Document:

Exhibit 10.5

Execution Version

 

SUBORDINATION AGREEMENT

 

THIS SUBORDINATION
AGREEMENT (this “Agreement”) is entered into as of June 25, 2013, by and among Platinum-Montaur Life Sciences
LLC, a Delaware limited liability company (together with its permitted successors and assigns, the “Subordinated Creditor”),
and General Electric Capital Corporation, a Delaware corporation, in its capacity as agent for the lenders
under the Senior Loan Agreement (as defined below) (together with its successors and assigns, in such capacity, the “Senior
Creditor Agent”), and is consented to and acknowledged by Navidea Biopharmaceuticals, Inc., a Delaware
corporation (the “Borrower”, and together with any other borrower or guarantor of the Senior Debt (as defined
below), collectively, the “Company”).

 

RECITALS

 

A.           The
Company has entered into the Loan and Security Agreement, dated as of the date hereof (as amended, restated, supplemented, replaced,
increased or otherwise modified from time to time in accordance with the terms hereof, the “Senior Loan Agreement”),
by and among (a) the Company, (b) Senior Creditor Agent, and (c) the financial institutions or other entities signatory thereto
from time to time as Lenders (such Lenders and any other holders from time to time of any of the Senior Debt, collectively, the
“Senior Creditor”), pursuant to which Senior Creditor Agent and Senior Creditor have made and may make certain
loans from time to time to the Company on the terms and conditions set forth therein. All of the Company’s obligations to
Senior Creditor Agent and Senior Creditor under the Senior Debt Documents (as hereinafter defined) are secured by first-priority
liens on and security interests in all of the property of the Company in which the Company purports to grant a security interest
from time to time under the Senior Debt Documents and the products and proceeds thereof (collectively, the “Collateral”).

 

B.           Subordinated
Creditor has extended and may in the future extend loans to the Company under that certain Loan Agreement, dated as of July
25, 2012, between the Borrower and the Subordinated Creditor, as amended as of the date hereof (and as further amended, restated,
supplemented or otherwise modified in accordance with the terms hereof, the “Subordinated Loan Agreement”),
which loans are evidenced by that certain Promissory Note (Term Loan Facility) dated as of July 25, 2012 in the original
principal amount of $35,000,000, as amended as of the date hereof (and as further amended, restated, supplemented, replaced or
modified in accordance with the terms hereof, the “Subordinated Note”). All of the Company’s obligations
evidenced by the Subordinated Debt Documents are and will remain unsecured obligations.

 

C.           As
an inducement for Senior Creditor Agent and Senior Creditor to continue their loans and other financial accommodations to Company
and as a condition precedent under the Senior Loan Agreement, the Subordinated Creditor is executing this Agreement in order to
set forth the relative rights and priorities of Senior Creditor Agent, Senior Creditor and Subordinated Creditor under the Senior
Debt Documents and the Subordinated Debt Documents (as hereinafter defined).

 

NOW, THEREFORE,
in consideration of the above and the premises, the covenants and agreements contained herein, and for other good and valuable
consideration, the receipt and sufficiency of which hereby are acknowledged, the parties hereto hereby agree as follows:

 

    	 

    	 

    

 

		1.	Definitions. The following terms shall have the following meanings in this Agreement:

 

“Amendment
to Subordinated Loan Agreement” shall mean that certain Amendment to Loan Agreement, dated as of the date hereof,
between the Subordinated Creditor and the Company, amending the Subordinated Loan Agreement.

 

“Bankruptcy
Code” shall mean Title 11 of the United States Code, as amended from time to time and any successor statute and all
rules and regulations promulgated thereunder.

 

“Distribution”
shall mean, with respect to any indebtedness, obligation or security, (a) any payment or distribution by any Person of cash, securities
or other property, including, without limitation, by the application of proceeds from the disposition of Collateral, by set-off
or otherwise, on account of or to pay principal, interest or any other obligation owing in respect of such indebtedness, obligation
or security, (b) any redemption, purchase or other acquisition of such indebtedness, obligation or security by any Person or (c)
the granting of any lien or security interest to or for the benefit of the holders of such indebtedness, obligation or security
in or upon any property of any Person.

 

“Enforcement
Action” shall mean (a) to take from or for the account of the Company or any guarantor of the Subordinated Debt,
by set-off or in any other manner, the whole or any part of any moneys which may now or hereafter be owing by the Company or any
such guarantor with respect to the Subordinated Debt, (b) to sue for payment of, or to initiate or participate with others in any
suit, action or proceeding against the Company or any such guarantor (including any initiation of any Proceeding against the Company
or such guarantor) to (i) enforce payment of or to collect the whole or any part of the Subordinated Debt or (ii) commence judicial
enforcement of any of the rights and remedies under the Subordinated Debt Documents or applicable law with respect to the Subordinated
Debt, (c) to accelerate the Subordinated Debt, (d) to sell, license, lease, or otherwise dispose of all or any portion of any Collateral,
any other assets of the Company or any such guarantor, or any other collateral whatsoever, by private or public sale, other disposition
or any other means permissible under applicable law, (e) to exercise any put option or to cause the Company or any such guarantor
to honor any redemption or mandatory prepayment obligation under any Subordinated Debt Document, (f) to notify account debtors
or directly collect accounts receivable or other payment rights of the Company or any such guarantor the solicitation of bids from
third parties to conduct the liquidation of any Collateral, any other assets of the Company or any such guarantor, or any other
collateral whatsoever, (g) to engage or retain sales brokers, marketing agents, investment bankers, accountants, appraisers, auctioneers
or other third parties for the purposes of valuing, marketing, promoting and selling any Collateral, any other assets of the Company
or any such guarantor, or any other collateral whatsoever, (h) to exercise any other right relating to any Collateral, any other
assets of the Company or any such guarantor, or any other collateral whatsoever (including the exercise of any voting rights relating
to any capital stock and including any right of recoupment or set-off) or (i) to take any action under the provisions of any state
or federal law, including, without limitation, the Bankruptcy Code and the Uniform Commercial Code, or under any contract or agreement,
to enforce, set-off against, foreclose upon, take possession of or sell or otherwise dispose of any Collateral, any other assets
of the Company or any such guarantor, or any other collateral whatsoever. For the avoidance of doubt, neither (x) termination of
the obligation of the Subordinated Creditor to fund Draws (as such term is defined in the Subordinated Loan Agreement) in accordance
with Sections 2.2(f) or 7.2(i) of the Subordinated Loan Agreement nor (y) any Subordinated Debt Conversion shall be deemed an Enforcement
Action.

 

    	2

    	 

    

 

“Person”
shall mean any natural person, corporation, general or limited partnership, limited liability company, firm, trust,
association, government, governmental agency or other entity, whether acting in an individual, fiduciary or other capacity.

 

“Proceeding”
shall mean any voluntary or involuntary insolvency, bankruptcy, receivership, custodianship, liquidation, dissolution, reorganization,
assignment for the benefit of creditors, appointment of a custodian, receiver, trustee or other officer with similar powers or
any other proceeding for the liquidation, dissolution or other winding up of a Person.

 

“Refinancing
Senior Debt Documents” shall mean any financing documentation which replaces any Senior Debt Documents and pursuant
to which the Senior Debt or any portion thereof is refinanced, as such financing documentation may be amended, restated, supplemented,
replaced, increased or otherwise modified from time to time; provided, that, any such Refinancing Senior Debt Documents
shall contain substantially the same terms and conditions as the Senior Debt Documents as in effect on the date hereof (subject
to such modifications as may be permitted by Section 3.1 hereof).

