717

Attention: Lia Ludwig

Email: lia.ludwig@broadridge.com

 

If to a Buyer, to (i) its e-mail address set forth on the Schedule
of Buyers, with copies to such Buyer’s representatives as set forth on the Schedule of Buyers and (ii) to Eric Helenek, High Trail
Capital, 221 River Street, 9th Floor, Hoboken, NJ 07030 (telephone: (917) 414-1733).

with a copy (for informational purposes only) to:

 

Latham & Watkins LLP

12670 High Bluff Drive

San Diego, CA 92130

Telephone:  (858) 523-5400

Attention: Michael E. Sullivan, Esq.

E-mail:  michael.sullivan@lw.com

 

or to such other address, e-mail address and/or to the attention of
such other Person as the recipient party has specified by written notice given to each other party five (5) days prior to the effectiveness
of such change.  Written confirmation of receipt (A) given by the recipient of such notice, consent, waiver or other communication,
(B)  electronically generated by the sender’s e-mail or (C) provided by an overnight courier service shall be rebuttable
evidence of personal service, receipt by e-mail or receipt from an overnight courier service in accordance with clause (i), (ii) or
(iii) above, respectively.

 

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(g) Successors
and Assigns.  This Agreement shall be binding upon and inure to the benefit of the parties and their respective successors and
assigns, including any purchasers of any of the Purchased Securities.  The Company shall not assign this Agreement or any rights
or obligations hereunder without the prior written consent of the Required Holders, including, without limitation, by way of a Fundamental
Change (as defined in the Notes) or a Fundamental Transaction (as defined in the Warrants) (unless the Company is in compliance with the
applicable provisions governing Fundamental Changes set forth in the Notes and the provisions governing Fundamental Transaction set forth
in the Warrants).  A Buyer may assign some or all of its rights hereunder in connection with any transfer of any of its Securities
without the consent of the Company, provided such assignee agrees in writing to be bound by the provisions hereof that apply to Buyers
in which event such assignee shall be deemed to be a Buyer hereunder with respect to such assigned rights, and provided further that such
Buyer shall provide the Company with notice of the assignment at least two (2) Business Days prior to such assignment.

 

(h) No
Third Party Beneficiaries.  This Agreement is intended for the benefit of the parties hereto and their respective permitted successors
and assigns, and is not for the benefit of, nor may any provision hereof be enforced by, any other Person, other than the Indemnitees
referred to in Section 4(y) and 9(k). 

 

(i) Survival. 
The representations, warranties, agreements and covenants shall survive the Initial Closing, the First Subsequent Closing and the Second
Subsequent Closing.  Each Buyer shall be responsible only for its own representations, warranties, agreements and covenants hereunder.

 

(j) Further
Assurances.  Each party shall do and perform, or cause to be done and performed, all such further acts and things, and shall
execute and deliver all such other agreements, certificates, instruments and documents, as any other party may reasonably request in order
to carry out the intent and accomplish the purposes of this Agreement and the consummation of the transactions contemplated hereby.

 

(k) Indemnification. 

 

(i) In
consideration of each Buyer’s execution and delivery of the Transaction Documents and acquiring the Securities thereunder and in
addition to all of the Company’s other obligations under the Transaction Documents, the Company shall defend, protect, indemnify
and hold harmless each Buyer and each holder of any Securities and all of their stockholders, partners, members, officers, directors,
employees and direct or indirect investors and any of the foregoing Persons’ agents or other representatives (including, without
limitation, those retained in connection with the transactions contemplated by this Agreement) (collectively, the “Indemnitees”)
from and against any and all actions, causes of action, suits, claims, losses, costs, penalties, fees, liabilities and damages, and expenses
in connection therewith (irrespective of whether any such Indemnitee is a party to the action for which indemnification hereunder is sought),
and including actual reasonable and documented attorneys’ fees and disbursements (the “Indemnified Liabilities”),
incurred by any Indemnitee as a result of, or arising out of, or relating to (i) any misrepresentation or breach of any representation
or warranty made by the Company or any Subsidiary in any of the Transaction Documents, (ii) any breach of any covenant, agreement
or obligation of the Company or any Subsidiary contained in any of the Transaction Documents or (iii) any cause of action, suit,
proceeding or claim brought or made against such Indemnitee by a third party (including for these purposes a derivative action brought
on behalf of the Company or any Subsidiary) or which otherwise involves such Indemnitee that arises out of or results from (A) the
execution, delivery, performance or enforcement of any of the Transaction Documents (including, without limitation, any hedging or similar
activities in connection therewith), or (B) the status of such Buyer or holder of the Securities either as an investor in the Company
pursuant to the transactions contemplated by the Transaction Documents or as a party to this Agreement (including, without limitation,
any hedging or similar activities in connection therewith or as a party in interest or otherwise in any action or proceeding for injunctive
or other equitable relief); provided, however, that the Company will not be liable in any such case to a Buyer or its related Indemnitees
to the extent that any such claim, loss, damage, liability or expense arise primarily out of or is based primarily upon (i) the inaccuracy
of any representations and warranties made by such Buyer herein, or (ii) the gross negligence or willful misconduct of any Buyer. 
To the extent that the foregoing undertaking by the Company may be unenforceable for any reason, the Company shall make the maximum contribution
to the payment and satisfaction of each of the Indemnified Liabilities which is permissible under applicable law. 

