Document:

IntelGenx Technologies Corp.: Exhibit 10.3 - Prepared by TNT Filings Inc.

Exhibit 10.3

SUBSCRIPTION AGREEMENT – SPECIAL WARRANTS

AMONG 

INTELGENX TECHNOLOGIES CORP. 

AND 

SYNDICATE OF AGENTS REPRESENTED BY 

PARADIGM CAPITAL INC. 

AND 

THE UNDERSIGNED SUBSCRIBER 

Private Placement of up to 11,250,000 special warrants at
$0.40 per special warrant. Each special warrant will entitle the holder to
acquire, for no further consideration and subject to adjustment as set out
herein, one unit of IntelGenx Technologies Corp. Each unit will consist of one
common share and one common share purchase warrant. Each common share purchase
warrant will entitle the holder to purchase one common share of IntelGenx
Technologies Corp. for 36 months following the closing of the offering at an
exercise price of US$0.80. 

INSTRUCTIONS

All Subscribers:

	1. 	
      Complete and sign pages 1 and 2 of the Subscription
      Agreement.

	 	 
	2. 	
      If you are a non-individual subscriber, complete and sign
      the TSX-V Form 4C – Corporate Placee Registration Form – Appendix II,
      unless you have filed a Form 4C with the TSX-V within the last year and it
      remains current.

	 	 
	3. 	
      If you are resident in Canada, complete and sign the
      Accredited Investor Certificate – Appendix III.

	 	 
	4. 	
      If you are resident in an International Jurisdiction
      (other than Canada or the United States), complete and sign the
      International Investor Certificate – Appendix IV.

	 	 
	5. 	
      To subscribe complete, as applicable, and forward (i)
      this Subscription Agreement; (ii) all applicable Appendixes; and (iii) the
      subscription proceeds, to one of:

	Paradigm Capital Inc. 	Bolder Investment Partners, Ltd. 	Union Securities Ltd. 
	95 Wellington Street West, 	800 – 1450 Creekside Drive 	Suite 115, 240 – 4th Avenue S.W.
  
	Suite 2101 	Vancouver, BC V6J 5B3 	Calgary, AB T2P 4H4 
	P.O. Box 55 	  	  
	Toronto, ON M5J 2N7 	Attention: Martin Burian 	Attention: Jovan Stupar 
	  	Fax : (604) 714-2326 	Fax: (403) 237-5546 
	Attention: Tony Pullen	 	 
	Fax: (416) 361-0679	 	 

 

 

 

- 2 -

	 SUBSCRIPTION AGREEMENT FOR SPECIAL
      WARRANTS 
	 	 
	To: 	IntelGenx Technologies Corp. (the
      “Issuer”), 6425 Abrams, Ville St.-Laurent, Quebec, H4S 1X9 
	  	 
	And To: 	Paradigm Capital Inc.
      (“Paradigm”), 95 Wellington Street West, Suite 2101, Toronto,
      Ontario M5J 2N7 
	  	 
	  	Bolder Investment Partners, Ltd.
      (“Bolder”), 800-1450 Creekside Drive, Vancouver, British Columbia, V6J 5B3 
	  	 
	  	Union Securities Ltd. (“Union”),
      Suite 115, 240-4th Avenue S.W., Calgary, Alberta, T2P 4H4

	 	 
	  	(Paradigm, Bolder and Union, collectively, the
      “Agents”) 

The undersigned (the “Subscriber”) hereby acknowledges
that the Issuer is proceeding with a private placement of up to 11,250,000
special warrants (the “Special Warrants”) at a price of $0.40 per Special
Warrant and tenders to the Issuer and the Agents this irrevocable subscription
offer which, upon acceptance by the Issuer at its discretion, will constitute an
agreement of the Subscriber to subscribe for, take up, purchase and pay for and,
on the part of the Issuer, to issue and sell to the Subscriber the number of
Special Warrants set out below on the terms and subject to the conditions set
out in this Agreement. Each Special Warrant will entitle the holder to acquire,
for no further consideration and subject to adjustment as set out herein, one
unit of the Issuer (a “Unit”) on the terms and conditions set out herein.
Each Unit will consist of one common share in the capital of the Issuer (a
“Common Share”) and one Common Share purchase warrant (a
“Warrant”). Each Warrant will entitle the holder to purchase one Common
Share (a “Warrant Share”) for 36 months following the closing of the
offering at an exercise price of US$0.80. In the event that the Clearance Date
(as defined herein) has not occurred on or prior to the Clearance Deadline (as
defined herein), each Special Warrant shall thereafter be exercisable into 1.1
Units (instead of one Unit). The Subscriber agrees to be bound by the terms and
conditions set forth in this Agreement including without limitation the
representations, warranties and covenants set forth in the applicable Appendices
attached thereto. The Subscriber further agrees, without limitation, that the
Issuer and the Agents may rely upon the Subscriber’s representations, warranties
and covenants contained in such documents. 

  
	
    Number of Special Warrants: 
	  
    __________________

 
	
    Total Purchase Price at $0.40 per Special Warrant: 
	
    $ __________________

  

		 	 
	DATED this
    ____ day of ____, 2009	 	 
	 	 	 
	(Name of Subscriber – please print) 	 	(Subscriber’s Residential or Head Office Address) 
	 	 	 
	by:	 	 
	       (Official Capacity or Title – please print)	 	 
	 	 	 
	Authorized
      Signature 	 	(Telephone Number) 
	  	 	  
	
    (Please print name of individual whose signature appears above if different than the name of the Subscriber printed above.) 
	 	(Facsimile Number) 
	 	  
	 	 
    
	  	 	(E-mail Address) 
	
    Please complete if purchasing as an agent for a  disclosed principal and not deemed to be purchasing as a principal under the applicable securities
      legislation 
	 	  
	  	 	  
	Name of disclosed
      principal 	 	  
	  	 	  
	Address of
      disclosed principal 	 	  
	  	 	  
	Telephone number of disclosed principal 	 	  

 

	Registration Instructions (if other than in name
of Subscriber): 
 	 	Delivery Instructions (if other than the
address above): 
	
    Name 
	
     
	
    Account reference, if
applicable 

	
    Account reference,
if applicable 
	
     
	
    Contact Name 

	
    Address 
	
     
	
    Address 

	
     
	
     
	
     

	
     
	
     
	
    Telephone Number

	
     
	
     
	
    Facsimile Number 

Present Ownership of Securities 

The Subscriber either [check appropriate box]: 

£

owns directly or indirectly, or exercises control or direction
over, no Common Shares of the Issuer or securities convertible into Common
Shares; or 

£

owns directly or indirectly, or exercises control or direction
over, __________ Common Shares of the Issuer and convertible securities
entitling the Subscriber to acquire an additional ________ Common Shares.

Insider Status 

The Subscriber either [check appropriate box]: 

£

is an “Insider” of the Issuer as defined in the Securities
Act (Ontario); or 

£

is not an Insider of the Issuer. 

Member of “Pro Group” 

The Subscriber either [check appropriate box]: 

£

is a Member of the “Pro Group” as defined in Policy 1.1 of the
TSX-V; or 

£

is not a member of the Pro Group. 

NOTE: The information collected herein will be used by the
Issuer in determining whether the Subscriber meets the requirements for the
applicable prospectus exemptions, for making certain filings with the TSX-V and
other applicable regulatory authorities and for meeting its requirements under
securities legislation with respect to the mailing of continuous disclosure
materials of the Issuer to the Subscriber. By signing this subscription
agreement, the Subscriber and any disclosed principal for whom the Subscriber is
acting hereby consents to the collection and use of all of the Subscriber’s or
the disclosed principal’s personal information contained herein by the Issuer
for the above referenced purposes. 

This subscription is accepted by IntelGenx Technologies Corp.
this _____day of _______________, 2009.

INTELGENX TECHNOLOGIES CORP. 

Per:  ___________________________________

               Authorized Signatory

 

 

 

 

 

 

– 3 –

	1. 	
      INTERPRETATION

	 	 	 
	1.1 	
      In this Agreement, unless the context otherwise
      requires:

	 	 	 
		(a) 	
      “1933 Act” means the United States Securities Act
      of 1933, as amended;

	 	 	 
		(b) 	
      “Accredited Investor” has the same meaning
      ascribed to that term in National Instrument 45-106;

	 	 	 
		(c) 	
      “Agency Agreement” means the agency agreement to
      be entered into at Closing between the Issuer and the Agents;

	 	 	 
		(d) 	
      “Agents” means, collectively, Paradigm Capital
      Inc., Bolder Investment Partners, Ltd. and Union Securities
Ltd.;

	 	 	 
		(e) 	
      “Aggregate Special Warrants” means the aggregate
      number of Special Warrants sold pursuant to the Private
  Placement;

	 	 	 
		(f) 	
      “Aggregate Subscription Price” means the aggregate
      dollar amount of the subscription under this Agreement as set out on the
      face page hereof;

	 	 	 
		(g) 	
      “Agreement” means this subscription agreement to
      be entered into between the Issuer and the Subscriber for the purchase of
      Special Warrants and includes all schedules and appendices attached
      hereto, in each case as they may be amended or supplemented from time to
      time;

	 	 	 
		(h) 	
      “AMF” means Autorité des Marchés
  Financiers;

	 	 	 
		(i) 	
      “Automatic Exercise Date” means 5:00 p.m. (Toronto
      time) on the date that is the earlier of (a) the Clearance Date, and (b)
      the Clearance Deadline;

	 	 	 
		(j) 	
      “Business Day” means a day other than a Saturday,
      Sunday or any other day on which the principal chartered banks located in
      Toronto, Ontario are not open for business;

	 	 	 
		(k) 	
      “Clearance Date” means the date which is five
      Business Days following the later of (i) the date the Issuer receives a
      Decision Document for the Prospectus from the last of the Commissions, and
      (ii) the date the Registration Statement is declared effective by the
      SEC;

	 	 	 
		(l) 	
      “Clearance Deadline” means the date which is 120
      days following the Closing Date;

	 	 	 
		(m) 	
      “Closing” means the closing of the Private
      Placement, on the Closing Date, pursuant to which the Special Warrants are
      issued to the Subscribers in accordance with the terms and conditions of
      this Agreement;

	 	 	 
		(n) 	
      “Closing Date” means June 30, 2009 or such other
      earlier or later date as the Issuer and the Agents may agree;

	 	 	 
		(o) 	
      “Commissions” means, collectively, the provincial
      securities commission or other regulatory authority in each of the
      Jurisdictions;

	 	 	 
		(p) 	
      “Common Shares” means common shares in the
      authorized capital of the Issuer;

	 	 	 
		(q) 	
      “Compensation Options” has the meaning ascribed to
      that term in Section 5.1(x);

	 	 	 
		(r) 	
      “Decision Document” means a decision document
      issued by the AMF in its capacity as principal regulator in accordance
      with Multilateral Instrument 11-202 – Passport System and National
      Policy 11-202 – Process for Prospectus Reviews in Multiple
      Jurisdictions evidencing that a receipt has been issued by each of the Commissions (other than
      the Ontario Securities Commission) and a receipt has been issued by the
      Ontario Securities Commission;

– 4 –

	 	(s) 	
      “Disclosed Principal” has the meaning ascribed in
      subsection 5.1(c)(ii);

	 	 	 
	 	(t) 	
      “Disclosure Record” means the financial
      statements, management discussion and analysis, certifications, circulars,
      reports, forms, press releases and other documents filed by the Issuer on
      the System for Electronic Data Analysis and Retrieval (SEDAR) since
      December 31, 2006;

	 	 	 
	 	(u) 	
      “Exemptions” means the exemptions from the
      prospectus requirements outlined at sections 2.3 and 2.10 of National
      Instrument 45-106;

	 	 	 
	 	(v) 	
      “Insider” has the meaning ascribed in s.1(1) of
      the Ontario Act;

	 	 	 
	 	(w) 	
      “International Jurisdiction” means a jurisdiction
      other than and outside Canada and the United States;

	 	 	 
	 	(x) 	
      “Issue Price” means $0.40 per Special
    Warrant;

	 	 	 
	 	(y) 	
      “Jurisdictions” means the provinces of British
      Columbia, Alberta, Ontario and Quebec and such other Canadian provinces as
      agreed upon by the Company and the Agents where Subscribers are
      resident;

	 	 	 
	 	(z) 	
      “National Instrument 45-102” means National
      Instrument 45-102 – Resale of Securities published by the Canadian
      Securities Administrators;

	 	 	 
	 	(aa) 	
      “National Instrument 45-106” means National
      Instrument 45-106 – Prospectus and Registration Exemptions
      published by the Canadian Securities Administrators;

	 	 	 
	 	(bb) 	
      “Ontario Act” means the Securities Act
      (Ontario), the regulations and rules made thereunder and all published
      policy statements, blanket orders, notices, directions and rulings issued
      or adopted by the Ontario Securities Commission, all as amended;

	 	 	 
	 	(cc) 	
      “Parties” or “Party” means the Subscriber,
      the Issuer or both, as the context requires;

	 	 	 
	 	(dd) 	
      “Personal Information” has the meaning ascribed in
      section 11.5;

	 	 	 
	 	(ee) 	
      “Private Placement” means the issue and sale of
      the Special Warrants;

	 	 	 
	 	(ff) 	
      “Prospectus” means the final short-form prospectus
      (or long-form prospectus, if applicable) qualifying the distribution of
      the Common Shares and Warrants issuable upon exercise of the Special
      Warrants;

	 	 	 
	 	(gg) 	
      “Registration Statement” means a S-1 registration
      statement filed with the SEC in accordance with the 1933 Act qualifying
      the Common Share and Warrants issuable upon exercise of the Special
      Warrants, the Compensation Options and the Warrant Shares issuable
      thereunder;

	 	 	 
	 	(hh) 	
      “Regulation S” means Regulation S promulgated
      under the 1933 Act;

	 	 	 
	 	(ii) 	
      “Regulatory Authorities” means the Commissions and
      the TSX-V and the securities regulatory authorities in an International
      Jurisdiction;

	 	 	 
	 	(jj) 	
      “Rule 144” means Rule 144 promulgated under the
      1933 Act;

	 	 	 
	 	(kk) 	
      “Rule 144A” means Rule 144A promulgated under the
      1933 Act;

– 5 –

	 	(ll) 	
      “SEC” means the United States Securities and
      Exchange Commission;

	 	 	 
	 	(mm) 	
      “Securities Laws” means, as applicable, the
      securities legislation and securities laws of each Jurisdiction and the
      regulations and rules made thereunder and all published policy statements,
      blanket orders, notices, directions and ruling issued or adopted by the
      Commissions, collectively, and the rules of the TSX-V;

	 	 	 
	 	(nn) 	
      “Special Warrants” means the special warrants to
      be issued and sold by the Issuer in accordance with the terms of this
      Agreement;

	 	 	 
	 	(oo) 	
      “Subscriber” means the subscriber for the Special
      Warrants as set out on the face page of this Agreement and includes, as
      applicable, each Disclosed Principal for whom it is acting;

	 	 	 
	 	(pp) 	
      “Subscription Proceeds” means the gross proceeds
      from the sale of Special Warrants under the Private Placement;

	 	 	 
	 	(qq) 	
      “Term Sheet” means the term sheet attached hereto
      as Appendix I;

	 	 	 
	 	(rr) 	
      “TSX-V” means TSX Venture Exchange;

	 	 	 
	 	(ss) 	
      “Unit” means one Common Share and one
    Warrant;

	 	 	 
	 	(tt) 	
      “United States” means the United States of
      America, its territories or possessions, any State of the United States
      and the District of Columbia;

	 	 	 
	 	(uu) 	
      “U.S. Person” has the meaning given to the term
      “U.S. person” in Rule 902(k) of Regulation S. Without limiting the
      foregoing, but for greater clarity in this Agreement, a U.S. Person
      includes, subject to the exclusions set forth in Regulation S, (i) any
      natural person resident in the United States, (ii) any partnership or
      corporation organized or incorporated under the laws of the United States,
      (iii) any estate or trust of which any executor, administrator or trustee
      is a U.S. Person, (iv) any discretionary account or similar account (other
      than an estate or trust) held by a dealer or other fiduciary organized,
      incorporated, or (if an individual) resident in the United States and (v)
      any partnership or corporation organized or incorporated under the laws of
      any non-U.S. jurisdiction which is formed by a U.S. Person principally for
      the purpose of investing in securities not registered under the 1933 Act,
      unless it is organized or incorporated, and owned, by U.S. accredited
      investors who are not natural persons, estates or trusts;

	 	 	 
	 	(vv) 	
      “Warrant” means a Common Share purchase warrant
      entitling the holder thereof to purchase one Common Share for 36 months
      following Closing at an exercise price of US$0.80; and

	 	 	 
	 	(ww) 	
      “Warrant Share” means a Common Share issuable upon
      exercise of the Warrant.

1.2 

Time is of the
essence of this Agreement and will be calculated in accordance with the
provisions of the Interpretation Act (Ontario). 

1.3 

      This Agreement is to be read with all changes in gender
      or number as required by the context.

1.4 

      The headings in this Agreement are for convenience of
      reference only and do not affect the interpretation
of this Agreement.

1.5

Unless otherwise
indicated, all dollar amounts referred to in this Agreement, including the
symbol “$”, are in lawful currency of Canada.

1.6 

This Agreement,
any amendment, addendum or supplement hereto, and all other documents relating
hereto shall be governed by and construed in accordance with the internal laws
of the Province of Ontario, and the federal laws of Canada applicable therein, governing contracts made and
to be performed wholly therein, and without reference to its principles
governing the choice or conflict of laws. The parties hereto irrevocably attorn
and submit to the exclusive jurisdiction of the courts of the Province of
Ontario with respect to any dispute related to or arising from this Agreement. 

– 6 –

2. 

SUBSCRIPTION

2.1 

      Subject to
      section 7 of this Agreement, the Subscriber hereby confirms its
      irrevocable subscription for the Special Warrants from the Issuer, on and
      subject to the terms and conditions set out in this Agreement, for the
      Aggregate Subscription Price which is payable as described herein. The
      Subscriber acknowledges (on its own behalf and, including if applicable,
      on behalf of each Disclosed Principal) that upon acceptance by the Issuer
      of this Agreement, this Agreement will constitute a binding obligation of
      the Subscriber (including if applicable, each Disclosed Principal) subject
      to the terms and conditions contained herein. 