 

“Senior
Debt” shall mean all obligations, liabilities and indebtedness of every nature of the Company from time to time owed
to Senior Creditor Agent and Senior Creditor under the Senior Debt Documents, including, without limitation, the principal amount
of all debts, claims and indebtedness, accrued and unpaid interest, prepayment premiums and all fees, costs and expenses, whether
primary, secondary, direct, contingent, fixed or otherwise, heretofore, now and from time to time hereafter owing, due or payable,
whether before or after the filing of a Proceeding under the Bankruptcy Code together with (a) any amendments, restatements, modifications,
renewals, increases or extensions thereof in accordance with the terms hereof and (b) any interest, fees, expenses, premiums or
other amounts accruing thereon after the commencement of a Proceeding, without regard to whether or not such interest, fees, expenses,
premiums or other amounts are allowed or allowable in whole or in part in any such Proceeding; provided that in no event
shall the principal amount of Senior Debt exceed $30,000,000. Senior Debt shall be considered to be outstanding whenever any loan
or loan commitment under any Senior Debt Document is outstanding.

 

“Senior
Debt Documents” shall mean collectively, the Senior Loan Agreement and all other “Loan Documents” as
defined in the Senior Loan Agreement and, after any refinancing of the Senior Debt, the Refinancing Senior Debt Documents, all
as amended, restated, supplemented, replaced, increased or otherwise modified from time to time in accordance with the terms hereof.

 

“Subordinated
Debt” shall mean all obligations, liabilities and indebtedness of every nature of the Company from time to time owed
to Subordinated Creditor under the Subordinated Debt Documents, including, without limitation, the principal amount of all debts,
claims and indebtedness, accrued and unpaid interest and all fees, costs and expenses, whether primary, secondary, direct, contingent,
fixed or otherwise, heretofore, now and from time to time hereafter owing, due or payable, whether before or after the filing of
a Proceeding under the Bankruptcy Code together with (a) any amendments, restatements, modifications, renewals, increases or extensions
thereof in accordance with the terms hereof and (b) any interest, fees, expenses, premiums or other amounts accruing thereon after
the commencement of a Proceeding, without regard to whether or not such interest, fees, expenses, premiums or other amounts are
allowed or allowable in whole or in part in any such Proceeding.

 

    	3

    	 

    

 

“Subordinated
Debt Conversion” shall mean any conversion of the Subordinated Debt into common stock of the Borrower (x) on the
date hereof, pursuant to the terms and conditions of the Warrant Exercise Agreement, and (y) at any time after the date hereof,
pursuant to the terms and conditions of Section 2.7 of the Subordinated Loan Agreement, in each case only so long as no cash is
paid by the Company in connection with the consummation of such conversion.

 

“Subordinated
Debt Documents” shall mean the Subordinated Loan Agreement, the Subordinated Note, any guaranty with respect to the
Subordinated Debt, any agreements or documents entered into in connection with any Subordinated Debt Conversion, and all other
documents, agreements and instruments now existing or hereinafter entered into evidencing or pertaining to all or any portion of
the Subordinated Debt, all as amended, supplemented, replaced or modified from time to time in accordance with the terms hereof.

 

“Subordination
Termination Date” shall mean the date that all outstanding Senior Debt (other than contingent indemnity obligations
that survive termination of the Senior Loan Documents and for which no claim has been asserted) is paid in full in cash (or otherwise
repaid to the satisfaction of the Senior Creditor) and Senior Creditor Agent and Senior Creditor have no further obligation to
make loans or provide any other financial accommodations to Company pursuant to the Senior Debt Documents.

 

“Warrant
Exercise Agreement” shall mean that certain Warrant Exercise Agreement, dated as of the date hereof, between the
Borrower and the Subordinated Creditor.

 

		2.	Subordination. 

 

2.1           Subordination
of Subordinated Debt to Senior Debt. The Company covenants and agrees, and Subordinated Creditor by its execution hereof
or its acceptance of the Subordinated Loan Agreement and any Subordinated Note (whether upon original issue or upon transfer or
assignment) likewise covenants and agrees, notwithstanding anything to the contrary contained in any of the Subordinated Debt Documents,
that the payment of any and all of the Subordinated Debt shall be subordinate and subject in right and time of payment, to the
extent and in the manner set forth in this Agreement, to the prior indefeasible payment in full in cash of all Senior Debt. Each
holder of Senior Debt, whether such Senior Debt is now outstanding or hereafter created, incurred, assumed or guaranteed, shall
be deemed to have acquired Senior Debt in reliance upon the provisions contained in this Agreement. Notwithstanding the terms of
the Subordinated Debt Documents, the Company agrees that it will not make, and Subordinated Creditor agrees that it will not accept,
any Distribution, whether in cash, securities or other property, with respect to or as payment for the Subordinated Debt until
the Subordination Termination Date (including, without limitation, any amounts owing pursuant to Section 3.2 of the Subordinated
Loan Agreement other than pursuant to a Subordinated Debt Conversion); provided, however, that (a) so long as no Default
or Event of Default (as such terms are defined in the Senior Loan Agreement) has occurred, is continuing or would result therefrom,
the Company may pay, and the Subordinated Creditor may accept, regularly scheduled payments of interest at the non-default rate
on the Subordinated Debt paid in cash in accordance with the terms of the Subordinated Debt Documents as in effect on the date
hereof or as modified in accordance with the terms of this Agreement and (b) the Borrower may issue to the Subordinated Creditor,
and the Subordinated Creditor may accept, common stock of the Borrower in connection with a Subordinated Debt Conversion.

 

    	4

    	 

    

  

2.2           Liquidation,
Dissolution, Bankruptcy. In the event of any Proceeding involving the Company:

 

(a)            The
Company shall not make and Subordinated Creditor shall not receive any Distribution in such Proceeding, whether in cash, securities
or other property (other than equity received upon a Subordinated Debt Conversion), on account of or as payment for any Subordinated
Debt prior to the Subordination Termination Date.

 

(b)            Any
Distribution received in such Proceeding, whether in cash, securities or other property (other than equity received upon a Subordinated
Debt Conversion) that would otherwise, but for the terms hereof, be payable or deliverable in respect of the Subordinated Debt
shall be paid or delivered directly to Senior Creditor Agent (to be held and/or applied by Senior Creditor Agent in accordance
with the terms of the Senior Debt Documents) until the Subordination Termination Date. Subordinated Creditor irrevocably authorizes,
empowers and directs any debtor, debtor-in-possession, receiver, trustee, liquidator, custodian, conservator or other Person having
authority, to pay or otherwise deliver all such Distributions to Senior Creditor Agent. Subordinated Creditor also irrevocably
authorizes and empowers Senior Creditor Agent, in the name of Subordinated Creditor, to demand, sue for, collect and receive any
and all such Distributions and other amounts owing under the Subordinated Debt Documents.

 

(c)           Subordinated
Creditor agrees not to initiate, prosecute or participate in any claim, action or other proceeding challenging the enforceability,
validity, perfection or priority of the Senior Debt or any liens and security interests securing the Senior Debt.