 

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(ii) Promptly
after receipt by an Indemnitee under this Section 9(k) of notice of the commencement of any action or proceeding (including, without limitation,
any governmental action or proceeding) involving an Indemnified Liability, such Indemnitee shall, if a claim in respect thereof is to
be made against any indemnifying party under this Section 9(k), deliver to the indemnifying party a written notice of the commencement
thereof, and the indemnifying party shall have the right to participate in, and, to the extent the indemnifying party so desires, jointly
with any other indemnifying party similarly noticed, to assume control of the defense thereof with counsel mutually satisfactory to the
indemnifying party and the Indemnitee; provided, however, that an Indemnitee shall have the right to retain its own counsel with the fees
and expenses of such counsel to be paid by the indemnifying party if: (i) the indemnifying party has agreed in writing to pay such fees
and expenses; (ii) the indemnifying party shall have failed promptly to assume the defense of such Indemnified Liability and to employ
counsel reasonably satisfactory to such Indemnitee in any such Indemnified Liability; or (iii) the named parties to any such Indemnified
Liability (including, without limitation, any impleaded parties) include both such Indemnitee and the indemnifying party, and such Indemnitee
shall have been advised by counsel that a conflict of interest is likely to exist if the same counsel were to represent such Indemnitee
and the indemnifying party (in which case, if such Indemnitee notifies the indemnifying party in writing that it elects to employ separate
counsel at the expense of the indemnifying party, then the indemnifying party shall not have the right to assume the defense thereof and
such counsel shall be at the expense of the indemnifying party), provided further that in the case of clause (iii) above the indemnifying
party shall not be responsible for the actual reasonable and documented fees and expenses of more than one (1) separate legal counsel
for such Indemnitee. The Indemnitee shall reasonably cooperate with the indemnifying party in connection with any negotiation or defense
of any such action or claim by the indemnifying party and shall furnish to the indemnifying party all information reasonably available
to the Indemnitee which relates to such Indemnified Liability. The indemnifying party shall keep the Indemnitee reasonably apprised at
all times as to the status of the defense or any settlement negotiations with respect thereto. No indemnifying party shall be liable for
any settlement of any action, claim or proceeding effected without its prior written consent; provided, however, the indemnifying party
shall not unreasonably withhold, delay or condition its consent. No indemnifying party shall, without the prior written consent of the
Indemnitee, consent to entry of any judgment or enter into any settlement or other compromise which does not include as an unconditional
term thereof the giving by the claimant or plaintiff to such Indemnitee of a release from all liability in respect to such Indemnified
Liability, and such settlement shall not include any admission as to fault on the part of the Indemnitee. Following indemnification as
provided for hereunder, the indemnifying party shall be subrogated to all rights of the Indemnitee with respect to all third parties,
firms or corporations relating to the matter for which indemnification has been made. The failure to deliver written notice to the indemnifying
party within a reasonable time of the commencement of any such action shall not relieve such indemnifying party of any liability to the
Indemnitee under this Section 9(k), except to the extent that the indemnifying party is materially and adversely prejudiced in its ability
to defend such action. The indemnification required by this Section 9(k) shall be made by periodic payments of the amount thereof during
the course of the investigation or defense, as and when bills are received or Indemnified Liabilities are incurred. The indemnity and
contribution agreements contained herein shall be in addition to (i) any cause of action or similar right of the Indemnitees against the
indemnifying party or others, and (ii) any liabilities the indemnifying party may be subject to pursuant to the law. 