2.2 

The Issuer may, in
its absolute discretion, accept or reject the Subscriber’s subscription for
Special Warrants as set forth in this Agreement, in whole or in part, and the
Issuer reserves the right to allot to the Subscriber less than the amount of
Special Warrants subscribed for under this Agreement. If this subscription is
rejected in whole, any cheques or other forms of payment delivered to the Agents
representing the Aggregate Subscription Price will be promptly returned to the
Subscriber without interest or deduction. If this subscription is accepted only
in part, a cheque representing any refund of the Aggregate Subscription Price
for that portion of the subscription for the Special Warrants which is not
accepted, will be promptly delivered to the Subscriber without interest or
deduction. The Subscriber acknowledges and agrees that the acceptance of this
Agreement will be conditional upon, among other things, the sale of the Special
Warrants to the Subscriber being exempt from any prospectus and offering
memorandum requirements of applicable Securities Laws and the equivalent
provisions of securities laws of any other applicable jurisdiction and, to the
extent possible, the Subscriber agrees to furnish the Issuer with all
information that is reasonably necessary to confirm same. 

2.3 

Subscription
proceeds paid by the Subscriber to the Agents will be held in trust pending the
Closing, and if the Closing does not occur on or before July 31, 2009 or such
later date as agreed to by the Issuer and the Agents, the subscription proceeds
will be returned to the Subscriber without interest or deduction. 

	3. 	
      SPECIAL WARRANTS

3.1 

      Each Special Warrant will automatically be exercisable,
      without further consideration and subject to adjustment as set out below for one Unit on the Automatic
Exercise Date. Each Unit will consist of one Common Share and one Warrant; each
Warrant will entitle the holder thereof to purchase one Warrant Share at an
exercise price of US$0.80 for 36 months following the Closing Date. In the event
that the Clearance Date has not occurred on or prior to the Clearance Deadline
each unexercised Special Warrant will thereafter be automatically exercised
without further consideration for 1.1 Units (instead of one Unit) on the
Automatic Exercise Date. 

3.2 

The Special
Warrants shall be created and issued pursuant to a special warrant indenture to
be entered into on the Closing Date between the Issuer and a warrant agent. The
specific attributes of the Special Warrants shall be set forth in the special
warrant indenture. 

3.3 

The Issuer will use its best efforts to, on or prior to the
date which is 30 days following the Closing Date, (i) obtain the Decision
Document for the Prospectus in each of the Jurisdictions, and (ii) file the
Registration Statement with the SEC. 

3.4 

In addition to the aforementioned covenants, the Issuer
shall use commercially reasonable efforts to file with the Commissions: (i) a
preliminary prospectus in respect of the distribution of the Units issuable on
the exercise of the Special Warrants on the Business Day following the Closing
Date, (ii) the Prospectus seven days thereafter, and in each case promptly
thereafter obtain a Decision Document, and (iii) use commercially reasonable
efforts to have the Registration Statement declared effective by the SEC as soon
as practicable following the Closing Date. 

– 7 –

	4. 	
      POWER OF ATTORNEY

	 	 

4.1 

      The Subscriber irrevocably authorizes Paradigm in its
      discretion, to act as the Subscriber’s representative
at Closing, and hereby appoints Paradigm, with full power of
substitution, as its true and lawful attorney with the full power and authority
to act for and in the name of the Subscriber, to execute and deliver such
documents, instruments or agreements and do all acts necessary to effect the
following: 

	 	(a) 	
      if delivered, to receive certificates representing the
      Special Warrants, to execute in the Subscriber’s name and on its behalf
      all closing receipts and required documents, if any, to complete and
      correct any manifest errors or omissions in any form or document provided
      by the Subscriber, including this Agreement and the appendices and
      schedules hereto, in connection with the subscription for the Special
      Warrants and to exercise any rights of termination contained in the Agency
      Agreement;

	 	 	 
	 	(b) 	
      to negotiate and settle any documents related to the
      Private Placement including any opinions, certificates or other documents
      addressed to the Subscriber;

	 	 	 
	 	(c) 	
      to extend or shorten any time periods and to modify or
      waive, in whole or in part, any representations, warranties, covenants or
      conditions for the Subscriber’s benefit contained in this Agreement and
      the Agency Agreement or any ancillary or related document, provided that
      such extensions, modifications, or waivers do not materially affect the
      Subscriber’s obligations or rights under this Agreement;

	 	 	 
	 	(d) 	
      to make payment for the Special Warrants purchased hereby
      on behalf of the Subscriber or any Disclosed Principal;

	 	 	 
	 	(e) 	
      to terminate this Agreement if any condition precedent is
      not satisfied, in such manner and on such terms and conditions as Paradigm
      in its sole discretion may determine and Paradigm shall have no liability
      to any Subscriber whatsoever in connection with any decision to waive any
      of such conditions or to extend the time for satisfaction of such
      conditions or any decision to exercise or not exercise or extend the right
      to terminate the Agency Agreement; and

	 	 	 
	 	(f) 	
      without limiting the generality of the foregoing, to
      negotiate, settle, execute, deliver and amend the Agency
  Agreement.

4.2 

The power of
attorney is irrevocable, is coupled with an interest, and has been given for
valuable consideration, the receipt and adequacy of which is acknowledged. The
power of attorney and other rights and privileges granted under this Section 4
will survive any legal or mental incapacity, dissolution, bankruptcy or death of
the Subscriber. The power of attorney extends to the heirs, executors,
administrators, other legal representatives and successors, transferees and
assigns of the Subscriber. Any person dealing with Paradigm may conclusively
presume and rely upon the fact that any document, instrument or agreement
executed by Paradigm pursuant to this power of attorney is authorised and
binding on the Subscriber, without further inquiry. The Subscriber agrees to be
bound by any representations or actions made or taken by Paradigm pursuant to
this power of attorney, and waives any and all defences that may be available to
contest, negate or disaffirm any action of Paradigm taken in good faith under
this power of attorney. 

	5. 	
      REPRESENTATIONS, WARRANTIES, COVENANTS AND
      ACKNOWLEDGEMENTS OF THE SUBSCRIBER

5.1 

      The Subscriber (on its own behalf and, including if
      applicable, on behalf of each Disclosed Principal) acknowledges, represents, warrants and covenants to and with
the Issuer and the Agents that, as at the date given above and at the Closing
Date: 

– 8 –

	 	(a) 	
      no prospectus has been filed by the Issuer with any of
      the Commissions in connection with the issuance of the Special Warrants,
      such issuance is exempted from the prospectus requirements of applicable
      Securities Laws and that as a result:

	 	 	 	 	 
	 		(i) 	
      the Subscriber is restricted from using most of the civil
      remedies available under applicable Securities Laws including statutory
      rights of rescission and certain statutory remedies against an issuer,
      underwriters, auditors and officers otherwise available to investors who
      acquire securities offered by a prospectus;

	 	 	 	 	 
	 		(ii) 	
      the Subscriber may not receive information that would
      otherwise be required to be provided to it under applicable Securities
      Laws and under applicable securities laws of the United States;
  and

	 	 	 	 	 
	 		(iii) 	
      the Issuer is relieved from certain obligations that
      would otherwise apply under applicable Securities Laws;

	 	 	 	 	 
	 	(b) 	
      the Subscriber certifies that it and, if applicable, each
      Disclosed Principal is resident and located in the jurisdiction set out
      under “Subscriber’s Residential or Head Office Address” on the first page
      of this Agreement, which address is the residence or principal place of
      business of the Subscriber, or Disclosed Principal, as the case may be,
      and such address was not obtained or used solely for the purpose of
      acquiring the Subscriber’s Special Warrants;

	 	 	 	 	 
	 	(c) 	
      the Subscriber is either:

	 	 	 	 	 
	 		(i) 	
      purchasing the Subscriber’s Special Warrants as principal
      for its own account and not for the benefit of any other person or is
      deemed under applicable Securities Laws to be purchasing the Subscriber’s
      Special Warrants as principal,; or

	 	 	 	 	 
	 		(ii) 	
      purchasing the Subscriber’s Special Warrants as agent for
      beneficial principal(s) (each a “Disclosed Principal”), all of whom
      are disclosed on page 1 of this Agreement, and is not deemed under
      applicable Securities Laws to be purchasing the Subscriber’s Special
      Warrants as principal, and it is duly authorized to enter into this
      Agreement and to execute and deliver all documentation in connection with
      the purchase on behalf of each such Disclosed Principal, who is purchasing
      as principal for its own account and not for the benefit of any other
      person and the Subscriber in its capacity as agent is acting in compliance
      with all applicable securities and other laws; or

	 	 	 	 	 
	 		(iii) 	
      purchasing (if a resident of a Jurisdiction) for a
      principal or principals which is or are undisclosed or identified by
      account number only and is:

	 	 	 	 	 
	 			(A) 	
      a person acting on behalf of a fully managed account
      managed by that person, if that person is registered or authorized to
      carry on business as an adviser or the equivalent under the securities
      legislation of a jurisdiction of Canada or a foreign jurisdiction, and in
      Ontario, is purchasing a security that is not a security of an investment
      fund; or

	 	 	 	 	 
	 			(B) 	
      a trust corporation registered under the Trust and
      Loan Companies Act (Canada), or under comparable legislation in any
      other jurisdiction, and is purchasing the Subscriber’s Special Warrants as
      trustee or agent for one or more accounts that are fully managed by such
      trust corporation, which account or accounts are acquiring the
      Subscriber’s Special Warrants as principal;

	 	 	 	 	 
	 	(d) 	
      if the Subscriber or the Disclosed Principal is resident
      in Canada, the Subscriber or, if the Subscriber is purchasing on behalf of
      a Disclosed Principal, that Disclosed Principal:

– 9 –

	 	 	(i) 	
      is an Accredited Investor, by virtue of the fact that the
      Subscriber or such Disclosed Principal, as the case may be, falls within
      one or more of the sub-paragraphs of the definition of Accredited Investor
      set out in Appendix III (the Subscriber having checked the
      sub-paragraph(s) applicable to the Subscriber or such Disclosed Principal,
      as the case may be) and neither the Subscriber nor such Disclosed
      Principal has been created or is being used primarily to permit the
      purchase of the Special Warrants without a prospectus; or

	 	 	 	 
	 	 	(ii) 	
      is purchasing sufficient Special Warrants so that the
      aggregate acquisition cost of the Subscriber’s Special Warrants is not
      less than $150,000 and the Subscriber or such Disclosed Principal, as the
      case may be, is not a corporation, syndicate, partnership or other form of
      incorporated or non-incorporated entity or organization created solely to
      permit the purchase of the Subscriber’s Special Warrants without a
      prospectus by a group of individuals whose individual share of the
      aggregate acquisition cost of the Subscriber’s Special Warrants is less
      than $150,000;

	 	(e) 	
      (i) The Subscriber, is not a U.S. Person and hereby
      represents and warrants to, and covenants with, the Issuer and the Agents,
      and acknowledges that the Issuer and the Agents are relying on such
      representations and warranties in connection with the transactions
      contemplated herein, as follows:

	 	 	 	 
	 		(A) 	
      the Subscriber is not a U.S. Person nor subscribing for
      the Special Warrants for the account or benefit of a U.S. Person or a
      person in the United States or for resale in the United States and the
      Subscriber confirms that the Special Warrants have not been offered to the
      Subscriber in the United States and that this Subscription Agreement has
      not been executed or delivered in the United States.;

	 	 	 	 
	 		(B) 	
      the offer to purchase the Subscriber’s Special Warrants
      was not made to the Subscriber or Disclosed Principal, if any, in the
      United States;

	 	 	 	 
	 		(C) 	
      at the time the Subscriber’s subscription for Special
      Warrants was executed and delivered to the Issuer, the Subscriber (or the
      Subscriber’s authorized signatory, if it is not a natural person) was
      outside the United States; and

	 	 	 	 
	 		(D) 	
      the current structure of this transaction and all
      transactions and activities contemplated hereunder is not a scheme to
      avoid the registration requirements of the 1933
Act;

	 	 	(ii) 	
      if the Subscriber is resident in an International
      Jurisdiction, the subscription for Special Warrants by the Subscriber
      hereunder is being made pursuant to exemptions under and in accordance
      with, and does not contravene any of the, applicable securities
      legislation in the such jurisdiction in which the Subscriber resides and
      the Subscriber has completed and delivered the International Investor
      Certificate attached as Appendix IV hereto;

	 	 	 	 
	 	 	(iii) 	
      the Subscriber and each Disclosed Principal, as the case
      may be, acknowledges that no Regulatory Authority or governmental agency
      regulatory body or similar authority has reviewed or passed upon the
      merits of an investment in the Special Warrants or the Common Shares and
      that any representation to the contrary is a criminal offence and, if
      made, may not be relied upon; and

	 	 	 	 
	 	 	(iv) 	
      the Subscriber will not offer, sell or otherwise transfer
      any of the Special Warrants, Warrants or the Common Shares issuable on
      exercise of the Special Warrants or Warrants, as the case may be, in the
      United States except pursuant to registration under the 1933 Act and the
      securities laws of all applicable states or available exemptions or
      exceptions therefrom;

– 10 –

	 	(f) 	
      no person has made to the Subscriber or any Disclosed
      Principal, if applicable, any written or oral representations:

	 	 	 	 
	 		(i) 	
      that any person will resell or repurchase any of the
      Special Warrants;

	 	 	 	 
	 		(ii) 	
      that any person will refund the purchase price of any of
      the Special Warrants;

	 	 	 	 
	 		(iii) 	
      as to the future price or value of any of the Special
      Warrants, or securities issuable on exercise of the Special Warrants or
      the Warrants, as the case may be; or

	 	 	 	 
	 		(iv) 	
      that any of the Issuer’s securities will be listed and
      posted for trading on a stock exchange or that application has been made
      to list and post any of the Issuer’s securities for trading on a stock
      exchange, other than the Common Shares on the TSX-V;

	 	 	 	 
	 	(g) 	
      the Subscriber or, the Disclosed Principal, as the case
      may be, will not become a “control person” (as defined in the Ontario Act)
      by virtue of the purchase of the Subscriber’s Special Warrants (assuming
      the exercise thereof into Common Shares), and does not intend to act in
      concert with any other person to form a control group of the
  Issuer;

	 	 	 	 
	 	(h) 	
      this subscription has not been solicited in any other
      manner contrary to applicable Securities Laws and the Subscriber
      acknowledges that the Subscriber will not receive an offering memorandum
      or other disclosure document in respect of the Issuer or the Special
      Warrants;

	 	 	 	 
	 	(i) 	
      neither the Subscriber nor any Disclosed Principal, if
      applicable, has knowledge of a “material fact” or “material change” (as
      those terms are defined in the Ontario Act) in the affairs of the Issuer
      that has not been generally disclosed to the public;

	 	 	 	 
	 	(j) 	
      the Subscriber’s decision to tender this offer and
      purchase the Subscriber’s Special Warrants has not been made as a result
      of any verbal or written representation as to fact or otherwise made by or
      on behalf of the Issuer, the Agents or any other person and is based
      entirely upon this Agreement and currently available public information
      concerning the Issuer;

	 	 	 	 
	 	(k) 	
      the Agents and/or their directors, officers, employees,
      agents and representatives assume no responsibility or liability of any
      nature whatsoever for the accuracy or adequacy of any publicly available
      information concerning the Issuer, or as to whether or not all information
      concerning the Issuer required to be disclosed by it has been generally
      disclosed;

	 	 	 	 
	 	(l) 	
      the Agents have not, in connection with the Private
      Placement, engaged in or conducted any independent investigation with
      respect to the Issuer, or any information made, or required to be made,
      publicly available by the Issuer;

	 	 	 	 
	 	(m) 	
      the Issuer will have the right to accept this
      subscription offer in whole or in part and the acceptance of this
      subscription offer will be conditional upon the sale of the Subscriber’s
      Special Warrants to the Subscriber or the Disclosed Principal, as the case
      may be, being exempt from the prospectus and registration requirements
      under applicable Securities Laws;

	 	 	 	 
	 	(n) 	
      the Subscriber has the legal capacity and competence to
      enter into and execute this Agreement and to take all actions required
      pursuant hereto and, if an individual is of full age of majority in the
      jurisdiction in which the Subscriber is resident, if the Subscriber is a
      corporation it is duly incorporated and validly subsisting under the laws
      of its jurisdiction of incorporation, and if the Subscriber is not an
      individual, the Subscriber has all necessary authority and approvals by
      its directors, shareholders, partners, trustees or others to authorize the
      execution and delivery of this Agreement on behalf of the
    Subscriber;

– 11 –

	 	(o) 	
      the entering into of this Agreement and the completion of
      the transactions contemplated hereby will not result in the material
      default of violation of any of the terms and provisions of any law
      applicable to, or the constating documents, by-laws or resolutions of, the
      Subscriber or any Disclosed Principal, if applicable, or of any agreement,
      written or oral, to which the Subscriber or the Disclosed Principal, if
      applicable, may be a party or by which it is or may be bound;

	 	 	 
	 	(p) 	
      the Subscriber has obtained all necessary consents and
      authorities to enable it to agree to subscribe for the Special Warrants
      and to perform its obligations under this Agreement and the Subscriber has
      otherwise observed all applicable laws, obtained any requisite
      governmental or other consents, complied with all requisite formalities
      and paid any issue, transfer or other taxes due in any territory in
      connection with its acceptance and the Subscriber has not taken any action
      which will or may result in the Issuer or the Agents acting in breach of
      any regulatory or legal requirements of any territory in connection with
      the Private Placement or the Subscriber’s subscription;

	 	 	 
	 	(q) 	
      this Agreement, along with Appendix II (if applicable)
      and one of either Appendix III or IV, as applicable, has been duly
      executed and delivered by the Subscriber and constitutes a legal, valid
      and binding obligation of the Subscriber enforceable against the
      Subscriber and, if applicable, the Disclosed Principal;

	 	 	 
	 	(r) 	
      the Subscriber has been advised to consult its own legal
      advisors with respect to tax matters and the applicable hold periods
      imposed in respect of the Special Warrants by applicable securities
      legislation and regulatory policies and confirms that no representations
      by the Issuer or the Agents have been made, respecting tax matters or the
      hold periods applicable to the Special Warrants;

	 	 	 
	 	(s) 	
      the Subscriber and, if applicable, each Disclosed
      Principal is aware of the risks and other characteristics of the Special
      Warrants, including the risk that the Subscriber may lose its entire
      investment, and of the fact that the Subscriber and, if applicable, each
      Disclosed Principal may not be able to resell the Special Warrants
      purchased by it except in accordance with the applicable securities
      legislation and regulatory policies and that the Special Warrants may be
      subject to resale restrictions and may bear a legend to this
  effect;

	 	 	 
	 	(t) 	
      the Subscriber understands that the Special Warrants, the
      Common Shares and Warrants issuable on exercise of the Special Warrants
      and the Warrant Shares are “restricted securities” within the meaning of
      Rule 144 and agrees that if it decides to offer, sell, pledge or otherwise
      transfer any such security they may be offered, sold, pledged or otherwise
      transferred only: (A) to the Issuer; (B) outside the United States in
      accordance with Rule 904 of Regulation S under the 1933 Act; (C) within
      the United States in accordance with (i) Rule 144A to a person who the
      seller reasonably believes is a Qualified Institutional Buyer that is
      purchasing for its own account or for the account of a Qualified
      Institutional Buyer to whom notice is given that the offer, sale, or
      transfer is being made in reliance on Rule 144A, if available, or (ii) the
      exemption from registration under the 1933 Act provided by Rule 144
      thereunder, if applicable; (D) in a transaction that does not require
      registration under the 1933 Act or any applicable United States Securities
      Laws and regulations governing the offer and sale of securities; or (E)
      pursuant to an effective registration statement under the 1933 Act,
      provided that with respect to sales or transfers under clauses (C)(ii) or
      (D), only if the holder has furnished to the Issuer an opinion of counsel,
      reasonably satisfactory to the Issuer, prior to such sale or transfer and
      in each case in accordance with any United States Securities Laws or
      securities laws of any other applicable jurisdiction;

	 	 	 
	 	(u) 	
      the certificates representing the Special Warrants, the
      Common Shares and Warrants issuable on exercise of the Special Warrants or
      the Warrant Shares issuable upon exercise of the Warrants, as the case may
      be, if issued prior to the Clearance Date for the Prospectus or if issued
      prior to the day which is four months and one day following the Closing
      Date will bear the following legends as required by National Instrument
      45-102 and the TSX-V substantially in the following form and with the
      necessary information inserted:

– 12 –

	 		
      “UNLESS PERMITTED UNDER SECURITIES LEGISLATION, THE
      HOLDER OF THIS SECURITY MUST NOT TRADE THE SECURITY BEFORE THE DATE THAT
      IS 4 MONTHS AND A DAY AFTER [INSERT DISTRIBUTION DATE].”