 

(d)           Subordinated
Creditor agrees that Senior Creditor Agent and Senior Creditor may consent to the use of cash collateral or provide financing (including
debtor-in-possession financing) to the Company on such terms and conditions and in such amounts as Senior Creditor Agent and Senior
Creditor, in their sole discretion, may decide and, in connection therewith, the Company may grant to Senior Creditor Agent and
Senior Creditor liens and security interests upon all of the property of the Company, which liens and security interests (i) shall
secure payment of all Senior Debt (whether such Senior Debt arose prior to the commencement of any Proceeding or at any time thereafter)
and all other financing provided by Senior Creditor Agent and Senior Creditor during such Proceeding and (ii) shall be superior
in priority to the liens and security interests, if any, in favor of Subordinated Creditor on the property of the Company. Subordinated
Creditor agrees that it will not object to or oppose a sale or other disposition of any property securing all or any part of the
Senior Debt free and clear of security interests, liens or other claims of Subordinated Creditor under Section 363 of the Bankruptcy
Code or any other provision of the Bankruptcy Code if Senior Creditor Agent or Senior Creditor has consented to such sale or disposition.
Subordinated Creditor agrees not to assert any right it may have to “adequate protection” of Subordinated Creditor’s
interest in any Collateral or any other assets of the Company in any Proceeding and agrees that it will not seek to have the automatic
stay lifted with respect to any Collateral or any other assets of the Company without the prior written consent of Senior Creditor
Agent. Subordinated Creditor waives any claim it may now or hereafter have arising out of Senior Creditor Agent’s or Senior
Creditor’s election, in any Proceeding instituted under the Bankruptcy Code, of the application of Section 1111(b)(2) of
the Bankruptcy Code, and/or any borrowing or grant of a security interest under Section 364 of the Bankruptcy Code by the Company,
as debtor-in-possession. Subordinated Creditor further agrees that it will not participate or seek to participate on any creditor’s
committee without Senior Creditor Agent’s prior written consent.

 

    	5

    	 

    

 

(e)           Subordinated
Creditor agrees to execute, verify, deliver and file any proofs of claim in respect of the Subordinated Debt reasonably requested
by Senior Creditor Agent in connection with any such Proceeding and hereby irrevocably authorizes, empowers and appoints Senior
Creditor Agent its agent and attorney-in-fact to (i) execute, verify, deliver and file such proofs of claim upon the failure of
Subordinated Creditor promptly to do so prior to 30 days before the expiration of the time to file any such proof of claim and
(ii) vote the full amount of such claim in any such Proceeding; provided that Senior Creditor Agent shall have no obligation
to execute, verify, deliver, file and/or vote any such proof of claim or claim. In the event that Senior Creditor Agent votes any
claim in accordance with the authority granted hereby, Subordinated Creditor shall not be entitled to change or withdraw such vote.

 

(f)           The
Senior Debt shall continue to be treated as Senior Debt and the provisions of this Agreement shall continue to govern the relative
rights and priorities of Senior Creditor Agent, Senior Creditor and Subordinated Creditor even if all or part of the Senior Debt
or the security interests securing the Senior Debt are subordinated, set aside, avoided, invalidated, or disallowed in connection
with any such Proceeding, and this Agreement shall be reinstated if at any time any payment of any of the Senior Debt is rescinded
or must otherwise be returned by any holder of Senior Debt or any representative of such holder.

 

2.3           Subordinated
Debt Standstill Provisions.         Until the Subordination Termination
Date, Subordinated Creditor shall not, without the prior written consent of Senior Creditor Agent, take any Enforcement Action
with respect to the Subordinated Debt. Any Distributions or other proceeds of any Enforcement Action obtained by Subordinated
Creditor in violation of the immediately preceding sentence shall in any event be held in trust by it for the benefit of Senior
Creditor Agent and Senior Creditor and promptly paid or delivered to Senior Creditor Agent in the form received. Notwithstanding
any provision of this Agreement to the contrary, Subordinated Creditor may take any action solely to the extent necessary to prevent
the running of any applicable statute of limitations or other similar restriction on claims, including
the submission of any proof of claim in respect of the Subordinated Debt in any Proceeding. 

 

2.4           Incorrect
Payments and Payover. Until the Subordination Termination Date, if any Distribution on account of or as payment for the
Subordinated Debt that is not permitted to be made by the Company or accepted by Subordinated Creditor under this Agreement is
nonetheless made or received by Subordinated Creditor, such Distribution shall not be commingled with any of the assets of Subordinated
Creditor, shall be held in trust by Subordinated Creditor for the benefit of Senior Creditor Agent and Senior Creditor and shall
be promptly paid over to Senior Creditor Agent for application (in accordance with the Senior Debt Documents) to the payment of
the Senior Debt then remaining unpaid.

 

2.5           Subordination
of Liens and Security Interests; Agreement Not to Contest; Agreement to Release Liens; Acknowledgement of Liens.

 

(a)          The
obligations owed to Subordinated Creditor are not (x) guaranteed by, or constitute the obligations of, any person other than Borrower
(except to the extent that such person has guaranteed the Senior Debt) or (y) secured by the assets of Company or any other person.

 

    	6

    	 

    

 

(b)          The
obligations owed to Subordinated Creditor shall remain unsecured. Notwithstanding the immediately preceding sentence, if Subordinated
Creditor obtains any liens or security interests in the Collateral or any other assets of the Company (whether pursuant to Senior
Creditor Agent’s consent or otherwise), all such liens and security interests obtained by Subordinated Creditor in the Collateral
and any other assets of the Company shall be and hereby are subordinated for all purposes and in all respects to the liens and
security interests of Senior Creditor Agent in the Collateral and any other assets of the Company, regardless of the validity,
enforceability, avoidance, dispute, unperfection, or the time, method, manner or order of the grant, attachment, filing or perfection
of any such liens and security interests, any provision of the Uniform Commercial Code, the Bankruptcy Code, any Senior Debt Document
or any Subordinated Debt Document or any other circumstance whatsoever until the Subordination Termination Date. Subordinated Creditor
agrees that it will not at any time contest the validity, perfection, priority or enforceability of the Senior Debt, the Senior
Debt Documents, or the liens and security interests of Senior Creditor Agent in the Collateral or any other assets of the Company
securing the Senior Debt. In the event that Senior Creditor Agent releases or agrees to release any of its liens or security interests
in the Collateral or any other assets of the Company in connection with the sale or other disposition thereof, or if any of the
Collateral or any other assets of the Company is sold or retained pursuant to a foreclosure or similar action, Subordinated Creditor
agrees that its liens or security interests in such Collateral and other assets of the Company, if any, shall automatically be
released, and Subordinated Creditor shall (or shall cause its agent to) promptly execute and deliver to Senior Creditor Agent or
authorize Senior Creditor Agent to file such termination statements and releases as Senior Creditor Agent shall reasonably request
to effect the release of the liens and security interests of Subordinated Creditor in such Collateral or other assets of the Company.
In furtherance of the foregoing, Subordinated Creditor hereby irrevocably appoints Senior Creditor Agent its attorney-in-fact,
with full authority in the place and stead of Subordinated Creditor and in the name of Subordinated Creditor or otherwise, to execute
and deliver any document or instrument which Subordinated Creditor may be required to deliver pursuant to this subsection 2.5(a).

 

(c)          Subordinated
Creditor acknowledges and agrees that Senior Creditor Agent has been granted liens upon and security interests in the Collateral
for the benefit of Senior Creditor Agent and Senior Creditor. Subordinated Creditor agrees that it shall not obtain a lien on or
security interest in any property of the Company to secure all or any portion of the Subordinated Debt unless it obtains the prior
written consent of Senior Creditor Agent and, concurrently therewith, Senior Creditor Agent obtains a first priority lien on and
security interest in such asset or collateral and the parties hereby agree that all such liens and security interests are and will
be subject to this Agreement. Subordinated Creditor agrees that it shall not obtain any control agreement with respect to any deposit
account, securities account or other property of the Company without the prior written consent of Senior Creditor Agent.