 

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(l) Construction. 
The language used in this Agreement will be deemed to be the language chosen by the parties to express their mutual intent, and no rules of
strict construction will be applied against any party.  No specific representation or warranty shall limit the generality or applicability
of a more general representation or warranty.  Each and every reference to share prices, shares of Common Stock and any other numbers
in this Agreement that relate to the Common Stock shall be automatically adjusted for any stock splits, stock dividends, stock combinations,
recapitalizations or other similar transactions that occur with respect to the Common Stock after the date of this Agreement.  Notwithstanding
anything in this Agreement to the contrary, for the avoidance of doubt, nothing contained herein shall constitute a representation or
warranty against, or a prohibition of, any actions with respect to the borrowing of, arrangement to borrow, identification of the availability
of, and/or securing of, securities of the Company in order for such Buyer (or its broker or other financial representative) to effect
short sales or similar transactions in the future.

 

(m) Remedies. 
Each Buyer and in the event of assignment by Buyer of its rights and obligations hereunder, each holder of Securities, shall have all
rights and remedies set forth in the Transaction Documents and all rights and remedies which such holders have been granted at any time
under any other agreement or contract and all of the rights which such holders have under any law.  Any Person having any rights
under any provision of this Agreement shall be entitled to enforce such rights specifically (without posting a bond or other security),
to recover damages by reason of any breach of any provision of this Agreement and to exercise all other rights granted by law.  Furthermore,
the Company recognizes that in the event that it or any Subsidiary fails to perform, observe, or discharge any or all of its or such Subsidiary’s
(as the case may be) obligations under the Transaction Documents, any remedy at law would be inadequate relief to the Buyers.  The
Company therefore agrees that the Buyers shall be entitled to specific performance and/or temporary, preliminary and permanent injunctive
or other equitable relief from any court of competent jurisdiction in any such case without the necessity of proving actual damages and
without posting a bond or other security.  The remedies provided in this Agreement and the other Transaction Documents shall be cumulative
and in addition to all other remedies available under this Agreement and the other Transaction Documents, at law or in equity (including
a decree of specific performance and/or other injunctive relief).

 

(n) Withdrawal
Right.  Notwithstanding anything to the contrary contained in (and without limiting any similar provisions of) the Transaction
Documents, whenever any Buyer exercises a right, election, demand or option under a Transaction Document and the Company or any Subsidiary
does not timely perform its related obligations within the periods therein provided, then such Buyer may rescind or withdraw, in its sole
discretion from time to time upon written notice to the Company or such Subsidiary (as the case may be), any relevant notice, demand or
election in whole or in part without prejudice to its future actions and rights.

 

(o) Payment
Set Aside; Currency.  To the extent that the Company makes a payment or payments to any Buyer hereunder or pursuant to any of
the other Transaction Documents or any of the Buyers enforce or exercise their rights hereunder or thereunder, and such payment or payments
or the proceeds of such enforcement or exercise or any part thereof are subsequently invalidated, declared to be fraudulent or preferential,
set aside, recovered from, disgorged by or are required to be refunded, repaid or otherwise restored to the Company, a trustee, receiver
or any other Person under any law (including, without limitation, any bankruptcy law, foreign, state or federal law, common law or equitable
cause of action), then to the extent of any such restoration the obligation or part thereof originally intended to be satisfied shall
be revived and continued in full force and effect as if such payment had not been made or such enforcement or setoff had not occurred. 
Unless otherwise expressly indicated, all dollar amounts referred to in this Agreement and the other Transaction Documents are in United
States Dollars (“U.S. Dollars”), and all amounts owing under this Agreement and all other Transaction Documents shall
be paid in U.S. Dollars.  All amounts denominated in other currencies (if any) shall be converted into the U.S. Dollar equivalent
amount in accordance with the Exchange Rate on the date of calculation.  “Exchange Rate” means, in relation to
any amount of currency to be converted into U.S. Dollars pursuant to this Agreement, the U.S. Dollar exchange rate as published in the
Wall Street Journal on the relevant date of calculation.