	 	 	 
	 		
      “WITHOUT PRIOR WRITTEN APPROVAL OF THE EXCHANGE AND
      COMPLIANCE WITH ALL APPLICABLE SECURITIES LEGISLATION, THE SECURITIES
      REPRESENTED BY THIS CERTIFICATE MAY NOT BE SOLD, TRANSFERRED, HYPOTHECATED
      OR OTHERWISE TRADED ON OR THROUGH THE FACILITIES OF THE TSX VENTURE
      EXCHANGE OR OTHERWISE IN CANADA OR TO OR FOR THE BENEFIT OF A CANADIAN
      RESIDENT UNTIL [INSERT DATE].”

	 	 	 
	 		
      In addition to the legends above, until such time as the
      Special Warrants, the Common Shares, the Warrants underlying the Special
      Warrants and the Warrant Shares are either (i) no longer “restricted
      securities” within the meaning of Rule 144 or, (ii) a Registration
      Statement is declared effective by the SEC, the certificates representing
      the Special Warrants, the Common Shares, the Warrants underlying the
      Special Warrants and the Warrant Shares, as well as all certificates
      issued in exchange for or in substitution of the foregoing securities,
      until such time as the same is no longer required under applicable
      requirements of the U.S. Securities Act or applicable United States
      Securities Laws, shall bear the following legend:

	 	 	 
	 		
      “THE SECURITIES REPRESENTED HEREBY HAVE NOT BEEN, AND
      WILL NOT BE, REGISTERED UNDER THE UNITED STATES SECURITIES ACT OF 1933, AS
      AMENDED (THE “U.S. SECURITIES ACT”), OR UNDER ANY STATE SECURITIES LAWS.
      THE HOLDER HEREOF, BY PURCHASING THESE SECURITIES, AGREES FOR THE BENEFIT
      OF INTELGENX TECHNOLOGIES CORP. (THE “COMPANY”) THAT THESE SECURITIES MAY
      BE OFFERED, SOLD, PLEDGED OR OTHERWISE TRANSFERRED ONLY (A) TO THE
      COMPANY, (B) OUTSIDE THE UNITED STATES IN ACCORDANCE WITH REGULATION S
      UNDER THE U.S. SECURITIES ACT, (C) WITHIN THE UNITED STATES IN COMPLIANCE
      WITH (i) THE EXEMPTION FROM REGISTRATION PROVIDED BY RUE 144A UNDER THE
      U.S. SECURITIES ACT, IF AVAILABLE OR (ii) THE EXEMPTION FROM REGISTRATION
      PROVIDED BY RULE 144 UNDER THE U.S. SECURITIES ACT, IF APPLICABLE, AND, IN
      EACH CASE, IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS, OR (D) IN
      ANOTHER TRANSACTION THAT DOES NOT REQUIRE REGISTRATION UNDER THE U.S.
      SECURITIES ACT OR ANY APPLICABLE STATE SECURITIES LAWS, AND, IN THE CASE
      OF (C)(II) AND (D), THE SELLER FURNISHES TO THE COMPANY AN OPINION OF
      COUNSEL OF RECOGNIZED STANDING IN FORM AND SUBSTANCE REASONABLY
      SATISFACTORY TO THE COMPANY TO SUCH EFFECT.

	 	 	 
	 	(v) 	
      if required by applicable securities legislation, policy
      or order or by any securities commission, stock exchange or other
      regulatory authority, the Subscriber and, if applicable, each Disclosed
      Principal will execute, deliver, file and otherwise assist the Issuer in
      filing, such reports, undertakings and other documents with respect to the
      issue of the Special Warrants as may be required;

	 	 	 
	 	(w) 	
      the funds which will be advanced by the Subscriber to the
      Issuer hereunder, as applicable, will not represent proceeds of crime for
      the purposes of the Proceeds of Crime (Money Laundering) and Terrorist
      Financing Act (Canada) (the “PCMLTFA”) and the Subscriber
      acknowledges that the Issuer may in the future be required by law to
      disclose the Subscriber’s name and other information relating to this
      Agreement and the Subscriber’s subscription hereunder, on a confidential
      basis, pursuant to the PCMLTFA. To the best of the Subscriber’s knowledge
      (a) none of the subscription funds to be provided by the Subscriber (i)
      have been or will be derived from or related to any activity that is
      deemed criminal under the laws of Canada, the United States of America or
      any other jurisdiction, or (ii) are being tendered on behalf of a person
      or entity who has not been identified to the Subscriber, and (b) the
      Subscriber shall promptly notify the Issuer if the Subscriber discovers
      that any of such representations ceases to be true, and to provide the
      Issuer with appropriate information in connection
  therewith;

– 13 –

	 	(x) 	
      the Subscriber acknowledges that upon completion of the
      Private Placement, the Agents will receive a commission in cash from the
      Issuer equal to 8% of the gross proceeds from the sale of Special Warrants
      sold under the Private Placement to all subscribers, as well as, that
      number of Common Shares equal to 4% of the Aggregate Special Warrants and
      that number of Common Share purchase options as is equal to 8% of the
      Aggregate Special Warrants (“Compensation Options”). Each
      Compensation Option will entitle the holder thereof to acquire one Common
      Share of the Issuer at an exercise price equal to US$0.80 for a period of
      36 months from the Closing Date;

	 	 	 
	 	(y) 	
      the Subscriber is not entitled to be paid any commission
      in relation to its participation in the Private Placement;

	 	 	 
	 	(z) 	
      other than the Agents, there is no person acting or
      purporting to act in connection with the transactions contemplated herein
      who is entitled to any brokerage or finder’s fee;

	 	 	 
	 	(aa) 	
      the Subscriber and, if applicable, each Disclosed
      Principal has not purchased the Special Warrants as a result of any form
      of General Solicitation or General Advertising, including advertisements,
      articles, notices or other communication published in any newspaper,
      magazine or similar media or on the internet or broadcast over radio,
      television or internet or any seminar or meeting whose attendees have been
      invited by General Solicitation or General Advertising;

	 	 	 
	 	(bb) 	
      the Subscriber has not received or been provided with,
      nor has it requested, nor does it have any need to receive, any offering
      memorandum, any prospectus, any sales or advertising literature, or any
      other document describing or purporting to describe the business and
      affairs of the Issuer which has been prepared for delivery to, and review
      by, prospective purchasers in order to assist in making an investment
      decision in respect of the Special Warrants (other than the Disclosure
      Record);

	 	 	 
	 	(cc) 	
      the Subscriber or, if applicable, each Disclosed
      Principal has such knowledge in financial and business affairs as to be
      capable of evaluating the merits and risks of its investment and is able
      to bear the economic risk of the loss of its entire investment in the
      Special Warrants;

	 	 	 
	 	(dd) 	
      the Subscriber or, if applicable, each Disclosed
      Principal, if a corporation or other non-individual entity, has previously
      filed within the preceding year with the TSX-V a duly completed Form 4C,
      Corporate Placee Registration Form, and represents and warrants that there
      has been no change to any of the information in the Corporate Placee
      Registration Form previously filed with the TSX-V up to the date of this
      Agreement, or will deliver a completed Form 4C, Corporate Placee
      Registration Form in the form attached hereto as Appendix II to the Issuer
      in accordance with 9.2(d) of this Agreement;

	 	 	 
	 	(ee) 	
      it understands and agrees that the financial statements
      of the Issuer have been prepared in accordance with United States
      generally accepted accounting principles, which differ in some respects
      from Canada generally accepted accounting principles, and thus may not be
      comparable to financial statements of Canadian companies;

	 	 	 
	 	(ff) 	
      the Subscriber agrees that the Issuer and the Agents may
      be required by law or otherwise to disclose to regulatory authorities the
      identity of the Subscriber and if applicable the beneficial purchaser for
      whom the Subscriber may be acting; and

	 	 	 
	 	(gg) 	
      the Subscriber agrees that the above representations,
      warranties, covenants and acknowledgements in this Agreement and the
      attached Appendices are and will be true and correct both as of the
      execution of this Agreement and as of the Closing.

5.2  

The foregoing representations, warranties, covenants and
acknowledgements are made by the Subscriber with the intent that they be relied
upon by the Issuer and the Agents and their respective counsel in determining
its eligibility as a purchaser of Special Warrants. The Subscriber
undertakes to notify the Issuer and the Agents immediately of any change in any
representation, warranty or other information relating to the Subscriber set
forth herein which takes place prior to the Closing. 

– 14 –

5.3 

      The Issuer will obtain and hold the right and benefit of
      this section 5 in trust for and behalf of the Agents.

6. 

      REPRESENTATIONS, WARRANTIES AND COVENANTS OF THE
      ISSUER

6.1 

      The Issuer represents and warrants to the Subscriber
      that, as of the date hereof and at the Closing Date,
the representations and warranties of the Issuer set forth herein
and in the Agency Agreement are and, at Closing will be, true and correct.

6.2 

By its acceptance
of this offer, the Issuer confirms that the Subscriber will have the benefit of
all of the representations, warranties, covenants and conditions provided to, or
for the benefit of, the Agents under the Agency Agreement as if such
representations, warranties, covenants and conditions were made directly to the
Subscriber under this Agreement and the Issuer acknowledges that the Subscriber
has relied on the representations, warranties and covenants contained in the
Agency Agreement. 

6.3 

The Issuer shall
indemnify, defend and hold the Subscriber (which term shall, for the purposes of
this section, include the Subscriber or its shareholders, managers, partners,
directors, officers, members, employees, direct or indirect investors, agents
and affiliates and assignees and the stockholders, partners, directors, members,
managers, officers, employees, direct or indirect investors and agents of such
affiliates and assignees) harmless against any and all liabilities, loss, cost
or damage, together with all reasonable costs and expenses related thereto
(including reasonable legal and accounting fees and expenses), arising from,
relating to, or connected with the untruth, inaccuracy or breach of any
statement, representation, warranty or covenant of the Issuer contained herein
or in the Agency Agreement. 

7. 

      WITHDRAWAL OF SUBSCRIPTION

7.1 

      The Subscriber reserves the right to withdraw this
      subscription and to terminate its obligations hereunder
  at any time before the Closing only if the Agents terminate their
obligations with respect to the Private Placement under the Agency Agreement and
hereby appoints each Agent as its agent for the purpose of notifying the Issuer
of the withdrawal or termination of this subscription. 

8. 

      CONTRACTUAL RIGHT OF RESCISSION

8.1 

      By its acceptance of this Agreement, the Issuer hereby
      grants to the Subscriber a contractual right of
action for rescission set forth below in Section 8.2 and the
Subscriber agrees to assign and explicitly extend the benefit of such right (but
without liability to any Subscriber who is not a dealer) to any permitted
assignee or transferee of the Special Warrants. Subject to the foregoing, the
Subscriber (and, if applicable, others for whom it is contracting hereunder)
hereby waives and releases the Issuer, and the Agents from, to the fullest
extent permitted by law, all rights of withdrawal to which the Subscriber might
otherwise be entitled under applicable Securities Laws including, without
limitation, any rights pursuant to subsection 71(2) of the Ontario Act and the
analogous provision of the Securities Laws of the other provinces of Canada. 

8.2  

The Issuer has agreed that in the event that a holder of a
Special Warrant who acquires Common Shares and Warrants upon the exercise of
such Special Warrant, as provided for in the Prospectus is or becomes entitled
under the Securities Laws to the remedy of rescission by reason of the
Prospectus or any amendment thereto containing a misrepresentation, such holder
shall be entitled to rescission of both the holder’s exercise of its Special
Warrants and the private placement transaction pursuant to which the Special
Warrants were initially acquired and shall be entitled in connection with such
rescission to a full refund from the Issuer of the amount of the Aggregate
Subscription Price paid on the acquisition of the Special Warrants to the
Issuer. In the event such holder is a permitted assignee of the interest of the
original Subscriber, such assignee shall be entitled to exercise such rights of
rescission and refund as if such permitted assignee was such original
Subscriber. The provisions of this section are a direct contractual right
extended by the Issuer (but specifically not by any of the Agents or the
directors, officers or other agent of the Issuer) to holders of Special Warrants,
assignees (in respect of whom such rights are hereby granted to, and received
by, the Agents in trust for assignees) of such holders and holders of Common
Shares and Warrants acquired by such holders on exercise of Special Warrants and
are in addition to any other right or remedy available to a holder of Special
Warrants under section 130 of the Ontario Act or otherwise at law. The foregoing
contractual rights of action for rescission shall be subject to the defences
described under section 130 of the Ontario Act which is incorporated herein by
reference, mutatis mutandis, and any other defence or defences available
to the Issuer under applicable laws, rules and instruments. No action shall be
commenced to enforce the foregoing rights of action for rescission more than 180
days after payment is made for the Special Warrants. 

– 15 –

	9. 	
      CLOSING

9.1 

Delivery of the Special Warrants and payment of the
      Aggregate Subscription Price will be completed at Closing at the offices of Borden Ladner Gervais LLP, counsel to
the Issuer, 40 King Street West, Suite 4400, Scotia Plaza, Toronto, Ontario on
the Closing Date or at such other place as the Issuer and Paradigm may agree.
If, prior to the Closing Time, the terms and conditions contained in this
Agreement and the Agency Agreement have been complied with to the satisfaction
of the Agents, or waived by the Agents, the Agents shall deliver to the Issuer
all completed Agreements, including this Agreement, and payment of the Aggregate
Subscription Price for all of the Special Warrants sold pursuant to the Agency
Agreement against delivery by the Issuer of certificates representing the
Special Warrants and such other documentation as may be required pursuant to
this Agreement and the Agency Agreement. 

9.2 

The obligations of the parties hereunder are subject to all
required regulatory approvals being obtained. This Private Placement is
conditional upon, among other things, the Issuer obtaining conditional approval
of the TSX-V. 

The Subscriber acknowledges and
agrees that the obligations of the Issuer hereunder are conditional on the
accuracy of the representations and warranties of the Subscriber contained in
this Agreement as of the date of this Agreement, and as of the Closing Date as
if made at and as of the Closing Date, and the fulfillment of the following
additional conditions as soon as possible and in any event not later than the
Closing Date: 

	 	(a) 	
      the Issuer having accepted this Agreement;

	 	 	 
	 	(b) 	
      payment by the Subscriber of the Aggregate Subscription
      Price by certified cheque, money order, bank draft or other acceptable
      means in Canadian dollars payable to the Agent through which the
      Subscriber has agreed to purchase the Special Warrants;

	 	 	 
	 	(c) 	
      the Subscriber having properly completed, signed and
      delivered this Agreement (with the applicable Appendices), to one of the
      following, as applicable:

	 	 	
       
	 	 	
      Paradigm Capital Inc. 
95 Wellington Street West,
Suite 2101
Toronto, ON M5J 2N7 
	 	 	
       

	
     	
    Attention: 
	
    Tony Pullen 

	
     	
    Fax: 
	
    (416) 361-0679 

	
     	
    Email: 
	
    tpullen@paradigmcap.com 

Bolder Investment Partners, Ltd.
800 – 1450 Creekside
Drive 
Vancouver, BC V6J 5B3 

	
     	
    Attention: 
	
    Martin Burian 

	
     	
    Fax: 
	
    Vice-President, Corporate Finance

– 16 –

Union Securities Ltd. 
Suite 115, 240 –
4th Avenue S.W.
Calgary, AB T2P 4H4 

	
     	
    Attention: 
	
    Jovan Stupar 
	
     	
    Fax: 
	
    Managing Director, Investment Banking

		(d) 	
      the Subscriber having properly completed, signed and
      delivered, as applicable, Appendix I, II, III, and/or IV and any further
      documentation as required under applicable Securities Laws or any stock
      exchange or other regulatory authority and the Subscriber covenants and
      agrees to do so upon request by the Issuer; and

	 	 	 
		(e) 	
      the conditions of closing contained in the Agency
      Agreement being satisfied or waived by the relevant party.