 

2.6          Application
of Proceeds from Sale or other Disposition of the Collateral. Until the Subordination Termination Date, in the event
of any sale, transfer, lease, license or other disposition (including a casualty loss or taking through eminent domain) of the
Collateral or any other asset of the Company, the proceeds resulting therefrom (including proceeds from insurance or any other
Enforcement Action) shall be applied in accordance with the terms of the Senior Debt Documents or as otherwise consented to by
Senior Creditor Agent.

 

    	7

    	 

    

 

2.7           Sale,
Transfer or other Disposition of Subordinated Debt.

 

(a)          Subordinated
Creditor shall not sell, assign, pledge, dispose of or otherwise transfer all or any portion of the Subordinated Debt or any Subordinated
Debt Document other than (i) to any affiliate of Platinum-Montaur Life Sciences LLC upon the delivery to Senior Agent of a written
acknowledgement and joinder to this Agreement, in form and substance satisfactory to Senior Agent and providing for the continued
subordination and forbearance of the Subordinated Debt to the Senior Debt as provided herein and the continued effectiveness of
all of the rights of the Senior Agent or (ii) the disposal of any Subordinated Debt in connection with a Subordinated Debt Conversion.

 

(b)          Notwithstanding
the foregoing subsection 2.7(a), the debt and lien subordination effected by this Agreement shall survive any sale, assignment,
pledge, disposition or other transfer of all or any portion of the Subordinated Debt in violation of the terms of subsection 2.7(a),
and the terms of this Agreement shall be binding upon the successors and assigns of Subordinated Creditor, as provided in Section
10 hereof.

 

2.8           Legends.
Until the Subordination Termination Date, Subordinated Creditor will cause to be clearly, conspicuously and prominently inserted
on the face of the Subordinated Note and any other Subordinated Debt Document, as well as any renewals or replacements thereof,
the following legend:

 

“This instrument
and the indebtedness, rights and obligations evidenced hereby and any liens or other security interests securing such rights and
obligations are subordinate in the manner and to the extent set forth in that certain Subordination Agreement (as amended, restated,
supplemented or modified from time to time, the “Subordination Agreement”) dated as of June 25, 2013, by and among
the Subordinated Creditor identified therein and General Electric Capital Corporation in its capacity as agent for certain lenders
(together with its successors and assigns, “Senior Creditor Agent”), to certain indebtedness, rights, and obligations
of Navidea Biopharmaceuticals, Inc. to Senior Creditor Agent and Senior Creditor (as defined therein) and liens and security interests
of Senior Creditor Agent securing the same all as described in the Subordination Agreement; and each holder and transferee of this
instrument, by its acceptance hereof, irrevocably agrees to be bound by the provisions of the Subordination Agreement.”

 

		3.	Modifications.

 

3.1 Modifications
to Senior Debt Documents. Senior Creditor Agent or Senior Creditor may at any time and from time to time without the consent
of or notice to Subordinated Creditor, without incurring liability to Subordinated Creditor and without impairing or releasing
the obligations of Subordinated Creditor under this Agreement, change the manner or place of payment or extend the time of payment
of or renew or alter any of the terms of the Senior Debt, or amend in any manner any Senior Debt Document, including without limitation
to increase the Senior Debt; provided, that Senior Creditor shall not, without the prior written consent of holders of greater
than fifty percent (50%) of the then-outstanding principal balance of the Subordinated Debt, agree to any modification, supplement
or amendment to the Senior Debt Documents, the effect of which is to (a) increase the principal amount of the Senior Debt to an
amount in excess of the amount permitted pursuant to the definition of “Senior Debt” herein, (b) increase any applicable
interest rate with respect to the Senior Debt by more than 200 basis points except in connection with the imposition of the default
rate of interest currently set forth in the Senior Debt Documents, (c) impose any additional restriction on the Borrower’s
ability or right to make payments on the Subordinated Debt beyond what is contemplated hereunder, (d) extend the final maturity
of the Senior Debt (as set forth in the Senior Debt Documents as in effect on the date hereof) to a date after the final stated
maturity date of the Subordinated Debt or (e) permit any re-borrowing of principal amounts repaid with respect to the Senior Debt.

 

    	8

    	 

    

 

3.2 Modifications
to Subordinated Debt Documents. Until the Subordination Termination Date, and notwithstanding anything to the contrary
contained in the Subordinated Debt Documents, neither the Company nor Subordinated Creditor shall, without the prior written consent
of Senior Creditor Agent, agree to any amendment, modification, waiver or supplement to the Subordinated Debt Documents.

 

		4.	Waiver of Certain Rights
by Subordinated Creditor.

 

4.1           Notice.
To the fullest extent permitted by applicable law, Subordinated Creditor hereby waives any right to receive the following notices
from Senior Creditor Agent: (a) notice of acceptance hereof; (b) notice of any loans or other financial accommodations made or
extended under the Senior Debt Documents, or the creation or existence of any Senior Debt; (c) notice of the amount of the Senior
Debt; (d) notice of any adverse change in the financial condition of Company or any account debtor or of any other fact that might
increase Subordinated Creditor’s risk hereunder; (e) notice of presentment for payment, demand, protest, and notice thereof
as to any instrument among the Senior Debt Documents; (f) notice of any default or event of default under the Senior Debt Documents
or otherwise relating to the Senior Debt; and (g) all other notices (except if such notice is specifically required to be given
to Subordinated Creditor under this Agreement) and demands to which Subordinated Creditor might otherwise be entitled. Notwithstanding
anything to the contrary, Subordinated Creditor is not waiving, and shall not be deemed to have waived, any rights that Subordinated
Creditor has as a stockholder of the Company, including any voting, consent or information rights. Moreover, nothing contained
herein shall be deemed to be a waiver of, and Subordinated Creditor is not waiving, any notice obligations that the Company has
to Subordinated Creditor.

 

4.2           Marshaling.
Subordinated Creditor hereby waives any rights it may have under applicable law to assert the doctrine of marshaling or to
otherwise require Senior Creditor Agent to marshal any property of the Company or any guarantor of the Senior Debt for the benefit
of Subordinated Creditor.