 

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(p) Judgment
Currency.

 

(i) If
for the purpose of obtaining or enforcing judgment against the Company in connection with this Agreement or any other Transaction Document
in any court in any jurisdiction it becomes necessary to convert into any other currency (such other currency being hereinafter in this
Section 9(p) referred to as the “Judgment Currency”) an amount due in U.S. Dollars under this Agreement,
the conversion shall be made at the Exchange Rate prevailing on the Business Day immediately preceding:

 

(1) the
date actual payment of the amount due, in the case of any proceeding in the courts of New York or in the courts of any other jurisdiction
that will give effect to such conversion being made on such date; or

 

(2) the
date on which the foreign court determines, in the case of any proceeding in the courts of any other jurisdiction (the date as of which
such conversion is made pursuant to this Section 9(p)(i)(2) being hereinafter referred to as the “Judgment Conversion
Date”).

 

(ii) If
in the case of any proceeding in the court of any jurisdiction referred to in Section 9(p)(i)(2)  , there is a change in the
Exchange Rate prevailing between the Judgment Conversion Date and the date of actual payment of the amount due, the applicable party shall
pay such adjusted amount as may be necessary to ensure that the amount paid in the Judgment Currency, when converted at the Exchange Rate
prevailing on the date of payment, will produce the amount of U.S. Dollars which could have been purchased with the amount of Judgment
Currency stipulated in the judgment or judicial order at the Exchange Rate prevailing on the Judgment Conversion Date.

 

(iii) Any
amount due from the Company under this provision shall be due as a separate debt and shall not be affected by judgment being obtained
for any other amounts due under or in respect of this Agreement or any other Transaction Document.

 

(q) Independent
Nature of Buyers’ Obligations and Rights.  The obligations of each Buyer under the Transaction Documents are several and
not joint with the obligations of any other Buyer, and no Buyer shall be responsible in any way for the performance of the obligations
of any other Buyer under any Transaction Document.  Nothing contained herein or in any other Transaction Document, and no action
taken by any Buyer pursuant hereto or thereto, shall be deemed to constitute the Buyers as, and the Company acknowledges that the Buyers
do not so constitute, a partnership, an association, a joint venture or any other kind of group or entity, or create a presumption that
the Buyers are in any way acting in concert or as a group or entity, and the Company shall not assert any such claim with respect to such
obligations or the transactions contemplated by the Transaction Documents or any matters, and the Company acknowledges that the Buyers
are not acting in concert or as a group, and the Company shall not assert any such claim, with respect to such obligations or the transactions
contemplated by the Transaction Documents.  The decision of each Buyer to purchase Securities pursuant to the Transaction Documents
has been made by such Buyer independently of any other Buyer.  Each Buyer acknowledges that no other Buyer has acted as agent for
such Buyer in connection with such Buyer making its investment hereunder and that no other Buyer will be acting as agent of such Buyer
in connection with monitoring such Buyer’s investment in the Securities or enforcing its rights under the Transaction Documents. 
The Company and each Buyer confirms that each Buyer has independently participated with the Company and its Subsidiaries in the negotiation
of the transaction contemplated hereby with the advice of its own counsel and advisors.  Each Buyer shall be entitled to independently
protect and enforce its rights, including, without limitation, the rights arising out of this Agreement or out of any other Transaction
Documents, and it shall not be necessary for any other Buyer to be joined as an additional party in any proceeding for such purpose. 
The use of a single agreement to effectuate the purchase and sale of the Securities contemplated hereby was solely in the control of the
Company, not the action or decision of any Buyer, and was done solely for the convenience of the Company and its Subsidiaries and not
because it was required or requested to do so by any Buyer.  It is expressly understood and agreed that each provision contained
in this Agreement and in each other Transaction Document is between the Company, each Subsidiary and a Buyer, solely, and not between
the Company, its Subsidiaries and the Buyers collectively and not between and among the Buyers.

 

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(r) Performance
Date.  If the date by which any obligation under any of the Transaction Documents must be performed occurs on a day other than
a Business Day, then the date by which such performance is required shall be the next Business Day following such date.