	 	 	 
	10. 	
      RESALE RESTRICTIONS

	 	 	 

10.1 

The Subscriber understands and acknowledges that the
      Special Warrants, the Common Shares and Warrants issuable on exercise of the Special Warrants and the
Warrant Shares issuable on exercise of the Warrants, as the case may be, will be
subject to certain resale restrictions under applicable Securities Laws, the
1933 Act and applicable state securities laws and the TSX-V’s policies prior to
the Clearance Date, the terms of which may be endorsed on the certificates
representing such Special Warrants, Common Shares, Warrants and Warrant Share as
a printed legend, and the Subscriber agrees to comply with such resale
restrictions. The Subscriber also acknowledges that it has been advised to
consult its own independent legal advisor with respect to the applicable resale
restrictions and the Subscriber or, if applicable, the Disclosed Principal is
solely responsible (and neither the Issuer nor the Agents are responsible) for
complying with such restrictions and the Issuer is not responsible for ensuring
compliance by the Subscriber or, if applicable, the Disclosed Principal with the
applicable resale restrictions. 

	11. 	
      USE OF PERSONAL INFORMATION

11.1

The Subscriber (on its own behalf and, if applicable, on
      behalf of any Disclosed Principal) acknowledges and consents to the fact the Issuer and the Agents are
collecting the Subscriber’s (and any Disclosed Principal) personal information
for the purpose of completing the Subscriber’s subscription. The Subscriber (on
its own behalf and, if applicable, on behalf of any Disclosed Principal)
acknowledges and consents to the Issuer and the Agents retaining the personal
information for as long as permitted or required by applicable law or business
practices. The Subscriber (on its own behalf and, if applicable, on behalf of
any Disclosed Principal) further acknowledges and consents to the fact the
Issuer or the Agents may be required by applicable securities laws, stock
exchange rules, and Investment Industry Regulatory Organization of Canada rules
to provide regulatory authorities any personal information provided by the
Subscriber respecting itself (and any Disclosed Principal). The Subscriber
represents and warrants that it has the authority to provide the consents and
acknowledgements set out in this section on behalf of all Disclosed Principals.

11.2 

The Subscriber and each Disclosed Principal, if
applicable, hereby acknowledges and consents to: (i) the disclosure by the
Subscriber and the Issuer of Personal Information (defined in section 11.5)
concerning the Subscriber to the TSX-V and its affiliates, authorized agent,
subsidiaries and divisions; and (ii) the collection, use and disclosure of
Personal Information by the TSX-V for the following purposes (or as otherwise
identified by the TSX-V, from time to time): 

	 	(a) 	
      to conduct background checks;

	 	 	 
	 	(b) 	
      to verify the Personal Information that has been provided
      about the Subscriber;

	 	 	 
	 	(c) 	
      to consider the suitability of the Subscriber as a holder
      of securities of the Issuer;

	 	 	 
	 	(d) 	
      to consider the eligibility of the Issuer to continue to
      list on the TSX-V;

– 17 –

	 	(e) 	
      to provide disclosure to market participants as to the
      security holdings of the Issuer’s shareholders, and their involvement with
      any other reporting issuers, issuers subject to a cease trade order or
      bankruptcy, and information respecting penalties, sanctions or personal
      bankruptcies, and possible conflicts of interest with the
Issuer;

	 	 	 
	 	(f) 	
      to detect and prevent fraud;

	 	 	 
	 	(g) 	
      to conduct enforcement proceedings; and

	 	 	 
	 	(h) 	
      to perform other investigations as required by and to
      ensure compliance with all applicable rules, policies, rulings and
      regulations of the TSX-V, securities legislation and other legal and
      regulatory requirements governing the conduct and protection of the public
      markets in Canada.

11.3 

The Subscriber also acknowledges that: (i) the TSX-V also
collects additional Personal Information from other sources, including
securities regulatory authorities in Canada or elsewhere, investigative law
enforcement or self-regulatory organizations to ensure that the purposes set
forth above can be accomplished; (ii) the Personal Information the TSX-V
collects may also be disclosed to the agencies and organizations referred to
above or as otherwise permitted or required by law, and they may use it in their
own investigations for the purposes described above; (iii) the Personal
Information may be disclosed on the TSX-V’s website or through printed materials
published by or pursuant to the direction of the TSX-V; and (iv) the TSX-V may
from time to time use third parties to process information and provide other
administrative services, and may share the information with such providers. 

11.4 

If the Subscriber
is resident in or otherwise subject to the securities laws applicable in
Ontario, the information provided by the Subscriber on the face page of this
Agreement identifying the name, address and telephone number of the Subscriber,
the number of Special Warrants being purchased hereunder and the total purchase
price as well as the Closing Date and the exemption that the Subscriber is
relying on in purchasing the Special Warrants will be disclosed to the Ontario
Securities Commission, and such information is being indirectly collected by the
Ontario Securities Commission under the authority granted to it under securities
legislation. This information is being collected for the purposes of the
administration and enforcement of the securities legislation of Ontario. Each
Subscriber (for certainty including each Disclosed Principal) hereby authorizes
the indirect collection of such information to the Ontario Securities
Commission. In the event the Subscriber has any questions with respect to the
indirect collection of such information by the Ontario Securities Commission,
the public official who can answer questions about the Ontario Securities
Commission’s indirect collection of Personal Information is the Administrative
Assistant to the Director of Corporate Finance, Ontario Securities Commission,
Suite 1903, Box 55, 20 Queen Street West, Toronto, Ontario, M5H 3S8, Telephone
416-593-8086. 

11.5 

Herein, “Personal Information” means any
information about the Subscriber provided by the Subscriber in this Agreement
and as required to be disclosed to the Commissions or the TSX-V, whether
pursuant to a form or a request made by a Commission or the TSX-V, including the
Corporate Placee Registration Form attached hereto. 

	12. 	
      SURVIVAL OF REPRESENTATIONS, WARRANTIES AND
      COVENANTS

12.1 

The representations, warranties and covenants of the
      Issuer contained in this Subscription Agreement
shall survive the Closing and, notwithstanding such Closing or any
investigation made by or on behalf of the Subscriber with respect thereto, shall
continue in full force and effect for the benefit of the Subscriber and the
Agents for a period of two years following the Closing Date. 

12.2 

The
representations, warranties and covenants of the Subscriber contained in this
Agreement or any certificate or document delivered pursuant to or in connection
with this Agreement shall survive the Closing and, notwithstanding such Closing,
any subsequent disposition by the Subscriber of any of the Special Warrants,
Common Shares, Warrants or Warrant Shares, or any investigation made by or on
behalf of the Issuer or the Agents with respect thereto, shall continue in full
force and effect for the benefit of the Issuer and the Agents for a period of
two years following the Closing Date. 

– 18 –

	13. 	
      MISCELLANEOUS

13.1 

Each of the Parties hereto upon the request of each of
      the other Parties hereto, whether before or after
the Closing Time, shall do, execute, acknowledge and deliver or
cause to be done, executed, acknowledged and delivered all such further acts,
deeds, documents, assignments, transfers, conveyances, powers of attorney and
assurances as may reasonably be necessary or desirable to complete the
transactions contemplated herein. 

13.2 

Any notice, direction or other instrument required or permitted
to be given to any Party hereto shall be in writing and shall be sufficiently
given if delivered personally, or transmitted by facsimile tested prior to
transmission to such party, as follows: 

	 	(a) 	
      in the case of the Issuer, to:

	 	 	
       
	 	 	
      IntelGenx Technologies Corp.
6425 Abrams 
Ville
St. Laurent, Quebec 
H4S 1X9 
	 	 	
       

	
     	
    Attention: 
	
    Horst G. Zerbe 
	
     	
    Fax: 
	
    (514) 331-0436

with a courtesy copy to: 

Borden Ladner Gervais LLP
Scotia Plaza 
40 King
Street West 
Toronto, Ontario 
M5H 3Y4 

	
     	
    Attention: 
	
    Manoj Pundit 
	
     	
    Fax: 
	
    (416) 682-2842

	(b) 	
      in the case of the Subscriber, at the address specified
      on the face page hereof, with a copy to Paradigm (on behalf of the Agents)
      at:

	 	
       

	 	 	
      Paradigm Capital Inc. 
95 Wellington Street West,
Suite 2101
Toronto, ON 

      M5J 2N7 
	 	 	
       

	
     	
    Attention: 
	
    Tony Pullen 

	
     	
    Fax: 
	
    (416) 361-0679 

Any such notice, direction or
other instrument, if delivered personally, shall be deemed to have been given
and received on the day on which it was delivered, provided that if such day is
not a Business Day then the notice, direction or other instrument shall be
deemed to have been given and received on the first Business Day next following
such day and if transmitted by fax, shall be deemed to have been given and
received on the day of its transmission, provided that if such day is not a
Business Day or if it is transmitted or received after the end of normal
business hours then the notice, direction or other instrument shall be deemed to
have been given and received on the first Business Day next following the day of
such transmission. 

Any party hereto may change its
address for service from time to time by notice given to each of the other
parties hereto in accordance with the foregoing provisions. 

13.3 

Time shall be of the essence of this
Agreement and every part hereof. 

– 19 –

13.4 

All costs and
expenses (including, without limitation, the fees and disbursements of legal
counsel) incurred in connection with this Agreement and the transactions herein
contemplated shall be paid and borne by the party incurring such costs and
expenses. 

13.5 

This Agreement shall be construed and enforced in
accordance with, and the rights of the parties shall be governed by, the laws of
the Province of Ontario and the laws of Canada applicable therein. Any and all
disputes arising under this Agreement, whether as to interpretation, performance
or otherwise, shall be subject to the non-exclusive jurisdiction of the courts
of the Province of Ontario and each of the parties hereto hereby irrevocably attorns to the jurisdiction of the courts of such province. 

13.6 

This Agreement,
which includes any interest granted or right arising under this Agreement, may
not be assigned or transferred except with the prior written consent of the
other party hereto. 

13.7 

Except as
expressly provided in this Agreement and in the agreements, instruments and
other documents contemplated or provided for herein, this Agreement contains the
entire agreement between the Parties with respect to the Special Warrants and
there are no other terms, conditions, representations or warranties whether
expressed, implied, oral or written, by statute, by common law, by the Issuer,
by the Agents, or by anyone else. 

13.8 

      Subject to section 4, the parties may amend this
      Agreement only in writing.

13.9 

      This Agreement enures to the benefit of and is binding
      upon the Parties and, as the case may be, their respective heirs, executors, administrators, permitted assigns
and successors. 

13.10 

A Party will give
all notices or other written communications to the other Party concerning this
Agreement by hand or by registered mail addressed to such other Party’s
respective address which is noted on the cover page of this Agreement. 

13.11 

The Parties hereby agree and confirm that they have
requested that this Agreement, as well as all notices and other documents
contemplated hereby, be drawn up in the English language only. Les parties aux présentes reconnaissent et confirment qu’elles ont convenu que la présente
convention ainsi que tous les avis et documents, qui s’y rattachent soient
rédigés en anglais. 

13.12 

This Agreement may
be executed in counterparts, each of which when delivered will be deemed to be
an original and all of which together will constitute one and the same document
and the Issuer or the Agents will be entitled to rely on delivery by facsimile
machine or other electronic means of an executed copy of this subscription, and
acceptance by the Issuer of such facsimile or other electronic copy will be
equally effective to create a valid and binding agreement between the Subscriber
and the Issuer as if the Issuer had accepted the subscription originally
executed by the Subscriber. 

– 20 –

	 APPENDIX I 
	 
	 TERM SHEET 
	 
	 IntelGenx Technologies Corp.

	 PRIVATE PLACEMENT OF SPECIAL WARRANTS 
	  	  
	Issuer: 	IntelGenx Technologies Corp. 
	Amount: 	Up to C$4,500,000. 
	Price: 	C$0.40 per Special Warrant (the “Issue Price”). 
	Special Warrants: 	Each Special Warrant will entitle the holder thereof to acquire, for
      no further 
	  	consideration one unit (a “Unit”) until 5:00 p.m. (Toronto time)
      (the “Expiry 
	  	Time”) on the earlier of: 

	 	 	 	 	(a) 	
      the date (the “Clearance Date”) which is five business
      days following the later of:

	 	 	 	 	 	 	 
	 	 	 	 		(i) 	
      the date a Decision Document is issued for the Prospectus
      by the last of the securities authorities in the Jurisdictions in which
      purchasers of the Special Warrants reside and Quebec; and

	 	 	 	 	 	 	 
	 	 	 	 		(ii) 	
      the date the Registration Statement is declared effective
      by the SEC; and

	 	 	 	 	 	 	 
	 	 	 	 	(b) 	
      the date which is four months following the Closing
      Date,

	 	 	 	 	 	
       
	 	 	 	 	provided that if the Clearance Date has not
    occurred on or prior to the date which is 120 days following the Closing
    Date, each Special Warrant will thereafter entitle the holder to acquire for
    no additional consideration, 1.1 Unit (instead of one Unit).Any Special Warrants which have not been exercised prior to the
Expiry Time will be exercised on behalf of the holders thereof immediately prior
to the Expiry Time

Each Unit will consist of one common share (a “Common Share”)
and one Common Share purchase warrant (a “Warrant”). Each Warrant will entitle
the holder to purchase one Common Share of the Company for 36 months following
the closing of the Offering at an exercise price of U.S.$0.80 per share. 

    

Prospectus Qualification and Filing of U.S. Registration
Statement:

	 	 	 	 	
The Company shall use its best efforts to, as soon as
practicable following the Closing and, in any event, within 30 days following
the Closing Date, file and obtain a Decision Document for a preliminary short
form prospectus, settle any comments of the Canadian Securities administrators
as soon as possible thereafter and file and obtain a Decision Document for a
final Prospectus, to qualify the distribution of the Units upon the exercise of
the Special Warrants.

The Company shall use its best efforts to, as soon as
practicable following the Closing and, in any event, within 30 days following
the Closing Date, file a Registration Statement with the SEC, settle any
comments of the SEC as soon as possible thereafter and file and have declared
effective a final Registration Statement, to qualify the Common Shares and
Warrants to be issued upon the exercise of the Special Warrants, the
Compensation Options and the Broker’s Shares for distribution to, and trading
by, the public in the United States of America.

    

 

- 2 -

	Type of Transaction:	
Fully Marketed best efforts private placement. It shall be a
condition of completion of the Offering that the Special Warrants not be subject
to a hold period of longer than four months and one day after the Closing Date
in the Jurisdictions. 

    
	 	 
	Jurisdictions:  	
    The qualifying jurisdictions for the Offering will be each of
the provinces of Canada except for Quebec (the “Jurisdictions”). The Special
Warrants will not be offered or sold in the United States. The Special Warrants
may also be sold in jurisdictions other than Canada on a private placement basis
provided that the Company shall not become subject to any prospectus or
continuous disclosure requirements in such jurisdictions.  

	 	 
	Listing: 	
    The Company shall obtain the necessary approvals to list the
Common Shares underlying the Special Warrants (including the Common Shares
issuable upon the due exercise of the Warrants) on the TSX Venture Exchange.

	 	 
	Agent’s Compensation:	
    On the Closing Date the Agents will: (a) be paid a cash
commission of 8.0% of the gross proceeds raised; (b) receive that number of
Compensation Options that is equal to 8% of the number of Special Warrants sold
in the Offering (each Compensation Option entitling the holder thereof to
acquire one Common Share at an exercise price of US$0.80 per share for a period
of 36 months from the Closing Date); and (c) receive that number of Broker’s
Shares that is equal to 4% of the number of Special Warrants sold in the
Offering. 

	 	 
	Closing Date: 	
    On or about June 30, 2009 or such other date or dates that
might be determined by the Company and the Agents. 

	 	 
	 Agents: 	
    Paradigm Capital Inc., Bolder Investment Partners, Ltd. and
Union Securities Ltd. 

	 	 
	 Use of Proceeds:	
    The proceeds from the Offering shall be used for
commercialization and development of drugs to be delivered using Oral Film
Technology and the Versatab Multi-Layer Tablet platform, repay outstanding
convertible notes, working capital and capital expenditures, as well as
strategic investments including business development and pharmaceutical research
and development. 

 

	 	 	 
	 	
    APPENDIX II

     

    FORM 4C
	
    

CORPORATE PLACEE REGISTRATION FORM

Where subscribers to a Private Placement are not individuals,
the following information about the placee must be provided. This Form will
remain on file with the TSX-V. The corporation, trust, portfolio manager or
other entity (the “Placee”) need only file it on one time basis, and it
will be referenced for all subsequent Private Placements in which it
participates. If any of the information provided in this Form changes, the
Placee must notify the TSX-V prior to participating in further placements with
TSX-V listed companies. If as a result of the Private Placement, the Placee
becomes an Insider of the Issuer, Insiders of the Placee are reminded that they
must file a Personal Information Form (2A) or, if applicable, Declarations, with
the TSX-V.

	1. 	
      Placee Information:

	 	 	 
		(a) 	
      Name:
      
________________________________________________________________________

	 	 	 
		(b) 	
      _______________________________________________________________________________
Complete
      Address:
      
______________________________________________________________

	 	 	 
		
      Jurisdiction of Incorporation or Creation:
      
____________________________________________________

	 	 	 
	2. 	
      (a) Is the Placee purchasing securities as a portfolio
      manager (Yes/No)?  _______

	 	 	 
		(b) 	
      Is the Placee carrying on business as a portfolio manager
      outside of Canada (Yes/No)?  _______

	 	 	 
	3. 	
      If the answer to 2(b) above was “Yes”, the undersigned
      certifies that:

	 	 	 
		(a) 	
      It is purchasing securities of an Issuer on behalf of
      managed accounts for which it is making the investment decision to
      purchase the securities and has full discretion to purchase or sell
      securities for such accounts without requiring the client’s express
      consent to a transaction;

	 	 	 
		(b) 	
      it carries on the business of managing the investment
      portfolios of clients through discretionary authority granted by those
      clients (a “portfolio manager” business) in
      
____________________
[jurisdiction], and it is permitted by law to
      carry on a portfolio manager business in that jurisdiction;

	 	 	 
		(c) 	
      it was not created solely or primarily for the purpose of
      purchasing securities of the Issuer;

	 	 	 
		(d) 	
      the total asset value of the investment portfolios it
      manages on behalf of clients is not less than CDN$20,000,000;
and

	 	 	 
		(e) 	
      it has no reasonable grounds to believe, that any of the
      directors, senior officers and other insiders of the Issuer, and the
      persons that carry on investor relations activities for the Issuer has a
      beneficial interest in any of the managed accounts for which it is
      purchasing.