 

4.3           Rights
Relating to Senior Creditor Agent’s Actions with respect to the Collateral.

 

(a)          Subordinated
Creditor hereby waives, to the extent permitted by applicable law, any rights which it may have to enjoin or otherwise obtain a
judicial or administrative order preventing Senior Creditor Agent and/or Senior Creditor from taking, or refraining from taking,
any action with respect to all or any part of the Collateral or any other assets of the Company. Without limitation of the foregoing,
Subordinated Creditor hereby agrees (a) that it has no right to direct or object to the manner in which Senior Creditor Agent and/or
Senior Creditor applies the proceeds of the Collateral or any other assets of the Company resulting from the exercise by Senior
Creditor Agent and/or Senior Creditor of rights and remedies under the Senior Debt Documents to the Senior Debt and (b) that Senior
Creditor Agent and/or Senior Creditor has not assumed any obligation to act as the agent for Subordinated Creditor with respect
to the Collateral or any other assets of the Company. Senior Creditor Agent and/or Senior Creditor shall have the exclusive right
to enforce rights and exercise remedies with respect to the Collateral and any other assets of the Company until Subordination
Termination Date. In exercising rights and remedies with respect to the Collateral or any other assets of the Company, Senior Creditor
Agent and/or Senior Creditor may enforce the provisions of the Senior Debt Documents and exercise remedies thereunder, all in such
order and in such manner as they may determine in the exercise of their sole business judgment. Such exercise and enforcement shall
include, without limitation, the rights to sell or otherwise dispose of Collateral or any other assets of the Company, to incur
expenses in connection with such sale or disposition and to exercise all the rights and remedies of a secured lender under the
Uniform Commercial Code of any applicable jurisdiction. In conducting any public or private sale under the Uniform Commercial Code,
Senior Creditor Agent shall give Subordinated Creditor such notice of such sale only to the extent required by the applicable Uniform
Commercial Code; provided, however, that if such notice is required to be given, 10 days’ notice shall be deemed
to be commercially reasonable notice. Subordinated Creditor agrees that neither Senior Creditor Agent nor Senior Creditor shall
incur any liability to Subordinated Creditor as a result of a sale, lease, license, application or other disposition of all or
any portion of the Collateral or any other assets of the Company or any part or proceeds thereof conducted in accordance with applicable
law.

 

    	9

    	 

    

 

(b)          None
of Senior Creditor Agent, Senior Creditor or any of their respective affiliates, directors, officers, employees, or agents shall
be liable to Subordinated Creditor for failure to demand, collect, or realize upon any of the Collateral or any proceeds thereof
or for any delay in doing so or shall be under any obligation to sell or otherwise dispose of any Collateral or proceeds thereof
or to take any other action whatsoever with regard to the Collateral or any part or proceeds thereof. If Senior Creditor Agent
or Senior Creditor should act upon, omit to act upon, or exercise any of their contractual rights or remedies under the Senior
Debt Documents (subject to the express terms and conditions hereof), neither Senior Creditor Agent nor Senior Creditor shall have
any liability whatsoever to the Subordinated Creditor as a result of such action, omission, or exercise.

 

4.4           Additional
Rights of Senior Creditor Agent and Senior Creditor. Senior Creditor Agent and Senior Creditor will be entitled to manage
and supervise the loans and extensions of credit under the Senior Debt Documents as Senior Creditor Agent and Senior Creditor may,
in their sole discretion, deem appropriate, and Senior Creditor Agent and Senior Creditor may manage their loans and extensions
of credit without regard to any rights or interests that Subordinated Creditor may have in the Collateral or any other assets of
the Company or otherwise. Senior Creditor Agent, Senior Creditor and each holder of Senior Debt may, from time to time, enter into
agreements and settlements with the Company or other parties to the Senior Debt Documents in accordance with the provisions of
Section 3.1 of this Agreement as it may determine in its sole discretion without impairing any of the subordinations, priorities,
rights or obligations of the parties under this Agreement, including substituting collateral and releasing any lien on any Collateral
or any other asset of the Company.

 

4.5           Additional
Defenses. To the fullest extent permitted by applicable law, Subordinated Creditor hereby waives: (a) any rights to assert
against Senior Creditor Agent or Senior Creditor any defense (legal or equitable), set-off, counterclaim, or claim which Subordinated
Creditor may now or at any time hereafter have against the Company, any other holder of Senior Debt, any other party liable to
Senior Creditor Agent or Senior Creditor, or any Person constituting Subordinated Creditor; (b) any defense, set-off, counterclaim,
or claim, of any kind or nature, arising directly or indirectly from the present or future lack of perfection, sufficiency, validity,
or enforceability of any Senior Debt, any Subordinated Debt or any security for either; (c) any defense arising by reason of any
claim or defense based upon an election of remedies by Senior Creditor Agent or Senior Creditor; and (d) the benefit of any statute
of limitations affecting the obligations of Subordinated Creditor hereunder or the enforcement thereof, and any act which shall
defer or delay the operation of any statute of limitations applicable to the Senior Debt shall similarly operate to defer or delay
the operation of such statute of limitations applicable to such obligations of Subordinated Creditor hereunder.

 

    	10

    	 

    

 

4.6           Notice
of Defaults. The Subordinated Creditor shall use commercially reasonable efforts to provide the Senior Creditor Agent written
notice of the occurrence of an Event of Default (as such term is defined in the Subordinated Loan Agreement), provided that the
failure to provide such a notice shall not be deemed a breach of this Agreement. The Senior Creditor Agent shall use commercially
reasonable efforts to provide the Subordinated Creditor written notice of the occurrence of an Event of Default (as such term is
defined in the Senior Loan Agreement), provided that the failure to provide such a notice shall not be deemed a breach of this
Agreement or otherwise affect the subordination of the Subordinated Debt as provided in this Agreement.

 

		5.	Representations and Warranties.

 

5.1           Representations
and Warranties of Subordinated Creditor. Subordinated Creditor hereby represents and warrants to Senior Creditor Agent,
for the benefit of Senior Creditor Agent and Senior Creditor, that as of the date hereof: (a) it is a limited liability company
duly formed and validly existing under the laws of the jurisdiction of its formation; (b) it has the power and authority to enter
into, execute, deliver and carry out the terms of this Agreement, all of which have been duly authorized by all proper and necessary
action; (c) the execution of this Agreement by Subordinated Creditor will not violate or conflict with its organizational documents,
any material agreement binding upon it or any law, regulation or order or require any consent or approval which has not been obtained;
(d) this Agreement is the legal, valid and binding obligation of Subordinated Creditor, enforceable against it in accordance with
its terms, except as such enforceability may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar
laws affecting the enforcement of creditors' rights generally and by equitable principles; (e) it is the sole owner, beneficially
and of record, of the Subordinated Debt Documents and the Subordinated Debt; (f) neither Subordinated Creditor, nor its agent,
has any liens or security interests in the Collateral or any other assets of the Company; and (g) such Person has no contractual
put right to require that the Company redeem any equity securities.

 

5.2           Representations
and Warranties of Senior Creditor Agent. Senior Creditor Agent hereby represents and warrants to Subordinated Creditor
that as of the date hereof: (a) Senior Creditor Agent is a corporation duly formed and validly existing under the laws of the jurisdiction
of its formation; (b) Senior Creditor Agent has the power and authority to enter into, execute, deliver and carry out the terms
of this Agreement, all of which have been duly authorized by all proper and necessary action; (c) the execution of this Agreement
by Senior Creditor Agent will not violate or conflict with the organizational documents of Senior Creditor Agent, any material
agreement binding upon Senior Creditor Agent or any law, regulation or order or require any consent or approval which has not been
obtained; and (d) this Agreement is the legal, valid and binding obligation of Senior Creditor Agent, enforceable against Senior
Creditor Agent in accordance with its terms, except as such enforceability may be limited by applicable bankruptcy, insolvency,
reorganization, moratorium or similar laws affecting the enforcement of creditors' rights generally or by equitable principles.