 

(s) Enforcement
Fees.  The Company agrees to pay all reasonable and documented out of pocket costs and expenses of the Buyers actually incurred
as a result of enforcement of the Transaction Documents and the collection of any amounts owed to the Buyers hereunder (whether in cash,
equity or otherwise), including, without limitation, actual reasonable and documented attorneys’ fees and expenses.

 

(t) Collateral
Agent.

 

(i) Appointment;
Authorization. The Buyers, together with any successors or assigns thereof, hereby irrevocably appoint, designate and authorize High
Trail Special Situations LLC as collateral agent to take such action on their behalf under the provisions of the Notes, each Security
Document and to exercise such powers and perform such duties as are expressly delegated to it by the terms of each Security Document,
together with such powers as are reasonably incidental thereto. The provisions of this Section 9(t) are solely for the benefit of
the Collateral Agent, and the Company shall not have rights as a third-party beneficiary of any of such provisions. It is understood and
agreed that the use of the term “agent” herein or in any Security Document (or any other similar term) with reference to the
Collateral Agent is not intended to connote any fiduciary or other implied (or express) obligations arising under agency doctrine of any
applicable law. Instead such term is used as a matter of market custom, and is intended to create or reflect only an administrative relationship
between contracting parties. Notwithstanding any provision to the contrary contained elsewhere in the Notes, any Security Document or
any other agreement, instrument or document related hereto or thereto, the Collateral Agent shall not have any duty or responsibility
except those expressly set forth herein, and no implied covenants, functions, responsibilities, duties, obligations or liabilities shall
be read into the Notes, any Security Document or any other agreement, instrument or document related hereto or thereto or otherwise exist
against the Collateral Agent.

 

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(ii) Delegation
of Duties. The Collateral Agent may perform any and all of its duties and exercise its rights and powers hereunder or under any Security
Document by or through any one or more sub-agents appointed by the Collateral Agent. The Collateral Agent and any such sub-agent may perform
any and all of its duties and exercise its rights and powers by or through its Affiliates (as defined in the Notes), partners, directors,
officers, employees, agents, trustees, administrators, managers, advisors and representatives, or the partners, directors, officers, employees,
agents, trustees, administrators, managers, advisors and representatives of any of its Affiliates (collectively, the “Related
Parties”). The exculpatory provisions of this Section 9(t) shall apply to any such sub-agent and to the Related Parties
of the Collateral Agent and any such sub-agent. The Collateral Agent shall not be responsible for the negligence or misconduct of any
sub-agents except to the extent that a court of competent jurisdiction determines in a final and non-appealable judgment that the Collateral
Agent acted with gross negligence or willful misconduct in the selection of such sub-agents.

 

(iii) Exculpatory
Provisions.

 

(A) The
Collateral Agent shall not have any duties or obligations except those expressly set forth in the Security Documents, and its duties shall
be administrative in nature. Without limiting the generality of the foregoing, the Collateral Agent: (i) shall not be subject to any fiduciary
or other implied duties, regardless of whether a Default (as defined in the Notes) or Event of Default (as defined in the Notes) has occurred
and is continuing; (ii) shall not have any duty to take any discretionary action or exercise any discretionary powers; and (iii) shall
not, except as expressly set forth in the Security Documents, have any duty to disclose, and shall not be liable for the failure to disclose,
any information relating to the Company or any of its Affiliates that is communicated to or obtained by the Collateral Agent or any of
its Affiliates in any capacity.

 

(B) The
Collateral Agent shall not be liable for any action taken or not taken by it in the absence of its own gross negligence or willful misconduct
as determined by a court of competent jurisdiction by final and non-appealable judgment. The Collateral Agent shall be deemed not to have
knowledge of any Default or Event of Default unless and until notice describing such Default or Event of Default is given to the Collateral
Agent in writing by the Company.