 

- 2 -

	4. 	
      If the answer to 2(a). above was “No”, please provide the
      names and addresses of control persons of the
Placee:

 

	
    	
    Name	
    City	
    Province or State	
    Country
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 
	 	 	 	 	 

The undersigned acknowledges that it is bound by the provisions
of applicable Securities Law, including provisions concerning the filing of
insider reports and reports of acquisitions (See for example, sections 87 and
111 of the Securities Act (British Columbia) and sections 176 and 182 of
the Securities Act (Alberta). 

Acknowledgment – Personal Information

“Personal Information” means any information about an
identifiable individual, and includes information contained in sections 1, 2 and
4, as applicable, of this Form. 

The undersigned hereby acknowledges and agrees that it has
obtained the express written consent of each individual to: 

	(a) 	
      the disclosure of Personal Information by the undersigned
      to the TSX-V (as defined in Appendix 6B) pursuant to this Form;
  and

	 	 
	(b) 	
      collection, use and disclosure of Personal Information by
      the TSX-V for the purposes described in Appendix 6B or as otherwise
      identified by the TSX-V, from time to time.

Dated at ________________________on
_________________________________

.

	
    (Name of Purchaser - please print)	 
	 	 
	 	 
	
    (Authorized Signature)	 
	 	 
	 	 
	
    (Official Capacity - please print)	 
	 	 
	 	 
	
    (please print name of individual whose
    signature appears above)	 

 

THIS IS NOT A PUBLIC DOCUMENT

 

APPENDIX III

ACCREDITED INVESTOR CERTIFICATE

The Subscriber is a resident of either British Columbia,
Alberta, Saskatchewan, Manitoba, Ontario, Nova Scotia, New Brunswick, Prince
Edward Island or Newfoundland and Labrador and hereby represents, warrants and
certifies to the Issuer that the Subscriber is an “accredited investor”, as such
term is defined in National Instrument 45-106 –Prospectus and Registration
Exemptions (“NI 45-106”) and, as at the time the subscription is
accepted by the Issuer (“Closing”), the Subscriber will fall within one
or more of the following categories (Please check one or more, as applicable):

ACCREDITED INVESTOR STATUS

The undersigned represents and warrants that it, he or she is
[check each applicable item]:

____

a Canadian financial institution (as defined under NI 45-106),
or an authorized foreign bank listed in Schedule III of the Bank Act
(Canada); 

____

the Business Development Bank of Canada incorporated under the
Business Development Bank of Canada Act (Canada); 

____

a subsidiary of any person referred to in paragraphs (a) or
(b), if the person owns all of the voting securities of the subsidiary, except
the voting securities required by law to be owned by directors of that
subsidiary; 

____

a person registered under the securities legislation of a
jurisdiction of Canada as an adviser or dealer, other than a person registered
solely as a limited market dealer under one or both of the Securities Act
(Ontario) or the Securities Act (Newfoundland and Labrador); 

____

an individual registered or formerly registered under the
securities legislation of a jurisdiction of Canada, as a representative of a
person referred to in paragraph (d); 

____

the Government of Canada or a jurisdiction of Canada, or any
crown corporation, agency or wholly owned entity of the Government of Canada or
a jurisdiction of Canada; 

____

a municipality, public board or commission in Canada and a
metropolitan community, school board, the Comité de gestion de la taxe scolaire
de l’île de Montréal or an intermunicipal management board in Québec; 

____

any national, federal, state, provincial, territorial or
municipal government of or in any foreign jurisdiction, or any agency of that
government; 

____

a pension fund that is regulated by either the Office of the
Superintendent of Financial Institutions (Canada) or a pension commission or
similar regulatory authority of a jurisdiction of Canada; 

____

an individual who, either alone or with a spouse, beneficially
owns, directly or indirectly, financial assets having an aggregate realizable
value that before taxes, but net of any related liabilities, exceeds $1,000,000;

____

an individual whose net income before taxes exceeded $200,000
in each of the two most recent calendar years or whose net income before taxes
combined with that of a spouse exceeded $300,000 in each of the two most recent
calendar years and who, in either case, reasonably expects to exceed that net
income level in the current calendar year; 

 

- 2 -

____

an individual who, either alone or with a spouse, has net
assets of at least $5,000,000;

____

a person, other than an individual or investment fund, that has
net assets of at least $5,000,000 as shown on its most recently prepared
financial statements; 

____

an investment fund that distributes or has distributed its
securities only to: 

	 	(i) 	
      a person that is or was an accredited investor at the
      time of the distribution,

	 	 	 	 
	 	(ii) 	
      a person that acquires or acquired securities in the
      circumstances referred to in Sections 2.10 – Minimum Amount Investment and 2.19 – Additional
      Investment in Investment Funds of NI 45 106, or;

	 	 	 	 
	 	(iii) 	
      a person described in paragraph (i) or (ii) that acquires
      or acquired securities under Section 2.18 – Investment Fund Reinvestments of NI 45
  106; an investment fund that distributes or has distributed
securities under a prospectus in a jurisdiction of Canada for which the
regulator, or in Québec, the securities regulatory authority, has issued a
receipt; 

____

a trust company or trust corporation
registered or authorized to carry on business under the Trust and Loan
Companies Act (Canada) or under comparable legislation in a jurisdiction of
Canada or a foreign jurisdiction, acting on behalf of a fully managed account
managed by the trust company or trust corporation, as the case may be; 

____

a person acting on behalf of a fully
managed account managed by that person, if that person: 

	 	(i) 	
      is registered or authorized to carry on business as an
      adviser or the equivalent under the securities legislation of a
      jurisdiction of Canada or a foreign jurisdiction, and

	 	 	 
	 	(ii) 	
      in Ontario, is purchasing a security that is not a
      security of an investment fund;

____

a registered charity under the 
Income Tax Act (Canada) that, in regard to the trade, has obtained advice
from an eligibility adviser or an adviser registered under the securities
legislation of the jurisdiction of the registered charity to give advice on the
securities being traded; 

____

an entity organized in a foreign
jurisdiction that is analogous to any of the entities referred to in paragraphs
(a) through (d) or paragraph (i) in form and function;

____

a person in respect of which all of the
owners of interests, direct, indirect, or beneficial, except the voting
securities required by law to be owned by directors, are persons that are
Accredited Investors; 

____

an investment fund that is advised by a
person registered as an adviser or a person that is exempt from registration as
an adviser, or 

____

a person that is recognized or
designated by the securities regulatory authority or, except in Ontario and
Québec, the regulator as: 

	 	(i) 	
      an accredited investor, or

	 	 	 
	 	(ii) 	
      an exempt purchaser in Alberta or British
  Columbia.

 

- 3 -

The Subscriber acknowledges that the representations,
warranties and covenants contained in this Appendix are made by it with the
intent that they may be relied upon by the Issuer in determining its eligibility
or the eligibility of others on whose behalf it is contracting thereunder to
purchase Special Warrants. It agrees that by accepting Special Warrants it shall
be representing and warranting that the representations and warranties above are
true as at the Closing with the same force and effect as if they had been made
by it at the Closing. 

The Subscriber undertakes to notify the Issuer immediately of
any change in any representation, warranty or other information relating to the
Subscriber or any Disclosed Principal set forth herein which takes place prior
to the Closing. 

IN WITNESS WHEREOF, the undersigned has executed this
Certificate as of the _______________ day of _____________________________________
, 2009.

 

	If a Corporation,
      Partnership or Other Entity: 	 	If an
      Individual: 
	 	 	 
	Name of Entity 	 	Signature 
	 	 	 
	Type of Entity 	 	Print or Type Name 
	 	 	 
	Signature of
      Person Signing 	 	  
	 	 	 
	Print or Type Name and Title of Person Signing 	 	  
	 	 	 

As used in this Accredited Investor Certificate, the following
term has the following meaning:

A “person” includes:

	(a) 	
      an individual,

	 	 
	(b) 	
      a corporation,

	 	 
	(c) 	
      a partnership, trust fund and an association, syndicate,
      organization or other organized group of persons, whether incorporated or
      not, and

	 	 
	(d) 	
      an individual or other person in that person’s capacity
      as a trustee, executor, administrator or personal or other legal
      representative.

 

APPENDIX IV

INTERNATIONAL INVESTOR CERTIFICATE

In connection with the purchase by the undersigned Subscriber
of the Purchased Shares, the Subscriber and any Disclosed Principal for whom the
Subscriber is acting on behalf of, (collectively, the “Subscriber”)
hereby represents, warrants, covenants and certifies to the Issuer (and
acknowledges that the Issuer and its counsel are relying thereon) that: 

	 	(a) 	
      the Subscriber is knowledgeable of, or has been
      independently advised as to, the applicable securities laws of the
      securities regulators having application in the jurisdiction in which the
      Subscriber is resident which would apply to the acquisition of the
      Purchased Shares;

	 	 	 	 
	 	(b) 	
      the Subscriber is purchasing the Purchased Shares
      pursuant to exemptions from prospectus or equivalent requirements under
      applicable securities laws or, if such is not applicable, the Subscriber
      is permitted to purchase the Purchased Shares under the applicable
      securities laws of the securities regulators in the International
      Jurisdiction without the need to rely on any exemptions;

	 	 	 	 
	 	(c) 	
      the applicable securities laws of the authorities in the
      International Jurisdiction do not require the Issuer to make any filings
      or seek any approvals of any kind whatsoever from any securities regulator
      of any kind whatsoever in the International Jurisdiction in connection
      with the issue and sale or resale of the Purchased Shares;

	 	 	 	 
	 	(d) 	
      the purchase of the Purchased Shares by the Subscriber
      does not trigger:

	 	 	 	 
	 		(A) 	
      any obligation of the Corporation to prepare and file a
      prospectus, an offering memorandum or similar document, or any other
      report or notice with respect to such purchase in the International
      Jurisdiction;

	 	 	 	 
	 		(B) 	
      any continuous disclosure reporting obligation of the
      Issuer in the International Jurisdiction; or

	 	 	 	 
	 		(C) 	
      any registration or other obligation on the part of the
      Issuer or the Agents;

	 	 	 	 
	 	(e) 	
      the distribution of the Purchased Shares to the
      Subscriber by the Issuer complies with the laws of the International
      Jurisdiction; and

	 	 	 	 
	 	(f) 	
      the Subscriber will, if requested by the Issuer or the
      Agents, deliver to the Issuer and the Agents a certificate or opinion of
      local counsel from the International Jurisdiction which will confirm the
      matters referred to in paragraphs (b), (c), (d) and (e) above to the
      satisfaction of the Issuer, acting reasonably.

The Subscriber acknowledges that the representations,
warranties and covenants contained in this Appendix IV are made by it with the
intent that they may be relied upon by the Issuer in determining its eligibility
or the eligibility of others on whose behalf it is contracting thereunder to
purchase Special Warrants. It agrees that by accepting Special Warrants it shall
be representing and warranting that the representations and warranties above are
true as at the Closing with the same force and effect as if they had been made
by it at the Closing. 

 

- 2 -

The Subscriber undertakes to notify the Issuer immediately of
any change in any representation, warranty or other information relating to the
Subscriber or any Disclosed Principal set forth herein which takes place prior
to the Closing. 

	If a Corporation,
      Partnership or Other Entity: 	 	If an
      Individual: 
	 	 	 
	Name of Entity 	 	Signature 
	 	 	 
	Type of Entity 	 	Print or Type Name 
	 	 	 
	Signature of
      Person Signing 	 	  
	 	 	 
	Print or Type Name and Title of Person SigningIntelGenx Technologies Corp.: Exhibit 10.4 - Prepared by TNT Filings
   Inc.

  

Exhibit 10.4

UNLESS PERMITTED UNDER SECURITIES LEGISLATION, THE HOLDER OF THE SECURITIES REPRESENTED HEREBY SHALL NOT TRADE SUCH SECURITIES BEFORE THE EARLIER OF (I) NOVEMBER 14, 2009 AND (II) THE CLEARANCE DATE (AS HEREIN DEFINED). 

WITHOUT PRIOR WRITTEN APPROVAL OF THE TSX VENTURE EXCHANGE AND COMPLIANCE WITH ALL APPLICABLE SECURITIES LEGISLATION, THE SECURITIES REPRESENTED BY THIS CERTIFICATE AND THE SECURITIES ISSUABLE UPON THE EXERCISE THEREOF MAY NOT BE SOLD,
TRANSFERRED, HYPOTHECATED OR OTHERWISE TRADED ON OR THROUGH THE FACILITIES OF THE TSX VENTURE EXCHANGE OR OTHERWISE IN CANADA OR TO OR FOR THE BENEFIT OF A CANADIAN RESIDENT UNTIL NOVEMBER 14, 2009. 

THE SECURITIES REPRESENTED BY THIS SPECIAL WARRANT CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 (THE “ACT”), AND HAVE BEEN ISSUED IN RELIANCE UPON AN EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE ACT. SUCH
SECURITIES MAY NOT BE REOFFERED FOR SALE OR RESOLD OR OTHERWISE TRANSFERRED EXCEPT IN ACCORDANCE WITH THE PROVISIONS OF REGULATION S, PURSUANT TO AN EFFECTIVE REGISTRATION UNDER THE ACT, OR PURSUANT TO AN AVAILABLE EXEMPTION FROM REGISTRATION UNDER
THE ACT. HEDGING TRANSACTIONS INVOLVING THE SECURITIES MAY NOT BE CONDUCTED UNLESS IN COMPLIANCE WITH THE ACT. 

THIS SPECIAL WARRANT MAY NOT BE EXERCISED IN THE UNITED STATES OR BY OR ON BEHALF OF, OR FOR THE ACCOUNT OR BENEFIT OF, A U.S. PERSON UNLESS THIS SPECIAL WARRANT AND THE SECURITIES ISSUABLE UPON EXERCISE OF THIS SPECIAL WARRANT HAVE BEEN
REGISTERED UNDER THE ACT AND APPLICABLE STATE SECURITIES LEGISLATION OR AN EXEMPTION FROM SUCH REGISTRATION REQUIREMENTS IS AVAILABLE.  “UNITED STATES” AND “U.S. PERSON” ARE AS DEFINED BY REGULATION S UNDER THE ACT. 

JULY 13, 2009

INTELGENX TECHNOLOGIES CORP. 

a corporation incorporated under the laws of Delaware

and having its principal office at 

6425 Abrams 

Ville St-Laurent, Quebec 

H4S 1X9 

	

NO. SW- ●
	

● SPECIAL WARRANTS 

Each entitling the
holder to acquire one (1) common share and one (1) common share purchase warrant
of IntelGenx Technologies Corp., subject to adjustment in certain circumstances.

	

 

SPECIAL WARRANTS

THIS IS TO CERTIFY THAT for value received ● (the “Holder”) is the registered holder of the number of Special Warrants stated above and is entitled, for each whole Special Warrant represented hereby, to receive one fully paid and
non-assessable Unit Share and one Warrant of the Corporation, subject to certain stated events and to adjustments as provided for herein. Each Warrant shall entitle its holder to purchase one Warrant Share at a price of

- 2 -

US$0.80 from the time of issue thereof until 5:00 p.m. (Toronto
time) on July 13, 2012, all in accordance with the terms of the Warrant
Certificate. 

Definitions

	 	(a) 	
      “Agents” means Paradigm Capital Inc., Bolder
      Investment Partners, Ltd. and Union Securities Ltd.;

	 	 	 
	 	(b) 	
      “AMF” means Autorité des Marchés
  Financiers;

	 	 	 
	 	(c) 	
      “Automatic Exercise Date” means 4:59 p.m. (Toronto
      time) on the date that is the earlier of (a) the Clearance Date, and (b)
      the Expiry Time;

	 	 	 
	 	(d) 	
      “Broker Shares” means the Common Shares issued to
      the Agents in connection with the Offering;

	 	 	 
	 	(e) 	
      “Business Day” means a day which is not a
      Saturday, Sunday or statutory or civic holiday in the City of Toronto,
      Ontario or the City of Montreal, Quebec or a statutory holiday in the
      United States on which commercial banks are open for business;

	 	 	 
	 	(f) 	
      “Clearance Date” means the date which is five
      Business Days following the later of (i) the date the Corporation receives
      a Receipt for the Prospectus, and (ii) the date the Registration Statement
      is declared effective by the SEC;

	 	 	 
	 	(g) 	
      “Clearance Deadline” means the date which is 120
      days following the Closing Date;

	 	 	 
	 	(h) 	
      “Closing Date” means July 13, 2009;

	 	 	 
	 	(i) 	
      “Common Shares” means the shares of common stock
      with a par value of US$0.0001 in the capital of the Corporation;

	 	 	 
	 	(j) 	
      “Compensation Option Share” means a Common Share
      that is issuable upon exercise of a Compensation Option;

	 	 	 
	 	(k) 	
      “Compensation Options” means the compensation
      options issued to the Agents in connection with the Offering, with each
      Compensation Option entitling the holder thereof to acquire one
      Compensation Option Share at an exercise price equal to US$0.80 until July
      13, 2012;

	 	 	 
	 	(l) 	
      “Corporation” means IntelGenx Technologies
      Corp.;

	 	 	 
	 	(m) 	
      “Current Market Price” means, in relation to a
      Common Share, the price of a Common Share at any date calculated as the
      price per Common Share equal to the weighted average price at which the
      Common Shares have traded on the principal Canadian stock exchange or, if
      the Common Shares are not listed, the over-the-counter market, on which
      the Common Shares are then listed or posted for trading during the 20
      consecutive trading days (on each of which at least 500 Common Shares are
      traded in board lots) ending on the fifth trading day immediately prior to
      such date as reported by such market or exchange on which the Common
      Shares are then trading or quoted. If the Common Shares are not then
      traded in the over-the-counter market or on a recognized Canadian stock
      exchange, the Current Market Price of the Common Shares shall be fair
      market value of the Common Shares as determined by a nationally or
      internationally recognized investment dealer or investment
  banker;

	 	 	 
	 	(n) 	
      “Exercise Date” means the date on which the
      Corporation has received a duly completed Subscription
  Notice;

 

- 3 -

	 	(o) 	
      “Exercise Period” means any time at or prior to
      the Automatic Exercise Date;

	 	 	 
	 	(p) 	
      “Expiry Time” means 5:00 p.m. (Toronto time) on
      November 14, 2009;

	 	 	 
	 	(q) 	
      “Holder” means the owner of the Special Warrants
      as evidenced by this Special Warrant Certificate;