 

    	11

    	 

    

 

6.          Subrogation.
On and after the Subordination Termination Date, Subordinated Creditor shall be subrogated to the rights of Senior Creditor
Agent and Senior Creditor to receive Distributions with respect to the Senior Debt until the Subordinated Debt is paid in full.
Subordinated Creditor agrees that in the event that all or any part of a payment made with respect to the Senior Debt is recovered
from the holders of the Senior Debt in a Proceeding or otherwise, any Distribution received by Subordinated Creditor with respect
to the Subordinated Debt at any time after the date of the payment that is so recovered, whether pursuant to the right of subrogation
provided for in this Agreement or otherwise, shall be deemed to have been received by Subordinated Creditor in trust as property
of the holders of the Senior Debt and Subordinated Creditor shall forthwith deliver the same to Senior Creditor Agent for application
to the Senior Debt until the Subordination Termination Date. A Distribution made pursuant to this Agreement to Senior Creditor
Agent which otherwise would have been made to Subordinated Creditor is not, as between the Company and Subordinated Creditor, a
payment by the Company to or on account of the Senior Debt. WITHOUT LIMITING THE GENERALITY OF ANY OTHER WAIVER OR OTHER PROVISION
SET FORTH IN THIS AGREEMENT, SUBORDINATED CREDITOR HEREBY WAIVES, TO THE FULLEST EXTENT PERMITTED BY LAW, ALL RIGHTS AND DEFENSES
ARISING OUT OF AN ELECTION OF REMEDIES BY SENIOR CREDITOR AGENT OR SENIOR CREDITOR, EVEN THOUGH THAT ELECTION OF REMEDIES HAS DESTROYED
SUBORDINATED CREDITOR'S RIGHTS OF SUBROGATION AND REIMBURSEMENT AGAINST THE COMPANY BY THE OPERATION OF ANY APPLICABLE LAW.

 

7.          Modification.
Any modification or waiver of any provision of this Agreement, or any consent to any departure by any party from the terms hereof,
shall not be effective in any event unless the same is in writing and signed by Senior Creditor Agent and Subordinated Creditor,
and then such modification, waiver or consent shall be effective only in the specific instance and for the specific purpose given.
Any notice to or demand on any party hereto in any event not specifically required hereunder shall not entitle the party receiving
such notice or demand to any other or further notice or demand in the same, similar or other circumstances unless specifically
required hereunder.

 

8.          Further
Assurances. Each party to this Agreement promptly will execute and deliver such further instruments and agreements and
do such further acts and things as may be reasonably requested in writing by any other party hereto that may be necessary or desirable
in order to effect fully the purposes of this Agreement.

 

9.          Notices.
Unless otherwise specifically provided herein, any notice delivered under this Agreement shall be in writing addressed to the respective
party as set forth below and may be personally served, faxed or sent by overnight courier service or registered or certified United
States mail, return receipt requested, and shall be deemed to have been given (a) if delivered in person, when delivered; (b) if
delivered by facsimile, on the date of transmission if transmitted on a business day before 4:00 p.m. (New York time) or, if not,
on the next succeeding business day; (c) if delivered by overnight courier, one business day after delivery to such courier properly
addressed; or (d) if by registered or certified United States mail, four business days after deposit in the United States mail,
postage prepaid and properly addressed.

 

Notices shall be addressed as follows:

 

If to Subordinated Creditor:

 

Platinum-Montaur Life Sciences LLC

Attention: Michael M. Goldberg, M.D.

152 West 57th Street, 4th Floor

New York, New York 10019

Facsimile: (212) 271 - 7855

 

    	12

    	 

    

 

If to Senior Creditor Agent:

 

General Electric Capital Corporation

c/o GE Healthcare Financial Services,
Inc.

Two Bethesda Metro Center, Suite
600

Bethesda, Maryland 20814

Attention: Senior Vice President
of Risk – Life Science Finance

Phone: (301) 961-1640

Facsimile: (301) 664-9855

 

With a copy to:

 

General Electric Capital Corporation

c/o GE Healthcare Financial Services,
Inc.

Two Bethesda Metro Center, Suite
600

Bethesda, Maryland 20814

Attention: General Counsel

Phone: (301) 961-1640

Facsimile: (301) 664-9866

 

or in any case, to such other address as
the party addressed shall have previously designated by written notice to the serving party, given in accordance with this Section
9.

 

10.         Successors
and Assigns. This Agreement shall inure to the benefit of, and shall be binding upon, the respective successors and assigns
of Senior Creditor Agent (for the benefit of Senior Creditor Agent and Senior Creditor), Subordinated Creditor and the Company.
To the extent permitted under the Senior Debt Documents, Senior Creditor Agent and Senior Creditor may, from time to time, without
notice to Subordinated Creditor, assign or transfer any or all of the Senior Debt or any interest therein to any Person and, notwithstanding
any such assignment or transfer, or any subsequent assignment or transfer, the Senior Debt shall, subject to the terms hereof,
be and remain Senior Debt for purposes of this Agreement, and every permitted assignee or transferee of any of the Senior Debt
or of any interest therein shall, to the extent of the interest of such permitted assignee or transferee in the Senior Debt, be
entitled to rely upon and be the third party beneficiary of the subordination provided under this Agreement and shall be entitled
to enforce the terms and provisions hereof to the same extent as if such assignee or transferee were initially a party hereto.

 

11.         Relative
Rights; No Third Party Beneficiary. This Agreement shall define the relative rights of Senior Creditor Agent, Senior Creditor
and Subordinated Creditor. Nothing in this Agreement shall (a) impair, as among the Company, Senior Creditor Agent and Senior Creditor
and as between the Company and Subordinated Creditor, the obligation of the Company with respect to the payment of the Senior Debt
and the Subordinated Debt in accordance with their respective terms or (b) affect the relative rights of Senior Creditor Agent,
Senior Creditor or Subordinated Creditor with respect to any other creditors of the Company. This Agreement is solely for the benefit
of Senior Creditor Agent, Senior Creditor and Subordinated Creditor, and their respective successors and assigns, and neither Company
nor any other Persons are intended to be a third party beneficiary hereunder or to have any right, benefit, priority or interest
under, or because of the existence of, or to have any right to enforce, this Agreement.

 

12.         Conflict.
In the event of any conflict between any term, covenant or condition of this Agreement and any term, covenant or condition of any
of the Senior Debt Documents or Subordinated Debt Documents, the provisions of this Agreement shall control and govern.

 

    	13

    	 

    

 

13.         Headings.
The paragraph headings used in this Agreement are for convenience only and shall not affect the interpretation of any of the provisions
hereof.

 

14.         Counterparts.
This Agreement may be executed in one or more counterparts, each of which shall be deemed an original, but all of which together
shall constitute one and the same instrument. Delivery of an executed counterpart of a signature page to this Agreement by facsimile
or electronic “pdf” transmission shall be equally effective as delivery of a manually executed counterpart of a signature
page to this Agreement.

 

15.         Severability.
In the event that any provision of this Agreement is deemed to be invalid, illegal or unenforceable by reason of the operation
of any law or by reason of the interpretation placed thereon by any court or governmental authority, the validity, legality and
enforceability of the remaining provisions of this Agreement shall not in any way be affected or impaired thereby, and the affected
provision shall be modified to the minimum extent permitted by law so as most fully to achieve the intention of this Agreement.

 

16.         Continuation
of Subordination; Termination of Agreement. This Agreement shall remain in full force and effect and the provisions of
this Agreement shall continue to govern the relative rights and priorities of Senior Creditor Agent, Senior Creditor and Subordinated
Creditor even if all or part of the Senior Debt or the security interests securing the Senior Debt are subordinated, set aside,
avoided, invalidated, or disallowed, until the Subordination Termination Date after which this Agreement shall terminate without
further action on the part of the parties hereto. This Agreement shall be reinstated if at any time any payment of any of the Senior
Debt is rescinded or must otherwise be returned by any holder of Senior Debt or any representative of such holder.