 

(C) The
Collateral Agent shall not be responsible for or have any duty to ascertain or inquire into (a) any statement, warranty or representation
made in or in connection with the Notes, any Security Document or any other agreement, instrument or document related hereto or thereto,
(b) the contents of any certificate, report or other document delivered hereunder or thereunder or in connection herewith or therewith,
(c) the performance or observance of any of the covenants, agreements or other terms or conditions set forth herein or therein or the
occurrence of any Default or Event of Default, (d) the validity, enforceability, effectiveness or genuineness of the Notes, any Security
Document or any other agreement, instrument or document related to the Notes or Security Documents, or (e) any failure of the Company
or any other party to the Notes, any Security Agreement or any other agreement, instrument or document related to the Notes or Security
Documents to perform its obligations thereunder. The Collateral Agent shall not be under any obligation to ascertain or to inquire as
to the observance or performance of any of the agreements contained in, or conditions of, the Notes, any Security Document or any other
agreement, instrument or document related to the Notes or Security Documents, or to inspect the properties, books or records of the Company
or any Affiliate of the Company.

 

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(iv) Reliance
by Collateral Agent. The Collateral Agent shall be entitled to rely upon, and shall not incur any liability for relying upon, any
notice, request, certificate, consent, statement, instrument, document or other writing (including any electronic message, Internet or
intranet website posting or other distribution) believed by it to be genuine and to have been signed, sent or otherwise authenticated
by the proper Person. The Collateral Agent also may rely upon any statement made to it orally or by telephone and believed by it to have
been made by the proper Person, and shall not incur any liability for relying thereon. The Collateral Agent may consult with legal counsel,
independent accountants and other experts selected by it, and shall not be liable for any action taken or not taken by it in accordance
with the advice of any such counsel, accountants or experts.

 

(v) Successor
Agent. The Collateral Agent may resign as the Collateral Agent at any time upon ten (10) days’ prior notice to the Buyers and
the Company. If the Collateral Agent resigns under the Notes, the Required Holders shall appoint a successor agent. If no successor agent
is appointed prior to the effective date of the resignation of the Collateral Agent, the Collateral Agent may appoint a successor Collateral
Agent on behalf of the Buyers after consulting with the Buyers. Upon the acceptance of its appointment as successor agent hereunder, such
successor agent shall succeed to all the rights, powers and duties of the retiring Collateral Agent and the term “the Collateral
Agent” shall mean such successor agent, and the retiring Collateral Agent’s appointment, powers and duties as the Collateral
Agent shall be terminated. After the Collateral Agent’s resignation hereunder as the Collateral Agent, the provisions of this Section 9(t)
shall continue to inure to its benefit as to any actions taken or omitted to be taken by it while it was the Collateral Agent. If no successor
agent has accepted appointment as the Collateral Agent by the date which is thirty (30) days following a retiring Collateral Agent’s
notice of resignation, a retiring Collateral Agent’s resignation shall nevertheless thereupon become effective and the Buyers, shall
perform all of the duties of the Collateral Agent hereunder until such time as Required Holders shall appoint a successor agent as provided
for above.

 

(vi) Non-Reliance
on the Collateral Agent. The Buyers acknowledges that they have, independently and without reliance upon the Collateral Agent or any
of its Related Parties and based on such documents and information as they have deemed appropriate, made their own credit analysis and
decision to enter invest in the Notes. The Buyers also acknowledges that they will, independently and without reliance upon the Collateral
Agent or any of its Related Parties and based on such documents and information as they shall from time to time deem appropriate, continue
to make their own decisions in taking or not taking action under or based upon the Notes, any Security Document or any related agreement
or any document furnished hereunder or thereunder.

 

(vii) Collateral
Matters. The Buyers irrevocably authorize the Collateral Agent to release any Lien (as defined in the Notes) granted to or held by
the Collateral Agent under any Security Document (i) when all Obligations (as defined in the Security Agreements) have been paid in full;
(ii) constituting property sold or to be sold or disposed of as part of or in connection with any sale or other disposition permitted
under the Notes and each other agreement, instrument or document related thereto (it being agreed and understood that the Collateral Agent
may conclusively rely without further inquiry on a certificate of an officer of the Company as to the sale or other disposition of property
being made in compliance with the Notes and each other agreement, instrument or document related thereto); or (iii) if approved, authorized
or ratified in writing by the Buyers. The Collateral Agent shall have the right, in accordance with the Security Documents to sell, lease
or otherwise dispose of any Collateral (as defined in the Security Agreements) for cash, credit or any combination thereof, and the Collateral
Agent may purchase any Collateral at public or, if permitted by law, private sale and, in lieu of actual payment of the purchase price,
may credit bid and setoff the amount of such price against the Obligations.