	 	 	 
	 	(r) 	
      “International Jurisdiction” means any
      jurisdiction other than and outside of Canada and the United
  States;

	 	 	 
	 	(s) 	
      “Offering” means the private placement offering by
      the Corporation of up to 11,250,000 Special Warrants at a price of $0.40
      per Special Warrant;

	 	 	 
	 	(t) 	
      “Prospectus” means the final short-form prospectus
      (or long-form prospectus, if applicable) qualifying the distribution of
      the Unit Shares and Warrants issuable upon exercise of the Special
      Warrants;

	 	 	 
	 	(u) 	
      “Qualifying Provinces” means Quebec and each of
      the provinces in Canada in which purchasers of Special Warrants pursuant
      to the Offering are resident and in which a Prospectus has been
    filed;

	 	 	 
	 	(v) 	
      “Receipt” means a decision document issued by the
      AMF in its capacity as principal regulator in accordance with Multilateral
      Instrument 11-202 – Passport System and National Policy 11-202
    –

	 	 	 
	 		
      Process for Prospectus Reviews in Multiple
      Jurisdictions evidencing that a receipt has been issued or deemed to
      be issued in each of the Qualifying Provinces;

	 	 	 
	 	(w) 	
      “Registration Statement” means an S-1 registration
      statement filed with the SEC in accordance with the U.S. Securities Act
      qualifying the Unit Shares and Warrants issuable upon exercise of the
      Special Warrants, the Warrant Shares, the Compensation Options, the
      Compensation Option Shares and the Broker Shares;

	 	 	 
	 	(x) 	
      “SEC” means the United States Securities and
      Exchange Commission;

	 	 	 
	 	(y) 	
      “Securities Laws” means, as applicable, the
      securities legislation and securities laws of the AMF and each Selling
      Jurisdiction and International Jurisdiction, and the regulations and rules
      made thereunder and all published policy statements, blanket orders,
      notices, directions and ruling issued or adopted by the Securities
      Regulators, collectively, and the rules of the TSXV;

	 	 	 
	 	(z) 	
      “Securities Regulators” means, as applicable, the
      AMF and the securities commissions or other securities regulatory
      authorities of the Selling Jurisdictions and International Jurisdictions,
      including the SEC, or, as the context may require, any one or more of the
      Selling Jurisdictions, the International Jurisdictions and the
  SEC;

	 	 	 
	 	(aa) 	
      “Selling Jurisdictions” means the provinces of
      British Columbia, Alberta, Ontario and Manitoba and such other Canadian
      provinces (except Quebec) and International Jurisdictions as agreed upon
      by the Company and the Agents where Purchasers are resident;

	 	 	 
	 	(bb) 	
      “Special Warrant Certificate” means a certificate
      representing the Special Warrants;

	 	 	 
	 	(cc) 	
      “Special Warrants” means the special warrants
      purchased in the Offering and represented herein;

	 	 	 
	 	(dd) 	
      “Subscription Notice” means the subscription
      notice in the form attached to this Special Warrant Certificate as
      Schedule A;

	 	 	 
	 	(ee) 	
      “TSX” means the Toronto Stock
  Exchange;

 

- 4 -

	 	(ff) 	
      “TSXV” means the TSX Venture Exchange;

	 	 	 
	 	(gg) 	
      “U.S. Securities Act” means the United States
      Securities Act of 1933, as amended;

	 	 	 
	 	(hh) 	
      “Unit” means a unit of the Corporation, comprising
      one Unit Share and one Warrant, issuable upon exercise or deemed exercise
      of the Special Warrants;

	 	 	 
	 	(ii) 	
      “Unit Share” means one Common Share issuable upon
      exercise of a Special Warrant, as described in this Special Warrant
      Certificate;

	 	 	 
	 	(jj) 	
      “United States” means the United States of
      America, its territories and possessions, any state of the United States,
      and the District of Columbia;

	 	 	 
	 	(kk) 	
      “Warrant” means one warrant of the Corporation
      issuable upon exercise of a Special Warrant, as described in this Special
      Warrant Certificate;

	 	 	 
	 	(ll) 	
      “Warrant Certificate” means a certificate
      representing the Warrants;

	 	 	 
	 	(mm) 	
      “Warrant Share” means a Common Share issuable upon
      exercise of a Warrant.

Capitalized terms used herein without definition have the
meanings ascribed thereto in the agency agreement dated July 13, 2009 among the
Corporation and the Agents. 

1. 

Creation and Issue of Special Warrants

The Corporation hereby creates and authorizes the issue of up
to 11,250,000 Special Warrants. The issue price per Special Warrant is hereby
authorized at $0.40. 

	2. 	
      Terms of Special Warrants

2.1 

The Special Warrants represented hereby may be exercised
      at any time, and from time to time, by the Holder hereof on or prior to the Automatic Exercise Date, for
one Unit, without payment of any further consideration and subject to adjustment
in accordance with the provisions and exercise procedures set forth herein. In
the event that such Holder exercises the Special Warrants prior to the Automatic
Exercise Date, the Unit Shares and Warrants shall be issued with the applicable
legends as appropriate indicating that the securities are subject to a “hold
period” and resale restrictions under applicable securities laws as set forth
herein. 

2.2 

Each Special
Warrant that has not been exercised on or prior to the Automatic Exercise Date
shall be deemed to be exercised and surrendered by the Holder to the Corporation
without further consideration and subject to adjustment as provided for herein,
for one Unit on the Automatic Exercise Date. 

2.3 

In the event that the Clearance Date has not occurred on or
prior to the Clearance Deadline, each unexercised Special Warrant will
thereafter be automatically deemed exercised without further consideration for
1.1 Units (instead of one Unit) on the Automatic Exercise Date, provided that
the balance of the provisions of this Special Warrant Certificate shall continue
to apply, mutatis mutandis. 

2.4

No certificate
evidencing fractional Special Warrants shall be issued or otherwise provided for
and a Holder shall not be entitled to any cash or other consideration in lieu of
any fractional interest in a Special Warrant or claim thereto. 

2.5

The number of Unit
Shares and Warrants which may be acquired pursuant to the exercise or deemed
exercise of the Special Warrants shall be adjusted in the events and in the
manner specified in Section 9 herein.

2.6 

All Special Warrants shall rank pari passu, whatever
may be the actual date of issue thereof. 

 

- 5 -

2.7 

No Holder shall have any further rights under this Special Warrant Certificate
(other than the right to receive Units in respect of Special Warrants duly
exercised or deemed to be exercised prior to or at the Expiry Time, as the case
may be), after the Expiry Time and the Special Warrants shall be null and void
and of no effect from and after the Expiry Time. 

	
3. 		
Method of Exercise of Special Warrants

	

3.1 

During the Exercise Period, the Holder may exercise all or any number of whole
Special Warrants
represented hereby, upon delivering to the Corporation at its principal office noted above this Special Warrant Certificate, together with a duly completed and executed Subscription Notice evidencing the election (which on delivery to the
Corporation shall be irrevocable) of the Holder to exercise the number of Special Warrants set forth in the Subscription Notice (which shall not be greater than the number of Special Warrants represented by this Special Warrant Certificate as
adjusted from time to time pursuant to Sections 9 and 10 of this Special Warrant Certificate). If the Holder is not exercising all Special Warrants represented by this Special Warrant Certificate, the Holder shall be entitled to receive, without
charge, a new Special Warrant Certificate representing the number of Special Warrants which is the difference between the number of Special Warrants represented by the then original Special Warrant Certificate and the number of Special Warrants
being so exercised. 

3.2 

The Subscription Notice shall be executed by the Holder or the Holder’s executors, administrators or other legal representatives or the Holders or their attorney duly appointed by an instrument in writing in form and manner satisfactory to
the Corporation, acting reasonably and shall specify: (i) the number of Units which the Holder wishes to acquire (being not more than that number which the Holder is entitled to acquire pursuant to the Special Warrant Certificate(s) so surrendered);
and the person or persons in whose name or names such Units are to be issued, the address(es) of such person(s) and the number of Units to be issued to each such person if more than one is so specified. If any of the Units subscribed for are to be
issued to a person(s) other than the Holder, the signature set out in the Subscription Notice shall be guaranteed by a Canadian chartered bank, a Canadian trust company, medallion guaranteed by a recognized medallion signature guarantee program or
in any other manner satisfactory to Corporation, and the Holder shall pay or cause to be paid to the Corporation all applicable transfer or similar taxes, if any, and the Corporation shall not be required to issue or deliver certificates evidencing
the said Units unless or until such Holder shall have paid to the Corporation the amount of such tax or shall have established to the satisfaction of the Corporation that such tax has been paid or that no tax is due. 

3.3 

The Holder shall be deemed to have become the holder of record of Unit Shares
and Warrants on the Exercise Date; provided, however, that if such date is not a
Business Day then the Unit Shares and Warrants shall be deemed to have been
issued and the Holder shall be deemed to have become the holder of record of the
Unit Shares and Warrants on the next following Business Day. Within three (3)
Business Days of the Exercise Date, the Corporation shall issue and deliver (or
cause to be delivered) to the Holder, by registered mail or pre-paid courier to
his, her or its address specified in the register of the Corporation or on the
Subscription Notice, one or more certificates for the appropriate number of
issued and outstanding Unit Shares and the appropriate number of Warrant
Certificates. 

	
4. 		
Deemed Exercise of Special Warrants

	

4.1

In the event that a Holder has not exercised his Special Warrants in accordance with the provisions hereof,
all Special Warrants then held by such Holder shall be deemed to be exercised and surrendered by such Holder without further action on the Holder's part into Units on the Automatic Exercise Date. 

4.2 

In the case of Special Warrants which are deemed to be exercised pursuant to
Section 4.1, within three (3) Business Days after the Exercise Date the
Corporation shall cause to be mailed to the address of the Holder of the Special
Warrants so exercised last appearing on the register of Holders maintained by
the Corporation, certificates representing the Unit Shares and Warrants to be
issued pursuant to any such exercise of Special Warrants, registered in the name
of such Holder along with a notice of the deemed exercise. 

5. 

Legends on Certificates

 

- 6 -

5.1 

The certificates
representing the Special Warrants (and the Unit Shares and Warrants forming the
Units, if issued before the Expiry Time if such issuance precedes the receipt by
the Corporation of the Receipt) and all certificates issued in exchange therefor
or in substitution thereof prior to the Expiry Time, if such exchange or
substitution precedes the receipt by the Corporation of the Receipt shall bear
the following legend: 

“UNLESS PERMITTED UNDER SECURITIES
LEGISLATION, THE HOLDER OF THIS SECURITY MUST NOT TRADE THE SECURITY BEFORE
NOVEMBER 14, 2009.” 

“WITHOUT PRIOR WRITTEN APPROVAL OF THE
TSX VENTURE EXCHANGE AND COMPLIANCE WITH ALL APPLICABLE SECURITIES LEGISLATION,
THE SECURITIES REPRESENTED BY THIS CERTIFICATE [INSERT ON SPECIAL WARRANTS ONLY:
AND THE SECURITIES ISSUABLE UPON THE EXERCISE OF THESE SECURITIES] MAY NOT BE
SOLD, TRANSFERRED, HYPOTHECATED OR OTHERWISE TRADED ON OR THROUGH THE FACILITIES
OF THE TSX VENTURE EXCHANGE OR OTHERWISE IN CANADA OR TO OR FOR THE BENEFIT OF A
CANADIAN RESIDENT NOVEMBER 14, 2009.” 

6. 

      United States

6.1 

      The Special Warrants represented by this Special Warrant
      Certificate may not be exercised in the United States or by or on behalf of a U.S. Person nor will the Unit
Shares and Warrants issuable upon exercise of these Special Warrants be
registered or delivered to an address in the United States, unless the Unit
Shares and Warrants issuable upon exercise of these Special Warrants have been
registered in accordance to the U.S. Securities Act or an exemption from the
registration requirements of the U.S. Securities Act or the securities laws of
any U.S. state is available, and the Corporation receives an opinion of counsel
to such effect in form and substance satisfactory to it. As used herein, the
terms “United States” and “U.S. Person” have the meanings ascribed to them in
Regulation S under the U.S. Securities Act.

Each Special Warrant Certificate, and each certificate
representing the Unit Shares and Warrants, issued upon exercise therefor
(including upon the exercise or deemed exercise of a Special Warrant
Certificate) or each Special Warrant Certificate issued in substitution thereof
or otherwise issued in exchange for a Special Warrant, shall bear the following
legends until such time as the legend is no longer required under applicable
requirements of the U.S. Securities Act or applicable state securities laws:

THE SECURITIES REPRESENTED BY THIS
CERTIFICATE HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 (THE
“ACT”), AND HAVE BEEN ISSUED IN RELIANCE UPON AN EXEMPTION FROM THE REGISTRATION
REQUIREMENTS OF THE ACT. SUCH SECURITIES MAY NOT BE REOFFERED FOR SALE OR RESOLD
OR OTHERWISE TRANSFERRED EXCEPT IN ACCORDANCE WITH THE PROVISIONS OF REGULATION
S, PURSUANT TO AN EFFECTIVE REGISTRATION UNDER THE ACT, OR PURSUANT TO AN
AVAILABLE EXEMPTION FROM REGISTRATION UNDER THE ACT. HEDGING TRANSACTIONS
INVOLVING THE SECURITIES MAY NOT BE CONDUCTED UNLESS IN COMPLIANCE WITH THE ACT.

THESE SECURITIES MAY NOT BE EXERCISED
IN THE UNITED STATES OR BY OR ON BEHALF OF, OR FOR THE ACCOUNT OR BENEFIT OF, A
U.S. PERSON UNLESS THESE SECURITIES [For Special Warrants insert:: AND
SECURITIES ISSUABLE UPON EXERCISE THEREOF] HAVE BEEN REGISTERED UNDER THE ACT
AND APPLICABLE STATE SECURITIES LEGISLATION OR AN EXEMPTION FROM SUCH
REGISTRATION REQUIREMENTS IS AVAILABLE. “UNITED STATES” AND “U.S. PERSON” ARE AS
DEFINED BY REGULATION S UNDER THE ACT. 

7. 

Cancellation of Special
Warrants

All Special Warrant Certificates surrendered to the Corporation
pursuant hereto (including those deemed exercised and surrendered under Section
4) shall be cancelled and, after the expiry of any period of retention
prescribed by law, destroyed by the Corporation. 

 

- 7 -

8.

Representations, Warranties and
Covenants

The Corporation represents and warrants that it is duly
authorized and has the corporate and lawful power and authority to create and
issue the Special Warrants and to perform its obligations hereunder and that
this Special Warrant Certificate represents a valid, legal and binding
obligation of the Corporation enforceable in accordance with its terms, and the
Corporation further covenants and agrees that, until the Expiry Time, while any
of the Unit Shares and Warrants represented by this Special Warrant Certificate
shall be outstanding;

	 	(a) 	
      it shall reserve and there shall remain unissued out of
      its authorized capital a sufficient number of Common Shares to satisfy the
      right of exercise herein provided, as such right of exercise may be
      adjusted pursuant to Sections 9 and 10 of this Special Warrant
      Certificate;

	 	 	 
	 	(b) 	
      all Unit Shares which shall be issued upon the exercise
      herein provided for, shall be issued as fully paid and non-assessable
      shares and the holders thereof shall not be liable to the Corporation or
      its creditors in respect thereof;

	 	 	 
	 	(c) 	
      all Warrants which shall be issued upon the exercise
      herein provided for shall be duly and validly created and
issued;

	 	 	 
	 	(d) 	
      the Corporation shall make all requisite filings under
      the Securities Act (Ontario) and the regulations made thereunder
      and all applicable Securities Laws including those necessary to remain a
      reporting issuer not in default of any requirement of such applicable
      Securities Laws;

	 	 	 
	 	(e) 	
      the Corporation shall use all reasonable efforts to
      preserve and maintain its corporate existence;

	 	 	 
	 	(f) 	
      the Corporation shall use all reasonable efforts to
      maintain the listing of the Common Shares (or any shares or securities,
      whether of the Corporation or another company or entity, into which the
      Common Shares of the Corporation may from time to time be converted,
      reclassified or exchanged) on the TSXV or such other recognized stock
      exchange or quotation system on which the Common Shares of the Corporation
      may trade, to the Expiry Time.

	 	 	 
	 	(g) 	
      The Corporation covenants to use its commercially
      reasonable efforts to, as soon as practicable following the date hereof
      and in any event, within 30 days following the date hereof, (i) obtain the
      Receipt for the preliminary prospectus; (ii) resolve all comments received
      or deficiencies raised by the AMF in respect of the preliminary prospectus
      as expeditiously as possible; and (iii) file the Prospectus and obtain a
      final Receipt as soon as possible thereafter and in no event later than
      4:59 p.m. (Toronto time) on the Clearance Deadline.

	 	 	 
	 	(h) 	
      The Corporation covenants and agrees to use its
      commercially reasonable efforts to, as soon as practicable following the
      date hereof and, in any event, within 30 days following the date hereof:
      (i) prepare and file with the SEC the Registration Statement on Form S-3
      (or, if Form S-3 is not then available to the Corporation, on such form of
      registration statement as is then applicable); (ii) settle any comments of
      the SEC as soon as possible thereafter; and (iii) file and have declared
      effective a final Registration Statement. The Corporation shall use its
      commercially reasonable efforts to have the final Registration Statement
      declared effective by the SEC as soon as practicable and, in any event, no
      later than 4:59 p.m. (Toronto time) on the Clearance Deadline, provided
      that if the Clearance Date has not occurred prior to the Clearance
      Deadline, the Corporation shall continue to use its commercially
      reasonable efforts to have the Registration Statement declared effective
      by the SEC as soon as practicable following the Clearance
  Deadline;

	 	 	 
	 	(i) 	
      In addition to the aforementioned covenants, the
      Corporation shall use (i) commercially reasonable efforts to file with the
      AMF and the commissions in each of the Qualifying Provinces a preliminary
      prospectus in respect of the distribution of the Units issuable on the
      exercise of the Special Warrants on the Business Day following the date
      hereof, and the Prospectus within seven days thereafter, and in each case
      promptly thereafter obtain a Receipt, and (ii) use
  commercially reasonable efforts to have the Registration Statement declared
effective by the SEC as soon as practicable following the date hereof. 

 

- 8 -

9. 