 

17.         Applicable
Law. This Agreement shall be governed by and shall be construed and enforced in accordance with the internal laws of the
State of New York, without regard to conflicts of law principles.

 

18.         CONSENT
TO JURISDICTION. EACH OF SUBORDINATED CREDITOR AND, BY ITS ACKNOWLEDGMENT BELOW, THE COMPANY HEREBY CONSENTS TO THE
JURISDICTION OF ANY STATE OR FEDERAL COURT LOCATED WITHIN THE STATE OF NEW YORK AND IRREVOCABLY AGREES THAT, SUBJECT TO SENIOR
CREDITOR AGENT'S ELECTION, ALL ACTIONS OR PROCEEDINGS ARISING OUT OF OR RELATING TO THIS AGREEMENT SHALL BE LITIGATED IN SUCH COURTS.
EACH OF SUBORDINATED CREDITOR AND, BY ITS ACKNOWLEDGMENT BELOW, THE COMPANY EXPRESSLY SUBMITS AND CONSENTS TO THE JURISDICTION
OF THE AFORESAID COURTS AND WAIVES ANY DEFENSE OF FORUM NON CONVENIENS. EACH OF SUBORDINATED CREDITOR AND, BY ITS ACKNOWLEDGMENT
BELOW, THE COMPANY HEREBY WAIVES PERSONAL SERVICE OF ANY AND ALL PROCESS AND AGREES THAT ALL SUCH SERVICE OF PROCESS MAY BE MADE
UPON IT BY CERTIFIED OR REGISTERED MAIL, RETURN RECEIPT REQUESTED, ADDRESSED TO SUBORDINATED CREDITOR AND THE COMPANY AT THEIR
RESPECTIVE ADDRESSES SET FORTH IN THIS AGREEMENT.

 

    	14

    	 

    

 

19.         WAIVER
OF JURY TRIAL.  EACH OF SUBORDINATED CREDITOR, SENIOR CREDITOR AGENT AND, BY ITS ACKNOWLEDGMENT BELOW, THE COMPANY HEREBY
WAIVE THEIR RESPECTIVE RIGHTS TO A JURY TRIAL OF ANY CLAIM OR CAUSE OF ACTION BASED UPON OR ARISING OUT OF THIS AGREEMENT, ANY
OF THE SUBORDINATED DEBT DOCUMENTS OR ANY OF THE SENIOR DEBT DOCUMENTS. EACH OF SUBORDINATED CREDITOR, SENIOR CREDITOR AGENT AND,
BY ITS ACKNOWLEDGMENT BELOW, THE COMPANY ACKNOWLEDGES THAT THIS WAIVER IS A MATERIAL INDUCEMENT TO ENTER INTO A BUSINESS RELATIONSHIP,
THAT EACH HAS RELIED ON THE WAIVER IN ENTERING INTO THIS AGREEMENT AND, IN THE CASE OF THE SENIOR CREDITOR AGENT AND THE COMPANY,
THE SENIOR DEBT DOCUMENTS, AND THAT EACH WILL CONTINUE TO RELY ON THE WAIVER IN THEIR RELATED FUTURE DEALINGS. EACH OF SUBORDINATED
CREDITOR, THE COMPANY AND SENIOR CREDITOR AGENT WARRANTS AND REPRESENTS THAT EACH HAS HAD THE OPPORTUNITY OF REVIEWING THIS JURY
WAIVER WITH LEGAL COUNSEL, AND THAT EACH KNOWINGLY AND VOLUNTARILY WAIVES ITS JURY TRIAL RIGHTS.

 

20.         Representations
Regarding Subordinated Loan Agreement. Subordinated Creditor hereby represents and warrants to Senior Creditor Agent, for
the benefit of Senior Creditor Agent and Senior Creditor, that as of the date hereof: (a) it has executed and delivered the Warrant
Exercise Agreement and the Amendment to Subordinated Loan Agreement; (b) pursuant to the Warrant Exercise Agreement and Amendment
to Subordinated Loan Agreement, an aggregate principal amount of
$4,781,333.00 of outstanding Draws (as defined in the Subordinated Loan Agreement) has been indefeasibly prepaid by the Borrower;
(c) as of the date of this Agreement, the Draw Credit Maximum Amount (as defined in the Subordinated Loan Agreement) is no less
than $30,000,000 and may be increased pursuant to Section 2.6 of the Subordinated Loan Agreement by an additional $15,000,000;
and (d) no liens or other security interest have been granted in favor of the Subordinated Creditor or any of its affiliates pursuant
to any Subordinated Debt Document.

 

21.         Consent
to Issuance of Warrants. The Subordinated Creditor hereby consents to the issuance of warrants to any Senior Creditor (or
any affiliate of any Senior Creditor) from time to time in accordance with the terms of the Senior Loan Agreement, notwithstanding
the share effective price of any such warrants.

 

(Signature page follows)

 

    	15

    	 

    

 

IN WITNESS WHEREOF,
Subordinated Creditor and Senior Creditor Agent have caused this Agreement to be executed as of the date first above written.

 

	 	SENIOR CREDITOR AGENT:
	 	 
	 	GENERAL ELECTRIC CAPITAL CORPORATION
	 	 
	 	By:	/s/ Peter Gibson
	 	Name:	Peter Gibson
	 	Its:	Duly Authorized Signatory

 

Signature Page to Subordination Agreement (Navidea)

 

    	 

    	 

    

 

	 	SUBORDINATED CREDITOR
	 	 
	 	PLATINUM-MONTAUR LIFE SCIENCES LLC
	 	 
	 	By:	/s/ Michael Goldberg
	 	Name:  Michael Goldberg
	 	Its:  Portfolio Managers

 

Signature Page to Subordination Agreement (Navidea)

 

    	 

    	 

    

 

COMPANY ACKNOWLEDGMENT, CONSENT AND AGREEMENT

 

Each of the undersigned
hereby acknowledges and consents to the execution, delivery and performance of the within and foregoing Subordination Agreement
among each of the holders of the Subordinated Debt and Senior Creditor Agent. Each of the undersigned further agrees to be bound
by the provisions of the within and foregoing Subordination Agreement as they relate to the relative rights, remedies and priorities
of the Senior Creditor Agent and Senior Creditor; provided, however, that nothing in the Subordination Agreement shall amend,
modify, change or supersede the respective terms of any of the Senior Debt Documents or the Subordinated Debt Documents as between
Senior Creditor Agent, Senior Creditor or the Subordinated Creditor, respectively, on the one hand, and any of the undersigned,
on the other hand.

 

[Signature pages follow]

 

    	 

    	 

    

 

IN WITNESS WHEREOF,
each of the undersigned has caused its duly authorized officers or other representatives to execute and deliver this Company Acknowledgment,
Consent and Agreement as of June ___, 2013.

 

	 	NAVIDEA BIOPHARMACEUTICALS, INC.
	 	 
	 	By:	/s/ Brent L. Larson
	 	Name:	Brent L. Larson
	 	Title:	EVP, CFO, Treasurer and Secretary

 

Signature Page to Subordination Agreement (Navidea)Exhibit 10.6

 

This
instrument and the indebtedness, rights and obligations evidenced hereby and any liens or other security interests securing such
rights and obligations are subordinate in the manner and to the extent set forth in that certain Subordination Agreement (as amended,
restated, supplemented or modified from time to time, the “Subordination Agreement”) dated as of June 25, 2013, by
and among the Subordinated Creditor identified therein and General Electric Capital Corporation in its capacity as agent for certain
lenders (together with its successors and assigns, “Senior Creditor Agent”), to certain indebtedness, rights, and obligations
of Navidea Biopharmaceuticals, Inc. to Senior Creditor Agent and Senior Creditor (as defined therein) and liens and security interests
of Senior Creditor Agent securing the same all as described in the Subordination Agreement; and each holder and transferee of this
instrument, by its acceptance hereof, irrevocably agrees to be bound by the provisions of the Subordination Agreement.