 

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(viii) Reimbursement
by Buyers. To the extent that the Company for any reason fails to indefeasibly pay any amount required under Sections 4(g), 4(y)or
9(k) to be paid by it to the Collateral Agent (or any sub-agent thereof) or any Related Party of the Collateral Agent (or any sub-agent
thereof), the Buyers hereby agree, jointly and severally, to pay to the Collateral Agent (or any such sub-agent) or such Related Party
of the Collateral Agent (or any sub-agent thereof), as the case may be, such unpaid amount.

 

(ix) Marshaling;
Payments Set Aside. Neither the Collateral Agent nor the Buyers shall be under any obligation to marshal any assets in favor of the
Company or any other Person or against or in payment of any or all of the Obligations. To the extent that the Company makes a payment
or payments to the Collateral Agent, or the Collateral Agent enforces its Liens (as defined in the Notes) or exercises its rights of set-off,
and such payment or payments or the proceeds of such enforcement or set-off or any part thereof are subsequently invalidated, declared
to be fraudulent or preferential, set aside or required (including pursuant to any settlement entered into by the Collateral Agent in
its discretion) to be repaid to a trustee, receiver or any other party in connection with any bankruptcy, insolvency or similar proceeding,
or otherwise, then (i) to the extent of such recovery, the obligation under the Notes intended to be satisfied shall be revived and continued
in full force and effect as if such payment had not been made or such enforcement or set-off had not occurred and (ii) the Buyers agree
to pay to the Collateral Agent upon demand its share of the total amount so recovered from or repaid by the Collateral Agent to the extent
paid to the Buyers.

 

[signature pages follow]

 

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IN WITNESS WHEREOF, each Buyer and the Company
have caused their respective signature page to this Agreement to be duly executed as of the date first written above.

 

	 	COMPANY:
	 	 
	 	AGRIFY CORPORATION
	 	 
	 	By:	/s/ Raymond Chang    
	 	 	Name: 	 Raymond Chang
	 	 	Title:	  Chief Executive Officer

 

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IN WITNESS WHEREOF, each Buyer and the Company
have caused their respective signature page to this Agreement to be duly executed as of the date first written above.

	
     
	BUYER:
	 	 
	 	HIGH TRAIL SPECIAL SITUATIONS LLC
	 	 
	 	By:	/s/ Eric Helenek   
	 	 	Name: 	 Eric Helenek
	 	 	Title:	 Authorized Signatory

 

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SCHEDULE OF BUYERS

 

	 
(1)
	 	 	(2)		 	 	(3)		 	 	(4)		 	 	(5)			 	(6)		 	 	(7)		 	 	(8)		 	 	(9)	
	Buyer	 	 	Address
	 	 	 	Aggregate Principal Amount of Initial Purchased Notes
	 	 	 	Aggregate Purchase Price of Initial Purchased Notes
	 	 	 	Aggregate Principal Amount of each of the First Subsequently Purchased Notes and Aggregate Principal Amount of Second Subsequently Purchased Notes
	 	 	 	Aggregate Purchase Price of each of the First Subsequently Purchased Notes and Aggregate Purchase Price of Second Subsequently Purchased Notes
	 	 	 	Initially Purchased Warrant Purchase Price
	 	 	 	Purchase Price for each of the First Subsequently Purchased Warrant and Second Subsequently Purchased Warrant
	 	 	 	Legal Representative’s Address
	 
	High Trail Special Situations LLC	 	 	High Trail Capital
 221 River Street, 9th Floor
 Hoboken, NJ 07030
 Attn: Eric Helenek
 E-Mail: notices@hightrailcap.com
	 	 	$	65,000,000	 	 	$	[Reserved]	 	 	$	35,000,000	 	 	$	[Reserved]	 	 	$	[Reserved]	 	 	$	[Reserved]	 	 	 	Latham & Watkins LLP
 12670 High Bluff Drive
 San Diego, CA 92130
 Telephone: (858) 523-5400
 Attention: Michael E. Sullivan, Esq.
	 
	TOTAL	 	 	 	 	 	$	65,000,000	 	 	$	[Reserved]	 	 	$	35,000,000	 	 	$	[Reserved]	 	 	$	[Reserved]	 	 	$	[Reserved]	 	 	 	 	 

 

 

 

70

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