Adjustment of Number of Units Issuable Upon
Exercise or Deemed Exercise 

If the Clearance Date has not occurred on or before the
Clearance Deadline, then a holder of Special Warrants shall, notwithstanding any
other provision hereof, be entitled, upon exercise or deemed exercise, to
acquire 1.1 Unit Shares and 1.1 Warrants for each Special Warrant, subject to
adjustment in accordance with the following provisions of this Section 9 at no
additional cost to the Holder. The number of Warrants issuable upon exercise or
deemed exercise of the Special Warrants and the exercise price of such Warrants
shall be subject to adjustment in the manner set forth in the Warrant
Certificate upon the occurrence of any event set forth in such Warrant
Certificate at any time between the date hereof and the date of exercise or
deemed exercise of such Special Warrants. The number of Unit Shares issuable on
exercise or deemed exercise of a Special Warrant shall be subject to adjustment
from time to time as follows: 

	 	(a) 	
      if and whenever at any time from the date hereof and
      prior to the Expiry Time, the Corporation shall:

	 	 	 	 
	 		(i) 	
      subdivide, redivide or change its outstanding Common
      Shares into a greater number of shares; or

	 	 	 	 
	 		(ii) 	
      reduce, combine or consolidate its outstanding Common
      Shares into a smaller number of shares;

	 	 	 	 
	 		
      (a “Share Reorganization”) the number of Unit
      Shares issuable on exercise or deemed exercise of each Special Warrant
      then outstanding shall be adjusted immediately after the record date at
      which the holders of Common Shares are determined for the purpose by
      multiplying the number of Common Shares theretofore obtainable on the
      exercise or deemed exercise thereof immediately prior to the record date
      by a fraction of which the numerator shall be the total number of Common
      Shares outstanding immediately after such record date and the denominator
      shall be the total number of Common Shares outstanding immediately prior
      to such record date;

	 	 	 	 
	 	(b) 	
      if and whenever at any time from the date hereof and
      prior to the Expiry Time, there is a reclassification of the Common Shares
      or a capital reorganization of the Corporation other than a Share
      Reorganization as described in Section 9(a) above or a consolidation,
      amalgamation, arrangement or merger of the Corporation with or into any
      other body corporate, trust, partnership or other entity, or a sale or
      conveyance of the property and assets of the Corporation as an entirety or
      substantially as an entirety to any other body corporate, trust,
      partnership or other entity (other than to one or more of the
      Corporation’s wholly owned subsidiaries or to one or more entities that
      will be a wholly owned subsidiary after the completion of such
      transaction) (a “Capital Reorganization”), any Holder who has not
      exercised its Special Warrants prior to the effective date of such Capital
      Reorganization event, upon the exercise or deemed exercise of the Special
      Warrants thereafter, shall be entitled to receive and shall accept, in
      lieu of the number of Unit Shares such Holder would otherwise be entitled
      to acquire, the number of shares or other securities or other property of
      the Corporation or of the body corporate, trust, partnership or other
      entity resulting from such merger, amalgamation or consolidation, or to
      which such sale or conveyance may be made, as the case may be, that such
      Holder would have been entitled to receive on such Capital Reorganization,
      if, on the record date or the effective date thereof, as the case may be,
      the Holder had been the registered holder of the number of Unit Shares to
      be acquired by it if all Special Warrants then held by such Holder had
      been exercised or deemed to be exercised immediately prior to such record
      date or effective date. If determined appropriate by the Corporation to
      give effect to or to evidence the provisions of this Section 9(b), the
      Corporation, its successor, or such purchasing body corporate,
      partnership, trust or other entity, as the case may be, shall, prior to or
      contemporaneously with any such reclassification, capital reorganization,
      consolidation, amalgamation, merger, sale or conveyance, enter into an
      indenture which shall provide, to the fullest extent possible, for the
      application of the provisions set forth in this
Special Warrant Certificate with respect to the rights and interests
thereafter of the Holders to the end that the provisions set forth in this
Special Warrant Certificate shall thereafter correspondingly be made applicable,
as nearly as may reasonably be possible, with respect to any shares, other
securities or other property to which a Holder is entitled on the exercise or
deemed exercise of its acquisition rights thereafter. Any indenture entered into
between the Corporation, any successor to the Corporation or such purchasing
body corporate, partnership, trust or other entity shall provide for adjustments
which shall be as nearly equivalent as may be practicable to the adjustments
provided in this Section 9(b) and which shall apply to successive
reclassifications, reorganizations, amalgamations, consolidations, mergers,
sales or conveyances; 

 

- 9 -

	 	(c) 	
      if and whenever at any time from the date hereof and
      prior to the Expiry Time, the Corporation fixes a record date for the
      distribution to all or substantially all of the holders of Common Shares
      of rights, options or warrants entitling them for a period expiring not
      more than 45 days after such record date, to subscribe for or purchase
      Common Shares, or securities exchangeable for or convertible into Common
      Shares, at a price per share to the holder (or at an exchange or
      conversion price per share) of less than 95% of the Current Market Price
      for the Common Shares on such record date (any of such events being called
      a “Rights Offering”), then the number of Unit Shares issuable on
      exercise or deemed exercise of each Special Warrant shall be adjusted
      effective immediately after such record date for the Rights Offering by
      multiplying the number of Unit Shares theretofore obtainable on the
      exercise or deemed exercise thereof immediately prior to such record date
      by a fraction:

	 	 	 	 	 	 
	 		(i) 	
      the numerator of which shall be the total number of
      Common Shares outstanding on such record date plus the total number of
      additional Common Shares so offered for subscription or purchase (or into
      or for which the convertible or exchangeable securities so offered are
      convertible or exchangeable); and

	 	 	 	 	 	 
	 		(ii) 	
      the denominator of which shall be the aggregate
  of:

	 	 	 	 	 	 
	 			(A) 	
      the total number of Common Shares outstanding on such
      record date; and

	 	 	 	 	 	 
	 			(B) 	
      the quotient obtained by dividing:

	 	 	 	 	 	 
	 				(1) 	
      the amount equal to the aggregate consideration payable
      on the exercise of all of the rights, warrants and options under the
      Rights Offering plus the aggregate consideration, if any, payable on the
      exchange or conversion of the exchangeable or convertible securities
      issued upon exercise of such rights, warrants or options (assuming the
      exercise of all rights, warrants and options under the Rights Offering and
      assuming the exchange or conversion of all exchangeable or convertible
      securities issued upon exercise of such rights, warrants and
    options);

	 	 	 	 	 	 
	 					
      by

	 	 	 	 	 	 
	 				(2) 	
      the Current Market Price of the Common Shares as of the
      record date for the Rights Offering.

Any Common Shares owned by or held for the account of the
Corporation or any of its subsidiaries or a partnership in which the Corporation
is directly or indirectly a party will be deemed not to be outstanding for the
purpose of any such computation. If, at the date of expiry of the rights,
options or warrants subject to the Rights Offering, less than all the rights,
options or warrants have been exercised, then the number of Unit Shares issuable
on exercise or deemed exercise of each Special Warrant shall be readjusted
effective immediately after the date of expiry based upon the number of Common
Shares actually delivered upon the exercise of the rights, options or warrants,
as the case may be. If at the date of expiry of the rights of exchange or conversion of
any securities issued pursuant to the Rights Offering, less than all of such
securities have been exchanged or converted into Common Shares, then the number
of Unit Shares issuable on exercise or deemed exercise of each Special Warrant
shall be readjusted effective immediately after the date of expiry based upon
the number of exchangeable or convertible securities actually delivered upon
exercise of the rights, options or warrants, as the case may be. 

 

- 10 -

	 	(d) 	
      If and whenever during the date hereof and prior to the
      Expiry Time, the Corporation shall issue or distribute to all or to
      substantially all the holders of Common Shares:

	 	 	 	 
	 		(i) 	
      securities of the Corporation including shares, rights,
      options or warrants to acquire shares of any class or securities
      exchangeable for or convertible into or exchangeable into any such shares
      or cash, property or assets and including evidences of its indebtedness,
      or

	 	 	 	 
	 		(ii) 	
      any cash, property or other
assets,

and if such issuance or distribution does not constitute
dividends paid in the ordinary course, a Share Reorganization or a Rights
Offering (any of such non-excluded events being herein called a “Special
Distribution”), the number of Unit Shares to be issued by the Corporation
under the Special Warrants shall, at the time of exercise or deemed exercise, be
appropriately adjusted and the Holder shall receive, in lieu of the number of
Unit Shares in respect of which the right is then being exercised, the aggregate
number of Unit Shares or other securities or property that the Holder would have
been entitled to receive as a result of such event if, on the record date
therefore, the Holder had been the registered holder of the number of Unit
Shares to which the Holder was theretofore entitled upon the exercise or deemed
exercise of the Special Warrants. 

10. 

Rules Regarding Calculation of
Adjustments

The following rules and procedures shall be applicable to the
adjustments made pursuant to Section 9: 

10.1 

The adjustments
provided for in Section 9 are cumulative, and shall, in the case of adjustments
to the number of Unit Shares be computed to the nearest one one-hundredth of a
Unit Share and shall be made successively whenever an event referred to therein
shall occur, subject to the following paragraphs of this Section 10. 

10.2 

No adjustment
shall be made in the number of Unit Shares purchasable upon exercise or deemed
exercise of this Special Warrant unless it would result in a change of at least
one one-hundredth of a Unit Share; provided, however, that any adjustments
which, except for the provisions of this Section 10(b) would otherwise have been
required to be made, shall be carried forward and taken into account in any
subsequent adjustment. 

10.3 

No adjustment in the number of Unit Shares purchasable
upon exercise or deemed exercise of the Special Warrants shall be made in
respect of any event described in Section 9, other than the events
referred to in Section 9(b), if the Holder is entitled to participate in such
event on the same terms, mutatis mutandis, as if it had exercised its
Special Warrants prior to or on the effective date or record date of such event.
The terms of the participation of the Holder in such event shall be subject to
the prior written approval of the principal Canadian stock exchange or
over-the-counter market on which the Common Shares are then listed or quoted for
trading. 

10.4 

No adjustment in
the number of Unit Shares shall be made pursuant to Section 9 in respect of the
issue from time to time: 

	 	(i) 	
      of Unit Shares purchasable on exercise or deemed exercise
      of the Special Warrants represented by this Special Warrant
      Certificate;

	 	 	 
	 	(ii) 	
      in respect of the issue from time to time as dividends
      paid in the ordinary course of Common Shares to holders of Common Shares
      who exercise an option or election to receive substantially equivalent dividends in Common Shares in
lieu of receiving a cash dividend pursuant to a dividend reinvestment plan or
similar plan adopted by the Corporation in accordance with the requirements of
the principal Canadian stock exchange or over-the-counter market on which the
Common Shares are then listed or quoted for trading and applicable securities
laws;

 

- 11 -

	 	(iii) 	
      of Common Shares pursuant to any stock option plan, stock
      purchase plan or benefit plan in force at the date hereof for directors,
      officers, employees, advisers or consultants of the Corporation, as such
      option or plan is amended or superseded from time to time in accordance
      with the requirements of the principal Canadian stock exchange or
      over-the- counter market on which the Common Shares are then listed or
      quoted for trading and applicable securities laws, and such other stock
      option plan, stock purchase plan or benefit plan as may be adopted by the
      Corporation in accordance with the requirements of the principal Canadian
      stock exchange or over-the-counter market on which the Common Shares are
      then listed or quoted for trading and applicable securities
laws;

	 	 	 
	 	(iv) 	
      the payment of interest on any outstanding
  notes;

	 	 	 
	 	(v) 	
      the issuance of securities in connection with strategic
      license agreements and other partnering arrangements; or

	 	 	 
	 	(vi) 	
      full or partial consideration in connection with a
      strategic merger, consolidation or purchase of substantially all of the
      securities or assets of a corporation or other
entity;

and any such issue shall be deemed not to be a Share
Reorganization or Capital Reorganization.

10.5 

If the Corporation
shall set a record date to determine the holders of the Common Shares for the
purpose of entitling them to receive any dividend or distribution or any
subscription or purchase rights and shall, thereafter and before the
distribution to such shareholders of any such dividend, distribution or
subscription or purchase rights, legally abandon its plan to pay or deliver such
dividend, distribution or subscription or purchase rights, then no adjustment in
the number of Unit Shares purchasable upon exercise or deemed exercise of any
Special Warrant shall be required by reason of the setting of such record date. 

10.6

As a condition
precedent to the taking of any action which would require any adjustment in any
of the subscription rights pursuant to this Special Warrant Certificate,
including the number or class of shares or other securities which are to be
received upon the exercise thereof, the Corporation shall take any corporate
action which may be necessary in order that the Corporation have unissued and
reserved in its authorized capital and may validly and legally issue as fully
paid and non-assessable all the shares or other securities which the holder of
such Special Warrant Certificate is entitled to receive on the full exercise
thereof in accordance with the provisions hereof.

10.7 

In the absence of a resolution of the board of directors
of the Corporation fixing a record date for any dividend or distribution
referred to in Section 9(d) or any Rights Offering or Special
Distribution, the Corporation shall be deemed to have fixed as the record date
therefor the date on which such dividend or distribution is effected. 

10.8 

Any question or
dispute that at any time or from time to time arises with respect to the amount
of any adjustment pursuant to Section 9 shall be conclusively determined by a
firm of independent chartered accountants (who may be the Corporation’s
auditors) and shall be binding upon the Corporation and the Holder.
Notwithstanding the foregoing, such determination shall be subject to the prior
written approval of the principal Canadian stock exchange or over-the-counter
market on which the Common Shares are then listed or quoted for trading. In the
event that any such determination is made, the Corporation shall notify the
Holder in the manner contemplated in Section 24 describing such determination. 

On the happening of each and every such event set out in
Section 9, the applicable provisions of this Special Warrant Certificate, shall,
ipso facto, be deemed to be amended accordingly and
the Corporation shall take all necessary action so as to comply with such
provisions as so amended. 

 

- 12 -

11. 

Postponement of Subscription

In any case in which Section 9 shall require that an adjustment
shall be effective immediately after a record date for an event referred to
herein, the Corporation may defer, until the occurrence of such an event: 

	 	(a) 	
      issuing to the holder of any Special Warrant exercised or
      deemed to be exercised after such record date and before the occurrence of
      such event, the additional Unit Shares issuable upon such exercise or
      deemed exercise by reason of the adjustment required by such event,
    and

	 	 	 
	 	(b) 	
      delivering to such holder any distributions declared with
      respect to such additional Unit Shares after such Exercise Date and before
      such event;

provided, however, that the Corporation shall deliver or cause
to be delivered to such Holder, an appropriate instrument evidencing such
Holder’s right, upon the occurrence of the event requiring the adjustment, to an
adjustment in the number of Unit Shares purchasable on the exercise or deemed
exercise of any Special Warrant and to such distributions declared with respect
to any additional Unit Shares issuable on the exercise or deemed exercise of any
Special Warrant. 

12. 

Notice of Adjustment

At least 10 Business Days prior to the effective date or record
date, as the case may be, of any event which requires or might require
adjustment in any of the subscription rights pursuant to this Special Warrant
Certificate, including the number of Unit Shares which are purchasable upon the
exercise thereof, or such longer period of notice as the Corporation shall be
required to provide holders of Common Shares in respect of any such event, the
Corporation shall notify the Holder of the particulars of such event and, if
determinable, the required adjustment and the computation of such adjustment. In
case any adjustment for which such notice has been given is not then
determinable, the Corporation shall promptly after such adjustment is
determinable notify the Holder of the adjustment and the computation of such
adjustment. Failure or delay in giving said notice shall not invalidate any
action or event giving rise to an adjustment hereunder. 

13. 

Entitlement to Securities on Exercise or
Deemed Exercise of Special Warrant 

All shares of any class or other securities which a Holder is
at the time in question entitled to receive on the exercise or deemed exercise
of its Special Warrant, whether or not as a result of adjustments made pursuant
to this Section 9, shall, for the purposes of the interpretation of this Special
Warrant Certificate, be deemed to be securities which such Holder is entitled to
acquire pursuant to such Special Warrant. 

14. 

Register of Holders

The Corporation shall maintain at its principal office a
register of Holders in which shall be entered the names and addresses of the
Holders of the Special Warrants and of the number of Special Warrants held by
them. Such register shall be open at all reasonable times for inspection by the
Holder. The Corporation shall notify the Holder forthwith of any change of
address of the principal office of the Corporation. 

15. 

No Fractional Units

The Corporation shall not be required to issue fractional Units
in satisfaction of its obligations hereunder. Any fractional interest in a Unit
Share or Warrant shall be rounded down to the nearest whole number without any
further payment or consideration therefor. 

16. 

Enforcement By Holder

Subject as herein provided, all or any of the rights conferred
upon the Holder by the terms hereof may be enforced by the Holder by appropriate
legal proceedings. 

 

- 13 -

17. 

Exchange of Certificates

The registered Holder of this Special Warrant Certificate may at any time up to and including the Expiry Time, upon the surrender hereof to the Corporation at its principal office, exchange this Special Warrant Certificate for one or more Special
Warrant Certificates entitling the Holder to subscribe in the aggregate for the same number of Unit Shares and Warrants as is expressed in this Special Warrant Certificate. Any Special Warrant Certificate tendered for exchange shall be surrendered
to the Corporation and cancelled. 

18. 

Lost or Stolen Certificates

If this Special Warrant Certificate becomes stolen, lost, mutilated or destroyed, the Corporation shall, on such terms as it may in its discretion acting reasonably impose, issue and deliver to the Holder a new Special Warrant Certificate of like
denomination, tenor and date as the Special Warrant Certificate so stolen, lost, mutilated or destroyed. 

19. 

Transferability

This Special Warrant Certificate and the Special Warrants represented hereby are not transferable and no transfer of Special Warrants shall be valid. 

20. 