 

AMENDED AND RESTATED PROMISSORY
NOTE

(Term
Loan Facility)

 

	$35,000,000.00	Dublin, Ohio
	 	Date of Original Issuance: July 25, 2012
	 	Date of Amendment and Restatement: June 25, 2013

 

 

FOR VALUE RECEIVED,
Navidea biopharmaceuticals, inc., a Delaware corporation (the “Borrower”),
with its principal place of business at 425 Metro Place North, Dublin, Ohio 43107, promises to pay to the order of  PLATINUM-MONTAUR
LIFE SCIENCES LLC (together with any successors or assigns, the “Lender”) at the office of the Lender, 152
West 57th Street, New York, New York 10019, the sum of THIRTY FIVE MILLION DOLLARS and zero cents ($35,000,000.00),
or, if less, the amount of all Draws advanced (and not hereafter repaid) by the Lender pursuant to the Loan Agreement, dated on
or about the date hereof, between the Borrower and the Lender (as amended, supplemented or modified, the “Loan Agreement”),
together with interest on the unpaid balance and all other charges, as provided below. This Note evidences the Term Loan Facility
made under and pursuant to the Loan Agreement; capitalized terms used herein and not otherwise defined shall have the respective
meanings given in the Loan Agreement.

 

Interest will accrue
on the unpaid balance of each Draw at the Applicable Rate. All interest accruing on each Draw shall be due and payable as set forth
in Section 2.2(b) of the Loan Agreement. The principal sum of each Draw shall be due and payable as set forth in Section 2.2(c)
of the Loan Agreement.

 

If any payment hereunder
is due on a day that is not a Business Day, such payment shall be due and payable on the next Business Day.

 

Payments; Prepayments.
All payments hereunder shall be made by the Borrower to the Lender in United States currency at the Lender’s address specified
above (or at such other address as the Lender may specify), in immediately available funds, on the due date thereof. Payments received
by the Lender prior to the occurrence of an Event of Default will be applied: first to accrued interest; second to
outstanding principal; and third to fees, expenses and other amounts due hereunder (excluding principal and interest); after
the occurrence of an Event of Default, payments will be applied to the obligations under this Note as the Lender determines in
its sole discretion. Any prepayments of principal made by the Borrower shall be applied to installments of principal in the inverse
order of the date on which they become due. Amounts repaid with respect to the Term Loan Facility may not be reborrowed.

 

    	 

    	 

    

 

Upon the occurrence
of any Event of Default, Draws shall, to the extent not prohibited under applicable law, bear interest at the Default Rate.

 

Late Payment
Charge. If a payment of principal or interest hereunder is not made within ten (10) business days of its due date, the
Borrower will pay on demand a late payment charge equal to 5% of the amount of such late payment. Nothing in the preceding sentence
shall affect the Lender’s right to accelerate the maturity of this Note upon an Event of Default.

 

Default.
The occurrence of any of the following events shall constitute an “Event of Default” hereunder:

 

		(a)	a default in the payment when due of the principal of or interest on this Note; or

 

		(b)	any Event of Default under and as defined in the Loan Agreement.

 

Remedies.
Upon an Event of Default, or at any time thereafter, at the option of the Lender, all Obligations shall become immediately
due and payable without notice or demand and the Lender shall then have in any jurisdiction where enforcement hereof is sought
all other rights and remedies provided by agreement or at law or in equity. All rights and remedies of the Lender are cumulative
and are not exclusive of any rights or remedies provided by laws or any other agreement, and may be exercised separately or concurrently.

 

Waiver; Amendment.
No delay or omission on the part of the Lender in exercising any right hereunder shall operate as a waiver of such right or of
any other right under this Note. No waiver of any right contained in, consent to any departure from, or amendment to any provision
contained in this Note shall be effective unless in writing and signed by the Lender, nor shall a waiver on one occasion be construed
as a waiver of any such right on any future occasion. Without limiting the generality of the foregoing, the acceptance by the Lender
of any late payment shall not be deemed to be a waiver of the Event of Default arising as a consequence thereof. Except as otherwise
set forth in the Loan Agreement, the Borrower waives presentment, demand, notice, protest and all other demands and notices in
connection with the delivery, acceptance, performance, default or enforcement of this Note, and assents to any extensions or postponements
of the time of payment or any and all other indulgences under this Note, or to any and all additions or releases of any other parties
or persons primarily or secondarily liable under this Note, which from time to time be granted by the Lender in connection herewith
regardless of the number or period of any extensions.

 

Taxes.
The Borrower agrees to indemnify the Lender from and hold it harmless from and against any transfer taxes, documentary taxes, assessments
or charges made by any Governmental Authority by reason of the execution, delivery, and performance of this Note; provided, however,
the foregoing shall not obligate the Borrower to indemnify or hold harmless the Lender for any taxes imposed on or measured by
the overall net income of Lender by any Governmental Authority.

 

Lender Records.
The entries on the records of the Lender (including any appearing on this Note) shall be prima facie evidence of the aggregate
principal amount outstanding under this Note and interest accrued thereon.

 

Severability;
Authorization to Complete; Paragraph Headings. If any provision of this Note shall be invalid, illegal or
unenforceable, such provision shall be severable from the remainder of this Note and the validity, legality and
enforceability of the remaining provisions shall not in any way be affected or impaired thereby. Paragraph headings are for
the convenience of reference only and are not a part of this Note and shall not affect its interpretation.

 

    	2

    	 

    

 

Certain References.All
pronouns and any variations thereof shall be deemed to refer to the masculine, feminine, neuter, singular or plural, as the identity
of the person, persons, entity or entities may require. The terms “herein,” “hereof” or “hereunder”
or similar terms used in this Note refer to this entire Note and not only to the particular provision in which the term is used.

 

Assignments.
Neither this Note nor the proceeds hereof shall be assignable by the Borrower without the Lender’s prior written consent,
and any attempted assignment without the Lender’s prior written consent shall create a default under this Note. Subject to
the terms and conditions of Section 8.3 of the Loan Agreement, this Note and any other Loan Document may be assigned, in whole
or in part, by the Lender and its successors or assigns.

 

Amendment and
Restatement.This Note amends and restates the Promissory Note (Term Note Facility) dated July 25, 2012 made by Borrower
in favor of the Lender in the original principal amount of up to $35,000,000. This Note is issued in exchange for (and not in discharge
of the indebtedness evidenced by) the Prior Note.

 

[Signature Page Follows]

 

    	3

    	 

    

 

IN WITNESS WHEREOF, the Borrower has caused
this Note to be duly executed and delivered as of the date first above written.

 

	IN THE PRESENCE OF:	 	NAVIDEA BIOPHARMACEUTICALS, INC.
	 	 	 
	/s/ Heather Killian	 	By:	/s/ Brent L. Larson
	Witness	 	Name: Brent L. Larson
	 	 	Title: EVP, CFO, Treasurer and Secretary

 

[Promissory Note]

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00218-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00218-of-00352.parquet"}]]