Contractual Right of Rescission

The Corporation has agreed that in the event that a holder of Special Warrants who acquires Unit Shares and Warrants upon the exercise of such Special Warrants, as provided for in the Prospectus is or becomes entitled under the Securities Laws to
the remedy of rescission by reason of the Prospectus or any amendment thereto containing a misrepresentation, such holder shall be entitled to rescission of both the Holder’s exercise of its Special Warrants and the private placement
transaction pursuant to which the Special Warrants were initially acquired and shall be entitled in connection with such rescission to a full refund from the Corporation of the amount of the aggregate subscription price paid on the acquisition of
the Special Warrants to the Corporation. In the event such holder is a permitted assignee of the interest of the original Special Warrant subscriber, such assignee shall be entitled to exercise such rights of rescission and refund as if such
permitted assignee was such original subscriber. The provisions of this section are a direct contractual right extended by the Corporation (but specifically not by any of the Agents or the directors, officers or other agent of the Corporation) to
holders of Special Warrants, assignees (in respect of whom such rights are hereby granted to, and received by, the Agents in trust for assignees) of such holders and holders of Unit Shares and Warrants acquired by such holders on exercise of Special
Warrants and are in addition to any other right or remedy available to a holder of Special Warrants under section 130 of the Securities Act (Ontario) or otherwise at law. The foregoing contractual rights of action for rescission shall be
subject to the defences described under section 130 of the Securities Act (Ontario) which is incorporated herein by reference, mutatis mutandis, and any other defence or defences available to the Corporation under applicable laws,
rules and instruments. No action shall be commenced to enforce the foregoing rights of action for rescission more than 180 days after payment is made for the Special Warrants. 

21. 

Not A Shareholder

Except as expressly set out herein, the holding of this Special Warrant Certificate or the Special Warrants represented hereby shall not constitute a Holder hereof a holder of Unit Shares or Warrants nor entitle it to any right of interest in
respect thereof. 

22. 

Meetings of Holders

The Holders shall have the right to convene meetings to amend the provisions of the Special Warrant Certificates and the rights thereunder in accordance with the terms and procedures as set forth in Schedule B to this Special Warrant Certificate.

 

- 14 -

23. 

Severability

If any one or more of the provisions or parts thereof contained
in this Special Warrant Certificate should be or become invalid, illegal or
unenforceable in any respect in any jurisdiction, the remaining provisions or
parts thereof contained herein shall be and shall be conclusively deemed to be,
as to such jurisdiction, severable therefrom and: 

	 	(a) 	
      the validity, legality or enforceability of such
      remaining provisions or parts thereof shall not in any way be affected or
      impaired by the severance of the provisions or parts thereof severed;
      and

	 	 	 
	 	(b) 	
      the invalidity, illegality or unenforceability of any
      provision or part thereof contained in this Special Warrant Certificate in
      any jurisdiction shall not affect or impair such provision or part thereof
      or any other provisions of this Special Warrant Certificate in any other
      jurisdiction.

24. 

Notice

Any notice, document or communication required or permitted by
this Special Warrant Certificate to be given by a party hereto shall be in
writing and is sufficiently given if delivered personally, or if sent by prepaid
registered mail, or if transmitted by any form of recorded telecommunication
rested prior to transmission, to such party addressed as follows:

	 	(a) 	
      to the Holder, in the register to be maintained pursuant
      to section 14 hereof; and

	 	 	 
	 	(b) 	
      to the Corporation at:

	 	 	
       
	 	 	
      IntelGenx Technologies Corp.
6425 Abrams 
Ville
St-Laurent, Québec 
H4S 1X9 
	 	 	
       
	 	 	
      Attention:                    
      President 

      Telecopier:                  
      (514) 331-0436 

25. 

Time of the Essence

Time is of the
essence hereof. 

26. 

Enurement 

This Special Warrant Certificate shall enure to the benefit of
the Holder and his heirs, executors, administrators, legal personal
representatives, permitted assigns and successors is binding upon the
Corporation and its successors and assigns. 

27. 

Governing Law

This Special Warrant Certificate and the Special Warrants
represented hereby shall be governed by the laws of the State of Delaware and
the federal laws of the United States of America applicable therein. 

[SIGNATURE PAGE FOLLOWS]

 

IN WITNESS WHEREOF this Special Warrant Certificate has been executed on behalf of IntelGenx Technologies
Corp. as of the _____ day of July, 2009. 

	 	
INTELGENX TECHNOLOGIES CORP.
	 	 
	 	 
	 	

By: ____________________________________________

 Horst G. Zerbe 

President and Chief Executive Officer  

    

 

 

 

 

	  Schedule A 
  
	  	  	  
	  SUBSCRIPTION NOTICE 
  
	  	  	  
	TO: 	INTELGENX TECHNOLOGIES CORP. 
	  	6425 Abrams 
	  	Ville St-Laurent, Quebec 
	  	H4S 1X9 
	  	  	  
	  	The undersigned registered Holder of
      the attached Special Warrant Certificate, hereby: 
	  	  	  
		(a) 	
      subscribes for _____________________________ common shares (“Unit Shares”) and
      _____ common
      share purchase warrants (“Warrants”) (or such number of Unit Shares or
      Warrants or other securities or property to which such subscription
      entitles the undersigned in lieu thereof or in addition thereto under the
      Special Warrant Certificate) of IntelGenx Technologies Corp. (the
      “Corporation”); and 

	 	(b) 	
      delivers herewith the above-mentioned Special Warrant
      Certificate entitling the undersigned to subscribe for the above-mentioned
      number of Unit Shares and Warrants.

	 	 	 
	 		
      The undersigned hereby directs that the said Unit Shares
      and Warrants be registered as follows:

	 	  	 	Address(es) 	 	Number of 	 	Number of 
	 	   
                         
       Name(s) in full 	 	(including Postal Code) 	 	Unit
      Shares 	 	Warrants 
	 	  	 	  	 	  	 	  
	 	  	 	  	 	  	 	  
	 	  	 	  	 	  	 	  
	 	  	 	  	 	
         Total: ______ 
	 	 
    
	 	 	 	 	  	 	  
	(Please print full name in which share
      certificates are to be issued. 

	 	(c) 	
      certifies either (i) that the undersigned is not a U.S.
      Person or a person in the United States, and is not acquiring any of the
      Unit Shares or Warrants hereby subscribed for the account or benefit of a
      U.S. Person or a person in the United States, and none of the persons
      listed in paragraph (b) above is a U.S. Person or a person in the United
      States, other than an Accredited Investor as defined in Rule 501(a) under
      the U.S. Securities Act of 1933, as amended, or (ii) as of the date hereof
      there is an effective registration statement filed with the United States
      Securities and Exchange Commission covering the issuance of the Unit
      Shares and Warrants. For purposes hereof the terms “United States” and
      “U.S. Person” shall have the meanings ascribed to them in Regulation S
      under the U.S. Securities Act of 1933, as amended.

DATED this _____ day of _____, 20__ .

	 	
    (Signature of Subscriber) 
	 	 
	 	 
	 	
    (Print Name of Subscriber) 
	 	 
	 	 
	 	
    (Address of Subscriber in full)

The certificates will be mailed by registered mail to the
address appearing in this Subscription Notice.

 

Schedule B 

MEETINGS OF HOLDERS

	
1. 		
On receipt of an instrument signed in one or more counterparts by Holders entitled to acquire in the aggregate not less than 20% of the aggregate number of Common Shares which could be acquired pursuant to the exercise of all
Special Warrants then unexercised and outstanding, requesting that the Corporation take some action or proceeding specified in such instrument (a “Holders' Request”) and upon being indemnified to its reasonable satisfaction by the
Holders who signed such Holders' Request against the cost which may be incurred in connection with the calling and holding of such meeting, the Corporation shall call and convene a meeting of the Holders. In the event of the Corporation failing to
so call a meeting within seven days after receipt of such Holders' Request and indemnity given as aforesaid, the Corporation or the Holders who signed such Holders' Request may call and convene such meeting. Every such meeting shall be held in the
city of Toronto, Ontario, or at such other place as may be approved or determined by the Corporation.

	
	 	 
	
2. 		
At least 21 days’ prior notice of any meeting of Holders shall be given to the Holders and a copy of such notice shall be sent by mail. Such notice shall state the time when and the place where the meeting is to be held,
shall state briefly the general nature of the business to be transacted thereat and shall contain such information as is reasonably necessary to enable the Holders to make a reasoned decision on the matter or matters to be brought before the
meeting, but it shall not be necessary for any such notice to set out the terms of any resolution to be proposed or any of the provisions of this Schedule B.

	
	 	 
	
3. 		
An individual (who need not be a Warrantholder) designated in writing by the Corporation shall be chairman of any meeting of Holders and if no individual is so designated, or if the individual so designated is not present within
15 minutes from the time fixed for the holding of the meeting, the Holders present in person or by proxy shall choose some individual present to be chairman.

	
	 	 
	
4. 		
Subject to the provisions of Section 11 of this Schedule B, at any meeting of the Holders a quorum shall consist of Holders present in person or by proxy and holding at least 20% of the aggregate number of the then outstanding
Special Warrants, provided that at least two persons entitled to vote thereat are personally present. If a quorum of the Holders shall not be present within 30 minutes from the time fixed for holding any meeting, the meeting, if summoned by the
Holders or on a Holders' Request, shall be dissolved; but in any other case the meeting shall be adjourned to the same day in the next week (unless such day is not a business day, in which case it shall be adjourned to the next following business
day) at the same time and place and no notice of the adjournment need be given. Any business may be brought before or dealt with at an adjourned meeting which might have been dealt with at the original meeting in accordance with the notice calling
the same. No business shall be transacted at any meeting of Holders unless a quorum is present at the commencement of the meeting. At the adjourned meeting the Holders present in person or by proxy shall form a quorum and may transact the business
for which the meeting was originally convened, notwithstanding that they may not hold at least 20% of the aggregate number of the then outstanding Special Warrants.

	
	 	 
	
5. 		
The chairman of any meeting of Holders at which a quorum of the Holders is present may, with the consent of the meeting, adjourn any such meeting, and no notice of such adjustment need be given except such notice, if any, as the
meeting may prescribe.

	
	 	 
	
6. 		
Every question submitted to a meeting of Holders shall be decided in the first place by a majority of the votes given on a show of hands except that votes on an extraordinary resolution (as defined in Section 11 of this Schedule
B) shall be given in the manner hereinafter provided. At any such meeting, unless a poll is duly demanded as herein provided, a declaration by the chairman that a resolution has been carried or carried unanimously or by a particular majority or lost
or not carried by a particular majority shall be conclusive evidence of the fact.

	

 

	
7. 		
On every extraordinary resolution, and on any other question submitted to a meeting of Holders and after a vote by show of hands when demanded by the chairman or by one or more of the Holders acting in person or by proxy, a poll shall be taken in such manner as the chairman shall direct. Questions other than those required to be determined by extraordinary resolution shall be decided by a majority of the votes cast on the poll. On a
show of hands, every person who is present and entitled to vote, whether as a Warrantholder or as proxy for one or more absent Holders, or both, shall have one vote. On a poll, each Warrantholder present in person or represented by a proxy duly
appointed by instrument in writing shall be entitled to one vote in respect of each Special Warrant then held or represented by him. A proxy need not be a Warrantholder. The chairman of any meeting shall be entitled, both on a show of hands and on a
poll, to vote in respect of the Special Warrants, if any, held or represented by him.

	

	 	 	 
	
8. 		
The Corporation may from time to time make and from time to time vary such regulations as it shall think fit for:

	
	 	 	 
		
(a) 		
the setting of the record date for a meeting of Holders for the purpose of determining Holders entitled to receive notice of and to vote at the meeting;

	
	 	 	 
		
(b) 		
the issue of voting certificates by any bank, trust company or other depository satisfactory to the Corporation stating that the Special Warrant Certificates specified therein have been deposited with it by a named person and will
remain on deposit until after the meeting, which voting certificate shall entitle the persons named therein to be present and vote at any such meeting and at any adjournment thereof or to appoint a proxy or proxies to represent them and vote for
them at any such meeting and at any adjournment thereof in the same manner and with the same effect as though the persons so named in such voting certificates were the actual bearers of the Special Warrant Certificates specified therein;

	
	 	 	 
		
(c) 		
the deposit of voting certificates and instruments appointing proxies at such place and time as the Corporation or the Holders convening the meeting, as the case may be, may in the notice convening the meeting direct;

	
	 	 	 
		
(d) 		
the deposit of voting certificates and instruments appointing proxies at some approved place or places other than the place at which the meeting is to be held and enabling particulars of such instruments appointing proxies to be
mailed, cabled or telegraphed or sent by other means of prepaid, transmitted, recorded communication before the meeting to the Corporation at the place where the meeting is to be held and for the voting of proxies so deposited as though the
instruments themselves were produced at the meeting;

	
	 	 	 
		
(e) 		
the form of the instrument of proxy; and

	
	 	 	 
		
(f) 		
generally for the calling of meetings of Holders and the conduct of business thereat.

	
	 	 	 
			
Any regulations so made shall be binding and effective and the votes given in accordance therewith shall be valid and shall be counted. Except as such regulations may provide, the only persons who shall be recognized at any
meeting as a Warrantholder, or be entitled to vote or be present at the meeting in respect thereof (subject to Section 9 of this Schedule B), shall be Holders or their counsel, or proxies of Holders.

	
	 	 	 
	
9. 		
The Corporation by its directors and officers, and the counsel for the Corporation may attend any meeting of the Holders, but shall have no vote as such, unless in their capacity as a Warrantholder.

	
	 	 	 
	
10. 		
The Holders at a meeting shall, subject to the provisions of Section 11 of this Schedule B, have the power, exercisable from time to time by extraordinary resolution:

	
	 	 	 
		
(a) 		
to agree to any modification, abrogation, alteration, compromise or arrangement of the rights of Holders under Special Warrant Certificates or on behalf of the Holders against the Corporation whether such rights arise under the
Special Warrant Certificates or otherwise;

	

 

		
(b) 		
to amend, alter or repeal any extraordinary resolution previously passed or sanctioned by the Holders;

	
	 	 	 
		
(c) 		
to direct or to authorize the enforcement of any of the covenants on the part of the Corporation contained in the Special Warrant Certificates or to enforce any of the rights of the Holders in any manner specified in such
extraordinary resolution or to refrain from enforcing any such covenant or right;

	
	 	 	 
		
(d) 		
to waive any default on the part of the Corporation in complying with any provisions of the Special Warrant Certificates either unconditionally or upon any conditions specified in such extraordinary resolution;

	
	 	 	 
		
(e) 		
to restrain any Warrantholder from taking or instituting any suit, action or proceeding against the Corporation for the enforcement of any of the covenants on the part of the Corporation contained in the Special Warrant
Certificates or to enforce any of the rights of the Holders;

	
	 	 	 
		
(f) 		
to direct any Warrantholder who, as such, has brought any suit, action or proceeding to stay or to discontinue or otherwise to deal with the same upon payment of the costs, charges and expenses reasonably and properly incurred by
such Warrantholder in connection therewith;

	
	 	 	 
		
(g) 		
to assent to any change in or omission from the provisions contained in the Special Warrant Certificates or any ancillary or supplemental instrument which may be agreed to by the Corporation; and

	
	 	 	 
		
(h) 		
to assent to any compromise or arrangement with any creditor or creditors or any class or classes of creditors, whether secured or otherwise, and with holders of any shares or other securities of the Corporation.

	
	 	 	 
	
11. 		

	
	 	 	 
		
(a) 		
The expression “extraordinary resolution” when used in this Special Warrant Certificate means, subject to as hereinafter provided in this Section 11 and in Section 14 of this Schedule B, a resolution proposed at a
meeting of Holders duly convened for that purpose and held in accordance with the provisions of this Schedule B, at which there are present in person or by proxy Holders holding at least 20% of the aggregate number of the then outstanding Special
Warrants and passed by the affirmative votes of Holders holding not less than 66 2/3% of the aggregate number of the then outstanding Special Warrants represented at the meeting and voted on the poll upon such resolution.

	
	 	 	 
		
(b) 		
If, at the meeting of Holders at which an extraordinary resolution is to be considered, Holders holding at least 20% of the aggregate number of the then outstanding Special Warrants are not present in person or by proxy within 30
minutes after the time appointed for the meeting, then the meeting, if convened by Holders or on a Holders' Request, shall be dissolved, but in any other case it shall stand adjourned to such day, being not less than 15 or more than 60 days later,
and to such place and time as may be determined by the chairman. Not less than 10 days' prior notice shall be given of the time and place of such adjourned meeting. Such notice shall state that at the adjourned meeting the Holders present in person
or by proxy shall form a quorum but it shall not be necessary to set forth the purposes for which the meeting was originally called or any other particulars. At the adjourned meeting the Holders present in person or by proxy shall form a quorum and
may transact the business for which the meeting was originally convened and a resolution proposed at such adjourned meeting and passed by the requisite vote shall be an “extraordinary resolution” notwithstanding that Holders holding at
least 20% of the aggregate number of the then outstanding Special Warrants are not present in person or by proxy at such adjourned meeting.

	

 

		
(c) 		
Votes on an extraordinary resolution shall always be given on a poll and no demand for a poll on an extraordinary resolution shall be necessary.

	
	 	 	 
	
12. 		
Any one or more of the powers or any combination of the powers exercisable by the Holders by extraordinary resolution or otherwise may be exercised from time to time and the exercise of any one or more of such powers or any
combination of powers from time to time shall not be deemed to exhaust the right of the Holders to exercise such power or powers or combination of powers then or thereafter from time to time.

	
	 	 	 
	
13. 		
Minutes of all resolutions and proceedings at every meeting of Holders shall be made and duly entered in books to be provided from time to time for that purpose by the Corporation at the expense of the Corporation, and any such
minutes as aforesaid, if signed by the chairman or the secretary of the meeting at which such resolutions were passed or proceedings taken, shall be prima facie evidence of the matters therein stated and, until the contrary is proved, every
such meeting in respect of the proceedings of which minutes shall have been made shall be deemed to have been duly convened and held, and all resolutions passed thereat or proceedings taken shall be deemed to have been duly passed and taken.

	
	 	 	 
	
14. 		
All actions which may be taken and all powers that may be exercised by the Holders at a meeting held as provided in this Schedule B may also be taken and exercised by Holders holding at least 66 2/3% of the aggregate number of the
then outstanding Special Warrants by an instrument in writing signed in one or more counterparts by such Holders in person or by attorney duly appointed in writing, and the expression “extraordinary resolution” when used in this Special
Warrant Certificate shall include an instrument so signed.

	
	 	 	 
	
15. 		
Every resolution and every extraordinary resolution passed in accordance with the provisions of this Schedule B at a meeting of Holders shall be binding upon all of the Holders, whether present at or absent from such meeting, and
every instrument in writing signed by Holders in accordance with Section 14 of this Schedule B shall be binding upon all of the Holders, whether signatories thereto or not, and each and every Warrantholder shall be bound to give effect accordingly
to every such resolution and instrument in writing.

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